METTAWA, Ill., Nov. 04, 2025 (GLOBE NEWSWIRE) -- Brunswick Corporation’s (NYSE: BC) premium brands delivered another strong performance at the 2025 Fort Lauderdale International Boat Show with unit sales and revenue increases across all boat brands and record Mercury Marine outboard share at one of the largest saltwater shows in the world. In addition, the SIMRAD AutoCaptain autonomous boating system, which recently debuted at the IBEX trade show, was successfully demonstrated in a range of docking and mane ...

Financial Data and Key Metrics Changes - Brunswick reported third-quarter sales of $1.4 billion, a 7% increase compared to the prior year, with adjusted EPS of $0.97, impacted by variable compensation and tariffs but up year over year excluding those items [4][16] - Free cash flow for the third quarter was $111 million, totaling $355 million year to date, marking a $348 million improvement over the same period last year [4][13] - Year-to-date sales are down 1%, primarily due to planned lower first-half production levels, but third-quarter sales growth was seen across all businesses [17][18] Business Line Data and Key Metrics Changes - The propulsion business saw a 10% sales growth in the quarter, with all product categories (outboard, stern drive, and controls rigging and props) increasing [18] - Engine parts and accessories segment sales increased by 8% year over year, benefiting from strong boater participation and favorable weather [19] - The boat segment reported a 4% sales growth, with strong performance from aluminum boat brands and Freedom Boat Club contributing approximately 13% of segment sales [22] Market Data and Key Metrics Changes - Brunswick's boat retail sales were flat year over year, showing notable improvement from the first half of the year, with premium and core categories performing well [3][11] - The U.S. outboard engine market share for Mercury remained stable at 49.4%, despite competitive promotional activity [11][18] - Internationally, Mercury gained strong market share in most markets, indicating robust global performance [11][56] Company Strategy and Development Direction - Brunswick is focusing on financial and operational efficiencies, including margin-accretive footprint actions and tariff mitigation initiatives [3][4] - The company announced a strategic rationalization of its fiberglass boat manufacturing footprint, consolidating production into existing U.S. facilities by mid-2026 [8][12] - The introduction of innovative products like the SIMRAD AutoCaptain autonomous boating system reflects Brunswick's commitment to integrated solutions and differentiated innovation [26][28] Management's Comments on Operating Environment and Future Outlook - Management noted that the macro environment is improving, with expectations for continued growth in 2026 driven by lower interest rates and stable dealer sentiment [8][30] - The company anticipates a modestly stronger 2026, with revenue growth projected in the mid to high single-digit percentage range [30] - Management expressed confidence in the company's competitive positioning due to its U.S.-based manufacturing and proactive tariff management strategies [9][30] Other Important Information - Brunswick's investment-grade balance sheet remains healthy, with no debt maturities until 2029 and a commitment to reducing debt by $200 million in 2025 [14] - The company has generated $1.6 billion in free cash flow since 2021, with a record $635 million over the last 12 months [13][14] - Brunswick's full-year guidance remains unchanged, with expected revenue of approximately $5.2 billion and adjusted EPS of approximately $3.25 [23] Q&A Session Summary Question: Current retail trends and outlook for 2026 - Management indicated that retail performance has stabilized, with premium and core products outperforming value segments, and expressed optimism for a flat to slightly up market in 2026 [32][34] Question: Impact of U.S. tariffs on competitors - Management confirmed that competitors are beginning to implement price increases in response to tariffs, while Brunswick continues to gain market share [42][43] Question: Clarification on Navico Group's performance - It was confirmed that Navico's margins would have improved absent the impacts of tariffs and variable compensation resets, with expectations for further margin expansion moving forward [47][51] Question: Inventory levels and expectations for 2026 - Management reported healthy inventory levels, with a focus on maintaining fresh inventory as they prepare for the 2026 season [61][62] Question: Long-term outlook for normalized boat industry demand - Management noted that elevated interest rates have been a headwind, but they expect a return to normalized demand as conditions improve [76]