MasterCraft Boat (MCFT) 10-Q 3 Feb 22 2022 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jan. 02, 2022	Jan. 28, 2022
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jan. 2, 2022
Document Fiscal Year Focus	2022
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		18,498,202
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		6 Months Ended
	Jan. 02, 2022	Jan. 03, 2021	Jan. 02, 2022	Jan. 03, 2021
Income Statement [Abstract]
NET SALES	$ 159,465	$ 118,677	$ 303,475	$ 222,422
COST OF SALES	124,267	89,404	238,155	166,919
GROSS PROFIT	35,198	29,273	65,320	55,503
OPERATING EXPENSES:
Selling and marketing	3,395	2,989	7,677	5,896
General and administrative	10,263	8,352	19,933	17,284
Amortization of other intangible assets	987	987	2,013	1,974
Goodwill impairment			1,100
Total operating expenses	14,645	12,328	30,723	25,154
OPERATING INCOME	20,553	16,945	34,597	30,349
OTHER EXPENSE:
Interest expense	357	870	739	1,889
INCOME BEFORE INCOME TAX EXPENSE	20,196	16,075	33,858	28,460
INCOME TAX EXPENSE	4,794	3,574	8,070	6,392
NET INCOME	$ 15,402	$ 12,501	$ 25,788	$ 22,068
NET INCOME PER SHARE:
Basic	$ 0.82	$ 0.66	$ 1.37	$ 1.17
Diluted	$ 0.81	$ 0.66	$ 1.36	$ 1.17
WEIGHTED AVERAGE SHARES USED FOR COMPUTATION OF:
Basic earnings per share	18,722,386	18,807,316	18,786,343	18,790,826
Diluted earnings per share	18,899,136	18,928,408	18,951,627	18,897,617

UNAUDITED CONDENSED CONSOLIDA_2

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jan. 02, 2022	Jun. 30, 2021
CURRENT ASSETS:
Cash and cash equivalents	$ 13,647	$ 39,252
Accounts receivable, net of allowance of $131 and $115, respectively	8,907	12,080
Income tax receivable	545	355
Inventories, net (Note 3)	78,382	53,481
Prepaid expenses and other current assets	3,870	5,059
Total current assets	105,351	110,227
Property, plant and equipment, net	62,737	60,495
Goodwill (Note 4)	28,493	29,593
Other intangible assets, net (Note 4)	57,886	59,899
Deferred income taxes	15,429	15,130
Deferred debt issuance costs, net	456	507
Other long-term assets	538	609
Total assets	270,890	276,460
CURRENT LIABILITIES:
Accounts payable	18,292	23,861
Income tax payable	177	726
Accrued expenses and other current liabilities (Note 5)	49,677	46,836
Current portion of long-term debt, net of unamortized debt issuance costs (Note 7)	2,870	2,866
Total current liabilities	71,016	74,289
Long-term debt, net of unamortized debt issuance costs (Note 7)	70,841	90,277
Unrecognized tax positions	4,749	3,830
Other long-term liabilities	218	276
Total liabilities	146,824	168,672
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Common stock, $.01 par value per share — authorized, 100,000,000 shares; issued and outstanding, 18,610,822 shares at January 2, 2022 and 18,956,719 shares at June 30, 2021	186	189
Additional paid-in capital	109,423	118,930
Retained earnings / (accumulated deficit)	14,457	(11,331)
Total stockholders' equity	124,066	107,788
Total liabilities and stockholders' equity	$ 270,890	$ 276,460

UNAUDITED CONDENSED CONSOLIDA_3

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jan. 02, 2022	Jun. 30, 2021
Statement Of Financial Position [Abstract]
Allowance for doubtful accounts	$ 131	$ 115
Common stock, par value	$ 0.01	$ 0.01
Common stock, authorized shares	100,000,000	100,000,000
Common stock, issued shares	18,610,822	18,956,719
Common stock, outstanding shares	18,610,822	18,956,719

UNAUDITED CONDENSED CONSOLIDA_4

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Retained Earnings/(Accumulated Deficit)
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	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	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	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
Balance, beginning at Jun. 30, 2021	107,788	$ 189	118,930	(11,331)
Balance, beginning (in shares) at Jun. 30, 2021		18,956,719
Share-based compensation activity	706	$ 1	705
Share-based compensation activity (shares)		62,865
Repurchase and retirement of common stock	(1,487)	$ (1)	(1,486)
Repurchase and retirement of common stock (shares)		(58,379)
Net income	10,386			10,386
Balance, ending at Oct. 03, 2021	117,393	$ 189	118,149	(945)
Balance, ending (in shares) at Oct. 03, 2021		18,961,205
Balance, beginning at Jun. 30, 2021	107,788	$ 189	118,930	(11,331)
Balance, beginning (in shares) at Jun. 30, 2021		18,956,719
Repurchase and retirement of common stock (shares)		(414,675)
Net income	25,788
Balance, ending at Jan. 02, 2022	124,066	$ 186	109,423	14,457
Balance, ending (in shares) at Jan. 02, 2022		18,610,822
Balance, beginning at Oct. 03, 2021	117,393	$ 189	118,149	(945)
Balance, beginning (in shares) at Oct. 03, 2021		18,961,205
Share-based compensation activity	1,159		1,159
Share-based compensation activity (shares)		5,913
Repurchase and retirement of common stock	(9,888)	$ (3)	(9,885)
Repurchase and retirement of common stock (shares)		(356,296)
Net income	15,402			15,402
Balance, ending at Jan. 02, 2022	$ 124,066	$ 186	$ 109,423	$ 14,457
Balance, ending (in shares) at Jan. 02, 2022		18,610,822

UNAUDITED CONDENSED CONSOLIDA_5

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jan. 02, 2022	Jan. 03, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 25,788	$ 22,068
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	6,595	5,599
Share-based compensation	2,104	1,283
Unrecognized tax benefits	919	865
Amortization of debt issuance costs	119	316
Goodwill impairment	1,100
Changes in certain operating assets and liabilities	(24,484)	(740)
Other, net	83	764
Net cash provided by operating activities	12,224	30,155
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	(6,715)	(18,903)
Net cash used in investing activities	(6,715)	(18,903)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments on revolving credit facility	(30,000)	(30,000)
Borrowings on revolving credit facility	12,000	20,000
Principal payments on long-term debt	(1,500)	(4,710)
Repurchase and retirement of common stock	(11,375)
Other, net	(239)	(787)
Net cash used in financing activities	(31,114)	(15,497)
NET CHANGE IN CASH AND CASH EQUIVALENTS	(25,605)	(4,245)
CASH AND CASH EQUIVALENTS — BEGINNING OF PERIOD	39,252	16,319
CASH AND CASH EQUIVALENTS — END OF PERIOD	13,647	12,074
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash payments for interest	600	1,348
Cash payments for income taxes	9,002	5,132
SIGNIFICANT NON-CASH INVESTING AND FINANCING ACTIVITIES:
Capital expenditures in accounts payable and accrued expenses	$ 393	$ 594

