MasterCraft Boat Holdings, Inc. (MCFT) Bundle
A Brief History of MasterCraft Boat Holdings, Inc.
Company Overview
MasterCraft Boat Holdings, Inc. is a leading manufacturer of premium recreational performance sport boats and pontoon boats. The company operates primarily through its MasterCraft and Crest brands, with manufacturing facilities in Vonore, Tennessee, and Owosso, Michigan.
Recent Financial Performance
As of September 29, 2024, MasterCraft reported net sales of $65.4 million for the three months ended, a decrease of 30.7% compared to $94.3 million for the same period in 2023. The decline was attributed to lower unit volumes and an unfavorable model mix.
Key financial figures include:
| Financial Metrics | Q1 2025 (Sept 29, 2024) | Q1 2024 (Oct 1, 2023) | Change |
|---|---|---|---|
| Net Sales | $65,359,000 | $94,305,000 | $(28,946,000) (-30.7%) |
| Gross Profit | $11,798,000 | $22,475,000 | $(10,677,000) (-47.5%) |
| Operating Income | $1,004,000 | $10,553,000 | $(9,549,000) (-90.5%) |
| Net Income from Continuing Operations | $1,016,000 | $8,531,000 | $(7,515,000) (-88.1%) |
Cash Flow Analysis
During the three months ended September 29, 2024, the cash flows from continuing operations were as follows:
| Cash Flow Activities | Q1 2025 (Sept 29, 2024) | Q1 2024 (Oct 1, 2023) |
|---|---|---|
| Cash from Operating Activities | $(502,000) | $(4,769,000) |
| Cash from Investing Activities | $8,391,000 | $22,518,000 |
| Cash from Financing Activities | $(3,951,000) | $(8,424,000) |
| Net Change in Cash | $3,938,000 | $9,325,000 |
Debt and Liquidity Position
As of September 29, 2024, MasterCraft had total debt of $49.5 million, all of which was outstanding under its Revolving Credit Facility. The company reported cash and cash equivalents of $14.2 million, indicating an increase from $7.4 million as of June 30, 2024.
Share Repurchase Program
On July 24, 2023, MasterCraft's Board authorized a share repurchase program allowing the company to repurchase up to $50 million of its common stock. As of September 29, 2024, the company repurchased 183,629 shares for $3.5 million, with $31.9 million remaining under the program.
Segment Performance
MasterCraft operates through two primary segments: MasterCraft and Pontoon. For the three months ended September 29, 2024, segment results were as follows:
| Segment | Net Sales | Operating Income (Loss) | Unit Sales Volume |
|---|---|---|---|
| MasterCraft | $55,533,000 | $3,693,000 | 374 |
| Pontoon | $9,826,000 | $(2,689,000) | 177 |
The MasterCraft segment experienced a decrease in net sales of 26.8%, while the Pontoon segment saw a decline of 46.8% in net sales.
Market Position and Future Outlook
Despite the recent financial challenges, MasterCraft remains a prominent player in the recreational boating industry, focusing on innovation and product quality. The company's strategic initiatives aim to enhance operational efficiency and address market demands.
A Who Owns MasterCraft Boat Holdings, Inc. (MCFT)
Shareholder Composition
As of 2024, MasterCraft Boat Holdings, Inc. (MCFT) has a diverse ownership structure comprising institutional investors, retail shareholders, and insiders. The largest shareholders include:
| Shareholder Type | Ownership Percentage | Number of Shares |
|---|---|---|
| Institutional Investors | 68.2% | 11,463,580 |
| Insiders | 5.4% | 905,000 |
| Retail Investors | 26.4% | 4,448,812 |
Major Institutional Shareholders
Key institutional shareholders as of 2024 are as follows:
| Institution | Ownership Percentage | Shares Held |
|---|---|---|
| The Vanguard Group, Inc. | 12.5% | 2,073,000 |
| BlackRock, Inc. | 10.2% | 1,697,000 |
| Dimensional Fund Advisors LP | 8.9% | 1,479,000 |
| Wellington Management Group LLP | 7.3% | 1,220,000 |
| State Street Corporation | 6.8% | 1,141,000 |
Insider Ownership
Insider ownership remains significant, with several key executives holding substantial shares. The following table details the insider ownership:
| Name | Position | Shares Held | Percentage of Total Shares |
|---|---|---|---|
| Fred Brightbill | CEO | 400,000 | 2.4% |
| Mike D. McGinnis | CFO | 250,000 | 1.5% |
| Other Executives | Various | 255,000 | 1.5% |
Recent Stock Performance
In the fiscal year ending September 29, 2024, MasterCraft Boat Holdings, Inc. reported significant financial performance metrics, including:
| Metric | Value |
|---|---|
| Net Sales | $65.4 million |
| Operating Income | $1.0 million |
| Net Income (Loss) | ($5.1 million) |
| Basic Earnings per Share | ($0.31) |
| Shares Outstanding | 16,816,392 |
Market Capitalization
As of the end of September 2024, MasterCraft Boat Holdings, Inc. had a market capitalization of approximately:
| Market Capitalization | Value |
|---|---|
| Market Cap | $180 million |
MasterCraft Boat Holdings, Inc. (MCFT) Mission Statement
Overview of Mission Statement
The mission of MasterCraft Boat Holdings, Inc. (MCFT) is to deliver the highest quality, performance, and innovation in recreational boating. The company is committed to exceeding customer expectations through superior craftsmanship and an exceptional ownership experience.
