Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Mar. 31, 2024 | May 03, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2024 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | MASTERCRAFT BOAT HOLDINGS, INC. | |
Entity Central Index Key | 0001638290 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 16,981,048 | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | MCFT | |
Security Exchange Name | NASDAQ | |
Entity File Number | 001-37502 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 06-1571747 | |
Entity Address, Address Line One | 100 Cherokee Cove Drive | |
Entity Address, City or Town | Vonore | |
Entity Address, State or Province | TN | |
Entity Address, Postal Zip Code | 37885 | |
City Area Code | 423 | |
Local Phone Number | 884-2221 | |
Document Quarterly Report | true | |
Document Transition Report | false |
UNAUDITED CONDENSED CONSOLIDATE
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2024 | Apr. 02, 2023 | Mar. 31, 2024 | Apr. 02, 2023 | |
Income Statement [Abstract] | ||||
NET SALES | $ 95,708 | $ 166,776 | $ 299,406 | $ 495,480 |
COST OF SALES | 77,360 | 124,178 | 240,493 | 368,682 |
GROSS PROFIT | 18,348 | 42,598 | 58,913 | 126,798 |
OPERATING EXPENSES: | ||||
Selling and marketing | 3,924 | 3,927 | 10,538 | 10,748 |
General and administrative | 9,978 | 9,156 | 27,446 | 26,874 |
Amortization of other intangible assets | 450 | 489 | 1,362 | 1,467 |
Total operating expenses | 14,352 | 13,572 | 39,346 | 39,089 |
OPERATING INCOME | 3,996 | 29,026 | 19,567 | 87,709 |
OTHER INCOME (EXPENSE): | ||||
Interest expense | (762) | (695) | (2,494) | (1,923) |
Interest income | 1,398 | 1,195 | 4,164 | 1,967 |
INCOME BEFORE INCOME TAX EXPENSE | 4,632 | 29,526 | 21,237 | 87,753 |
INCOME TAX EXPENSE | 806 | 6,744 | 4,408 | 20,353 |
Net income from continuing operations | 3,826 | 22,782 | 16,829 | 67,400 |
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX (Note 3) | (71) | (272) | (993) | (21,139) |
NET INCOME | $ 3,755 | $ 22,510 | $ 15,836 | $ 46,261 |
Basic | ||||
Continuing operations | $ 0.23 | $ 1.3 | $ 0.99 | $ 3.8 |
Discontinued operations | (0.01) | (0.02) | (0.06) | (1.19) |
Net income | 0.22 | 1.28 | 0.93 | 2.61 |
Diluted | ||||
Continuing operations | 0.23 | 1.28 | 0.98 | 3.78 |
Discontinued operations | (0.01) | (0.01) | (0.05) | (1.19) |
Net income | $ 0.22 | $ 1.27 | $ 0.93 | $ 2.59 |
WEIGHTED AVERAGE SHARES USED FOR COMPUTATION OF: | ||||
Basic earnings per share | 16,844,440 | 17,559,920 | 17,003,616 | 17,725,208 |
Diluted earnings per share | 16,965,624 | 17,748,910 | 17,093,958 | 17,851,655 |
UNAUDITED CONDENSED CONSOLIDA_2
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2024 | Jun. 30, 2023 | Jun. 30, 2022 |
CURRENT ASSETS: | |||
Cash and cash equivalents | $ 22,509 | $ 19,817 | |
Held-to-maturity securities (Note 4) | 83,183 | 91,560 | |
Accounts receivable, net of allowance of $96 and $122, respectively | 13,473 | 15,741 | |
Inventories, net (Note 5) | 41,432 | 58,298 | |
Prepaid expenses and other current assets | 14,414 | 10,083 | |
Total current assets | 175,011 | 195,499 | |
Property, plant and equipment, net (Note 6) | 79,593 | 77,921 | |
Goodwill (Note 7) | 28,493 | 28,493 | |
Other intangible assets, net (Note 7) | 34,100 | 35,462 | |
Deferred income taxes | 14,377 | 12,428 | |
Deferred debt issuance costs, net | 306 | 304 | |
Other long-term assets | 9,002 | 3,869 | |
Total assets | 340,882 | 353,976 | |
CURRENT LIABILITIES: | |||
Accounts payable | 15,216 | 20,391 | |
Income tax payable | 1,022 | 5,272 | |
Accrued expenses and other current liabilities (Note 8) | 66,164 | 72,496 | |
Current portion of long-term debt, net of unamortized debt issuance costs (Note 10) | 4,371 | 4,381 | |
Total current liabilities | 86,773 | 102,540 | |
Long-term debt, net of unamortized debt issuance costs (Note 10) | 45,982 | 49,295 | |
Unrecognized tax positions | 8,174 | 7,350 | |
Other long-term liabilities | 2,855 | 2,702 | |
Total liabilities | 143,784 | 161,887 | |
COMMITMENTS AND CONTINGENCIES | |||
STOCKHOLDERS' EQUITY: | |||
Common stock, $.01 par value per share authorized 100,000,000 shares issued and outstanding 17,018,448 shares at March 31, 2024 and 17,312,850 shares at June 30 2023 | 170 | 173 | |
Additional paid-in capital | 65,072 | 75,976 | |
Retained earnings | 131,656 | 115,820 | |
MasterCraft Boat Holdings, Inc. equity | 196,898 | 191,969 | |
Noncontrolling interest | 200 | 120 | |
Total equity | 197,098 | 192,089 | $ 143,648 |
Total liabilities and stockholders' equity | $ 340,882 | $ 353,976 |
UNAUDITED CONDENSED CONSOLIDA_3
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2024 | Jun. 30, 2023 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 96 | $ 122 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 100,000,000 | 100,000,000 |
Common stock, issued shares | 17,018,448 | 17,312,850 |
Common stock, outstanding shares | 17,018,448 | 17,312,850 |
UNAUDITED CONDENSED CONSOLIDA_4
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained earning | Non controlling Interest | MasterCraft Boat Holdings, Inc. |
Balance, beginning at Jun. 30, 2022 | $ 181 | $ 96,584 | $ 46,883 | $ 0 | $ 143,648 | |
Balance, beginning (in shares) at Jun. 30, 2022 | 18,061,437 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance at Jun. 30, 2022 | $ 143,648 | |||||
Share-based compensation activity | 650 | $ 1 | 649 | 650 | ||
Share-based compensation activity (shares) | 128,040 | |||||
Repurchase and retirement of common stock | (4,178) | $ (2) | (4,176) | (4,178) | ||
Repurchase and retirement of common stock (shares) | (191,360) | |||||
Net Income (Loss) | 4,068 | 4,068 | 4,068 | |||
Balance, ending at Oct. 02, 2022 | $ 180 | 93,057 | 50,951 | 0 | 144,188 | |
Balance, ending (in shares) at Oct. 02, 2022 | 17,998,117 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Ending Balance at Oct. 02, 2022 | 144,188 | |||||
Balance, beginning at Jun. 30, 2022 | $ 181 | 96,584 | 46,883 | 0 | 143,648 | |
Balance, beginning (in shares) at Jun. 30, 2022 | 18,061,437 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance at Jun. 30, 2022 | 143,648 | |||||
Repurchase and retirement of common stock (shares) | (625,794) | |||||
Net Income (Loss) | 46,261 | |||||
Balance, ending at Apr. 02, 2023 | $ 176 | 82,827 | 93,144 | 0 | 176,147 | |
Balance, ending (in shares) at Apr. 02, 2023 | 17,571,882 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Ending Balance at Apr. 02, 2023 | 176,147 | |||||
Balance, beginning at Oct. 02, 2022 | $ 180 | 93,057 | 50,951 | 0 | 144,188 | |
Balance, beginning (in shares) at Oct. 02, 2022 | 17,998,117 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance at Oct. 02, 2022 | 144,188 | |||||
Share-based compensation activity | 745 | 745 | 745 | |||
Share-based compensation activity (shares) | 2,466 | |||||
Repurchase and retirement of common stock | (4,794) | $ (2) | (4,792) | (4,794) | ||
Repurchase and retirement of common stock (shares) | (224,284) | |||||
Net Income (Loss) | 19,683 | 19,683 | 19,683 | |||
Balance, ending at Jan. 01, 2023 | $ 178 | 89,010 | 70,634 | 0 | 159,822 | |
Balance, ending (in shares) at Jan. 01, 2023 | 17,776,299 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Ending Balance at Jan. 01, 2023 | 159,822 | |||||
Share-based compensation activity | 883 | 883 | 883 | |||
Share-based compensation activity (shares) | 5,733 | |||||
Repurchase and retirement of common stock | (7,068) | $ (2) | (7,066) | (7,068) | ||
Repurchase and retirement of common stock (shares) | (210,150) | |||||
Net Income (Loss) | 22,510 | 22,510 | 22,510 | |||
Balance, ending at Apr. 02, 2023 | $ 176 | 82,827 | 93,144 | 0 | 176,147 | |
Balance, ending (in shares) at Apr. 02, 2023 | 17,571,882 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Ending Balance at Apr. 02, 2023 | 176,147 | |||||
Balance, beginning at Jun. 30, 2023 | 191,969 | $ 173 | 75,976 | 115,820 | 120 | 191,969 |
Balance, beginning (in shares) at Jun. 30, 2023 | 17,312,850 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance at Jun. 30, 2023 | 192,089 | |||||
Share-based compensation activity | (683) | (683) | (683) | |||
Share-based compensation activity (shares) | 185,055 | |||||
Repurchase and retirement of common stock | (5,785) | $ (2) | (5,783) | (5,785) | ||
Repurchase and retirement of common stock (shares) | (241,764) | |||||
Capital contribution from noncontrolling interest | 80 | 80 | ||||
Net Income (Loss) | 6,195 | 6,195 | 6,195 | |||
Balance, ending at Oct. 01, 2023 | $ 171 | 69,510 | 122,015 | 200 | 191,696 | |
Balance, ending (in shares) at Oct. 01, 2023 | 17,256,141 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Ending Balance at Oct. 01, 2023 | 191,896 | |||||
Balance, beginning at Jun. 30, 2023 | 191,969 | $ 173 | 75,976 | 115,820 | 120 | 191,969 |
Balance, beginning (in shares) at Jun. 30, 2023 | 17,312,850 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance at Jun. 30, 2023 | 192,089 | |||||
Repurchase and retirement of common stock (shares) | (529,545) | |||||
Net Income (Loss) | 15,836 | |||||
Balance, ending at Mar. 31, 2024 | 196,898 | $ 170 | 65,072 | 131,656 | 200 | 196,898 |
Balance, ending (in shares) at Mar. 31, 2024 | 17,018,448 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Ending Balance at Mar. 31, 2024 | 197,098 | |||||
Balance, beginning at Oct. 01, 2023 | $ 171 | 69,510 | 122,015 | 200 | 191,696 | |
Balance, beginning (in shares) at Oct. 01, 2023 | 17,256,141 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Beginning Balance at Oct. 01, 2023 | 191,896 | |||||
Share-based compensation activity | 9 | $ 1 | 8 | 9 | ||
Share-based compensation activity (shares) | (8,117) | |||||
