Core Insights - Mercury Racing has formed a partnership with motorsports icon Travis Pastrana, emphasizing innovation and performance in marine engineering [1][3] - Pastrana tested Mercury Racing's latest outboard models, the 300 R and 300 ROS, showcasing their capabilities by exceeding 100 mph [2][4] Group 1: Partnership Details - The collaboration between Mercury Racing and Travis Pastrana highlights a shared commitment to pushing performance limits in both marine and motorsport arenas [3] - Pastrana's experience as a champion in various racing disciplines aligns with Mercury Racing's reputation for high-performance marine engines [3] Group 2: Product Features - The 300 R model features a 15-inch HD Conventional MidSection (HDCMS), while the 300 ROS is designed for competitive offshore racing [2][4] - Both models are engineered for elite racers and performance enthusiasts, offering unmatched V8 outboard power and advanced handling [4]

Company Overview - Mercury Marine, a division of Brunswick Corporation, is the world's leading manufacturer of recreational marine propulsion engines [4] - The company provides a wide range of products including engines, boats, services, and parts for various marine applications [4] Event Highlights - At the Sydney International Boat Show, Mercury Marine accounted for 50% of all outboard engines on display, showcasing more than double the number of outboards compared to its nearest competitor [1] - The show has been split into two distinct events for the first time, with an indoor exhibition followed by a traditional on-water show in November [2] Market Position and Strategy - Mercury Marine's strong presence at the indoor show reinforces its position as a preferred power partner for boat builders and dealers, highlighting the brand's innovation, reliability, and performance [3] - The company's ability to adapt to evolving show formats and consumer preferences is reflected in its popularity and market momentum in the Southern Hemisphere's boating market [3]

Group 1 - The investment approach focuses on long-term investments while incorporating short-term shorts to uncover alpha opportunities [1] - The analysis is based on bottom-up evaluation, emphasizing the fundamental strengths and weaknesses of individual companies [1] - The goal is to identify companies with solid fundamentals, sustainable competitive advantages, and growth potential [1]

Financial Data and Key Metrics Changes - Brunswick reported second quarter sales of $1,400,000,000, slightly up from the prior year, with earnings per share of $1.16, both exceeding the top end of guidance [6][25] - Free cash flow generation reached a record $288,000,000 for the quarter, marking the highest second quarter in company history, and a record first half free cash flow of $244,000,000, an improvement of $279,000,000 compared to the first half of 2024 [8][22] - Year-to-date sales are down 5%, primarily due to anticipated lower production levels in propulsion and boat businesses, partially offset by steady sales in aftermarket and Navico businesses [26] Business Line Data and Key Metrics Changes - The propulsion business reported a 7% increase in sales, driven by strong orders from U.S. OEMs, although operating earnings were below the prior year due to tariffs and lower absorption from decreased production levels [27] - The aftermarket engine parts and accessories business saw a 1% increase in sales, while the products business reported a 4% decline [27] - The boat segment experienced a 7% decrease in sales, attributed to cautious wholesale ordering patterns by dealers, although Freedom Boat Club contributed approximately 12% of segment sales [29] Market Data and Key Metrics Changes - The outboard engine industry retail units declined 6% in the quarter, with Brunswick's Mercury gaining 30 basis points of share on a rolling twelve-month basis [17] - U.S. retail registrations improved in July, with only mid-single-digit percent declines compared to the same period in 2024, indicating positive momentum [21] - Global pipelines are down 2,300 units over the same period, reflecting a focus on maintaining fresh inventory in the market [20] Company Strategy and Development Direction - Brunswick is committed to rationalizing and optimizing manufacturing capacity to improve profitability and cash flow while managing inventory levels effectively [9][13] - The company is focused on maintaining a competitive position despite tariff impacts, leveraging its U.S.