LOUDON, Tenn. – Malibu Boats, Inc. (Nasdaq:MBUU) today announced its financial results for the first quarter of fiscal 2016 ended September 30, 2015.
“Malibu had another excellent quarter, meeting or exceeding our financial and operating targets for the seventh straight quarter since our IPO,” said CEO Jack Springer. “The U.S. market, our largest market by far, continues to perform well and more than offsets any currency related challenges we face in Canada and other international markets. In the first fiscal quarter, we have already introduced three new boats: the Axis A20, the Wakesetter 20 VTX and the Wakesetter 25 LSV. Orders for the new models were up significantly in the first quarter and all three have been very well received.”
Malibu’s net sales increased 20.1 percent to $57.2 million compared to the first quarter of fiscal 2015. Included in net sales for the three months ended September 30, 2015 were net sales of $4.8 million attributable to our Australian operations acquired in the second quarter of fiscal 2015.
Unit volume for the three months ended September 30, 2015 increased 22.6 percent to 825 boats, including 79 units from Australia.
Net sales per unit decreased 2.0 percent to $69,382, primarily driven by Malibu’s Australian operations, which carry a lower average selling price per unit, and the elimination of parts sales between operations in the U.S. and Australia.
Net sales per unit in the U.S. increased 2.0 percent to $72,245 compared to the first quarter of fiscal 2015. The increase was primarily driven by higher prices on new model year product, partially offset by increased discount activity on international sales to offset the impact of negative foreign currency fluctuations on sales prices and increased sales of the Axis brand, which carry a lower average selling price than the Malibu brand.
Gross profit increased 21.6 percent to $14.7 million, which resulted primarily from higher volumes. Gross margin increased 30 basis points to 25.7 percent compared to the first quarter of fiscal 2015. The increase in gross margin was primarily driven by higher prices on new model year products as well as vertical integration efforts around trailer manufacturing, which went into full production at the beginning of the first quarter of fiscal 2016.
Adjusted EBITDA increased 17.3 percent to $9.4 million from the same period in fiscal 2015. Adjusted fully distributed net income increased 9.5 percent to $4.7 million, or $0.25 per share, compared to the first quarter of fiscal 2015.
“Malibu began manufacturing our own trailers in July as part of our continued vertical integration plan. This introduction has gone very well and is already paying dividends for us,” Springer said. “We manufacture far more boat components than any of our competitors, providing significant advantage to our dealers and retail customers on both the operating and value sides of the equation. We expect the continued growth in our segment and strong execution will continue to deliver industry leading results.”