Malibu Boats reports 4Q, year-end results

Malibu Boats said it saw net fourth-quarter sales increase 9.8 percent to $66.7 million from the same quarter last year.

Malibu Boats said it saw net fourth-quarter sales increase 9.8 percent to $66.7 million from the same quarter last year and unit volume increased 2 percent to 922 boats.

Net sales per unit increased 7.7 percent to $72,321 compared with the 2015 quarter and gross profit increased 9.5 percent to $17.8 million. Net income for the quarter fell 46 percent to $4.1 million, or 21 cents a share, from the quarter a year earlier.

Adjusted EBITDA increased 13.8 percent, to $13.5 million, from the quarter last year.

"Fourth-quarter results were solid, with both our Malibu and Axis brands performing well,” Malibu CEO Jack Springer said in a statement. “Malibu has continued its series of firsts with our fourth quarter being the best fourth quarter in company history, based on net sales and unit volume.”

The company again exceeded internal goals and projections and is optimistic about overall trends in the business, Springer said.

“Demand for our product continues to be strong in the U.S. and Australia. Currency headwinds persist in other parts of the world, diminishing demand in Canada, Europe, South America and other regions,” Springer said. “Despite the currency headwinds, net sales for the quarter increased almost 10 percent.”

New products for model year 2016 performed “exceptionally well,” he said, driving revenue and market share gains.

“Sales of the 25 LSV, M235, 20 VTX and A20 have all been strong and generated the demand we expected. The 23 LSV remains the best-selling boat in our market by a large margin and the 22 VLX remains in strong demand,” Springer said.

For fiscal 2016, which ended June 30, net sales increased 10.6 percent to $253 million and unit volume increased 4.8 percent to 3,569 boats. Net sales per unit increased 5.5 percent to $70,878 and net sales per unit in the United States increased 6.8 percent from 2015.

Gross profit increased 10.6 percent to $66.8 million and net income decreased 12.5 percent to $20.3 million, or $1.01 a share, from fiscal 2015. Adjusted EBITDA increased 10.5 percent to $48.2 million.

"We are very excited about our product introductions for fiscal year 2017,” Springer said. “Dealers and customers are already providing positive reviews for our completely new boats in the 22 MXZ and 24 MXZ, and we are seeing strong demand for these two new boats. Our new 21 VLX, which is nationally advertised at $79,995, is a ground-breaking new product. It is a 21-foot Wakesetter that is well-appointed, with features at a price that we believe no one else can match in our space. We believe this will invigorate sales from new buyers and customers who have been on the sidelines as boat prices have risen."