MasterCraft Boat Holdings yesterday announced the results for its first quarter of fiscal 2024.
Net sales during the quarter decreased $104.2 million, or 38.5%, from the prior-year quarter. Diluted adjusted net income per share, a non-GAAP measure, was $0.47, down 67.1%. Adjusted EBIDTA, also a non-GAAP measure, decreased to $12.2 million, a 66% decline. Gross profit declined $24.1 million.
According to a statement: “The net sales decrease reflects lower unit volume as we focus on rebalancing dealer inventories consistent with anticipated softness in retail demand, and an increase in dealer incentives, partially offset by higher prices. Dealer incentives include higher floorplan financing costs as a result of increased dealer inventories and interest rates,
and other incentives as the retail environment remains competitive.”
“Our business performed well during the first quarter, as we delivered better-than-expected results despite continuing macroeconomic and demand uncertainty,” chairman and CEO Fred Brightbill said in the statement. “With the summer selling season now complete, we are focused on rebalancing dealer inventories with anticipated retail demand as we seek to ensure the health of our dealer network. We are maintaining a disciplined approach to capital allocation as we prioritize balance sheet resilience and the return of cash to shareholders through our share repurchase program.”
The company predicts consolidated net sales between $390 million and $420 million for fiscal 2024, with adjusted EBITDA between $42 million and $52 million, and adjusted net income per diluted share between $1.46 and $1.88. For the second quarter, consolidated net sales are expected to be approximately $96 million.
