Financial Data and Key Metrics Changes - Brunswick's first-quarter results exceeded expectations despite a challenging macro environment, with a notable $160 million improvement in free cash flow compared to Q1 2024, marking the second-best first-quarter cash flow on record [9][10] - Net sales decreased by 11% year-over-year, with adjusted operating margins at 6%, resulting in an adjusted EPS of $0.56 [27][28] - The updated adjusted EPS guidance for 2025 is now between $2.50 and $4.00 per share, reflecting significant uncertainty due to trade policy and macroeconomic conditions [22][36] Business Line Data and Key Metrics Changes - The propulsion business experienced a 16% decrease in sales primarily due to pipeline management and lower wholesale shipments, while the aftermarket engine parts and accessories business saw a 3% decrease in sales but a 7% increase in adjusted operating earnings [29][30] - The boat business reported a 13% decrease in sales, attributed to cautious wholesale ordering patterns, although Freedom Boat Club continued to expand globally with steady membership growth [31][14] - Navico Group's sales were flat year-over-year, with strong aftermarket sales offsetting reduced OEM orders [12][30] Market Data and Key Metrics Changes - The US main powerboat industry retail was down modestly in Q1, with Brunswick's performance primarily affected by declines in the value segment [18] - Outboard engine industry retail units declined by 6%, with Mercury's performance slightly lower due to registration calendarization [21] - US weeks on hand decreased to 35.6%, indicating a reduction in inventory levels compared to Q1 2024 [21] Company Strategy and Development Direction - Brunswick is considering streamlining its entry-level product offerings due to observed weakness in that segment, focusing on higher-margin products and growth opportunities [7][81] - The company is actively working on mitigating tariff impacts through supply chain adjustments, pricing strategies, and classification of components to minimize exposure [16][110] - Brunswick aims to maintain a strong focus on cash generation, with a target of $350 million in free cash flow for the year [36] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about the retail environment, noting stable dealer sentiment despite consumer volatility [17] - The uncertain tariff environment and macroeconomic conditions are expected to impact consumer spending, with potential volume pressures anticipated in the near term [14][24] - Management remains confident in the resilience of premium brands and their ability to navigate current challenges, with expectations for a flat US retail boat market in 2025 [37][92] Other Important Information - Brunswick launched several new products at the Miami Boat Show, including the SIMRAD NSS four multifunction display and the Flight Series 5 [38][39] - The company received multiple awards for its products and workplace culture, including recognition for being one of America's most trustworthy companies [41][42] Q&A Session Summary Question: Can you help us understand the guidance update for 2025? - Management indicated that the high end of the guidance range assumes a moderation in the tariff environment and better-than-expected mitigation efforts, while the low end reflects continued tariff pressures and volume declines [48][50] Question: What is the anticipated gross number for tariff mitigation? - Management stated that while it's difficult to provide an exact number, the gross impact is likely less than double the net impact due to various factors affecting timing and payment [60] Question: What are the plans to streamline entry-level boats? - Management confirmed that they are reducing the number of models in the entry-level category, focusing on higher-margin products and optimizing manufacturing [81][84] Question: How is the capital market volatility affecting consumer behavior? - Management noted that while there is some concern regarding capital market volatility, premium brands have shown resilience, and retail financing rates remain stable [92][125] Question: What are the mitigation actions against tariffs? - Management highlighted pricing strategies, supply chain migration, and component classification as key mitigation actions, with a significant reduction in dependency on China expected [108][111]

Core Viewpoint - Brunswick Exploration Inc. has reported significant lithium mineralization intersections on Globex Mining Enterprises Inc.'s Lac Escale royalty claims, indicating potential growth in the lithium sector [1][2]. Group 1: Lithium Mineralization Findings - The reported intersections include 36 meters grading 1.51% Li2O in Hole MR-24-102 and 1.32% Li2O over 28 meters in Hole MR-24-101 [2]. - A total of 24 drill holes were completed during the winter drill program, showcasing extensive exploration efforts [2]. Group 2: Company Details - Globex Mining Enterprises Inc. retains a 3% Gross Metal Royalty on the Lac Escale claims, which could provide a steady revenue stream as exploration progresses [2]. - The press release was authored by Jack Stoch, P. Geo., who serves as the President and CEO of Globex, indicating the company's commitment to transparency and regulatory compliance [5].

