FISCAL THIRD QUARTER 2024 RESULTS

M A Y 8 , 2 0 2 4

FORWARD-LOOKING STATEMENTS

T h i s presentation contains forward - looking statements within the meaning of the federal securities laws, which statements involve substantial risks and uncertainties . Forward - looking statements generally relate to future events and include, without limitation, projections, forecasts and estimates about possible or assumed future results of the Company's business, financial condition, liquidity, results of operations, plans and objectives . In some cases, you can identify forward - looking statements because they contain words such as "may," "might," "will," "would," "should," "expect," "plan," "anticipate," "could," "intend," "target," "project," "contemplate," "believe," "estimate," "predict," "likely," "potential" or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans or intentions .

These forward - looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by the Company and its management, are inherently uncertain . Factors that may cause actual results to differ materially from current expectations include, but are not limited to, those factors identified in the Company's Annual Report on Form 10 - K for Fiscal Year 2023 and Quarterly Reports on Form 10 - Q for Fiscal Year 2024 in the sections titled "Risk factors," "Cautionary note regarding forward - looking statements" and "Management's discussion and analysis of financial condition and results of operations . " New risks and uncertainties arise over time, and it is not possible for us to predict all such factors or how they may affect us .

Nothing in this presentation should be regarded as a representation by any person that the forward - looking statements set forth herein will be achieved or that any of the contemplated results of such forward - looking statements will be achieved . You should not place undue reliance on forward - looking statements, which speak only as of the date they are made . The Company undertakes no duty to update these forward - looking statements . Certain of the economic and market information contained herein has been obtained from published sources and/or prepared by other parties . Neither the Company nor any of its directors, stockholders, officers, affiliates, employees, agents or advisers, nor any other person, assumes any responsibility for the accuracy, reliability or completeness of any information in this presentation, and we expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward - looking statements to reflect any change in expectation or events, conditions or circumstances on which such statements are based .

This presentation includes certain non - GAAP financial measures, including EBITDA, Adjusted EBITDA, EBITDA Margin, Adjusted EBITDA Margin, Adjusted Net Income, and Adjusted Net Income Per Share . These non - GAAP financial measures should be considered only as supplemental to, and not as superior to, financial measures prepared in accordance with GAAP. Please refer to the Appendix of this presentation for a reconciliation of Net Income, the most directly comparable financial measure prepared in accordance with U . S . GAAP, to EBITDA, Adjusted EBITDA, Adjusted Net Income, and Adjusted Net Income Per Share .

This presentation is confidential and may not be reproduced or otherwise distributed or disseminated, in whole or part, without the prior written consent of the Company, which consent may be withheld in its sole and absolute discretion .

Any investment in the Company will be subject to certain risks related to the nature of the Company's business and the structure and operations of the Company. Any investment in the Company should be made only with an appreciation of the applicable risks, which are described in the Company's filings with the SEC .

We do not provide forward - looking guidance for certain financial measures on a U . S . GAAP basis because we are unable to predict certain items contained in the U . S . GAAP measures without unreasonable efforts . These items may include acquisition - related costs, litigation charges or settlements, impairment charges, and certain other unusual adjustments .

Unless otherwise noted, the commentary herein is made on a continuing operations basis .

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CALL PARTICIPANTS

Brad Nelson

Chief Executive Officer

Tim Oxley

Chief Financial Officer

F I S C A L T H I R D Q U A R T E R 2 0 2 4 R E S U L T S

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DIVERSIFIED PORTFOLIO OF LEADING BRANDS

SERVING THE FASTEST GROWING CATEGORIES OF THE POWERBOAT INDUSTRY

SKI-WAKE

BOATS

Iconic brand recognized as the premier brand in the fastest-growing, highest- margin category of the powerboat industry, focused on high performance, relentless innovation and the highest quality

PONTOON

BOATS

Growing pontoon brand delivering consumers a broad product offering of high-quality, stylish and comfortable boats at an incredible value

LUXURY DAY

BOATS

De novo brand that creates an elevated open water experience by fusing progressive European style and effortless comfort with American engineering

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FISCAL THIRD QUARTER 2024 RESULTS

F I S C A L T H I R D Q U A R T E R 2 0 2 4 R E S U L T S

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THIRD QUARTER EARNINGS HIGHLIGHTS

Better-than-Expected

Financial Results

  • Net sales of $95.7 million, down 42.6%
  • Diluted Adjusted Net Income per share of $0.37, down 72.8%
  • Adjusted EBITDA of $9.7 million, down 70.6%

