Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jan. 03, 2021 | Feb. 08, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jan. 3, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
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 | 18,949,261 | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true | |
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 | 6 Months Ended | ||
Jan. 03, 2021 | Dec. 29, 2019 | Jan. 03, 2021 | Dec. 29, 2019 | |
Income Statement [Abstract] | ||||
NET SALES | $ 118,677 | $ 99,628 | $ 222,422 | $ 209,417 |
COST OF SALES | 89,404 | 78,486 | 166,919 | 162,742 |
GROSS PROFIT | 29,273 | 21,142 | 55,503 | 46,675 |
OPERATING EXPENSES: | ||||
Selling and marketing | 2,989 | 4,343 | 5,896 | 8,407 |
General and administrative | 8,352 | 5,477 | 17,284 | 13,262 |
Amortization of other intangible assets | 987 | 987 | 1,974 | 1,974 |
Total operating expenses | 12,328 | 10,807 | 25,154 | 23,643 |
OPERATING INCOME | 16,945 | 10,335 | 30,349 | 23,032 |
OTHER EXPENSE: | ||||
Interest expense | 870 | 1,237 | 1,889 | 2,581 |
INCOME BEFORE INCOME TAX EXPENSE | 16,075 | 9,098 | 28,460 | 20,451 |
INCOME TAX EXPENSE | 3,574 | 2,219 | 6,392 | 4,949 |
NET INCOME | $ 12,501 | $ 6,879 | $ 22,068 | $ 15,502 |
EARNINGS PER SHARE: | ||||
Basic | $ 0.66 | $ 0.37 | $ 1.17 | $ 0.83 |
Diluted | $ 0.66 | $ 0.37 | $ 1.17 | $ 0.83 |
WEIGHTED AVERAGE SHARES USED FOR COMPUTATION OF: | ||||
Basic earnings per share | 18,807,316 | 18,730,688 | 18,790,826 | 18,727,267 |
Diluted earnings per share | 18,928,408 | 18,770,783 | 18,897,617 | 18,770,770 |
UNAUDITED CONDENSED CONSOLIDA_2
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jan. 03, 2021 | Jun. 30, 2020 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 12,074 | $ 16,319 |
Accounts receivable, net of allowances of $164 and $247, respectively | 7,403 | 6,145 |
Income tax receivable | 4,828 | 4,924 |
Inventories, net (Note 3) | 34,570 | 25,636 |
Prepaid expenses and other current assets | 3,696 | 3,719 |
Total current assets | 62,571 | 56,743 |
Property, plant and equipment, net (Note 4) | 55,976 | 40,481 |
Goodwill (Note 5) | 29,593 | 29,593 |
Other intangible assets, net (Note 5) | 61,874 | 63,849 |
Deferred income taxes | 15,782 | 16,080 |
Deferred debt issuance costs, net | 359 | 425 |
Other long-term assets | 888 | 752 |
Total assets | 227,043 | 207,923 |
CURRENT LIABILITIES: | ||
Accounts payable | 14,393 | 10,510 |
Accrued expenses and other current liabilities (Note 6) | 41,590 | 35,985 |
Current portion of long-term debt, net of unamortized debt issuance costs (Note 7) | 9,739 | 8,932 |
Total current liabilities | 65,722 | 55,427 |
Long-term debt, net of unamortized debt issuance costs (Note 7) | 84,399 | 99,666 |
Unrecognized tax positions | 4,548 | 3,683 |
Other long-term liabilities | 373 | 277 |
Total liabilities | 155,042 | 159,053 |
COMMITMENTS AND CONTINGENCIES | ||
STOCKHOLDERS' EQUITY: | ||
Common stock, $.01 par value per share — authorized, 100,000,000 shares; issued and outstanding, 18,949,295 shares at January 3, 2021 and 18,871,637 shares at June 30, 2020 | 189 | 189 |
Additional paid-in capital | 117,245 | 116,182 |
Accumulated deficit | (45,433) | (67,501) |
Total stockholders' equity | 72,001 | 48,870 |
Total liabilities and stockholders' equity | $ 227,043 | $ 207,923 |
UNAUDITED CONDENSED CONSOLIDA_3
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Jan. 03, 2021 | Jun. 30, 2020 |
Statement Of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 164 | $ 247 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 100,000,000 | 100,000,000 |
Common stock, issued shares | 18,949,295 | 18,871,637 |
Common stock, outstanding shares | 18,949,295 | 18,871,637 |
UNAUDITED CONDENSED CONSOLIDA_4
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Accumulated Deficit |
Balance, beginning at Jun. 30, 2019 | $ 72,316 | $ 188 | $ 115,582 | $ (43,454) |
Balance, beginning (in shares) at Jun. 30, 2019 | 18,764,037 | |||
Share-based compensation activity | 170 | $ 1 | 169 | |
Share-based compensation activity (shares) | 74,960 | |||
Net income (loss) | 8,623 | 8,623 | ||
Balance, ending at Sep. 29, 2019 | 81,109 | $ 189 | 115,751 | (34,831) |
Balance, ending (in shares) at Sep. 29, 2019 | 18,838,997 | |||
Balance, beginning at Jun. 30, 2019 | 72,316 | $ 188 | 115,582 | (43,454) |
Balance, beginning (in shares) at Jun. 30, 2019 | 18,764,037 | |||
Net income (loss) | 15,502 | |||
Balance, ending at Dec. 29, 2019 | 87,910 | $ 189 | 115,673 | (27,952) |
Balance, ending (in shares) at Dec. 29, 2019 | 18,872,166 | |||
Balance, beginning at Sep. 29, 2019 | 81,109 | $ 189 | 115,751 | (34,831) |
Balance, beginning (in shares) at Sep. 29, 2019 | 18,838,997 | |||
Share-based compensation activity | (78) | (78) | ||
Share-based compensation activity (shares) | 33,169 | |||
Net income (loss) | 6,879 | 6,879 | ||
Balance, ending at Dec. 29, 2019 | 87,910 | $ 189 | 115,673 | (27,952) |
Balance, ending (in shares) at Dec. 29, 2019 | 18,872,166 | |||
Balance, beginning at Jun. 30, 2020 | 48,870 | $ 189 | 116,182 | (67,501) |
Balance, beginning (in shares) at Jun. 30, 2020 | 18,871,637 | |||
Share-based compensation activity | 486 | 486 | ||
Share-based compensation activity (shares) | 80,701 | |||
Net income (loss) | 9,567 | 9,567 | ||
Balance, ending at Oct. 04, 2020 | 58,923 | $ 189 | 116,668 | (57,934) |
Balance, ending (in shares) at Oct. 04, 2020 | 18,952,338 | |||
Balance, beginning at Jun. 30, 2020 | 48,870 | $ 189 | 116,182 | (67,501) |
Balance, beginning (in shares) at Jun. 30, 2020 | 18,871,637 | |||
Net income (loss) | 22,068 | |||
Balance, ending at Jan. 03, 2021 | 72,001 | $ 189 | 117,245 | (45,433) |
Balance, ending (in shares) at Jan. 03, 2021 | 18,949,295 | |||
Balance, beginning at Oct. 04, 2020 | 58,923 | $ 189 | 116,668 | (57,934) |
Balance, beginning (in shares) at Oct. 04, 2020 | 18,952,338 | |||
Share-based compensation activity | 577 | 577 | ||
Share-based compensation activity (shares) | (3,043) | |||
Net income (loss) | 12,501 | 12,501 | ||
Balance, ending at Jan. 03, 2021 | $ 72,001 | $ 189 | $ 117,245 | $ (45,433) |
Balance, ending (in shares) at Jan. 03, 2021 | 18,949,295 |
UNAUDITED CONDENSED CONSOLIDA_5
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jan. 03, 2021 | Dec. 29, 2019 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 22,068 | $ 15,502 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 5,599 | 5,053 |
Share-based compensation | 1,283 | 544 |
Unrecognized tax benefits | 865 | 367 |
Amortization of debt issuance costs | 316 | 282 |
Changes in certain operating assets and liabilities | (740) | (2,777) |
Other, net | 764 | 873 |
Net cash provided by operating activities | 30,155 | 19,844 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of property, plant and equipment | (18,903) | (11,491) |
Proceeds from disposal of property, plant and equipment | 14 | |
Net cash used in investing activities | (18,903) | (11,477) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Principal payments on revolving credit facility | (30,000) | |
Borrowings on revolving credit facility | 20,000 | |
Principal payments on long-term debt | (4,710) | (8,292) |
Other, net | (787) | (453) |
Net cash provided by financing activities | (15,497) | (8,745) |
NET CHANGE IN CASH AND CASH EQUIVALENTS | (4,245) | (378) |
CASH AND CASH EQUIVALENTS — BEGINNING OF PERIOD | 16,319 | 5,826 |
CASH AND CASH EQUIVALENTS — END OF PERIOD | 12,074 | 5,448 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||
Cash payments for interest | 1,348 | 2,025 |
Cash payments for income taxes | 5,132 | 5,376 |
SIGNIFICANT NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||
Capital expenditures in accounts payable and accrued expenses | $ 594 | $ 427 |
ORGANIZATION, BASIS OF PRESENTA
ORGANIZATION, BASIS OF PRESENTATION, AND SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jan. 03, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