-based manufacturing and domestic supply chain [16][63] - New product launches and technological advancements are expected to drive growth, particularly in the Navico Group and propulsion segments [34][36] Management's Comments on Operating Environment and Future Outlook - Management noted that while the macro environment remains challenging, there are emerging bright spots, particularly in premium and core categories [14][17] - The company anticipates a significant positive cash flow impact from recent legislative changes and is actively managing tariff exposure [15][32] - There is cautious optimism for the second half of the year, with expectations for improved dealer sentiment and inventory comfort [16][17] Other Important Information - Brunswick's balance sheet remains healthy with no debt maturities until 2029 and an attractive cost of debt maturity profile [22][23] - The company is on track to increase its debt reduction target for 2025 by $50,000,000, aiming for a total of $175,000,000 for the year [22] Q&A Session Summary Question: Can you clarify the tariff impact and guidance? - Management indicated that the tariff impact has decreased, with a potential benefit of about $0.60, but guidance remains unchanged [42][44] Question: What are the expectations for Q3 and Q4 earnings? - Management noted that Q3 earnings are expected to decrease significantly, while Q4 is anticipated to see a substantial increase due to easier comparisons from the previous year [47][49] Question: What is the long-term outlook for Navico? - Management expects Navico Group to achieve low to mid-teens operating margins in the long term, with potential for mid to high single-digit CAGR [55][56] Question: How is the company managing inventory levels? - The company is focused on aligning inventory levels with production requirements, having reduced inventory by a couple of hundred million in the first half of the year [95] Question: What is the impact of tariffs on different segments? - Approximately 75% to 80% of the tariff impact is on the propulsion segment, with Navico and boats having a smaller share [71]

Financial Data and Key Metrics Changes - Brunswick reported second quarter sales of $1.4 billion, slightly up from the prior year, and earnings per share of $1.16, both exceeding guidance and sequentially up from the first quarter [5][23] - Free cash flow generation reached a record $288 million for the quarter, contributing to a record first half free cash flow of $244 million, a $279 million improvement versus the first half of 2024 [6][20] - Year-to-date sales are down 5%, primarily due to anticipated lower production levels in propulsion and boat businesses, partially offset by steady sales in aftermarket and Navico businesses [24] Business Line Data and Key Metrics Changes - The propulsion business reported a 7% increase in sales, driven by strong orders from U.S. OEMs, although operating earnings were impacted by tariffs and lower absorption from decreased production levels [25] - The aftermarket engine parts and accessories business saw a 1% increase in sales, while the products business reported a 4% decline [26] - The boat segment experienced a 7% decrease in sales due to cautious wholesale ordering patterns, although Freedom Boat Club contributed approximately 12% of segment sales [27] Market Data and Key Metrics Changes - The outboard engine industry retail units declined 6% in the quarter, with Brunswick's Mercury gaining 30 basis points of share on a rolling twelve-month basis [16] - U.S. retail registrations improved in July, with only mid-single-digit percent declines compared to the same period in 2024, indicating positive momentum [20][18] - Global pipelines are down 2,300 units over the same period, reflecting a focus on maintaining fresh inventory in the market [19] Company Strategy and Development Direction - Brunswick is committed to rationalizing and optimizing manufacturing capacity to improve profitability and cash flow while continuing to drive product cost and operating expense reductions [7] - The company is actively managing tariff exposure and has revised down its estimate for total potential net exposure, indicating a strong competitive position despite tariff challenges [14][15] - New product launches and innovations are expected to drive growth, with a focus on maintaining a strong market presence in high horsepower outboard engines [33][34] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for the second half of the year, citing improved retail conditions in July and a strong start to Q3 [16][31] - The company anticipates a significant positive cash flow impact from recent legislative changes and is focused on maintaining financial flexibility while reducing debt [13][22] - Despite challenges in the value segment, management is optimistic about the potential for recovery as interest rates stabilize [110] Other Important Information - Brunswick's balance sheet remains healthy with no debt maturities until 