* Motorhomes shipments decline 6.5 pct* Backlog, inventory also down* Shares rise after profit beatOct 13 (Reuters) - Winnebago Industries Inc’s profit
topped Wall Street expectations sending its shares up, but the
largest U.S. motorhome maker warned of ebbing consumer
confidence amid an uncertain economy.Shares of the largest U.S. motorhome maker rose as much as
11 percent to $8.50 in early trading. An increase in prices of
its recreational vehicles (RVs) partly helped offset the lower
demand.”While we experienced improved market conditions in the
first half of fiscal 2011, we were disappointed to see the
negative effects caused by falling consumer confidence
throughout the remainder of the year,” CEO Randy Potts said in a
statement.Sales of Winnebago’s luxury motor homes are heavily
dependent on discretionary spending by consumers. A fragile
economy and slow jobs growth have dampened consumer confidence
in recent months.Forest City, Iowa-based Winnebago, which sells its motor
homes under the Winnebago, Itasca and ERA brands, said motor
home deliveries during the quarter fell 6.5 percent to 1,088
units. Dealer inventory fell 4.2 percent.Backlog at the quarter-end fell 10 percent to $74.7 million.The company’s fourth-quarter net income was $3.5 million, or
12 cents a share, down from $4.9 million, or 17 cents a share, a
year ago.Revenue rose 6 percent to $130.5 million due to price
increases.Analysts were expecting a profit of 4 cents a share on
revenue of $116.8 million, according to Thomson Reuters I/B/E/S.Last month, Winnebago’s rival Thor Industries Inc
posted a better-than-expected quarterly profit but said
sales of motorhomes fell 10 percent.Winnebago also competes with Navistar International’s
Monaco brand of RVs.RV shipments in 2011 are expected to total 247,500 units, up
2.1 percent, according to a forecast by industry analyst and
director of consumer surveys at the University of Michigan,
Richard Curtin.Curtin said RV sales are expected to face continued
challenges because of slow growth in jobs, incomes and credit
market, and continued weakness in the housing market.Shipments are expected to fall 2 percent in 2012
to 242,400 units, according to Curtin.Winnebago’s shares were trading up 4 percent at
$7.96 on Thursday on the New York Stock Exchange. They have lost
almost 40 percent of their value in the last six months.