NYSE$BC

Brunswick Corp · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Announced preliminary second quarter 2023 results, impacted by the IT security incident.

Brunswick Corporation announced preliminary financial results for the second quarter ended July 1, 2023. The results were below initial expectations due to the impacts of the recent IT security incident. Revenue was approximately $1.7B. GAAP EPS is expected to be in the range of $1.85 to $1.90, and Adjusted EPS in the range of $2.30 to $2.35.

  • Revenue of approximately $1.7B.
  • GAAP EPS in the range of $1.85 to $1.90 and Adjusted EPS in the range of $2.30 to $2.35.
  • Strong Free Cash Flow generation is expected.
  • Full-year Adjusted EPS expectations are now approximately $9.50.

Headline financials

Total Revenue

$1.7B

Previous: $1.84B-7.3%
EPS (adj)

$2.35

Previous: $2.82-16.7%
Capital Expenditures

-$173M

Previous: $95.6M-281.4%
Free Cash Flow

-$38.7M

Previous: $193M-120.0%
Net Income

$135M

Previous: $197M-31.7%
Operating Income

$194M

Previous: $279M-30.3%
Gross Profit

$472M

Previous: $504M-6.3%
Cash & Equivalents

$478M

Previous: $567M-15.7%
Total Assets

$6.29B

Previous: $6.17B+2.0%
Stock-Based Comp

$7.9M

Previous: $7.6M+3.9%

Revenue & EPS history

Brunswick · Revenue · Quarterly

$1.7B

Q2 2023-7.3%vs Q2 2022
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Brunswick · $1.49B total across 3 segments · Q3 2023

  • Propulsion
    $718M+16.7%
  • Boat
    $429M-16.1%
  • Engine P&A
    $345M-3.9%

Forward guidance

The impact of the IT security incident combined with anticipated continued pressure on consumers globally, lead Brunswick to be cautious regarding second-half financial performance. Full-year Adjusted EPS expectations to now be approximately $9.50.

Tailwinds

  • Stronger than expected new boat retail in the recent months
  • Continued high Mercury retail market share

Headwinds

  • Impact of the IT security incident
  • Anticipated continued pressure on consumers globally
  • Disciplined management of inventory levels across our businesses
  • Lost production of high horsepower outboard engines will be difficult to compensate
  • Limited ability to overdrive production for the balance of the year

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

+0.2%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+0.4%

Avg return

30 days after

52%

34 / 66 earnings

Positive

+10.8%

Q2 2013

Best reaction

-13.0%

Q3 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%-1.2%+5.6%
Q4 2025-4.4%+1.9%-5.4%
Q3 2025+8.5%+8.5%-1.3%
Q2 2025+6.7%+11.6%+17.6%
Q1 2025+5.7%+2.4%+9.9%
Q4 2024+1.3%-1.5%-10.7%
Q3 2024+4.9%+7.5%+7.0%
Q2 2024+8.8%+12.9%+9.6%
Q1 2024-5.9%-6.4%-7.7%
Q4 2023+6.1%+4.2%+8.9%
Q3 2023-1.0%+1.0%+13.8%
Q2 2023+0.4%+2.4%-2.8%
Q1 2023+2.1%+3.7%-6.7%
Q4 2022+7.2%+3.2%+2.6%
Q3 2022-0.1%+0.0%+1.6%
Q2 2022+4.1%-1.4%+1.3%
Q1 2022+1.4%+7.3%+1.5%
Q4 2021+3.7%+5.6%+7.5%
Q3 2021+3.0%+7.3%+10.3%
Q2 2021+7.2%+7.5%+5.6%
Q1 2021+1.6%+6.4%-3.1%
Q4 2020-5.5%-5.1%-3.4%
Q3 2020-1.1%+5.7%+18.3%
Q2 2020-7.4%-5.5%-14.2%
Q1 2020-9.4%-6.4%+12.9%
Q4 2019-0.1%-2.7%-15.5%
Q3 2019+2.3%+3.4%+0.2%
Q2 2019+2.2%+3.3%-5.7%
Q1 2019-7.4%-6.0%-20.6%
Q4 2018-4.8%-1.8%+5.7%
Q3 2018-9.6%-8.6%-5.1%
Q2 2018-5.3%-2.4%-0.7%
Q1 2018+2.3%+4.0%+8.0%
Q4 2017-4.7%-6.1%-2.5%
Q3 2017-13.0%-11.9%-8.6%
Q2 2017-5.7%-7.0%-11.7%
Q1 2017-6.2%-7.3%-9.6%
Q4 2016+3.6%+5.4%+7.0%
Q3 2016-7.1%-8.0%+6.0%
Q2 2016-1.4%-3.8%-8.7%
Q1 2016-6.4%
Q4 2015-5.5%
Q3 2015+8.1%
Q2 2015+0.0%
Q1 2015-9.2%
Q4 2014+5.2%
Q3 2014+3.7%
Q2 2014+1.1%
Q1 2014-4.2%
Q4 2013+2.6%
Q3 2013+2.7%
Q2 2013+10.8%
Q1 2013+2.8%
Q4 2012+9.6%
Q3 2012+8.5%
Q2 2012-1.6%
Q1 2012+2.4%
Q4 2009+3.9%
Q4 2011+3.9%
Q3 2010-0.8%
Q3 2011-0.8%
Q2 2011-1.1%
Q4 2010-1.1%
Q2 2010-1.4%
Q1 2011-1.4%
Q1 2010-1.4%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro