The quarter cleared a relatively modest market bar by a wide margin. Published estimates called for roughly $263 million of revenue and $0.75 of adjusted EPS; Malibu delivered $295.5 million and $0.92, respectively, implying about a 12% revenue beat and a 23% adjusted-EPS beat.
| Metric | Q4 FY2026 | Q4 FY2025 | Market expectation |
|---|---|---|---|
| Net sales | $295.5M | $207.0M | ~$263M |
| Diluted GAAP EPS | $0.37 | $0.24 | — |
| Adjusted EPS | $0.92 | $0.42 | ~$0.75 |
| Adjusted EBITDA | $33.9M | $19.7M | — |
| Adjusted EBITDA margin | 11.5% | 9.5% | — |
| FY2026 net sales | $914.6M | $807.6M | Prior guide: $880–886M |
| FY2026 adjusted EBITDA | $73.9M | $74.8M | Prior guide: $72–74M |
Saxdor was the main reason the headline beat was so large. The new segment contributed $61.2 million of Q4 revenue and 180 units, while the legacy business also benefited from stronger Cobalt and Saltwater shipments; Malibu’s own segment saw units fall 2.5% as retail activity remained weak.
The quality of the quarter improved, not just the size. Gross margin rose to 17.7% from 15.8%, and adjusted EBITDA margin expanded to 11.5% from 9.5%, supported by product mix and pricing. 〔0〕
The full-year picture is less impressive than the Q4 print. FY2026 revenue exceeded the previous $880–886 million guide, but adjusted EBITDA was essentially at the top of its $72–74 million range and still declined 1.1% year over year. GAAP net income fell 88.8% to $1.7 million, while annual adjusted EBITDA margin contracted to 8.1% from 9.3%, reflecting acquisition costs, higher labor and material costs, and added amortization.
The balance sheet gained flexibility but also more acquisition-related leverage. Malibu ended the year with $74.4 million of cash and $165 million of debt, versus $18 million of debt a year earlier, after spending $118.3 million on the Saxdor acquisition. Free cash flow improved to $43.2 million, and the newly authorized $70 million repurchase program is supportive capital-allocation news, but the filing provides no quantified fiscal 2027 outlook.
Net: a genuine Q4 beat, but not a clean all-clear on the cycle. The market already knew Saxdor would materially lift reported sales, so the surprise was the magnitude of the revenue and adjusted-profit outperformance. That is partly offset by weak full-year underlying profitability and management’s warning that macro disruption continues to pressure buyers, keeping the recovery outlook deliberately cautious.
Read the original 8-K on SEC EDGAR ↗