MBUU

Image source: The Motley Fool. Thursday, Aug. 27, 2026 at 8:30 a.m. ET President and Chief Executive Officer - Steve Menneto Chief Financial Officer - David Black Operator: Good morning, and welcome to Malibu Boats conference call to discuss fourth quarter and annual fiscal 2026 results. [Operator Instructions] Please be advised that reproduction of this call in whole or in part is not permitted without written authorization of Malibu Boats. As a reminder, today's call is being recorded. On the call today from management are Mr. Steve Menneto, Chief Executive Officer; and Mr. David Black, Chief Financial Officer. I will now turn the call over to Mr. Black to get started. Please go ahead, sir. David Black: Thank you, operator, and good morning, everyone. Welcome to Malibu Boats Fourth Quarter Fiscal Year 2026 Earnings Conference Call. I am David Black, Chief Financial Officer, and joining me today is Steve Menneto, our President and Chief Executive Officer. A press release covering the company's fourth quarter and fiscal year 2026 results was issued today, and a copy of that press release can be found in the Investor Relations section of the company's website. I also want to remind everyone that our remarks on this call may contain certain forward-looking statements, including predictions, expectations, estimates and other information that might be considered forward-looking and that actual results could differ materially from those projected on today's call. You should not place undue reliance on these forward-looking statements, which speak only as of today, and the company undertakes no obligation to update these for any new information or future events. Factors that might affect future results are discussed in our filings with the SEC, and we encourage you to review our SEC filings for a more detailed description of these risk factors. Please also note that we will be referring to certain non-GAAP financial measures on today's call, such as adjusted EBITDA, adjusted EBITDA margin, adjusted net income and free cash flow. Reconciliations of these GAAP financial measures to non-GAAP financial measures are included in our earnings release. I will now turn the call over to Steve. Steven Menneto: Thank you, David. Good morning, everyone. Our fourth quarter marked a strong finish to fiscal 2026 and demonstrated the power of our strategic execution. Net sales increased 42.7% to $295.5 million and adjusted EBITDA increased 72.7% to $33.9 million, with margins expanding 200 basis points versus the prior year. Importantly, that strength showed up in our legacy business before layering in Saxdor full quarter contribution. This is a direct result of the MBI Advantage operating framework, which is the operational excellence, central sourcing and channel discipline we've been building into this company over the past year. Zooming out to the full fiscal year, net sales came in at $914.6 million, roughly $29 million above the top end of the range we raised in May, driven by better-than-expected performance across the portfolio and the addition of Saxdor. We also delivered adjusted EBITDA of $73.9 million in the upper half of our guided range. In addition to a strengthened financial performance in nearly all aspects, fiscal 2026 was also a year filled with milestones, and it's worth walking through some of the highlights along the way. In September, we hosted our first Investor Day since 2018, where we introduced the Build, Innovate, Grow framework that is anchoring our strategy. We laid out the 4 focus areas where we intend to compete in Marine. And we framed the mid-cycle opportunity in front of us, roughly $1.5 billion of revenue at a 20% adjusted EBITDA margin and over $200 million of free cash flow. In that same month, we announced a 6-year global partnership with the International Waterski & Wakeboard Federation, naming Malibu the exclusive official towboat partner beginning this past January. In November, David stepped into the CFO role, leading the finance team with focus and discipline and most importantly, setting forth expectations that we know we can deliver. At the Miami International Boat Show in February, we were recognized with the NMMA Customer Satisfaction Index awards across 5 of our brands. On March 2, we closed the acquisition of Saxdor Yachts, the most significant milestone in our company's history that reinforces our premium positioning and expands our portfolio to the Adventure Day boat segment and provides international growth opportunities for our legacy brands. And just last month, we celebrated 50 years of Pursuit Boats, one of the founding brands of our saltwater fishing segment. Congratulations to that whole team on 5 decades and an amazing legacy of building award-winning sport fishing boats. Here's to the next 50. It's worth pausing on the backdrop this represents. This time last year, the marine industry was still working through one of the most difficult stretches in its history, and our own results reflected that with legacy volumes under pressure across the portfolio. This quarter tells a different story. We saw unit volume growth in both our Cobalt and Saltwater Fishing segments, consolidated gross margin expansion of 190 basis points and a meaningful stronger bottom line. This is the kind of finish to a demanding year that reinforces our conviction in the Build, Innovate, Grow framework. On Build, we are deepening vertical integration and scaling centralized sourcing and category management, which contributed to our strong margin performance this year. On Innovate, we are holding a pace of new product introduction no one else in the industry matches. And on Grow, we are not only growing with what we already have and taking share in our legacy businesses, but also adding to our portfolio in ways that drive value creation through M&A, which brings me to the second part, Saxdor. The integration is progressing well in these first 4 months, and our early experience continues to reinforce the thesis we laid out when we announced the transaction. It has opened a new category, a new geography and access to a younger, affluent buyer profile that we believe is highly attractive in the current environment and can compound for decades as conditions improve. The adventure day boat category that Saxdor competes in is one of the fastest growing in the industry, and families are drawn to it because it functions like a living room on the water built for spending the day together rather than any single activity. Our first domestically built Saxdor boat remains on schedule to be completed at our Fort Pierce, Florida facility later this fall in the first half of this fiscal year. This is an important step in unlocking that facility's capacity and extending Saxdor's reach into North America. We are also laying the operational foundation underneath the brand, bringing Saxdor into our sourcing organization and giving that business the benefit of our procurement scale. In just the first few months of ownership, Saxdor has cleared the high bar for acquisitions we described at Investor Day, a premium brand where we can add real value through our scale, our centralized sourcing and a dealer network that is the envy of the industry. On the product side, Saxdor will introduce 2 new models at the Cannes Yachting Festival in September, continuing to build out that brand's lineup. And in April, the Saxdor 460 GTC was named winner in the Motor Yacht 14- to 16-meter category at the Yacht Style Awards 2026 in Singapore, recognition that reflects Saxdor's continued commitment to innovation and design excellence. We also invested meaningfully in innovation this year across all of our brands, and it starts with the voice of the customer feeding directly into our engineering teams. Our model year 2026 lineup added 11 new models across the portfolio, bringing new features as well as value to our product line and continuing the innovation pipeline that has been the hallmark of this platform. Looking ahead to model year '27, we are already executing against that plan. Malibu launched the all-new 20 VTX in July. Axis introduced the T220 and T235 in July. Cobalt launched the new R26 and R26 Surf in August, and Pursuit launched the S 288 and the OS 445 refresh in late July. We also rolled out a new console design across the Pathfinder 2600 and 2400 Hybrid models. For Pursuit, our award-winning dual console lineup transitioned to the Denali series for model year '27, reconnecting with a name that played an important role in the brand's history while establishing a distinctive identity as Pursuit's premier family adventure platform. And in May, the Pursuit S 388 Sport Center Console was recognized as a top product of 2026 by Boating Industry. In total, we plan to bring 13 new models to market across our legacy brands in fiscal '27, and we have more to share on the remaining new products as we get closer to boat show season. Zooming back out, while we're seeing early signs of stabilization across the industry, we are contending with macro disruptions that continue to pressure the payment buyer, which is a key link to drive an inflection in this cycle. That said, we have not seen a correlation between rising fuel prices and our retail boat sales at the upper end of the market and usage has stayed strong. Our MBI customers are still on the water, still buying parts, still spending time at the dock, and that tells us the experience of boating with family remains the priority for our core buyer, even at a higher cost per gallon. For the payment-sensitive buyer who has been slower to return, we continued rolling out MBI Acceptance, giving our dealers financing and extended service tools to help close sales. Applications have grown steadily since launch, including through the periods when we were not running promotional rate programs, which we think speaks volumes about the broader sensitivity of today's consumer. And in marine Components, the team continued to build external customer engagement and won additional business during the year, another proof point that the Build pillar creates value well beyond just our own boats. With respect to the channel, dealer inventories decreased over the course of the year, reflecting our disciplined approach on managing wholesale shipments all year. That is the right way to protect our dealers and our brands through a soft cycle, and it is why we enter fiscal '27 with a healthier channel than we started with. On summer retail, the industry improved modestly as we moved through our fourth quarter. Registrations were down roughly 3% for the April through June period, an improvement from the mid-single-digit decline in the March quarter. With that, the fiberglass segments where we compete remain more pressured than the broader market, though they improved sequentially as well. That backdrop is consistent with what we've been describing all year, and it is the environment our fourth quarter results were delivered against. We like how we are positioned relative to the industry heading into fiscal '27, and we expect to build on the momentum we established this year while remaining intentional about our outlook until we see more durable evidence of a broader recovery. As we said at Investor Day, our capacity is already in place, so we can meet recovery demand when it comes without a step-up in capital spending, and we do not need to rely on the market inflection to return our company to growth. With that, I'll turn the call over to David for a detailed review of our fourth quarter and full year financial results. David? David Black: Thanks, Steve. Our fourth quarter and full year results reflect strong execution across both our legacy business and our first full quarter of Saxdor's contribution following the March 2 close. Throughout my remarks, I'll make select references to both consolidated results and legacy results, which excludes Saxdor to provide a clear view of underlying sales drivers and year-over-year comparability. Net sales for the fourth quarter increased $88.5 million or 42.7% to $295.5 million compared to the fourth quarter of fiscal 2025, inclusive of $61.2 million from our new Saxdor segment, ahead of the $57 million to $59 million of Saxdor revenue we guided to in May. On a legacy basis, net sales were $234.3 million, an increase of approximately 13.2%, driven by increased unit volumes in our Cobalt and Saltwater Fishing segments, a favorable model mix across all 3 existing segments and year-over-year price increases, partially offset by decreased unit volumes in our Malibu segment. Total unit volume increased 19.2% to 1,456 units. This was composed of our legacy unit volume, which increased approximately 4.5% to 1,276 units, while Saxdor contributed 180 units in its first full quarter in our results. By segment, net sales attributable to Malibu increased 3.2% to $82.9 million. Saltwater Fishing net sales increased 11.1% to $80.9 million on higher wholesale shipments as dealer inventory levels firmed in pockets of the portfolio. Cobalt net sales increased 31% to $70.5 million, also on higher wholesale shipments and firming dealer inventory. From a mix perspective, on a legacy basis, Malibu represented approximately 43% of unit sales, Saltwater Fishing represented 26% and Cobalt made up the remaining approximately 31%. Saxdor is reported as a new fourth segment, and we intend to build upon the disclosure going forward. Net sales per unit on a consolidated basis increased 19.7% to $203,000, driven by favorable mix, including the addition of Saxdor and year-over-year price increases across the legacy segments. On a legacy basis, net sales per unit increased approximately 8.3% to approximately $184,000. While not included in this metric for the sake of comparability, Saxdor's net sales per unit was $340,000 in the quarter. Turning to profitability. Gross profit increased 59.4% to $52.2 million and gross margin expanded 190 basis points to 17.7%, driven by an increased mix of models that carry higher gross margin. For some further context on Saxdor's performance, the segment delivered fourth quarter adjusted EBITDA margin below the 10% to 11% range we guided to in May. Two things drove that. First, we deliberately added resources ahead of the higher volumes we expect this year, including the accelerated ramp of domestic manufacturing in Fort Pierce. Second, we absorbed higher input costs in the quarter. The first of those is best characterized as an investment where we are waiting a return once we start turning that inventory into production ramps. It is the key to meeting North American demand, and we are very excited about the speed at which our team is moving to get the units to market. Selling and marketing expenses increased 25.7% to $6.8 million, driven primarily by higher personnel-related expenses, expenses associated with our new Saxdor segment. However, as a percentage of sales, we are pleased to see selling and marketing expenses actually decreased 30 basis points to 2.3%. General and administrative expenses increased 68.8% to $31.8 million, driven primarily by acquisition and related expenses associated with Saxdor, the incremental cost of the new Saxdor segment and increases in incentive pay. Amortization expense increased $2.6 million to $4.3 million, reflecting the additional intangibles acquired in the Saxdor transaction. GAAP net income for the quarter increased 53.7% to $7.4 million or $0.37 per diluted share, and net income margin improved to 2.5% compared to 2.3% in the prior year period. Adjusted EBITDA increased 72.7% to $33.9 million and adjusted EBITDA margin increased to 11.5% from 9.5% in the prior year period. Included in this amount was Saxdor's adjusted EBITDA contribution of approximately $4 million. Non-GAAP adjusted net income per share was $0.90, an increase of 114.3% on a weighted average share count of approximately 19.7 million shares of Class A common stock. Turning to the full year. Net sales increased 13.3% to $914.6 million, including $84.3 million of revenue from Saxdor since the March 2 close. On a legacy basis, net sales were $830.3 million, an increase of approximately 2.8%. Unit volume increased 0.9% to 4,944 units as 246 units from Saxdor more than offset the decline in legacy unit volume. Legacy unit volume was approximately 4,698 units, down approximately 4.1% across our 3 legacy segments, consistent with the lower wholesale shipments we discussed earlier in the year. Gross margin for the year was 16% compared to 17.8% in fiscal 2025, a decline of 180 basis points driven primarily by