MARINE PRODUCTS CORPORATION

MARINE PRODUCTS CORPORATION_June 30, 2025

Table of Contents

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2025

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________to__________

Commission File No. 1-16263

MARINE PRODUCTS CORPORATION

(exact name of registrant as specified in its charter)

Delaware	58-2572419
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification Number)

2801 Buford Highway, Suite 300, Atlanta, Georgia 30329

(Address of principal executive offices) (zip code)

(404) 321-7910

Registrant’s telephone number, including area code

Securities registered pursuant to Section 12(b) of the Act:

Title of each class:		Trading Symbol(s)		Name of each exchange on which registered:
Common stock, par value $0.10		MPX		New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ⌧ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ⌧ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	⌧
Non-accelerated filer	☐	Smaller reporting company	☐
Emerging Growth Company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ⌧

As of July 18, 2025, Marine Products Corporation had 34,996,050 shares of common stock outstanding.

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Marine Products Corporation

Table of Contents

		Page No.
Part I. Financial Information

Item 1.	Financial Statements (Unaudited)

	Consolidated Balance Sheets – As of June 30, 2025, and December 31, 2024	3

	Consolidated Statements of Operations – for the three and six months ended June 30, 2025 and 2024	4

	Consolidated Statements of Stockholders’ Equity – for the three and six months ended June 30, 2025 and 2024	5

	Consolidated Statements of Cash Flows – for the six months ended June 30, 2025 and 2024	6

	Notes to Consolidated Financial Statements	7 - 15

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	16

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	25

Item 4.	Controls and Procedures	25

Part II. Other Information

Item 1.	Legal Proceedings	26

Item 1A.	Risk Factors	26

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	26

Item 3.	Defaults upon Senior Securities	26

Item 4.	Mine Safety Disclosures	26

Item 5.	Other Information	26

Item 6.	Exhibits	27

Signatures		28

Table of Contents

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

MARINE PRODUCTS CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

AS OF JUNE 30, 2025, AND DECEMBER 31, 2024

(In thousands, except shares and par value data)


	June 30,		December 31,
	2025		2024
ASSETS		(Unaudited)	(Note 1)
Cash and cash equivalents	$	50,171	$	52,379
Accounts receivable, net of allowance for credit losses of $11 in 2025 and $11 in 2024		6,053		4,176
Inventories		51,185		49,960
Income taxes receivable		154		439
Retirement plan assets		19,064		—
Prepaid expenses and other current assets		4,509		3,040
Total current assets		131,136		109,994
Property, plant and equipment, net of accumulated depreciation of $35,985 in 2025 and $34,409 in 2024		23,210		24,247
Goodwill		3,308		3,308
Other intangibles, net		465		465
Deferred income taxes		10,126		9,729
Retirement plan assets		—		18,489
Other long-term assets		5,000		5,015
Total assets	$	173,245	$	171,247

LIABILITIES AND STOCKHOLDERS’ EQUITY
Liabilities
Accounts payable	$	7,154	$	5,499
Retirement plan liabilities		22,252		—
Accrued expenses and other liabilities		14,880		13,425
Total current liabilities		44,286		18,924
Retirement plan liabilities		—		21,667
Other long-term liabilities		1,728		1,653
Total liabilities		46,014		42,244
Commitments and contingencies (Note 14)

Stockholders’ Equity
Preferred stock, $0.10 par value, 1,000,000 shares authorized, none issued		—		—
Common stock, $0.10 par value, 74,000,000 shares authorized, issued and outstanding – 34,996,050 shares in 2025 and 34,707,304 shares in 2024		3,499		3,471
Capital in excess of par value		—		—
Retained earnings		123,732		125,532
Total stockholders’ equity		127,231		129,003
Total liabilities and stockholders’ equity	$	173,245	$	171,247

The accompanying notes are an integral part of these consolidated financial statements.

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MARINE PRODUCTS CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2025 AND 2024

(In thousands except per share data)

(Unaudited)


	Three months ended June 30,				Six months ended June 30,
	2025		2024		2025		2024
Net sales	$	67,698	$	69,547	$	126,700	$	138,887
Cost of goods sold		54,789		56,373		102,838		111,729
Gross profit		12,909		13,174		23,862		27,158
Selling, general and administrative expenses		8,098		7,424		16,438		16,166
Operating income		4,811		5,750		7,424		10,992
Interest income, net		476		879		918		1,730
Income before income taxes		5,287		6,629		8,342		12,722
Income tax provision		1,125		1,044		1,974		2,540
Net income	$	4,162	$	5,585	$	6,368	$	10,182

Earnings per share
Basic	$	0.12	$	0.14	$	0.18	$	0.28
Diluted	$	0.12	$	0.14	$	0.18	$	0.28

The accompanying notes are an integral part of these consolidated financial statements.

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MARINE PRODUCTS CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2025 AND 2024

(In thousands)

(Unaudited)


	Six Months Ended June 30, 2025
				Capital in
	Common Stock			Excess of		Retained
	Shares	Amount		Par Value		Earnings		Total
Balance, December 31, 2024	34,707	$	3,471	$	—	$	125,532	$	129,003
Stock issued for stock incentive plans, net	363		36		1,105		—		1,141
Stock purchased and retired	(115)		(12)		(1,105)		62		(1,055)
Net income	—		—		—		2,206		2,206
Cash dividends ($0.14 per share)	—		—		—		(4,894)		(4,894)
Balance, March 31, 2025	34,955		3,495		—		122,906		126,401
Stock issued for stock incentive plans, net	41		4		1,565		—		1,569
Stock purchased and retired	—		—		(1,565)		1,565		—
Net income	—		—		—		4,162		4,162
Cash dividends ($0.14 per share)	—		—		—		(4,901)		(4,901)
Balance, June 30, 2025	34,996	$	3,499	$	—	$	123,732	$	127,231

SEC Form 10-Q filed by Marine Products Corporation