Winnebago Industries, Inc. (NYSE:WGO) Q1 2024 Results Conference Call December 20, 2023 10:00 AM ET

Company Participants

Ray Posadas - VP of IR and Market Intelligence

Michael Happe - President and CEO

Bryan Hughes - SVP and CFO

Conference Call Participants

Michael Swartz - Truist Securities

Craig Kennison - Baird

Bret Jordan - Jefferies

Tristan Thomas-Martin - BMO Capital Markets

Joe Altobello - Raymond James

Scott Stember - ROTH MKM

Fred Wightman - Wolfe Research

James Hardiman - Citi

Noah Zatzkin - KeyBanc Capital Markets

Brandon Rollé - D.A. Davidson

John Healy - Northcoast Research

David Whiston - Morningstar

Operator

Good day, and thank you for standing by. Welcome to the Q1 Fiscal 2024 Winnebago Industries Financial Results Conference Call [Operator Instructions]. Please be advised that today's conference is being recorded.

I would now like to hand the conference over to your speaker, Ray Posadas, Vice President of Investor Relations and Market Intelligence. You may begin.

Ray Posadas

Good morning, everyone. And thank you for joining us today to discuss our fiscal 2024 first quarter earnings results. I am joined on the call today by Michael Happe, President and Chief Executive Officer; and Bryan Hughes, Senior Vice President and Chief Financial Officer. This call is being broadcast live on our Web site at investor.wgo.net, and a replay of the call will be available on our Web site later today. The news release with our first quarter results was issued and posted to our Web site earlier this morning. Before we start, I'd like to remind you that certain statements made during today's conference call regarding Winnebago Industries and its operations may be considered forward-looking statements under securities laws. The company cautions you that forward-looking statements involve a number of risks and are inherently uncertain, and a number of factors, many of which are beyond the company's control, could cause actual results to differ materially from these statements. These factors are identified in our SEC filings, which I encourage you to read.

With that, I would now like to turn the call over to our President and CEO, Michael Happe. Mike?

Michael Happe

Thanks, Ray. Good morning. And as always, thank you for your interest in Winnebago Industries and for taking the time to discuss our fiscal 2024 first quarter results. I will provide an overview of performance during the quarter, then pass the call to Bryan Hughes to cover our financial results in more detail. Following Bryan's comments, I will return and offer some closing thoughts before the Q&A portion of the call. As we entered our fiscal 2024 year this past September, the outdoor recreation market in North America continued to face numerous short term challenges. Consumer confidence was unsteady given macroeconomic factors. Affordability of the RV and boating lifestyle, while still competitive with other forms of leisure travel, had become difficult for potential new customers. And dealers were aggressively managing inventory by constraining inbound wholesale shipments. We stated during the October earnings call that our first two fiscal quarters in 2024 would face formidable headwinds, especially as it related to dealer appetite for new RV and marine products, and that we were hopeful our last two quarters in fiscal year 2024 would show real improvement relative to an anticipated future 1:1 retail ratio to wholesale replenishment rate developing within the channels.