Malibu Boats, Inc. · NASDAQ:MBUU
Malibu Boats — Q3 2015 Earnings Presentation
16 slides from Malibu Boats's earnings presentation, May 5, 2015
Slide 1: Third Quarter 2015 Earnings Results
MALIBU BOATS INC. Third Quarter 2015 Earnings Results May 5, 2015
Slide 2: Safe Harbor Statement
Safe Harbor Statement Statements in this presentation that are not purely historical, including statements regarding Malibu Boats, Inc.’s (“Malibu Boats”) intentions, hopes, beliefs, expectations, representations, projections, estimates, plans or predictions of the future are forward‐looking stateme
Slide 3: Use and Definition of Non-GAAP Financial Measures
Use and Definition of Non‐GAAP Financial Measures This presentation includes the following financial measures defined as non‐GAAP financial measures by the SEC: Adjusted EBITDA and Adjusted Fully Distributed Net Income. These measures have limitations as analytical tools and should not be considered
Slide 4: Jack Springer, Chief Executive Officer
MALIBU BOATS – EARNINGS RELEASE Jack Springer Chief Executive Officer MALIBU BOATS INC. + THE TRUTH + THE ISIS TRUTH ON THE ON WATER THE + THE WATER TRUTH + THE ISIS TRUTH ON THE ON WATER THE + THE WATER TRUTH + THE ISIS TRUTH ON THE ON WATER THE + THE WATER TRUTH + THE ISIS TRUTH ON THE ON
Slide 5: Quarter Commentary
Quarter Commentary Net Sales(1) • Record 3rd quarter net sales, gross profit, Adjusted EBITDA, and AFDNI – Sales are up approximately 29% year‐over‐year • Net sales per unit increased 3.5% – 1% mix shift to Malibu AFDNI(2) – Strong optional feature selection • Strong profit growth through bottom lin
Slide 6: Market Commentary
Market Commentary Domestic Market Growth (1) • Retail Momentum CY2014 – 14.7% – Boat show and year end sales activity up year‐over‐year Higher than we expected – Entering core selling season now/calendar year demand still TBD Q1 CY2015 – 6% • Dealer inventory is healthy – Estimated inventory up a co
Slide 7: Key Takeaways
Key Takeaways • Boating industry still in recovery and performance boat segment finished calendar 2014 strongly • International challenges persist • Excitement about our product roadmap – Consumer acceptance of MY2015, models and features – MY2016 pivot towards Malibu brand • Continuing to execute o
Slide 8: Wayne Wilson, Chief Financial Officer
MALIBU BOATS – EARNINGS RELEASE Wayne Wilson Chief Financial Officer MALIBU BOATS INC. # + 19 BOAT + THE OF THE TRUTH ISYEAR & 31 ON THE PRODUCT WATER + THEEXCELLENCE TRUTH IS ONAWARDS + 19+BOAT THE WATER OF THEISYEAR THE TRUTH & 31WATER ON THE PRODUCT EXCELLENCE + THE AWA TRUTH IS ON
Slide 9: Net Sales and Volume Growth
Net Sales – 28.8% Growth (1) Volume – 24.4% Growth (1) Net Sales per Unit – 3.5% Growth Net Sale per Unit Components • Year‐over‐year price increases • Increased optional feature selection • 1% mix shift to Malibu • Australia drag (6.7% ex. Australia) (1) The blue section of the graph represents inc
Slide 10: Gross Profit and Adjusted Gross Margin
Mix Comparison Gross Profit – 35.6% Growth(1) (2) Adjusted Gross Margin(1)(2) (1) Gross Profit adjusted for $275k in Australia acquisition related cost of goods sold. (2) The blue section of the graph represents incremental results from our Australian Licensee acquired on October 23, 2014. …AND PERF
Slide 11: Adjusted EBITDA
Adjusted EBITDA – 31.9% Increase (1) Adj. EBITDA – Comparable Basis (1)(2)(3) Adjusted EBITDA • Strong growth driven by increased volume and Australia acquisition • Some incremental public company expenses incurred in FY15 that were not incurred in FY14 (1) See Appendix for a reconciliation of Non‐G
Slide 12: Full Year Outlook
Full Year Outlook Metric Target Change Unit Volume Mid to high single digit Unchanged Volume Growth Profile Flat Y/Y Q4 – US Updated Mix Axis slightly over 30% Unchanged Net Sales per Unit Mid single digits – US Updated Low single digits – Consolidated Unchanged Gross Margin Modest margin expansion
Slide 13: Appendix
APPENDIX ++60,000+ BOATS THE TRUTH IS ON THE WATER—AND COUNTING WATER + THE TRUTH + 60,000+ IS ON BOATS THE WATER ON TRUTH + THE THE WATER—AND COUNTING IS ON THE WATER + 60,000+ + THE TRUTH ISBOATS ON
Slide 14: Reconciliation of Net Income (loss) to Non-GAAP Adjusted EBITDA
Reconciliation of Net Income (loss) to Non‐GAAP Adjusted EBITDA and Adjusted EBITDA Margin (Unaudited): The following table sets forth a reconciliation of net income (loss) as determined in accordance with GAAP to Adjusted EBITDA and Adjusted EBITDA Margin for the periods indicated (dollars in thous
Slide 15: Reconciliation of Non-GAAP Adjusted Fully Distributed Net Income
Reconciliation of Non‐GAAP Adjusted Fully Distributed Net Income (Unaudited): The following table sets forth a reconciliation of net income (loss) attributable to Malibu Boats, Inc. stockholders to Adjusted Fully Distributed Net Income for the periods presented (dollars in thousands, except per shar
Slide 16: Reconciliation of Non-GAAP Adjusted Fully Distributed Net Income (notes)
Reconciliation of Non‐GAAP Adjusted Fully Distributed Net Income (Unaudited): (1) Represents management fees and out‐of‐pocket expenses paid pursuant to our management agreement with Malibu Boats Investor, LLC, an affiliate, which was terminated upon the closing of our IPO. Upon termination of the a