Core Insights - Malibu Boats reported solid fiscal second-quarter 2026 results, slightly exceeding internal expectations despite a challenging retail environment [4][11] - The company is optimistic about its inventory position and upcoming product launches, including two new models at the Miami International Boat Show [2][5] Financial Performance - Q2 net sales were $188.6 million, down 5.8% year-over-year, with unit volume decreasing by 9.5% to 1,106 units [7][11] - Gross profit fell 32.9% to $25.1 million, resulting in a gross margin of 13.3%, down 540 basis points from the previous year [13][15] - The company posted a GAAP net loss of $2.5 million compared to a net income of $2.4 million in the prior year, with adjusted EBITDA declining 52.5% to $8.0 million [15][16] Strategic Initiatives - Malibu is implementing a retail financing program, MBI Acceptance, offering rates as low as 3.99%, which is gaining traction among dealers [5][8] - The company is also launching a new marine components business, focusing on systems and processes, with early traction noted in product offerings [9][10] Market Outlook - Management expects full-year sales to be flat to down mid-single digits, with a continued decline in marine markets anticipated [17][18] - For fiscal Q3, net sales are guided to be between $198 million and $202 million, with an adjusted EBITDA margin expected around 8.5% [17][18] Dealer and Inventory Insights - Dealer sentiment has been mixed, but overall trends are positive, with boat shows meeting expectations [20] - The company noted a healthy inventory position for model year 2026 boats, while the broader industry is experiencing some destocking [5][21]