What were the key takeaways from Brunswick's earnings call?

What is Brunswick's gross profit margin?

What does Brunswick do and what are its main business segments?

Did Brunswick beat or miss consensus estimates last quarter?

What guidance did Brunswick's management provide for the next earnings period?

What is Brunswick's latest dividend and current dividend yield?

What is the market's earnings forecast for Brunswick next quarter?

What factors drove the changes in Brunswick's revenue and profit?

- **2025 Performance**: 2% revenue growth, $442M free cash flow, 23% Propulsion sales growth.\n- **2026 Outlook**: EPS $3.80-$4.40 (25%+ growth), 20%+ incremental margins.\n- **Tariff Mitigation**: $35M-$45M net impact, 50%+ gross offset.\n- **Market Share**: Mercury 47% U.S. outboard share, 100+ new OEM agreements.

**【CEO Summary Section】**
- 2025 net sales $5.4B (+2%), adjusted EPS $3.27, free cash flow $442M (+56% YoY).\n- **Propulsion**: 23% Q4 sales growth, 47% U.S. outboard share.\n- **Engine P&A**: 15% Q4 sales growth, 210bps U.S. distribution share gain.\n- **Boat Business**: 16% Q4 revenue growth, 290bps margin expansion.\n- **Strategic Moves**: $160M+ 2026 debt retirement, AI investments.\n\n**【CFO Financial Commentary】**
- 2025 GAAP net $420M, Non-GAAP EPS $3.27.\n- 2026 guidance: Revenue $5.6B-$5.8B, EPS $3.80-$4.40.\n- 20%+ incremental margins, $35M-$45M tariff impact.\n- Free cash flow $350M+, $50M buybacks.\n\n**【Q&A Highlights】**
- Early 2026 retail up double digits, dealer pipelines 79% of Q1 forecast.\n- Mercury gains 70bps U.S. outboard share, 100+ new OEM agreements.\n- 2026 rate cuts to reduce consumer financing costs by 100bps+.

Brunswick Corporation (BC) Q4 2025 Earnings Call Transcript

- **Q3 Standout**: $1.4B revenue (+7% YoY), $111M free cash flow, and all segments growing, despite tariffs.
- **2026 Vision**: Flat to up retail growth, driven by lower rates and lean pipelines, with 25%+ EPS growth.
- **Strategic Moves**: $10M+ annual savings from boat plant consolidation, and AutoCaptain launch as first ACES commercial product.
- **Tariff Resilience**: $75M net impact for 2025, with U.S.-based manufacturing mitigating risks.
- **Share Gains**: Mercury at 49.4% U.S. outboard share, Navico gaining 140bps in distribution market share.

**【CEO Summary Section】**
- **Strong Q3 Results**: Revenue of $1.4 billion (+7% YoY), adjusted EPS of $0.97, and free cash flow of $111 million (up 166% YoY). All segments reported growth.
- **Operational Efficiency**: $355 million year-to-date free cash flow, down from $1.6 billion since 2021. Debt reduction guidance increased to $200 million for 2025.
- **Tariff Mitigation**: $75 million net tariff impact for 2025, with strategies like U.S.-based manufacturing and supply chain optimization.
- **Strategic Actions**: Plant consolidation in fiberglass boat manufacturing (Reynosa, Mexico, and Flagler Beach, Florida) to save $10+ million annually post-transition.
- **2026 Outlook**: Flat to up retail growth driven by lower interest rates, lean dealer pipelines, and differentiated products like AutoCaptain.

**【CFO Financial Commentary】**
- **Revenue Breakdown**: Propulsion (+10%), Engine Parts & Accessories (+8%), Navico (+2%), Boat (+4%).
- **Profitability**: Adjusted operating margins stable despite tariffs and variable comp reset. Boat segment margin up 65% YoY due to lower discounts and cost actions.
- **Cash Flow**: Full-year free cash flow guidance raised to >$425 million, driven by recurring revenue and working capital management.
- **Tariff Impact**: $0.70 EPS impact in Q3 from tariffs and variable comp, partially offset by higher sales and absorption.