ORGANIZATION, BASIS OF PRESENTA

ORGANIZATION, BASIS OF PRESENTATION, AND SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jan. 02, 2022
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.; Aviara Boats, LLC; Nautic Star, LLC; NS Transport, LLC; and Crest Marine, LLC. 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, 2021 and, in the opinion of management, reflect all adjustments considered necessary to present fairly the Company’s financial position as of January 2, 2022, its results of operations for the three and six months ended January 2, 2022 and January 3, 2021, its cash flows for the six months ended January 2, 2022 and January 3, 2021, and its statements of stockholders’ equity for the three and six months ended January 2, 2022 and January 3, 2021. 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, 2021 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 2021 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 six months ended January 2, 2022 as compared with those described in the Company’s audited consolidated financial statements for the fiscal year ended June 30, 2021. Change in Reportable Segments — Beginning with the first quarter of fiscal 2022, our chief operating decision maker (“CODM”) began to manage our business, allocate resources, and evaluate performance based on the changes that have been made in the Company’s management structure in connection with the transition of Aviara production to our Merritt Island facility. As a result, the Company has realigned its reportable segments to MasterCraft, Crest, NauticStar, and Aviara. The Company has recast segment information for all prior periods presented. Refer to Note 11 – Segment Information for further information on the Company’s reportable segments. Reclassifications — Certain historical amounts have been reclassified in these notes to the condensed consolidated financial statements to conform to the current presentation. Recently Adopted Accounting Standards Income Taxes — In December 2019, the Financial Accounting Standards Board (the “FASB”) issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. ASU 2019-12 simplifies the accounting for income taxes by removing certain exceptions to general principles in Income Taxes (Topic 740). It also clarifies and amends existing guidance to improve consistent application. The guidance is effective for fiscal years beginning after December 15, 2020. The adoption of this standard did not have an impact on the Company’s consolidated financial statements. Reference Rate Reform — In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. ASU 2020-04 provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions, subject to meeting certain criteria, that reference London Interbank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued because of reference rate reform. An entity may apply ASU 2020-04 as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020 through December 31, 2022. The adoption of this standard did not have an impact on the Company’s consolidated financial statements.

REVENUE RECOGNITION

REVENUE RECOGNITION	6 Months Ended
	Jan. 02, 2022
Revenue From Contract With Customer [Abstract]
REVENUE RECOGNITION	2 . REVENUE RECOGNITION Consistent with the Company’s change in reportable segments described in Note 11—Segment Information, the Company has changed its presentation of disaggregated revenue to align with the new segment structure. The following tables present the Company’s revenue by major product category for each reportable segment. Three Months Ended January 2, 2022 MasterCraft Crest NauticStar Aviara Total Major Product Categories: Boats and trailers $ 104,464 $ 29,368 $ 15,000 $ 7,909 $ 156,741 Parts 2,055 151 60 — 2,266 Other revenue 254 199 5 — 458 Total $ 106,773 $ 29,718 $ 15,065 $ 7,909 $ 159,465 Six Months Ended January 2, 2022 MasterCraft Crest NauticStar Aviara Total Major Product Categories: Boats and trailers $ 192,392 $ 61,737 $ 28,236 $ 13,764 $ 296,129 Parts 5,883 387 180 — 6,450 Other revenue 513 374 9 — 896 Total $ 198,788 $ 62,498 $ 28,425 $ 13,764 $ 303,475 Three Months Ended January 3, 2021 MasterCraft Crest NauticStar Aviara Total Major Product Categories: Boats and trailers $ 77,558 $ 20,757 $ 14,857 $ 3,248 $ 116,420 Parts 1,726 138 87 — 1,951 Other revenue 227 74 5 — 306 Total $ 79,511 $ 20,969 $ 14,949 $ 3,248 $ 118,677 Six Months Ended January 3, 2021 MasterCraft Crest NauticStar Aviara Total Major Product Categories: Boats and trailers $ 142,367 $ 38,368 $ 27,073 $ 7,021 $ 214,829 Parts 6,271 529 211 — 7,011 Other revenue 464 111 7 — 582 Total $ 149,102 $ 39,008 $ 27,291 $ 7,021 $ 222,422 Contract Liabilities As of June 30, 2021, the Company had $1.8 million of contract liabilities associated with customer deposits. During the six months ended January 2, 2022, $1.6 million of this amount was recognized as revenue. As of January 2, 2022, total contract liabilities associated with customer deposits were $4.8 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 ending June 30, 2022.

INVENTORIES

INVENTORIES	6 Months Ended
	Jan. 02, 2022
Inventory Disclosure [Abstract]
INVENTORIES	3 . INVENTORIES Inventories consisted of the following: January 2, June 30, 2022 2021 Raw materials and supplies $ 56,795 $ 37,089 Work in process 17,404 10,171 Finished goods 6,134 8,362 Obsolescence reserve (1,951 ) (2,141 ) Total inventories $ 78,382 $ 53,481 Raw materials and supplies have increased to support higher production volumes and to increase safety stock to manage supply chain risk. Work in process has increased due to supply chain disruptions.

