Brunswick Corp. reported GAAP net sales of $1.05 billion, an 8.7 percent increase over the first quarter of 2018.
This story originally appeared in Trade Only Today.
The company reported consolidated net sales of $1.27 billion, up from $1.21 billion a year earlier, with $15.1 million of sales related to its discontinued sport yacht and yacht operations in the first quarter of 2018.
The boat business reported modest sales growth led by gains in premium offerings, including Sea Ray sport boats and cruisers, while earnings declined slightly, according to the company.
Cash and marketable securities totaled $171.4 million at the end of the first quarter, down $132.8 million from year-end 2018 levels. This reflects seasonal reductions resulting from cash used by operating activities during the first three months of the year of $79.4 million, which increased by $12.3 million versus the prior year, primarily as a result of a tax refund received in the first quarter of 2018.
The engine segment had net sales of $766 million for the quarter, up 11.5 percent from $687.1 million in the first quarter of 2018, driven by gains in outboard engine sales and the addition of power products.
The power products acquisition contributed approximately 8 percent to the growth rate in the quarter. International sales, which represented 32 percent of total segment sales in the quarter, were up 15 percent compared to the prior year period.
The boat segment reported net sales of $373.3 million, a decrease from $376.5 million in the first quarter of 2018.
Net sales in the first quarter of 2018 included $15.1 million of sport yacht and yacht sales. International sales, which represented 27 percent of total segment sales in the quarter, decreased by 2 percent compared to the prior year.