Core Insights - Brunswick reported $1.22 billion in revenue for Q1 2025, a year-over-year decline of 10.5%, with EPS of $0.56 compared to $1.35 a year ago, exceeding the Zacks Consensus Estimate of $1.13 billion by 7.69% and delivering an EPS surprise of 124% [1] Financial Performance - Net Sales in Propulsion were $487 million, exceeding the average estimate of $436.28 million, representing a year-over-year decline of 15.8% [4] - Net Sales for Engine Parts & Accessories reached $255.30 million, above the average estimate of $241.29 million, with a year-over-year decline of 2.7% [4] - Net Sales for Boats were $372.10 million, surpassing the estimated $346.09 million, reflecting a year-over-year decrease of 12.6% [4] - Net Sales from Segment Eliminations were -$100.80 million, worse than the average estimate of -$90.64 million, showing a year-over-year change of -10.2% [4] - Net Sales for Navico Group were $208.20 million, slightly above the average estimate of $204.19 million, with a year-over-year decline of 1.3% [4] Operating Earnings - Adjusted Operating Earnings for Propulsion were $46.50 million, exceeding the average estimate of $28.62 million [4] - Adjusted Operating Earnings for Engine Parts & Accessories were $39.10 million, above the average estimate of $31.95 million [4] - Adjusted Operating Earnings for Navico Group were $11.20 million, slightly below the average estimate of $11.38 million [4] - Adjusted Operating Earnings for Corporate/Other were -$33.80 million, worse than the average estimate of -$30.25 million [4] - Adjusted Operating Earnings for Boats were $9.10 million, below the average estimate of $12.74 million [4] Stock Performance - Brunswick's shares have returned -19.7% over the past month, compared to the Zacks S&P 500 composite's -5.1% change, with a Zacks Rank of 4 (Sell), indicating potential underperformance in the near term [3]

Brunswick (BC) came out with quarterly earnings of $0.56 per share, beating the Zacks Consensus Estimate of $0.25 per share. This compares to earnings of $1.35 per share a year ago. These figures are adjusted for non- recurring items. This quarterly report represents an earnings surprise of 124%. A quarter ago, it was expected that this boat and sporting goods company would post earnings of $0.18 per share when it actually produced earnings of $0.24, delivering a surprise of 33.33%. There are no easy answer ...

Financial Performance - First quarter 2025 net sales were $1,221.8 million, a decrease of 10.5% compared to Q1 2024[2] - GAAP diluted EPS for the first quarter was $0.30, while as adjusted diluted EPS was $0.56, reflecting a decline of 70.0% and 58.5% respectively year-over-year[2] - Operating earnings fell to $56.3 million, down 49% from $110.6 million in the same quarter last year[26] - Net earnings from continuing operations decreased by 70% to $20.2 million, compared to $68.4 million in Q1 2024[26] - Adjusted operating earnings for the total company were $72.1 million, down 49% from $141.5 million in Q1 2024[27] Segment Performance - The propulsion segment experienced a 16% decrease in sales compared to Q1 2024, with operating earnings also down due to lower sales and production levels[9] - The engine parts and accessories segment reported a 3% decrease in sales, but operating margin improved to 15%, up more than 100 basis points year-over-year[10] - Freedom Boat Club contributed approximately 11% of the boat segment sales, showing strong membership growth despite a 13% decrease in overall boat segment sales[12] - The Propulsion segment reported net sales of $487.0 million, a decline of 15.8% from $578.2 million in Q1 2024[28] - The Engine Parts & Accessories segment saw a slight decrease in net sales to $255.3 million, down 2.7% from $262.4 million[28] - The Navico Group segment experienced a 1.3% decline in net sales, totaling $208.2 million compared to $210.9 million[28] - Boat segment net sales decreased by $53.6 million, or 12.6%, from $425.7 million in Q1 2024 to $372.1 million in Q1 2025[31] - GAAP operating earnings for the boat segment fell by $21.7 million, or 73.8%, from $29.4 million in Q1 2024 to $7.7 million in Q1 2025[31] - Adjusted operating earnings for the boat segment decreased by $22.5 million, or 71.2%, from $31.6 million in Q1 2024 to $9.1 million in Q1 2025[31] Cash Flow and Financial Position - Brunswick generated outstanding free cash flow, with a $160 million improvement compared to Q1 2024, marking the second-best first quarter cash flow in over a decade[3] - Net cash used for operating activities of continuing operations was $(13.4) million in Q1 2025, compared to $(148.1) million in Q1 2024[33] - Free cash flow for Q1 2025 was $(44.4) million, a decrease from $(204.5) million in Q1 2024[33] - Cash and cash equivalents at the end of Q1 2025 were $286.7 million, down from $548.4 million at the end of Q1 2024[33] - Total assets increased from $5,677.7 million in Q1 2024 to $5,857.0 million in Q1 2025, reflecting a growth of $179.3 million[32] - Current liabilities rose from $1,279.9 million in Q1 2024 to $1,468.2 million in Q1 2025, an increase of $188.3 million[32] - The debt-to-capitalization rate increased from 55.3% in Q1 2024 to 57.0% in Q1 2025[32] Guidance and Strategic Initiatives - The company updated its full-year guidance, projecting net sales between $5.0 billion and $5.4 billion and adjusted diluted EPS in the range of $2.50 to $4.00[16] - Brunswick plans to continue investing in new products and technologies while managing supply chain actions to mitigate tariff impacts[15] - The company completed $26 million in share repurchases during the first quarter, reinforcing its commitment to return value to shareholders[8] Recognition and Taxation - Brunswick Corporation was recognized as one of America's Best Large Employers for 2024 by Forbes Magazine for the sixth consecutive year[25] - The effective tax rate increased to 28.1% from 21.4% year-over-year[26] - Research and development expenses decreased by 16% to $38.5 million from $45.8 million in the prior year[26] Corporate/Other Segment - GAAP operating loss in the Corporate/Other segment increased by $1.4 million, or 4.3%, from $(32.4) million in Q1 2024 to $(33.8) million in Q1 2025[31]