higher per unit material and labor costs. Adjusted EBITDA for the year was $73.9 million, a decrease of 1.1% and adjusted EBITDA margin was 8.1% compared to 9.3% in fiscal 2025. GAAP net income for the year decreased 88.8% to $1.7 million or $0.09 per diluted share, primarily reflecting the acquisition and integration-related expenses tied to Saxdor. Adjusted net income per share for the year was $1.52 on a weighted average share count of approximately 19.3 million shares. Turning to the balance sheet and cash flow. We ended the fiscal year with $74.4 million of cash and $165 million of long-term debt, giving us ample flexibility to support continued investment and return of capital to shareholders. For the full year, we generated $67.5 million from cash from operations, an increase of approximately $11 million year-over-year and invested $24.7 million in capital expenditures, resulting in free cash flow of approximately $43.2 million and roughly 58% of adjusted EBITDA. Subsequent to year-end, on July 10, we completed a refinancing of our credit facility, extending the maturity date to July of 2031 and enhancing our financial flexibility. The new structure includes a $100 million term loan facility alongside a $250 million revolving credit facility, replacing our $350 million revolving credit facility and adds multicurrency capability that directly supports our Saxdor European operations. This strengthens our liquidity position and gives us increased capacity to support our investment in the business, the Saxdor integration and disciplined growth opportunities. It was a proactive step that extends our duration and adds flexibility with no change in our capital allocation priorities. On capital allocation, during fiscal 2026, we completed a repurchase program for the year, buying back approximately 1.24 million shares for approximately $33.9 million at an average price of $27.34, which is well below where we trade today and our 200-day moving average. While we chose to pause our open market purchases during the lender negotiations, our Board authorized a new $70 million share repurchase program for fiscal 2027 in June, and we closed our refinancing in July. This reflects our confidence in the business and our continued commitment to returning capital to shareholders. Net leverage finished the year at approximately 1.2x and trends towards 1x on a pro forma basis, well inside our stated maximum of 2.5x even after financing the Saxdor acquisition. With that flexibility back in place, we remain opportunistic on capital allocation and well positioned to keep investing in the business as we move through fiscal 2027. Turning to our outlook for fiscal 2027. For the full fiscal year, we anticipate net sales of $1.080 billion to $1.120 billion and adjusted EBITDA of $101 million to $109 million. This returns us to a single consolidated outlook as we committed to in May and includes a full year ownership of Saxdor. Our guidance takes a prudent view of the industry retail demand given the macro backdrop in fiscal 2027 while still contemplating that MBI continues to outpace the broader powerboat market with low to mid-single-digit growth across our legacy brands and mid-teens growth at Saxdor. Following the investments we made into the brand over the last 4 months, we expect Saxdor segment's adjusted EBITDA margin to improve throughout the year as domestic manufacturing scales and this year's investment in the platform annualizes. More broadly, our outlook also reflects tariff costs embedded at the currently enacted rates and the pricing actions we have already in market. As always, reconciliations of our guidance measures are addressed in our earnings release. For the first quarter of fiscal 2027, we anticipate net sales of $255 million to $265 million and adjusted EBITDA of $14 million to $16 million. Please note, first half margins will be lower than the second half, primarily driven by our investment and ramp at Saxdor. To close, we delivered a strong finish to fiscal 2026 on both sides of the business. Our legacy operations executed with discipline through a demanding environment. The Saxdor integration is progressing well in its first 4 months, and we ended the year with a stronger balance sheet and renewed capacity to return capital to shareholders. With a refinanced credit facility, a new buyback authorization and a differentiated portfolio, we are well positioned to execute through fiscal 2027 and to capture the mid-cycle opportunity we framed for you at the Investor Day. With that, I'd like to open the call up for questions. Operator: [Operator Instructions] Our first question comes from Craig Kennison with Baird. Craig Kennison: A question on Saxdor. I appreciate the breakout, David. Wondering if you can maybe shed more light on the Saxdor impact on all of fiscal 2027 revenue and adjusted EBITDA guidance. David Black: Yes. Sure, Craig. So as we think about next year, having a full year's worth of Saxdor in the numbers -- the way that we're thinking about the top line is a growth rate in kind of the low teens on the revenue side of things and working to ramp up to that 10% to 11% range that we talked about on the EBITDA front. I think the first quarter, as you saw, will be a little bit weighted down just given the investment that we're making on the higher volumes that we're expecting through the remainder of the year. But if you take that piece and then consider our expectation for the legacy brands, which is around low single-digit to mid-single-digit growth on a year-over-year basis, that should give you the building blocks to see where our guidance is coming out for fiscal year '27. Craig Kennison: Could you just give me the base on which you expect to grow low teens revenue? David Black: Yes. So if you look at our year this year for Saxdor, we're looking at a $180 million number on a full year pro forma basis. Craig Kennison: Okay. Perfect. And then on Saxdor in Fort Pierce, I know you have a lot of capacity there and you plan to ramp production. What's the right level of unit production out of Fort Pierce for Saxdor when you're fully ramped? David Black: I think what we've said, Craig, in the past is that we could do upwards of 200-plus units out of that facility without any incremental CapEx investment. And so I think that will be our first goal post that we'll be working for. Obviously, mix has some determination associated with that, bigger boats take more space, but I think that's the original kind of number we were working with. Operator: Our next question comes from Joe Altobello with Raymond James. Joseph Altobello: I guess, first question on fiscal '27 and the outlook here. I appreciate the breakout between legacy and Saxdor. But could you tell us what you're thinking in terms of retail growth for the legacy business within that guidance? David Black: Yes. We're expecting the market to be flat to down next year. I think it's going to be a similar cadence to what we've seen this year where it's going to be a little softer in the first half and progressively getting closer to a flattish year as we move into the back half of that. And so as you think about kind of the year-over-year comp, that's kind of what we're baking into our guidance for next year. Joseph Altobello: Okay. And so if we think about the low to mid-single-digit growth for Malibu, it sounds like you're thinking all of that and then some is going to come from ASPs with volumes probably down a little bit. David Black: Part of it will be ASP, but part of it is also the destocking that we've had this year, right? So you're going to get some of that benefit back next year just as the market stabilizes as we move along. Joseph Altobello: Okay. But I guess in terms of volumes, in terms of absolute units, you think wholesale and retail roughly in line for this fiscal year? David Black: That's right. Joseph Altobello: Okay. And just one quick one on the input cost pressures you mentioned at Saxdor. Maybe talk about that a little bit more and why you didn't see that in the legacy business? David Black: I think we saw some of that in the legacy business. I think it was known. The centralized sourcing has been well underway. We've been able to offset a lot of that in kind of the legacy business. Obviously, one of the work streams that we are focused on, on the integration side of things is the sourcing component as it relates to Saxdor. So we'll continue to focus on that and start to see some of those benefits, albeit later in the year. Operator: Our next question comes from Mike Albanese with StoneX. Michael Albanese: Can we just look up the hood a little bit more on Cobalt? Volumes up 19%. Can you just remind us, were we comping some production cuts in that segment? Or is this kind of results of some of your initiatives within MBI Advantage? What's kind of underlying that volume growth? David Black: Yes. I think, obviously, we did take production down in the prior year as we are managing through dealer inventory. But that brand continues to perform well from a market share perspective. And so you're seeing some of that translate through as the retail has continued to be strong and the demand is there for those brands. Michael Albanese: Got it. Okay. And then can we just bifurcate a little bit on the margin improvement regarding kind of some of the maybe absorption leverage with some of your volumes being up here versus your centralized sourcing and kind of procurement initiatives and things of that nature? David Black: Yes. I mean as you think about it for the quarter, I would say it's about half and half, right, as you think about the breakout, right? There's some volume leverage that you're getting just by just kind of the pure units piece of that, but then also as we think about the centralized sourcing and it running through the P&L that's been sitting on the inventory side of things. That's how I would characterize it for the quarter. Operator: Our next question comes from Gregory Miller with TRUIST. Gregory Miller: First, I'd like to ask about Saxdor. Have you made any changes to the plant operations in Finland and Poland from your due diligence post ownership? Steven Menneto: No, Greg, we haven't made any planned changes. We're still manufacturing in Poland and in Larsmo. We've introduced the 460 production. So of course, standing up a large boat such as that and with the amount of orders that we have, we're working hard to be able to satisfy those. And as we've said before, the Fort Pierce is -- I guess you can consider that a new operating line, but we're well underway in that integration work stream and already down the path of doing pilot boats. So we're on schedule for that. So no major changes to the production side of Saxdor. Gregory Miller: Okay. Switching gears, you mentioned in the earnings release about firming dealer inventory levels in pockets of the portfolio specific to cobalt and saltwater fishing. And I was hoping if you could elaborate on what you're seeing lately in trends. David Black: Yes. I mean on inventory as a whole, I think as the year progressed, inventories have decreased on a year-over-year basis. What's very important is kind of the health of that inventory and aged inventory across the portfolio, all of the portfolio is in one of the best spots that we've seen in some time. So there's not a ton of inventory that we're concerned out there that's going to have to be cleared because of aging and required promotional dollars. We're feeling pretty good about where we're landing at this time of the year. Operator: Our next question comes from Anna Glaessgen with B. Riley. Anna Glaessgen: First, I'd like to follow up on Greg's question on dealer inventory. It seems like we're in a much healthier place than maybe entering the prior fiscal year. But as we look to '27, are we assuming that wholesale and retail are fairly aligned with maybe some pockets for restocking given how depleted inventories got in certain areas? David Black: Yes. I mean I think as we move along through the year, yes, Anna, I think the market, we expect some softness still to be in that first half of the year. So I think by the end of the year, yes, we're in a kind of matching retail to wholesale environment as we progress along. Anna Glaessgen: Got it. And then I wanted to ask on margin in 4Q here, pretty meaningful step down or a step down in selling and marketing sequentially despite a ramp in sales. Is that a function of Saxdor being layered on? Do they have a lower selling and marketing percentage of sales than the legacy business? And should we expect leverage throughout the year there as that business is layered on? David Black: Yes, a couple of things there. Yes, some of that is kind of the leverage by incremental store revenue that we have included into the mix. But then also as we think about the drivers that we talked about in the earnings release, we did see lower compensation and just program-related expenses as well. And so I think the run rate that you see kind of in that Q4 is a relatively consistent one that you would expect to see carry forward as we move along. Operator: Our next question comes from Noah Zatzkin with KeyBanc Capital. Noah Zatzkin: I guess, first, any anecdotes or green shoots you could share in terms of MBI Acceptance uptake where it's available? Are you seeing you convert incremental payment buyers versus prior? Steven Menneto: Yes. What we're seeing is momentum behind that. The dealers are really accepting that and using it to retail boats. So we are seeing on the payment side, we're seeing momentum in the number of applications coming in, as we stated in our remarks, even when it's nonpromotional, it's still a tool that's being used and it's still a tool that helps the payment buyer be able to enter the market with one of our boats. So we're happy with where the program is going so far, and it's basically still only 9 months in existence. Noah Zatzkin: Is there any way to kind of frame whether it's like innings or percentage of kind of dealers that's available? Steven Menneto: I'm not sure. So the percentage of dealers that are utilizing it or kind of repeat that question? Noah Zatzkin: Yes. Steven Menneto: Yes. So we're signing on our dealers. So we're not at 100% of the dealer base across all of our brands. So we're continuing to work that and get all the dealers onto the program. Again, the dealers themselves have multiple tools that they can utilize for the buyer. And so we continue to sell this tool into our dealer base. So more work to be done. We're probably 1/3 of the way to 40% of the way there on getting our dealer base signed up. David Black: Yes. Maybe the only thing I'd add there is we are seeing that it's touching on that lower price point. And so as you think about the dealer makeup, it's going to be those dealers that carry the kind of lower price point brands that we offer today. So hopefully, that's helpful context. Noah Zatzkin: Yes. Very helpful. Maybe just one more, and this is kind of a longer-dated question, but how are you thinking about the opportunity to grow legacy MBI brands in Europe? And kind of where are you today? Steven Menneto: Yes. We're excited about the opportunity of growing our legacy brands. So where we sit today, international retail for us and shipments are below 5% historically. And now with Saxdor, I think we said before, we're going to kind of take a first step, let's try to sell boats that are manufactured in the States internationally at a higher pace than 5%. And then eventually, as we build that business and Saxdor's greater dealer network who have already been inquiring about carrying our legacy brands, how do we build that up? And eventually, if there's enough volume there, should we manufacture in Europe? That's way down the line, but it's an opportunity that we are looking at. Operator: Our next question comes from Jaime Katz with Morningstar. Jaime Katz: I'm hoping you guys will maybe elaborate a little bit more on the order of your capital allocation priorities just between return to shareholders through share buybacks or other investment opportunities, be it acquisitions or white space expansion. David Black: Yes, this is David. Yes, no real change there. I think our priorities are the same. We're going to continue to invest in the business. Obviously, we have some debt on the balance sheet now, so we'll pay that down as we have free cash flow as well. But also, we're going to -- as the share price and we're going to be opportunistic and where we think the intrinsic value is, we'll always consider that as one of our priorities. And then finally, M&A, but disciplined M&A. The bar is high, especially when you think about the context of all the other priorities that I just listed for you. So no real change. What I would tell you is we're not going to look at one thing individually, and we showed that this year. We completed one of the largest acquisitions that we had in our history. We've refinanced our debt, and we also returned -- repurchased 1.2 million shares to our -- returning shares -- returning value to our shareholders. So as you can see, we'll continue to keep that same philosophy as we move forward. Jaime Katz: Okay. And then can you give us a little insight as to what you are incorporating for input cost inflation? It seems like in some of the earnings calls that have recently occurred that inflation is ticking up. And I am wondering what percentage you guys are like thinking about as you think about what rolls into your EBITDA outlook? David Black: Yes. Right now, embedded, we're in that low to mid-single-digit range from an input cost perspective. Obviously, that's -- there's a lot of determining factors and things change on a daily basis, it feels like, but that's kind of what we're assuming at this point given the information we have in front of us. Operator: Our next question comes from Gerrick Johnson with Seaport Research Partners. Gerrick Johnson: You discussed Saxdor EBITDA margins and mentioned they were a little bit lower because of the build-out for Pierce. Is that because it's more expensive than you thought or happening earlier than you thought? Or am I just off on that? David Black: Yes. No, it's just more earlier. We're speeding up the process, right? And so we're taking the position that we need to invest now because there is enough demand out there that we want to be able to capture. And so that's more of it. It is more of a timing thing there, Gerrick, than anything. Gerrick Johnson: Okay. And then on Fort Pierce, do you have any metrics for us perhaps how much more quickly you can get a boat to market or perhaps how much more profitable each boat could be coming out of Fort Pierce going to the U.S.? Steven Menneto: Not yet, Gerrick. It's pretty early. I mean we're just running pilot boats in this building. I was down there 2 weeks ago with the team when we did the initial builds. And so a lot of that is being worked out, standard work, setting up stations and so on. Until that's all completed, we won't really have dialed in numbers on what the costs are and the advantages. So more to come on that. But like David says, we're trying to go faster than what we had in the plan, and that's what's driving a little bit of the early costs. Gerrick Johnson: Got you. Okay. If I could just ask one more. You mentioned optimizing the dealer network, I think it was in the press release. What have you guys done recently in the dealer network to optimize it? Steven Menneto: Yes. When we talk about that, it's tools that we deliver to the dealer network, how we support them when we talk about optimization. So we have our co-op program, we have our financing program. We're changing the way we do some of our marketing and trying to drive support with our dealer base. So when we talk about optimization, it's a lot about how do we support the retail on an ongoing basis and what tools they need to be successful. Gerrick Johnson: Okay. Great. I wasn't sure if it meant you're expanding the dealer network, consolidating, but this is good. Operator: I'm not showing any further questions at this time. This concludes today's conference call. Thank you for participating. You may now disconnect. Before you buy stock in Malibu Boats, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Malibu Boats wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $440,710!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,335,252!* That performance is why people listen. With a track record of beating the S&P 500 by nearly 5x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 31, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Malibu Boats (MBUU) Q4 2026 Earnings Call Transcript was originally published by The Motley Fool

Malibu Boats (MBUU) came out with quarterly earnings of $0.82 per share, beating the Zacks Consensus Estimate of $0.75 per share. This compares to earnings of $0.42 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +9.33%. A quarter ago, it was expected that this maker of performance sports boats would post earnings of $0.29 per share when it actually produced earnings of $0.56, delivering a surprise of +93.1%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Malibu Boats, which belongs to the Zacks Leisure and Recreation Products industry, posted revenues of $295.54 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 12.39%. This compares to year-ago revenues of $207.04 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Malibu Boats shares have lost about 5.6% since the beginning of the year versus the S&P 500's gain of 12.1%. While Malibu Boats has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Malibu Boats was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.26 on $246.87 million in revenues for the coming quarter and $2.36 on $1.11 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Leisure and Recreation Products is currently in the top 42% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. American Outdoor Brands, Inc. (AOUT), another stock in the same industry, has yet to report results for the quarter ended July 2026. The results are expected to be released on September 3. This company is expected to post quarterly loss of $0.24 per share in its upcoming report, which represents a year-over-year change of +7.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. American Outdoor Brands, Inc.'s revenues are expected to be $35.64 million, up 20% from the year-ago quarter. (We are reissuing this article to correct a mistake. The original article, issued on August 27, 2026, should no longer be relied upon.) Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Malibu Boats, Inc. (MBUU) : Free Stock Analysis Report American Outdoor Brands, Inc. (AOUT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

For the quarter ended June 2026, Malibu Boats (MBUU) reported revenue of $295.54 million, up 42.7% over the same period last year. EPS came in at $0.82, compared to $0.42 in the year-ago quarter. The reported revenue compares to the Zacks Consensus Estimate of $262.97 million, representing a surprise of +12.39%. The company delivered an EPS surprise of +9.33%, with the consensus EPS estimate being $0.75. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Malibu Boats performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Unit Volume by Segment - Malibu: 556 versus the two-analyst average estimate of 490. Unit Volume by Segment - Cobalt: 390 versus the two-analyst average estimate of 328. Unit Volume by Segment - Total: 1,456 compared to the 1,290 average estimate based on two analysts. Unit Volume by Segment - Saxdor: 180 versus 160 estimated by two analysts on average. Unit Volume by Segment - Saltwater Fishing: 330 compared to the 313 average estimate based on two analysts. Revenue by product- Malibu: $82.91 million versus the two-analyst average estimate of $75.4 million. The reported number represents a year-over-year change of +3.2%. Revenue by product- Saxdor: $61.17 million compared to the $58.35 million average estimate based on two analysts. Revenue by product- Cobalt: $70.53 million compared to the $55.8 million average estimate based on two analysts. The reported number represents a change of +31.1% year over year. Revenue by product- Saltwater Fishing: $80.94 million compared to the $73.35 million average estimate based on two analysts. The reported number represents a change of +11% year over year. View all Key Company Metrics for Malibu Boats here>>> Shares of Malibu Boats have returned -4.6% over the past month versus the Zacks S&P 500 composite's +3.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. (We are reissuing this article to correct a mistake. The original article, issued on August 27, 2026, should no longer be relied upon.) Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Malibu Boats, Inc. (MBUU) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Board Authorizes Fiscal 2027 Share Repurchase Program of $70 Million LOUDON, Tenn., Aug. 31, 2026 (GLOBE NEWSWIRE) -- This correction is limited to the Company's non-GAAP Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Income Before Taxes, Adjusted Net Income and related per-share measures for the fiscal fourth quarter, three-month period ended June 30, 2026. It does not affect the Company's previously reported GAAP net sales, gross profit, operating income, net income, or net income per share for the fiscal fourth quarter period or previously issued year-to-date results, nor does it affect non-GAAP Adjusted results for the year-to-date period ended June 30, 2026. Those non-GAAP corrections are isolated to acquisition and integration related expenses, which for the fiscal fourth quarter three month period ended June 30, 2026 previously reported in the press release dated August 27, 2026 should be $4,145 (instead of $6,698). As a result, for the three months ended June 30, 2026, Adjusted EBITDA (in thousands) should be $31,393 (instead of $33,946), Adjusted EBITDA Margin should be 10.6% (instead of 11.5%), Adjusted Income Before Taxes (in thousands) should be $20,683 (instead of $23,236), Income Tax Expense on Adjusted Income Before Income Taxes (in thousands) should be $4,695 (instead of $5,275), Adjusted Net Income (in thousands) should be $15,988 (instead of $17,961), Adjusted Income Before Taxes Per Share should be $1.06 (instead of $1.19), Income Tax Expense on Adjusted Income Before Income Taxes Per Share should be $0.24 (instead of $0.27), and Adjusted Net Income Per Share should be $0.82 (instead of $0.92). The updated press release reads: Malibu Boats, Inc. (Nasdaq: MBUU) announced its financial results for the fourth quarter and fiscal year ended June 30, 2026. Fourth Quarter Fiscal 2026 Highlights Compared to Fourth Quarter Fiscal 2025 Net sales increased 42.7% to $295.5 million Unit volume increased 19.2% to 1,456 units Gross profit increased 59.4% to $52.2 million General and administrative expenses increased to $31.8 million GAAP net income increased 53.7% to $7.4 million GAAP net income available to Class A Common Stock per share (diluted) increased 54.2% to $0.37 per share Adjusted EBITDA increased 59.7% to $31.4 million Adjusted net income per share increased 95.2% to $0.82 per share on a weighted average share count of 19.7 million shares of Class A Common Stock Cash flows provided by operating activities increased 28.1% to $27.0 million Free cash flow increased 19.3% to $17.0 million Fiscal Year 2026 Highlights Compared to Fiscal Year 2025 Net sales increased 13.3% to $914.6 million Unit volume increased 0.9% to 4,944 units Gross profit increased 1.7% to $146.5 million General and administrative expenses increased to $105.1 million GAAP net income decreased 88.8% to $1.7 million GAAP net income available to Class A Common Stock per share (diluted) decreased 88.2% to $0.09 per share Adjusted EBITDA decreased 1.1% to $73.9 million Adjusted net income per share decreased 3.8% to $1.52 on a weighted average share count of 19.3 million shares of Class A Common Stock Cash flows provided by operating activities increased 19.5% to $67.5 million Free cash flow increased 48.3% to $43.2 million Steve Menneto, President and Chief Executive Officer of Malibu Boats, Inc., commented, "Fiscal 2026 demonstrated the power of our strategic execution. We delivered a strong finish to the year, driven by better than expected net sales, disciplined cost management, dealer network optimization, and the successful integration of Saxdor in our first four months with the business. We also invested meaningfully in innovation as our Model Year 2026 lineup added eleven new models across the portfolio that brought new features as well as value to our product line. The Saxdor integration is progressing well, with the completion of our first domestically-built Saxdor boats at our Fort Pierce, Florida facility expected in the first half of fiscal 2027. While we're seeing early signs of stabilization across the industry, we are contending with macro disruptions that continue to pressure the payment buyer, which presents a near-term headwind to an inflection in the cycle. That said, we like how we're positioned relative to the industry heading into fiscal 2027 and expect to build on the momentum we established, while remaining intentional about our outlook until we see more durable evidence of a broader recovery." David Black, Chief Financial Officer of Malibu Boats, Inc., added, "We closed the year with a strong balance sheet and began our new fiscal year with the completion of our credit agreement refinancing, which extends our maturity through 2031 and gives us added liquidity and flexibility. Our leverage remains well below our stated maximum target, even after financing the Saxdor acquisition. While we chose to pause our open market purchases during our lender negotiations, the Board authorized a new $70 million share repurchase program for fiscal 2027 in June, and we closed our refinancing in July, underscoring our confidence in the business and our commitment to returning capital to shareholders. With that flexibility now in place, we remain opportunistic on capital allocation and are well positioned to keep investing in the business as we move through fiscal 2027." Results of Operations for the Fourth Quarter and Fiscal Year 2026 (Unaudited) Comparison of the Fourth Quarter Ended June 30, 2026 to the Fourth Quarter Ended June 30, 2025 Net sales for the three months ended June 30, 2026 increased $88.5 million, or 42.7%, to $295.5 million, compared to the three months ended June 30, 2025. The increase in net sales was driven primarily by $61.2 million of revenue from the new Saxdor segment due to the recent acquisition, increased unit volumes in our Cobalt and Saltwater segments, a favorable model mix across all three existing segments, and year-over-year price increases, partially offset by decreased unit volumes in our Malibu segment. Unit volume for the three months ended June 30, 2026 increased 235 units, or 19.2%, to 1,456 units compared to the three months ended June 30, 2025. Our unit volume increased primarily due to an additional 180 units contributed by Saxdor as well as increased unit volume in our Cobalt and Saltwater segments, partially offset by decreased unit volumes in our Malibu segment. Net sales attributable to our Malibu segment increased $2.6 million, or 3.2%, to $82.9 million for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Unit volumes attributable to our Malibu segment decreased 14 units, or 2.5%, for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, primarily due to lower wholesale shipments driven by lower retail activity. The increase in net sales was driven by a favorable model mix and year-over-year price increases, partially offset by a decrease in units. Net sales attributable to our Saltwater Fishing segment increased $8.1 million, or 11.1%, to $80.9 million, for the three months ended June 30, 2026, compared to the three months ended June 30, 2025. Unit volumes increased 7 units, or 2.2% for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, primarily due to higher wholesale shipments as a result of firming dealer inventory levels in pockets of the portfolio. The increase in net sales was driven by an increase in units, a favorable model mix and year-over-year price increases. Net sales attributable to our Cobalt segment increased $16.7 million, or 31.0%, to $70.5 million for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Unit volumes attributable to Cobalt increased 62 units, or 18.9% for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, primarily due to higher wholesale shipments as a result of firming dealer inventory levels in pockets of the portfolio. The increase in net sales was driven by an increase in units, a favorable model mix and year-over-year price increases. Net sales attributable to our Saxdor segment were $61.2 million for the three months ended June 30, 2026. Unit volumes were 180 units for the three months ended June 30, 2026. Overall consolidated net sales per unit increased 19.7% to $202,979 per unit for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Net sales per unit for our Malibu segment increased 5.8% to $149,110 per unit for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, driven by a favorable model mix and year-over-year price increases. Net sales per unit for our Saltwater Fishing segment increased 8.7% to $245,267 for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, driven by a favorable model mix and year-over-year price increases. Net sales per unit for our Cobalt segment increased 10.2% to $180,841 per unit for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, driven by favorable model mix and year-over-year price increases. For the three months ended June 30, 2026, net sales per unit for our Saxdor segment were $339,811. Cost of sales for the three months ended June 30, 2026 increased $69.0 million, or 39.6%, to $243.3 million as compared to the three months ended June 30, 2025. The increase in cost of sales was primarily driven by cost of sales from the new Saxdor segment due to the recent acquisition, a 19.2% increase in units, a more expensive model mix across all three existing segments and inflationary pressures. In the Malibu, Saltwater Fishing and Cobalt segments, per unit material and labor costs were a net increase of $0.1 million, $6.4 million, and $3.3 million, respectively, driven by inflationary pressures and an increased mix of models that corresponded with higher net sales per unit. Gross profit for the three months ended June 30, 2026 increased $19.5 million, or 59.4%, to $52.2 million compared to the three months ended June 30, 2025. The increase in gross profit was driven primarily by higher net sales, partially offset by increased cost of sales for the reasons noted above. Gross margin for the three months ended June 30, 2026 increased 190 basis points from 15.8% to 17.7%, driven by an increased mix of models that carry a higher gross margin. Selling and marketing expenses for the three months ended June 30, 2026 increased $1.4 million, or 25.7%, to $6.8 million compared to the three months ended June 30, 2025. The increase was driven primarily by higher personnel-related expenses and an incremental increase due to the new Saxdor segment. As a percentage of sales, selling and marketing expenses decreased 30 basis points to 2.3% for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025. General and administrative expenses for the three months ended June 30, 2026 increased $12.9 million, or 68.8%, to $31.8 million as compared to the three months ended June 30, 2025. The increase in general and administrative expenses was driven primarily by acquisition related expenses incurred due to the Saxdor acquisition, an incremental increase due to the new Saxdor segment and increases in incentive pay. As a percentage of sales, general and administrative expenses increased 170 basis points to 10.8% for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Amortization expense for the three months ended June 30, 2026 increased $2.6 million to $4.3 million for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025. The increase was due to the additional intangibles acquired from the Saxdor acquisition. Operating income for the three months ended June 30, 2026 increased to $9.3 million from $6.8 million for the three months ended June 30, 2025. Net income for the three months ended June 30, 2026 increased 53.7% to a net income of $7.4 million from $4.8 million and net income margin increased to 2.5% from 2.3% for the three months ended June 30, 2025. Adjusted EBITDA for the three months ended June 30, 2026 increased 59.7% to $31.4 million from $19.7 million, while Adjusted EBITDA margin increased to 10.6% from 9.5% for the three months ended June 30, 2025. Comparison of the Fiscal Year Ended June 30, 2026 to the Fiscal Year Ended June 30, 2025 Net sales for fiscal year 2026 increased $107.0 million, or 13.3%, to $914.6 million, compared to fiscal year 2025. The increase in net sales was driven primarily by $84.3 million of revenue from the new Saxdor segment due to the recent acquisition, a favorable model mix across all three existing segments and year-over-year price increases, partially offset by decreased unit volumes across all three existing segments resulting primarily from lower wholesale shipments. Unit volume for fiscal year 2026 increased 46 units, or 0.9%, to 4,944 units compared to fiscal year 2025. Our unit volume increased primarily due to an additional 246 units contributed by Saxdor, partially offset by lower wholesale shipments across all three existing segments driven by lower retail activity. Net sales attributable to our Malibu segment increased $0.2 million, or 0.1%, to $312.9 million for fiscal year 2026 compared to fiscal year 2025. Unit volumes attributable to our Malibu segment decreased 73 units for fiscal year 2026 compared to fiscal year 2025, primarily due to lower wholesale shipments driven by lower retail activity during the period. The increase in net sales was primarily driven by a favorable model mix and year-over-year price increases, partially offset by a decrease in units. Net sales attributable to our Saltwater Fishing segment increased $4.4 million, or 1.6%, to $284.0 million for fiscal year 2026 compared to fiscal year 2025. Unit volumes decreased 53 units for fiscal year 2026 compared to fiscal year 2025, primarily due to lower wholesale shipments driven by lower retail activity during the period. The increase in net sales was driven by a favorable model mix and year-over-year price increases, partially offset by a decrease in units. Net sales attributable to our Cobalt segment increased $18.1 million, or 8.4%, to $233.4 million for fiscal year 2026 compared to fiscal year 2025. Unit volumes attributable to Cobalt decreased 74 units for fiscal year 2026 compared to fiscal year 2025, primarily due to lower wholesale shipments driven by lower retail activity and our dealers' desire to hold less inventory. The increase in net sales was driven primarily by a favorable model mix and year-over-year price increases, partially offset by a decrease in units. Since our acquisition on March 2, 2026, net sales and unit volume attributable to our Saxdor segment were $84.3 million and 246 units, respectively for the year ended June 30, 2026. Overall consolidated net sales per unit increased 12.2% to $184,990 per unit for fiscal year 2026 compared to fiscal year 2025. Net sales per unit for our Malibu segment increased 3.5% to $145,538 per unit for fiscal year 2026 compared to fiscal year 2025, driven by a favorable model mix and year-over-year price increases, partially offset by increased dealer incentive costs per unit. Net sales per unit for our Saltwater Fishing segment increased 6.0% to $234,135 per unit for fiscal year 2026 compared to fiscal year 2025, driven by a favorable model mix and year-over-year price increases, partially offset by increased dealer incentive costs per unit. Net sales per unit for our Cobalt segment increased 14.4% to $174,812 per unit for fiscal year 2026 compared to fiscal year 2025, driven by favorable model mix and year-over-year price increases. Since our acquisition on March 2, 2026, net sales per unit for our Saxdor segment was $342,695. Cost of sales for fiscal year 2026 increased $104.6 million, or 15.8%, to $768.1 million compared to fiscal year 2025. The increase in cost of sales was primarily driven by cost of sales from the new Saxdor segment due to the recent acquisition and higher per unit material and labor costs for the Malibu, Saltwater Fishing, and Cobalt segments. In the Malibu segment, per unit material and labor costs increased by $10.9 million driven by a more expensive model mix that corresponded with higher net sales per unit and inflationary pressures. In the Saltwater Fishing segment, per unit material and labor costs increased $16.9 million driven by a more expensive model mix that corresponded with higher net sales per unit and inflationary pressures. In the Cobalt segment, per unit material and labor costs increased $21.9 million driven by a more expensive model mix that corresponded with higher net sales per unit and inflationary pressures. Gross profit for fiscal year 2026 increased $2.4 million, or 1.7%, compared to fiscal year 2025. The increase in gross profit was driven primarily by higher net sales, partially offset by increased cost of sales for the reasons noted above. Gross margin for fiscal year 2026 decreased 180 basis points from 17.8% to 16.0% driven primarily by higher per unit material and labor costs. General and administrative expense for fiscal year 2026 increased $12.7 million, or 13.7%, to $105.1 million compared to fiscal year 2025. The increase in general and administrative expenses was primarily driven by acquisition related expenses incurred due to the Saxdor acquisition, an incremental increase due to the new Saxdor segment and increases in incentive pay and salaries, partially offset by a $3.5 million legal settlement in fiscal year 2025 along with decreased legal fees. As a percentage of sales, general and administrative expenses increased 10 basis points to 11.5% for fiscal year 2026 compared to 11.4% for fiscal year 2025. Selling and marketing expense for fiscal year 2026 increased $4.4 million, or 19.1% to $27.5 million compared to fiscal year 2025. The increase was driven primarily by higher personnel-related expenses and marketing events and an incremental increase due to the new Saxdor segment. As a percentage of sales, selling and marketing expense increased 10 basis points to 3.0% for fiscal year 2026 compared to 2.9% for fiscal year 2025. Amortization expense for fiscal year 2026 increased $4.0 million to $10.8 million due to the additional intangibles acquired from the Saxdor acquisition. Operating income for fiscal year 2026 decreased to $3.1 million from $21.8 million for fiscal year 2025. Net income for fiscal year 2026 decreased 88.8% to $1.7 million from $15.2 million and net income margin decreased to 0.2% for fiscal year 2026 from 1.9% for fiscal year 2025. Adjusted EBITDA for fiscal year 2026 decreased 1.1% to $73.9 million from $74.8 million, while Adjusted EBITDA margin decreased to 8.1% for fiscal year 2026 from 9.3% for fiscal year 2025. Balance Sheet, Cash Flow and Capital Allocation As of June 30, 2026, the Company had $74.4 million of cash and $165.0 million of long-term debt, providing ample flexibility to support continued investment and the return of capital to shareholders. As previously announced, on July 10, 2026, the Company successfully completed a refinancing of its credit facility extending the maturity date to July 2031 and enhancing its financial flexibility. The new structure includes a $100.0 million term loan facility alongside a $250.0 million revolving credit facility, replacing the prior $350.0 million revolving facility. The refinancing strengthens the Company's liquidity position and provides continued flexibility through an extended maturity to support continued investment in the business, Saxdor integration, and disciplined growth opportunities. While the Company paused its share repurchase activities during the refinancing negotiations, the Board of Directors authorized a new $70 million share repurchase program for Fiscal 2027 in June 2026, reflecting strong confidence in the business and the Company's commitment to returning capital to shareholders while maintaining balance sheet strength. For the full fiscal year ended June 30, 2026, the Company generated $67.5 million of cash from operations and invested $24.7 million in capital expenditures. Free cash flow was approximately $43.2 million, including nominal impacts from proceeds received on the sale of property, plant and equipment. Fiscal 2027 Guidance For the full fiscal year 2027, Malibu anticipates net sales in the range of $1.08 billion to $1.12 billion year-over-year, and Adjusted EBITDA ranging from $101 million to $109 million. The Company has not provided reconciliations of guidance for Adjusted EBITDA, in reliance on the unreasonable efforts exception provided under Item 10(e)(1)(i)(B) of Regulation S-K. The Company is unable, without unreasonable efforts, to forecast certain items required to develop meaningful comparable GAAP financial measures. These items include costs related to the Company’s vertical integration initiatives, acquisition integration initiatives, stock-based compensation expense and litigation expenses that are difficult to predict in advance in order to include in a GAAP estimate. Webcast and Conference Call Information The Company held a webcast and conference call to discuss fourth quarter and fiscal year 2026 results on Thursday, August 27, 2026, at 8:30 a.m. Eastern Time. A replay of the webcast will also be archived on the Company’s website for twelve months at http://investors.malibuboats.com. About Malibu Boats, Inc. Based in Loudon, Tennessee, Malibu Boats, Inc. (MBUU) is a leading designer, manufacturer and marketer of a diverse range of recreational powerboats, including performance sport boats, sterndrive boats, outboard boats, and premium adventure dayboats. Malibu Boats, Inc. is among the market leaders in the performance sport boat category through its Malibu and Axis boat brands, among the market leaders in the 20’ - 40’ segment of the sterndrive boat category through its Cobalt brand, and among the market leaders in the fiberglass outboard fishing boat market with its Pursuit and Maverick Boat Group brands, and among the market leaders in the premium adventure dayboat emerging market with its Saxdor brand. A pre-eminent innovator in the powerboat industry, Malibu Boats, Inc. designs products that appeal to an expanding range of recreational boaters, fishermen and water sports enthusiasts whose passion for boating is a key component of their active lifestyles. For more information, visit www.malibuboats.com, www.axiswake.com, www.cobaltboats.com, www.pursuitboats.com, www.maverickboatgroup.com, or www.saxdoryachts.com. Non-GAAP Financial Measures This release includes the following financial measures defined as non-GAAP financial measures by the Securities and Exchange Commission: Adjusted EBITDA, Adjusted EBITDA margin, adjusted net income, adjusted net income per share, and Free Cash Flow. These measures have limitations as analytical tools and should not be considered as an alternative to, or more meaningful than, net income as determined in accordance with U.S. generally accepted accounting principles (“GAAP”) or as an indicator of our liquidity. Our presentation of these non-GAAP financial measures should also not be construed as an inference that our results will be unaffected by unusual or non-recurring items. Our computations of these non-GAAP financial measures may not be comparable to other similarly titled measures of other companies. We define Adjusted EBITDA as net income before interest expense, income taxes, depreciation, amortization, and non-cash, non-operating expenses, or other expenses that we do not believe are indicative of our ongoing expenses, including litigation settlements, acquisition and integration related expenses, adjustment to earnout liability, certain professional fees, non-cash compensation expense and adjustments to our tax receivable agreement liability. We define Adjusted EBITDA margin as Adjusted EBITDA divided by net sales. Adjusted EBITDA and Adjusted EBITDA margin are not measures of net income as determined by GAAP. Management believes Adjusted EBITDA and Adjusted EBITDA margin allow investors to evaluate our operating performance and compare our results of operations from period to period on a consistent basis by excluding items that management does not believe are indicative of our core operating performance. Management uses Adjusted EBITDA to assist in highlighting trends in our operating results without regard to our financing methods, capital structure and non-recurring or non-operating expenses. We exclude the items listed above from net income in arriving at Adjusted EBITDA because these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, capital structures, the methods by which assets were acquired and other factors. Adjusted EBITDA has limitations as an analytical tool and should not be considered as an alternative to, or more meaningful than, net income as determined in accordance with GAAP or as an indicator of our liquidity. Certain items excluded from Adjusted EBITDA are significant components in understanding and assessing a company’s financial performance, such as a company’s cost of capital and tax structure, as well as the historical costs of depreciable