**【Q&A Key Highlights】**
- **Retail Trends**: Q3 flat YoY, with premium/core outperforming value. 2026 outlook flat to up due to interest rate cuts and lean pipelines.
- **Inventory Management**: Global pipelines down 2,200 units YoY, with U.S. pipelines down 1,200 units. Freshness >80% of inventory.
- **Competitor Tariffs**: Japanese engine imports face 15% tariffs, benefiting Mercury's market share (49.4% U.S. outboard share).
- **Navico Performance**: Sales +2% YoY, with electronics growth and 60% aftermarket contribution. $323M intangible asset impairment due to macro challenges.
- **2026 Guidance**: Mid- to high-single-digit revenue growth, >25% EPS growth, and continued free cash flow generation.

Brunswick Corporation (BC) Q3 2025 Earnings Call Transcript

- **Record Cash Flow**: Q2 free cash flow $288M (highest ever), first-half $244M (up $279M YoY). Full-year guidance raised to >$400M.
- **Tariff Mitigation Success**: Net impact reduced to $100-125M vs. prior $150M, with onshoring reducing 2026 exposure.
- **Value Category Rationalization**: 25% model lineup reduction to focus on profitable segments.
- **Navico Growth Potential**: Targeting low-mid-teens margins and mid-single-digit CAGR with new product momentum.
- **Debt Reduction**: $175M target for 2025, total $350M since 2023, supporting investment-grade credit profile.

**【CEO Opening Remarks】**
- Q2 2025 revenue: $1.4 billion (flat YoY), EPS: $1.16 (beat top-end guidance). Free cash flow record at $288M, first-half free cash flow up $279M YoY.
- Tariffs reduced net impact vs. prior estimates; U.S.-based manufacturing provides competitive advantage.
- Boat unit retail sales underperforming in value category, but premium/core categories resilient. July retail trends improving.
- 2026 model year value fiberglass lineup rationalized by 25% to optimize profitability.
- Record free cash flow ($522M last 3Q) supports debt reduction ($175M target for 2025, total $350M since 2023).

**【CFO Financial Commentary】**
- Q2 GAAP net income: $132M, Non-GAAP EPS: $1.16 (vs. $1.05-1.15 guidance). Free cash flow: $288M (record for any Q2).
- Tariff impact: $20-30M annualized for China imports, $30M Section 301 tariffs. Mexico/Canada supply under USMCA exemption.
- Segment performance:
  - Propulsion: +7% sales, driven by U.S. OEM orders. Operating earnings down due to tariffs, variable comp.
  - Engine P&A: +1% sales, steady earnings despite weather. Aftermarket resilience.
  - Navico: -4% sales, earnings down due to tariffs, new product momentum offsetting.
  - Boats: -7% sales (value category weakness), Freedom Boat Club up 12%.
- Full-year guidance: $5.2B sales, $3.25 EPS (midpoint unchanged). Free cash flow raised to >$400M.

**【Q&A Highlights】**
- **Tariffs & Mitigation**: 2025 net tariff impact reduced to $100-125M vs. prior $150M. 2026 impact similar, with onshoring reducing exposure. Japan tariffs on competitors may boost Mercury share.
- **Navico Strategy**: Target low-mid-teens operating margin, mid-single-digit CAGR. New products gaining share.
- **Inventory Management**: Boat pipeline down 11% U.S., 10% global. Engine pipeline down 25%+ on high-horsepower.
- **2026 Outlook**: Cautious optimism for second-half recovery. Value category rationalization to improve margins.
- **Share Buybacks**: $80M+ planned at current price, supported by strong cash flow.