2029 and an attractive cost of debt maturity profile [21] - The company has received multiple awards for innovation and product excellence, reinforcing its position in the industry [36] Q&A Session Summary Question: Impact of tariffs on guidance - Management acknowledged that the tariff impact has decreased, but the overall guidance remains unchanged, indicating a cautious approach to future expectations [41][45] Question: Expectations for Q3 and Q4 earnings - Management indicated that Q3 earnings are expected to decrease significantly, with a potential increase in Q4, but emphasized the difficulty in predicting exact outcomes due to market dynamics [46][48] Question: Long-term expectations for Navico revenue and profitability - Management expects Navico Group to achieve low to mid-teens operating margins in the long term, with potential for mid to high single-digit CAGR in revenue [55][56] Question: Tariff impact distribution across segments - Approximately 75% to 80% of the tariff impact is on the propulsion segment, with Navico and boat segments experiencing lesser impacts [73] Question: Inventory management and working capital initiatives - Management highlighted ongoing efforts to align inventory levels with production requirements, resulting in significant reductions in inventory over the first half of the year [95][96] Question: Competitive positioning with Japanese tariffs - Management noted that while the impact of tariffs is not explicitly included in the outlook, it is expected to improve competitive positioning over time [102] Question: Rationalization of the value fiberglass model lineup - The company is reducing complexity in its product lineup to align with market demand, while ensuring profitability across all product lines [67][70]

Financial Performance - Q2 2025 net sales increased by 0.2% to $1.4 billion compared to Q2 2024[14, 84] - Adjusted EPS was $1.16, a decrease of 36% compared to Q2 2024[14] - Free cash flow for Q2 2025 was $288 million, an increase of $119 million compared to Q2 2024[14] - Year-to-date 2025 net sales decreased by 5% to $2.669 billion compared to 2024[48] - Year-to-date 2025 free cash flow was $244 million, an increase of $279 million compared to the previous year[41, 48] Segment Performance - Propulsion segment net sales increased by 7% to $598.2 million in Q2 2025 compared to Q2 2024[51] - Engine P&A segment net sales increased by 1% to $337.8 million in Q2 2025 compared to Q2 2024[53] - Navico Group segment net sales decreased by 4% to $202.3 million in Q2 2025 compared to Q2 2024[57] - Boat segment net sales decreased slightly by 0% to $405.6 million in Q2 2025 compared to Q2 2024[59] External Factors and Outlook - The company estimates a potential $55-70 million incremental tariff exposure for FY2025[32, 61] - The company updated its 2025 debt reduction target to $175 million, an increase of $50 million from Q1 guidance[41] - The company anticipates approximately $3.25 billion in revenue[63]

Company Performance - Brunswick reported quarterly earnings of $1.16 per share, exceeding the Zacks Consensus Estimate of $0.89 per share, but down from $1.8 per share a year ago, representing an earnings surprise of +30.34% [1] - The company posted revenues of $1.45 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 18.33%, compared to revenues of $1.44 billion a year ago [2] - Over the last four quarters, Brunswick has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] Future Outlook - The sustainability of Brunswick's stock price movement will depend on management's commentary during the earnings call and future earnings expectations [3][4] - The current consensus EPS estimate for the upcoming quarter is $1.07 on revenues of $1.35 billion, and for the current fiscal year, it is $3.03 on revenues of $5.05 billion [7] - The estimate revisions trend for Brunswick was favorable ahead of the earnings release, resulting in a Zacks Rank 1 (Strong Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Leisure and Recreation Products industry, to which Brunswick belongs, is currently in the bottom 27% of over 250 Zacks industries, which may impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that tracking these revisions can be beneficial for investors [5]

