Malibu Boats’s Q1 Earnings Call: Our Top 5 Analyst Questions

Malibu Boats delivered first-quarter results that surpassed Wall Street’s revenue expectations but fell slightly short on non-GAAP profit. Management attributed sales growth to higher unit volumes in the Malibu segment, a favorable product mix, and increased average selling prices from premium offerings. CEO Steve Menneto noted that new models—particularly the M230 and 25 LSV for Malibu and the Cobia 265 and 285 for Cobia—captured significant customer interest during the boat show season. However, management described the broader retail environment as challenging, citing elevated interest rates and persistent macroeconomic uncertainty weighing on discretionary purchases.

Is now the time to buy MBUU? Find out in our full research report (it’s free).

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions Malibu Boats’s Q1 Earnings Call

• Craig Kennison (Baird): Inquired about targeted dealer inventory levels. CFO Bruce Beckman stated inventories are expected to end the season below last year, reflecting both company and dealer preferences amid macro uncertainty.
• Eric Wold (Texas Capital Securities): Asked about promotional activity in response to competitors’ inventory challenges. CEO Steve Menneto said Malibu Boats has not elevated promotions and relies on new product strength to remain competitive.
• Michael Swartz (Truist): Sought clarity on tariff exposure and future risk. Beckman responded that about 18–20% of costs are sourced internationally, but exposure is spread across multiple categories and closely managed.
• Ryan Williams (KeyBanc): Questioned demand trends and cost levers if conditions deteriorate. Beckman highlighted the company’s highly variable cost structure and strong balance sheet as tools to weather further downturns.
• Michael Albanese (Benchmark): Asked about the Saltwater segment’s recovery. Beckman noted improvement in Florida but described the rebound as a return to broader market trends, rather than a full recovery.

Catalysts in Upcoming Quarters

In the coming quarters, our team will watch (1) continued traction of newly launched models during the next selling season, (2) dealer inventory trends and whether Malibu Boats maintains its disciplined approach, and (3) any shifts in the promotional environment as industry competitors address their own inventory positions. The effectiveness of tariff mitigation and updates to the 2026 model year lineup will also be important markers of execution.

Malibu Boats currently trades at $31.80, up from $29.66 just before the earnings. At this price, is it a buy or sell? The answer lies in our full research report (it’s free).

High-Quality Stocks for All Market Conditions

Donald Trump’s victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs.

While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.