GOODWILL AND OTHER INTANGIBLE A

GOODWILL AND OTHER INTANGIBLE ASSETS	6 Months Ended
	Jan. 02, 2022
Goodwill And Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLE ASSETS	4. GOODWILL AND OTHER INTANGIBLE ASSETS Beginning with the first quarter of fiscal 2022, the Company realigned its reportable segments to MasterCraft, Crest, NauticStar, and Aviara. Refer to Note 11 – Segment Information for further information on the Company’s reportable segments. As a result of the change in segments, in accordance with ASC 350, Intangibles-Goodwill and Other Prior to realigning our segments, we evaluated our goodwill for impairment and determined no impairment existed as the fair value of our MasterCraft reporting unit, which was the only reporting unit containing goodwill, was in excess of its carrying amount. In conjunction with the reallocation of goodwill, we tested the goodwill at our MasterCraft and Aviara reporting units for impairment using an income-based approach, specifically a discounted cash flow model. The cash flow model included significant judgements and assumptions related to revenue growth and discount rates. At the time of the impairment test, near-term operating losses generated by start-up inefficiencies had negatively impacted the fair value of Aviara, causing the carrying value of the reporting unit to be in excess of the fair value. Consequently, a $1.1 million impairment charge was recognized in the first quarter of fiscal 2022. The carrying amounts of goodwill attributable to each of the Company’s reportable segments, were as follows: MasterCraft Crest NauticStar Aviara Total Balance at June 30, 2021 Goodwill $ 29,593 $ 36,238 $ 36,199 $ — $ 102,030 Accumulated impairment losses — (36,238 ) (36,199 ) — (72,437 ) Goodwill, net at June 30, 2021 29,593 — — — 29,593 Goodwill reallocation (1,100 ) — — 1,100 — Impairment — — — (1,100 ) (1,100 ) Goodwill, net at January 2, 2022 $ 28,493 $ — $ — $ — $ 28,493 The following table presents the carrying amount of Other intangible assets, net: January 2, June 30, 2022 2021 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 $ (15,700 ) $ 23,800 $ 39,500 $ (13,711 ) $ 25,789 Software 245 (159 ) 86 245 (135 ) 110 39,745 (15,859 ) 23,886 39,745 (13,846 ) 25,899 Unamortized intangible assets Trade names 49,000 (15,000 ) 34,000 49,000 (15,000 ) 34,000 Total other intangible assets $ 88,745 $ (30,859 ) $ 57,886 $ 88,745 $ (28,846 ) $ 59,899 Amortization expense related to Other intangible assets, net for both the three and six months ended January 2, 2022 and January 3, 2021 was $1.0 million and $2.0 million, respectively. Estimated amortization expense for the fiscal year ending June 30, 2022 is $4.0 million.

ACCRUED EXPENSES AND OTHER CURR

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES	6 Months Ended
	Jan. 02, 2022
Accrued Liabilities And Other Liabilities [Abstract]
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES	5 . ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES Accrued expenses and other current liabilities consisted of the following: January 2, June 30, 2022 2021 Warranty $ 24,100 $ 22,329 Dealer incentives 9,986 10,634 Contract liabilities 4,839 1,848 Compensation and related accruals 4,493 6,046 Freight 669 778 Self-insurance 1,005 865 Inventory repurchase contingent obligation 1,027 471 Other 3,558 3,865 Total accrued expenses and other current liabilities $ 49,677 $ 46,836 Accrued warranty liability activity was as follows for the six months ended: January 2, January 3, 2022 2021 Balance at the beginning of the period $ 22,329 $ 20,004 Provisions 5,646 4,469 Payments made (4,969 ) (4,272 ) Aggregate changes for preexisting warranties 1,094 718 Balance at the end of the period $ 24,100 $ 20,919

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jan. 02, 2022
Commitments And Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	6. COMMITMENTS AND CONTINGENCIES Purchase Commitments In October 2021, we signed a new supplier agreement to purchase marine outboard engines during fiscal 2022. During the term of the agreement, we committed to purchasing a minimum annual gross dollar value of $27.0 million in engines. 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. As of January 2, 2022, 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 the aggregate, and after considering expected insurance reimbursements, 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	6 Months Ended
	Jan. 02, 2022
Debt Disclosure [Abstract]
LONG-TERM DEBT	7. LONG-TERM DEBT Long-term debt is as follows: January 2, June 30, 2022 2021 Revolving credit facility $ 15,728 $ 33,728 Term loans 58,500 60,000 Debt issuance costs on term loans (517 ) (585 ) Total debt 73,711 93,143 Less current portion of long-term debt 3,000 3,000 Less current portion of debt issuance costs on term loans (130 ) (134 ) Long-term debt, net of current portion $ 70,841 $ 90,277 On June 28, 2021, the Company entered into a credit agreement with a syndicate of certain financial institutions (the “Credit Agreement”). The Credit Agreement 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 refinanced and replaced the previously existing credit agreement. 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. The Credit Agreement 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 LIBOR 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 the three and six months ended January 2, 2022, the applicable margin for loans accruing at the prime rate was 0.25% and the applicable margin for loans accruing interest at LIBOR was 1.25%. As of January 2, 2022, the interest rate on the Company’s term loan and revolving credit facility was 1.38%. The Credit Agreement will mature and all remaining amounts outstanding thereunder will be due and payable on June 28, 2026. As of January 2, 2022, the Company was in compliance with its financial covenants under the Credit Agreement. Revolving Credit Facility As of January 2, 2022, the Company had $15.7 million of borrowings outstanding on its Revolving Credit Facility and had remaining availability of $84.3 million.

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jan. 02, 2022
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 2, 2022 and January 3, 2021, the Company’s effective tax rate was 23.7% and 22.2%, respectively. During the six months ended January 2, 2022 and January 3, 2021, the Company’s effective tax rate was 23.8% and 22.5%, respectively. The Company’s effective tax rate for the three and six months ended January 2, 2022 is higher compared to the effective tax rate for th e three and six months ended January 3, 2021 , primarily due to an increase in the effective state tax rate, an increase in the tax impact of uncertain state tax positions and a reduction in the benefit of federal and state tax credits, partially offset by an increase in the Company’s net permanent benefits, largely driven by changes in foreign derived intangible income due to an increase in forecasted foreign taxable income, sales and gross margin.

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	6 Months Ended
	Jan. 02, 2022
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
SHARE-BASED COMPENSATION	9 . SHARE-BASED COMPENSATION The following table presents the components of share-based compensation expense by award type. Three Months Ended Six Months Ended January 2, January 3, January 2, January 3, 2022 2021 2022 2021 Restricted stock awards $ 518 $ 388 $ 985 $ 805 Performance stock units 690 255 1,119 478 Share-based compensation expense $ 1,208 $ 643 $ 2,104 $ 1,283 Restricted Stock Awards During the six months ended January 2, 2022, the Company granted 74,961 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 2, 2022, 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 2, 2022, was $26.14 per share. The following table summarizes the status of nonvested RSAs as of January 2, 2022, and changes during the six months then ended. Average Nonvested Grant-Date Restricted Fair Value Shares (per share) Nonvested at June 30, 2021 118,193 $ 19.42 Granted 74,961 26.14 Vested (58,086 ) 19.16 Forfeited (2,660 ) 26.01 Nonvested at January 2, 2022 132,408 23.22 As of January 2, 2022, there was $2.3 million of total unrecognized compensation expense related to nonvested RSAs. The Company expects this expense to be recognized over a weighted average period of 1.8 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 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 January 2, 2022, and changes during the six months then ended. Average Nonvested Grant-Date Performance Fair Value Stock Units (per share) Nonvested at June 30, 2021 160,285 $ 21.03 Granted 53,842 28.73 Forfeited (2,177 ) 28.71 Nonvested at January 2, 2022 211,950 22.91 As of January 2, 2022, there was $2.9 million of total unrecognized compensation expense related to nonvested PSUs. The Company expects this expense to be recognized over a weighted average period of 1.9 years.

