Marine Products Corp. reports 2Q resultsPosted on
Marine Products Corp., the builder of Chaparral and Robalo boats, today announced a 9.8 percent increase in net sales in the second quarter, generating $42.2 million this year, compared with $38.5 million last year.
The Atlanta-based builder also said it expects to introduce its new recreational jetboat line late in its 2014 model year.
The sales increase was attributable to an 8.1 percent increase in the average gross selling price per boat, partially offset by a decrease of less than 1 percent in the number of boats sold, the company said.
Average selling prices per boat increased during the quarter because of a model mix that included higher sales of larger Chaparral H2O and value-priced Robalo models, as well as the larger Chaparral SSX Sportdecks.
The company said net income for the quarter, which ended June 30, was $1.9 million, or 5 cents a diluted share, compared with $2.2 million, or 6 cents a diluted share, in the same quarter a year earlier.
“Our financial results for the second quarter of 2013 reflect a strong market reception to our 2013 models in the context of a challenging retail selling environment,” Marine Products CEO Richard Hubbell said in a statement. “While our consolidated unit sales were flat, compared to last year, sales of our largest value-priced Robalo and Chaparral H2O models were strong and we continued to generate strong sales of our redesigned SSX Sportdecks. Also, we are pleased to report additional market-share gains in the boat segments in which our Chaparral sterndrive products compete.”
Data reported by Statistical Surveys show that during the three months that ended March 31, Chaparral’s share of the 18- to 35-foot sterndrive market grew 13.9 percent, compared with 11.6 percent during the same period of in 2012, giving Chaparral the second-largest position in the segment, Hubbell said.
“The overall retail selling season was not as strong as many in our industry had expected, so the appeal of our products to our dealer network and retail customers was an important catalyst for our financial results,” Hubbell said.