assets. Adjusted net income per share is a non-GAAP financial measure that is used and disclosed by management in order to give management and its investors and analysts a more accurate picture of our underlying earnings performance. Adjusted net income per share, excludes items that management does not believe are indicative of our core operating performance. We define adjusted net income per share as net income attributable to Malibu Boats, Inc. per share, excluding income tax expense, and non-cash, non-operating expenses, or other expenses that we do not believe are indicative of our ongoing expenses, litigation settlements, acquisition related amortization, acquisition and integration related expenses, adjustment to earnout liability, certain professional fees and non-cash compensation expense, and reflecting an adjustment for income tax expense on adjusted income before income taxes at our estimated effective income tax rate. We exclude the items listed above from net income per share in arriving at adjusted net income per share because these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, the methods by which assets were acquired and other factors. Adjusted net income per share has limitations as an analytical tool and should not be considered as an alternative to, or more meaningful than, net income per share as determined in accordance with GAAP or as an indicator of our liquidity. Certain items excluded are significant components in understanding and assessing a company’s financial performance. Our presentation of adjusted net income per share should not be construed as an inference that our results will be unaffected by unusual or non-recurring items. Our computation of this measure may not be comparable to other similarly titled measures of other companies. A reconciliation of our net income as determined in accordance with GAAP to Adjusted EBITDA and a reconciliation of net income per share attributable to Malibu Boats, Inc. as determined in accordance with GAAP to adjusted net income per share is provided under "Reconciliation of Non-GAAP Financial Measures". We define Free Cash Flow as net cash provided by operating activities, plus cash used for capital expenditures and plus proceeds from the sale of property plant and equipment. Free Cash Flow has limitations as an analytical tool and should not be considered as an alternative to, or more meaningful than, net cash provided by operating activities as determined in accordance with GAAP or as an indicator of our liquidity. Our computation of this measure may not be comparable to other similarly titled measures of other companies. A reconciliation of our net cash provided by operating activities as determined in accordance with GAAP to Free Cash Flow is provided under "Reconciliation of Non-GAAP Financial Measures". Cautionary Statement Concerning Forward Looking Statements This press release includes forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Forward-looking statements can be identified by such words and phrases as “believes,” “anticipates,” “expects,” “intends,” “estimates,” “may,” “will,” “should,” “continue” and similar expressions, comparable terminology or the negative thereof, and includes statements in this press release regarding our expectation that the first domestically-built Saxdor boats will be completed in our Fort Pierce, Florida facility in the first half of fiscal 2027; our expectation that macro disruptions will present a near-term headwind to an industry inflection; our expectation of building on our fiscal 2026 momentum in fiscal 2027; our plans for capital allocation, the Saxdor integration and continued investment in the business in fiscal 2027; and our guidance for fiscal year 2027 net sales and Adjusted EBITDA. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, including, but not limited to: our large fixed-cost base; our ability to execute our manufacturing strategy or accurately forecast demand for our products; our third-party suppliers’ increased costs or inability to adjust for our required production levels; our dependence on a small group of suppliers for components; our ability to meet our manufacturing workforce needs; our dependence on key management employees; our ability to grow our business through acquisitions and integrate such acquisitions to fully realize their expected benefits, including our recent acquisition of Saxdor; our growth strategy which may require us to secure significant additional capital; our ability to enhance existing products and develop and market new or enhanced products; compromises to information technology systems or those of third parties with whom we work or our data; difficulties presented by international economic, political, legal, and business factors; general economic conditions; risks and requirements related to transacting business in foreign countries; the continued strength and positive perception of our brands; increased consumer preference for used boats, electric boats, alternative fuel-powered boats or the supply of new boats by competitors in excess of demand; an increase in energy and fuel costs; the seasonality of our business; competition within our industry; inflation and heightened interest rates; our dependence on our network of independent dealers and increasing competition for dealers; the financial health of our dealers and their continued access to financing; our obligation to repurchase inventory of certain dealers; our exposure to risks associated with litigation, investigation and regulatory proceedings; an impairment in the carrying value of goodwill, trade names and other long-lived assets; significant product repair and/or replacement costs due to product warranty claims or product recalls; risks inherent in changes to U.S. trade policy, tariffs and import/export regulations; any failure to comply with laws and regulations including environmental, workplace safety and other regulatory requirements; our dependence upon distributions from the LLC for any cash obligations of Malibu Boats, Inc.; covenants in our credit agreement governing our revolving credit facility which may limit our operating flexibility; interest rate risk from our variable rate indebtedness; our obligation to make certain payments under a tax receivable agreement; and other factors affecting us detailed from time to time in our filings with the Securities and Exchange Commission. Many of these risks and uncertainties are outside our control, and there may be other risks and uncertainties which we do not currently anticipate because they relate to events and depend on circumstances that may or may not occur in the future. Although we believe that the expectations reflected in any forward-looking statements are based on reasonable assumptions at the time made, we can give no assurance that our expectations will be achieved. Undue reliance should not be placed on these forward-looking statements, which speak only as of the date hereof. We undertake no obligation (and we expressly disclaim any obligation) to update or supplement any forward-looking statements that may become untrue because of subsequent events, whether because of new information, future events, changes in assumptions or otherwise. Comparison of results for current and prior periods are not intended to express any future trends or indications of future performance, unless expressed as such, and should only be viewed as historical data. Investor Contacts Malibu Boats, Inc.David BlackChief Financial Officer(865) [email protected] MALIBU BOATS, INC. AND SUBSIDIARIES Reconciliation of Non-GAAP Financial Measures Reconciliation of Net Income to Non-GAAP Adjusted EBITDA and Adjusted EBITDA Margin (Unaudited): The following table sets forth a reconciliation of net income as determined in accordance with GAAP to Adjusted EBITDA and Adjusted EBITDA Margin for the periods indicated (dollars in thousands): Reconciliation of Non-GAAP Adjusted Net Income (Unaudited): The following table sets forth a reconciliation of net income per share as determined in accordance with GAAP to adjusted net income per share for the periods presented (in thousands except share and per share data): Reconciliation of Non-GAAP Free Cash Flow (Unaudited): Non-GAAP Reconciliation The following table sets forth a reconciliation of net cash provided by operating activities to free cash flow for the periods presented (dollars in thousands):

This article first appeared on GuruFocus. Net Sales (Q4 FY2026): Increased 42.7% year-over-year to $295.5 million, including $61.2 million from the new Saxdor segment. Legacy Net Sales (Q4 FY2026): Increased approximately 13.2% to $234.3 million, driven by higher unit volumes in Cobalt and Saltwater Fishing segments. Unit Volume (Q4 FY2026): Total unit volume increased 19.2% to 1,456 units; legacy unit volume increased approximately 4.5% to 1,276 units, while Saxdor contributed 180 units. Gross Margin (Q4 FY2026): Expanded 190 basis points to 17.7%, with gross profit increasing 59.4% to $52.2 million. Adjusted EBITDA (Q4 FY2026): Increased 72.7% to $33.9 million, with adjusted EBITDA margin expanding to 11.5% from 9.5% in the prior year period. GAAP Net Income (Q4 FY2026): Increased 53.7% to $7.4 million, or $0.37 per diluted share. Adjusted Net Income Per Share (Q4 FY2026): Increased 114.3% to $0.90. Full Year Net Sales (FY2026): Increased 13.3% to $914.6 million, including $84.3 million of revenue from Saxdor since the March 2 close. Full Year Adjusted EBITDA (FY2026): Decreased 1.1% to $73.9 million, with adjusted EBITDA margin at 8.1% compared to 9.3% in fiscal 2025. Full Year GAAP Net Income (FY2026): Decreased 88.8% to $1.7 million, or $0.09 per diluted share, primarily reflecting acquisition and integration-related expenses tied to Saxdor. Free Cash Flow (FY2026): Approximately $43.2 million, representing roughly 58% of adjusted EBITDA. Segment Net Sales (Q4 FY2026): Malibu segment net sales increased 3.2% to $82.9 million; Saltwater Fishing net sales increased 11.1% to $80.9 million; Cobalt net sales increased 31% to $70.5 million. Net Sales Per Unit (Q4 FY2026): Consolidated net sales per unit increased 19.7% to $203,000; on a legacy basis, net sales per unit increased approximately 8.3% to approximately $184,000. Fiscal 2027 Outlook: Anticipates net sales of $1.080 billion to $1.120 billion and adjusted EBITDA of $101 million to $109 million. Warning! GuruFocus has detected 8 Warning Signs with MBUU. Is MBUU fairly valued? Test your thesis with our free DCF calculator. Release Date: August 27, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Malibu Boats Inc (NASDAQ:MBUU) delivered a strong fourth quarter with net sales up 42.7% and adjusted EBITDA up 72.7%, driven by solid performance in its legacy business and the initial contribution from Saxdor. The company's MBI Advantage operating framework is driving operational excellence, with consolidated gross margin expanding 190 basis points in the quarter due to favorable mix and centralized sourcing benefits. The integration of Saxdor Yachts is progressing well, with the first domestically built boat on schedule for fall 2026 and the brand contributing $61.2 million in revenue in its first full quarter, ahead of guidance. Malibu Boats Inc (NASDAQ:MBUU) ended the fiscal year with a strong balance sheet, generating $43.2 million in free cash flow, completing a refinancing that extends debt maturity to 2031, and authorizing a new $70 million share repurchase program. The company is executing on its innovation pipeline with 13 new models planned for fiscal 2027 across its legacy brands, and it is seeing early signs of market stabilization with improved retail trends in the fourth quarter. Dealer inventories decreased over the year, reflecting disciplined wholesale management, which positions Malibu Boats Inc (NASDAQ:MBUU) with a healthier channel entering fiscal 2027. The company's fiscal 2027 guidance assumes a flat to down market, with continued pressure on the payment-sensitive buyer due to macro disruptions, which could limit growth potential. Saxdor's adjusted EBITDA margin in the fourth quarter came in below the guided 10%-11% range due to deliberate investments in domestic manufacturing and higher input costs. Full-year fiscal 2026 gross margin declined 180 basis points to 16% due to higher per-unit material and labor costs, and adjusted EBITDA margin also contracted year-over-year. GAAP net income for the full year decreased 88.8% to $1.7 million, primarily due to acquisition and integration-related expenses tied to the Saxdor transaction. The company expects first-half fiscal 2027 margins to be lower than the second half, driven by the investment and ramp-up at Saxdor, which will weigh on near-term profitability. Input cost inflation is expected to be in the low to mid-single-digit range for fiscal 2027, and the company is absorbing tariff costs at currently enacted rates, which could pressure margins. Q: Can you shed more light on the Saxdor impact on all of fiscal 2027 revenue and adjusted EBITDA guidance?A: David Black (CFO): We expect Saxdor to grow at a low-teens rate on the revenue side, ramping up to the 10%-11% EBITDA margin range we previously discussed. The first quarter will be weighted down due to investments for higher volumes later in the year. Combined with low to mid-single-digit growth in legacy brands, this forms the building blocks for our fiscal 2027 guidance. Q: What are you thinking in terms of retail growth for the legacy business within your fiscal 2027 guidance?A: David Black (CFO): We expect the market to be flat to down next year, with a similar cadence to this yearsofter in the first half and progressively closer to flattish in the back half. This is what we are baking into our guidance. Q: Can you elaborate on the Saxdor EBITDA margin being below the guided 10%-11% range and the input cost pressures?A: David Black (CFO): The lower margin was driven by two factors: we deliberately added resources ahead of higher expected volumes, including the accelerated ramp of domestic manufacturing in Fort Pierce, and we absorbed higher input costs in the quarter. The investment is a timing issuewe are speeding up the process to capture demand. We saw some input cost pressure in the legacy business too, but centralized sourcing has helped offset it there. Q: Can we lift the hood on Cobalt volumes being up 19%? Is this comping production cuts or results of MBI Advantage initiatives?A: David Black (CFO): We did take production down in the prior year to manage dealer inventory. The brand continues to perform well from a market share perspective, and you are seeing that translate through as retail demand remains strong. Q: Can you bifurcate the margin improvements between volume leverage and centralized sourcing/procurement initiatives?A: David Black (CFO): For the quarter, it is about half and half. There is some volume leverage from the pure units piece, but also benefits from centralized sourcing running through the P&L from the inventory side. Q: Have you made any changes to plant operations in Finland and Poland from your due diligence post-ownership?A: Steven Menneto (CEO): No, we haven't made any plant changes. We are still manufacturing in Poland and Larsmo. We introduced the 460 production and are working hard to satisfy the amount of orders. Fort Pierce is a new operating line, and we are on schedule with pilot boats. Q: Can you elaborate on firming dealer inventory levels in pockets of the portfolio, specific to Cobalt and saltwater fishing?A: David Black (CFO): As the year progressed, inventories decreased on a year-over-year basis. The health of that inventory is importantaged inventory across the portfolio is in one of the best spots we've seen in some time. There's not a ton of inventory that will need to be cleared due to aging and required promotional dollars. Q: Any anecdotes or green shoots on MBI Acceptance uptake? Are you seeing conversion of incremental payment buyers?A: Steven Menneto (CEO): We are seeing momentum behind the program. Dealers are accepting it and using it to retail boats. We see momentum in the number of applications, even during non-promotional periods. We are probably a third to 40% of the way on getting our dealer base signed up. David Black (CFO): We are seeing it touch the lower price point brands in our portfolio. Q: How are you thinking about the opportunity to grow legacy MBI brands in Europe?A: Steven Menneto (CEO): International retail and shipments are below 5% historically. With Saxdor, we want to take a first step to sell US-manufactured boats internationally at a higher pace. Saxdor's dealer network has been inquiring about carrying our legacy brands. Eventually, if there's enough volume, we could consider manufacturing in Europe, but that's way down the line. Q: Can you elaborate on your capital allocation priorities between share buybacks, debt paydown, and M&A?A: David Black (CFO): No real change in priorities. We will continue to invest in the business, pay down debt with free cash flow, be opportunistic on share repurchases where we see intrinsic value, and pursue disciplined M&A with a high bar. We demonstrated this philosophy this year by completing the Saxdor acquisition, refinancing debt, and repurchasing 1.2 million shares. Q: What are you incorporating for input cost inflation in your EBITDA outlook?A: David Black (CFO): We have embedded low to mid-single-digit range from an input cost perspective. There are many determining factors and things change daily, but that is our assumption given the information we have. Q: On Fort Pierce, do you have metrics on how much more quickly you can get a boat to market or how much more profitable each boat could be?A: Steven Menneto (CEO): Not yet, it's pretty early. We are just running pilot boats and building. We are working out standard work and setting up stations. Until that is completed, we won't have dialed-in numbers on costs and advantages. We are trying to go faster than planned, which is driving some early costs. Q: What have you done recently in the dealer network to optimize it?A: Steven Menneto (CEO): When we talk about optimization, it's about tools we deliver to the dealer network and how we support them. This includes our co-op program, financing program, and changing the way we do marketing to drive support with our dealer base. It's about how we support retail on an ongoing basis and what tools they need to be successful. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