EARNINGS PER SHARE AND COMMON S

EARNINGS PER SHARE AND COMMON STOCK	6 Months Ended
	Jan. 02, 2022
Equity [Abstract]
EARNINGS PER SHARE AND COMMON STOCK	10 . EARNINGS PER SHARE AND COMMON STOCK The following table sets forth the computation of the Company’s net income per share: Three Months Ended Six Months Ended January 2, January 3, January 2, January 3, 2022 2021 2022 2021 Net income $ 15,402 $ 12,501 $ 25,788 $ 22,068 Weighted average shares — basic 18,722,386 18,807,316 18,786,343 18,790,826 Dilutive effect of assumed exercises of stock options 12,994 13,950 13,618 14,025 Dilutive effect of assumed restricted share awards/units 163,756 107,142 151,666 92,766 Weighted average outstanding shares — diluted 18,899,136 18,928,408 18,951,627 18,897,617 Basic net income per share $ 0.82 $ 0.66 $ 1.37 $ 1.17 Diluted net income per share $ 0.81 $ 0.66 $ 1.36 $ 1.17 For the three and six months ended January 2, 2022 and January 3, 2021, an immaterial number of shares were excluded from the computation of diluted earnings per share as the effect would have been anti-dilutive. Stock Repurchase Program On June 24, 2021, the board of directors of the Company authorized a stock repurchase program that allows for the repurchase of up to $50.0 million of our common stock during the three-year period ending June 24, 2024. During the three months ended January 2, 2022, the Company repurchased 356,296 shares of common stock for $9.9 million in cash, including related fees and expenses. During the six months ended January 2, 2022, the Company repurchased 414,675 shares of common stock for $11.4 million in cash, including related fees and expenses. As of January 2, 2022, $38.6 million remained available under the program.

SEGMENT INFORMATION

SEGMENT INFORMATION	6 Months Ended
	Jan. 02, 2022
Segment Reporting [Abstract]
SEGMENT INFORMATION	11. SEGMENT INFORMATION Change in Reportable Segments Beginning with the first quarter of fiscal 2022 and as discussed in Note 1, our CODM began to manage our business, allocate resources, and evaluate performance based on the reportable segments of MasterCraft, Crest, NauticStar, and Aviara. 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 six months ended January 2, 2022, the Company’s CODM regularly assessed the operating performance of the Company’s boat brands under four 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’s boats are primarily used for general recreational boating. • The NauticStar segment produces boats at its Amory, Mississippi facility. NauticStar’s boats are primarily used for saltwater fishing and 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. Beginning in fiscal 2022, the CODM has begun to assess Aviara’s performance on a stand-alone basis using criteria consistent with our other operating and reportable segments. 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, including using measures of performance based operating income. 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 2, 2022 MasterCraft Crest NauticStar Aviara Consolidated Net sales $ 106,773 $ 29,718 $ 15,065 $ 7,909 $ 159,465 Operating income (loss) 21,302 4,637 (3,066 ) (2,320 ) 20,553 Depreciation and amortization 1,226 647 877 491 3,241 Purchases of property, plant and equipment 1,468 673 702 254 3,097 For the Six Months Ended January 2, 2022 MasterCraft Crest NauticStar Aviara Consolidated Net sales $ 198,788 $ 62,498 $ 28,425 $ 13,764 $ 303,475 Operating income (loss) 37,482 8,436 (5,402 ) (5,919 ) 34,597 Depreciation and amortization 2,514 1,341 1,772 968 6,595 Goodwill impairment — — — 1,100 1,100 Purchases of property, plant and equipment 3,532 1,044 1,770 369 6,715 For the Three Months Ended January 3, 2021 MasterCraft Crest NauticStar Aviara Consolidated Net sales $ 79,511 $ 20,969 $ 14,949 $ 3,248 $ 118,677 Operating income (loss) 16,660 2,650 (326 ) (2,039 ) 16,945 Depreciation and amortization 1,116 624 802 319 2,861 Purchases of property, plant and equipment 1,063 23 516 15,349 16,951 For the Six Months Ended January 3, 2021 MasterCraft Crest NauticStar Aviara Consolidated Net sales $ 149,102 $ 39,008 $ 27,291 $ 7,021 $ 222,422 Operating income (loss) 31,027 4,312 (1,945 ) (3,045 ) 30,349 Depreciation and amortization 2,210 1,248 1,616 525 5,599 Purchases of property, plant and equipment 2,699 23 759 15,422 18,903 The following table presents total assets for the Company’s reportable segments. January 2, 2022 June 30, 2021 Assets: MasterCraft $ 136,693 $ 158,610 Crest 46,089 42,204 NauticStar 55,357 44,181 Aviara 32,751 31,465 Total assets $ 270,890 $ 276,460

