Company: MCFT
Filing Date: 2025-08-27
Form Type: 10-K
Source: 0000950170-25-111682
Chunk: 52

Company: MasterCraft Boat Holdings, Inc.
Filing Date: 2025-08-27
Form: 10-K
Item: Item 6
Chunk 52
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 remaining estimated useful lives, a potential sale, and a potential exit of the business other than through a sale and concluded that the carrying value of the asset group was not recoverable. The fair value of the fixed assets, which primarily are comprised of land, building, machinery and equipment, was estimated using fair value techniques, resulting in an impairment charge of $6.9 million against the asset group’s fixed assets.Further, in analyzing future cash flows used in the impairment analysis, the Company identified excess inventory not expected to be used in future production. As a result, the Company recognized a $2.4 million write-off to reduce inventory amounts to their net realizable value.As a result of our impairment analyses, we recorded total impairment charges of $9.8 million related to the Aviara reporting unit’s property, plant, equipment, inventory, and other assets. 4. SHORT-TERM INVESTMENTSWe invest a portion of our cash and cash equivalents in short-term investments, which primarily consist of investment grade corporate bonds and U.S. treasury bills. During the second quarter of fiscal 2025, the Company sold certain investment securities prior to maturity to repay outstanding amounts under the revolving credit facility (see Note 9) and, as a result, reclassified its held-to-maturity securities to available-for-sale securities. The Company determined the amortized cost of available-for-sale securities as of June 30, 2025 approximate their fair value because of the short-term nature of the investments.The following tables summarize investments held by the Company as of:

         June 30, 2025

         Gross

         Gross

         Amortized

         Unrealized

         Unrealized

         Fair

         Cost

         Gains

         Losses

         Value

         Available-for-sale securities:

         Fixed income securities:

         Corporate bonds
          
         $
         45,221

         $
         18

         $
         (7
         )
          
         $
         45,232

         U.S. treasury bills

         5,297

         —

         (1
         )

         5,296

         Total available-for-sale securities
          
         $
         50,518

         $
         18

         $
         (8
         )
          
         $
         50,528

         June 30, 2024

         Gross

         Gross

         Amortized

         Unrealized

         Unrealized

         Fair

         Cost

         G