ORGANIZATION, BASIS OF PRESENTATION, AND SIGNIFICANT ACCOUNTING POLICIES | 1. Organization — MasterCraft Boat Holdings, Inc. (“Holdings”) was formed on January 28, 2000, as a Delaware holding company and operates primarily through its wholly owned subsidiaries, MasterCraft Boat Company, LLC; MasterCraft Services, LLC; MasterCraft Parts, Ltd.; MasterCraft International Sales Administration, Inc.; and Aviara, LLC (collectively “MasterCraft”); Nautic Star, LLC and NS Transport, LLC (collectively “NauticStar”); and Crest Marine, LLC (“Crest”). Holdings and its subsidiaries collectively are referred to herein as the “Company.” 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 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, 2020 and, in the opinion of management, reflect all adjustments considered necessary to present fairly the Company’s financial position as of January 3, 2021, its results of operations for the three and six months ended January 3, 2021 and December 29, 2019, its cash flows for the six months ended January 3, 2021 and December 29, 2019, and its statements of stockholders’ equity for the three and six months ended January 3, 2021 and December 29, 2019. 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, 2020 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 2020 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. COVID-19 Pandemic — To balance wholesale production with the then anticipated impacts to retail demand caused by the economic impacts of the COVID-19 pandemic, the Company reduced production in February 2020 and, in late March 2020, temporarily suspended manufacturing operations at all of the Company’s facilities to protect the health of employees and to comply with governmental mandates. The Company resumed operations at reduced production levels at our manufacturing facilities by mid-May. Since that time, our facilities have increased production rates above their pre-COVID levels. Demand for the Company’s products has been strong and, as a result of our employee’s committed efforts, disruptions to the Company’s production have been minimal since resuming operations in May 2020. However, the Company remains subject to risks and uncertainties as a result of the COVID-19 pandemic. The extent of the impact of the COVID-19 pandemic on the Company’s business remains uncertain and difficult to predict, as the response to the COVID-19 pandemic continues to evolve in many countries, including the United States and other markets where the Company and its suppliers operate. Capital markets and economies worldwide have also been negatively impacted by the COVID-19 pandemic, and it has caused economic downturns or recessions in the U.S. and other markets where the Company operates. Such economic disruption could have a material adverse effect on the Company’s business as retail demand for our products could decline which would in-turn reduce wholesale demand from the Company’s dealers. Policymakers around the world have responded and may continue to respond with fiscal and monetary policy actions to support the economy. The magnitude and overall effectiveness of these actions remain uncertain. The severity of the impact of the COVID-19 pandemic on the Company's business will depend on a number of factors, including, but not limited to, the duration, spread, severity, and impact of the pandemic, the remedial actions and stimulus measures adopted by local and federal governments, the effects of the pandemic on the Company's consumers, dealers, suppliers and workforce, and to the extent normal economic and operating conditions can resume, all of which are uncertain and cannot be predicted. The Company's future results of operations, cash flows, and liquidity could be adversely impacted by delays in payments of outstanding receivable amounts beyond normal payment terms, supply chain or workforce disruptions and uncertain demand, impairment charge s , and the impact of any initiatives that the Company may undertake to address financial and operational challenges faced by it and its consumers, dealers, and suppliers. As of the date of issuance of these consolidated financial statements, the extent to which the COVID-19 p andemic may materially impact the Company's financial condition, liquidity, or results of operations is uncertain. There were no significant changes in or changes in the application of the Company’s significant or critical accounting policies or estimation procedures for the three and six months ended January 3, 2021 as compared with the significant accounting policies described in the Company’s audited consolidated financial statements for the fiscal year ended June 30, 2020. New Accounting Pronouncements Issued But Not Yet Adopted Income Taxes — In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes (Topic 740). This ASU simplifies the accounting for income taxes by, among other things, eliminating certain existing exceptions related to the general approach in ASC 740 relating to franchise taxes, reducing complexity in the interim-period accounting for year-to-date loss limitations and changes in tax laws, and clarifying the accounting for transactions outside of business combination that result in a step-up in the tax basis of goodwill. The transition requirements are primarily prospective, and the effective date is for interim and annual reporting periods beginning after December 15, 2020, with early adoption permitted. We are currently evaluating the impact of the new guidance on our consolidated financial statements. Recently Adopted Accounting Standards Fair Value Measurements — In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement . This guidance modifies the disclosure requirements on fair value measurements in Topic 820 by removing disclosures regarding transfers between Level 1 and Level 2 of the fair value hierarchy, by modifying the measurement uncertainty disclosure, and by requiring additional disclosures for Level 3 fair value measurements, among others. The Company adopted this guidance for its fiscal year beginning July 1, 2020. The adoption of this standard did not have an impact on the consolidated financial statements. Current Expected Credit Loss — In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) : Measurement of Credit Losses on Financial Instruments , which updated the ASC to use an impairment model that is based on expected losses rather than incurred losses. The Company adopted this guidance for its fiscal year beginning July 1, 2020. The adoption of this standard did not have an impact on the consolidated financial statements |
REVENUE RECOGNITION
REVENUE RECOGNITION | 6 Months Ended |
Jan. 03, 2021 | |
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 January 3, 2021 Three Months Ended December 29, 2019 MasterCraft NauticStar Crest Total MasterCraft NauticStar Crest Total Major Product Categories: Boats and trailers $ 80,806 $ 14,857 $ 20,757 $ 116,420 $ 66,332 $ 15,485 $ 16,097 $ 97,914 Parts 1,726 87 138 1,951 1,276 87 121 1,484 Other revenue 227 5 74 306 149 4 77 230 Total $ 82,759 $ 14,949 $ 20,969 $ 118,677 $ 67,757 $ 15,576 $ 16,295 $ 99,628 Six Months Ended January 3, 2021 Six Months Ended December 29, 2019 MasterCraft NauticStar Crest Total MasterCraft NauticStar Crest Total Major Product Categories: Boats and trailers $ 149,388 $ 27,073 $ 38,368 $ 214,829 $ 135,619 $ 33,319 $ 34,721 $ 203,659 Parts 6,271 211 529 7,011 4,707 246 301 5,254 Other revenue 464 7 111 582 344 6 154 504 Total $ 156,123 $ 27,291 $ 39,008 $ 222,422 $ 140,670 $ 33,571 $ 35,176 $ 209,417 Contract Liabilities As of June 30, 2020, the Company had $0.6 million of contract liabilities associated with customer deposits. During the six months ended January 3, 2021, all of this amount was recognized as revenue. As of January 3, 2021, total contract liabilities associated with customer deposits were $1.5 million, were reported in Accrued expenses and other current liabilities on the condensed consolidated balance sheet, and are expected to be recognized as revenue during the remainder of the year ended June 30, 2021. |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jan. 03, 2021 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | 3 . INVENTORIES Inventories consisted of the following: January 3, June 30, 2021 2020 Raw materials and supplies $ 24,258 $ 18,318 Work in process 5,822 3,866 Finished goods 6,558 4,876 Obsolescence reserve (2,068 ) (1,424 ) Total inventories $ 34,570 $ 25,636 |
PROPERTY, PLANT, AND EQUIPMENT
PROPERTY, PLANT, AND EQUIPMENT | 6 Months Ended |
Jan. 03, 2021 | |
Property Plant And Equipment [Abstract] | |