ORGANIZATION, BASIS OF PRESEN_2

ORGANIZATION, BASIS OF PRESENTATION, AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jan. 02, 2022
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.; Aviara Boats, LLC; Nautic Star, LLC; NS Transport, LLC; and Crest Marine, LLC. 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, 2021 and, in the opinion of management, reflect all adjustments considered necessary to present fairly the Company’s financial position as of January 2, 2022, its results of operations for the three and six months ended January 2, 2022 and January 3, 2021, its cash flows for the six months ended January 2, 2022 and January 3, 2021, and its statements of stockholders’ equity for the three and six months ended January 2, 2022 and January 3, 2021. 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, 2021 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 2021 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 six months ended January 2, 2022 as compared with those described in the Company’s audited consolidated financial statements for the fiscal year ended June 30, 2021.
Change in Reportable Segments	Change in Reportable Segments — Beginning with the first quarter of fiscal 2022, our chief operating decision maker (“CODM”) began to manage our business, allocate resources, and evaluate performance based on the changes that have been made in the Company’s management structure in connection with the transition of Aviara production to our Merritt Island facility. As a result, the Company has realigned its reportable segments to MasterCraft, Crest, NauticStar, and Aviara. The Company has recast segment information for all prior periods presented. Refer to Note 11 – Segment Information for further information on the Company’s reportable segments.
Reclassifications	Reclassifications — Certain historical amounts have been reclassified in these notes to the condensed consolidated financial statements to conform to the current presentation.
New Accounting Pronouncements Issued, Adopted and Not Yet Adopted	Recently Adopted Accounting Standards Income Taxes — In December 2019, the Financial Accounting Standards Board (the “FASB”) issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. ASU 2019-12 simplifies the accounting for income taxes by removing certain exceptions to general principles in Income Taxes (Topic 740). It also clarifies and amends existing guidance to improve consistent application. The guidance is effective for fiscal years beginning after December 15, 2020. The adoption of this standard did not have an impact on the Company’s consolidated financial statements. Reference Rate Reform — In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. ASU 2020-04 provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions, subject to meeting certain criteria, that reference London Interbank Offered Rate (“LIBOR”) or another reference rate expected to be discontinued because of reference rate reform. An entity may apply ASU 2020-04 as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020 through December 31, 2022. The adoption of this standard did not have an impact on the Company’s consolidated financial statements.

REVENUE RECOGNITION (Tables)

REVENUE RECOGNITION (Tables)	6 Months Ended
	Jan. 02, 2022
Revenue From Contract With Customer [Abstract]
Summary of Revenues from Contracts with Customers by Major Product Category and Reportable Segment	Consistent with the Company’s change in reportable segments described in Note 11—Segment Information, the Company has changed its presentation of disaggregated revenue to align with the new segment structure. The following tables present the Company’s revenue by major product category for each reportable segment. Three Months Ended January 2, 2022 MasterCraft Crest NauticStar Aviara Total Major Product Categories: Boats and trailers $ 104,464 $ 29,368 $ 15,000 $ 7,909 $ 156,741 Parts 2,055 151 60 — 2,266 Other revenue 254 199 5 — 458 Total $ 106,773 $ 29,718 $ 15,065 $ 7,909 $ 159,465 Six Months Ended January 2, 2022 MasterCraft Crest NauticStar Aviara Total Major Product Categories: Boats and trailers $ 192,392 $ 61,737 $ 28,236 $ 13,764 $ 296,129 Parts 5,883 387 180 — 6,450 Other revenue 513 374 9 — 896 Total $ 198,788 $ 62,498 $ 28,425 $ 13,764 $ 303,475 Three Months Ended January 3, 2021 MasterCraft Crest NauticStar Aviara Total Major Product Categories: Boats and trailers $ 77,558 $ 20,757 $ 14,857 $ 3,248 $ 116,420 Parts 1,726 138 87 — 1,951 Other revenue 227 74 5 — 306 Total $ 79,511 $ 20,969 $ 14,949 $ 3,248 $ 118,677 Six Months Ended January 3, 2021 MasterCraft Crest NauticStar Aviara Total Major Product Categories: Boats and trailers $ 142,367 $ 38,368 $ 27,073 $ 7,021 $ 214,829 Parts 6,271 529 211 — 7,011 Other revenue 464 111 7 — 582 Total $ 149,102 $ 39,008 $ 27,291 $ 7,021 $ 222,422

INVENTORIES (Tables)

INVENTORIES (Tables)	6 Months Ended
	Jan. 02, 2022
Inventory Disclosure [Abstract]
Schedule of Inventories	Inventories consisted of the following: January 2, June 30, 2022 2021 Raw materials and supplies $ 56,795 $ 37,089 Work in process 17,404 10,171 Finished goods 6,134 8,362 Obsolescence reserve (1,951 ) (2,141 ) Total inventories $ 78,382 $ 53,481

GOODWILL AND OTHER INTANGIBLE_2

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	6 Months Ended
	Jan. 02, 2022
Goodwill And Intangible Assets Disclosure [Abstract]
Schedule of Carrying Amounts of Goodwill	The carrying amounts of goodwill attributable to each of the Company’s reportable segments, were as follows: MasterCraft Crest NauticStar Aviara Total Balance at June 30, 2021 Goodwill $ 29,593 $ 36,238 $ 36,199 $ — $ 102,030 Accumulated impairment losses — (36,238 ) (36,199 ) — (72,437 ) Goodwill, net at June 30, 2021 29,593 — — — 29,593 Goodwill reallocation (1,100 ) — — 1,100 — Impairment — — — (1,100 ) (1,100 ) Goodwill, net at January 2, 2022 $ 28,493 $ — $ — $ — $ 28,493
Schedule of Carrying Amount of Other Intangible Assets, Net	The following table presents the carrying amount of Other intangible assets, net: January 2, June 30, 2022 2021 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 $ (15,700 ) $ 23,800 $ 39,500 $ (13,711 ) $ 25,789 Software 245 (159 ) 86 245 (135 ) 110 39,745 (15,859 ) 23,886 39,745 (13,846 ) 25,899 Unamortized intangible assets Trade names 49,000 (15,000 ) 34,000 49,000 (15,000 ) 34,000 Total other intangible assets $ 88,745 $ (30,859 ) $ 57,886 $ 88,745 $ (28,846 ) $ 59,899

ACCRUED EXPENSES AND OTHER CU_2

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)	6 Months Ended
	Jan. 02, 2022
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 2, June 30, 2022 2021 Warranty $ 24,100 $ 22,329 Dealer incentives 9,986 10,634 Contract liabilities 4,839 1,848 Compensation and related accruals 4,493 6,046 Freight 669 778 Self-insurance 1,005 865 Inventory repurchase contingent obligation 1,027 471 Other 3,558 3,865 Total accrued expenses and other current liabilities $ 49,677 $ 46,836
Summary of Accrued Warranty Liability Activity	Accrued warranty liability activity was as follows for the six months ended: January 2, January 3, 2022 2021 Balance at the beginning of the period $ 22,329 $ 20,004 Provisions 5,646 4,469 Payments made (4,969 ) (4,272 ) Aggregate changes for preexisting warranties 1,094 718 Balance at the end of the period $ 24,100 $ 20,919

LONG-TERM DEBT (Tables)