Repurchase and retirement of common stock | (4,460) | $ (2) | (4,458) | (4,460) | ||
Repurchase and retirement of common stock (shares) | (214,219) | |||||
Net Income (Loss) | 5,886 | 5,886 | 5,886 | |||
Balance, ending at Dec. 31, 2023 | $ 170 | 65,060 | 127,901 | 200 | 193,131 | |
Balance, ending (in shares) at Dec. 31, 2023 | 17,033,805 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Ending Balance at Dec. 31, 2023 | 193,331 | |||||
Share-based compensation activity | 1,583 | $ 1 | 1,582 | 1,583 | ||
Share-based compensation activity (shares) | 58,205 | |||||
Repurchase and retirement of common stock | (1,571) | $ (1) | (1,570) | (1,571) | ||
Repurchase and retirement of common stock (shares) | (73,562) | |||||
Net Income (Loss) | 3,755 | 3,755 | 3,755 | |||
Balance, ending at Mar. 31, 2024 | 196,898 | $ 170 | $ 65,072 | $ 131,656 | $ 200 | $ 196,898 |
Balance, ending (in shares) at Mar. 31, 2024 | 17,018,448 | |||||
Equity, Including Portion Attributable to Noncontrolling Interest, Ending Balance at Mar. 31, 2024 | $ 197,098 |
UNAUDITED CONDENSED CONSOLIDA_5
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2024 | Apr. 02, 2023 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net Income (Loss) | $ 15,836 | $ 46,261 |
Loss from discontinued operations, net of tax | 993 | 21,139 |
Net income from continuing operations | 16,829 | 67,400 |
Adjustments to reconcile net income from continuing operations to net cash provided by operating activities: | ||
Depreciation and amortization | 8,327 | 7,833 |
Share-based compensation | 2,531 | 2,892 |
Unrecognized tax benefits | 824 | 111 |
Deferred income taxes | (1,949) | 7,194 |
Amortization of debt issuance costs | 192 | 172 |
Changes in certain operating assets and liabilities | (1,737) | 21,610 |
Other, net | (2,094) | 153 |
Net cash provided by operating activities of continuing operations | 22,923 | 107,365 |
Net cash used in operating activities of discontinued operations | (603) | (2,403) |
Net cash provided by operating activities | 22,320 | 104,962 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of property, plant and equipment | (12,622) | (18,871) |
Purchases of investments | (120,277) | (83,509) |
Maturities of investments | 130,053 | 10,000 |
Other, net | 5 | 0 |
Net cash used in investing activities of continuing operations | (2,841) | (92,380) |
Net cash used in investing activities of discontinued operations | 0 | (501) |
Net cash used in investing activities | (2,841) | (92,881) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Principal payments on long-term debt | (3,375) | (2,250) |
Repurchase and retirement of common stock | (11,728) | (15,972) |
Other, net | (1,684) | (609) |
Net cash used in financing activities of continuing operations | (16,787) | (18,831) |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 2,692 | (6,750) |
CASH AND CASH EQUIVALENTS — BEGINNING OF PERIOD | 19,817 | 34,203 |
CASH AND CASH EQUIVALENTS — END OF PERIOD | 22,509 | 27,453 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||
Cash payments for interest | 2,259 | 1,773 |
Cash payments for income taxes | 9,684 | 6,209 |
NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||
Activity related to sales-type lease | 3,898 | 0 |
Capital expenditures in accounts payable and accrued expenses | $ 908 | $ 2,855 |
BASIS OF PRESENTATION AND SIGNI
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES | 1. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation — The Company’s fiscal year begins July 1 and ends June 30, with the interim quarterly reporting periods consisting of 13 weeks. Therefore, the fiscal quarter end will not always coincide with the date of the end of a calendar month. The accompanying unaudited condensed consolidated financial statements include the accounts of MasterCraft Boat Holdings, Inc. ("Holdings") and its wholly owned subsidiaries. Holdings and its subsidiaries collectively are referred to herein as the "Company." The unaudited condensed consolidated financial statements have been prepared on the same basis as the Company’s audited consolidated financial statements for the year ended June 30, 2023, and, in the opinion of management, reflect all adjustments considered necessary to present fairly the Company’s financial position as of March 31, 2024, its results of operations for the three and nine months ended March 31, 2024 and April 2, 2023, its cash flows for the nine months ended March 31, 2024 and April 2, 2023, and its statements of equity for the three and nine months ended March 31, 2024 and April 2, 2023. All adjustments are of a normal, recurring nature. Certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the applicable rules and regulations of the SEC for financial information have been condensed or omitted pursuant to such rules and regulations. The June 30, 2023 condensed consolidated balance sheet data was derived from the audited financial statements but does not include all disclosures required by U.S. GAAP for complete financial statements. However, management believes that the disclosures in these condensed consolidated financial statements are adequate to make the information presented not misleading. These condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and notes thereto included in our 2023 Annual Report on Form 10-K. Due to the seasonality of the Company’s business, the interim results are not necessarily indicative of the results that may be expected for the remainder of the fiscal year. There were no significant changes in, or changes to, the application of the Company’s significant or critical accounting policies or estimation procedures for the three and nine months ended March 31, 2024, as compared with those described in the Company’s audited consolidated financial statements for the fiscal year ended June 30, 2023 . Investment in Sales-Type Lease — On July 1, 2023, the Company became a lessor in a sales-type lease arrangement consisting of land valued at $ 3.9 million. In accordance with Accounting Standards Codification (“ASC”) 842, Leases, the underlying land was derecognized as Property, plant and equipment and a sales-type lease was recognized as a net investment in a lease. The net investment balances are represented as lease receivable and unguaranteed residual asset amounts on the balance sheet within other current assets and other long-term assets. The interest earned on the net investment will be recognized as interest income. New Accounting Pronouncements Segment Reporting ASU No. 2023-07, Improvements to Reportable Segment Disclosures, requires incremental disclosures about an entity’s reportable segments but does not change the definition of a segment or the guidance for determining reportable segments. The new guidance requires disclosure of significant segment expenses that are (1) regularly provided to (or easily computed from information regularly provided to) the chief operating decision maker and (2) included in the reported measure of segment profit or loss. The new standard also allows companies to disclose multiple measures of segment profit or loss if those measures are used to assess performance and allocate resources. This update is effective for fiscal years beginning after December 31, 2023, or fiscal 2025 for the Company, and should be adopted retrospectively unless impracticable. The Company is currently evaluating the impact, if any, that the adoption of this standard will have on financial disclosures. Income Taxes Accounting Standard Update ("ASU") No. 2023-09, Improvements to Income Tax Disclosures, requires entities to disclose in their rate reconciliation table additional categories of information about federal, state and foreign income taxes and provide more details about the reconciling items in some categories if items meet a quantitative threshold. Entities would have to provide qualitative disclosures about the new categories. The guidance will require all entities to disclose income taxes paid, net of refunds, disaggregated by federal (national), state and foreign taxes for annual periods and to disaggregate the information by jurisdiction based on a quantitative threshold. The guidance makes several other changes to the disclosure requirements. Entities are required to apply the guidance prospectively, with the option to apply it retrospectively. The guidance is effective for annual periods beginning after December 15, 2024, or fiscal 2026 for the Company. The Company is currently evaluating the impact, if any, that the adoption of this standard will have on financial disclosures. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Mar. 31, 2024 | Dec. 31, 2023 | Oct. 01, 2023 | Apr. 02, 2023 | Jan. 01, 2023 | Oct. 02, 2022 | Mar. 31, 2024 | Apr. 02, 2023 | |
Pay vs Performance Disclosure | ||||||||
Net Income (Loss) | $ 3,755 | $ 5,886 | $ 6,195 | $ 22,510 | $ 19,683 | $ 4,068 | $ 15,836 | $ 46,261 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Rule 10b5-1 Arrangement Modified | false |
Non-Rule 10b5-1 Arrangement Modified | false |
REVENUE RECOGNITION
