CORRECTING AND REPLACING Malibu Boats, Inc. Announces Fourth Quarter and Full Year Fiscal 2026 Results
Rhea-AI Summary
Malibu Boats (Nasdaq: MBUU) issued a corrected fourth‑quarter fiscal 2026 release, revising only certain non‑GAAP metrics tied to acquisition and integration expenses, while confirming that previously reported GAAP net sales, gross profit, operating income and net income are unchanged.
For Q4 2026, according to the company, net sales rose 42.7% to $295.5 million, unit volume grew 19.2% to 1,456, gross profit increased 59.4% to $52.2 million and GAAP net income grew 53.7% to $7.4 million. Adjusted EBITDA was corrected to $31.4 million (10.6% margin) and adjusted net income per share to $0.82. For fiscal 2026, net sales increased 13.3% to $914.6 million, but GAAP net income declined 88.8% to $1.7 million, while adjusted EBITDA slipped 1.1% to $73.9 million.
Malibu highlighted contributions from its newly acquired Saxdor segment, stronger pricing and mix, and higher operating cash flow and free cash flow. The board also authorized a $70 million fiscal 2027 share repurchase program, and the company refinanced its credit agreement, extending maturity to 2031.
Positive
- Q4 2026 net sales +42.7% to $295.5 million versus Q4 2025
- Q4 2026 adjusted EBITDA +59.7% to $31.4 million, 10.6% margin
- Fiscal 2026 net sales +13.3% to $914.6 million year over year
- Operating cash flow fiscal 2026 +19.5% to $67.5 million
- Free cash flow fiscal 2026 +48.3% to $43.2 million
- $70 million fiscal 2027 share repurchase program authorized by the board
Negative
- Fiscal 2026 GAAP net income -88.8% to $1.7 million
- Fiscal 2026 diluted GAAP EPS -88.2% to $0.09 per share
- Fiscal 2026 adjusted EBITDA -1.1% to $73.9 million
- Fiscal 2026 gross margin down to 16.0% from 17.8% in 2025
- General and administrative expenses up to $105.1 million for fiscal 2026
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Aug 27 | Fiscal results | Positive | +8.1% | Fourth-quarter earnings growth and fiscal-year results were accompanied by an 8.11% reaction. |
| Aug 14 | Earnings date notice | Neutral | +0.3% | The company announced the scheduled fiscal fourth-quarter and full-year results release. |
| Jul 13 | Credit refinancing | Positive | +0.1% | Credit facility refinancing extended debt maturity to July 2031. |
| May 07 | Fiscal results | Positive | +18.5% | Third-quarter results included Saxdor acquisition progress and full-year guidance. |
| Apr 23 | Earnings date notice | Neutral | +4.5% | The company scheduled its third-quarter fiscal 2026 results and conference call. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Historical selected events were followed by positive 24-hour reactions, including 8.11% and 18.46% after earnings results.