LONG-TERM DEBT (Tables)	6 Months Ended
	Jan. 02, 2022
Debt Disclosure [Abstract]
Schedule of Long-Term Debt	Long-term debt is as follows: January 2, June 30, 2022 2021 Revolving credit facility $ 15,728 $ 33,728 Term loans 58,500 60,000 Debt issuance costs on term loans (517 ) (585 ) Total debt 73,711 93,143 Less current portion of long-term debt 3,000 3,000 Less current portion of debt issuance costs on term loans (130 ) (134 ) Long-term debt, net of current portion $ 70,841 $ 90,277

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	6 Months Ended
	Jan. 02, 2022
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 2, January 3, January 2, January 3, 2022 2021 2022 2021 Restricted stock awards $ 518 $ 388 $ 985 $ 805 Performance stock units 690 255 1,119 478 Share-based compensation expense $ 1,208 $ 643 $ 2,104 $ 1,283
Summary of Status of Nonvested Restricted Stock Awards and Changes	The following table summarizes the status of nonvested RSAs as of January 2, 2022, and changes during the six months then ended. Average Nonvested Grant-Date Restricted Fair Value Shares (per share) Nonvested at June 30, 2021 118,193 $ 19.42 Granted 74,961 26.14 Vested (58,086 ) 19.16 Forfeited (2,660 ) 26.01 Nonvested at January 2, 2022 132,408 23.22
Summary of Status of Nonvested Performance Stock Units and Changes	The following table summarizes the status of nonvested PSUs as of January 2, 2022, and changes during the six months then ended. Average Nonvested Grant-Date Performance Fair Value Stock Units (per share) Nonvested at June 30, 2021 160,285 $ 21.03 Granted 53,842 28.73 Forfeited (2,177 ) 28.71 Nonvested at January 2, 2022 211,950 22.91

EARNINGS PER SHARE AND COMMON_2

EARNINGS PER SHARE AND COMMON STOCK (Tables)	6 Months Ended
	Jan. 02, 2022
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 Six Months Ended January 2, January 3, January 2, January 3, 2022 2021 2022 2021 Net income $ 15,402 $ 12,501 $ 25,788 $ 22,068 Weighted average shares — basic 18,722,386 18,807,316 18,786,343 18,790,826 Dilutive effect of assumed exercises of stock options 12,994 13,950 13,618 14,025 Dilutive effect of assumed restricted share awards/units 163,756 107,142 151,666 92,766 Weighted average outstanding shares — diluted 18,899,136 18,928,408 18,951,627 18,897,617 Basic net income per share $ 0.82 $ 0.66 $ 1.37 $ 1.17 Diluted net income per share $ 0.81 $ 0.66 $ 1.36 $ 1.17

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	6 Months Ended
	Jan. 02, 2022
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 2, 2022 MasterCraft Crest NauticStar Aviara Consolidated Net sales $ 106,773 $ 29,718 $ 15,065 $ 7,909 $ 159,465 Operating income (loss) 21,302 4,637 (3,066 ) (2,320 ) 20,553 Depreciation and amortization 1,226 647 877 491 3,241 Purchases of property, plant and equipment 1,468 673 702 254 3,097 For the Six Months Ended January 2, 2022 MasterCraft Crest NauticStar Aviara Consolidated Net sales $ 198,788 $ 62,498 $ 28,425 $ 13,764 $ 303,475 Operating income (loss) 37,482 8,436 (5,402 ) (5,919 ) 34,597 Depreciation and amortization 2,514 1,341 1,772 968 6,595 Goodwill impairment — — — 1,100 1,100 Purchases of property, plant and equipment 3,532 1,044 1,770 369 6,715 For the Three Months Ended January 3, 2021 MasterCraft Crest NauticStar Aviara Consolidated Net sales $ 79,511 $ 20,969 $ 14,949 $ 3,248 $ 118,677 Operating income (loss) 16,660 2,650 (326 ) (2,039 ) 16,945 Depreciation and amortization 1,116 624 802 319 2,861 Purchases of property, plant and equipment 1,063 23 516 15,349 16,951 For the Six Months Ended January 3, 2021 MasterCraft Crest NauticStar Aviara Consolidated Net sales $ 149,102 $ 39,008 $ 27,291 $ 7,021 $ 222,422 Operating income (loss) 31,027 4,312 (1,945 ) (3,045 ) 30,349 Depreciation and amortization 2,210 1,248 1,616 525 5,599 Purchases of property, plant and equipment 2,699 23 759 15,422 18,903 The following table presents total assets for the Company’s reportable segments. January 2, 2022 June 30, 2021 Assets: MasterCraft $ 136,693 $ 158,610 Crest 46,089 42,204 NauticStar 55,357 44,181 Aviara 32,751 31,465 Total assets $ 270,890 $ 276,460

ORGANIZATION, BASIS OF PRESEN_3

ORGANIZATION, BASIS OF PRESENTATION, AND SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details) - ASU 2019-12	Jan. 02, 2022
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	Dec. 15, 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. 02, 2022	Jan. 03, 2021	Jan. 02, 2022	Jan. 03, 2021
Revenue by Categories
Revenue	$ 159,465	$ 118,677	$ 303,475	$ 222,422
MasterCraft
Revenue by Categories
Revenue	106,773	79,511	198,788	149,102
Crest
Revenue by Categories
Revenue	29,718	20,969	62,498	39,008
NauticStar
Revenue by Categories
Revenue	15,065	14,949	28,425	27,291
Aviara
Revenue by Categories
Revenue	7,909	3,248	13,764	7,021
Boats and trailers
Revenue by Categories
Revenue	156,741	116,420	296,129	214,829
Boats and trailers | MasterCraft
Revenue by Categories
Revenue	104,464	77,558	192,392	142,367
Boats and trailers | Crest
Revenue by Categories
Revenue	29,368	20,757	61,737	38,368
Boats and trailers | NauticStar
Revenue by Categories
Revenue	15,000	14,857	28,236	27,073
Boats and trailers | Aviara
Revenue by Categories
Revenue	7,909	3,248	13,764	7,021
Parts
Revenue by Categories
Revenue	2,266	1,951	6,450	7,011
Parts | MasterCraft
Revenue by Categories
Revenue	2,055	1,726	5,883	6,271
Parts | Crest
Revenue by Categories
Revenue	151	138	387	529
Parts | NauticStar
Revenue by Categories
Revenue	60	87	180	211
Other
Revenue by Categories
Revenue	458	306	896	582
Other | MasterCraft
Revenue by Categories
Revenue	254	227	513	464
Other | Crest
Revenue by Categories
Revenue	199	74	374	111
Other | NauticStar
Revenue by Categories
Revenue	$ 5	$ 5	$ 9	$ 7

