Financial Data and Key Metrics Changes - Net sales decreased 5.8% to $188.6 million, with unit volume decreasing 9.5% to 1,106 units, primarily due to lower wholesale shipments and unfavorable segment and model mix [12][15] - Consolidated net sales per unit increased 4.1% to $170,544 per unit, driven by favorable model mix in Cobalt and saltwater fishing segments and inflation-driven price increases [12][13] - Gross profit decreased 32.9% to $25.1 million, with gross margin at 13.3%, a decrease of 540 basis points compared to the prior year [13][14] - Adjusted EBITDA decreased 52.5% to $8 million, with adjusted EBITDA margin decreasing to 4.3% from 8.4% in the prior year [15] Business Line Data and Key Metrics Changes - Malibu and Axis represented approximately 46.4% of unit sales, saltwater fishing represented 25.5%, and Cobalt made up the remaining 28.1% [12] - The decrease in net sales was driven by decreased unit volumes across all segments, with Malibu segment facing unfavorable model mix [12][15] Market Data and Key Metrics Changes - The broader industry is experiencing a modest overhang on non-current inventory, but the company maintains a healthy inventory position for model year 2026 boats [9][11] - The company expects the market to decline in the range of mid to high single digits for the fiscal year, with sales expected to be flat to down mid-single digits year-over-year [17] Company Strategy and Development Direction - The company is focused on customer-driven innovation, operational excellence, and disciplined capital allocation to drive long-term growth [6][8] - The introduction of new models and partnerships is central to the company's strategy, with plans to showcase new products at the Miami International Boat Show [6][8] - The company is also expanding its marine components business and centralized sourcing initiatives to improve efficiency and reduce costs [10][11] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about the retail environment, noting a successful year-end sales event and strong customer response to new models [5][11] - The company is closely monitoring market conditions and is prepared to scale production in line with retail demand if necessary [18] - Management expects to see benefits from centralized sourcing and operational improvements in the latter part of the fiscal year [44] Other Important Information - The company generated $8.4 million of free cash flow during Q2, with $20.8 million of share repurchases completed during the quarter [16] - The company anticipates Adjusted EBITDA margins of approximately 8.5% for Q3 and expects to maintain operational discipline despite market challenges [17][18] Q&A Session Summary Question: Impact of higher boat show expenses on EBITDA margin - Management indicated that higher boat show expenses contributed about 50 basis points of cost pressure for the quarter [21][22] Question: Inventory levels compared to the industry - Management noted that while the industry has pockets of elevated inventory, their inventory position is healthy and well-managed [23] Question: MBI Acceptance program rollout and its impact - Early feedback from dealers on the MBI Acceptance program has been positive, with some increase in traffic and sales at boat shows [27] Question: Centralized sourcing initiatives and cost savings - Management expects significant benefits from centralized sourcing efforts to impact margins positively in the latter part of the fiscal year [28] Question: Dealer sentiment and inventory management - Dealer feedback has been mixed but generally positive, with additional orders resulting from successful boat shows [32] Question: Outlook for labor costs - Management anticipates that operational effectiveness and centralized sourcing will help manage labor costs moving forward [36] Question: Competitive landscape in the ski and wake category - Management acknowledged ongoing efforts to stimulate growth in the ski/wake segment, collaborating with industry peers [39][40] Question: Confidence in EBITDA margin guidance for Q3 - Management outlined expectations for sequential growth, fixed-cost leverage, and reduced promotional spending as key drivers for margin growth [43][44]

Core Insights - Malibu Boats (MBUU) reported a quarterly loss of $0.02 per share, better than the Zacks Consensus Estimate of a loss of $0.03, and a significant decline from earnings of $0.31 per share a year ago, representing an earnings surprise of +20.00% [1] - The company achieved revenues of $188.62 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 1.22%, although this is a decrease from year-ago revenues of $200.28 million [2] - Malibu Boats has outperformed the S&P 500, with shares increasing by approximately 22.7% since the beginning of the year compared to the S&P 500's gain of 0.5% [3] Earnings Outlook - The future performance of Malibu Boats' stock will largely depend on management's commentary during the earnings call and the company's earnings outlook, including current consensus earnings expectations for upcoming quarters [4] - The current consensus EPS estimate for the next quarter is $0.68 on revenues of $215.43 million, and for the current fiscal year, it is $1.13 on revenues of $789.65 million [7] Industry Context - The Leisure and Recreation Products industry, to which Malibu Boats belongs, is currently ranked in the top 37% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors or through tools like the Zacks Rank [5]