For the quarter ended June 2026, Malibu Boats (MBUU) reported revenue of $295.54 million, up 42.7% over the same period last year. EPS came in at $0.92, compared to $0.42 in the year-ago quarter. The reported revenue compares to the Zacks Consensus Estimate of $262.97 million, representing a surprise of +12.39%. The company delivered an EPS surprise of +22.67%, with the consensus EPS estimate being $0.75. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Malibu Boats performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Unit Volume by Segment - Malibu: 556 versus the two-analyst average estimate of 490. Unit Volume by Segment - Cobalt: 390 versus the two-analyst average estimate of 328. Unit Volume by Segment - Total: 1,456 compared to the 1,290 average estimate based on two analysts. Unit Volume by Segment - Saxdor: 180 versus 160 estimated by two analysts on average. Unit Volume by Segment - Saltwater Fishing: 330 compared to the 313 average estimate based on two analysts. Revenue by product- Malibu: $82.91 million versus the two-analyst average estimate of $75.4 million. The reported number represents a year-over-year change of +3.2%. Revenue by product- Saxdor: $61.17 million compared to the $58.35 million average estimate based on two analysts. Revenue by product- Cobalt: $70.53 million compared to the $55.8 million average estimate based on two analysts. The reported number represents a change of +31.1% year over year. Revenue by product- Saltwater Fishing: $80.94 million compared to the $73.35 million average estimate based on two analysts. The reported number represents a change of +11% year over year. View all Key Company Metrics for Malibu Boats here>>> Shares of Malibu Boats have returned -4.6% over the past month versus the Zacks S&P 500 composite's +3.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Malibu Boats, Inc. (MBUU) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Board Authorizes Fiscal 2027 Share Repurchase Program of $70 Million LOUDON, Tenn., Aug. 27, 2026 (GLOBE NEWSWIRE) -- Malibu Boats, Inc. (Nasdaq: MBUU) today announced its financial results for the fourth quarter and fiscal year ended June 30, 2026. Fourth Quarter Fiscal 2026 Highlights Compared to Fourth Quarter Fiscal 2025 Net sales increased 42.7% to $295.5 million Unit volume increased 19.2% to 1,456 units Gross profit increased 59.4% to $52.2 million General and administrative expenses increased to $31.8 million GAAP net income increased 53.7% to $7.4 million GAAP net income available to Class A Common Stock per share (diluted) increased 54.2% to $0.37 per share Adjusted EBITDA increased 72.7% to $33.9 million Adjusted net income per share increased 119.0% to $0.92 per share on a weighted average share count of 19.7 million shares of Class A Common Stock Cash flows provided by operating activities increased 28.1% to $27.0 million Free cash flow increased 19.3% to $17.0 million Fiscal Year 2026 Highlights Compared to Fiscal Year 2025 Net sales increased 13.3% to $914.6 million Unit volume increased 0.9% to 4,944 units Gross profit increased 1.7% to $146.5 million General and administrative expenses increased to $105.1 million GAAP net income decreased 88.8% to $1.7 million GAAP net income available to Class A Common Stock per share (diluted) decreased 88.2% to $0.09 per share Adjusted EBITDA decreased 1.1% to $73.9 million Adjusted net income per share decreased 3.8% to $1.52 on a weighted average share count of 19.3 million shares of Class A Common Stock Cash flows provided by operating activities increased 19.5% to $67.5 million Free cash flow increased 48.3% to $43.2 million Steve Menneto, President and Chief Executive Officer of Malibu Boats, Inc., commented, "Fiscal 2026 demonstrated the power of our strategic execution. We delivered a strong finish to the year, driven by better than expected net sales, disciplined cost management, dealer network optimization, and the successful integration of Saxdor in our first four months with the business. We also invested meaningfully in innovation as our Model Year 2026 lineup added eleven new models across the portfolio that brought new features as well as value to our product line. The Saxdor integration is progressing well, with the completion of our first domestically-built Saxdor boats at our Fort Pierce, Florida facility expected in the first half of fiscal 2027. While we're seeing early signs of stabilization across the industry, we are contending with macro disruptions that continue to pressure the payment buyer, which presents a near-term headwind to an inflection in the cycle. That said, we like how we're positioned relative to the industry heading into fiscal 2027 and expect to build on the momentum we established, while remaining intentional about our outlook until we see more durable evidence of a broader recovery." David Black, Chief Financial Officer of Malibu Boats, Inc., added, "We closed the year with a strong balance sheet and began our new fiscal year with the completion of our credit agreement refinancing, which extends our maturity through 2031 and gives us added liquidity and flexibility. Our leverage remains well below our stated maximum target, even after financing the Saxdor acquisition. While we chose to pause our open market purchases during our lender negotiations, the Board authorized a new $70 million share repurchase program for fiscal 2027 in June, and we closed our refinancing in July, underscoring our confidence in the business and our commitment to returning capital to shareholders. With that flexibility now in place, we remain opportunistic on capital allocation and are well positioned to keep investing in the business as we move through fiscal 2027." Results of Operations for the Fourth Quarter and Fiscal Year 2026 (Unaudited) Comparison of the Fourth Quarter Ended June 30, 2026 to the Fourth Quarter Ended June 30, 2025 Net sales for the three months ended June 30, 2026 increased $88.5 million, or 42.7%, to $295.5 million, compared to the three months ended June 30, 2025. The increase in net sales was driven primarily by $61.2 million of revenue from the new Saxdor segment due to the recent acquisition, increased unit volumes in our Cobalt and Saltwater segments, a favorable model mix across all three existing segments, and year-over-year price increases, partially offset by decreased unit volumes in our Malibu segment. Unit volume for the three months ended June 30, 2026 increased 235 units, or 19.2%, to 1,456 units compared to the three months ended June 30, 2025. Our unit volume increased primarily due to an additional 180 units contributed by Saxdor as well as increased unit volume in our Cobalt and Saltwater segments, partially offset by decreased unit volumes in our Malibu segment. Net sales attributable to our Malibu segment increased $2.6 million, or 3.2%, to $82.9 million for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Unit volumes attributable to our Malibu segment decreased 14 units, or 2.5%, for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, primarily due to lower wholesale shipments driven by lower retail activity. The increase in net sales was driven by a favorable model mix and year-over-year price increases, partially offset by a decrease in units. Net sales attributable to our Saltwater Fishing segment increased $8.1 million, or 11.1%, to $80.9 million, for the three months ended June 30, 2026, compared to the three months ended June 30, 2025. Unit volumes increased 7 units, or 2.2% for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, primarily due to higher wholesale shipments as a result of firming dealer inventory levels in pockets of the portfolio. The increase in net sales was driven by an increase in units, a favorable model mix and year-over-year price increases. Net sales attributable to our Cobalt segment increased $16.7 million, or 31.0%, to $70.5 million for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Unit volumes attributable to Cobalt increased 62 units, or 18.9% for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, primarily due to higher wholesale shipments as a result of firming dealer inventory levels in pockets of the portfolio. The increase in net sales was driven by an increase in units, a favorable model mix and year-over-year price increases. Net sales attributable to our Saxdor segment were $61.2 million for the three months ended June 30, 2026. Unit volumes were 180 units for the three months ended June 30, 2026. Overall consolidated net sales per unit increased 19.7% to $202,979 per unit for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Net sales per unit for our Malibu segment increased 5.8% to $149,110 per unit for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, driven by a favorable model mix and year-over-year price increases. Net sales per unit for our Saltwater Fishing segment increased 8.7% to $245,267 for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, driven by a favorable model mix and year-over-year price increases. Net sales per unit for our Cobalt segment increased 10.2% to $180,841 per unit for the three months ended June 30, 2026 compared to the three months ended June 30, 2025, driven by favorable model mix and year-over-year price increases. For the three months ended June 30, 2026, net sales per unit for our Saxdor segment were $339,811. Cost of sales for the three months ended June 30, 2026 increased $69.0 million, or 39.6%, to $243.3 million as compared to the three months ended June 30, 2025. The increase in cost of sales was primarily driven by cost of sales from the new Saxdor segment due to the recent acquisition, a 19.2% increase in units, a more expensive model mix across all three existing segments and inflationary pressures. In the Malibu, Saltwater Fishing and Cobalt segments, per unit material and labor costs were a net increase of $0.1 million, $6.4 million, and $3.3 million, respectively, driven by inflationary pressures and an increased mix of models that corresponded with higher net sales per unit. Gross profit for the three months ended June 30, 2026 increased $19.5 million, or 59.4%, to $52.2 million compared to the three months ended June 30, 2025. The increase in gross profit was driven primarily by higher net sales, partially offset by increased cost of sales for the reasons noted above. Gross margin for the three months ended June 30, 2026 increased 190 basis points from 15.8% to 17.7%, driven by an increased mix of models that carry a higher gross margin. Selling and marketing expenses for the three months ended June 30, 2026 increased $1.4 million, or 25.7%, to $6.8 million compared to the three months ended June 30, 2025. The increase was driven primarily by higher personnel-related expenses and an incremental increase due to the new Saxdor segment. As a percentage of sales, selling and marketing expenses decreased 30 basis points to 2.3% for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025. General and administrative expenses for the three months ended June 30, 2026 increased $12.9 million, or 68.8%, to $31.8 million as compared to the three months ended June 30, 2025. The increase in general and administrative expenses was driven primarily by acquisition related expenses incurred due to the Saxdor acquisition, an incremental increase due to the new Saxdor segment and increases in incentive pay. As a percentage of sales, general and administrative expenses increased 170 basis points to 10.8% for the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Amortization expense for the three months ended June 30, 2026 increased $2.6 million to $4.3 million for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025. The increase was due to the additional intangibles acquired from the Saxdor acquisition. Operating income for the three months ended June 30, 2026 increased to $9.3 million from $6.8 million for the three months ended June 30, 2025. Net income for the three months ended June 30, 2026 increased 53.7% to a net income of $7.4 million from $4.8 million and net income margin increased to 2.5% from 2.3% for the three months ended June 30, 2025. Adjusted EBITDA for the three months ended June 30, 2026 increased 72.7% to $33.9 million from $19.7 million, while Adjusted EBITDA margin increased to 11.5% from 9.5% for the three months ended June 30, 2025. Comparison of the Fiscal Year Ended June 30, 2026 to the Fiscal Year Ended June 30, 2025 Net sales for fiscal year 2026 increased $107.0 million, or 13.3%, to $914.6 million, compared to fiscal year 2025. The increase in net sales was driven primarily by $84.3 million of revenue from the new Saxdor segment due to the recent acquisition, a favorable model mix across all three existing segments and year-over-year price increases, partially offset by decreased unit volumes across all three existing segments resulting primarily from lower wholesale shipments. Unit volume for fiscal year 2026 increased 46 units, or 0.9%, to 4,944 units compared to fiscal year 2025. Our unit volume increased primarily due to an additional 246 units contributed by Saxdor, partially offset by lower wholesale shipments across all three existing segments driven by lower retail activity. Net sales attributable to our Malibu segment increased $0.2 million, or 0.1%, to $312.9 million for fiscal year 2026 compared to fiscal year 2025. Unit volumes attributable to our Malibu segment decreased 73 units for fiscal year 2026 compared to fiscal year 2025, primarily due to lower wholesale shipments driven by lower retail activity during the period. The increase in net sales was primarily driven by a favorable model mix and year-over-year price increases, partially offset by a decrease in units. Net sales attributable to our Saltwater Fishing segment increased $4.4 million, or 1.6%, to $284.0 million for fiscal year 2026 compared to fiscal year 2025. Unit volumes decreased 53 units for fiscal year 2026 compared to fiscal year 2025, primarily due to lower wholesale shipments driven by lower retail activity during the period. The increase in net sales was driven by a favorable model mix and year-over-year price increases, partially offset by a decrease in units. Net sales attributable to our Cobalt segment increased $18.1 million, or 8.4%, to $233.4 million for fiscal year 2026 compared to fiscal year 2025. Unit volumes attributable to Cobalt decreased 74 units for fiscal year 2026 compared to fiscal year 2025, primarily due to lower wholesale shipments driven by lower retail activity and our dealers' desire to hold less inventory. The increase in net sales was driven primarily by a favorable model mix