REVENUE RECOGNITION | 9 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE RECOGNITION | 2. REVENUE RECOGNITION The following tables present the Company's revenue by major product category for each reportable segment: Three Months Ended March 31, 2024 MasterCraft Crest Aviara Total Major Product Categories: Boats and trailers $ 66,961 $ 13,769 $ 11,731 $ 92,461 Parts 2,443 292 — 2,735 Other revenue 379 133 — 512 Total $ 69,783 $ 14,194 $ 11,731 $ 95,708 Nine Months Ended March 31, 2024 MasterCraft Crest Aviara Total Major Product Categories: Boats and trailers $ 207,160 $ 48,584 $ 31,374 $ 287,118 Parts 9,574 770 — 10,344 Other revenue 1,585 359 — 1,944 Total $ 218,319 $ 49,713 $ 31,374 $ 299,406 Three Months Ended April 2, 2023 MasterCraft Crest Aviara Total Major Product Categories: Boats and trailers $ 114,514 $ 35,936 $ 12,777 $ 163,227 Parts 2,798 285 — 3,083 Other revenue 318 148 — 466 Total $ 117,630 $ 36,369 $ 12,777 $ 166,776 Nine Months Ended April 2, 2023 MasterCraft Crest Aviara Total Major Product Categories: Boats and trailers $ 328,254 $ 115,444 $ 39,570 $ 483,268 Parts 9,693 671 — 10,364 Other revenue 1,368 480 — 1,848 Total $ 339,315 $ 116,595 $ 39,570 $ 495,480 Contract Liabilities As of June 30, 2023, the Company had $ 3.3 million of contract liabilities associated with customer deposits and services. During the nine months ended March 31, 2024 , $ 1.4 million was recognized as revenue. As of March 31, 2024 , total contract liabilities associated with customer deposits and services of $ 3.5 million were reported in Accrued expenses and other current liabilities and Other long-term liabilities on the condensed consolidated balance sheet, and $ 0.6 million is expected to be recognized as revenue during the remainder of the year ending June 30, 2024 . |
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS | 9 Months Ended |
Mar. 31, 2024 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DISCONTINUED OPERATIONS | 3. DISCONTINUED OPERATIONS On September 2, 2022, the Company sold its NauticStar business to certain affiliates of Iconic Marine Group, LLC ("Purchaser"). Pursuant to the terms of the purchase agreement, substantially all of the assets of NauticStar were sold, including, among other things, all of the issued and outstanding membership interests in its wholly-owned subsidiary NS Transport, LLC, all owned real property, equipment, inventory, intellectual property and accounts receivable, and the Purchaser assumed substantially all of the liabilities of NauticStar, including, among other things, product liability and warranty claims. During the nine months ended April 2, 2023 , the Company recognized a $ 22.5 million loss on sale. The final settlement of the purchase price was subject to customary working capital adjustments that had been in arbitration, but were settled in October 2023 without a significant impact to the loss on sale previously recorded. The agreed upon settlement will be received in installment payments through July 2025. The value of the assets and liabilities that were retained at the time of sale, which are primarily related to certain claims, are subject to change. Certain of these claims have been settled or are expected to settle for higher amounts than previously estimated, with the related activity being recorded as discontinued operations. The following table summarizes the operating results of discontinued operations for the following periods: Nine Months Ended March 31, April 2, 2024 2023 NET SALES 37 $ 7,767 COST OF SALES 257 9,732 GROSS LOSS ( 220 ) ( 1,965 ) OPERATING EXPENSES: Selling, general and administrative 1,237 2,639 Total operating expenses 1,237 2,639 OPERATING LOSS ( 1,457 ) ( 4,604 ) Gain (loss) on sale of discontinued operations 157 ( 22,487 ) LOSS BEFORE INCOME TAX BENEFIT ( 1,300 ) ( 27,091 ) INCOME TAX BENEFIT 307 5,952 LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX ( 993 ) $ ( 21,139 ) The operating results, and components thereof, of discontinued operations for the three months ended March 31, 2024 and April 2, 2023 were not significant. |
HELD-TO-MATURITY SECURITIES
HELD-TO-MATURITY SECURITIES | 9 Months Ended |
Mar. 31, 2024 | |
Investments Disclosure [Abstract] | |
HELD-TO-MATURITY SECURITIES | The amortized cost and net carrying amount, gross unrealized gains and losses, and estimated fair value of our investments classified as held-to-maturity at March 31, 2024 and June 30, 2023 are summarized as follows: March 31, 2024 Amortized Gross Gross Estimated Cost / Net Unrealized Unrealized Fair Carrying Amount Gains Losses Value Held-to-maturity securities: Fixed income securities: Corporate bonds $ 83,183 $ 6 $ ( 48 ) $ 83,141 Total held-to-maturity securities $ 83,183 $ 6 $ ( 48 ) $ 83,141 June 30, 2023 Amortized Gross Gross Estimated Cost / Net Unrealized Unrealized Fair Carrying Amount Gains Losses Value Held-to-maturity securities: Fixed income securities: Corporate bonds $ 81,743 $ 1 $ ( 160 ) $ 81,584 U.S. treasury bills 9,817 31 ( 1 ) 9,847 Total held-to-maturity securities $ 91,560 $ 32 $ ( 161 ) $ 91,431 |
INVENTORIES
INVENTORIES | 9 Months Ended |
Mar. 31, 2024 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | 5. INVENTORIES Inventories consisted of the following: March 31, June 30, 2024 2023 Raw materials and supplies $ 27,262 $ 40,201 Work in process 9,418 9,465 Finished goods 6,395 10,335 Obsolescence reserve ( 1,643 ) ( 1,703 ) Total inventories $ 41,432 $ 58,298 |
PROPERTY, PLANT, AND EQUIPMENT
PROPERTY, PLANT, AND EQUIPMENT | 9 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | 6. PROPERTY, PLANT, AND EQUIPMENT Property, plant, and equipment, net consisted of the following: March 31, June 30, 2024 2023 Land and improvements $ 7,587 $ 10,456 Buildings and improvements 51,848 46,759 Machinery and equipment 42,309 40,632 Furniture and fixtures 5,620 5,284 Construction in progress 12,717 10,180 Total property, plant, and equipment 120,081 113,311 Less accumulated depreciation ( 40,488 ) ( 35,390 ) Property, plant, and equipment — net 79,593 $ 77,921 |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 9 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS | 7. GOODWILL AND OTHER INTANGIBLE ASSETS The following table presents the carrying amounts of goodwill as of March 31, 2024 and June 30, 2023 for each of the Company's reportable segments. Gross Amount Accumulated Impairment Losses Total MasterCraft $ 28,493 $ — $ 28,493 Crest 36,238 ( 36,238 ) — Aviara 1,100 ( 1,100 ) — Total $ 65,831 $ ( 37,338 ) $ 28,493 The following table presents the carrying amounts of Other intangible assets, net: March 31, June 30, 2024 2023 Gross Amount Accumulated Amortization / Impairment Other intangible assets, net Gross Amount Accumulated Amortization / Impairment Other intangible assets, net Amortized intangible assets Dealer networks $ 19,500 $ ( 11,400 ) $ 8,100 $ 19,500 $ ( 10,050 ) $ 9,450 Software 245 ( 245 ) — 245 ( 233 ) 12 19,745 ( 11,645 ) 8,100 19,745 ( 10,283 ) 9,462 Unamortized intangible assets Trade names 33,000 ( 7,000 ) 26,000 33,000 ( 7,000 ) 26,000 Total other intangible assets $ 52,745 $ ( 18,645 ) $ 34,100 $ 52,745 $ ( 17,283 ) $ 35,462 Amortization expense related to Other intangible assets, net for each of the three months ended March 31, 2024 and April 2, 2023 , was $ 0.5 million and for the nine months ended March 31, 2024 and April 2, 2023 , was $ 1.4 million and $ 1.5 million, respectively. Estimated amortization expense for the fiscal year ending June 30, 2024 is $ 1.8 million. |
ACCRUED EXPENSES AND OTHER CURR
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 9 Months Ended |
Mar. 31, 2024 | |
Accrued Liabilities and Other Liabilities [Abstract] | |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 8. ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES Accrued expenses and other current liabilities consisted of the following: March 31, June 30, 2024 2023 Warranty $ 30,861 $ 31,780 Dealer incentives 21,452 24,987 Compensation and related accruals 4,367 5,838 Inventory repurchase contingent obligation 2,212 1,515 Contract liabilities 1,423 1,477 Self-insurance 1,357 1,586 Liabilities retained associated with discontinued operations 786 690 Other 3,706 4,623 Total accrued expenses and other current liabilities $ 66,164 $ 72,496 Accrued warranty liability activity was as follows for the nine months ended: March 31, April 2, 2024 2023 Balance at the beginning of the period $ 31,780 $ 25,824 Provisions 6,438 10,766 Payments made ( 10,557 ) ( 9,069 ) Changes for pre-existing warranties 3,200 3,131 Balance at the end of the period $ 30,861 $ 30,652 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 9. COMMITMENTS AND CONTINGENCIES Legal Proceedings The Company is subject to various litigation, claims and proceedings, which have arisen in the ordinary course of business. The Company accrues for litigation, claims and proceedings when a liability is both probable and the amount can be reasonably estimated. The Company’s accruals for litigation matters are not material. While these matters are subject to inherent uncertainties, management believes that current litigation, claims and proceedings, individually and in aggregate, and after considering expected insurance reimbursements and other contract indemnifications, are not likely to have a material adverse impact on the Company’s financial position, results of operations or cash flows. |
LONG-TERM DEBT
