MasterCraft Boat Holdings Inc (NASDAQ:MCFT) beat Wall Street’s estimates for both revenue and profit in its fiscal second quarter of 2019 as demand for its power and saltwater fishing boats remained robust.
In the three months ended on December 30, the Tennessee boat maker posted net income of $10.2 million, a gain of $2.2 million from the year-ago quarter. On an adjusted basis, its profit came in at $0.64 per share while its revenue swung to $121.5 million.
The results handily beat the expectations of analysts who had called for MasterCraft to earn $0.59 on revenue of $112.54 million.
With the recent launch of the company’s Aviara brand, MasterCraft will now have a line of brands focused on performance sports boats, outboard saltwater fishing boats, pontoon boats and luxury day boats. The company recently reached a distribution deal with MarineMax, the recreational boat and yacht retailer.
Last September’s acquisition of Crest, the pontoon boat maker, added $25.9 million in net sales in the second quarter.
“Throughout our fiscal second quarter, we continued to see year-over-year increases in retail demand for our products and our dealer inventory turns remained at healthy seasonal levels,” said Terry McNew, MasterCraft’s CEO, in a statement.
Mcnew said the company would focus on managing its finances in the second half of its fiscal year to improve “output, quality, margins and cash flow across all of the [company’s] brands."
Headquartered in Vonore, Tennessee, MasterCraft makes and distributes powerboats through its four divisions: MasterCraft, NauticStar, Crest and Aviara.
MasterCraft shares nudged up by 0.34% to $23.50 in after-hours trade on Thursday.
Contact Ellen Kelleher at [email protected]