PROPERTY, PLANT, AND EQUIPMENT | 4. PROPERTY, PLANT, AND EQUIPMENT Property, plant, and equipment, net consisted of the following: January 3, June 30, 2021 2020 Land and improvements $ 5,633 $ 3,030 Buildings and improvements 35,344 22,366 Machinery and equipment 39,445 38,262 Furniture and fixtures 2,665 2,229 Construction in progress 3,143 1,312 Total property, plant, and equipment 86,230 67,199 Less accumulated depreciation (30,254 ) (26,718 ) Property, plant, and equipment — net $ 55,976 $ 40,481 Merritt Island Facility During October 2020 we completed the purchase of certain real property located in Merritt Island, Florida, including a boat manufacturing facility, for a purchase price of $14.2 million (the “Merritt Island Facility”). The new Merritt Island Facility provides a dedicated manufacturing center for our Aviara brand. |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 6 Months Ended |
Jan. 03, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS | 5. GOODWILL AND OTHER INTANGIBLE ASSETS The carrying amounts of goodwill as of January 3, 2021 and June 30, 2020, attributable to each of the Company’s reportable segments, were as follows: Gross Amount Accumulated Impairment Losses Total MasterCraft $ 29,593 $ - $ 29,593 NauticStar 36,199 (36,199 ) - Crest 36,238 (36,238 ) - Total $ 102,030 $ (72,437 ) $ 29,593 The following table presents the carrying amount of Other intangible assets, net: January 3, June 30, 2021 2020 Gross Amount Accumulated Amortization / Impairment Other intangible assets, net Gross Amount Accumulated Amortization / Impairment Other intangible assets, net Amortized intangible assets Dealer networks $ 39,500 $ (11,761 ) $ 27,739 $ 39,500 $ (9,810 ) $ 29,690 Software 245 (110 ) 135 245 (86 ) 159 39,745 (11,871 ) 27,874 39,745 (9,896 ) 29,849 Unamortized intangible assets Trade names 49,000 (15,000 ) 34,000 49,000 (15,000 ) 34,000 Total other intangible assets $ 88,745 $ (26,871 ) $ 61,874 $ 88,745 $ (24,896 ) $ 63,849 Amortization expense related to Other intangible assets, net for the three and six months ended both January 3, 2021 and December 29, 2019 was $1.0 million and $2.0 million, respectively. Estimated amortization expense for the fiscal year ended June 30, 2021 is $4.0 million. |
ACCRUED EXPENSES AND OTHER CURR
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 6 Months Ended |
Jan. 03, 2021 | |
Accrued Liabilities And Other Liabilities [Abstract] | |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 6 . ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES Accrued expenses and other current liabilities consisted of the following: January 3, June 30, 2021 2020 Warranty $ 20,919 $ 20,004 Dealer incentives 9,456 9,180 Compensation and related accruals 4,120 1,488 Inventory repurchase contingent obligation 891 1,132 Self-insurance 599 704 Debt interest 226 — Other 5,379 3,477 Total accrued expenses and other current liabilities $ 41,590 $ 35,985 Accrued warranty liability activity was as follows for the six months ending: January 3, December 29, 2021 2019 Balance at the beginning of the period $ 20,004 $ 17,205 Provisions 4,469 3,858 Payments made (4,272 ) (4,332 ) Aggregate changes for preexisting warranties 718 1,764 Balance at the end of the period $ 20,919 $ 18,495 |
LONG-TERM DEBT
LONG-TERM DEBT | 6 Months Ended |
Jan. 03, 2021 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | 7 . LONG-TERM DEBT Long-term debt is as follows: January 3, June 30, 2021 2020 Revolving credit facility $ - $ 10,000 Term loans 95,283 99,993 Debt issuance costs on term loans (1,145 ) (1,395 ) Total debt 94,138 108,598 Less current portion of long-term debt 10,205 9,420 Less current portion of debt issuance costs on term loans (466 ) (488 ) Long-term debt, net of current portion $ 84,399 $ 99,666 On October 1, 2018, the Company entered into a Fourth Amended and Restated Credit and Guaranty Agreement with a syndicate of certain financial institutions (the “Fourth Amended Credit Agreement”). The Fourth Amended Credit Agreement provides the Company with a $190.0 million senior secured credit facility, consisting of a $75.0 million term loan, and an $80.0 million term loan (together, the “Term Loans”), and a $35.0 million revolving credit facility (the “Revolving Credit Facility”). The Fourth Amended Credit Agreement is secured by substantially all the assets of the Company. Holdings is a guarantor on the Fourth Amended Credit Agreement and the Fourth Amended Credit Agreement contains covenants that restrict the ability of Holdings’ subsidiaries to make distributions to Holdings. The Term Loans will mature and all remaining amounts outstanding thereunder will be due and payable on October 1, 2023. Amendment No. 3 to Fourth Amended Credit Agreement On May 7, 2020, the Company entered into Amendment No. 3 to the Fourth Amended Credit Agreement (the “Amendment No. 3”). The changes effected by Amendment No. 3 include, among others, the temporary removal and replacement of the Company’s financial covenants, the addition of a 50 basis point floor on LIBOR, modifications to the range of applicable LIBOR and prime interest rate margins, and a revision of the Total Net Leverage Ratio calculation. Under Amendment No. 3, the Total Net Leverage Ratio covenant and Fixed Charge Coverage Ratio covenant of the Fourth Amended Credit Agreement are temporarily replaced with three separate covenants: (i) an Interest Coverage Ratio, (ii) a Minimum Liquidity threshold, and (iii) a Maximum Unfinanced Capital Expenditures limitation (the “Package of Financial Covenants”). The Package of Financial Covenants are in place through the quarter ended March 31, 2021, after which time the Total Net Leverage Ratio covenant and Fixed Charge Coverage Ratio covenant will be reinstated and the Package of Financial Covenants will sunset, and with the minimum liquidity covenant being tested on the last day of each fiscal month through May 31, 2021. In addition, the Total Net Leverage Ratio calculation was temporarily revised to include all unrestricted cash balances, without limitation, until June 30, 2021. As of January 3, 2021, the Company was in compliance with its financial covenants under Amendment No. 3 to the Fourth Amended Credit Agreement. Pursuant to the Amendment, the applicable interest, at the Company’s option, is at either the prime rate plus an applicable margin ranging from 0.5% to 2.25% or at a LIBOR rate, subject to a 50 basis point floor, plus an applicable margin ranging from 1.5% to 3.25%, in each case based on the Company’s Total Net Leverage Ratio. As of January 3, 2021 the applicable margin for loans accruing interest at the prime rate was % and the applicable margin for loans accruing interest at LIBOR was %. Amendment No. 4 and Joinder to Fourth Amended Credit Agreement On October 26, 2020, the Company entered into Amendment No. 4 and Joinder to the Fourth Amended Credit Ageement (the “Amendment No. 4”). In conjunction with the new Merritt Island Facility purchase (see Note 4), the assets were organized in a new wholly-owned subsidiary of the Company. The changes effected by Amendment No. 4 add this new subsidiary as a borrower under the Fourth Amended Credit Agreement. Revolving Credit Facility During October 2020 the Company borrowed $20.0 million under its $35.0 million Revolving Credit Facility to fund the purchase of the Merrit Island Facility. The Company subsequently repaid all outstanding amounts and, as of January 3, 2021, the availability under the Revolving Credit Facility was $35.0 million. |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jan. 03, 2021 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 8 . 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 benefit associated with the foreign derived intangible income deduction, partially offset by a permanent add-back for Section 162(m) limitations. During the three months ended January 3, 2021 and December 29, 2019, the Company’s effective tax rates were 22.2% and 24.4%, respectively. During the six months ended January 3, 2021 and December 29, 2019, the Company’s effective tax rates were 22.5% and 24.2%, respectively. The Company’s effective tax rate for the three and six months ended January 3, 2021 is lower compared to the effective tax rate for the three and six months ended December 29, 2019, primarily due to an increase in the benefit of federal and state tax credits and a reduction in the effective state tax rate, partially offset by a decrease in the Company’s net permanent benefits, largely driven by changes in the foreign derived intangible income deduction and add-back for Section 162(m) limitations. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 6 Months Ended |