Resilient Balance Sheet Provides Abundant Flexibility

  • Strong balance sheet provides resilience and flexibility
  • Well positioned to pursue capital allocation priorities
  • Laying the foundation for future growth with targeted initiatives such as Balise

Rebalancing Dealer

Inventories

  • Dealer inventories decreased modestly during quarter
  • Unsupportive macroeconomic factors creating uncertainty and limiting retail visibility
  • 2024 production plans rebalance dealer inventories with projected retail demand

Revising Full Year Guidance

  • Net sales between $360 million and $365 million
  • Adjusted EBITDA between $28 million and $30 million
  • Adjusted Earnings Per Share between $0.95 and $1.05
  • Capital expenditures of approximately $17 million
  • Delivered better than expected Q3 results despite macroeconomic uncertainty and highly competitive retail environment
  • Focused on rebalancing dealer inventories

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THIRD QUARTER COMPARATIVE RESULTS

NET SALES

UNIT VOLUME

($'s in millions)

$180

$166.8

$95.7

1,800

1,656

805

$160

$12.8

34

1,600

$140

$36.4

1,400

722

$120

1,200

$100

$11.7

1,000

$80

800

39

$14.2

$60

$117.6

600

900

298

$40

400

$69.8

200

468

$20

0

$-

Q3 FY23

Q3 FY24

Q3 FY23

Q3 FY24

MasterCraft '

Crest

'

Aviara

MasterCraft '

Crest '

Aviara

Net sales of $95.7 million, down

Wholesale units of 805, down

42.6% from Q3 FY23

51.4% from Q3 FY23

ADJUSTED EBITDA

($'s in millions)

$35

$33.0

$30

$25

$20

$15

$10

$9.7

$5

$-

Q3 FY23

Q3 FY24

Adjusted EBITDA of $9.7 million,

down 70.6% from Q3 FY23

ADJUSTED DILUTED NET INCOME PER SHARE

$1.60

$1.40

$1.36

$1.20

$1.00

$0.80

$0.60

$0.40

$0.37

$0.20

$-

Q3 FY23

Q3 FY24

$0.37 per share, down 72.8% from

Q3 FY23

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THIRD QUARTER YTD COMPARATIVE RESULTS

NET SALES

UNIT VOLUME

($'s in millions)

$600

$495.5

$299.4

6,000

4,901

2,570

$500

$39.6

5,000

100

$400

$116.6

4,000

2,344

$300

$31.4

3,000

92

$200

$49.7

2,000

1,025

$339.3

2,457

$100

$218.3

1,000

1,453

$-

0

YTD FY23

YTD FY24

YTD FY23

YTD FY24

MasterCraft '

Crest

'

Aviara

MasterCraft '

Crest

'

Aviara

YTD net sales of $299.4 million,

YTD wholesale units of 2,570,

down 39.6% from FY23

down 47.6% from FY23

ADJUSTED EBITDA

($'s in millions)

$120

$100

$98.7

$80

$60

$40

$32.1

$20

$-

YTD FY23

YTD FY24

YTD Adjusted EBITDA of $32.1

million, down 67.5% from FY23

ADJUSTED DILUTED NET INCOME PER SHARE

$4.50

$4.00

$3.98

$3.50

$3.00

$2.50

$2.00

$1.50

$1.25

$1.00

$0.50

$-

YTD FY23 YTD FY24

  • YTD Adjusted Diluted Net Income of $1.25 per share, down 68.6% from FY23

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BALISE PONTOON LAUNCH

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CAPITAL ALLOCATION FRAMEWORK

RETAIN STRONG FINANCIAL POSITION

  • Maintain healthy balance sheet
  • Ensure adequate liquidity
  • Zero net debt

INVEST IN GROWTH

Organic Growth:

  • New products / R&D
  • Internal brand development
  • Capacity expansion

M&A:

  • Strategic acquisitions to fill consumer white space

RETURN EXCESS CASH

  • $50 million share repurchase program authorized in July 2023 ($39.9 million available)
  • Continue to prudently and opportunistically return excess cash to shareholders

KEY METRICS

($'s in millions)

Cash and Investments

$105.7

Total Debt

$50.4

Capital Expenditures (FYTD)

$12.6

Share Repurchases (FYTD)

$11.7

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Disclaimer

Mastercraft Boat Holdings Inc. published this content on 08 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 May 2024 12:41:02 UTC.