New-boat registrations were up in October in the aluminum fish, pontoon, outboard fiberglass, bowrider/deck, cruiser and ski-wake segments. For the month, all main segments were up by 4.3%, with 5,811 new boats sold compared with 5,571 in the same month of 2022. For the year to date, the numbers were 142,700, a 6.9% decrease compared with 153,347 last year.
“Given what we’re dealing with on the interest-rate side, it’s kind of surprising to us how well the market has held up,” says Michael Schwartz, director of equity research at Truist Securities. “It gives hope to people next year. If we start to talk about interest rates coming down, that’s a positive.”
Schwartz was looking at data provided by Statistical Surveys, a Michigan-based firm that compiled information from 31 states, representing about 68.56% of the U.S. recreational boating market.
Owners registered 33 cruisers measuring 31 to 40 feet, a 10% boost from 30 in October 2022, while ski-wake enjoyed a resurgence with 306 new boats sold, an 8.5% increase over 282 in the same month a year ago. Also showing an 8.5% jump over 2022, there were 1,421 new pontoon boats purchased in October compared with 1,310 the previous year. Aluminum fishboats were up 6.2% with 1,585 new sales versus 1,493 in October 2022.
Sneaking in on the positive side, outboard-powered fiberglass boats measuring 11 to 50 feet had 2,255 new registrations in October, a 0.3% gain over the same month last year. Sterndrive-powered bowriders and deckboats also rebounded with 160 boats sold, an 8.8% jump over 2022’s 147.
Two main segments that had negative numbers for October were semicustom/custom yachts larger than 66 feet, with six registered. That’s a 45.5% decline from 11 in October 2022. Yachts between 41 and 65 feet were also down 10%, with 45 new hulls registered in 2023 compared to 50 the previous year.
Other segments didn’t fare as well. After big gains in 2023, personal watercraft have come back to Earth with 1,625 new registrations in October, a 32.8% drop from 2022’s 2,417. Jetboats followed a similar trend with 128 sold in the tenth month of 2023, a 30.1% decline from 183 in 2022. “Personal watercraft are coming up against tough comps when the supply-chain challenges leveled off,” Schwartz says.
With just 13 new registrations in October, electric boats were off by 43.5% compared with 23 units the year before. Sailboat numbers were 83 in October, a 17% drop from 100 the year before.
Total registrations for the year to date were 8,565, which was down from last year’s 9,346. Florida led with 2,377 new boats, followed by Texas at 897, South Carolina at 647, California at 538 and Louisiana at 466.
Given the economic environment in the country, Schwartz remains upbeat. “The industry is not falling apart,” he says. “Things could be a lot worse.”
This article was originally published in the January 2024 issue.