Key Terms
non-gaap financial
adjusted ebitda financial
free cash flow financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Board Authorizes Fiscal 2027 Share Repurchase Program of
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
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
Results of Operations for the Fourth Quarter and Fiscal Year 2026 (Unaudited)
| Three Months Ended June 30, | Fiscal Year Ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| (In thousands, except unit and per unit data) | ||||||||||||||||
| Net Sales | $ | 295,537 | $ | 207,039 | $ | 914,590 | $ | 807,561 | ||||||||
| Gross Profit | $ | 52,190 | $ | 32,740 | $ | 146,520 | $ | 144,091 | ||||||||
| Gross Profit Margin | 17.7 | % | 15.8 | % | 16.0 | % | 17.8 | % | ||||||||
| Net Income | $ | 7,366 | $ | 4,793 | $ | 1,707 | $ | 15,240 | ||||||||
| Net Income Margin | 2.5 | % | 2.3 | % | 0.2 | % | 1.9 | % | ||||||||
| Adjusted EBITDA | $ | 31,393 | $ | 19,657 | $ | 73,936 | $ | 74,770 | ||||||||
| Adjusted EBITDA Margin | 10.6 | % | 9.5 | % | 8.1 | % | 9.3 | % | ||||||||
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
Net sales attributable to our Malibu segment increased
Net sales attributable to our Saltwater Fishing segment increased
Net sales attributable to our Cobalt segment increased
Net sales attributable to our Saxdor segment were
Overall consolidated net sales per unit increased
Cost of sales for the three months ended June 30, 2026 increased
Gross profit for the three months ended June 30, 2026 increased
Selling and marketing expenses for the three months ended June 30, 2026 increased
Operating income for the three months ended June 30, 2026 increased to
Comparison of the Fiscal Year Ended June 30, 2026 to the Fiscal Year Ended June 30, 2025
Net sales for fiscal year 2026 increased
Net sales attributable to our Malibu segment increased
Net sales attributable to our Saltwater Fishing segment increased
Net sales attributable to our Cobalt segment increased
Since our acquisition on March 2, 2026, net sales and unit volume attributable to our Saxdor segment were
Overall consolidated net sales per unit increased
Cost of sales for fiscal year 2026 increased
Gross profit for fiscal year 2026 increased
General and administrative expense for fiscal year 2026 increased
Operating income for fiscal year 2026 decreased to
Balance Sheet, Cash Flow and Capital Allocation
As of June 30, 2026, the Company had
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
While the Company paused its share repurchase activities during the refinancing negotiations, the Board of Directors authorized a new
For the full fiscal year ended June 30, 2026, the Company generated
Fiscal 2027 Guidance
For the full fiscal year 2027, Malibu anticipates net sales in the range of
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 Black
Chief Financial Officer
(865) 458-5478
InvestorRelations@MalibuBoats.com
| MALIBU BOATS, INC. AND SUBSIDIARIES Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) (In thousands, except share and per share data) | |||||||||||||||
| Three Months Ended June 30, | Fiscal Year Ended June 30, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||
| Net sales | $ | 295,537 | $ | 207,039 | $ | 914,590 | $ | 807,561 | |||||||
| Cost of sales | 243,347 | 174,299 | 768,070 | 663,470 | |||||||||||
| Gross profit | 52,190 | 32,740 | 146,520 | 144,091 | |||||||||||
| Operating expenses: | |||||||||||||||
| Selling and marketing | 6,773 | 5,390 | 27,480 | 23,071 | |||||||||||
| General and administrative | 31,772 | 18,826 | 105,136 | 92,460 | |||||||||||
| Amortization | 4,302 | 1,695 | 10,805 | 6,799 | |||||||||||
| Operating income | 9,343 | 6,829 | 3,099 | 21,761 | |||||||||||
| Other expense, net: | |||||||||||||||
