MasterCraft Q3 Sales Rise 3% to $78.2M, Adjusted EBITDA Up to $10.7M Ahead of Merger
MCFT•MasterCraft Boat Holdings reported Q3 net sales of $78.2M, a 3.0% increase driven by favorable model mix, higher prices and reduced incentives. The company logged an adjusted EBITDA of $10.7M, up $3.2M, and incurred a $0.7M loss due to one-time merger transaction costs.
1. Q3 Financial Performance
MasterCraft Boat Holdings posted net sales of $78.2 million for the third quarter ended March 29, 2026, up $2.2 million, or 3.0%, from the prior-year period. Loss from continuing operations was $0.7 million ($0.04 per diluted share), while adjusted net income reached $7.2 million ($0.45 per diluted share) and adjusted EBITDA climbed to $10.7 million, up $3.2 million year-over-year.
2. Margin and Expense Dynamics
Gross margin percentage improved by 420 basis points, benefiting from increased net sales, effective cost controls and disciplined dealer incentives. Operating expenses rose by $9.2 million, driven by business development and consulting costs related to the Marine Products merger and implementation costs for the new enterprise resource planning system.
3. Combination with Marine Products Corporation
MasterCraft entered a definitive agreement to merge with Marine Products Corporation in a cash and stock transaction, with a special shareholder meeting scheduled for May 12, 2026. The merger, subject to customary closing conditions, is expected to close shortly after the vote, expanding the company’s recreation and sport fishing powerboat portfolio.
4. Full-Year Outlook
For fiscal 2026, MasterCraft now expects consolidated net sales of $312 million, adjusted EBITDA of $40 million and adjusted earnings per share of $1.65, with capital expenditures of approximately $8 million. These targets exclude the pending Marine Products combination and reflect confidence in navigating the current macroeconomic environment through operational discipline and premium product momentum.
