Malibu Boats, a leading water sports boat manufacturer, has reported a significant decline in sales for the fiscal first quarter. The company’s Chief Executive, Jack Springer, expressed concern over the deteriorating demand throughout the quarter.
Decline in Profit
For the three months ending on September 30, Malibu Boats recorded a profit of $20.8 million, translating to 98 cents per share. This is a decrease from the $36.1 million profit ($1.69 per share) achieved during the same period last year.
Adjusted Earnings Exceed Expectations
After excluding one-time items such as stock-based compensation and income tax provisions, adjusted earnings reached $1.13 per share. This figure surpassed analyst expectations of 88 cents per share, according to a FactSet survey.
Malibu Boats experienced a decline in sales, with revenues dropping to $255.8 million from $302.2 million during the same period of the previous year. Analysts surveyed by FactSet had anticipated sales of $244.1 million.
Challenging Business Environment
According to Jack Springer, the retail environment significantly worsened as the quarter progressed. Customers no longer exhibited the same sense of urgency seen in previous years. This, coupled with unfavorable interest rates and macroeconomic conditions, posed challenges for the company.
To learn more about Malibu Boats and their quarterly report, please visit their website or contact their investor relations department.