Marine Products Corporation reports 7% sales increase in Q3 2025

ATLANTA - Marine Products Corporation (NYSE:MPX) reported a 7% increase in third quarter net sales to $53.1 million compared to the same period last year, according to a company press release issued Thursday. The boat manufacturer, with a market capitalization of $298.17 million, is currently trading at a P/E ratio of 21.61, slightly above the industry average according to InvestingPro data.

Despite the sales growth, the fiberglass boat manufacturer posted a 22% decline in net income to $2.7 million, with diluted earnings per share of $0.07, down from $0.10 in the third quarter of 2024. The company’s net income margin decreased 180 basis points to 5.0%.

Marine Products attributed the profit decline to higher research and development investments related to new products and cost adjustments. EBITDA fell 15% to $3.7 million, with EBITDA margin decreasing to 6.9% from 8.6% a year earlier.

The company’s sales increase was primarily driven by a 7% improvement in price and product mix, slightly offset by a small decrease in the number of boats sold. Gross margin improved to 19.2%, up 80 basis points from the previous year.

"Third quarter results reflect an increase in sales from the prior year period," said Ben M. Palmer, Marine Products’ President and CEO in the press release. "We are cautiously optimistic that we’ve reached a turning point in the industry as dealer inventory has adjusted to stabilizing demand."

InvestingPro analysis indicates that MPX is currently trading near its Fair Value. The company boasts a strong Financial Health Cash Flow Score of 3.61, suggesting robust cash generation capabilities despite recent earnings pressure. For deeper insights into MPX’s financial health and growth prospects, check out the comprehensive Pro Research Report, available for over 1,400 US equities.

The company, which manufactures boats under the Chaparral and Robalo brands, maintained a strong financial position with $47.4 million in cash and no debt at the end of the quarter. This aligns with an InvestingPro Tip highlighting that MPX "holds more cash than debt on its balance sheet." The board declared a quarterly dividend of $0.14 per share payable on December 10, 2025, reflecting a substantial 6.57% dividend yield at current prices.

Marine Products recently launched its 2026 model year products and reported that field inventory levels have returned to more balanced levels, with dealer inventories approximately 6% below the same period last year. The company’s healthy current ratio of 2.96 indicates it has ample liquidity to navigate changing market conditions while maintaining its dividend, which InvestingPro data shows has been paid consistently for 14 consecutive years.

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