REVENUE RECOGNITION - Additiona

REVENUE RECOGNITION - Additional Information (Details) - USD ($) $ in Thousands	6 Months Ended
	Jan. 02, 2022	Jun. 30, 2021
Contract liabilities
Customer contract liabilities	$ 4,839	$ 1,848
Contract liabilities with customer, revenue recognized during the period	1,600
Accrued Expenses and Other Current Liabilities
Contract liabilities
Customer contract liabilities	$ 4,800

INVENTORIES - Schedule of Inven

INVENTORIES - Schedule of Inventories (Details) - USD ($) $ in Thousands	Jan. 02, 2022	Jun. 30, 2021
Inventory Disclosure [Abstract]
Raw materials and supplies	$ 56,795	$ 37,089
Work in process	17,404	10,171
Finished goods	6,134	8,362
Obsolescence reserve	(1,951)	(2,141)
Total inventories	$ 78,382	$ 53,481

GOODWILL AND OTHER INTANGIBLE_3

GOODWILL AND OTHER INTANGIBLE ASSETS - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jan. 02, 2022	Oct. 03, 2021	Jan. 03, 2021	Jan. 02, 2022	Jan. 03, 2021
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill impairment		$ 1,100		$ 1,100
Amortization of other intangible assets	$ 987		$ 987	2,013	$ 1,974
Estimated amortization expense June 30, 2022	$ 4,000			$ 4,000

GOODWILL AND OTHER INTANGIBLE_4

GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Carrying Amounts of Goodwill (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Oct. 03, 2021	Jan. 02, 2022	Jun. 30, 2021
Goodwill [Line Items]
Goodwill			$ 102,030
Accumulated impairment losses			(72,437)
Impairment	$ (1,100)	$ (1,100)
Goodwill, net		28,493	29,593
MasterCraft
Goodwill [Line Items]
Goodwill			29,593
Goodwill reallocation		(1,100)
Goodwill, net		28,493	29,593
Crest
Goodwill [Line Items]
Goodwill			36,238
Accumulated impairment losses			(36,238)
NauticStar
Goodwill [Line Items]
Goodwill			36,199
Accumulated impairment losses			$ (36,199)
Aviara
Goodwill [Line Items]
Goodwill reallocation		1,100
Impairment		$ (1,100)

GOODWILL AND OTHER INTANGIBLE_5

GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Carrying Amount of Other Intangible Assets, Net (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jan. 02, 2022	Jun. 30, 2021
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	(15,859)	(13,846)
Amortized intangible assets, Other intangible assets, net	23,886	25,899
Gross Amount	88,745	88,745
Accumulated Amortization / Impairment	(30,859)	(28,846)
Other intangible assets, net	57,886	59,899
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	(15,700)	(13,711)
Amortized intangible assets, Other intangible assets, net	23,800	25,789
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	(159)	(135)
Amortized intangible assets, Other intangible assets, net	86	110
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

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. 02, 2022	Jun. 30, 2021
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
Warranty	$ 24,100	$ 22,329
Dealer incentives	9,986	10,634
Contract liabilities	4,839	1,848
Compensation and related accruals	4,493	6,046
Freight	669	778
Self-insurance	1,005	865
Inventory repurchase contingent obligation	$ 1,027	$ 471
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List]	us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent, Other	us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent, Other
Other	$ 3,558	$ 3,865
Total accrued expenses and other current liabilities	$ 49,677	$ 46,836

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. 02, 2022	Jan. 03, 2021
Roll forward of the accrued warranty liability
Balance at the beginning of the period	$ 22,329	$ 20,004
Provisions	5,646	4,469
Payments made	(4,969)	(4,272)
Aggregate changes for preexisting warranties	1,094	718
Balance at the end of the period	$ 24,100	$ 20,919

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Additional Information (Details) $ in Millions	6 Months Ended
	Jan. 02, 2022USD ($)
New Supplier Agreement | Marine Outboard Engines
Long Term Purchase Commitment [Line Items]
Purchase commitments minimum annual gross amount	$ 27

LONG-TERM DEBT - Schedule of Lo

LONG-TERM DEBT - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Jan. 02, 2022	Jun. 30, 2021
Long-term debt
Total debt	$ 73,711	$ 93,143
Less current portion of long-term debt	3,000	3,000
Long-term debt, net of current portion	70,841	90,277
Revolving Credit Facility
Long-term debt
Long-term debt	15,728	33,728
Term Loans
Long-term debt
Long-term debt	58,500	60,000
Debt issuance costs on term loans	(517)	(585)
Less current portion of debt issuance costs on term loans	$ (130)	$ (134)

LONG-TERM DEBT - Senior Secured

LONG-TERM DEBT - Senior Secured Credit Facility - Additional Information (Details) - USD ($) $ in Thousands	Jun. 28, 2021	Jan. 02, 2022	Jan. 02, 2022	Jun. 30, 2021
Term Loans
Long-term debt
Long-term debt		$ 58,500	$ 58,500	$ 60,000
Revolving Credit Facility
Long-term debt
Long-term debt		$ 15,728	$ 15,728	$ 33,728
Senior Secured Credit Facility
Long-term debt
Maximum borrowing capacity	$ 160,000
Interest rate			1.38%
Senior Secured Credit Facility | Prime Rate
Long-term debt
Variable margin rate		0.25%	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	1.00%
Senior Secured Credit Facility | LIBOR
Long-term debt
Variable margin rate		1.25%	1.25%
Senior Secured Credit Facility | LIBOR | Minimum
Long-term debt
Variable margin rate	1.25%
Senior Secured Credit Facility | LIBOR | Maximum
Long-term debt
Variable margin rate	2.00%
Senior Secured Credit Facility | Term Loans
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	Jan. 02, 2022USD ($)
Debt Instrument [Line Items]
Outstanding borrowings	$ 15.7
Remaining borrowing capacity	$ 84.3

INCOME TAXES - Additional Infor

INCOME TAXES - Additional Information (Details)	3 Months Ended		6 Months Ended
	Jan. 02, 2022	Jan. 03, 2021	Jan. 02, 2022	Jan. 03, 2021
Income Tax Disclosure [Abstract]
Effective tax rates	23.70%	22.20%	23.80%	22.50%
Statutory income tax rate			21.00%