Brunswick Corporation (BC) Q2 2025 Earnings Call Transcript

- **Q1 Strong Cash Flow**: $160M YoY improvement in free cash flow, supporting $26M share buybacks.
- **Tariff Risk Management**: $100M-$125M potential 2025 impact, with 50%+ mitigation via supply chain shifts.
- **Segment Resilience**: P&A operating earnings up 7% YoY, Navico new products gaining share, Freedom Boat Club growth offsetting weakness.
- **Guidance Range Spread**: $2.50-$4.00 EPS reflects tariff uncertainty, with upper end contingent on policy stabilization.
- **Inventory Efficiency**: 2025 back-half absorption benefits from 2024 production inefficiency reversal.


**【CEO Summary Section】**
- **Q1 Financial Outperformance**: Revenue ahead of expectations despite macro challenges, driven by resilient portfolio and cost reductions. Free cash flow improved by $160M YoY, enabling $26M share buybacks.
- **Segment Highlights**: 
  - **Propulsion**: Mercury gains 40bps U.S. retail share; engine parts & accessories (P&A) operating margin up 7% YoY.
  - **Navico**: Aftermarket sales strong, new products (Eagle, ELITE FX) driving momentum.
  - **Boat Business**: Sales down 13% YoY due to cautious dealer ordering, but Freedom Boat Club growth offsets weakness.
- **Tariff Impact**: Potential $100M-$125M net tariff costs in 2025, with mitigation efforts underway (e.g., supply chain migration, pricing).
- **Guidance Update**: Adjusted EPS range $2.50-$4.00, reflecting volume pressure (5% revenue reduction) and tariff headwinds, offset by cost savings and FX benefits.

**【CFO Financial Commentary】**
- **Q1 Results**: 
  - Net sales down 11% YoY to $1.2B; adjusted EPS $0.56 vs. $0.73 prior year.
  - Operating margin 6%, driven by lower sales, cost inflation, and FX headwinds.
  - Free cash flow ($44M) improved vs. Q1 2024, but usage reflects working capital initiatives.
- **Segment Performance**: 
  - **Propulsion**: Sales down 16% YoY, but P&A operating earnings up 7%.
  - **Navico**: Sales flat YoY, operating earnings slightly lower due to OEM weakness.
  - **Boat**: Sales down 13% YoY, but Freedom Boat Club contributes 11% of segment sales.
- **Tariff Mitigation**: China tariffs at 145%, with $75M-$100M COGS impact. Mexico/Canada supply chain (15% of U.S. COGS) largely protected by USMCA.

**【Q&A Key Takeaways】**
- **Guidance Range Breakdown**: 
  - **Upper End ($4.00)**: Tariff moderation, successful mitigation, and volume stabilization.
  - **Lower End ($2.50)**: Tariff escalation, prolonged consumer hesitancy, and volume decline.
- **Tariff Timing**: Q2 includes portion of annualized $100M-$125M impact; FY26 benefits from duty drawback delays.
- **Inventory Strategy**: Aggressive pipeline reduction (16% YoY U.S. wholesale), focusing on efficient production vs. 2024 inefficiencies.
- **Entry-Level Streamlining**: Reducing low-margin fiberglass models, prioritizing higher-margin aluminum and P&A businesses.


Brunswick (BC)-24 Apr 25-2025 Q1 Earnings call transcript

- **Record Cash Flow**: Q4 2024 free cash flow of $278M, full year conversion of 92%, exceeding 80% target.
- **Market Share Growth**: +110bps U.S. outboard engine share in 2024, Mercury gains 7pts at early 2025 boat shows.
- **2025 Guidance**: $3.50-$5 EPS, driven by $1.25 cost savings offset by $0.80 tariffs/FX headwinds. Back half volume growth expected.
- **Tariff Mitigation**: $30-40M 2025 impact, with actions like inventory staging and pricing adjustments underway.
- **Share Repurchases**: $80M+ minimum in 2025, $10M executed in January at $70 share price.