Core Viewpoint - Brunswick Corporation has released its first quarter 2025 financial results, indicating ongoing performance in the marine recreation industry [1]. Financial Results - The complete financial results press release is available on the company's website and will also be filed with the SEC [1]. Conference Call - A conference call is scheduled for April 24, 2025, at 10 a.m. CT, hosted by the CEO and CFO [2]. - Participants can join via telephone or listen online, with specific numbers provided for North America and international callers [3]. Replay Information - A replay of the conference call will be available until May 1, 2025, through designated phone numbers and the company's investor website [4]. Company Overview - Brunswick Corporation is a leader in marine recreation, offering innovative technology-driven solutions and operating over 60 industry-leading brands [5]. - The company employs approximately 14,500 people across 26 countries and has received multiple awards, including being named America's Best Large Employers for 2024 by Forbes [5].

Wall Street analysts forecast that Brunswick (BC) will report quarterly earnings of $0.25 per share in its upcoming release, pointing to a year-over-year decline of 81.5%. It is anticipated that revenues will amount to $1.14 billion, exhibiting a decline of 16.6% compared to the year-ago quarter. The current level reflects a downward revision of 0.6% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their ...

Core Viewpoint - Brunswick is expected to report a year-over-year decline in earnings due to lower revenues, which could significantly impact its near-term stock price depending on how actual results compare to consensus estimates [1][2]. Earnings Expectations - The upcoming earnings report is scheduled for April 24, 2025, with an expected earnings per share (EPS) of $0.25, reflecting a year-over-year decrease of 81.5% [3]. - Revenues are anticipated to be $1.14 billion, down 16.6% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 2.51% lower in the last 30 days, indicating a bearish sentiment among analysts regarding Brunswick's earnings prospects [4][10]. - The Most Accurate Estimate is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -27.31% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with positive readings being more predictive of earnings beats [6][7]. - A positive Earnings ESP combined with a strong Zacks Rank (1, 2, or 3) has shown a nearly 70% success rate for predicting earnings surprises [8]. Historical Performance - In the last reported quarter, Brunswick had an expected EPS of $0.18 but delivered $0.24, resulting in a surprise of +33.33% [12]. - Over the past four quarters, Brunswick has only beaten consensus EPS estimates once [13]. Conclusion - Brunswick does not currently appear to be a compelling candidate for an earnings beat, and investors should consider other factors when making decisions regarding the stock ahead of the earnings release [16].

Group 1 - The founder of "The Investment Editor's Cut" has over 25 years of experience in the financial and investment industry, currently operating an investor service [1] - The founder previously served as a Senior Managing Editor at Seeking Alpha for approximately 11 years and has experience in treasury management, financial liquidity, currency risk hedge portfolios, and investment arbitrage trades [1] - The founder has a strong interest in behavioral finance and combines investment ideas that are contrarian, event-driven, and structured trades [1] Group 2 - The founder completed the requirements for the CFA Charter in 2003 and is an active member of the CFA Institute [1] - The founder holds a beneficial long position in the shares of BC through stock ownership, options, or other derivatives [1] - The articles and investment ideas presented may reflect personal opinions and are not compensated by any company mentioned [1]

METTAWA, Ill., April 10, 2025 (GLOBE NEWSWIRE) -- Brunswick Corporation (NYSE: BC) will release its 2025 first quarter financial results on Thursday, April 24, 2025 before the market opens by way of an advisory release, notifying the public that the complete and full-text results will be available on the Company’s website at https://ir.brunswick.com. The results will also be available on the SEC’s website with the Form 8-K filing of the release at http://goo.gl/wJQN1. The Company will hold a conference cal ...