Jan. 03, 2021 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | 9 . EARNINGS PER SHARE The following table sets forth the computation of the Company’s earnings per share: Three Months Ended Six Months Ended January 3, December 29, January 3, December 29, 2021 2019 2021 2019 Net income $ 12,501 $ 6,879 $ 22,068 $ 15,502 Weighted average shares — basic 18,807,316 18,730,688 18,790,826 18,727,267 Dilutive effect of assumed exercises of stock options 13,950 22,629 14,025 25,052 Dilutive effect of assumed restricted share awards/units 107,142 17,466 92,766 18,451 Weighted average outstanding shares — diluted 18,928,408 18,770,783 18,897,617 18,770,770 Basic earnings per share $ 0.66 $ 0.37 $ 1.17 $ 0.83 Diluted earnings per share $ 0.66 $ 0.37 $ 1.17 $ 0.83 For the three and six months ended January 3, 2021 and December 29, 2019, an immaterial number of shares were excluded from the computation of diluted earnings per share as the effect would have been anti-dilutive. |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 6 Months Ended |
Jan. 03, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
SHARE-BASED COMPENSATION | 10 . SHARE-BASED COMPENSATION The following table presents the components of share-based compensation expense by award type. Three Months Ended Six Months Ended January 3, December 29, January 3, December 29, 2021 2019 2021 2019 Restricted stock awards $ 388 $ 268 $ 805 $ 520 Performance stock units 255 (236 ) 478 15 Stock options — — — 9 Share-based compensation expense $ 643 $ 32 $ 1,283 $ 544 Restricted Stock Awards During the six months ended January 3, 2021, the Company granted 87,047 restricted stock awards (“RSAs”) to the Company’s non-executive directors, officers and certain other key employees. Generally, the shares of restricted stock granted during the six months ended January 3, 2021, 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 six months ended January 3, 2021, was $19.96 per share. The following table summarizes the status of nonvested RSAs as of January 3, 2021, and changes during the six months then ended. Average Nonvested Grant-Date Restricted Fair Value Shares (per share) Nonvested at June 30, 2020 106,894 $ 18.01 Granted 87,047 19.96 Vested (53,670 ) 18.02 Forfeited (8,673 ) 19.29 Nonvested at January 3, 2021 131,598 19.21 As of January 3, 2021, there was $1.9 million of total unrecognized compensation expense related to nonvested RSAs. The Company expects this expense to be recognized over a weighted average period of 1.9 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 Supplemental PSUs On July 16, 2020, after consulting with outside compensation advisors and outside legal counsel, reviewing market data and benchmarking expected relative compensation to the market data, the Company’s Compensation Committee made the decision to grant additional PSUs under the Long-term Incentive Plan (“LTIP Program”) to certain of the Company’s officers, (the “Supplemental PSUs”). The “Performance Period” for the Supplemental PSUs is a two-year The Supplemental PSUs were granted to attract and motivate key employees whose existing fiscal 2019 and fiscal 2020 PSU grants (the “Existing PSUs”) were unlikely to achieve minimum performance goals due to the unprecedented effects of the COVID-19 pandemic. The number of Supplemental PSUs that a grantee earns for the performance period will be determined by multiplying the target award by the product of (i) the Composite Payout Percentage and (ii) the Relative TSR Modifier. The “Composite Payout Percentage” is calculated based on the Company’s Total Market Share Percentage, Total Consumer Satisfaction Index Percentage and Total Dealer Inventory Turnover Percentage (each as defined in the Supplemental PSU Award Agreement). Following the determination of the Company’s achievement with respect to the Composite Payout Percentage over the Performance Period, the vesting of each award will be subject to adjustment based upon the application of a Relative TSR Modifier. The Supplemental PSUs are capped at 90% of the Existing PSUs’ original fair value and would be reduced for any shares issuable upon satisfaction of the performance criteria pursuant to the Existing PSUs. The following table summarizes the status of nonvested PSUs as of January 3, 2021, and changes during the six months then ended. Average Nonvested Grant-Date Performance Fair Value Stock Units (per share) Nonvested at June 30, 2020 67,404 $ 20.02 Granted 121,914 19.99 Vested - - Forfeited (15,588 ) 20.25 Nonvested at January 3, 2021 173,730 19.98 As of January 3, 2021, there was $1.9 million of total unrecognized compensation expense related to nonvested PSUs. The Company expects this expense to be recognized over a weighted average period of 2.0 years. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Jan. 03, 2021 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | 11. SEGMENT INFORMATION The Company designs, manufactures, and markets recreational performance sport boats, luxury day boats, and outboard boats under three operating and reportable segments: MasterCraft, NauticStar, and Crest. The Company’s segments are defined by the Company’s operational and reporting structures. • The MasterCraft segment produces boats under two product brands, MasterCraft and Aviara, at its Vonore, Tennessee facility. MasterCraft boats are premium recreational performance sport boats primarily used for water skiing, wakeboarding, wake surfing, and general recreational boating. Aviara boats are luxury day boats primarily used for general recreational boating. Production of Aviara boats began during the year ended June 30, 2019 and the Company began selling these boats in July 2019. During the three months ended January 3, 2021, the Company began transitioning Aviara production to the Merritt Island, Facility. The Company anticipates all Aviara boats to be produced at the Merritt Island Facility by the end of fiscal 2021. • The NauticStar segment produces boats at its Amory, Mississippi facility. NauticStar’s boats are primarily used for saltwater fishing and general recreational boating. • The Crest segment produces pontoon boats at its Owosso, Michigan facility. Crest’s boats are primarily used for general recreational boating. Each segment distributes its products through its own dealer network. The Chief Operating Decision Maker (“ CODM ”) , which is our Chief Executive Officer, regularly reviews the operating performance of each segment including measures of performance based on operating income. Each segment has its own management structure which is responsible for the operations of the segment and which is directly accountable to the CODM. 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 January 3, 2021 MasterCraft NauticStar Crest Consolidated Net sales $ 82,759 $ 14,949 $ 20,969 $ 118,677 Operating income (loss) 14,621 (326 ) 2,650 16,945 Depreciation and amortization 1,435 802 624 2,861 Purchases of property, plant and equipment 16,412 516 23 16,951 For the Six Months Ended January 3, 2021 MasterCraft NauticStar Crest Consolidated Net sales $ 156,123 $ 27,291 $ 39,008 $ 222,422 Operating income (loss) 27,982 (1,945 ) 4,312 30,349 Depreciation and amortization 2,735 1,616 1,248 5,599 Purchases of property, plant and equipment 18,121 759 23 18,903 For the Three Months Ended December 29, 2019 MasterCraft NauticStar Crest Consolidated Net sales $ 67,757 $ 15,576 $ 16,295 $ 99,628 Operating income (loss) 10,600 (673 ) 408 10,335 Depreciation and amortization 1,158 924 601 2,683 Purchases of property, plant and equipment 1,631 1,095 4,447 7,173 For the Six Months Ended December 29, 2019 MasterCraft NauticStar Crest Consolidated Net sales $ 140,670 $ 33,571 $ 35,176 $ 209,417 Operating income (loss) 22,807 (646 ) 871 23,032 Depreciation and amortization 2,177 1,725 1,151 5,053 Purchases of property, plant and equipment 4,365 1,914 5,212 11,491 The following table presents total assets for the Company’s reportable segments. January 3, 2021 June 30, 2020 Assets: MasterCraft $ 309,090 $ 294,139 NauticStar 40,918 36,720 Crest 40,048 40,077 Eliminations (a) (163,013 ) (163,013 ) Total assets $ 227,043 $ 207,923 (a) Represents the Company’s initial investment in NauticStar and Crest, which is included in total assets attributed to the MasterCraft segment. |
ORGANIZATION, BASIS OF PRESEN_2