and year-over-year price increases, partially offset by a decrease in units. Since our acquisition on March 2, 2026, net sales and unit volume attributable to our Saxdor segment were $84.3 million and 246 units, respectively for the year ended June 30, 2026. Overall consolidated net sales per unit increased 12.2% to $184,990 per unit for fiscal year 2026 compared to fiscal year 2025. Net sales per unit for our Malibu segment increased 3.5% to $145,538 per unit for fiscal year 2026 compared to fiscal year 2025, driven by a favorable model mix and year-over-year price increases, partially offset by increased dealer incentive costs per unit. Net sales per unit for our Saltwater Fishing segment increased 6.0% to $234,135 per unit for fiscal year 2026 compared to fiscal year 2025, driven by a favorable model mix and year-over-year price increases, partially offset by increased dealer incentive costs per unit. Net sales per unit for our Cobalt segment increased 14.4% to $174,812 per unit for fiscal year 2026 compared to fiscal year 2025, driven by favorable model mix and year-over-year price increases. Since our acquisition on March 2, 2026, net sales per unit for our Saxdor segment was $342,695. Cost of sales for fiscal year 2026 increased $104.6 million, or 15.8%, to $768.1 million compared to fiscal year 2025. The increase in cost of sales was primarily driven by cost of sales from the new Saxdor segment due to the recent acquisition and higher per unit material and labor costs for the Malibu, Saltwater Fishing, and Cobalt segments. In the Malibu segment, per unit material and labor costs increased by $10.9 million driven by a more expensive model mix that corresponded with higher net sales per unit and inflationary pressures. In the Saltwater Fishing segment, per unit material and labor costs increased $16.9 million driven by a more expensive model mix that corresponded with higher net sales per unit and inflationary pressures. In the Cobalt segment, per unit material and labor costs increased $21.9 million driven by a more expensive model mix that corresponded with higher net sales per unit and inflationary pressures. Gross profit for fiscal year 2026 increased $2.4 million, or 1.7%, compared to fiscal year 2025. The increase in gross profit was driven primarily by higher net sales, partially offset by increased cost of sales for the reasons noted above. Gross margin for fiscal year 2026 decreased 180 basis points from 17.8% to 16.0% driven primarily by higher per unit material and labor costs. General and administrative expense for fiscal year 2026 increased $12.7 million, or 13.7%, to $105.1 million compared to fiscal year 2025. The increase in general and administrative expenses was primarily driven by acquisition related expenses incurred due to the Saxdor acquisition, an incremental increase due to the new Saxdor segment and increases in incentive pay and salaries, partially offset by a $3.5 million legal settlement in fiscal year 2025 along with decreased legal fees. As a percentage of sales, general and administrative expenses increased 10 basis points to 11.5% for fiscal year 2026 compared to 11.4% for fiscal year 2025. Selling and marketing expense for fiscal year 2026 increased $4.4 million, or 19.1% to $27.5 million compared to fiscal year 2025. The increase was driven primarily by higher personnel-related expenses and marketing events and an incremental increase due to the new Saxdor segment. As a percentage of sales, selling and marketing expense increased 10 basis points to 3.0% for fiscal year 2026 compared to 2.9% for fiscal year 2025. Amortization expense for fiscal year 2026 increased $4.0 million to $10.8 million due to the additional intangibles acquired from the Saxdor acquisition. Operating income for fiscal year 2026 decreased to $3.1 million from $21.8 million for fiscal year 2025. Net income for fiscal year 2026 decreased 88.8% to $1.7 million from $15.2 million and net income margin decreased to 0.2% for fiscal year 2026 from 1.9% for fiscal year 2025. Adjusted EBITDA for fiscal year 2026 decreased 1.1% to $73.9 million from $74.8 million, while Adjusted EBITDA margin decreased to 8.1% for fiscal year 2026 from 9.3% for fiscal year 2025. Balance Sheet, Cash Flow and Capital Allocation As of June 30, 2026, the Company had $74.4 million of cash and $165.0 million of long-term debt, providing ample flexibility to support continued investment and the return of capital to shareholders. As previously announced, on July 10, 2026, the Company successfully completed a refinancing of its credit facility extending the maturity date to July 2031 and enhancing its financial flexibility. The new structure includes a $100.0 million term loan facility alongside a $250.0 million revolving credit facility, replacing the prior $350.0 million revolving facility. The refinancing strengthens the Company's liquidity position and provides continued flexibility through an extended maturity to support continued investment in the business, Saxdor integration, and disciplined growth opportunities. While the Company paused its share repurchase activities during the refinancing negotiations, the Board of Directors authorized a new $70 million share repurchase program for Fiscal 2027 in June 2026, reflecting strong confidence in the business and the Company's commitment to returning capital to shareholders while maintaining balance sheet strength. For the full fiscal year ended June 30, 2026, the Company generated $67.5 million of cash from operations and invested $24.7 million in capital expenditures. Free cash flow was approximately $43.2 million, including nominal impacts from proceeds received on the sale of property, plant and equipment. Fiscal 2027 Guidance For the full fiscal year 2027, Malibu anticipates net sales in the range of $1.08 billion to $1.12 billion year-over-year, and Adjusted EBITDA ranging from $101 million to $109 million. The Company has not provided reconciliations of guidance for Adjusted EBITDA, in reliance on the unreasonable efforts exception provided under Item 10(e)(1)(i)(B) of Regulation S-K. The Company is unable, without unreasonable efforts, to forecast certain items required to develop meaningful comparable GAAP financial measures. These items include costs related to the Company’s vertical integration initiatives, acquisition integration initiatives, stock-based compensation expense and litigation expenses that are difficult to predict in advance in order to include in a GAAP estimate. Webcast and Conference Call Information The Company will host a webcast and conference call to discuss fourth quarter and fiscal year 2026 results on Thursday, August 27, 2026, at 8:30 a.m. Eastern Time. Investors and analysts can participate on the conference call by dialing (844) 695-5523 or (412) 317-0699 and requesting Malibu Boats. Alternatively, interested parties can listen to a live webcast of the conference call by logging on to the Investor Relations section on the Company’s website at http://investors.malibuboats.com. A replay of the webcast will also be archived on the Company’s website for twelve months. About Malibu Boats, Inc. Based in Loudon, Tennessee, Malibu Boats, Inc. (MBUU) is a leading designer, manufacturer and marketer of a diverse range of recreational powerboats, including performance sport boats, sterndrive boats, outboard boats, and premium adventure dayboats. Malibu Boats, Inc. is among the market leaders in the performance sport boat category through its Malibu and Axis boat brands, among the market leaders in the 20’ - 40’ segment of the sterndrive boat category through its Cobalt brand, and among the market leaders in the fiberglass outboard fishing boat market with its Pursuit and Maverick Boat Group brands, and among the market leaders in the premium adventure dayboat emerging market with its Saxdor brand. A pre-eminent innovator in the powerboat industry, Malibu Boats, Inc. designs products that appeal to an expanding range of recreational boaters, fishermen and water sports enthusiasts whose passion for boating is a key component of their active lifestyles. For more information, visit www.malibuboats.com, www.axiswake.com, www.cobaltboats.com, www.pursuitboats.com, www.maverickboatgroup.com, or www.saxdoryachts.com. Non-GAAP Financial Measures This release includes the following financial measures defined as non-GAAP financial measures by the Securities and Exchange Commission: Adjusted EBITDA, Adjusted EBITDA margin, adjusted net income, adjusted net income per share, and Free Cash Flow. These measures have limitations as analytical tools and should not be considered as an alternative to, or more meaningful than, net income as determined in accordance with U.S. generally accepted accounting principles (“GAAP”) or as an indicator of our liquidity. Our presentation of these non-GAAP financial measures should also not be construed as an inference that our results will be unaffected by unusual or non-recurring items. Our computations of these non-GAAP financial measures may not be comparable to other similarly titled measures of other companies. We define Adjusted EBITDA as net income before interest expense, income taxes, depreciation, amortization, and non-cash, non-operating expenses, or other expenses that we do not believe are indicative of our ongoing expenses, including litigation settlements, acquisition and integration related expenses, adjustment to earnout liability, certain professional fees, non-cash compensation expense and adjustments to our tax receivable agreement liability. We define Adjusted EBITDA margin as Adjusted EBITDA divided by net sales. Adjusted EBITDA and Adjusted EBITDA margin are not measures of net income as determined by GAAP. Management believes Adjusted EBITDA and Adjusted EBITDA margin allow investors to evaluate our operating performance and compare our results of operations from period to period on a consistent basis by excluding items that management does not believe are indicative of our core operating performance. Management uses Adjusted EBITDA to assist in highlighting trends in our operating results without regard to our financing methods, capital structure and non-recurring or non-operating expenses. We exclude the items listed above from net income in arriving at Adjusted EBITDA because these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, capital structures, the methods by which assets were acquired and other factors. Adjusted EBITDA has limitations as an analytical tool and should not be considered as an alternative to, or more meaningful than, net income as determined in accordance with GAAP or as an indicator of our liquidity. Certain items excluded from Adjusted EBITDA are significant components in understanding and assessing a company’s financial performance, such as a company’s cost of capital and tax structure, as well as the historical costs of depreciable assets. Adjusted net income per share is a non-GAAP financial measure that is used and disclosed by management in order to give management and its investors and analysts a more accurate picture of our underlying earnings performance. Adjusted net income per share, excludes items that management does not believe are indicative of our core operating performance. We define adjusted net income per share as net income attributable to Malibu Boats, Inc. per share, excluding income tax expense, and non-cash, non-operating expenses, or other expenses that we do not believe are indicative of our ongoing expenses, litigation settlements, acquisition related amortization, acquisition and integration related expenses, adjustment to earnout liability, certain professional fees and non-cash compensation expense, and reflecting an adjustment for income tax expense on adjusted income before income taxes at our estimated effective income tax rate. We exclude the items listed above from net income per share in arriving at adjusted net income per share because these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, the methods by which assets were acquired and other factors. Adjusted net income per share has limitations as an analytical tool and should not be considered as an alternative to, or more meaningful than, net income per share as determined in accordance with GAAP or as an indicator of our liquidity. Certain items excluded are significant components in understanding and assessing a company’s financial performance. Our presentation of adjusted net income per share should not be construed as an inference that our results will be unaffected by unusual or non-recurring items. Our computation of this measure may not be comparable to other similarly titled measures of other companies. A reconciliation of our net income as determined in accordance with GAAP to Adjusted EBITDA and a reconciliation of net income per share attributable to Malibu Boats, Inc. as determined in accordance with GAAP to adjusted net income per share is provided under "Reconciliation of Non-GAAP Financial Measures". We define Free Cash Flow as net cash provided by operating activities, plus cash used for capital expenditures and plus proceeds from the sale of property plant and equipment. Free Cash Flow has limitations as an analytical tool and should not be considered as an alternative to, or more meaningful than, net cash provided by operating activities as determined in accordance with GAAP or as an indicator of our liquidity. Our computation of this measure may not be comparable to other similarly titled measures of other companies. A reconciliation of our net cash provided by operating activities as determined in accordance with GAAP to Free Cash Flow is provided under "Reconciliation of Non-GAAP Financial Measures". Cautionary Statement Concerning Forward Looking Statements This press release includes forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Forward-looking statements can be identified by such words and phrases as “believes,” “anticipates,” “expects,” “intends,” “estimates,” “may,” “will,” “should,” “continue” and similar expressions, comparable terminology or the negative thereof, and includes statements in this press release regarding our expectation that the first domestically-built Saxdor boats will be completed in our Fort Pierce, Florida facility in the first half of fiscal 2027; our expectation that macro disruptions will present a near-term headwind to an industry inflection; our expectation of building on our fiscal 2026 momentum in fiscal 2027; our plans for capital allocation, the Saxdor integration and continued investment in the business in fiscal 2027; and our guidance for fiscal year 2027 net sales and Adjusted EBITDA. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, including, but not limited to: our large fixed-cost base; our ability to execute our manufacturing strategy or accurately forecast demand for our products; our third-party suppliers’ increased costs or inability to adjust for our required production levels; our dependence on a small group of suppliers for components; our ability to meet our manufacturing workforce needs; our dependence on key management employees; our ability to grow our business through acquisitions and integrate such acquisitions to fully realize their expected benefits, including our recent acquisition of Saxdor; our growth strategy which may require us to secure significant additional capital; our ability to enhance existing products and develop and market new or enhanced products; compromises to information technology systems or those of third parties with whom we work or our data; difficulties presented by international economic, political, legal, and business factors; general economic conditions; risks and requirements related to transacting business in foreign countries; the continued strength and positive perception of our brands; increased consumer preference for used boats, electric boats, alternative fuel-powered boats or the supply of new boats by competitors in excess of demand; an increase in energy and fuel costs; the seasonality of our business; competition within our industry; inflation and heightened interest rates; our dependence on our network of independent dealers and increasing competition for dealers; the financial health of our dealers and their continued access to financing; our obligation to repurchase inventory of certain dealers; our exposure to risks associated with litigation, investigation and regulatory proceedings; an impairment in the carrying value of goodwill, trade names and other long-lived assets; significant product repair and/or replacement costs due to product warranty claims or product recalls; risks inherent in changes to U.S. trade policy, tariffs and import/export regulations; any failure to comply with laws and regulations including environmental, workplace safety and other regulatory requirements; our dependence upon distributions from the LLC for any cash obligations of Malibu Boats, Inc.; covenants in our credit agreement governing our revolving credit facility which may limit our operating flexibility; interest rate risk from our variable rate indebtedness; our obligation to make certain payments under a tax receivable agreement; and other factors affecting us detailed from time to time in our filings with the Securities and Exchange Commission. Many of these risks and uncertainties are outside our control, and there may be other risks and uncertainties which we do not currently anticipate because they relate to events and depend on circumstances that may or may not occur in the future. Although we believe that the expectations reflected in any forward-looking statements are based on reasonable assumptions at the time made, we can give no assurance that our expectations will be achieved. Undue reliance should not be placed on these forward-looking statements, which speak only as of the date hereof. We undertake no obligation (and we expressly disclaim any obligation) to update or supplement any forward-looking statements that may become untrue because of subsequent events, whether because of new information, future events, changes in assumptions or otherwise. Comparison of results for current and prior periods are not intended to express any future trends or indications of future performance, unless expressed as such, and should only be viewed as historical data. Investor Contacts Malibu Boats, Inc.David BlackChief Financial Officer(865) [email protected]