LONG-TERM DEBT | 9 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | 10. LONG-TERM DEBT Long-term debt is as follows: March 31, June 30, 2024 2023 Term loan $ 50,625 $ 54,000 Debt issuance costs on term loan ( 272 ) ( 324 ) Total debt 50,353 53,676 Less current portion of long-term debt 4,500 4,500 Less current portion of debt issuance costs on term loan ( 129 ) ( 119 ) Long-term debt, net of current portion $ 45,982 $ 49,295 The Company has a credit agreement with a syndicate of certain financial institutions (the "Credit Agreement") that provides the Company with a $ 160.0 million senior secured credit facility, consisting of a $ 60.0 million term loan (the "Term Loan") and a $ 100.0 million revolving credit facility (the "Revolving Credit Facility"). The Credit Agreement is secured by a first priority security interest in substantially all of the Company's assets. The Credit Agreement contains a number of covenants that, among other things, restrict the Company’s ability to, subject to specified exceptions, incur additional debt; incur additional liens and contingent liabilities; sell or dispose of assets; merge with or acquire other companies; liquidate or dissolve; engage in businesses that are not in a related line of business; make loans, advances or guarantees; pay dividends or make other distributions; engage in transactions with affiliates; and make investments. The Company is also required to maintain a minimum fixed charge coverage ratio and a maximum net leverage ratio. On August 31, 2022, the Company entered into the Second Amendment to the Credit Agreement to obtain the necessary consents and waivers related to the sale of the NauticStar segment on September 2, 2022, as discussed in Note 3. On October 4, 2023, the Company entered into the Third Amendment to the Credit Agreement to exclude certain amounts of stock repurchases during the fiscal year ending June 30, 2024 from the calculation of the minimum required fixed charge coverage ratio. The Credit Agreement, as amended, bears interest, at the Company’s option, at either the prime rate plus an applicable margin ranging from 0.25 % to 1.00 % or at an adjusted term benchmark rate plus an applicable margin ranging from 1.25 % to 2.00 %, in each case based on the Company’s net leverage ratio. The Company is also required to pay a commitment fee for any unused portion of the revolving credit facility ranging from 0.15 % to 0.30 % based on the Company’s net leverage ratio. Effective during both the three and nine months ended March 31, 2024 , the applicable margin for loans accruing at the prime rate was 0.25 % and the applicable margin for loans accruing interest at the benchmark rate was 1.25 %. As of March 31, 2024 , the interest rate on the Company’s term loan was 6.68 %. The Credit Agreement will mature and all remaining amounts outstanding thereunder will be due and payable on June 28, 2026. As of March 31, 2024, the Company was in compliance with its financial covenants under the Credit Agreement. Revolving Credit Facility As of March 31, 2024 , the Company had no amounts outstanding on its Revolving Credit Facility and had remaining availability of $ 100.0 million . |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 11. INCOME TAXES The Company’s consolidated interim effective tax rate is based on a current estimate of the annual effective income tax rate adjusted to reflect the impact of discrete items. The differences between the Company’s effective tax rates and the statutory federal tax rate of 21.0 % primarily relate to the inclusion of the state tax rate in the overall effective rate, the benefit of federal and state credits, and a permanent add-back for Section 162(m) limitations, partially offset by a benefit associated with the foreign derived intangible income deduction. During the three months ended March 31, 2024 and April 2, 2023, the Company's effective tax rate was 17.4 % and 22.8 % , respectively, and for the nine months ended March 31, 2024 and April 2, 2023, the Company’s effective tax rate was 20.8 % and 23.2 % , respectively. The Company’s effective tax rates for the three and nine months ended March 31, 2024 are lower compared to the effective tax rate for the same prior-year periods, primarily due to a decrease in the effective state tax rate and an increase in the impact of federal tax credits, partially offset by an increase in the tax impact of uncertain state tax positions. |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 9 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
SHARE-BASED COMPENSATION | 12. SHARE-BASED COMPENSATION The following table presents the components of share-based compensation expense by award type. Three Months Ended Nine Months Ended March 31, April 2, March 31, April 2, 2024 2023 2024 2023 Restricted stock awards $ 1,494 $ 587 $ 2,508 $ 1,723 Performance stock units 89 439 23 1,169 Share-based compensation expense $ 1,583 $ 1,026 $ 2,531 $ 2,892 The increase in expense related to restricted stock awards ("RSAs") for the three months ended March 31, 2024 is primarily the result of accelerated recognition of compensation expense associated with outstanding equity awards held by our former Chief Executive Officer, which were modified at the time of the March 2024 announcement of his retirement. Restricted Stock Awards During the nine months ended March 31, 2024 , the Company granted 179,539 RSAs to the Company’s non-executive directors, officers and certain other key employees. Generally, the shares of restricted stock granted during the nine months ended March 31, 2024 , vest pro-rata over three years for officers and certain other key employees and over one year for non-executive directors. The Company determined the fair value of the shares awarded by using the close price of our common stock as of the date of grant. The weighted average grant date fair value of RSAs granted in the nine months ended March 31, 2024 , was $ 21.33 per share. The following table summarizes the status of nonvested RSAs as of March 31, 2024, and changes during the nine months then ended. Average Nonvested Grant-Date Restricted Fair Value Shares (per share) Nonvested at June 30, 2023 91,907 $ 23.66 Granted 179,539 21.33 Vested ( 18,830 ) 20.00 Forfeited ( 19,173 ) 23.09 Nonvested at March 31, 2024 233,443 22.21 As of March 31, 2024 , there was $ 2.7 million of total unrecognized compensation expense related to nonvested RSAs. The Company expects this expense to be recognized over a weighted average period of 2.2 years. Performance Stock Units Performance stock units (“PSUs”) are a form of long-term incentive compensation awarded to executive officers and certain other key employees designed to directly align the interests of employees to the interests of the Company’s stockholders, and to create long-term stockholder value. The awards will be earned based on the Company’s achievement of certain performance criteria over a three-year performance period. The performance period for the awards commences on July 1 of the fiscal year in which they were granted and continue for a three-year period, ending on June 30 of the applicable year. The probability of achieving the performance criteria is assessed quarterly. Following the determination of the Company’s achievement with respect to the performance criteria, the number of shares awarded is subject to further adjustment based on the application of a total shareholder return (“TSR”) modifier. The grant date fair value is determined based on both the probability assessment of the Company achieving the performance criteria and an estimate of the expected TSR modifier. The TSR modifier estimate is determined using a Monte Carlo Simulation model, which considers the likelihood of numerous possible outcomes of long-term market performance. Compensation expense related to nonvested PSUs is recognized ratably over the performance period. The following table summarizes the status of nonvested PSUs as of March 31, 2024, and changes during the nine months then ended. Average Nonvested Grant-Date Performance Fair Value Stock Units (per share) Nonvested at June 30, 2023 122,971 $ 27.12 Granted 86,555 21.62 Forfeited ( 28,054 ) 25.65 Nonvested at March 31, 2024 181,472 24.73 As of March 31, 2024 , there was $ 0.2 million of total unrecognized compensation expense related to nonvested PSUs. The Company expects this expense to be recognized over a weighted average period of 2.2 years. |
EARNINGS PER SHARE AND COMMON S
EARNINGS PER SHARE AND COMMON STOCK | 9 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
EARNINGS PER SHARE AND COMMON STOCK | 13. EARNINGS PER SHARE AND COMMON STOCK The following table sets forth the computation of the Company’s net income per share: Three Months Ended Nine Months Ended March 31, April 2, March 31, April 2, 2024 2023 2024 2023 Net income from continuing operations $ 3,826 $ 22,782 $ 16,829 $ 67,400 Loss from discontinued operations, net of tax ( 71 ) ( 272 ) ( 993 ) ( 21,139 ) Net income $ 3,755 $ 22,510 $ 15,836 $ 46,261 Weighted average shares — basic 16,844,440 17,559,920 17,003,616 17,725,208 Dilutive effect of assumed exercises of stock options — 4,816 — 7,028 Dilutive effect of assumed restricted share awards/units 121,184 184,174 90,342 119,419 Weighted average outstanding shares — diluted 16,965,624 17,748,910 17,093,958 17,851,655 Basic net income (loss) per share Continuing operations $ 0.23 $ 1.30 $ 0.99 $ 3.80 Discontinued operations ( 0.01 ) ( 0.02 ) ( 0.06 ) ( 1.19 ) Net income $ 0.22 $ 1.28 $ 0.93 $ 2.61 Diluted net income (loss) per share Continuing operations $ 0.23 $ 1.28 $ 0.98 $ 3.78 Discontinued operations ( 0.01 ) ( 0.01 ) ( 0.05 ) ( 1.19 ) Net income $ 0.22 $ 1.27 $ 0.93 $ 2.59 For the three and nine months ended March 31, 2024 and April 2, 2023, an immaterial number of shares were excluded from the computation of diluted earnings per share as the effect would have been anti-dilutive. Share Repurchase Program On June 24, 2021, the board of directors of the Company authorized a share repurchase program that allowed for the repurchase of up to $ 50.0 million of the Company’s common stock during the three-year period ending June 24, 2024. While having $ 1.6 million of availability as of June 30, 2023, this program was fully utilized during the first quarter ended October 1, 2023. On July 24, 2023, the board of directors of the Company authorized a new share repurchase program under which the Company may repurchase up to $ 50.0 million of its outstanding shares of common stock. The new authorization became effective upon the completion of the Company's existing $ 50.0 million stock repurchase authorization. During the three months ended March 31, 2024 and April 2, 2023 , the Company repurchased 73,562 shares and 210,150 shares of common stock for $ 1.6 million and $ 7.0 million, respectively, in cash, excluding related fees and expenses. During the nine months ended March 31, 2024 and April 2, 2023 , the Company repurchased 529,545 shares and 625,794 shares of common stock for $ 11.7 million and $ 16.0 million, respectively, in cash, excluding related fees and expenses. As of March 31, 2024 , $ 39.9 million remained available under the program. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 9 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | 14. SEGMENT INFORMATION Reportable Segments Operating segments are identified as components of an enterprise about which discrete financial information is available for evaluation by the CODM in making decisions on how to allocate resources and assess performance. For the three and nine months ended March 31, 2024 , the Company’s CODM regularly assessed the operating performance of the Company’s boat brands under three operating and reportable segments: • The MasterCraft segment produces boats at its Vonore, Tennessee facility. These are premium recreational performance sport boats primarily used for water skiing, wakeboarding, wake surfing, and general recreational boating. • The Crest segment produces pontoon boats at its Owosso, Michigan facility. Crest boats are primarily used for general recreational boating. • The Aviara segment produces luxury day boats at its Merritt Island, Florida facility. Aviara boats are primarily used for general recreational boating. Each segment distributes its products through its own independent dealer network. Each segment also has its own management structure which is responsible for the operations of the segment and is directly accountable to the CODM for the operating performance of the segment, which is regularly assessed by the CODM who allocates resources based on that performance. The Company files a consolidated income tax return and does not allocate income taxes and other corporate-level expenses, including interest, to operating segments. All material corporate costs are included in the MasterCraft segment. Selected financial information for the Company’s reportable segments was as follows: For the Three Months Ended March 31, 2024 MasterCraft Crest Aviara Consolidated Net sales $ 69,783 $ 14,194 $ 11,731 $ 95,708 Operating income (loss) 7,616 ( 864 ) ( 2,756 ) 3,996 Depreciation and amortization 1,288 817 737 2,842 Purchases of property, plant and equipment 2,591 584 1,329 4,504 For the Nine Months Ended March 31, 2024 MasterCraft Crest Aviara Consolidated Net sales $ 218,319 $ 49,713 $ 31,374 $ 299,406 Operating income (loss) 28,202 ( 133 ) ( 8,502 ) 19,567 Depreciation and amortization 3,872 2,440 2,015 8,327 Purchases of property, plant and equipment 6,207 1,761 4,654 12,622 For the Three Months Ended April 2, 2023 MasterCraft Crest Aviara Consolidated Net sales $ 117,630 $ 36,369 $ 12,777 $ 166,776 Operating income (loss) 25,298 4,962 ( 1,234 ) 29,026 Depreciation and amortization 1,386 701 535 2,622 Purchases of property, plant and equipment 3,151 2,089 1,716 6,956 For the Nine Months Ended April 2, 2023 MasterCraft Crest Aviara Consolidated Net sales $ 339,315 $ 116,595 $ 39,570 $ 495,480 Operating income (loss) 72,269 17,576 ( 2,136 ) 87,709 Depreciation and amortization 4,132 2,104 1,597 7,833 Purchases of property, plant and equipment 8,434 6,292 4,145 18,871 The following table presents total assets for the Company’s reportable segments. March 31, 2024 June 30, 2023 Assets: MasterCraft $ 251,297 $ 259,201 Crest 48,299 53,435 Aviara 41,286 41,340 Total assets $ 340,882 $ 353,976 |
BASIS OF PRESENTATION AND SIG_2
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation — The Company’s fiscal year begins July 1 and ends June 30, with the interim quarterly reporting periods consisting of 13 weeks. Therefore, the fiscal quarter end will not always coincide with the date of the end of a calendar month. The accompanying unaudited condensed consolidated financial statements include the accounts of MasterCraft Boat Holdings, Inc. ("Holdings") and its wholly owned subsidiaries. Holdings and its subsidiaries collectively are referred to herein as the "Company." The unaudited condensed consolidated financial statements have been prepared on the same basis as the Company’s audited consolidated financial statements for the year ended June 30, 2023, and, in the opinion of management, reflect all adjustments considered necessary to present fairly the Company’s financial position as of March 31, 2024, its results of operations for the three and nine months ended March 31, 2024 and April 2, 2023, its cash flows for the nine months ended March 31, 2024 and April 2, 2023, and its statements of equity for the three and nine months ended March 31, 2024 and April 2, 2023. All adjustments are of a normal, recurring nature. Certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the applicable rules and regulations of the SEC for financial information have been condensed or omitted pursuant to such rules and regulations. The June 30, 2023 condensed consolidated balance sheet data was derived from the audited financial statements but does not include all disclosures required by U.S. GAAP for complete financial statements. However, management believes that the disclosures in these condensed consolidated financial statements are adequate to make the information presented not misleading. These condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and notes thereto included in our 2023 Annual Report on Form 10-K. Due to the seasonality of the Company’s business, the interim results are not necessarily indicative of the results that may be expected for the remainder of the fiscal year. There were no significant changes in, or changes to, the application of the Company’s significant or critical accounting policies or estimation procedures for the three and nine months ended March 31, 2024, as compared with those described in the Company’s audited consolidated financial statements for the fiscal year ended June 30, 2023 . |
Investment in Sales-Type Lease | Investment in Sales-Type Lease — On July 1, 2023, the Company became a lessor in a sales-type lease arrangement consisting of land valued at $ 3.9 million. In accordance with Accounting Standards Codification (“ASC”) 842, Leases, the underlying land was derecognized as Property, plant and equipment and a sales-type lease was recognized as a net investment in a lease. The net investment balances are represented as lease receivable and unguaranteed residual asset amounts on the balance sheet within other current assets and other long-term assets. The interest earned on the net investment will be recognized as interest income. |
New Pronouncements Issued | New Accounting Pronouncements Segment Reporting ASU No. 2023-07, Improvements to Reportable Segment Disclosures, requires incremental disclosures about an entity’s reportable segments but does not change the definition of a segment or the guidance for determining reportable segments. The new guidance requires disclosure of significant segment expenses that are (1) regularly provided to (or easily computed from information regularly provided to) the chief operating decision maker and (2) included in the reported measure of segment profit or loss. The new standard also allows companies to disclose multiple measures of segment profit or loss if those measures are used to assess performance and allocate resources. This update is effective for fiscal years beginning after December 31, 2023, or fiscal 2025 for the Company, and should be adopted retrospectively unless impracticable. The Company is currently evaluating the impact, if any, that the adoption of this standard will have on financial disclosures. Income Taxes Accounting Standard Update ("ASU") No. 2023-09, Improvements to Income Tax Disclosures, requires entities to disclose in their rate reconciliation table additional categories of information about federal, state and foreign income taxes and provide more details about the reconciling items in some categories if items meet a quantitative threshold. Entities would have to provide qualitative disclosures about the new categories. The guidance will require all entities to disclose income taxes paid, net of refunds, disaggregated by federal (national), state and foreign taxes for annual periods and to disaggregate the information by jurisdiction based on a quantitative threshold. The guidance makes several other changes to the disclosure requirements. Entities are required to apply the guidance prospectively, with the option to apply it retrospectively. The guidance is effective for annual periods beginning after December 15, 2024, or fiscal 2026 for the Company. The Company is currently evaluating the impact, if any, that the adoption of this standard will have on financial disclosures. |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Revenues from Contracts with Customers by Major Product Category and Reportable Segment | The following tables present the Company's revenue by major product category for each reportable segment: Three Months Ended March 31, 2024 MasterCraft Crest Aviara Total Major Product Categories: Boats and trailers $ 66,961 $ 13,769 $ 11,731 $ 92,461 Parts 2,443 292 — 2,735 Other revenue 379 133 — 512 Total $ 69,783 $ 14,194 $ 11,731 $ 95,708 Nine Months Ended March 31, 2024 MasterCraft Crest Aviara Total Major Product Categories: Boats and trailers $ 207,160 $ 48,584 $ 31,374 $ 287,118 Parts 9,574 770 — 10,344 Other revenue 1,585 359 — 1,944 Total $ 218,319 $ 49,713 $ 31,374 $ 299,406 Three Months Ended April 2, 2023 MasterCraft Crest Aviara Total Major Product Categories: Boats and trailers $ 114,514 $ 35,936 $ 12,777 $ 163,227 Parts 2,798 285 — 3,083 Other revenue 318 148 — 466 Total $ 117,630 $ 36,369 $ 12,777 $ 166,776 Nine Months Ended April 2, 2023 MasterCraft Crest Aviara Total Major Product Categories: Boats and trailers $ 328,254 $ 115,444 $ 39,570 $ 483,268 Parts 9,693 671 — 10,364 Other revenue 1,368 480 — 1,848 Total $ 339,315 $ 116,595 $ 39,570 $ 495,480 |