Financial Performance - The company reported a net loss of $2,462,000 for the quarter ending December 31, 2025[18]. - For the six months ended December 31, 2025, Malibu Boats reported a net loss of $3,221,000 compared to a net loss of $2,726,000 for the same period in 2024, indicating a year-over-year increase in losses of approximately 18.2%[22]. - Basic net loss attributable to Malibu Boats, Inc. for the three months ended December 31, 2025, was $(2,462) thousand, compared to a profit of $2,363 thousand in 2024[87]. - Loss before income taxes was reported at $4.210 million for the six months ended December 31, 2025, compared to an income before income taxes of $2.600 million in the same period of 2024[114]. Revenue and Sales - Revenue for the three months ended December 31, 2025, was $70.633 million, a decrease from $74.099 million in the same period of 2024, representing a decline of 6.3%[32]. - For the three months ended December 31, 2025, total net sales reached $188.622 million, a decrease from $200.280 million in the same period of 2024, representing a decline of approximately 5.8%[111][112]. - For the six months ended December 31, 2025, total net sales were $383.355 million, compared to $383.355 million in the same period of 2024, indicating no growth year-over-year[114]. Assets and Liabilities - Total current assets decreased from $219,892,000 as of June 30, 2025, to $214,706,000 as of December 31, 2025, a decline of approximately 2.0%[15]. - Total liabilities increased from $214,745,000 to $216,437,000, an increase of about 0.8%[15]. - The company’s total assets decreased from $734,578,000 to $715,705,000, a decline of approximately 2.6%[15]. - Stockholders' equity attributable to Malibu Boats, Inc. decreased from $515,461,000 to $495,043,000, a decline of approximately 3.9%[15]. Cash Flow and Reserves - Cash reserves decreased from $37,002,000 to $28,209,000, representing a decrease of about 23.6%[15]. - Net cash provided by operating activities for the six months ended December 31, 2025, was $19,182,000, slightly down from $20,005,000 in 2024, a decrease of about 4.1%[22]. - Cash at the end of the period decreased to $28,209,000 in 2025 from $37,002,000 at the beginning of the period, a decline of approximately 23.8%[22]. Inventory Management - Inventories increased from $142,163,000 to $146,851,000, an increase of about 3.8%[15]. - Inventories decreased by $4,647,000 in 2025, contrasting with an increase of $178,000 in 2024, showing a significant shift in inventory management[22]. - Total inventories as of December 31, 2025, amounted to $146.851 million, an increase from $142.163 million as of June 30, 2025, reflecting a rise of 3.9%[39]. Debt and Financing - The company’s long-term debt increased from $18,000,000 to $20,000,000, an increase of approximately 11.1%[15]. - Outstanding debt as of December 31, 2025, was $20,000, an increase from $18,000 as of June 30, 2025[51]. - The total amount financed under floor financing programs with repurchase obligations was $415,211 thousand as of December 31, 2025, an increase from $364,085 thousand as of June 30, 2025[88]. Tax and Legal Matters - The Company's effective tax rate for the three months ended December 31, 2025, is 34.1%, significantly higher than 6.9% for the same period in 2024[72]. - A securities class action lawsuit was filed against the company on April 29, 2024, alleging violations of the Securities Exchange Act, with a proposed settlement amount of $7.8 million pending court approval[101]. - The company intends to vigorously defend itself against various lawsuits, including customer class action and derivative actions, but is unable to provide reasonable estimates of potential losses[103][102]. Stock and Compensation - The 2024 Performance Incentive Plan allows for the issuance of up to 1,020,000 shares, with 605,741 shares remaining available for future issuance as of December 31, 2025[74]. - Stock-based compensation expense for the three months ended December 31, 2025, was $1,221, down from $2,133 in the same period of 2024, representing a decrease of 43%[82]. - Stock-based compensation expense for restricted service-based stock units granted on November 21, 2025, is valued at $3,138 based on a stock price of $26.59[77].