Interested in Malibu Boats, Inc.? Here are five stocks we like better. Fourth-quarter performance improved sharply: Sales rose 42.7% to $295.5 million and adjusted EBITDA increased 72.7% to $33.9 million, supported by the Saxdor acquisition and stronger legacy operations. Saxdor contributed $61.2 million of revenue, while legacy sales increased 13.2%. Full-year profitability was pressured by Saxdor integration costs: Fiscal 2026 sales grew 13.3% to $914.6 million, but adjusted EBITDA fell 1.1% to $73.9 million and GAAP net income dropped 88.8% to $1.7 million. The company generated approximately $43.2 million in free cash flow. Management expects growth in fiscal 2027 but remains cautious: Malibu forecast sales of $1.08 billion to $1.12 billion and adjusted EBITDA of $101 million to $109 million, with Saxdor expected to reach about $180 million in full-year revenue. The outlook assumes a flat-to-down marine market, while the company benefits from healthier dealer inventories, a refinanced credit facility and a new $70 million share-repurchase authorization. Malibu Boats (NASDAQ:MBUU) reported higher fourth-quarter sales and adjusted EBITDA for fiscal 2026, aided by contributions from its Saxdor Yachts acquisition and improved performance in its legacy operations. Management said the company entered fiscal 2027 with healthier dealer inventories, a refinanced credit facility and a new $70 million share-repurchase authorization, while maintaining a cautious view of retail demand. Fourth-quarter net sales rose 42.7% from a year earlier to $295.5 million, while adjusted EBITDA increased 72.7% to $33.9 million. Adjusted EBITDA margin expanded to 11.5% from 9.5%, and gross margin increased 190 basis points to 17.7%. → Quantum Computing Is Raising the Stakes for Cybersecurity: 5 Stocks to Watch “Our fourth quarter marked a strong finish to fiscal 2026 and demonstrated the power of our strategic execution,” President and CEO Steve Menneto said. He attributed the results to the company’s MBI Advantage operating framework, including operational improvements, centralized sourcing and channel discipline. Saxdor, acquired on March 2, contributed $61.2 million of fourth-quarter revenue, exceeding Malibu Boats’ prior forecast of $57 million to $59 million. On a legacy basis, excluding Saxdor, quarterly sales were $234.3 million, up about 13.2% from the prior-year period. → NVIDIA Reveals $21 Billion SpaceX Stake: Signal of Confidence or Circular Financing? Total unit volume increased 19.2% to 1,456 boats. Legacy unit volume rose about 4.5% to 1,276 units, while Saxdor added 180 units. Net sales per unit increased 19.7% to $203,000 on a consolidated basis, reflecting favorable model mix, Saxdor’s addition and pricing gains. Legacy net sales per unit rose about 8.3% to roughly $184,000. Saxdor generated net sales per unit of $340,000 during the quarter. Malibu segment sales increased 3.2% to $82.9 million. Saltwater Fishing sales increased 11.1% to $80.9 million, supported by higher wholesale shipments and firmer dealer inventory in certain parts of the portfolio. Cobalt sales rose 31% to $70.5 million, also supported by higher wholesale shipments and dealer inventory trends. Chief Financial Officer David Black said quarterly margin improvement was split roughly evenly between volume leverage and the benefits of centralized sourcing flowing through inventory costs. → Berkshire Boosts Its Bet: This AI Hyperscaler Is Now a Top-3 Holding Gross profit increased 59.4% to $52.2 million. GAAP net income rose 53.7% to $7.4 million, or $0.37 per diluted share. Adjusted net income per share was $0.90, up 114.3% from the prior-year period. Saxdor’s adjusted EBITDA margin was below Malibu Boats’ previously forecast 10% to 11% range in the quarter. Black said the company added resources ahead of expected higher volumes and accelerated the domestic manufacturing ramp at its Fort Pierce, Florida, facility. Saxdor also faced higher input costs. Management characterized the manufacturing-related spending as an investment expected to support future production. For fiscal 2026, Malibu Boats reported net sales of $914.6 million, up 13.3% and about $29 million above the high end of guidance that had been raised in May. Saxdor contributed $84.3 million in sales since the acquisition closed. Legacy sales were $830.3 million, an increase of about 2.8%. Annual unit volume increased 0.9% to 4,944 units, as 246 Saxdor units more than offset a 4.1% decline in legacy volume to approximately 4,698 units. Full-year gross margin declined 180 basis points to 16%, primarily due to higher material and labor costs per unit. Adjusted EBITDA declined 1.1% to $73.9 million, while adjusted EBITDA margin decreased to 8.1% from 9.3%. GAAP net income fell 88.8% to $1.7 million, or $0.09 per diluted share, primarily because of acquisition- and integration-related expenses tied to Saxdor. Adjusted net income per share was $1.52. The company generated $67.5 million of operating cash flow during the year and spent $24.7 million on capital expenditures, producing approximately $43.2 million in free cash flow. Malibu Boats ended fiscal 2026 with $74.4 million in cash and $165 million of long-term debt. Net leverage was approximately 1.2 times, or near 1 time on a pro forma basis, according to Black. After year-end, the company refinanced its credit facility, extending its maturity to July 2031. The new structure includes a $100 million term loan and a $250 million revolving credit facility, replacing the prior $350 million revolver. The agreement also adds multi-currency capabilities intended to support Saxdor’s European operations. During fiscal 2026, Malibu Boats repurchased approximately 1.24 million shares for about $33.9 million, at an average price of $27.34 per share. Its board authorized a new $70 million repurchase program in June for fiscal 2027. Management said it plans to continue investing in the business, pay down debt using free cash flow and remain opportunistic about repurchases and disciplined acquisitions. The first U.S.-built Saxdor boat remains scheduled for completion at Fort Pierce later in the first half of fiscal 2027. Black said the facility could produce more than 200 Saxdor units without additional capital expenditures, though actual output will depend in part on product mix. Menneto said the company is currently producing pilot boats and has not made major changes to Saxdor’s existing manufacturing operations in Poland and Larsmo, Finland. For fiscal 2027, Malibu Boats forecast net sales of $1.08 billion to $1.12 billion and adjusted EBITDA of $101 million to $109 million. The outlook includes a full year of Saxdor ownership and assumes low- to mid-single-digit growth in the legacy brands and mid-teens growth at Saxdor. Black said the company expects Saxdor to generate about $180 million in revenue on a full-year pro forma basis and to progress toward a 10% to 11% adjusted EBITDA margin as domestic manufacturing scales. He said Saxdor’s margins are expected to be lower in the first half because of investment and ramp costs, then improve in the second half. For the first quarter of fiscal 2027, Malibu Boats expects sales of $255 million to $265 million and adjusted EBITDA of $14 million to $16 million. Management expects the broader marine market to be flat to down during fiscal 2027, with a softer first half and conditions approaching flat later in the year. The company’s guidance incorporates low- to mid-single-digit input-cost inflation and tariff costs at currently enacted rates, along with pricing already in the market. Menneto said industry registrations declined roughly 3% from April through June, improving from a mid-single-digit decline in the March quarter. He said Malibu Boats’ dealer inventories declined during the year and that the portfolio’s aged inventory is in one of its healthiest positions in some time. The company also said adoption of its MBI Acceptance financing and extended-service program has continued to build. Menneto said roughly one-third to 40% of the dealer base has been signed onto the program, with uptake concentrated among dealers carrying lower-priced brands. Malibu Boats, Inc is a leading designer, manufacturer and distributor of performance sport boats for the recreational boating market. The company's product portfolio includes the premium Malibu® brand and the value-oriented Axis® Wake Research line, as well as Cobalt® boats following its 2020 acquisition. Malibu's vessels are engineered to serve water-sports enthusiasts, with models optimized for wakeboarding, wakesurfing and waterskiing. Founded in 1982 by water-sports enthusiast Jack Springer, Malibu Boats is headquartered in Loudon, Tennessee. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Malibu Boats Q4 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was driven by the MBI Advantage operating framework, focusing on operational excellence, centralized sourcing, and disciplined channel management. The acquisition of Saxdor Yachts represents a strategic pivot into the high-growth adventure day boat segment, attracting a younger, affluent buyer profile. Unit volume growth in Cobalt and Saltwater Fishing segments offset legacy pressures, supported by a pace of 11 new model introductions in fiscal 2026. For the fourth quarter, gross margin expanded 190 basis points to 17.7% driven by an increased mix of models with higher gross margins, although full-year gross margin declined 180 basis points to 16%. Management maintained wholesale discipline throughout the year to reduce dealer inventories, entering fiscal 2027 with a healthier channel and improved aged inventory profile. The company observed that high-end buyers remain resilient to fuel price fluctuations, prioritizing family boating experiences despite higher operating costs. MBI Acceptance was launched to support payment-sensitive buyers, providing dealers with financing and service tools to stabilize retail demand. Fiscal 2027 guidance assumes a prudent view of the industry, expecting the broader market to be flat to down with a softer first half and stabilization in the second half. Saxdor revenue is projected to grow in the low teens., supported by the domestic manufacturing ramp-up at the Fort Pierce, Florida facility starting in the first half of the year. Management expects legacy brands to outpace the broader market with low to mid-single-digit growth, driven by new product launches and stabilized wholesale-to-retail matching. Adjusted EBITDA margins for the Saxdor segment are anticipated to improve throughout the year as initial investments in domestic production annualize. The company plans to introduce 13 new models across legacy brands in fiscal 2027, maintaining its strategy of innovation-led market share gains. Saxdor's Q4 adjusted EBITDA margin fell below guidance due to accelerated investments in domestic manufacturing capacity and higher-than-expected input costs. A new $70 million share repurchase program was authorized for fiscal 2027, following the completion of a $33.9 million buyback in fiscal 2026. The company successfully refinanced its credit facility to a $350 million structure with multicurrency capabilities to support expanding European operations. Guidance incorporates anticipated tariff costs at currently enacted rates and assumes input cost inflation in the low to mid-single-digit range. Management expects Saxdor to achieve low-teens revenue growth on a pro forma base of approximately $180 million. EBITDA margins for the segment are targeted to reach the 10% to 11% range as production scales, despite a margin-dilutive first quarter due to investment timing. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. The Fort Pierce facility is capable of producing upwards of 200 units annually without incremental capital expenditure. Pilot boat production is currently underway, with the first domestically built Saxdor units scheduled for completion later this fall. Dealer inventory health is at its best level in years, with minimal concerns regarding aged inventory requiring heavy promotions. Management anticipates that wholesale and retail volumes will align by the end of fiscal 2027 as the market stabilizes. Approximately 33% to 40% of the dealer base has signed onto the financing program, which is specifically helping convert buyers at lower price points. Application volume has remained steady even during non-promotional periods, indicating sustained consumer sensitivity to financing terms. Management aims to leverage Saxdor's established European dealer network to increase legacy brand international sales beyond the historical 5% threshold. While currently focused on exporting U.S.-built boats, the company may consider European manufacturing for legacy brands if international volume scales sufficiently.

Malibu Boats (MBUU) came out with quarterly earnings of $0.92 per share, beating the Zacks Consensus Estimate of $0.75 per share. This compares to earnings of $0.42 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +22.67%. A quarter ago, it was expected that this maker of performance sports boats would post earnings of $0.29 per share when it actually produced earnings of $0.56, delivering a surprise of +93.1%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Malibu Boats, which belongs to the Zacks Leisure and Recreation Products industry, posted revenues of $295.54 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 12.39%. This compares to year-ago revenues of $207.04 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Malibu Boats shares have lost about 5.6% since the beginning of the year versus the S&P 500's gain of 12.1%. While Malibu Boats has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Malibu Boats was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.26 on $246.87 million in revenues for the coming quarter and $2.36 on $1.11 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Leisure and Recreation Products is currently in the top 42% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. American Outdoor Brands, Inc. (AOUT), another stock in the same industry, has yet to report results for the quarter ended July 2026. The results are expected to be released on September 3. This company is expected to post quarterly loss of $0.24 per share in its upcoming report, which represents a year-over-year change of +7.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. American Outdoor Brands, Inc.'s revenues are expected to be $35.64 million, up 20% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Malibu Boats, Inc. (MBUU) : Free Stock Analysis Report American Outdoor Brands, Inc. (AOUT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research