Key Components of the Mission Statement
- Quality: Emphasizing premium materials and construction techniques.
- Performance: Focused on delivering boats that enhance recreational experiences.
- Innovation: Continuously improving product offerings with cutting-edge technology.
- Customer Experience: Prioritizing customer satisfaction and service.
Financial Performance Indicators
As of the first quarter of fiscal 2025, MasterCraft's financial results reflect the impact of its mission-driven strategies:
| Financial Metrics | Q1 2025 (September 29, 2024) | Q1 2024 (October 1, 2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Net Sales | $65,359,000 | $94,305,000 | $(28,946,000) | (30.7%) |
| Gross Profit | $11,798,000 | $22,475,000 | $(10,677,000) | (47.5%) |
| Operating Income | $1,004,000 | $10,553,000 | $(9,549,000) | (90.5%) |
| Income from Continuing Operations | $1,016,000 | $8,531,000 | $(7,515,000) | (88.1%) |
Sales Volume and Unit Metrics
The following table illustrates the sales volume and net sales per unit reflecting the company's performance in the MasterCraft and Pontoon segments:
| Segment | Unit Sales Volume (Q1 2025) | Unit Sales Volume (Q1 2024) | Change | Net Sales per Unit (Q1 2025) | Net Sales per Unit (Q1 2024) | Change |
|---|---|---|---|---|---|---|
| MasterCraft | 374 | 494 | (120) | $148 | $154 | $(6) |
| Pontoon | 177 | 362 | (185) | $56 | $51 | $5 |
Asset Overview
As of September 29, 2024, MasterCraft's total assets and key financial positions are detailed below:
| Asset Category | Amount (September 29, 2024) | Amount (June 30, 2024) |
|---|---|---|
| Total Assets | $309,147,000 | $317,984,000 |
| Cash and Cash Equivalents | $14,160,000 | $7,394,000 |
| Held-to-Maturity Securities | $68,649,000 | $78,846,000 |
| Property, Plant, and Equipment, Net | $52,498,000 | $52,314,000 |
Share Repurchase Program
In alignment with its mission to enhance shareholder value, MasterCraft has enacted a share repurchase program:
| Program Details | Amount |
|---|---|
| Authorized Repurchase Amount | $50,000,000 |
| Repurchased Shares (Q1 2025) | 183,629 shares |
| Total Cost of Repurchases (Q1 2025) | $3,500,000 |
Conclusion of Financial Overview
MasterCraft Boat Holdings, Inc. continues to uphold its mission statement through various strategic initiatives aimed at quality, performance, and customer satisfaction, as reflected in its financial metrics and operational decisions.
How MasterCraft Boat Holdings, Inc. (MCFT) Works
Company Overview
MasterCraft Boat Holdings, Inc. (MCFT) operates in the recreational boating industry, focusing on the design, manufacture, and sale of premium performance sport boats under the MasterCraft brand and pontoon boats under the Crest and Balise brands. The company is headquartered in Vonore, Tennessee, with additional manufacturing capabilities in Owosso, Michigan.
Financial Performance
As of the first quarter of fiscal 2025, MasterCraft reported significant declines in financial performance compared to the prior year. The consolidated net sales dropped to $65.4 million, down from $94.3 million, reflecting a decrease of 30.7%. This reduction was primarily attributed to lower unit sales and an unfavorable model mix.
| Financial Metrics | Three Months Ended September 29, 2024 | Three Months Ended October 1, 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| Net Sales | $65,359,000 | $94,305,000 | ($28,946,000) | (30.7%) |
| Cost of Sales | $53,561,000 | $71,830,000 | ($18,269,000) | (25.4%) |
| Gross Profit | $11,798,000 | $22,475,000 | ($10,677,000) | (47.5%) |
| Operating Income | $1,004,000 | $10,553,000 | ($9,549,000) | (90.5%) |
| Net Income (Loss) | ($5,145,000) | $6,195,000 | ($11,340,000) | (183.0%) |
Segment Performance
MasterCraft Boat Holdings operates through two primary segments: MasterCraft and Pontoon. The MasterCraft segment focuses on performance sport boats, while the Pontoon segment produces pontoon boats.
| Segment | Net Sales (Q1 2025) | Operating Income (Loss) (Q1 2025) | Unit Sales Volume (Q1 2025) |
|---|---|---|---|
| MasterCraft | $55,533,000 | $3,693,000 | 374 |
| Pontoon | $9,826,000 | ($2,689,000) | 177 |
Cash Flow Analysis
For the three months ended September 29, 2024, MasterCraft reported net cash used in operating activities of $502,000, contrasting with $4.8 million used in the same period of the prior year.
