Marine Products Corp., the builder of Chaparral and Robalo boats, reported net sales of $100.1 million for it fiscal third quarter, a 32 percent increase compared with $75.8 million in the same quarter a year ago. The company said the increase was the result of a 33 percent increase in the average selling price per boat.
“During the third quarter we continued our efforts to meet high retail and dealer demand,” Ben M. Palmer, Marine Products president and CEO, said in a statement. “As the quarter progressed, we began to experience some relief in transportation and supply-chain issues, which facilitated shipments of boats during the quarter. Our model mix continued to improve and, along with price increases that we have instituted over the past year to compensate for higher costs, generated record net sales and net income.”
The number of units sold during the quarter was relatively flat compared with the prior-year quarter, the company said. Average selling prices increased due to a favorable model mix and to cover higher costs for materials and components.
Gross profit for the third quarter was $25 million, compared with $16 million in the same quarter a year ago. Gross margin as a percentage of net sales increased to 25 percent, compared with 21 percent in 2021.
Operating profit for the quarter was $14.7 million, a 76 percent increase compared with $8.3 million in the same quarter last year. Selling, general and administrative expenses were $10.3 million, compared with $7.7 million a year ago. Expenses increased consistently with higher sales and profitability, including incentive compensation, sales commissions and warranty expenses.
Net income for third quarter was a record $11.5 million, an increase of 72 percent over $6.7 million in 2021.
Earnings before interest, taxes, depreciation and amortization were $15.2 million, a 72 percent increase compared with 2021. Diluted earnings per share were a record $0.34, an increase of 70 percent over $0.20 in the prior year third quarter.
Net sales for the year to Sept. 30 were $272.5 million, an increase of 23 percent compared with the first nine months of 2021. Net income was $28.5 million, or $0.83 diluted earnings per share, compared to $20.6 million and $0.61 in 2021.
“Our manufacturing and product development efforts continue to reward us with dealer demand for models that appeal to boaters,” Palmer said. “We conducted our first in-person dealer conference in three years during the third quarter, and our dealers were very enthusiastic about our new, larger models for the 2023 model year.”