**【CEO Summary Section】**
- Brunswick Corporation ended 2024 with strong cash generation, achieving $278 million in Q4 free cash flow, a record for any fourth quarter. Full year free cash flow conversion was 92%, above the annual target of 80%.
- The company gained 110 basis points of U.S. outboard engine market share in 2024, with Mercury Marine outperforming the industry. U.S. new boat retail sales declined high single digits, but Brunswick performed slightly better in premium segments.
- Key initiatives included cost containment, working capital optimization, and $200 million in share repurchases. The 2025 adjusted EPS guidance is $3.50 to $5, reflecting headwinds from tariffs ($35M annualized) and foreign exchange rates, offset by cost savings ($1.25 per share) and volume growth in the back half of the year.

**【CFO Financial Commentary】**
- Q4 2024 net sales decreased 15% year-over-year to $1.1 billion, with adjusted EPS of $0.24. Full year adjusted EPS was $4.57, down 48% from 2023, due to lower net sales and production levels.
- Propulsion business sales declined 24% as production was reduced to manage inventory. Engine parts and accessories business showed full year growth in operating earnings, driven by operational efficiencies from the Brownsburg, Indiana distribution center.
- Navico Group sales were flat in Q4, with aftermarket performance offsetting weak marine OEM demand. Boat business sales decreased 18% due to lower production and selective discounting.
- Full year free cash flow was $350 million, with $170 million generated in the second half. 2025 free cash flow is expected to exceed $350 million, supported by working capital improvements and reduced inventory levels.

**【Q&A Highlights】**
- **Cost Savings**: $1.25 per share of cost savings in 2025 will come from staff reductions (20% hourly, 7% salaried in 2024), production line optimization, and supply chain cost reductions. About 50% of savings are already realized, with the rest from 2025 initiatives.
- **Tariff Impact**: 2025 tariff headwind is $30-40 million, primarily from China 301 tariffs. Mitigation strategies include inventory staging and pricing adjustments.
- **Market Outlook**: U.S. boat retail is expected flat to 2024, but share gains (Mercury +7% at Dusseldorf Show) and new product launches (e.g., Navico's Lowrance Elite FS) could drive growth. Europe weeks on hand are 41 weeks, higher than U.S. due to logistics complexity.
- **Share Repurchases**: $80 million minimum in 2025, with potential for higher activity if cash generation exceeds expectations. January 2025 repurchases of $10 million reflect confidence in long-term value.


Actual											0.96	0.99	1.8	1.32	2.24	2.52	2.07	1.44	2.53	2.82	2.67	1.99	2.57	2.35	2.42	1.45	1.35	1.8	1.17	0.24	0.56	1.16	0.97	0.58
Forecast											0.8536	0.4488	1.3754	1.0242	1.4617	2.1461	1.9521	1.3515	2.3279	2.6978	2.6424	1.981	2.3761	2.4596	2.3713	1.6465	1.348	1.8847	1.1963	0.1729	0.2244	0.9443	0.8662	0.5706	0.4587
Surprise	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	+12.46%	+120.59%	+30.87%	+28.88%	+53.25%	+17.42%	+6.04%	+6.55%	+8.68%	+4.53%	+1.04%	+0.45%	+8.16%	-4.46%	+2.05%	-11.93%	+0.15%	-4.49%	-2.20%	+38.81%	+149.55%	+22.84%	+11.98%	+1.65%	0.00%

BC

BC fundamentals

BC Q1 2026 Earnings Preview

Earnings Call

You can ask Aime

BC

BC fundamentals

BC Q1 2026 Earnings Preview

Earnings Call

BC Earnings Call Summary for Q1/2026Upcoming11:00 AM on Apr 23, 2026

BC Earnings Call Summary for Q4/202511:00 AM on Jan 29, 2026

BC Earnings Call Summary for Q3/202511:00 AM on Oct 23, 2025

BC Earnings Call Summary for Q2/202511:00 AM on Jul 24, 2025

BC Earnings Call Summary for Q1/202511:00 AM on Apr 24, 2025

You can ask Aime