Marine Products Corporation Reports Third Quarter 2025 Financial Results And Declares Regular Quarterly Dividend

ATLANTA, Oct. 30, 2025 /PRNewswire/ -- Marine Products Corporation (NYSE: MPX) (the "Company"), a leading manufacturer of fiberglass boats, announced its unaudited results for the third quarter ended September 30, 2025.

* Non-GAAP measures, including EBITDA, EBITDA margin, and free cash flow are reconciled to the most directly comparable GAAP measures in the appendices of this earnings release.

* All comparisons are year-over-year to 3Q:24 unless stated otherwise.

Third Quarter 2025 Results

• Net sales increased 7% year-over-year to $53.1 million
• Net income was $2.7 million, down 22% year-over-year, and diluted Earnings Per Share (EPS) was $0.07; Net income margin decreased 180 basis points to 5.0%. The decline was due to higher R&D investments related to new products and cost true-ups
• Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) was $3.7 million, down 15% year-over-year; EBITDA margin decreased 170 basis points to 6.9%
• The Company generated strong operating and free cashflow ending the quarter with approximately $47.4 million in cash and no debt
• The Company recently launched the 2026 model year Chaparral and Robalo products

Management Commentary

"Third quarter results reflect an increase in sales from the prior year period," stated Ben M. Palmer, Marine Products' President and Chief Executive Officer. "We are cautiously optimistic that we've reached a turning point in the industry as dealer inventory has adjusted to stabilizing demand. We are encouraged by the strong interest in our larger boats and initial positive feedback on our 2026 model year offerings; however, finance buyers continue to be more restrained." 

"Economic uncertainty continues to impact the marine industry, but we are encouraged by the potential for lower interest rates helping the finance buyer, as well as improved clarity on potential tariffs not having a significant impact on model year 2026 costs."

"Our team continues to work relentlessly to better position ourselves in this market, including reducing field inventory, focusing on strategic pricing, and targeting new innovations. Our ongoing focus on disciplined management combined with our strong balance sheet affords us the ability to opportunistically invest in the business," concluded Palmer.

3Q:25 Consolidated Financial Results (year-over-year comparisons versus 3Q:24)

Net sales were $53.1 million, up 7%. The increase in net sales was primarily due to a price/mix increase of 7%, slightly offset by a slight decrease in the number of boats sold during the quarter. Field inventories have returned to more balanced levels as retail sales have exceeded wholesale shipments. The Company's field unit inventory at the end of 3Q:25 was approximately 6% below 3Q:24.

Gross profit was $10.2 million, up 11%. Gross margin was 19.2%, up 80 basis points versus the prior year period. Gross margin improved with targeted incentives and stabilized production schedules resulting in improved manufacturing cost absorption.

Selling, general and administrative expenses  were $7.4 million, up 31%, and represented 13.9% of net sales, up 260 basis points versus 3Q:24. The increase in SG&A expenses was largely due to an increase in new product R&D investments, warranty cost adjustments and other expenses that typically vary with sales.

Interest income  of $443 thousand decreased due to lower cash balances.

Income tax provision was $658 thousand, or 19.9% of income before income taxes, up 50 basis points.

Net income and diluted EPS  were $2.7 million and $0.07, respectively, down from $3.4 million and $0.10, respectively, in 3Q:24. Net income margin was 5.0%, down 180 basis points.

EBITDA was $3.7 million, down from $4.3 million. EBITDA margin was 6.9%, down 170 basis points from last year's third quarter.

Balance Sheet, Cash Flow and Capital Allocation

Cash and cash equivalents  were $47.4 million at the end of 3Q:25, with no outstanding borrowings under the Company's $20 million revolving credit facility.

Net cash provided by operating activities and free cash flow were $11.7 million and $10.8 million, respectively, year-to-date through 3Q:25. The Company expects full year 2025 capital expenditures to be approximately $1.0 to $1.5 million.

Payment of dividends  totaled $14.7 million year-to-date through 3Q:25. Additionally, the Board of Directors declared a regular cash quarterly dividend of $0.14 per share payable on December 10, 2025, to common stockholders of record at the close of business on November 10, 2025.

Conference Call Information

Marine Products Corporation will hold a conference call today, October 30, 2025, at 8:00 a.m. Eastern Time to discuss the results for the quarter. Interested parties may listen in by accessing a live webcast in the investor relations section of Marine Products' website at www.marineproductscorp.com. Additionally, the live conference call can be accessed by calling (888) 660-6357, or (929) 201-6127 for international callers, and using conference ID number 9979064. A replay will be available in the investor relations section of Marine Products' website beginning approximately two hours after the call and for a period of 90 days.