ORGANIZATION, BASIS OF PRESENTATION, AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jan. 03, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization | Organization — MasterCraft Boat Holdings, Inc. (“Holdings”) was formed on January 28, 2000, as a Delaware holding company and operates primarily through its wholly owned subsidiaries, MasterCraft Boat Company, LLC; MasterCraft Services, LLC; MasterCraft Parts, Ltd.; MasterCraft International Sales Administration, Inc.; and Aviara, LLC (collectively “MasterCraft”); Nautic Star, LLC and NS Transport, LLC (collectively “NauticStar”); and Crest Marine, LLC (“Crest”). Holdings and its subsidiaries collectively are referred to herein as the “Company.” |
Fiscal Period | 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. |
Basis of Accounting | 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, 2020 and, in the opinion of management, reflect all adjustments considered necessary to present fairly the Company’s financial position as of January 3, 2021, its results of operations for the three and six months ended January 3, 2021 and December 29, 2019, its cash flows for the six months ended January 3, 2021 and December 29, 2019, and its statements of stockholders’ equity for the three and six months ended January 3, 2021 and December 29, 2019. 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, 2020 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 2020 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. |
COVID-19 Pandemic | COVID-19 Pandemic — To balance wholesale production with the then anticipated impacts to retail demand caused by the economic impacts of the COVID-19 pandemic, the Company reduced production in February 2020 and, in late March 2020, temporarily suspended manufacturing operations at all of the Company’s facilities to protect the health of employees and to comply with governmental mandates. The Company resumed operations at reduced production levels at our manufacturing facilities by mid-May. Since that time, our facilities have increased production rates above their pre-COVID levels. Demand for the Company’s products has been strong and, as a result of our employee’s committed efforts, disruptions to the Company’s production have been minimal since resuming operations in May 2020. However, the Company remains subject to risks and uncertainties as a result of the COVID-19 pandemic. The extent of the impact of the COVID-19 pandemic on the Company’s business remains uncertain and difficult to predict, as the response to the COVID-19 pandemic continues to evolve in many countries, including the United States and other markets where the Company and its suppliers operate. Capital markets and economies worldwide have also been negatively impacted by the COVID-19 pandemic, and it has caused economic downturns or recessions in the U.S. and other markets where the Company operates. Such economic disruption could have a material adverse effect on the Company’s business as retail demand for our products could decline which would in-turn reduce wholesale demand from the Company’s dealers. Policymakers around the world have responded and may continue to respond with fiscal and monetary policy actions to support the economy. The magnitude and overall effectiveness of these actions remain uncertain. The severity of the impact of the COVID-19 pandemic on the Company's business will depend on a number of factors, including, but not limited to, the duration, spread, severity, and impact of the pandemic, the remedial actions and stimulus measures adopted by local and federal governments, the effects of the pandemic on the Company's consumers, dealers, suppliers and workforce, and to the extent normal economic and operating conditions can resume, all of which are uncertain and cannot be predicted. The Company's future results of operations, cash flows, and liquidity could be adversely impacted by delays in payments of outstanding receivable amounts beyond normal payment terms, supply chain or workforce disruptions and uncertain demand, impairment charge s , and the impact of any initiatives that the Company may undertake to address financial and operational challenges faced by it and its consumers, dealers, and suppliers. As of the date of issuance of these consolidated financial statements, the extent to which the COVID-19 p andemic may materially impact the Company's financial condition, liquidity, or results of operations is uncertain. |
New Accounting Pronouncements Issued, Adopted and Not Yet Adopted | New Accounting Pronouncements Issued But Not Yet Adopted Income Taxes — In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes (Topic 740). This ASU simplifies the accounting for income taxes by, among other things, eliminating certain existing exceptions related to the general approach in ASC 740 relating to franchise taxes, reducing complexity in the interim-period accounting for year-to-date loss limitations and changes in tax laws, and clarifying the accounting for transactions outside of business combination that result in a step-up in the tax basis of goodwill. The transition requirements are primarily prospective, and the effective date is for interim and annual reporting periods beginning after December 15, 2020, with early adoption permitted. We are currently evaluating the impact of the new guidance on our consolidated financial statements. Recently Adopted Accounting Standards Fair Value Measurements — In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement . This guidance modifies the disclosure requirements on fair value measurements in Topic 820 by removing disclosures regarding transfers between Level 1 and Level 2 of the fair value hierarchy, by modifying the measurement uncertainty disclosure, and by requiring additional disclosures for Level 3 fair value measurements, among others. The Company adopted this guidance for its fiscal year beginning July 1, 2020. The adoption of this standard did not have an impact on the consolidated financial statements. Current Expected Credit Loss — In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) : Measurement of Credit Losses on Financial Instruments , which updated the ASC to use an impairment model that is based on expected losses rather than incurred losses. The Company adopted this guidance for its fiscal year beginning July 1, 2020. The adoption of this standard did not have an impact on the consolidated financial statements |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
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 January 3, 2021 Three Months Ended December 29, 2019 MasterCraft NauticStar Crest Total MasterCraft NauticStar Crest Total Major Product Categories: Boats and trailers $ 80,806 $ 14,857 $ 20,757 $ 116,420 $ 66,332 $ 15,485 $ 16,097 $ 97,914 Parts 1,726 87 138 1,951 1,276 87 121 1,484 Other revenue 227 5 74 306 149 4 77 230 Total $ 82,759 $ 14,949 $ 20,969 $ 118,677 $ 67,757 $ 15,576 $ 16,295 $ 99,628 Six Months Ended January 3, 2021 Six Months Ended December 29, 2019 MasterCraft NauticStar Crest Total MasterCraft NauticStar Crest Total Major Product Categories: Boats and trailers $ 149,388 $ 27,073 $ 38,368 $ 214,829 $ 135,619 $ 33,319 $ 34,721 $ 203,659 Parts 6,271 211 529 7,011 4,707 246 301 5,254 Other revenue 464 7 111 582 344 6 154 504 Total $ 156,123 $ 27,291 $ 39,008 $ 222,422 $ 140,670 $ 33,571 $ 35,176 $ 209,417 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consisted of the following: January 3, June 30, 2021 2020 Raw materials and supplies $ 24,258 $ 18,318 Work in process 5,822 3,866 Finished goods 6,558 4,876 Obsolescence reserve (2,068 ) (1,424 ) Total inventories $ 34,570 $ 25,636 |
PROPERTY, PLANT, AND EQUIPMENT
PROPERTY, PLANT, AND EQUIPMENT (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property, Plant, and Equipment - Net | Property, plant, and equipment, net consisted of the following: January 3, June 30, 2021 2020 Land and improvements $ 5,633 $ 3,030 Buildings and improvements 35,344 22,366 Machinery and equipment 39,445 38,262 Furniture and fixtures 2,665 2,229 Construction in progress 3,143 1,312 Total property, plant, and equipment 86,230 67,199 Less accumulated depreciation (30,254 ) (26,718 ) Property, plant, and equipment — net $ 55,976 $ 40,481 |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Carrying Amounts of Goodwill | The carrying amounts of goodwill as of January 3, 2021 and June 30, 2020, attributable to each of the Company’s reportable segments, were as follows: Gross Amount Accumulated Impairment Losses Total MasterCraft $ 29,593 $ - $ 29,593 NauticStar 36,199 (36,199 ) - Crest 36,238 (36,238 ) - Total $ 102,030 $ (72,437 ) $ 29,593 |