| Other income, net | (2,299 | ) | (359 | ) | (2,907 | ) | (385 | ) | |||||||
| Interest expense | 1,916 | 377 | 3,559 | 1,883 | |||||||||||
| Other expense, net | (383 | ) | 18 | 652 | 1,498 | ||||||||||
| Income before provision for income taxes | 9,726 | 6,811 | 2,447 | 20,263 | |||||||||||
| Provision for income taxes | 2,360 | 2,018 | 740 | 5,023 | |||||||||||
| Net income | 7,366 | 4,793 | 1,707 | 15,240 | |||||||||||
| Net income attributable to non-controlling interest | 134 | 119 | 54 | 361 | |||||||||||
| Net income attributable to Malibu Boats, Inc. | $ | 7,232 | $ | 4,674 | $ | 1,653 | $ | 14,879 | |||||||
| Comprehensive income (loss): | |||||||||||||||
| Net income | $ | 7,366 | $ | 4,793 | $ | 1,707 | $ | 15,240 | |||||||
| Other comprehensive income (loss): | |||||||||||||||
| Change in cumulative translation adjustment | (1,529 | ) | 1,156 | (5,985 | ) | (448 | ) | ||||||||
| Other comprehensive (loss) income | (1,529 | ) | 1,156 | (5,985 | ) | (448 | ) | ||||||||
| Comprehensive income (loss) | 5,837 | 5,949 | (4,278 | ) | 14,792 | ||||||||||
| Less: comprehensive income attributable to non-controlling interest | 106 | 148 | (15 | ) | 346 | ||||||||||
| Comprehensive income (loss) attributable to Malibu Boats, Inc., net of tax | $ | 5,731 | $ | 5,801 | $ | (4,263 | ) | $ | 14,446 | ||||||
| Weighted average shares outstanding used in computing net income per share: | |||||||||||||||
| Basic | 19,723,237 | 19,326,533 | 19,304,771 | 19,664,337 | |||||||||||
| Diluted | 19,759,525 | 19,351,452 | 19,344,924 | 19,694,677 | |||||||||||
| Net income available to Class A Common Stock per share: | |||||||||||||||
| Basic | $ | 0.37 | $ | 0.24 | $ | 0.09 | $ | 0.76 | |||||||
| Diluted | $ | 0.37 | $ | 0.24 | $ | 0.09 | $ | 0.76 | |||||||
| MALIBU BOATS, INC. AND SUBSIDIARIES Condensed Consolidated Balance Sheets (Unaudited) (In thousands, except share and per share data) | |||||||
| June 30, 2026 | June 30, 2025 | ||||||
| Assets | |||||||
| Current assets | |||||||
| Cash | $ | 74,419 | $ | 37,002 | |||
| Trade receivables, net | 33,353 | 23,034 | |||||
| Inventories, net | 180,066 | 142,163 | |||||
| Prepaid expenses and other current assets | 17,634 | 14,634 | |||||
| Assets held for sale | 3,059 | 3,059 | |||||
| Total current assets | 308,531 | 219,892 | |||||
| Property, plant and equipment, net | 249,663 | 235,877 | |||||
| Goodwill | 78,689 | 51,306 | |||||
| Other intangible assets, net | 295,965 | 168,634 | |||||
| Deferred tax asset | 50,419 | 51,601 | |||||
| Other assets | 12,927 | 7,268 | |||||
| Total assets | $ | 996,194 | $ | 734,578 | |||
| Liabilities | |||||||
| Current liabilities | |||||||
| Accounts payable | 46,790 | 24,420 | |||||
| Accrued expenses | 168,137 | 109,770 | |||||
| Income taxes and distribution payable | 392 | 151 | |||||
| Payable pursuant to tax receivable agreement, current portion | 113 | 271 | |||||
| Total current liabilities | 215,432 | 134,612 | |||||
| Deferred tax liabilities | 15,424 | 14,674 | |||||
| Other liabilities | 33,353 | 7,297 | |||||
| Payable pursuant to tax receivable agreement, less current portion | 38,559 | 40,162 | |||||
| Long-term debt | 165,000 | 18,000 | |||||
| Total liabilities | 467,768 | 214,745 | |||||
| Stockholders' Equity | |||||||
| Class A Common Stock, par value | 195 | 190 | |||||
| Class B Common Stock, par value | — | — | |||||
| Preferred Stock, par value | — | — | |||||
| Additional paid in capital | 48,567 | 35,253 | |||||
| Accumulated other comprehensive loss, net of tax | (10,631 | ) | (4,646 | ) | |||
| Accumulated earnings | 486,317 | 484,664 | |||||
| Total stockholders' equity attributable to Malibu Boats, Inc. | 524,448 | 515,461 | |||||
| Non-controlling interest | 3,978 | 4,372 | |||||
