Malibu Boats (NASDAQ:MBUU) Issues Earnings Results, Beats Expectations By $0.14 EPS

Malibu Boats (NASDAQ:MBUU) posted its quarterly earnings results on Thursday, August 27th. The company reported $0.92 EPS for the quarter, topping the consensus estimate of $0.78 by $0.14, Briefing.com reports. Malibu Boats had a net margin of 0.18% and a return on equity of 4.78%. The business had revenue of $295.54 million during the quarter, compared to analysts’ expectations of $263.89 million. During the same period last year, the company posted $0.42 earnings per share. The firm’s quarterly revenue was up 42.8% compared to the same quarter last year.

Here are the key takeaways from Malibu Boats’ conference call:

• Strong fourth-quarter execution: Net sales rose 42.7% to $295.5 million and adjusted EBITDA increased 72.7% to $33.9 million, with adjusted EBITDA margin expanding 200 basis points to 11.5%. Legacy sales also grew 13.2% before Saxdor’s contribution.
• Saxdor expands growth opportunities: The acquisition contributed $61.2 million of fourth-quarter revenue and opens access to the adventure day-boat category, European markets and a younger affluent customer base. Malibu expects Saxdor revenue to grow at a low-teens rate in fiscal 2027, with margins improving toward 10%-11% as Fort Pierce production scales.
• Fiscal 2027 outlook calls for substantial growth: Management forecast net sales of $1.080 billion-$1.120 billion and adjusted EBITDA of $101 million-$109 million, supported by low- to mid-single-digit growth in legacy brands and mid-teens growth at Saxdor.
• Industry demand remains pressured: Management expects the broader market to be flat to down in fiscal 2027, with weakness concentrated in the first half and payment-sensitive buyers slower to return. Fiberglass segments remain more pressured than the overall market, while low- to mid-single-digit input-cost inflation and tariffs are embedded in guidance.
• Balance sheet and capital returns improved: Malibu ended the year with $74.4 million of cash, approximately 1.2 times net leverage and $43.2 million of free cash flow. A refinancing extended debt maturity to 2031, and the board authorized a new $70 million share-repurchase program.

Malibu Boats Stock Up 1.3%

Shares of MBUU traded up $0.32 during mid-day trading on Tuesday, hitting $23.95. 99,415 shares of the company traded hands, compared to its average volume of 285,022. Malibu Boats has a 1-year low of $22.82 and a 1-year high of $34.97. The company has a quick ratio of 0.60, a current ratio of 1.43 and a debt-to-equity ratio of 0.31. The company has a market capitalization of $471.30 million, a PE ratio of 342.04 and a beta of 1.15. The business has a 50 day moving average of $27.56 and a 200 day moving average of $26.85.

Analysts Set New Price Targets

MBUU has been the subject of a number of research reports. Benchmark restated a “buy” rating on shares of Malibu Boats in a research note on Friday, August 28th. Raymond James Financial restated a “market perform” rating on shares of Malibu Boats in a report on Monday, August 31st. DA Davidson reiterated a “neutral” rating and issued a $30.00 price objective on shares of Malibu Boats in a research note on Monday, June 15th. Truist Financial lifted their price objective on Malibu Boats from $31.00 to $34.00 and gave the stock a “hold” rating in a report on Monday, July 6th. Finally, Zacks Research downgraded Malibu Boats from a “strong-buy” rating to a “hold” rating in a research note on Thursday, July 9th. Two equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $31.60.

Malibu Boats Company Profile

Malibu Boats, Inc is a designer, manufacturer and marketer of recreational powerboats. The company produces boats for water sports, cruising, fishing and general recreation, serving consumers through a network of dealers primarily in the United States and selected international markets.

Its portfolio includes Malibu and Axis wake and watersports boats, Cobalt luxury bowriders and runabouts, and a range of saltwater fishing and offshore boats sold under brands associated with Pursuit and Maverick Boat Group, including Pathfinder, Hewes and Cobia.