[Second Quarter 2025 Financial Highlights](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Highlights) Brunswick Corporation reported strong second-quarter results, exceeding expectations with flat net sales and record free cash flow, despite a significant decline in profitability [Overall Performance](index=1&type=section&id=Overall%20Performance) Brunswick Corporation reported strong second-quarter results that exceeded expectations, characterized by flat net sales growth of 0.2% to $1,447.0 million, though profitability declined significantly with GAAP operating margin falling 390 basis points to 7.1% and As Adjusted diluted EPS decreasing 35.6% to $1.16, while achieving record free cash flow generation of $288 million for the quarter Q2 2025 Financial Summary (vs Q2 2024) | in millions (except per share data) | GAAP | Change vs Q2'24 | As Adjusted | Change vs Q2'24 | | :--- | :--- | :--- | :--- | :--- | | **Net Sales** | $1,447.0 | 0.2% | $1,447.0 | 0.2% | | **Operating Earnings** | $103.3 | (34.7)% | $126.0 | (30.3)% | | **Operating Margin** | 7.1% | (390) bps | 8.7% | (380) bps | | **Diluted EPS from Continuing Operations** | $0.90 | (41.9)% | $1.16 | (35.6)% | - The company achieved **record free cash flow of $288 million** in the second quarter, contributing to a record first-half free cash flow of **$244 million**, a **$279 million improvement** over the first half of 2024[4](index=4&type=chunk) [CEO Commentary](index=2&type=section&id=CEO%20Commentary) CEO David Foulkes highlighted that strong operational execution and cost control allowed the company to surpass financial expectations despite a challenging macro environment, unfavorable weather, and tariff impacts, with recurring revenue businesses significantly contributing to adjusted operating earnings - Performance was challenged by the macroeconomic environment, uncooperative weather, and tariffs, which directly impacted earnings[3](index=3&type=chunk) - Mercury's high-horsepower outboard engines continued to gain market share, with over **300 basis points of U.S. retail share gain** in engines over 300 horsepower during the quarter[5](index=5&type=chunk) - Recurring revenue businesses and channels, including Engine P&A, repower business, Freedom Boat Club, and Navico's aftermarket sales, contributed nearly **60% of the company's second-quarter adjusted operating earnings**[9](index=9&type=chunk) [Segment Performance Analysis](index=4&type=section&id=Segment%20Performance%20Analysis) This section details the individual performance of Brunswick's Propulsion, Engine P&A, Navico Group, and Boat segments, highlighting varied sales trends and profitability challenges [Propulsion Segment](index=4&type=section&id=Propulsion%20Segment) The Propulsion segment's sales increased by 7% to $598.2 million, driven by strong orders from U.S. OEMs, though GAAP operating earnings fell 23.1% to $65.8 million, with margins contracting by 430 basis points to 11.0% due to tariffs, lower absorption from decreased production, and variable compensation reinstatement Q2 2025 Propulsion Segment Performance (GAAP, in millions) | Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | **Net Sales** | $598.2 | $558.0 | 7.2% | | **Operating Earnings** | $65.8 | $85.6 | (23.1)% | | **Operating Margin** | 11.0% | 15.3% | (430) bps | [Engine Parts and Accessories Segment](index=4&type=section&id=Engine%20Parts%20and%20Accessories%20Segment) The Engine Parts and Accessories segment reported a slight sales increase of 1% to $337.8 million, primarily due to a 4% rise in its Distribution business, while GAAP operating earnings decreased by 5.2% to $71.7 million, with operating margin declining 130 basis points to 21.2% mainly due to enterprise-wide factors Q2 2025 Engine P&A Segment Performance (GAAP, in millions) | Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | **Net Sales** | $337.8 | $336.1 | 0.5% | | **Operating Earnings** | $71.7 | $75.6 | (5.2)% | | **Operating Margin** | 21.2% | 22.5% | (130) bps | - The segment's sales growth was driven by its Distribution business (up **4%**), while the Products business saw a **4% decline**[12](index=12&type=chunk) [Navico Group Segment](index=4&type=section&id=Navico%20Group%20Segment) Navico Group's sales decreased by 4% to $202.3 million, as modest declines in aftermarket and marine OEM channels were partially offset by new products, resulting in a wider GAAP operating loss of $7.6 million due to lower sales, tariffs, and variable compensation reset, with restructuring actions currently in progress Q2 2025 Navico Group Segment Performance (GAAP, in millions) | Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | **Net Sales** | $202.3 | $210.1 | (3.7)% | | **Operating Loss** | ($7.6) | ($3.0) | NM | | **Operating Margin** | (3.8)% | (1.4)% | (240) bps | - The company is implementing restructuring actions, including consolidating two production locations and transferring European distribution to a third-party logistics provider (3PL)[7](index=7&type=chunk) [Boat Segment](index=4&type=section&id=Boat%20Segment) The Boat segment experienced a 7% sales decline to $405.6 million, reflecting cautious wholesale ordering by dealers, with GAAP operating earnings falling 55.2% to $11.1 million and margins contracting by 300 basis points, though Freedom Boat Club was a highlight, contributing approximately 12% of segment sales and expanding into the Middle East Q2 2025 Boat Segment Performance (GAAP, in millions) | Metric | Q2 2025 | Q2 2024 | % Change | | :--- | :--- | :--- | :--- | | **Net Sales** | $405.6 | $434.2 | (6.6)% | | **Operating Earnings** | $11.1 | $24.8 | (55.2)% | | **Operating Margin** | 2.7% | 5.7% | (300) bps | - Freedom Boat Club contributed about **12% of segment sales** and signed its first Middle East franchisee in Dubai, expanding its global locations to **433**[8](index=8&type=chunk)[14](index=14&type=chunk) [Financial Position and Cash Flow](index=4&type=section&id=Financial%20Position%20and%20Cash%20Flow) This section reviews Brunswick's solid balance sheet, improved debt-to-capitalization ratio, and exceptional cash generation in the first half of 2025 [Balance Sheet Review](index=4&type=section&id=Balance%20Sheet%20Review) As of the end of the second quarter, Brunswick's balance sheet remained solid with cash and marketable securities totaling $334.7 million, an increase of $48.0 million from the end of 2024, and an improved debt-to-capitalization ratio of 54.4% from 55.3% at year-end 2024 Key Balance Sheet Items (June 28, 2025, in millions) | Metric | Amount | | :--- | :--- | | Cash and marketable securities | $334.7 | | Net inventories | $1,305.1 | | Total assets | $5,794.3 | | Total debt (Short & Long-term) | $2,274.1 | | Total shareholders' equity | $1,905.0 | [Cash Flow Review](index=5&type=section&id=Cash%20Flow%20Review) The company demonstrated exceptional cash generation in the first half of 2025, with net cash provided by operating activities increasing substantially to $309.1 million, resulting in a record first-half free cash flow of $243.5 million, and capital allocation included significant share repurchases and dividend payments First Half Cash Flow Summary (in millions) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net cash from operating activities | $309.1 | $67.6 | | Capital expenditures | ($82.6) | ($101.1) | | Free cash flow | $243.5 | ($35.1) | - During the first half of 2025, the company used cash for **$43.1 million in share repurchases** and **$56.6 million in dividend payments**[17](index=17&type=chunk) [2025 Outlook and Guidance](index=5&type=section&id=2025%20Outlook%20and%20Guidance) Brunswick outlines its strategic focus on marine-centric investments and provides updated full-year and third-quarter financial guidance [Strategic Focus](index=5&type=section&id=Strategic%20Focus) For the remainder of 2025, Brunswick will focus on its marine-centric strategy by investing in new products and technologies, including AI-powered tools and an autonomous docking system, while also working to maintain balanced channel inventory, mitigate tariff impacts, and execute rationalization and manufacturing optimization actions to improve profitability and cash flow - Strategic priorities include investing in new products and technologies, managing channel pipelines, and mitigating tariff impacts[18](index=18&type=chunk) - The company is increasing investment in AI for productivity and consumer applications, with AI-assisted coding tools already in use and AI-powered customer service tools launching soon[19](index=19&type=chunk) - Brunswick's autonomous docking system is on track to launch later in 2025[19](index=19&type=chunk) [Updated Full-Year and Q3 Guidance](index=6&type=section&id=Updated%20Full-Year%20and%20Q3%20Guidance) Brunswick updated its full-year 2025 guidance, maintaining the midpoint for sales and adjusted EPS while increasing its free cash flow forecast, now expecting net sales of approximately $5.2 billion, adjusted diluted EPS of approximately $3.25, and free cash flow in excess of $400 million, with Q3 revenue anticipated between $1.1 and $1.3 billion and adjusted diluted EPS between $0.75 and $0.90 Updated 2025 Full-Year and Q3 Guidance | Guidance Metric | Full-Year 2025 | Q3 2025 | | :--- | :--- | :--- | | **Net Sales** | ~$5.2 billion | $1.1B - $1.3B | | **Adjusted Diluted EPS** | ~$3.25 | $0.75 - $0.90 | | **Free Cash Flow** | >$400 million | N/A | [Financial Statements and Reconciliations](index=11&type=section&id=Financial%20Statements%20and%20Reconciliations) This section presents the unaudited consolidated financial statements and detailed non-GAAP reconciliations for the reported periods [Consolidated Statements of Operations](index=11&type=section&id=Consolidated%20Statements%20of%20Operations) This section provides the unaudited condensed consolidated statements of operations for the three and six months ended June 28, 2025, compared to the same periods in 2024, detailing net