About Marine Products

Marine Products Corporation is a leading manufacturer of high-quality fiberglass boats under the brand names Chaparral and Robalo. Chaparral's sterndrive models include SSi Sportboats and SSX Luxury Sportboats, and the Gen Two Series (GTS)/SURF Series. Chaparral's outboard offerings include OSX Luxury Sportboats and the SSi Outboard Bowriders. Robalo builds an array of outboard sport fishing models, which include Center Consoles, Dual Consoles and Cayman Bay Boats. The Company continues to diversify its product lines through product innovation. With these premium brands, a solid capital structure, and a strong independent dealer network, Marine Products Corporation is prepared to capitalize on opportunities to increase its market share and generate superior financial performance to build long-term shareholder value. For more information on Marine Products Corporation visit our website at www.marineproductscorp.com.

Forward Looking Statements

Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include statements that look forward in time or express management's beliefs, expectations, hopes or strategies. In particular, such statements include, without limitation: that we are cautiously optimistic and that we've reached a turning point in the industry as dealer inventory has adjusted to stabilizing demand; our encouragement by the strong interest in our larger boats and initial positive feedback on our 2026 model year offerings; our belief that finance buyers continue to be more restrained; our belief that economic uncertainty continues to impact the marine industry; our encouragement related to the potential for lower interest rates helping the finance buyer as well as improved clarity on potential tariffs not having a significant impact on model year 2026 costs; that our team continues to work relentlessly to better position us in our market, including reducing field inventory, focusing on strategic pricing, and targeting new innovations; our belief that our ongoing focus on disciplined management combined with our strong balance sheet affords us the ability to opportunistically invest in the business; that the Company continues to diversify its product lines through product innovation; our belief in our brands' solid capital structure, and a strong independent dealer network; and our belief that the Company is prepared to capitalize on opportunities to increase its market share and generate superior financial performance to build long-term shareholder value. Risk factors that could cause such future events not to occur or our strategies not to succeed as expected include the following: negative economic conditions, including increased tariffs, unavailability of credit and possible decreases in the level of consumer confidence impacting discretionary spending; business interruptions due to, e.g., adverse weather conditions, supply chain disruptions and/or further increased interest rates; our retail incentives and allowances may not successfully increase consumer demand as anticipated; due to negative impacts to the overall economy, industry or competition; our adjustments to production levels may not match demand; increased cost of boat ownership makes it more difficult to raise prices in the future to compensate for increased costs; our new model launches may not match dealer and consumer preferences, which are inherently uncertain; and our ability to manage manufacturing costs may be constrained in light of lower production levels and/or higher materials costs due to unexpected or increased tariffs and/or higher inflation. Additional factors that could cause the actual results to differ materially from management's projections, forecasts, estimates and expectations are contained in Marine Products' Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission (the "SEC") for the year ended December 31, 2024.

For information about Marine Products Corporation or this event, please contact:

Joshua Large
Vice President, Corporate Finance and Investor Relations
(404) 321-2152
[email protected] 

Michael L. Schmit
Chief Financial Officer
(404) 321-7910
[email protected] 

Non-GAAP Measures

Marine Products Corporation has used the non-GAAP financial measures of EBITDA, EBITDA margin, and free cash flow in today's earnings release. These measures should not be considered in isolation or as a substitute for performance or liquidity measures prepared in accordance with GAAP. Management believes that presenting EBITDA and EBITDA margin enables investors to compare our operating performance consistently over various time periods without regard to changes in our capital structure. Management believes that free cash flow, which measures our ability to generate additional cash from our business operations, is an important financial measure for use in evaluating Marine Products' liquidity. Free cash flow should be considered in addition to, rather than as a substitute for, net cash provided by operating activities as a measure of our liquidity. Additionally, Marine Products' definition of free cash flow is limited, in that it does not represent residual cash flows available for discretionary expenditures, due to the fact that the measure does not deduct the payments required for debt service and other contractual obligations or payments made for business acquisitions. Therefore, management believes it is important to view free cash flow as a measure that provides supplemental information to our Condensed Consolidated Statements of Cash Flows.

A non-GAAP financial measure is a numerical measure of financial performance, financial position, or cash flows that either 1) excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the most directly comparable measure calculated and presented in accordance with GAAP in the statement of operations, balance sheet or statement of cash flows, or 2) includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the most directly comparable measure so calculated and presented.

Set forth in the appendices below are reconciliations of these non-GAAP measures with their most directly comparable GAAP measures. These reconciliations also appear on Marine Products Corporation's investor website, which can be found on the Internet at www.marineproductscorp.com.

SOURCE Marine Products Corporation