Q3 2024 Marine Products Corp Earnings Call Transcript
Key Points
- Marine Products Corp (MPX) has taken decisive measures to manage costs and production, including manufacturing headcount reductions and scaled-back production, to align with current demand.
- The company has extended promotional programs and enhanced third-party floorplan financing to support dealers and incentivize consumers.
- Marine Products Corp (MPX) celebrated Chaparral's 60th anniversary and unveiled new models, colors, features, and options, receiving positive feedback from dealers.
- Despite a challenging market, the company has maintained a strong cash position, ending the third quarter with over $53 million in cash on the balance sheet.
- The company has returned significant cash to investors through regular and special dividends, demonstrating a commitment to shareholder value.
- Sales for the third quarter of 2024 were down 36% compared to the same period in 2023, driven by a 40% decrease in the number of boats sold.
- Gross profit decreased significantly, with a gross margin of 18.4%, down 630 basis points from the previous year.
- The company is experiencing under absorption of fixed costs, impacting profitability despite efforts to control labor expenses.
- Dealer caution regarding new orders persists, reflecting ongoing weak consumer demand in the marine industry.
- The company faces challenges with order payout patterns and has seen some minor ordering delays due to recent hurricanes.
Good morning, and thank you for joining us for Marine Products Corporation's Third Quarter 2020 for financial earnings conference call. Today's call will be hosted by Ben Palmer, President and CEO, and Michael Schmit, Chief Financial Officer. At this time, all participants are in listen only mode. Following the presentation, we will conduct a question and answer session. Instructions will be provided at that time for you to queue up for questions. I would like to advise everyone that this conference call is being recorded. I will now turn the call over to Mr. Schmit.
Thank you and good morning. Before we begin, I want to remind you that some of the statements that will be made on this call could be forward-looking in nature and reflect the number of known and unknown risks. Please refer to our press release issued today along with our 2023 10K and other public filings that outline those risks, all of which can be found at www
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