sales, costs, operating earnings, and net earnings per share Q2 2025 Statement of Operations (in millions, except per share) | | Three Months Ended June 28, 2025 | Three Months Ended June 29, 2024 | | :--- | :--- | :--- | | **Net sales** | $1,447.0 | $1,443.9 | | **Operating earnings** | $103.3 | $158.3 | | **Net earnings from continuing operations** | $59.6 | $104.8 | | **Diluted EPS from continuing operations** | $0.90 | $1.55 | [Consolidated Balance Sheets](index=17&type=section&id=Consolidated%20Balance%20Sheets) This section presents the unaudited condensed consolidated balance sheets as of June 28, 2025, compared to December 31, 2024, and June 29, 2024, outlining the company's assets, liabilities, and shareholders' equity Condensed Balance Sheet (in millions) | | June 28, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | **Total current assets** | $2,236.3 | $2,113.8 | | **Total assets** | $5,794.3 | $5,677.7 | | **Total current liabilities** | $1,334.4 | $1,279.9 | | **Total liabilities** | $3,889.3 | $3,785.4 | | **Total shareholders' equity** | $1,905.0 | $1,892.3 | [Consolidated Statements of Cash Flows](index=18&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) This section details the unaudited condensed consolidated statements of cash flows for the six months ended June 28, 2025, and June 29, 2024, showing cash flows from operating, investing, and financing activities Six Months Ended Cash Flows (in millions) | | June 28, 2025 | June 29, 2024 | | :--- | :--- | :--- | | **Net cash provided by operating activities** | $288.8 | $57.6 | | **Net cash used for investing activities** | ($70.0) | ($176.0) | | **Net cash (used for) provided by financing activities** | ($181.0) | $157.2 | | **Net increase in Cash** | $48.0 | $31.8 | [Non-GAAP Reconciliations](index=12&type=section&id=Non-GAAP%20Reconciliations) This section provides detailed reconciliations of GAAP financial measures to their non-GAAP counterparts, such as As Adjusted Operating Earnings and As Adjusted Diluted EPS, with adjustments primarily excluding items like restructuring charges and purchase accounting amortization to offer a clearer view of ongoing business performance Q2 2025 Reconciliation of GAAP to As Adjusted EPS | | Diluted EPS | | :--- | :--- | | **GAAP** | $0.90 | | Restructuring, exit and impairment charges | $0.09 | | Purchase accounting amortization | $0.17 | | **As Adjusted** | $1.16 |

Core Viewpoint - Brunswick Corporation has released its second quarter 2025 financial results, indicating ongoing performance in the marine recreation industry [1]. Financial Results - The complete financial results press release is available on the Company's website and will also be filed with the SEC [1]. - A conference call to discuss these results is scheduled for July 24, 2025, at 10 a.m. CT/11 a.m. ET, hosted by key executives [2]. Conference Call Details - The conference call will feature CEO David M. Foulkes, CFO Ryan M. Gwillim, and SVP Stephen Weiland [2]. - Participants can access the call via telephone or through a webcast link provided [3][4]. Company Overview - Brunswick Corporation is a leader in marine recreation, offering innovative technology-driven solutions and operating over 60 industry-leading brands [5]. - The company is headquartered in Mettawa, IL, with approximately 14,500 employees across 26 countries [5]. - Brunswick has received recognition as one of America's Best Large Employers for six consecutive years by Forbes Magazine [5].

Core Insights - Mercury Marine has expanded its Verado outboard lineup with the introduction of the new V10 425hp and enhanced V10 350hp models, setting new performance benchmarks in the high-horsepower outboard segment [1][2][3] Product Performance - The V10 425hp model offers class-leading acceleration, being 3 seconds faster from 0-30 mph compared to a 450hp competitor, and is 254 pounds lighter than the competitor's 25-inch XL models [7] - The enhanced V10 350hp model shows significant improvements in top-end speed and mid-range acceleration, achieving 2.7 mph higher top speed than a 350hp competitor and 15% quicker 0-50 mph acceleration than Mercury's current 350hp model [4][7] Technological Features - Both new models come standard with Digital Throttle & Shift and offer optional Joystick Piloting for enhanced control and precision [5] - The V10 425hp model is equipped with a 150-amp alternator, the highest output in its class, and operates 22% quieter at cruise compared to a 450hp competitor [7] Market Positioning - The launch of these new engines reaffirms the Verado family's position as a leader in premium outboard performance, catering to the demands of boaters for greater performance while maintaining a smooth and refined experience [3]