About Brunswick Corporation
Brunswick Corporation (NYSE: BC) is an American publicly traded company and a global leader in marine recreation and technology. Founded in 1845 and headquartered in Mettawa, Illinois, USA, it designs, manufactures, and markets a wide range of recreational marine products, including boat propulsion systems, boats, parts, and accessories sold worldwide.
The company owns more than 60 well-known brands such as Mercury Marine, Sea Ray, Boston Whaler, and Bayliner and operates in over two dozen countries with around 15,000 employees. Brunswick focuses on innovation in boating experiences and services, serving both consumers and marine industry partners.
4Q 2025 Highlights
Brunswick reported revenue of about $1.33 billion in net sales, roughly 16% higher than Q4 2024. Adjusted diluted earnings per share (EPS) for the quarter were $0.58, up significantly year-over-year, with adjusted operating earnings of around $66.6 million. All major business segments returned to sales growth in the quarter, including propulsion, boat, and parts & accessories.
On a GAAP basis, the company generated operating earnings of $41.9 million, resulting in an operating margin of 3.1%, which declined by 790 basis points year-over-year. Diluted earnings per share (EPS) from continuing operations under GAAP were $0.28, with the year-over-year comparison considered not meaningful.
Full Year 2025 Summary
Full year revenue was approximately $5.36 billion, a modest increase from the prior year. On a GAAP basis, Brunswick posted a loss for the year. However, on an adjusted basis, the company reported $3.27 in diluted EPS, down from the prior year. Brunswick generated strong free cash flow of roughly $442 million, enabling capital returns to shareholders and debt reduction.
On a GAAP basis, the company recorded an operating loss of $40.7 million, resulting in an operating margin of minus 0.8%, a decline of 670 basis points year-over-year. Diluted earnings per share (EPS) from continuing operations under GAAP were a loss of $2.06, with the year-over-year comparison considered not meaningful.
On an as-adjusted basis, Brunswick generated operating earnings of $371.1 million, which was down 25.1% versus FY 2024. The adjusted operating margin was 6.9%, reflecting a 260-basis-point decrease year-over-year.
Segment Highlights
Propulsion (Mercury Marine): Delivered strong Q4 revenue and earnings growth across outboard, sterndrive, and controls/rigging/propellers. Mercury maintained market-share leadership in the U.S., Canada, and Europe and showcased innovation with the new “808” high-horsepower outboard concept.
Parts & Accessories / Distribution: A high-margin recurring-revenue business that posted higher Q4 sales and earnings, supported by solid boating activity and 210 basis-point market-share gains in U.S. distribution.
Navico Group: Increased both revenue and operating margin year-over-year, driven by product refreshes and operational improvements, including the launch of the Simrad AutoCaptain autonomous boating system.
Boats Segment: Benefited from improving retail demand, delivering sales growth and margin expansion. Discounting improved by about 100 basis points, premium brands showed strong momentum (including 15% revenue growth at the Fort Lauderdale Boat Show), and value brands began to recover.
Freedom Boat Club: Continued expansion to 442 global locations, with member trips exceeding 640,000, up 5% year-over-year.
Cash Flow and Balance Sheet
Cash and marketable securities totaled $275.7 million at the end of 2025, down $11.0 million from year-end 2024 levels. Net cash provided by operating activities of continuing operations totaled $585.7 million during the year, including net earnings net of non-cash items and the impact of changes in working capital.
Investing and financing activities resulted in net cash usage of $582.9 million during 2025, primarily including $412.6 million of long-term debt repayments, $165.8 million of capital expenditures, $112.6 million of dividend payments, and $80.0 million of share repurchases, net of $173.1 million of net proceeds from short-term debt.
Outlook for 2026
Brunswick provided positive guidance for 2026, projecting net sales in the range of $5.6 billion to $5.8 billion, and adjusted diluted EPS of $3.80 to $4.40, along with expected margin improvement and continued strong cash flow generation. Brunswick projects U.S. marine industry boat unit retail sales to be flat-to-slightly up versus 2025.
Net sales is expected to be between $5.6 billion and $5.8 billion. Adjusted operating margin is projected to be between 7.5% and 8%. Expects free cash flow in excess of $350 million. First quarter 2026 revenue is expected to be between $1.2 billion to $1.4 billion, and adjusted diluted EPS of $0.35 to $0.45.