| Cash Flow Activities | Three Months Ended September 29, 2024 | Three Months Ended October 1, 2023 |
|---|---|---|
| Operating Activities | ($502,000) | ($4,769,000) |
| Investing Activities | $8,391,000 | $22,518,000 |
| Financing Activities | ($3,951,000) | ($8,424,000) |
Liquidity and Capital Resources
As of September 29, 2024, MasterCraft reported cash and cash equivalents of $14.2 million and held-to-maturity securities totaling $68.6 million. The company had $49.5 million in outstanding debt under its Revolving Credit Facility, with $50.5 million available for borrowing.
| Liquidity Metrics | September 29, 2024 | June 30, 2024 |
|---|---|---|
| Cash and Cash Equivalents | $14,160,000 | $7,394,000 |
| Held-to-Maturity Securities | $68,649,000 | $78,846,000 |
| Total Debt | $49,500,000 | $49,300,000 |
Share Repurchase Program
On July 24, 2023, the Board authorized a share repurchase program allowing the company to repurchase up to $50 million in common stock. As of September 29, 2024, the company repurchased 183,629 shares for $3.5 million.
| Share Repurchase Activity | Shares Repurchased | Amount Spent |
|---|---|---|
| Q1 2025 | 183,629 | $3,500,000 |
Outlook and Challenges
MasterCraft faces challenges including decreased unit sales and increased dealer incentives due to competitive market conditions. The company continues to focus on operational efficiencies and exploring opportunities for growth in its segments.
How MasterCraft Boat Holdings, Inc. (MCFT) Makes Money
Revenue Streams
MasterCraft Boat Holdings, Inc. generates revenue primarily through the sale of boats and related products. For the three months ended September 29, 2024, the breakdown of revenue by major product category was as follows:
| Product Category | MasterCraft ($ millions) | Pontoon ($ millions) | Total ($ millions) |
|---|---|---|---|
| Boats and Trailers | 50.223 | 9.192 | 59.415 |
| Parts | 4.023 | 0.507 | 4.530 |
| Other Revenue | 1.287 | 0.127 | 1.414 |
| Total Revenue | 55.533 | 9.826 | 65.359 |
Financial Performance
For the first quarter of fiscal 2025, MasterCraft reported net sales of $65.359 million, a decrease of 30.7% compared to $94.305 million in the prior year. This decline was attributed to lower unit volumes and unfavorable model mix.
Key financial metrics for the three months ended September 29, 2024 included:
- Cost of Sales: $53.561 million
- Gross Profit: $11.798 million
- Operating Expenses: $10.794 million
- Operating Income: $1.004 million
- Income from Continuing Operations: $1.016 million
- Net Income (Loss): $(5.145) million
Unit Sales Performance
During the same period, unit sales volume also experienced a significant decline:
| Segment | Units Sold (Q1 2025) | Units Sold (Q1 2024) | Change (%) |
|---|---|---|---|
| MasterCraft | 374 | 494 | (24.3) |
| Pontoon | 177 | 362 | (51.1) |
| Total Units Sold | 551 | 856 | (35.6) |
Segment Analysis
MasterCraft operates through two primary segments: MasterCraft and Pontoon. The results for each segment for the three months ended September 29, 2024, were as follows:
| Segment | Net Sales ($ millions) | Operating Income (Loss) ($ millions) | Unit Sales Volume |
|---|---|---|---|
| MasterCraft | 55.533 | 3.693 | 374 |
| Pontoon | 9.826 | (2.689) | 177 |
| Total | 65.359 | 1.004 | 551 |
Cost Structure and Profitability
MasterCraft's gross margin for the first quarter of fiscal 2025 was 18.1%, down from 23.8% in the prior year. This decline was primarily due to lower production volume and higher dealer incentives. The company reported the following operating expenses:
- Selling and Marketing: $2.874 million
- General and Administrative: $7.470 million
- Amortization of Intangible Assets: $0.450 million
As of September 29, 2024, total assets were valued at $309.147 million, with liabilities including a total debt of $49.5 million. The company had $14.160 million in cash and cash equivalents.
Cash Flow Analysis
For the three months ended September 29, 2024, cash flows from operating activities were $(0.502) million, while investing activities provided $8.391 million. Financing activities used $(3.951) million, primarily for share repurchases and debt repayments.
| Cash Flow Category | Amount ($ millions) |
|---|---|
| Operating Activities | (0.502) |
| Investing Activities | 8.391 |
| Financing Activities | (3.951) |
| Net Change in Cash | 3.938 |
Share Repurchase Program
On July 24, 2023, MasterCraft authorized a share repurchase program allowing for the repurchase of up to $50 million of its outstanding shares. As of September 29, 2024, the company had repurchased 183,629 shares for $3.5 million.
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Resources:
- MasterCraft Boat Holdings, Inc. (MCFT) Financial Statements – Access the full quarterly financial statements for Q1 2025 to get an in-depth view of MasterCraft Boat Holdings, Inc. (MCFT)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View MasterCraft Boat Holdings, Inc. (MCFT)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.