Malibu Boats (MBUU) Q3 2026 earnings summary

Executive summary

• Net sales rose 3.1% year-over-year to $235.7 million for the quarter ended March 31, 2026, driven by the Saxdor acquisition and favorable model/segment mix, despite a decline in unit volume.

• Gross profit declined 9.7% to $41.3 million, with gross margin down 250 basis points to 17.5% due to higher per-unit costs and fixed cost deleveraging.

• Adjusted EBITDA was $22.7 million (9.6% margin), down from $28.3 million (12.4% margin) year-over-year.

• GAAP net loss was $2.4 million versus net income of $13.2 million last year, mainly due to acquisition and integration expenses.

• Acquisition of Saxdor Yachts completed in March 2026, expanding the portfolio into premium adventure dayboats and establishing a global platform.

Financial highlights

• Q3 net sales were $235.7 million, including $23.1 million from Saxdor; legacy net sales were $212.6 million.

• Gross margin was 17.5%, up 420 bps sequentially but down 250 bps year-over-year.

• Adjusted net income per share was $0.56, down from $0.74 in the prior year.

• Free cash flow for the quarter was $16 million, up from $8.7 million in the prior year period.

• Cash and equivalents at quarter-end were $50.2 million; long-term debt was $165.0 million.

Outlook and guidance

• FY 2026 net sales expected at $880–$886 million and adjusted EBITDA at $72–$74 million (combined legacy and Saxdor).

• Q4 consolidated net sales projected at $261–$267 million and adjusted EBITDA at $29–$31 million (11–12% margin).

• Legacy business FY revenue outlook raised due to Q3 outperformance; legacy adjusted EBITDA margin expected at lower end of 8–9% range.

• Saxdor Q4 net sales expected at $57–$59 million with 10–11% EBITDA margin.

• Management expects continued soft retail demand and dealer inventory reductions for the remainder of fiscal 2026 due to macroeconomic uncertainty, inflation, and high interest rates.