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. 02, 2022	Jan. 03, 2021	Jan. 02, 2022	Jan. 03, 2021
Stock-Based Compensation
Share-based compensation expense	$ 1,208	$ 643	$ 2,104	$ 1,283
Restricted stock awards
Stock-Based Compensation
Share-based compensation expense	518	388	985	805
Performance stock units
Stock-Based Compensation
Share-based compensation expense	$ 690	$ 255	$ 1,119	$ 478

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. 02, 2022USD ($)$ / sharesshares
Stock-Based Compensation
Stock awards granted	74,961
Weighted average grant date value | $ / shares	$ 26.14
Unrecognized compensation expense | $	$ 2.3
Weighted average period	1 year 9 months 18 days
Non-executive directors, officers and certain other key employees
Stock-Based Compensation
Stock awards granted	74,961
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. 02, 2022$ / sharesshares
Nonvested Restricted Shares
Nonvested at beginning of period | shares	118,193
Granted | shares	74,961
Vested | shares	(58,086)
Forfeited | shares	(2,660)
Nonvested at end of period | shares	132,408
Average Grant-Date Fair Value (Per share)
Nonvested at beginning of period | $ / shares	$ 19.42
Granted | $ / shares	26.14
Vested | $ / shares	19.16
Forfeited | $ / shares	26.01
Nonvested at end of period | $ / shares	$ 23.22

SHARE-BASED COMPENSATION - Perf

SHARE-BASED COMPENSATION - Performance Stock Units - Additional Information (Details) - Performance stock units $ in Millions	6 Months Ended
	Jan. 02, 2022USD ($)
Stock-Based Compensation
Unrecognized compensation expense	$ 2.9
Weighted average period	1 year 10 months 24 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	6 Months Ended
	Jan. 02, 2022$ / sharesshares
Nonvested Performance Stock Units
Nonvested at beginning of period | shares	160,285
Granted | shares	53,842
Forfeited | shares	(2,177)
Nonvested at end of period | shares	211,950
Average Grant-Date Fair Value (Per share)
Nonvested at beginning of period | $ / shares	$ 21.03
Granted | $ / shares	28.73
Forfeited | $ / shares	28.71
Nonvested at end of period | $ / shares	$ 22.91

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		6 Months Ended
	Jan. 02, 2022	Jan. 03, 2021	Jan. 02, 2022	Jan. 03, 2021
Earnings Per Share Basic [Line Items]
Net income	$ 15,402	$ 12,501	$ 25,788	$ 22,068
Weighted average shares — basic	18,722,386	18,807,316	18,786,343	18,790,826
Weighted average outstanding shares — diluted	18,899,136	18,928,408	18,951,627	18,897,617
Basic net income per share	$ 0.82	$ 0.66	$ 1.37	$ 1.17
Diluted net income per share	$ 0.81	$ 0.66	$ 1.36	$ 1.17
Stock options
Earnings Per Share Basic [Line Items]
Dilutive effect of assumed exercises of stock options and restricted share awards\units	12,994	13,950	13,618	14,025
Restricted stock awards
Earnings Per Share Basic [Line Items]
Dilutive effect of assumed exercises of stock options and restricted share awards\units	163,756	107,142	151,666	92,766

EARNINGS PER SHARE AND COMMON_4

EARNINGS PER SHARE AND COMMON STOCK - Additional Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jan. 02, 2022	Oct. 03, 2021	Jan. 02, 2022	Jun. 24, 2021
Class Of Stock [Line Items]
Repurchase of shares in cash, including related fees and expenses	$ 9,900,000		$ 11,375,000
Stock repurchase program, remained available under the program	$ 38,600,000		$ 38,600,000
Common Stock
Class Of Stock [Line Items]
Stock repurchase program, number of shares authorized				$ 50,000,000
Number of shares repurchased	356,296	58,379	414,675

SEGMENT INFORMATION - Additiona

SEGMENT INFORMATION - Additional Information (Details) - segment	3 Months Ended	6 Months Ended
	Jan. 02, 2022	Jan. 02, 2022
Segment Reporting [Abstract]
Number of operating segments	4	4
Number of reportable segments	4	4

SEGMENT INFORMATION - Schedule

SEGMENT INFORMATION - Schedule of Operating Information for Reportable Segments (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jan. 02, 2022	Oct. 03, 2021	Jan. 03, 2021	Jan. 02, 2022	Jan. 03, 2021	Jun. 30, 2021
Segment Reporting Information [Line Items]
Net sales	$ 159,465		$ 118,677	$ 303,475	$ 222,422
Operating income (loss)	20,553		16,945	34,597	30,349
Depreciation and amortization	3,241		2,861	6,595	5,599
Goodwill impairment		$ 1,100		1,100
Purchases of property, plant and equipment	3,097		16,951	6,715	18,903
Total assets	270,890			270,890		$ 276,460
MasterCraft
Segment Reporting Information [Line Items]
Net sales	106,773		79,511	198,788	149,102
Operating income (loss)	21,302		16,660	37,482	31,027
Depreciation and amortization	1,226		1,116	2,514	2,210
Purchases of property, plant and equipment	1,468		1,063	3,532	2,699
MasterCraft | Operating Segments
Segment Reporting Information [Line Items]
Total assets	136,693			136,693		158,610
Crest
Segment Reporting Information [Line Items]
Net sales	29,718		20,969	62,498	39,008
Operating income (loss)	4,637		2,650	8,436	4,312
Depreciation and amortization	647		624	1,341	1,248
Purchases of property, plant and equipment	673		23	1,044	23
Crest | Operating Segments
Segment Reporting Information [Line Items]
Total assets	46,089			46,089		42,204
NauticStar
Segment Reporting Information [Line Items]
Net sales	15,065		14,949	28,425	27,291
Operating income (loss)	(3,066)		(326)	(5,402)	(1,945)
Depreciation and amortization	877		802	1,772	1,616
Purchases of property, plant and equipment	702		516	1,770	759
NauticStar | Operating Segments
Segment Reporting Information [Line Items]
Total assets	55,357			55,357		44,181
Aviara
Segment Reporting Information [Line Items]
Net sales	7,909		3,248	13,764	7,021
Operating income (loss)	(2,320)		(2,039)	(5,919)	(3,045)
Depreciation and amortization	491		319	968	525
Goodwill impairment				1,100
Purchases of property, plant and equipment	254		$ 15,349	369	$ 15,422
Aviara | Operating Segments
Segment Reporting Information [Line Items]
Total assets	$ 32,751			$ 32,751		$ 31,465