| Total stockholders’ equity | 528,426 | 519,833 | |||||
| Total liabilities and stockholders' equity | $ | 996,194 | $ | 734,578 | |||
| MALIBU BOATS, INC. AND SUBSIDIARIES Consolidated Statements of Cash Flows (In thousands) | ||||||||
| Fiscal Year Ended June 30, | ||||||||
| 2026 | 2025 | |||||||
| Operating activities: | ||||||||
| Net income | $ | 1,707 | $ | 15,240 | ||||
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
| Non-cash compensation expense | 5,603 | 5,916 | ||||||
| Non-cash compensation to directors | 1,041 | 1,091 | ||||||
| Depreciation | 33,147 | 31,794 | ||||||
| Amortization | 10,805 | 6,799 | ||||||
| Change in fair value of contingent consideration | (1,597 | ) | — | |||||
| Unrealized gain on foreign currency exchange | (1,053 | ) | — | |||||
| Deferred income taxes | 2,004 | 3,870 | ||||||
| Adjustment to tax receivable agreement liability | (1,029 | ) | (347 | ) | ||||
| Other items, net | 2,547 | 2,394 | ||||||
| Change in operating assets and liabilities, net of effect from acquisition: | ||||||||
| Trade receivables | (8,223 | ) | 106 | |||||
| Inventories | 20,678 | 3,373 | ||||||
| Prepaid expenses and other assets | 4,011 | (493 | ) | |||||
| Accounts payable | (4,543 | ) | 6,560 | |||||
| Income taxes receivable and payable | (21 | ) | 269 | |||||
| Accrued expenses | 6,749 | (17,758 | ) | |||||
| Other liabilities | (3,559 | ) | (2,308 | ) | ||||
| Payment pursuant to tax receivable agreement | (758 | ) | — | |||||
| Net cash provided by operating activities | 67,509 | 56,506 | ||||||
| Investing activities: | ||||||||
| Purchases of property and equipment | (24,663 | ) | (27,917 | ) | ||||
| Proceeds from sale of property and equipment | 352 | 543 | ||||||
| Payment for acquisition, net of cash acquired | (118,305 | ) | — | |||||
| Net cash used in investing activities | (142,616 | ) | (27,374 | ) | ||||
| Financing activities: | ||||||||
| Proceeds from revolving credit facility | 165,000 | 48,000 | ||||||
| Payments on revolving credit facility | (18,000 | ) | (30,000 | ) | ||||
| Proceeds received from exercise of stock options | — | 233 | ||||||
| Cash paid for tax withholdings | (1,205 | ) | (1,098 | ) | ||||
| Distributions to non-controlling LLC Unit holders | (204 | ) | — | |||||
| Repurchase and retirement of Class A Common Stock | (33,910 | ) | (35,955 | ) | ||||
| Net cash provided by (used in) financing activities | 111,681 | (18,820 | ) | |||||
| Effect of exchange rate changes on cash | 843 | (255 | ) | |||||
| Changes in cash | 37,417 | 10,057 | ||||||
| Cash—Beginning of period | 37,002 | 26,945 | ||||||
| Cash—End of period | $ | 74,419 | $ | 37,002 | ||||
| Supplemental cash flow information: | ||||||||
| Cash paid for interest | $ | 3,015 | $ | 1,945 | ||||
| Cash paid (refund) for income taxes, net | 905 | (655 | ) | |||||
| Non-cash operating, investing and financing activities: | ||||||||
| Establishment of deferred tax assets from step-up in tax basis | 52 | 367 | ||||||
| Establishment of amounts payable under tax receivable agreements | 26 | 167 | ||||||
| Exchange of LLC Units for Class A Common Stock | 95 | 691 | ||||||
| Tax distributions payable to non-controlling LLC Unit holders | 60 | — | ||||||
| Class A shares issued for acquisition | 41,706 | — | ||||||
| Contingent consideration issued for acquisition | 32,599 | — | ||||||
| Escrow receivable through earnout holdback | 1,709 | — | ||||||
| Reclassification of properties to assets held for sale | — | 3,059 | ||||||
| ROU assets obtained in exchange for lease liabilities | — | 1,787 | ||||||
| Capital expenditures in accounts payable | 531 | 250 | ||||||
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):
