Brunswick Corporation (NYSE:BC) reported second-quarter results that topped Wall Street expectations, yet its shares dipped 1.8% after the company’s third-quarter outlook fell short of analyst projections.
The marine industry giant posted adjusted earnings per share of $1.16, well ahead of the $0.94 consensus. Revenue reached $1.45 billion, beating forecasts of $1.24 billion and inching up 0.2% from the same period last year.
“Brunswick delivered strong second quarter results as the power of our market-leading products and brands, efficient operational execution and cost control, continued prudent pipeline inventory management, and the benefits from the resilient, recurring, aftermarket-focused portions of our portfolio, resulted in second quarter financial performance ahead of expectations,” said Brunswick Chairman and CEO David Foulkes.
Among its segments, propulsion led the way with a 7% increase in sales. Engine parts and accessories also posted a small gain of 1%. However, the boat segment saw sales slide 7%, as dealers took a more cautious approach to restocking inventories.
Free cash flow was a highlight for the company, setting a new Q2 record at $288 million. For the first half of 2025, free cash flow came in at $244 million, a sharp $279 million improvement compared to the same period in 2024.
Despite the strong Q2, Brunswick’s outlook for the third quarter disappointed. The company projected earnings per share in the range of $0.75 to $0.90 on revenue between $1.1 billion and $1.3 billion—both below Wall Street’s estimates of $1.20 EPS and $1.353 billion in revenue.
For the full year, Brunswick is targeting earnings of about $3.25 per share on $5.2 billion in revenue. That compares with consensus forecasts of $3.31 EPS and $5.087 billion in sales.
The company also acknowledged that tariffs remain a headwind, contributing to ongoing uncertainty for consumers and partners. Still, management said that mitigation strategies have helped lessen their financial impact.
This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.