Schedule of Carrying Amount of Other Intangible Assets, Net | The following table presents the carrying amount of Other intangible assets, net: January 3, June 30, 2021 2020 Gross Amount Accumulated Amortization / Impairment Other intangible assets, net Gross Amount Accumulated Amortization / Impairment Other intangible assets, net Amortized intangible assets Dealer networks $ 39,500 $ (11,761 ) $ 27,739 $ 39,500 $ (9,810 ) $ 29,690 Software 245 (110 ) 135 245 (86 ) 159 39,745 (11,871 ) 27,874 39,745 (9,896 ) 29,849 Unamortized intangible assets Trade names 49,000 (15,000 ) 34,000 49,000 (15,000 ) 34,000 Total other intangible assets $ 88,745 $ (26,871 ) $ 61,874 $ 88,745 $ (24,896 ) $ 63,849 |
ACCRUED EXPENSES AND OTHER CU_2
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
Accrued Liabilities And Other Liabilities [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the following: January 3, June 30, 2021 2020 Warranty $ 20,919 $ 20,004 Dealer incentives 9,456 9,180 Compensation and related accruals 4,120 1,488 Inventory repurchase contingent obligation 891 1,132 Self-insurance 599 704 Debt interest 226 — Other 5,379 3,477 Total accrued expenses and other current liabilities $ 41,590 $ 35,985 |
Summary of Accrued Warranty Liability Activity | Accrued warranty liability activity was as follows for the six months ending: January 3, December 29, 2021 2019 Balance at the beginning of the period $ 20,004 $ 17,205 Provisions 4,469 3,858 Payments made (4,272 ) (4,332 ) Aggregate changes for preexisting warranties 718 1,764 Balance at the end of the period $ 20,919 $ 18,495 |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | Long-term debt is as follows: January 3, June 30, 2021 2020 Revolving credit facility $ - $ 10,000 Term loans 95,283 99,993 Debt issuance costs on term loans (1,145 ) (1,395 ) Total debt 94,138 108,598 Less current portion of long-term debt 10,205 9,420 Less current portion of debt issuance costs on term loans (466 ) (488 ) Long-term debt, net of current portion $ 84,399 $ 99,666 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
Earnings Per Share [Abstract] | |
Factors Used in Net Income Per Share Computation | The following table sets forth the computation of the Company’s earnings per share: Three Months Ended Six Months Ended January 3, December 29, January 3, December 29, 2021 2019 2021 2019 Net income $ 12,501 $ 6,879 $ 22,068 $ 15,502 Weighted average shares — basic 18,807,316 18,730,688 18,790,826 18,727,267 Dilutive effect of assumed exercises of stock options 13,950 22,629 14,025 25,052 Dilutive effect of assumed restricted share awards/units 107,142 17,466 92,766 18,451 Weighted average outstanding shares — diluted 18,928,408 18,770,783 18,897,617 18,770,770 Basic earnings per share $ 0.66 $ 0.37 $ 1.17 $ 0.83 Diluted earnings per share $ 0.66 $ 0.37 $ 1.17 $ 0.83 |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [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 Six Months Ended January 3, December 29, January 3, December 29, 2021 2019 2021 2019 Restricted stock awards $ 388 $ 268 $ 805 $ 520 Performance stock units 255 (236 ) 478 15 Stock options — — — 9 Share-based compensation expense $ 643 $ 32 $ 1,283 $ 544 |
Summary of Status of Nonvested Restricted Stock Awards and Changes | The following table summarizes the status of nonvested RSAs as of January 3, 2021, and changes during the six months then ended. Average Nonvested Grant-Date Restricted Fair Value Shares (per share) Nonvested at June 30, 2020 106,894 $ 18.01 Granted 87,047 19.96 Vested (53,670 ) 18.02 Forfeited (8,673 ) 19.29 Nonvested at January 3, 2021 131,598 19.21 |
Summary of Status of Nonvested Performance Stock Units and Changes | The following table summarizes the status of nonvested PSUs as of January 3, 2021, and changes during the six months then ended. Average Nonvested Grant-Date Performance Fair Value Stock Units (per share) Nonvested at June 30, 2020 67,404 $ 20.02 Granted 121,914 19.99 Vested - - Forfeited (15,588 ) 20.25 Nonvested at January 3, 2021 173,730 19.98 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 6 Months Ended |
Jan. 03, 2021 | |
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 January 3, 2021 MasterCraft NauticStar Crest Consolidated Net sales $ 82,759 $ 14,949 $ 20,969 $ 118,677 Operating income (loss) 14,621 (326 ) 2,650 16,945 Depreciation and amortization 1,435 802 624 2,861 Purchases of property, plant and equipment 16,412 516 23 16,951 For the Six Months Ended January 3, 2021 MasterCraft NauticStar Crest Consolidated Net sales $ 156,123 $ 27,291 $ 39,008 $ 222,422 Operating income (loss) 27,982 (1,945 ) 4,312 30,349 Depreciation and amortization 2,735 1,616 1,248 5,599 Purchases of property, plant and equipment 18,121 759 23 18,903 For the Three Months Ended December 29, 2019 MasterCraft NauticStar Crest Consolidated Net sales $ 67,757 $ 15,576 $ 16,295 $ 99,628 Operating income (loss) 10,600 (673 ) 408 10,335 Depreciation and amortization 1,158 924 601 2,683 Purchases of property, plant and equipment 1,631 1,095 4,447 7,173 For the Six Months Ended December 29, 2019 MasterCraft NauticStar Crest Consolidated Net sales $ 140,670 $ 33,571 $ 35,176 $ 209,417 Operating income (loss) 22,807 (646 ) 871 23,032 Depreciation and amortization 2,177 1,725 1,151 5,053 Purchases of property, plant and equipment 4,365 1,914 5,212 11,491 The following table presents total assets for the Company’s reportable segments. January 3, 2021 June 30, 2020 Assets: MasterCraft $ 309,090 $ 294,139 NauticStar 40,918 36,720 Crest 40,048 40,077 Eliminations (a) (163,013 ) (163,013 ) Total assets $ 227,043 $ 207,923 (a) Represents the Company’s initial investment in NauticStar and Crest, which is included in total assets attributed to the MasterCraft segment. |
ORGANIZATION, BASIS OF PRESEN_3
ORGANIZATION, BASIS OF PRESENTATION, AND SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details) | Jan. 03, 2021 |
ASU 2018-13 | |
Organization Basis Of Presentation And Significant Accounting Policies [Line Items] | |
Change in accounting principle, accounting standards update, adopted [true false] | true |
Change in accounting principle, accounting standards update, adoption date | Jul. 1, 2020 |
Change in accounting principle, accounting standards update, immaterial effect [true false] | true |
ASU 2016-13 | |
Organization Basis Of Presentation And Significant Accounting Policies [Line Items] | |
Change in accounting principle, accounting standards update, adopted [true false] | true |
Change in accounting principle, accounting standards update, adoption date | Jul. 1, 2020 |
Change in accounting principle, accounting standards update, immaterial effect [true false] | true |
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 | 6 Months Ended | ||
Jan. 03, 2021 | Dec. 29, 2019 | Jan. 03, 2021 | Dec. 29, 2019 | |
Revenue by Categories | ||||
Revenue | $ 118,677 | $ 99,628 | $ 222,422 | $ 209,417 |
MasterCraft | ||||
Revenue by Categories | ||||
Revenue | 82,759 | 67,757 | 156,123 | 140,670 |
NauticStar | ||||
Revenue by Categories | ||||
Revenue | 14,949 | 15,576 | 27,291 | 33,571 |
Crest | ||||
Revenue by Categories | ||||
Revenue | 20,969 | 16,295 | 39,008 | 35,176 |
Boats and trailers | ||||
Revenue by Categories | ||||
Revenue | 116,420 | 97,914 | 214,829 | 203,659 |
Boats and trailers | MasterCraft | ||||
Revenue by Categories | ||||
Revenue | 80,806 | 66,332 | 149,388 | 135,619 |
Boats and trailers | NauticStar | ||||
Revenue by Categories | ||||
Revenue | 14,857 | 15,485 | 27,073 | 33,319 |
Boats and trailers | Crest | ||||
Revenue by Categories | ||||
Revenue | 20,757 | 16,097 | 38,368 | 34,721 |
Parts | ||||
Revenue by Categories | ||||
Revenue | 1,951 | 1,484 | 7,011 | 5,254 |
Parts | MasterCraft | ||||
Revenue by Categories | ||||
Revenue | 1,726 | 1,276 | 6,271 | 4,707 |
Parts | NauticStar | ||||
Revenue by Categories | ||||
Revenue | 87 | 87 | 211 | 246 |
Parts | Crest | ||||
Revenue by Categories | ||||
Revenue | 138 | 121 | 529 | 301 |
Other | ||||
Revenue by Categories | ||||
Revenue | 306 | 230 | 582 | 504 |
Other | MasterCraft | ||||
Revenue by Categories | ||||
Revenue | 227 | 149 | 464 | 344 |
Other | NauticStar | ||||
Revenue by Categories | ||||
Revenue | 5 | 4 | 7 | 6 |
Other | Crest | ||||
Revenue by Categories | ||||
Revenue | $ 74 | $ 77 | $ 111 | $ 154 |
REVENUE RECOGNITION - Additiona
REVENUE RECOGNITION - Additional Information (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jan. 03, 2021 | Jun. 30, 2020 | |