Use & Definition of Non-GAAP Financial Measures This presentations includes the following financial measures defined as non-GAAP financial measures by the Securities and Exchange Commission: Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net (Loss) Income, Adjusted Net (Loss) Income per Share and Free Cash Flow. These measures have limitations as analytical tools and should not be considered as an alternative to, or more meaningful than, net (loss) income as determined in accordance with U.S. generally a ...

Exhibit 99.1 MALIBU BOATS, INC. ANNOUNCES SECOND QUARTER FISCAL 2026 RESULTS Loudon, TN, February 5, 2026 - Malibu Boats, Inc. (Nasdaq: MBUU) today announced its financial results for the second quarter ended December 31, 2025. Second Quarter Fiscal 2026 Highlights Compared to Second Quarter Fiscal 2025: "We exceeded second-quarter revenue expectations, despite a challenging retail environment and are optimistic entering the early boat show season," commented Steve Menneto, President and Chief Executive Off ...

Core Insights - Malibu Boats, Inc. reported second-quarter financial results for fiscal 2026, showing a decline in net sales and profitability compared to the same quarter in fiscal 2025, but expressed optimism about future demand and operational efficiency [3][5]. Financial Performance - Net sales for the three months ended December 31, 2025, decreased by $11.7 million, or 5.8%, to $188.6 million compared to the same period in 2024 [4][5]. - Gross profit fell by 32.9% to $25.1 million, with a gross profit margin of 13.3%, down from 18.7% in the prior year [4][12]. - The company reported a net loss of $2.5 million, compared to a net income of $2.4 million in the same quarter of the previous year [5][28]. - Adjusted EBITDA decreased by 52.5% to $8.0 million, with an adjusted EBITDA margin of 4.3% [5][34]. Segment Performance - Net sales in the Malibu segment decreased by $3.5 million, or 4.7%, to $70.6 million, with unit volumes down by 12 units [7]. - The Saltwater Fishing segment saw a decrease in net sales of $4.8 million, or 6.8%, to $65.3 million, with unit volumes down by 35 units [8]. - Cobalt segment net sales decreased by $3.4 million, or 6.0%, to $52.6 million, with unit volumes down by 69 units [9]. Cost and Expense Management - Cost of sales increased by $0.6 million, or 0.4%, to $163.5 million, driven by higher per unit material and labor costs [11]. - Selling and marketing expenses rose by 1.4% to $6.1 million, while general and administrative expenses decreased by 21.5% to $20.8 million [13][14]. Future Outlook - For the full fiscal year 2026, Malibu anticipates net sales to be flat to down mid-single digits year-over-year, with an adjusted EBITDA margin ranging from 8% to 9% [15].

Core Viewpoint - Analysts expect Malibu Boats (MBUU) to report a quarterly loss of -$0.03 per share, reflecting a year-over-year decline of 109.7%, with revenues projected at $186.35 million, down 7% from the previous year [1] Group 1: Earnings Estimates - The consensus EPS estimate for the upcoming quarter has remained unchanged over the last 30 days, indicating a reevaluation of initial estimates by analysts [1][2] - Changes in earnings estimates are crucial for predicting investor reactions to the stock, with empirical studies showing a strong relationship between earnings estimate revisions and short-term price performance [2] Group 2: Revenue Projections - Revenue by product for Malibu is estimated at $68.70 million, indicating a decline of 7.3% from the year-ago quarter [4] - Revenue by product for Cobalt is projected to reach $51.85 million, reflecting a decrease of 7.4% from the prior-year quarter [4] - Revenue by product for Saltwater Fishing is expected to be $66.05 million, showing a year-over-year change of -5.9% [5] Group 3: Unit Volume and Sales Metrics - Unit Volume by Segment for Malibu is projected at 490, down from 525 reported in the same quarter last year [5] - Unit Volume by Segment for Cobalt is expected to be 313, compared to 380 in the same quarter of the previous year [6] - The consensus for Net Sales per Unit - Total is $169,800, an increase from $163,895 reported in the same quarter last year [6] - Total Unit Volume is estimated at 1,098, down from 1,222 in the year-ago quarter [6] - Unit Volume by Segment for Saltwater Fishing stands at 295, compared to 317 in the same quarter of the previous year [7] Group 4: Stock Performance - Shares of Malibu Boats have increased by 11.1% over the past month, outperforming the Zacks S&P 500 composite, which moved up by 1.8% [7] - With a Zacks Rank of 3 (Hold), MBUU is expected to mirror overall market performance in the near future [7]