DISCONTINUED OPERATIONS (Tables
DISCONTINUED OPERATIONS (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Summary of Operating Results and Balance Sheet Data for Discontinued Operations and Disposals | The following table summarizes the operating results of discontinued operations for the following periods: Nine Months Ended March 31, April 2, 2024 2023 NET SALES 37 $ 7,767 COST OF SALES 257 9,732 GROSS LOSS ( 220 ) ( 1,965 ) OPERATING EXPENSES: Selling, general and administrative 1,237 2,639 Total operating expenses 1,237 2,639 OPERATING LOSS ( 1,457 ) ( 4,604 ) Gain (loss) on sale of discontinued operations 157 ( 22,487 ) LOSS BEFORE INCOME TAX BENEFIT ( 1,300 ) ( 27,091 ) INCOME TAX BENEFIT 307 5,952 LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX ( 993 ) $ ( 21,139 ) |
HELD-TO-MATURITY SECURITIES (Ta
HELD-TO-MATURITY SECURITIES (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Investments Disclosure [Abstract] | |
Summary of investments | March 31, 2024 Amortized Gross Gross Estimated Cost / Net Unrealized Unrealized Fair Carrying Amount Gains Losses Value Held-to-maturity securities: Fixed income securities: Corporate bonds $ 83,183 $ 6 $ ( 48 ) $ 83,141 Total held-to-maturity securities $ 83,183 $ 6 $ ( 48 ) $ 83,141 June 30, 2023 Amortized Gross Gross Estimated Cost / Net Unrealized Unrealized Fair Carrying Amount Gains Losses Value Held-to-maturity securities: Fixed income securities: Corporate bonds $ 81,743 $ 1 $ ( 160 ) $ 81,584 U.S. treasury bills 9,817 31 ( 1 ) 9,847 Total held-to-maturity securities $ 91,560 $ 32 $ ( 161 ) $ 91,431 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consisted of the following: March 31, June 30, 2024 2023 Raw materials and supplies $ 27,262 $ 40,201 Work in process 9,418 9,465 Finished goods 6,395 10,335 Obsolescence reserve ( 1,643 ) ( 1,703 ) Total inventories $ 41,432 $ 58,298 |
PROPERTY, PLANT, AND EQUIPMENT
PROPERTY, PLANT, AND EQUIPMENT (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property plant and equipment, net | Property, plant, and equipment, net consisted of the following: March 31, June 30, 2024 2023 Land and improvements $ 7,587 $ 10,456 Buildings and improvements 51,848 46,759 Machinery and equipment 42,309 40,632 Furniture and fixtures 5,620 5,284 Construction in progress 12,717 10,180 Total property, plant, and equipment 120,081 113,311 Less accumulated depreciation ( 40,488 ) ( 35,390 ) Property, plant, and equipment — net 79,593 $ 77,921 |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Carrying Amounts of Goodwill | The following table presents the carrying amounts of goodwill as of March 31, 2024 and June 30, 2023 for each of the Company's reportable segments. Gross Amount Accumulated Impairment Losses Total MasterCraft $ 28,493 $ — $ 28,493 Crest 36,238 ( 36,238 ) — Aviara 1,100 ( 1,100 ) — Total $ 65,831 $ ( 37,338 ) $ 28,493 |
Schedule of Carrying Amount of Other Intangible Assets, Net | The following table presents the carrying amounts of Other intangible assets, net: March 31, June 30, 2024 2023 Gross Amount Accumulated Amortization / Impairment Other intangible assets, net Gross Amount Accumulated Amortization / Impairment Other intangible assets, net Amortized intangible assets Dealer networks $ 19,500 $ ( 11,400 ) $ 8,100 $ 19,500 $ ( 10,050 ) $ 9,450 Software 245 ( 245 ) — 245 ( 233 ) 12 19,745 ( 11,645 ) 8,100 19,745 ( 10,283 ) 9,462 Unamortized intangible assets Trade names 33,000 ( 7,000 ) 26,000 33,000 ( 7,000 ) 26,000 Total other intangible assets $ 52,745 $ ( 18,645 ) $ 34,100 $ 52,745 $ ( 17,283 ) $ 35,462 |
ACCRUED EXPENSES AND OTHER CU_2
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Accrued Liabilities and Other Liabilities [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the following: March 31, June 30, 2024 2023 Warranty $ 30,861 $ 31,780 Dealer incentives 21,452 24,987 Compensation and related accruals 4,367 5,838 Inventory repurchase contingent obligation 2,212 1,515 Contract liabilities 1,423 1,477 Self-insurance 1,357 1,586 Liabilities retained associated with discontinued operations 786 690 Other 3,706 4,623 Total accrued expenses and other current liabilities $ 66,164 $ 72,496 |
Summary of Accrued Warranty Liability Activity | Accrued warranty liability activity was as follows for the nine months ended: March 31, April 2, 2024 2023 Balance at the beginning of the period $ 31,780 $ 25,824 Provisions 6,438 10,766 Payments made ( 10,557 ) ( 9,069 ) Changes for pre-existing warranties 3,200 3,131 Balance at the end of the period $ 30,861 $ 30,652 |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | Long-term debt is as follows: March 31, June 30, 2024 2023 Term loan $ 50,625 $ 54,000 Debt issuance costs on term loan ( 272 ) ( 324 ) Total debt 50,353 53,676 Less current portion of long-term debt 4,500 4,500 Less current portion of debt issuance costs on term loan ( 129 ) ( 119 ) Long-term debt, net of current portion $ 45,982 $ 49,295 |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Components of Share-based Compensation Expense by Award Type | The following table presents the components of share-based compensation expense by award type. Three Months Ended Nine Months Ended March 31, April 2, March 31, April 2, 2024 2023 2024 2023 Restricted stock awards $ 1,494 $ 587 $ 2,508 $ 1,723 Performance stock units 89 439 23 1,169 Share-based compensation expense $ 1,583 $ 1,026 $ 2,531 $ 2,892 |
Summary of Status of Nonvested Restricted Stock Awards and Changes | The following table summarizes the status of nonvested RSAs as of March 31, 2024, and changes during the nine months then ended. Average Nonvested Grant-Date Restricted Fair Value Shares (per share) Nonvested at June 30, 2023 91,907 $ 23.66 Granted 179,539 21.33 Vested ( 18,830 ) 20.00 Forfeited ( 19,173 ) 23.09 Nonvested at March 31, 2024 233,443 22.21 |
Summary of Status of Nonvested Performance Stock Units and Changes | The following table summarizes the status of nonvested PSUs as of March 31, 2024, and changes during the nine months then ended. Average Nonvested Grant-Date Performance Fair Value Stock Units (per share) Nonvested at June 30, 2023 122,971 $ 27.12 Granted 86,555 21.62 Forfeited ( 28,054 ) 25.65 Nonvested at March 31, 2024 181,472 24.73 |
EARNINGS PER SHARE AND COMMON_2
EARNINGS PER SHARE AND COMMON STOCK (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Factors Used in Net Income Per Share Computation | The following table sets forth the computation of the Company’s net income per share: Three Months Ended Nine Months Ended March 31, April 2, March 31, April 2, 2024 2023 2024 2023 Net income from continuing operations $ 3,826 $ 22,782 $ 16,829 $ 67,400 Loss from discontinued operations, net of tax ( 71 ) ( 272 ) ( 993 ) ( 21,139 ) Net income $ 3,755 $ 22,510 $ 15,836 $ 46,261 Weighted average shares — basic 16,844,440 17,559,920 17,003,616 17,725,208 Dilutive effect of assumed exercises of stock options — 4,816 — 7,028 Dilutive effect of assumed restricted share awards/units 121,184 184,174 90,342 119,419 Weighted average outstanding shares — diluted 16,965,624 17,748,910 17,093,958 17,851,655 Basic net income (loss) per share Continuing operations $ 0.23 $ 1.30 $ 0.99 $ 3.80 Discontinued operations ( 0.01 ) ( 0.02 ) ( 0.06 ) ( 1.19 ) Net income $ 0.22 $ 1.28 $ 0.93 $ 2.61 Diluted net income (loss) per share Continuing operations $ 0.23 $ 1.28 $ 0.98 $ 3.78 Discontinued operations ( 0.01 ) ( 0.01 ) ( 0.05 ) ( 1.19 ) Net income $ 0.22 $ 1.27 $ 0.93 $ 2.59 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 9 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of Operating Information for Reportable Segments | Selected financial information for the Company’s reportable segments was as follows: For the Three Months Ended March 31, 2024 MasterCraft Crest Aviara Consolidated Net sales $ 69,783 $ 14,194 $ 11,731 $ 95,708 Operating income (loss) 7,616 ( 864 ) ( 2,756 ) 3,996 Depreciation and amortization 1,288 817 737 2,842 Purchases of property, plant and equipment 2,591 584 1,329 4,504 For the Nine Months Ended March 31, 2024 MasterCraft Crest Aviara Consolidated Net sales $ 218,319 $ 49,713 $ 31,374 $ 299,406 Operating income (loss) 28,202 ( 133 ) ( 8,502 ) 19,567 Depreciation and amortization 3,872 2,440 2,015 8,327 Purchases of property, plant and equipment 6,207 1,761 4,654 12,622 For the Three Months Ended April 2, 2023 MasterCraft Crest Aviara Consolidated Net sales $ 117,630 $ 36,369 $ 12,777 $ 166,776 Operating income (loss) 25,298 4,962 ( 1,234 ) 29,026 Depreciation and amortization 1,386 701 535 2,622 Purchases of property, plant and equipment 3,151 2,089 1,716 6,956 For the Nine Months Ended April 2, 2023 MasterCraft Crest Aviara Consolidated Net sales $ 339,315 $ 116,595 $ 39,570 $ 495,480 Operating income (loss) 72,269 17,576 ( 2,136 ) 87,709 Depreciation and amortization 4,132 2,104 1,597 7,833 Purchases of property, plant and equipment 8,434 6,292 4,145 18,871 The following table presents total assets for the Company’s reportable segments. March 31, 2024 June 30, 2023 Assets: MasterCraft $ 251,297 $ 259,201 Crest 48,299 53,435 Aviara 41,286 41,340 Total assets $ 340,882 $ 353,976 |