Contract liabilities | ||
Customer contract liabilities | $ 0.6 | |
Contract liabilities with customer, revenue recognized during the period | $ 0.6 | |
Accrued Expenses and Other Current Liabilities | ||
Contract liabilities | ||
Customer contract liabilities | $ 1.5 |
INVENTORIES - Schedule of Inven
INVENTORIES - Schedule of Inventories (Details) - USD ($) $ in Thousands | Jan. 03, 2021 | Jun. 30, 2020 |
Inventory Disclosure [Abstract] | ||
Raw materials and supplies | $ 24,258 | $ 18,318 |
Work in process | 5,822 | 3,866 |
Finished goods | 6,558 | 4,876 |
Obsolescence reserve | (2,068) | (1,424) |
Total inventories | $ 34,570 | $ 25,636 |
PROPERTY, PLANT, AND EQUIPMEN_2
PROPERTY, PLANT, AND EQUIPMENT - Schedule of Property, Plant, and Equipment - Net (Details) - USD ($) $ in Thousands | Jan. 03, 2021 | Jun. 30, 2020 |
Property Plant And Equipment [Line Items] | ||
Total property, plant, and equipment | $ 86,230 | $ 67,199 |
Less accumulated depreciation | (30,254) | (26,718) |
Property, plant, and equipment — net | 55,976 | 40,481 |
Land and improvements | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant, and equipment | 5,633 | 3,030 |
Buildings and improvements | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant, and equipment | 35,344 | 22,366 |
Machinery and equipment | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant, and equipment | 39,445 | 38,262 |
Furniture and fixtures | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant, and equipment | 2,665 | 2,229 |
Construction in progress | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant, and equipment | $ 3,143 | $ 1,312 |
PROPERTY, PLANT, AND EQUIPMEN_3
PROPERTY, PLANT, AND EQUIPMENT - Additional Information (Details) $ in Millions | Oct. 31, 2020USD ($) |
Merritt Island, Florida | |
Property Plant And Equipment [Line Items] | |
Purchase price | $ 14.2 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Carrying Amounts of Goodwill (Details) - USD ($) $ in Thousands | Jan. 03, 2021 | Jun. 30, 2020 |
Goodwill [Line Items] | ||
Gross Amount | $ 102,030 | $ 102,030 |
Accumulated Impairment Losses | (72,437) | (72,437) |
Total | 29,593 | 29,593 |
MasterCraft | ||
Goodwill [Line Items] | ||
Gross Amount | 29,593 | 29,593 |
Total | 29,593 | 29,593 |
NauticStar | ||
Goodwill [Line Items] | ||
Gross Amount | 36,199 | 36,199 |
Accumulated Impairment Losses | (36,199) | (36,199) |
Crest | ||
Goodwill [Line Items] | ||
Gross Amount | 36,238 | 36,238 |
Accumulated Impairment Losses | $ (36,238) | $ (36,238) |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Carrying Amount of Other Intangible Assets, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Jan. 03, 2021 | Jun. 30, 2020 | |
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Amortized intangible assets, Gross Amount | $ 39,745 | $ 39,745 |
Amortized intangible assets, Accumulated Amortization / Impairment | (11,871) | (9,896) |
Amortized intangible assets, Other intangible assets, net | 27,874 | 29,849 |
Gross Amount | 88,745 | 88,745 |
Accumulated Amortization / Impairment | (26,871) | (24,896) |
Other intangible assets, net | 61,874 | 63,849 |
Dealer network | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Amortized intangible assets, Gross Amount | 39,500 | 39,500 |
Amortized intangible assets, Accumulated Amortization / Impairment | (11,761) | (9,810) |
Amortized intangible assets, Other intangible assets, net | 27,739 | 29,690 |
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 | (110) | (86) |
Amortized intangible assets, Other intangible assets, net | 135 | 159 |
Trade names | ||
Finite Lived And Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Unamortized intangible assets, Gross Amount | 49,000 | 49,000 |
Unamortized intangible assets, Accumulated Amortization / Impairment | (15,000) | (15,000) |
Unamortized intangible assets, Other intangible assets, net | $ 34,000 | $ 34,000 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 03, 2021 | Dec. 29, 2019 | Jan. 03, 2021 | Dec. 29, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | ||||
Amortization of other intangible assets | $ 987 | $ 987 | $ 1,974 | $ 1,974 |
Estimated amortization expense June 30,2021 | $ 4,000 | $ 4,000 |
ACCRUED EXPENSES AND OTHER CU_3
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Jan. 03, 2021 | Jun. 30, 2020 |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ||
Warranty | $ 20,919 | $ 20,004 |
Dealer incentives | 9,456 | 9,180 |
Compensation and related accruals | 4,120 | 1,488 |
Inventory repurchase contingent obligation | 891 | 1,132 |
Self-insurance | 599 | $ 704 |
Debt interest | $ 226 | |
Operating Lease Liability Current Statement Of Financial Position [Extensible List] | mcft:AccruedExpensesAndOtherLiabilitiesCurrent | mcft:AccruedExpensesAndOtherLiabilitiesCurrent |
Other | $ 5,379 | $ 3,477 |
Total accrued expenses and other current liabilities | $ 41,590 | $ 35,985 |
ACCRUED EXPENSES AND OTHER CU_4
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES - Summary of Accrued Warranty Liability Activity (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jan. 03, 2021 | Dec. 29, 2019 | |
Roll forward of the accrued warranty liability | ||
Balance at the beginning of the period | $ 20,004 | $ 17,205 |
Provisions | 4,469 | 3,858 |
Payments made | (4,272) | (4,332) |
Aggregate changes for preexisting warranties | 718 | 1,764 |
Balance at the end of the period | $ 20,919 | $ 18,495 |
LONG-TERM DEBT - Schedule of Lo
LONG-TERM DEBT - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | Jan. 03, 2021 | Jun. 30, 2020 |
Long-term debt | ||
Total debt | $ 94,138 | $ 108,598 |
Less current portion of long-term debt | 10,205 | 9,420 |
Long-term debt, net of current portion | 84,399 | 99,666 |
Revolving Credit Facility | ||
Long-term debt | ||
Long-term debt | 10,000 | |
Term Loans | ||
Long-term debt | ||
Long-term debt | 95,283 | 99,993 |
Debt issuance costs on term loans | (1,145) | (1,395) |
Less current portion of debt issuance costs on term loans | $ (466) | $ (488) |
LONG-TERM DEBT - Senior Secured
LONG-TERM DEBT - Senior Secured Credit Facility - Additional Information (Details) - Fourth Amended Credit Agreement $ in Millions | Oct. 01, 2018USD ($) |
Long-term debt | |
Maximum borrowing capacity | $ 190 |
Term Loan One | |
Long-term debt | |
Loan commitment | 75 |
Term Loan Two | |
Long-term debt | |
Loan commitment | 80 |
Revolving Credit Facility | |
Long-term debt | |
Maximum borrowing capacity | $ 35 |
LONG-TERM DEBT - Amendment to F
LONG-TERM DEBT - Amendment to Fourth Amended Credit Agreement - Additional Information (Details) | Oct. 26, 2020 | May 07, 2020 | Jan. 03, 2021 |
Amendment | |||
Debt Instrument [Line Items] | |||
Variable margin rate | 0.50% | ||
Variable rate basis description | The changes effected by Amendment No. 3 include, among others, the temporary removal and replacement of the Company’s financial covenants, the addition of a 50 basis point floor on LIBOR, modifications to the range of applicable LIBOR and prime interest rate margins, and a revision of the Total Net Leverage Ratio calculation. | ||
Debt covenant description | On May 7, 2020, the Company entered into Amendment No. 3 to the Fourth Amended Credit Agreement (the “Amendment No. 3”). The changes effected by Amendment No. 3 include, among others, the temporary removal and replacement of the Company’s financial covenants, the addition of a 50 basis point floor on LIBOR, modifications to the range of applicable LIBOR and prime interest rate margins, and a revision of the Total Net Leverage Ratio calculation. Under Amendment No. 3, the Total Net Leverage Ratio covenant and Fixed Charge Coverage Ratio covenant of the Fourth Amended Credit Agreement are temporarily replaced with three separate covenants: (i) an Interest Coverage Ratio, (ii) a Minimum Liquidity threshold, and (iii) a Maximum Unfinanced Capital Expenditures limitation (the “Package of Financial Covenants”). The Package of Financial Covenants are in place through the quarter ended March 31, 2021, after which time the Total Net Leverage Ratio covenant and Fixed Charge Coverage Ratio covenant will be reinstated and the Package of Financial Covenants will sunset, and with the minimum liquidity covenant being tested on the last day of each fiscal month through May 31, 2021. In addition, the Total Net Leverage Ratio calculation was temporarily revised to include all unrestricted cash balances, without limitation, until June 30, 2021. As of January 3, 2021, the Company was in compliance with its financial covenants under Amendment No. 3 to the Fourth Amended Credit Agreement. | ||
