Brunswick Corporation reported third quarter 2026 net sales of $1.45 billion, up 7 per cent year on year. Adjusted diluted earnings per share came in at $1.58, up 63 per cent on the same quarter last year.
The marine group also raised its full-year adjusted EPS guidance to approximately $4.65. That is up from a $4.55 midpoint set in July, and 42 per cent ahead of the $3.27 Brunswick reported for all of 2025.
It was the fifth consecutive quarter of year-on-year sales growth across all four reporting segments, Propulsion, Engine Parts and Accessories, Navico Group and Boat, each of which also expanded adjusted operating margin by at least 140 basis points. Chairman and Chief Executive Officer David Foulkes said:
“Brunswick delivered another strong quarter characterized by solid execution across the enterprise, with financial performance ahead of expectations and year-over-year sales growth across all reporting segments for the fifth consecutive quarter. Adjusted operating margin increased by 230 basis points and across all segments versus the prior year.”
On a GAAP basis, operating earnings were $104.0 million, a sharp turnaround from the $242.2 million loss posted in the third quarter of 2025, when the company booked $333.8 million in restructuring, exit and impairment charges. Stripping out one-off items, adjusted operating earnings were $146.7 million, up 38 per cent, with adjusted operating margin expanding 230 basis points to 10.1 per cent. GAAP diluted EPS was $1.01, against a $3.57 loss per share a year earlier.
Segment Performance
Propulsion net sales rose 7 per cent to $570.5 million. Adjusted operating earnings were up 51 per cent at $68.6 million, with adjusted operating margin up 350 basis points to 12.0 per cent. Brunswick credited steady OEM demand in a low pipeline environment, a favourable product mix and lighter tariff costs than a year ago. Mercury Marine held a rolling 12-month US outboard retail share of 46 per cent, while US outboard pipelines were down around 3 per cent year on year.
Engine Parts and Accessories posted its highest third quarter net sales since 2020, up 5 per cent to $380.9 million. Adjusted operating earnings rose 14 per cent to $93.6 million, with adjusted operating margin reaching 24.6 per cent, up 190 basis points. Brunswick pointed to sustained boater participation and continued share gains at its Land ‘N’ Sea distribution arm, whose rolling 12-month share rose 120 basis points to around 43 per cent.
Navico Group net sales increased 6 per cent to $197.7 million. Adjusted operating earnings were up 36 per cent at $12.0 million, with adjusted operating margin up 140 basis points to 6.1 per cent. Growth came from OEM wins and new product launches across Electronics, Power Systems and Performance Components, including Saxdor’s adoption of Simrad AutoCaptain, which Brunswick said made it the first independent and international OEM to integrate the system.
Boat segment net sales grew 9 per cent to $394.4 million, with adjusted operating earnings doubling to $14.2 million and adjusted operating margin up 160 basis points to 3.6 per cent. Saltwater fishing sales rose 30 per cent and aluminium freshwater sales rose 13 per cent, more than offsetting a planned reduction in value-tier models. Freedom Boat Club, part of the segment’s Business Acceleration portfolio, reached an estimated 69 per cent of the North American boat club market, up four percentage points, with member trips up more than 3 per cent year to date.
Guidance Raised, Tariff Costs Steady
Brunswick lifted its full-year 2026 adjusted diluted EPS guidance to approximately $4.65, from a previous range of $4.35 to $4.75. Revenue guidance was held at $5.7 billion to $5.8 billion, and adjusted operating margin guidance at approximately 8.0 per cent.
On capital returns, the company raised its share repurchase target to more than $80 million for the year, having already completed $75 million, and kept its debt retirement target at $160 million or more, having retired $100 million of short-term debt in the first nine months.
Brunswick held its 2026 net incremental tariff estimate at approximately $40 million. It recognised around $3 million of gross IEEPA refunds in the quarter and $33 million year to date, and said it expects $60 million to $70 million in total gross refunds, with most of the remainder due in 2027.
Leadership Transition Progresses
The results follow Brunswick’s announcement in September that Aine Denari, currently President of Navico Group and Brunswick’s Chief Technology Officer, will succeed Foulkes as Chief Executive Officer effective January 1, 2027. On the earnings call, Foulkes said the company’s strategy, capital allocation priorities and long-term Investor Day targets remain unchanged under the transition. Denari joined the call in her current Navico Group capacity and did not take questions on other topics.
About Brunswick Corporation
Brunswick Corporation (NYSE: BC) is a global leader in marine recreation, home to more than 60 brands across marine propulsion, including Mercury Marine, parts and accessories, marine electronics including Simrad and Lowrance, and boat brands including Boston Whaler, Sea Ray, Bayliner, Lund and Harris. Headquartered in Mettawa, Illinois, the company has approximately 14,000 employees operating in 26 countries.
John Moore is the editor of Powerboat News, an independent investigative journalism platform recognised by Google News and documented on Grokipedia for comprehensive powerboat racing coverage.
His involvement in powerboat racing began in 1981 when he competed in his first offshore powerboat race. After a career as a Financial Futures broker in the City of London, specialising in UK interest rate markets, he became actively involved in event organisation and powerboat racing journalism.
He served as Event Director for the Cowes–Torquay–Cowes races between 2010 and 2013. In 2016, he launched Powerboat Racing World, a digital platform providing global powerboat racing news and insights. The following year, he co-founded UKOPRA, helping to rejuvenate offshore racing in the United Kingdom. He sold Powerboat Racing World in late 2021 and remained actively involved with UKOPRA until 2025.
In September 2025, he established Powerboat News, returning to independent journalism with a focus on neutral and comprehensive coverage of the sport.