BASIS OF PRESENTATION AND SIG_3
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details) $ in Millions | Jul. 01, 2023 USD ($) |
Organization Basis Of Presentation And Significant Accounting Policies [Line Items] | |
Sales-type Lease, Net Investment in Lease, Sale | $ 3.9 |
REVENUE RECOGNITION - Summary o
REVENUE RECOGNITION - Summary of Revenues From Contracts with Customers by Major Product Category and Reportable Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2024 | Apr. 02, 2023 | Mar. 31, 2024 | Apr. 02, 2023 | |
Revenue by Categories | ||||
Revenue | $ 95,708 | $ 166,776 | $ 299,406 | $ 495,480 |
MasterCraft | ||||
Revenue by Categories | ||||
Revenue | 69,783 | 117,630 | 218,319 | 339,315 |
Crest | ||||
Revenue by Categories | ||||
Revenue | 14,194 | 36,369 | 49,713 | 116,595 |
Aviara | ||||
Revenue by Categories | ||||
Revenue | 11,731 | 12,777 | 31,374 | 39,570 |
Boats and trailers | ||||
Revenue by Categories | ||||
Revenue | 92,461 | 163,227 | 287,118 | 483,268 |
Boats and trailers | MasterCraft | ||||
Revenue by Categories | ||||
Revenue | 66,961 | 114,514 | 207,160 | 328,254 |
Boats and trailers | Crest | ||||
Revenue by Categories | ||||
Revenue | 13,769 | 35,936 | 48,584 | 115,444 |
Boats and trailers | Aviara | ||||
Revenue by Categories | ||||
Revenue | 11,731 | 12,777 | 31,374 | 39,570 |
Parts | ||||
Revenue by Categories | ||||
Revenue | 2,735 | 3,083 | 10,344 | 10,364 |
Parts | MasterCraft | ||||
Revenue by Categories | ||||
Revenue | 2,443 | 2,798 | 9,574 | 9,693 |
Parts | Crest | ||||
Revenue by Categories | ||||
Revenue | 292 | 285 | 770 | 671 |
Other | ||||
Revenue by Categories | ||||
Revenue | 512 | 466 | 1,944 | 1,848 |
Other | MasterCraft | ||||
Revenue by Categories | ||||
Revenue | 379 | 318 | 1,585 | 1,368 |
Other | Crest | ||||
Revenue by Categories | ||||
Revenue | $ 133 | $ 148 | $ 359 | $ 480 |
REVENUE RECOGNITION - Additiona
REVENUE RECOGNITION - Additional Information (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2024 | Jun. 30, 2023 | |
Contract liabilities | ||
Contract with Customer, Liability, Current | $ 1,423 | $ 1,477 |
Contract liabilities | $ 3,300 | |
Contract with Customer, Liability, Revenue Recognized | 1,400 | |
Revenue, Remaining Performance Obligation, Amount | 600 | |
Other Noncurrent Liabilities [Member] | ||
Contract liabilities | ||
Other long term liabilities | $ 3,500 |
DISCONTINUED OPERATIONS - Addit
DISCONTINUED OPERATIONS - Additional Information (Details) $ in Millions | 9 Months Ended |
Apr. 02, 2023 USD ($) | |
Discontinued Operations and Disposal Groups [Abstract] | |
Non-cash pretax loss | $ 22.5 |
DISCONTINUED OPERATIONS - Summa
DISCONTINUED OPERATIONS - Summary of Operating Results of Discontinued Operations (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2024 | Apr. 02, 2023 | |
OPERATING EXPENSES: | ||
Gain (loss) on sale of discontinued operations | $ 22,500 | |
NauticStar | ||
Discontinued Operations | ||
NET SALES | $ 37 | 7,767 |
COST OF SALES | 257 | 9,732 |
GROSS LOSS | (220) | (1,965) |
OPERATING EXPENSES: | ||
Selling, general and administrative | 1,237 | 2,639 |
Total operating expenses | 1,237 | 2,639 |
OPERATING LOSS | (1,457) | (4,604) |
Gain (loss) on sale of discontinued operations | 157 | (22,487) |
LOSS BEFORE INCOME TAX BENEFIT | (1,300) | (27,091) |
INCOME TAX BENEFIT | 307 | 5,952 |
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX | $ (993) | $ (21,139) |
HELD-TO-MATURITY SECURITIES - S
HELD-TO-MATURITY SECURITIES - Summary of investments (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Jun. 30, 2023 |
Amortized Cost | $ 83,183 | $ 91,560 |
Gross Unrealized Gains | 6 | 32 |
Gross Unrealized Losses | (48) | (161) |
Estimated Fair Value | 83,141 | 91,431 |
Corporate Bond | ||
Amortized Cost | 83,183 | 81,743 |
Gross Unrealized Gains | 6 | 1 |
Gross Unrealized Losses | (48) | (160) |
Estimated Fair Value | $ 83,141 | 81,584 |
US Treasury Bill Securities [Member] | ||
Amortized Cost | 9,817 | |
Gross Unrealized Gains | 31 | |
Gross Unrealized Losses | (1) | |
Estimated Fair Value | $ 9,847 |
INVENTORIES - Schedule of Inven
INVENTORIES - Schedule of Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Jun. 30, 2023 |
Inventory Disclosure [Abstract] | ||
Raw materials and supplies | $ 27,262 | $ 40,201 |
Work in process | 9,418 | 9,465 |
Finished goods | 6,395 | 10,335 |
Obsolescence reserve | (1,643) | (1,703) |
Total inventories | $ 41,432 | $ 58,298 |
PROPERTY, PLANT, AND EQUIPMEN_2
PROPERTY, PLANT, AND EQUIPMENT - Summary of Property, plant, and equipment, net (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Jun. 30, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 120,081 | $ 113,311 |
Less accumulated depreciation | (40,488) | (35,390) |
Property, Plant and Equipment, Net | 79,593 | 77,921 |
Land Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 7,587 | 10,456 |
Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 51,848 | 46,759 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 42,309 | 40,632 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 5,620 | 5,284 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 12,717 | $ 10,180 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2024 | Apr. 02, 2023 | Mar. 31, 2024 | Apr. 02, 2023 | Jun. 30, 2024 | |
Indefinite-Lived Intangible Assets [Line Items] | |||||
Amortization of other intangible assets | $ 450 | $ 489 | $ 1,362 | $ 1,467 | |
Estimated amortization expense June 30, 2023 | $ 1,800 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Carrying Amounts of Goodwill (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Jun. 30, 2023 |
Goodwill [Line Items] | ||
Goodwill | $ 65,831 | $ 65,831 |
Accumulated impairment losses | (37,338) | (37,338) |
Goodwill, net | 28,493 | 28,493 |
MasterCraft | ||
Goodwill [Line Items] | ||
Goodwill | 28,493 | 28,493 |
Accumulated impairment losses | 0 | 0 |
Goodwill, net | 28,493 | 28,493 |
Crest | ||
Goodwill [Line Items] | ||
Goodwill | 36,238 | 36,238 |
Accumulated impairment losses | (36,238) | (36,238) |
Goodwill, net | 0 | 0 |
Aviara | ||
Goodwill [Line Items] | ||
Goodwill | 1,100 | 1,100 |
Accumulated impairment losses | (1,100) | (1,100) |
Goodwill, net | $ 0 | $ 0 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Carrying Amount of Other Intangible Assets, Net (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Jun. 30, 2023 | |
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Amortized intangible assets, Gross Amount | $ 19,745 | $ 19,745 |
Amortized intangible assets, Accumulated Amortization / Impairment | (11,645) | (10,283) |
Amortized intangible assets, Other intangible assets, net | 8,100 | 9,462 |
Gross Amount | 52,745 | 52,745 |
Accumulated Amortization / Impairment | (18,645) | (17,283) |
Other intangible assets, net | 34,100 | 35,462 |
Dealer network | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Amortized intangible assets, Gross Amount | 19,500 | 19,500 |
Amortized intangible assets, Accumulated Amortization / Impairment | (11,400) | (10,050) |
Amortized intangible assets, Other intangible assets, net | 8,100 | 9,450 |
Software | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Amortized intangible assets, Gross Amount | 245 | 245 |
Amortized intangible assets, Accumulated Amortization / Impairment | (245) | (233) |
Amortized intangible assets, Other intangible assets, net | 0 | 12 |
Trade names | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Unamortized intangible assets, Gross Amount | 33,000 | 33,000 |
Unamortized intangible assets, Accumulated Amortization / Impairment | (7,000) | (7,000) |
Unamortized intangible assets, Other intangible assets, net | $ 26,000 | $ 26,000 |
ACCRUED EXPENSES AND OTHER CU_3
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Jun. 30, 2023 |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ||
Warranty | $ 30,861 | $ 31,780 |
Dealer incentives | 21,452 | 24,987 |
Compensation and related accruals | 4,367 | 5,838 |
Inventory repurchase contingent obligation | 2,212 | 1,515 |
Contract liabilities | 1,423 | 1,477 |
Self-insurance | 1,357 | 1,586 |
Liabilities retained associated with discontinued operations | 786 | 690 |
Other | 3,706 | 4,623 |
Total accrued expenses and other current liabilities | $ 66,164 | $ 72,496 |
ACCRUED EXPENSES AND OTHER CU_4
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES - Summary of Accrued Warranty Liability Activity (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2024 | Apr. 02, 2023 | |
Roll forward of the accrued warranty liability | ||
Balance at the beginning of the period | $ 31,780 | $ 25,824 |
Provisions | 6,438 | 10,766 |
Payments made | (10,557) | (9,069) |
Changes for pre-existing warranties | 3,200 | 3,131 |
Balance at the end of the period | $ 30,861 | $ 30,652 |
LONG-TERM DEBT - Schedule of Lo
LONG-TERM DEBT - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Jun. 30, 2023 |
Long-term debt | ||
Total debt | $ 50,353 | $ 53,676 |
Less current portion of long-term debt | 4,500 | 4,500 |
Long-term debt, net of current portion | 45,982 | 49,295 |
Term Loan | ||
Long-term debt | ||
Term loan | 50,625 | 54,000 |
Debt issuance costs on term loans | (272) | (324) |
Less current portion of debt issuance costs on term loans | $ (129) | $ (119) |
LONG-TERM DEBT - Senior Secured