Amendment | LIBOR | |||
Debt Instrument [Line Items] | |||
Variable margin rate | 0.50% | 2.00% | |
Amendment | LIBOR | Minimum | |||
Debt Instrument [Line Items] | |||
Variable margin rate | 1.50% | ||
Amendment | LIBOR | Maximum | |||
Debt Instrument [Line Items] | |||
Variable margin rate | 3.25% | ||
Amendment | Prime Rate | |||
Debt Instrument [Line Items] | |||
Variable margin rate | 1.00% | ||
Amendment | Prime Rate | Minimum | |||
Debt Instrument [Line Items] | |||
Variable margin rate | 0.50% | ||
Amendment | Prime Rate | Maximum | |||
Debt Instrument [Line Items] | |||
Variable margin rate | 2.25% | ||
Amendment No. 4 | |||
Debt Instrument [Line Items] | |||
Debt covenant description | On October 26, 2020, the Company entered into Amendment No. 4 and Joinder to the Fourth Amended Credit Ageement (the “Amendment No. 4”). In conjunction with the new Merritt Island Facility purchase (see Note 4), the assets were organized in a new wholly-owned subsidiary of the Company. The changes effected by Amendment No. 4 add this new subsidiary as a borrower under the Fourth Amended Credit Agreement. |
LONG-TERM DEBT - Revolving Cred
LONG-TERM DEBT - Revolving Credit Facility - Additional Information (Details) - USD ($) $ in Thousands | 1 Months Ended | 6 Months Ended | |
Oct. 31, 2020 | Jan. 03, 2021 | Oct. 01, 2018 | |
Debt Instrument [Line Items] | |||
Borrowings on revolving credit facility | $ 20,000 | ||
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Borrowings on revolving credit facility | $ 20,000 | ||
Remaining borrowing capacity | $ 35,000 | ||
Fourth Amended Credit Agreement | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 190,000 | ||
Fourth Amended Credit Agreement | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 35,000 |
INCOME TAXES - Additional Infor
INCOME TAXES - Additional Information (Details) | 3 Months Ended | 6 Months Ended | ||
Jan. 03, 2021 | Dec. 29, 2019 | Jan. 03, 2021 | Dec. 29, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rates | 22.20% | 24.40% | 22.50% | 24.20% |
Statutory income tax rate | 21.00% |
EARNINGS PER SHARE - Factors Us
EARNINGS PER SHARE - Factors Used in Net Income Per Share Computation (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 03, 2021 | Dec. 29, 2019 | Jan. 03, 2021 | Dec. 29, 2019 | |
Earnings Per Share Basic [Line Items] | ||||
Net income | $ 12,501 | $ 6,879 | $ 22,068 | $ 15,502 |
Weighted average shares — basic | 18,807,316 | 18,730,688 | 18,790,826 | 18,727,267 |
Weighted average outstanding shares — diluted | 18,928,408 | 18,770,783 | 18,897,617 | 18,770,770 |
Basic | $ 0.66 | $ 0.37 | $ 1.17 | $ 0.83 |
Diluted | $ 0.66 | $ 0.37 | $ 1.17 | $ 0.83 |
Stock options | ||||
Earnings Per Share Basic [Line Items] | ||||
Dilutive effect of assumed exercises of stock options and restricted share awards\units | 13,950 | 22,629 | 14,025 | 25,052 |
Restricted stock awards | ||||
Earnings Per Share Basic [Line Items] | ||||
Dilutive effect of assumed exercises of stock options and restricted share awards\units | 107,142 | 17,466 | 92,766 | 18,451 |
SHARE-BASED COMPENSATION - Comp
SHARE-BASED COMPENSATION - Components of Share-based Compensation Expense by Award Type (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jan. 03, 2021 | Dec. 29, 2019 | Jan. 03, 2021 | Dec. 29, 2019 | |
Stock-Based Compensation | ||||
Share-based compensation expense | $ 643 | $ 32 | $ 1,283 | $ 544 |
Restricted stock awards | ||||
Stock-Based Compensation | ||||
Share-based compensation expense | 388 | 268 | 805 | 520 |
Performance stock units | ||||
Stock-Based Compensation | ||||
Share-based compensation expense | $ 255 | $ (236) | $ 478 | 15 |
Stock options | ||||
Stock-Based Compensation | ||||
Share-based compensation expense | $ 9 |
SHARE-BASED COMPENSATION - Rest
SHARE-BASED COMPENSATION - Restricted Stock Awards - Additional Information (Details) - Restricted stock awards $ / shares in Units, $ in Millions | 6 Months Ended |
Jan. 03, 2021USD ($)$ / sharesshares | |
Stock-Based Compensation | |
Stock awards granted | 87,047 |
Weighted average grant date value | $ / shares | $ 19.96 |
Unrecognized compensation expense | $ | $ 1.9 |
Weighted average period | 1 year 10 months 24 days |
Non-executive directors, officers and certain other key employees | |
Stock-Based Compensation | |
Stock awards granted | 87,047 |
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 | 6 Months Ended |
Jan. 03, 2021$ / sharesshares | |
Nonvested Restricted Shares | |
Nonvested at beginning of period | shares | 106,894 |
Granted | shares | 87,047 |
Vested | shares | (53,670) |
Forfeited | shares | (8,673) |
Nonvested at end of period | shares | 131,598 |
Average Grant-Date Fair Value (Per share) | |
Nonvested at beginning of period | $ / shares | $ 18.01 |
Granted | $ / shares | 19.96 |
Vested | $ / shares | 18.02 |
Forfeited | $ / shares | 19.29 |
Nonvested at end of period | $ / shares | $ 19.21 |
SHARE-BASED COMPENSATION - Perf
SHARE-BASED COMPENSATION - Performance Stock Units - Additional Information (Details) - Performance stock units - USD ($) $ in Millions | Jul. 16, 2020 | Jan. 03, 2021 |
Stock-Based Compensation | ||
Unrecognized compensation expense | $ 1.9 | |
Weighted average period | 2 years | |
Executive officers and certain other key employees | ||
Stock-Based Compensation | ||
Vesting period (in years) | 3 years | |
Officers | ||
Stock-Based Compensation | ||
Vesting period (in years) | 2 years | |
Fair value capped for existing PSUs | 90.00% |
SHARE-BASED COMPENSATION - Su_2
SHARE-BASED COMPENSATION - Summary of Status of Nonvested Performance Stock Units and Changes (Details) - Performance stock units | 6 Months Ended |
Jan. 03, 2021$ / sharesshares | |
Nonvested Performance Stock Units | |
Nonvested at beginning of period | shares | 67,404 |
Granted | shares | 121,914 |
Forfeited | shares | (15,588) |
Nonvested at end of period | shares | 173,730 |
Average Grant-Date Fair Value (Per share) | |
Nonvested at beginning of period | $ / shares | $ 20.02 |
Granted | $ / shares | 19.99 |
Forfeited | $ / shares | 20.25 |
Nonvested at end of period | $ / shares | $ 19.98 |
SEGMENT INFORMATION - Additiona
SEGMENT INFORMATION - Additional Information (Details) | 6 Months Ended |
Jan. 03, 2021segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 3 |
Number of reportable segments | 3 |
SEGMENT INFORMATION - Schedule
SEGMENT INFORMATION - Schedule of Operating Information for Reportable Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jan. 03, 2021 | Dec. 29, 2019 | Jan. 03, 2021 | Dec. 29, 2019 | Jun. 30, 2020 | |
Segment Reporting Information [Line Items] | |||||
Net sales | $ 118,677 | $ 99,628 | $ 222,422 | $ 209,417 | |
Operating income (loss) | 16,945 | 10,335 | 30,349 | 23,032 | |
Depreciation and amortization | 2,861 | 2,683 | 5,599 | 5,053 | |
Purchases of property, plant and equipment | 16,951 | 7,173 | 18,903 | 11,491 | |
Total assets | 227,043 | 227,043 | $ 207,923 | ||
Eliminations | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | (163,013) | (163,013) | (163,013) | ||
MasterCraft | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 82,759 | 67,757 | 156,123 | 140,670 | |
Operating income (loss) | 14,621 | 10,600 | 27,982 | 22,807 | |
Depreciation and amortization | 1,435 | 1,158 | 2,735 | 2,177 | |
Purchases of property, plant and equipment | 16,412 | 1,631 | 18,121 | 4,365 | |
MasterCraft | Operating Segments | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | 309,090 | 309,090 | 294,139 | ||
NauticStar | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 14,949 | 15,576 | 27,291 | 33,571 | |
Operating income (loss) | (326) | (673) | (1,945) | (646) | |
Depreciation and amortization | 802 | 924 | 1,616 | 1,725 | |
Purchases of property, plant and equipment | 516 | 1,095 | 759 | 1,914 | |
NauticStar | Operating Segments | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | 40,918 | 40,918 | 36,720 | ||
Crest | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 20,969 | 16,295 | 39,008 | 35,176 | |
Operating income (loss) | 2,650 | 408 | 4,312 | 871 | |
Depreciation and amortization | 624 | 601 | 1,248 | 1,151 | |
Purchases of property, plant and equipment | 23 | $ 4,447 | 23 | $ 5,212 | |
Crest | Operating Segments | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | $ 40,048 | $ 40,048 | $ 40,077 |