MALIBU BOATS, INC.MBUU
MALIBU BOATS, INC. Segments Disclosure
Segment Reporting
We determine our operating segments based on how the Chief Operating Decision Maker (CODM), our Chief Executive Officer, manages the business, allocates resources, makes operating decisions and evaluates operating performance.
The Company has three reportable segments: Malibu, Saltwater Fishing and Cobalt. The Malibu segment participates in the manufacturing, distribution, marketing and sale of Malibu and Axis performance sports boats throughout the world. The Saltwater Fishing segment participates in the manufacturing, distribution, marketing and sale throughout the world of Pursuit boats and the Maverick Boat Group brand boats (Maverick, Cobia, Pathfinder and Hewes). The Cobalt segment participates in the manufacturing, distribution, marketing and sale of Cobalt boats throughout the world. Separate financial information for the three reportable segments is evaluated by the CODM to allocate resources and assess performance. Segment asset and capital expenditure information is not presented because it is not evaluated by the CODM at the segment level.
Intersegment transactions are not considered significant and consist primarily of engines and other materials that are eliminated within the Malibu segment. Certain costs are incurred at the corporate level and are partially allocated to the Company’s segments. These costs generally include shared service functions such as information technology, digital marketing, finance and accounting and supply chain. Each allocation is measured based on each segment's proportionate budgeted net sales for the current fiscal year. The remaining unallocated corporate costs, as well as costs related to stock-based compensation, interest expense, professional fees and other corporate costs, are reported within Corporate expenses and other as a reconciling item to our consolidated results.
Our segment operating performance measure is Segment Adjusted EBITDA. The CODM uses Segment Adjusted EBITDA to evaluate segment operating performance, generate future operating plans, and make strategic decisions. Segment Adjusted EBITDA excludes interest expense, income taxes, depreciation, amortization, goodwill and other intangible asset impairment expense and non-cash, non-recurring or non-operating expenses (as shown in the table below). These charges are excluded from the evaluation of segment performance because it facilitates reportable segment performance comparisons on a period-to-period basis as these costs may vary independent of business performance
There is no country outside of the United States from which the Company (a) derived net sales equal to 10% of total net sales, or (b) attributed assets equal to 10% of total assets. Net sales are attributed to countries based on the location of the dealer. For information about how our reportable segments derive revenue, as well as revenue grouped by offerings and geographical region, refer to Note 2 – Revenue Recognition.
The following table presents financial information for the Company’s reportable segments for the fiscal years ended June 30, 2025, 2024, and 2023.
| Fiscal Year Ended June 30, 2025 | |||||||||||||||||||||||
| Malibu | Saltwater Fishing | Cobalt | Total | ||||||||||||||||||||
| Net sales | $ | 312,698 | $ | 279,635 | $ | 215,228 | $ | 807,561 | |||||||||||||||
| Cost of sales (excluding depreciation) | 226,956 | 226,544 | 180,141 | 633,641 | |||||||||||||||||||
| Sales and marketing expense | 9,693 | 8,834 | 4,544 | 23,071 | |||||||||||||||||||
General and administrative expense (excluding depreciation) 1 | 15,476 | 17,585 | 12,687 | 45,748 | |||||||||||||||||||
Other segment items 2 | (38) | — | — | (38) | |||||||||||||||||||
| Segment Adjusted EBITDA | 60,611 | 26,672 | 17,856 | 105,139 | |||||||||||||||||||
| Reconciliation of segment adjusted EBITDA to income before income taxes: | |||||||||||||||||||||||
Corporate expenses and other 3 | 46,283 | ||||||||||||||||||||||
| Depreciation | 31,794 | ||||||||||||||||||||||
| Amortization | 6,799 | ||||||||||||||||||||||
| Income before income taxes | $ | 20,263 | |||||||||||||||||||||
| Fiscal Year Ended June 30, 2024 | |||||||||||||||||||||||
| Malibu | Saltwater Fishing | Cobalt | Total | ||||||||||||||||||||
| Net sales | $ | 279,131 | $ | 327,542 | $ | 222,362 | $ | 829,035 | |||||||||||||||
| Cost of sales (excluding depreciation) | 211,443 | 264,707 | 181,659 | 657,809 | |||||||||||||||||||
| Sales and marketing expense | 9,094 | 8,835 | 4,855 | 22,784 | |||||||||||||||||||
General and administrative expense (excluding depreciation) 1 | 16,056 | 18,477 | 13,177 | 47,710 | |||||||||||||||||||
Other segment items 2 | (41) | (41) | |||||||||||||||||||||
| Segment Adjusted EBITDA | 42,579 | 35,523 | 22,671 | 100,773 | |||||||||||||||||||
| Reconciliation of segment adjusted EBITDA to income before income taxes: | |||||||||||||||||||||||
Corporate expenses and other 3 | 28,445 | ||||||||||||||||||||||
| Depreciation | 26,178 | ||||||||||||||||||||||
| Amortization | 6,811 | ||||||||||||||||||||||
| Goodwill and other intangible asset impairment | 88,389 | ||||||||||||||||||||||
| Abandonment of construction in process | 8,735 | ||||||||||||||||||||||
| Loss before income taxes | $ | (57,785) | |||||||||||||||||||||
| Fiscal Year Ended June 30, 2023 | |||||||||||||||||||||||
| Malibu | Saltwater Fishing | Cobalt | Total | ||||||||||||||||||||
| Net sales | $ | 636,247 | $ | 449,156 | $ | 302,962 | $ | 1,388,365 | |||||||||||||||
| Cost of sales (excluding depreciation) | 422,706 | 357,208 | 237,145 | 1,017,059 | |||||||||||||||||||
| Sales and marketing expense | 10,728 | 8,074 | 5,207 | 24,009 | |||||||||||||||||||
General and administrative expense (excluding depreciation) 1 | 16,078 | 16,732 | 11,131 | 43,941 | |||||||||||||||||||
Other segment items 2 | (138) | (138) | |||||||||||||||||||||
| Segment Adjusted EBITDA | 186,873 | 67,142 | 49,479 | 303,494 | |||||||||||||||||||
| Reconciliation of segment adjusted EBITDA to income before income taxes: | |||||||||||||||||||||||
Corporate expenses and other 3 | 133,283 | ||||||||||||||||||||||
| Depreciation | 21,912 | ||||||||||||||||||||||
| Amortization | 6,808 | ||||||||||||||||||||||
| Income before income taxes | $ | 141,491 | |||||||||||||||||||||
1 The primary difference between this significant segment expense and “G&A (excluding depreciation)” within the Company’s Consolidated Statements of Operations relates to stock-based compensation, professional fees and litigation settlements which all fall under the "corporate expenses and other" category discussed below.
2 Other segment items include other income.
3 Corporate expenses and other represents costs incurred at the corporate level that are not allocated to the operating segments, specifically relating to certain executive compensation including stock-based compensation, corporate professional fees, litigation settlements, interest expense, adjustments to tax receivable agreement, other corporate costs, and unallocated shared service function expenses. “Corporate expenses and other” is included in the table above to reconcile the total of Segment Adjusted EBITDA to the Company’s consolidated income (loss) before income taxes.
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.