Core Viewpoint - Malibu Boats, Inc. is set to release its second quarter fiscal 2026 financial results on February 5, 2026, before market opening, followed by a conference call to discuss the results [1]. Group 1: Financial Results Announcement - The financial results will be released on February 5, 2026, before the market opens [1]. - A conference call will be hosted by the company's President and CEO, Steve Menneto, and CFO, David Black, at 8:30 a.m. Eastern Time on the same day [1]. Group 2: Conference Call Participation - Investors and analysts can participate in the conference call by dialing (844) 695-5523 or (412) 317-0699 [2]. - A live webcast of the conference call will be available on the Investor Relations section of the company's website, with a replay archived for twelve months [2]. Group 3: Company Overview - Malibu Boats, Inc. is based in Loudon, Tennessee, and is a leading designer, manufacturer, and marketer of recreational powerboats [3]. - The company is a market leader in various segments, including performance sport boats, sterndrive boats, and saltwater fishing boats, with brands such as Malibu, Axis, Cobalt, Pursuit, and Cobia [3]. - Malibu Boats is recognized as an innovator in the powerboat industry, catering to a diverse range of recreational boaters and water sports enthusiasts [3].

Upgrades - CFRA upgraded Pool Corp. (POOL) to Buy from Hold with a price target of $304 [2] - Piper Sandler upgraded SEI Investments (SEIC) to Overweight from Neutral with a price target of $102, increased from $93, citing SEI as a "clear beneficiary" of the expanding alternatives landscape [2] - TD Cowen upgraded Ametek (AME) to Buy from Hold with a price target of $230, up from $180, noting that backlog remains near highs and is expected to grow [3] Downgrades - TD Cowen downgraded Janus Henderson (JHG) to Hold from Buy with a price target of $49 after the company agreed to be acquired for $7.4 billion or $49.00 per share [4] - Piper Sandler downgraded Clearwater Analytics (CWAN) to Neutral from Overweight with a price target of $24.55, down from $27, following its agreement to be acquired for $24.55 per share in cash [4] - BMO Capital downgraded Brown & Brown (BRO) to Market Perform from Outperform with a price target of $88, down from $90, due to lower consensus organic growth estimates for 2026 [5] - Evercore ISI downgraded Coty (COTY) to In Line from Outperform with a price target of $7, citing a lack of visibility on timing and catalysts for potential value unlock [6] Initiations - Oppenheimer initiated coverage of Spruce Biosciences (SPRB) with an Outperform rating and a price target of $283, supported by FDA confirmation of compelling clinical biomarker data [7] - LifeSci Capital initiated coverage of Sionna Therapeutics (SION) with an Outperform rating and a price target of $60, highlighting multiple quality shots on goal with its therapies [7] - Oppenheimer initiated coverage of Aardvark Therapeutics (AARD) with an Outperform rating and a price target of $35, noting the company's differentiated obesity franchise [7] - JonesResearch initiated coverage of Septerna (SEPN) with a Buy rating and a price target of $43, forecasting $2.5 billion in unadjusted U.S. peak sales in 2035 [7] - Loop Capital initiated coverage of Malibu Boats (MBUU) with a Buy rating and a price target of $34, indicating the marine industry is in the late stages of inventory rationalization [7]

Core Insights - Malibu Boats, Inc. has increased its share repurchase program from $50 million to $70 million, reflecting the board's confidence in the company's long-term strategy and financial position [1][2] - The company aims to balance investing in its core business while returning excess capital to shareholders, indicating a commitment to delivering shareholder value [2] Financial Performance - In the second quarter, Malibu Boats repurchased $20.7 million of shares under the existing repurchase program, demonstrating active capital allocation [3] Company Overview - Malibu Boats, Inc. is a leading designer and manufacturer of recreational powerboats, including performance sport, sterndrive, and outboard boats, with a strong market presence in various segments [4] - The company is recognized for its innovation in the powerboat industry, catering to a diverse range of recreational boaters and water sports enthusiasts [4]