LONG-TERM DEBT - Senior Secured Credit Facility - Additional Information (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2024 | Jun. 30, 2023 | |
Term Loan | ||
Long-term debt | ||
Long-term debt | $ 50,625 | $ 54,000 |
Interest rate | 6.68% | |
Senior Secured Credit Facility | ||
Long-term debt | ||
Maximum borrowing capacity | $ 160,000 | |
Senior Secured Credit Facility | Prime Rate | ||
Long-term debt | ||
Variable margin rate | 0.25% | |
Senior Secured Credit Facility | Prime Rate | Minimum | ||
Long-term debt | ||
Variable margin rate | 0.25% | |
Senior Secured Credit Facility | Prime Rate | Maximum | ||
Long-term debt | ||
Variable margin rate | 1% | |
Senior Secured Credit Facility | Term Benchmark | ||
Long-term debt | ||
Variable margin rate | 1.25% | |
Senior Secured Credit Facility | Term Benchmark | Minimum | ||
Long-term debt | ||
Variable margin rate | 1.25% | |
Senior Secured Credit Facility | Term Benchmark | Maximum | ||
Long-term debt | ||
Variable margin rate | 2% | |
Senior Secured Credit Facility | Term Loan | ||
Long-term debt | ||
Long-term debt | $ 60,000 | |
Senior Secured Credit Facility | Revolving Credit Facility | ||
Long-term debt | ||
Maximum borrowing capacity | $ 100,000 | |
Senior Secured Credit Facility | Revolving Credit Facility | Minimum | ||
Long-term debt | ||
Commitment fee percentage | 0.15% | |
Senior Secured Credit Facility | Revolving Credit Facility | Maximum | ||
Long-term debt | ||
Commitment fee percentage | 0.30% |
LONG-TERM DEBT - Revolving Cred
LONG-TERM DEBT - Revolving Credit Facility - Additional Information (Details) - Revolving Credit Facility $ in Millions | Mar. 31, 2024 USD ($) |
Debt Instrument [Line Items] | |
Outstanding borrowings | $ 0 |
Remaining borrowing capacity | $ 100 |
INCOME TAXES - Additional Infor
INCOME TAXES - Additional Information (Details) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2024 | Apr. 02, 2023 | Mar. 31, 2024 | Apr. 02, 2023 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rates | 17.40% | 22.80% | 20.80% | 23.20% |
Statutory income tax rate | 21% |
SHARE-BASED COMPENSATION - Comp
SHARE-BASED COMPENSATION - Components of Share-based Compensation Expense by Award Type (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2024 | Apr. 02, 2023 | Mar. 31, 2024 | Apr. 02, 2023 | |
Stock-Based Compensation | ||||
Share-based compensation expense | $ 1,583 | $ 1,026 | $ 2,531 | $ 2,892 |
Restricted stock awards | ||||
Stock-Based Compensation | ||||
Share-based compensation expense | 1,494 | 587 | 2,508 | 1,723 |
Performance stock units | ||||
Stock-Based Compensation | ||||
Share-based compensation expense | $ 89 | $ 439 | $ 23 | $ 1,169 |
SHARE-BASED COMPENSATION - Rest
SHARE-BASED COMPENSATION - Restricted Stock Awards - Additional Information (Details) - Restricted stock awards $ / shares in Units, $ in Millions | 9 Months Ended |
Mar. 31, 2024 USD ($) $ / shares shares | |
Stock-Based Compensation | |
Stock awards granted | 179,539 |
Weighted average grant date value | $ / shares | $ 21.33 |
Unrecognized compensation expense | $ | $ 2.7 |
Weighted average period | 2 years 2 months 12 days |
Non-executive directors, officers and certain other key employees | |
Stock-Based Compensation | |
Stock awards granted | 179,539 |
Officers and certain other key employees | |
Stock-Based Compensation | |
Vesting period (in years) | 3 years |
Non-executive directors | |
Stock-Based Compensation | |
Vesting period (in years) | 1 year |
SHARE-BASED COMPENSATION - Summ
SHARE-BASED COMPENSATION - Summary of Status of Nonvested Restricted Stock Awards and Changes (Details) - Restricted stock awards | 9 Months Ended |
Mar. 31, 2024 $ / shares shares | |
Nonvested Restricted Shares | |
Nonvested at beginning of period | shares | 91,907 |
Granted | shares | 179,539 |
Vested | shares | (18,830) |
Forfeited | shares | (19,173) |
Nonvested at end of period | shares | 233,443 |
Average Grant-Date Fair Value (Per share) | |
Nonvested at beginning of period | $ / shares | $ 23.66 |
Granted | $ / shares | 21.33 |
Vested | $ / shares | 20 |
Forfeited | $ / shares | 23.09 |
Nonvested at end of period | $ / shares | $ 22.21 |
SHARE-BASED COMPENSATION - Perf
SHARE-BASED COMPENSATION - Performance Stock Units - Additional Information (Details) - Performance stock units $ in Millions | 9 Months Ended |
Mar. 31, 2024 USD ($) | |
Stock-Based Compensation | |
Unrecognized compensation expense | $ 0.2 |
Weighted average period | 2 years 2 months 12 days |
Executive officers and certain other key employees | |
Stock-Based Compensation | |
Vesting period (in years) | 3 years |
SHARE-BASED COMPENSATION - Su_2
SHARE-BASED COMPENSATION - Summary of Status of Nonvested Performance Stock Units and Changes (Details) - Performance stock units | 9 Months Ended |
Mar. 31, 2024 $ / shares shares | |
Nonvested Performance Stock Units | |
Nonvested at beginning of period | shares | 122,971 |
Granted | shares | 86,555 |
Forfeited | shares | (28,054) |
Nonvested at end of period | shares | 181,472 |
Average Grant-Date Fair Value (Per share) | |
Nonvested at beginning of period | $ / shares | $ 27.12 |
Granted | $ / shares | 21.62 |
Forfeited | $ / shares | 25.65 |
Nonvested at end of period | $ / shares | $ 24.73 |
EARNINGS PER SHARE AND COMMON_3
EARNINGS PER SHARE AND COMMON STOCK - Factors Used in Earnings Per Share Computation (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2024 | Apr. 02, 2023 | Mar. 31, 2024 | Apr. 02, 2023 | |
Earnings Per Share Basic [Line Items] | ||||
Net income from continuing operations | $ 3,826 | $ 22,782 | $ 16,829 | $ 67,400 |
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX (Note 3) | (71) | (272) | (993) | (21,139) |
Net Income | $ 3,755 | $ 22,510 | $ 15,836 | $ 46,261 |
Weighted average shares — basic | 16,844,440 | 17,559,920 | 17,003,616 | 17,725,208 |
Weighted average outstanding shares — diluted | 16,965,624 | 17,748,910 | 17,093,958 | 17,851,655 |
Basic net income (loss) per share | ||||
Continuing operations | $ 0.23 | $ 1.3 | $ 0.99 | $ 3.8 |
Discontinued operations | (0.01) | (0.02) | (0.06) | (1.19) |
Net income | 0.22 | 1.28 | 0.93 | 2.61 |
Diluted net income (loss) per share | ||||
Continuing operations | 0.23 | 1.28 | 0.98 | 3.78 |
Discontinued operations | (0.01) | (0.01) | (0.05) | (1.19) |
Net income | $ 0.22 | $ 1.27 | $ 0.93 | $ 2.59 |
Employee Stock Option | ||||
Earnings Per Share Basic [Line Items] | ||||
Dilutive effect of assumed exercises of stock options and restricted share awards\units | 0 | 4,816 | 0 | 7,028 |
Restricted stock awards | ||||
Earnings Per Share Basic [Line Items] | ||||
Dilutive effect of assumed exercises of stock options and restricted share awards\units | 121,184 | 184,174 | 90,342 | 119,419 |
EARNINGS PER SHARE AND COMMON_4
EARNINGS PER SHARE AND COMMON STOCK - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||||
Mar. 31, 2024 | Dec. 31, 2023 | Oct. 01, 2023 | Apr. 02, 2023 | Jan. 01, 2023 | Oct. 02, 2022 | Mar. 31, 2024 | Apr. 02, 2023 | Jul. 24, 2023 | Jun. 30, 2023 | Jun. 24, 2021 | |
Class Of Stock [Line Items] | |||||||||||
Stock repurchase program, number of shares authorized | $ 50,000 | $ 50,000 | |||||||||
Repurchase of shares in cash, including related fees and expenses | $ 11,728 | $ 15,972 | |||||||||
Stock repurchase program, remained available under the program | $ 39,900 | $ 39,900 | |||||||||
Available Program was fully utilized | $ 1,600 | ||||||||||
Stock Repurchase Program Authorized Amount Existing | $ 50,000 | ||||||||||
Common Stock | |||||||||||
Class Of Stock [Line Items] | |||||||||||
Number of shares repurchased | 73,562 | 214,219 | 241,764 | 210,150 | 224,284 | 191,360 | 529,545 | 625,794 | |||
Repurchase of shares in cash, including related fees and expenses | $ 1,600 | $ 7,000 | $ 11,700 | $ 16,000 |
SEGMENT INFORMATION - Additiona
SEGMENT INFORMATION - Additional Information (Details) - Segment | 3 Months Ended | 9 Months Ended |
Mar. 31, 2024 | Mar. 31, 2024 | |
Segment Reporting [Abstract] | ||
Number of reportable segments | 3 | 3 |
SEGMENT INFORMATION - Schedule
SEGMENT INFORMATION - Schedule of Operating Information for Reportable Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2024 | Apr. 02, 2023 | Mar. 31, 2024 | Apr. 02, 2023 | Jun. 30, 2023 | |
Segment Reporting Information [Line Items] | |||||
Net sales | $ 95,708 | $ 166,776 | $ 299,406 | $ 495,480 | |
Operating income (loss) | 3,996 | 29,026 | 19,567 | 87,709 | |
Depreciation and amortization | 2,842 | 2,622 | 8,327 | 7,833 | |
Purchases of property, plant and equipment | 4,504 | 6,956 | 12,622 | 18,871 | |
Total assets | 340,882 | 340,882 | $ 353,976 | ||
MasterCraft | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 69,783 | 117,630 | 218,319 | 339,315 | |
Operating income (loss) | 7,616 | 25,298 | 28,202 | 72,269 | |
Depreciation and amortization | 1,288 | 1,386 | 3,872 | 4,132 | |
Purchases of property, plant and equipment | 2,591 | 3,151 | 6,207 | 8,434 | |
Total assets | 251,297 | 251,297 | 259,201 | ||
Crest | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 14,194 | 36,369 | 49,713 | 116,595 | |
Operating income (loss) | (864) | 4,962 | (133) | 17,576 | |
Depreciation and amortization | 817 | 701 | 2,440 | 2,104 | |
Purchases of property, plant and equipment | 584 | 2,089 | 1,761 | 6,292 | |
Total assets | 48,299 | 48,299 | 53,435 | ||
Aviara | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 11,731 | 12,777 | 31,374 | 39,570 | |
Operating income (loss) | (2,756) | (1,234) | (8,502) | (2,136) | |
Depreciation and amortization | 737 | 535 | 2,015 | 1,597 | |
Purchases of property, plant and equipment | 1,329 | $ 1,716 | 4,654 | $ 4,145 | |
Total assets | $ 41,286 | $ 41,286 | $ 41,340 |