Jaime Katz's questions to MALIBU BOATS (MBUU) leadership • Q4 2025
Question
Jaime Katz of Morningstar questioned the appearance of long-term debt on the balance sheet, asking if it signaled a change in capital strategy. She also asked for a sensitivity analysis on returning to double-digit EBITDA margins and inquired about the recent promotional cadence and fiscal 2026 CapEx plans.
Answer
CFO Bruce Beckman clarified there is no change in capital strategy, explaining that the company periodically draws on its credit facility for working capital and ended the year with a strong net cash position. He stated that market stabilization, which would end the need for destocking, is the first step toward higher margins. He also noted that promotions have normalized. For CapEx, Beckman expects spending levels similar to the more normalized levels of fiscal 2025, following the completion of major capacity expansions.