Malibu releases second quarter earnings - Trade Only Today

Malibu releases second quarter earnings

Author:
Publish date:

Malibu Boats Inc. saw net sales increase 69 percent in the second quarter to $114.4 million, and unit volume increased 61.1 percent to 1,489 boats.

Net sales-per-unit increased 4.9 percent to $76,812 and gross profit rose 54.5 percent to $27.5 million compared to the second quarter of fiscal year 2017.

Net income decreased 172.2 percent to a net loss of $5.6 million, or $0.31 per share, compared to the second quarter of fiscal 2017. The decrease in net income was driven by tax reform enacted in the second quarter.

Adjusted EBITDA increased 51.3 percent to $20.6 million.

"In our second quarter, Malibu performed very well and we are pleased with the performance,” said Malibu CEO Jack Springer in a statement. “The United States business is strong at the wholesale and retail levels and we have seen additional strength in the second quarter and into the third quarter boat show season.”

Canada is continuing its slow recovery and Australia continues to perform well, Springer said.

“We are also very pleased that we continue to see strong market share performance at both Malibu and Cobalt,” Springer said. "Our focus on bringing more product introductions and innovations to market than any other competitor, building our distribution network which is already the best in our segment and maximizing operational excellence will continue to drive margins and profitability."

The overall market is strengthening due to the low unemployment rate and tax cuts, Springer said.

“The Cobalt integration is ahead of schedule and successfully delivering efficiencies while demand for the Cobalt product remains strong,” Springer said. “We are very pleased with our financial and operating results and are believe the segment recovery will continue and the economy will be a strong supporting partner in that recovery."

Related

E-nnovation Lab to expand at 2018 Metstrade show

The growing demand for hybrid and electric engines is becoming more apparent within the leisure marine market, prompting Metstrade to introduce the E-nnovation Lab platform for electric propulsion technology.

Aluminum, tow boats lead moderate growth in May

Boat registrations were up 2.1 percent in May in the main powerboat categories, and rose 3.2 percent in all categories, according to preliminary data from Statistical Surveys Inc., a Michigan company that tracks new boat registrations.

Retaliatory tariffs on boats to EU start today

The 25 percent tariff the EU announced Wednesday on U.S.-built boats kicks in today, and a 10 percent tariff on boats sold to Canada will start July 1, prompting boatbuilders to worry they will lose sales to those countries.