Adjusted net loss was $26.7 million or $0.48 per share, compared to adjusted net income of $5.6 million or $0.10 per share in Q2 2024.
Cash and cash equivalents stood at $49.2 million with total debt of approximately $256.6 million as of June 30, 2025.
Gross profit was $62 million with a gross margin of 32.1%, down from $104 million and 42% margin in Q2 2024, impacted by tariffs, inventory reserves, and royalty shortfalls.
Negative adjusted EBITDA of $16.5 million versus positive $27.9 million in the prior year quarter.
SG&A expenses increased to $82.3 million from $77.9 million in Q2 2024, which included a nonrecurring net benefit of $1.5 million last year.
Total net sales for Q2 2025 were $193.5 million, a 22% decline compared to Q2 2024, primarily due to U.S. tariff-related sales disruptions.
Balance sheet remains healthy with no debt maturities until 2029, $1.3 billion liquidity, and increased 2025 debt reduction target to $175 million.
Boat segment operating earnings were within expectations despite sales declines, supported by pricing and cost control.
Brunswick reported second quarter sales of $1.4 billion, slightly up from prior year, and earnings per share of $1.16, both exceeding the top end of guidance and sequentially up from the first quarter.
Earnings were impacted by reinstatement of variable compensation and tariffs but were consistent year-over-year excluding those items.
Free cash flow was a record $288 million for the quarter and $244 million for the first half, a $279 million improvement versus first half 2024.
Operating earnings and EPS were ahead of expectations but down versus prior year due to tariffs, variable compensation, and lower absorption from decreased production.
Propulsion segment sales increased 7% with strong U.S. OEM orders; Engine Parts & Accessories sales up 1%; Navico Group sales down 4%; Boat segment sales down 7%.
Year-to-date sales are down 5%, primarily due to lower production in Propulsion and Boat businesses, partially offset by steady aftermarket sales.
Dafinchi