Brunswick (NYSE:BC) Issues Earnings Results

Brunswick (NYSE:BC) posted its quarterly earnings data on Thursday. The company reported $1.56 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.19 by $0.37, Zacks reports. Brunswick had a negative net margin of 2.47% and a positive return on equity of 13.30%. During the same quarter in the prior year, the company earned $0.90 EPS. The company’s quarterly revenue was up 7.7% on a year-over-year basis. Brunswick updated its Q3 2026 guidance to 1.200-1.400 EPS and its FY 2026 guidance to 4.350-4.750 EPS.

Here are the key takeaways from Brunswick’s conference call:

• Second-quarter results exceeded expectations, with sales up 8% to $1.6 billion and adjusted EPS up 34% to $1.56. Growth was broad-based across all segments, supported by pricing, product mix, OEM demand, and recurring-revenue businesses.
• Brunswick raised its full-year outlook to $5.7 billion–$5.8 billion in revenue, approximately 8% adjusted operating margin, and adjusted EPS of $4.35–$4.75; free-cash-flow guidance increased to more than $400 million. The company also plans to retire at least $160 million of debt by year-end.
• Demand remains bifurcated, with premium fiberglass and core boat products roughly flat and resilient, while value-oriented runabout models remain pressured by affordability and consumer sentiment. Brunswick expects boat retail sales to finish roughly flat to slightly down, while dealer inventories remain lean and wholesale demand steady.
• Recurring and aftermarket businesses continued to perform strongly: Engine Parts & Accessories sales rose 9%, Navico sales increased 7%, and Freedom Boat Club member trips climbed 13% in the first half. Freedom Boat Club also reached its 450th global location, reinforcing Brunswick’s participation-driven revenue streams.
• Tariffs and inflation remain material risks, with total 2026 tariff costs estimated at approximately $40 million and newly introduced Section 301 and Canadian tariffs adding about $5 million of incremental net impact. Management also expects roughly $15 million of additional material inflation in the second half, partly offset by expected IEEPA refunds.

Brunswick Price Performance

Shares of BC traded down $0.73 on Thursday, reaching $79.73. The stock had a trading volume of 606,649 shares, compared to its average volume of 840,405. The firm has a 50-day moving average of $81.28 and a 200 day moving average of $80.36. The company has a quick ratio of 0.62, a current ratio of 1.38 and a debt-to-equity ratio of 1.13. The firm has a market capitalization of $5.18 billion, a PE ratio of -38.13 and a beta of 1.33. Brunswick has a twelve month low of $55.60 and a twelve month high of $90.25.

Brunswick Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Thursday, August 20th will be issued a $0.44 dividend. The ex-dividend date is Thursday, August 20th. This represents a $1.76 dividend on an annualized basis and a dividend yield of 2.2%. Brunswick’s dividend payout ratio is currently -83.81%.

Key Stories Impacting Brunswick

Here are the key news stories impacting Brunswick this week:

• Positive Sentiment: Q2 earnings and revenue exceeded expectations. Adjusted diluted EPS was $1.56, well above the $1.19-$1.20 analyst consensus and up from $1.16 a year ago. Net sales rose 7.7% year over year to $1.56 billion, while GAAP net earnings increased 85% to $109.8 million. Brunswick Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Broad-based sales growth supported the quarter. Propulsion sales increased 7.7%, Engine Parts and Accessories rose 8.9%, Navico Group grew 6.7%, and Boat sales advanced 4.6%. GAAP operating earnings climbed 25.3% to $129.4 million. Brunswick Q2 Net Sales Rise 8 Percent to $1.56 Billion
• Positive Sentiment: Full-year adjusted EPS guidance was raised. Brunswick now expects 2026 adjusted EPS of $4.35-$4.75, above the $4.26 consensus estimate. The company maintained revenue guidance of $5.7-$5.8 billion and expects at least $400 million of free cash flow. Brunswick Quarterly Results and Guidance
• Neutral Sentiment: Management released the results and scheduled an earnings call with executives to discuss performance, cash flow, and the outlook. Investors will likely focus on demand trends, dealer inventories, tariffs, and consumer financing conditions. Brunswick Releases Second Quarter Earnings
• Negative Sentiment: Third-quarter guidance was below expectations. Brunswick forecast adjusted EPS of $1.20-$1.40 versus the $1.45 consensus, with revenue of $1.4-$1.5 billion compared with the $1.5 billion estimate. This softer near-term outlook could temper the positive reaction to the Q2 beat.

Analyst Upgrades and Downgrades

BC has been the topic of a number of research analyst reports. DA Davidson reissued a “neutral” rating and set a $76.00 price objective on shares of Brunswick in a report on Monday, May 18th. Morgan Stanley upped their price objective on shares of Brunswick from $82.00 to $86.00 and gave the company an “equal weight” rating in a research note on Tuesday, May 19th. Truist Financial increased their price target on shares of Brunswick from $93.00 to $94.00 and gave the stock a “buy” rating in a research note on Monday, July 6th. JPMorgan Chase & Co. lifted their price objective on shares of Brunswick from $78.00 to $83.00 and gave the company a “neutral” rating in a research note on Tuesday, April 28th. Finally, Wall Street Zen cut shares of Brunswick from a “buy” rating to a “hold” rating in a research note on Saturday, April 25th. One analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, seven have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Brunswick has a consensus rating of “Hold” and a consensus target price of $87.07.

Insiders Place Their Bets

In other news, CEO David M. Foulkes sold 25,853 shares of the firm’s stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $83.12, for a total value of $2,148,901.36. Following the completion of the transaction, the chief executive officer owned 267,528 shares in the company, valued at $22,236,927.36. This trade represents a 8.81% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Company insiders own 0.99% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of BC. iSAM Funds UK Ltd acquired a new stake in Brunswick during the 3rd quarter valued at $823,000. VARCOV Co. acquired a new position in shares of Brunswick in the fourth quarter worth $703,000. Fox Run Management L.L.C. purchased a new stake in shares of Brunswick in the fourth quarter valued at $652,000. Pinebridge Investments LLC acquired a new stake in shares of Brunswick during the fourth quarter valued at $650,000. Finally, WINTON GROUP Ltd acquired a new stake in shares of Brunswick during the second quarter valued at $551,000. 99.34% of the stock is owned by hedge funds and other institutional investors.

About Brunswick

Founded in 1845 by John Moses Brunswick, Brunswick Corporation is a global leader in recreation products. Headquartered in Mettawa, Illinois, the company has evolved from its origins as a billiard table manufacturer into a diversified supplier of leisure equipment, serving both consumer and commercial markets around the world.

Brunswick operates through two primary segments: Marine and Bowling & Billiards. In its Marine segment, the company designs, manufactures and distributes recreational boats, outboard engines and aftermarket parts under recognized brands such as Sea Ray, Bayliner and Mercury Marine.