v3.26.3
SEGMENT INFORMATION
 3 Months Ended
Oct. 04, 2026
Segment Reporting [Abstract]  
SEGMENT INFORMATION

14. SEGMENT INFORMATION

Reportable Segments

Beginning in the Transition Period, the Company changed the manner in which certain corporate expenses are allocated to its reportable segments. Prior-period segment information has been recast to conform to the current-period presentation. Certain corporate expenses previously included within segment operating expenses are now presented within Corporate expenses and other in the reconciliation of Segment Adjusted EBITDA to Income before taxes.

Operating segments are identified as components of an enterprise about which discrete financial information is available for evaluation by the CODM in making decisions on how to allocate resources and assess performance. For the three months ended October 4, 2026, the Company’s CODM regularly assessed the operating performance of the Company’s boat brands under three operating and reportable segments:

•
The Performance and Wake segment, consisting of our MasterCraft brand, produces boats at its Vonore, Tennessee facility. These are premium recreational performance sport boats primarily used for water skiing, wakeboarding, wake surfing, and general recreational boating.
•
The Leisure segment, consisting of our Crest and Balise brands, produces pontoon boats at its Owosso, Michigan facility. Pontoon boats are primarily used for general recreational boating.
•
The Recreation and Sport Fishing segment, consisting of our Chaparral and Robalo brands, produces recreational and sport fishing boats at its Nashville, Georgia facility.

Each segment distributes its products through its own independent dealer network. Each segment also has its own management structure which is responsible for the operations of the segment and is directly accountable to the CODM for the operating performance of the segment, which is regularly assessed by the CODM who allocates resources based on that performance.

The CODM evaluates segment performance and allocates resources based on Segment Adjusted EBITDA, which represents segment profit or loss before interest, taxes, depreciation, and amortization and certain adjustment items attributable to each reportable segment. Accordingly, the aggregate of Segment Adjusted EBITDA is not intended to represent, and is not directly comparable to, the Company's consolidated Adjusted EBITDA measure presented elsewhere in this Quarterly Report.

Selected financial information for the Company’s reportable segments was as follows:

 

 

 

For the Three Months Ended

 

 

 

October 4, 2026

 

 

 

Performance and Wake

 

 

Leisure

 

 

Recreation and Sport Fishing

 

 

Consolidated

 

Net sales

 

$

81,704

 

 

$

13,097

 

 

$

59,338

 

 

$

154,139

 

Cost of sales

 

 

55,965

 

 

 

11,971

 

 

 

53,745

 

 

 

 

Segment operating expenses(1)

 

 

5,469

 

 

 

1,872

 

 

 

6,297

 

 

 

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

1,455

 

 

 

490

 

 

 

3,156

 

 

 

 

Adjustment items(2)

 

 

107

 

 

 

24

 

 

 

917

 

 

 

 

Segment Adjusted EBITDA

 

 

21,832

 

 

 

(232

)

 

 

3,369

 

 

 

24,969

 

Less: Interest Expense

 

 

 

 

 

 

 

 

 

 

 

(34

)

Add: Interest Income

 

 

 

 

 

 

 

 

 

 

 

363

 

Less: Depreciation and amortization

 

 

 

 

 

 

 

 

 

 

 

(5,101

)

Less: Share-based compensation

 

 

 

 

 

 

 

 

 

 

 

(848

)

Less: Marine Products acquisition and integration costs

 

 

 

 

 

 

 

 

 

 

 

(1,877

)

Less: Inventory step-up

 

 

 

 

 

 

 

 

 

 

 

(256

)

Less: Corporate expenses and other(3)

 

 

 

 

 

 

 

 

 

 

 

(4,906

)

Income before taxes

 

 

 

 

 

 

 

 

 

 

 

12,310

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Purchases of property, plant and equipment

 

 

2,046

 

 

 

14

 

 

 

1,268

 

 

 

3,328

 

 

 

 

 

For the Three Months Ended

 

 

 

September 28, 2025

 

 

 

Performance and Wake

 

 

Leisure

 

 

Consolidated

 

Net sales

 

$

58,145

 

 

$

10,857

 

 

$

69,002

 

Cost of sales

 

 

43,305

 

 

 

10,301

 

 

 

 

Segment operating expenses(1)

 

 

4,614

 

 

 

2,246

 

 

 

 

Adjustments:

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

1,129

 

 

 

909

 

 

 

 

Adjustment items(2)

 

 

156

 

 

 

83

 

 

 

 

Segment Adjusted EBITDA

 

 

11,511

 

 

 

(698

)

 

 

10,813

 

Less: Interest Expense

 

 

 

 

 

 

 

 

(1

)

Add: Interest Income

 

 

 

 

 

 

 

 

770

 

Less: Depreciation and amortization

 

 

 

 

 

 

 

 

(2,038

)

Less: Share-based compensation

 

 

 

 

 

 

 

 

(791

)

Less: Senior leadership transition costs

 

 

 

 

 

 

 

 

(98

)

Less: Marine Products acquisition and integration costs

 

 

 

 

 

 

 

 

(268

)

Less: Corporate expenses and other(3)

 

 

 

 

 

 

 

 

(3,840

)

Income before taxes

 

 

 

 

 

 

 

 

4,547

 

 

 

 

 

 

 

 

 

 

 

Purchases of property, plant and equipment

 

 

2,493

 

 

 

587

 

 

 

3,080

 

 

(1)
Segment operating expenses include selling and marketing expenses, general and administrative expenses, and amortization of other intangible assets.
(2)
Adjustment items include share-based compensation, senior leadership transition costs, acquisition and integration costs, including the change in fiscal year-end, related to the Marine Products Transaction, and inventory step-up.
(3)
Corporate expenses and other includes costs incurred at the corporate level that are not allocated to the segments, including executive compensation, certain other corporate salaries, compensation and benefits, corporate professional fees, and other corporate costs.

The following table presents total assets for the Company’s reportable segments.

 

 

 

October 4, 2026

 

 

June 30, 2026

 

Assets:

 

 

 

 

 

 

Performance and Wake

 

$

171,365

 

 

$

165,892

 

Leisure

 

 

34,306

 

 

 

32,919

 

Recreation and Sport Fishing

 

 

302,605

 

 

 

301,621

 

Total assets

 

$

508,276

 

 

$

500,432