| Three Months Ended June 30, | Fiscal Year Ended June 30, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||
| Net income | $ | 7,366 | $ | 4,793 | $ | 1,707 | $ | 15,240 | |||||||
| Provision for income taxes | 2,360 | 2,018 | 740 | 5,023 | |||||||||||
| Interest expense | 1,916 | 377 | 3,559 | 1,883 | |||||||||||
| Depreciation | 8,793 | 8,395 | 33,147 | 31,794 | |||||||||||
| Amortization | 4,302 | 1,695 | 10,805 | 6,799 | |||||||||||
| Litigation settlement 1 | — | — | — | 3,500 | |||||||||||
| Acquisition related step-up inventory amortization 2 | 2,391 | — | 3,128 | — | |||||||||||
| Acquisition and integration related expenses 3 | 4,145 | — | 14,773 | — | |||||||||||
| Adjustment to earnout liability 4 | (2,449 | ) | — | (2,449 | ) | — | |||||||||
| Professional fees 5 | 1,355 | 1,112 | 3,952 | 4,962 | |||||||||||
| Stock-based compensation expense 6 | 1,387 | 1,619 | 5,603 | 5,916 | |||||||||||
| Adjustments to tax receivable agreement liability 7 | (173 | ) | (352 | ) | (1,029 | ) | (347 | ) | |||||||
| Adjusted EBITDA | $ | 31,393 | $ | 19,657 | $ | 73,936 | $ | 74,770 | |||||||
| Net Sales | $ | 295,537 | $ | 207,039 | $ | 914,590 | $ | 807,561 | |||||||
| Net Income Margin 8 | 2.5 | % | 2.3 | % | 0.2 | % | 1.9 | % | |||||||
| Adjusted EBITDA Margin 8 | 10.6 | % | 9.5 | % | 8.1 | % | 9.3 | % | |||||||
| (1) | Represents the amount paid pursuant to a settlement agreement with the Chapter 11 trustee (the "Trustee") for Tommy's Fort Worth LLC and its affiliate debtors. | |
| (2) | Acquisition related step-up inventory amortization represents the amortization of the fair value step-up in Saxdor's inventories resulting from the acquisition of Saxdor, which is recorded within Cost of goods sold. | |
| (3) | Represents legal and advisory fees as well as integration costs incurred in connection with our acquisition of Saxdor on March 2, 2026. | |
| (4) | Represents the change in the contingent consideration (earnout) liability recognized in connection with the acquisition of Saxdor on March 2, 2026. | |
| (5) | For fiscal year 2026 and 2025, represents legal and advisory fees, netted with insurance payments, related to ongoing litigation with our insurance carriers related to the Batchelder matters and ongoing litigation with Tommy's Boats and Matthew Borisch. | |
| (6) | Represents equity-based incentives awarded to employees under our long-term incentive plans. | |
| (7) | For fiscal year 2026, we recognized other income from an adjustment in our tax receivable agreement liability mainly due to decreased blended federal and state tax rate used in computing our future tax obligations used as a result of tax reform changes in H.R. 1, commonly referred to as the One Big Beautiful Bill Act ("OB3") and in turn, a | |
| (8) | We calculate net income margin as net income divided by net sales and we define adjusted EBITDA margin as adjusted EBITDA divided by net sales. | |
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):
| Three Months Ended June 30, | Fiscal Year Ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Reconciliation of Adjusted Net Income per Share of Class A Common Stock: | ||||||||||||||||
| Net income attributable to Malibu Boats, Inc. | $ | 7,232 | $ | 4,674 | $ | 1,653 | $ | 14,879 | ||||||||
| Provision for taxes | 2,360 | 2,018 | 740 | 5,023 | ||||||||||||
| Litigation settlement 1 | — | — | — | 3,500 | ||||||||||||
| Acquisition related amortization 2 | 4,262 | 1,659 | 10,653 | 6,653 | ||||||||||||
| Acquisition related step-up inventory amortization 3 | 2,391 | — | 3,128 | — | ||||||||||||
| Acquisition and integration related expenses 4 | 4,145 | — | 14,773 | — | ||||||||||||
| Adjustment to earnout liability 5 | (2,449 | ) | — | (2,449 | ) | — | ||||||||||
