Like Tree0Likes

Brunswick/Mercury earnings

Reply
Old 10-25-2002, 10:30 AM
  #1
TulsaLarry
Guest
 
Posts: n/a
Default Brunswick/Mercury earnings

The Marine Engine segment, consisting of the Mercury Marine Group, reported sales of $426.2 million in the third quarter of 2002, up 12 percent compared with $380.7 million in the year-ago third quarter. Operating earnings in the third quarter rose 41 percent to $51.7 million versus $36.7 million a year ago. Operating margins improved to 12.1 percent compared with 9.6 percent in the third quarter of 2001.

"Sales were up across the board with a particularly strong performance coming from domestic outboard and sterndrive engines. The increase was primarily due to customers restocking their inventories at more normal rates than in the year-ago quarter when they were limiting their purchases and meeting retail demand by selling out of inventory. Despite this pick up in wholesale shipments, however, they were still below depressed retail sales levels, thus lowering field inventories. Consequently, inventory in the field currently represents about 17 weeks of supply compared with 21 weeks at the same time a year ago," Buckley explained.

"Higher volumes helped drive the improvement in operating earnings and margins, offsetting the shift in product mix to low-emission outboard engines," Buckley commented.

Boat Segment

The Brunswick Boat Group comprises the Boat segment and includes the Sea Ray, Bayliner, Maxum, Hatteras, Sealine, Meridian, Baja, Boston Whaler, Trophy and Princecraft boat brands. The Boat segment reported sales for the third quarter of $333.9 million, up 10 percent compared with $304.1 million in the year-ago third quarter. Operating earnings totaled $0.2 million, down from $1.1 million. Operating margins in the third quarter were 0.1 percent versus 0.4 percent a year ago.

"The sales gain was driven primarily by the acquisition of Hatteras Yachts, which was not in the year-ago quarter. Absent the acquisition, sales for the Boat segment were up slightly with growth in smaller boats offsetting continued weakness in larger boat sales. We've continued our efforts to reduce inventories, both our own as well as those of our dealers. Excluding Hatteras, our Boat segment inventories are down 16 percent versus a year ago. Field inventories currently represent about 20 weeks of supply compared with 27 weeks at this time a year ago," Buckley said.

"The Boat segment's operating performance was adversely affected by costs associated with the reinvention of our US Marine division, which had an operating loss of about $7 million in the quarter. We continue to make progress toward improving the operating performance of this unit while moving ahead on the new product front," Buckley continued. "During the quarter, we launched a new line of yachts under the Meridian brand. We are currently offering seven models ranging from 34 to 58 feet including pilothouse, sedan and aft cabin configurations. We believe this line fills the needs of those boaters who spend more time on the water than at the dock. We're also seeing continued success with our Bayliner 175, our 17-foot entry-level runabout that features a boat, engine and trailer package with an MSRP of $9,995. We're still in the position of demand exceeding our ability to produce these boats as the response from our dealers and consumers has been overwhelming."
 
Reply With Quote
Old 10-25-2002, 10:34 AM
  #2
Charter Member#203
Charter Member
 
Pete B's Avatar
 
Join Date: Oct 2000
Location: Ft.Myers, Fl/ Atlanta, Ga/ Worldwide
My Boats: 98 Scarab 302 Sport
Posts: 12,577
Default

if those Gayliner buyers only knew what they were buying..
Pete B is offline  
Reply With Quote
Old 10-25-2002, 12:27 PM
  #3
Registered
 
dockrocker's Avatar
 
Join Date: May 2002
Location: Deeee-troit!
Posts: 3,356
Default

Quote:
Originally posted by Pete B
if those Gayliner buyers only knew what they were buying..
Hmmm, I guess you're right - anyone that can't afford a $500,000 Skater just shouldn't be allowed to enjoy a day on the water.
dockrocker is offline  
Reply With Quote
Reply

Related Topics
Thread
Thread Starter
Forum
Replies
Last Post
Psychostroker
General Boating Discussion
31
10-17-2005 03:39 PM
TulsaLarry
General Boating Discussion
0
07-29-2004 09:38 AM
TulsaLarry
General Boating Discussion
3
04-25-2003 12:22 PM
TulsaLarry
General Boating Discussion
4
01-31-2003 11:42 AM
TulsaLarry
General Boating Discussion
4
07-25-2002 12:51 PM



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On



All times are GMT -5. The time now is 03:09 PM.


Copyright 2011 OffShoreOnly. All rights reserved.