| Professional fees 6 | 1,355 | 1,112 | 3,952 | 4,962 | ||||||||||||
| Stock-based compensation expense 7 | 1,387 | 1,619 | 5,603 | 5,916 | ||||||||||||
| Adjusted income before taxes | 20,683 | 11,082 | 38,053 | 40,933 | ||||||||||||
| Income tax expense on adjusted income before income taxes 8 | 4,695 | 2,715 | 8,638 | 10,029 | ||||||||||||
| Adjusted net income | $ | 15,988 | $ | 8,367 | $ | 29,415 | $ | 30,904 | ||||||||
| Basic weighted-average shares outstanding | 19,723,237 | 19,326,533 | 19,304,771 | 19,664,337 | ||||||||||||
| Three Months Ended June 30, | Fiscal Year Ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Net income attributable to Malibu Boats, Inc. | $ | 0.37 | $ | 0.24 | $ | 0.09 | $ | 0.76 | ||||||||
| Provision for taxes | 0.12 | 0.10 | 0.04 | 0.26 | ||||||||||||
| Litigation settlement 1 | — | — | — | 0.18 | ||||||||||||
| Acquisition related amortization 2 | 0.22 | 0.08 | 0.55 | 0.34 | ||||||||||||
| Acquisition related step-up inventory amortization 3 | 0.12 | — | 0.16 | — | ||||||||||||
| Acquisition and integration related expenses 4 | 0.21 | — | 0.77 | — | ||||||||||||
| Adjustment to earnout liability 5 | (0.12 | ) | — | (0.13 | ) | — | ||||||||||
| Professional fees 6 | 0.07 | 0.06 | 0.20 | 0.25 | ||||||||||||
| Stock-based compensation expense 7 | 0.07 | 0.08 | 0.29 | 0.30 | ||||||||||||
| Adjusted income before taxes | 1.06 | 0.56 | 1.97 | 2.09 | ||||||||||||
| Income tax expense on adjusted income before income taxes 8 | 0.24 | 0.14 | 0.45 | 0.51 | ||||||||||||
| Adjusted net income | $ | 0.82 | $ | 0.42 | $ | 1.52 | $ | 1.58 | ||||||||
| (1) | Represents the amount paid pursuant to a settlement agreement with the Chapter 11 trustee (the "Trustee") for Tommy's Fort Worth LLC and its affiliate debtors. | |
| (2) | Represents amortization of intangibles acquired in connection with the acquisitions of Maverick Boat Group, Pursuit, Cobalt, and Saxdor. | |
| (3) | Acquisition related step-up inventory amortization represents the amortization of the fair value step-up in Saxdor's inventories resulting from the acquisition of Saxdor, which is recorded within Cost of goods sold. | |
| (4) | Represents legal and advisory fees as well as integration costs incurred in connection with our acquisition of Saxdor on March 2, 2026. | |
| (5) | Represents the change in the contingent consideration (earnout) liability recognized in connection with the acquisition of Saxdor on March 2, 2026. | |
| (6) | For fiscal year 2026 and 2025, represents legal and advisory fees, netted with insurance payments, related to ongoing litigation with our insurance carriers related to the Batchelder matters and ongoing litigation with Tommy's Boats and Matthew Borisch. | |
| (7) | Represents equity-based incentives awarded to employees under our long-term incentive plans. | |
| (8) | Reflects income tax expense at an estimated normalized annual effective income tax rate of | |
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):
| Three Months Ended June 30, | Fiscal Year Ended June 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Net cash provided by operating activities | $ | 26,950 | $ | 21,039 | $ | 67,509 | $ | 56,506 | ||||||||
| Net cash (used for) provided by: | ||||||||||||||||
| Plus: Capital expenditures | (10,055 | ) | (6,954 | ) | (24,663 | ) | (27,917 | ) | ||||||||
| Plus: Proceeds from the sale of property, plant and equipment | 99 | 155 | 352 | 543 | ||||||||||||
| Free cash flow | $ | 16,994 | $ | 14,240 | $ | 43,198 | $ | 29,132 | ||||||||
| Net cash used in investing activities | $ | (2,307 | ) | $ | (6,799 | ) | $ | (142,616 | ) | $ | (27,374 | ) | ||||
| Net cash (used in) provided by financing activities | $ | (552 | ) | $ | (15,965 | ) | $ | 111,681 | $ | (18,820 | ) | |||||
