Form 4: Malibu Boats Executive Chair Michael K. Hooks Acquires Shares Through Director Compensation Policy

Michael K. Hooks, Executive Chair of Malibu Boats, acquired 612 shares of Class A Common Stock as part of the company's director compensation policy.

Summary

• On April 1, 2024, Michael K. Hooks, the Executive Chair of Malibu Boats, Inc., acquired 612 shares of Class A Common Stock at a price of $43.28 per share.
• This acquisition was made pursuant to the Issuer's Directors' Compensation Policy, where directors can elect to receive their annual retainer in the form of Class A Common Stock or stock units.
• Following the transaction, Hooks directly owns 61,257 shares of Class A Common Stock, including stock units.
• Hooks also indirectly owns 12,500 shares through the MK 2012 Irrevocable Trust.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive as it reflects standard executive compensation practices and continued investment in the company.

Positives

• The acquisition reflects Hooks' continued investment in Malibu Boats.
• The director compensation policy aligns directors' interests with those of shareholders.

Future Outlook

The stock units are fully vested and payable in an equivalent number of shares of the Issuer's Class A Common Stock upon the first to occur of (A) the date of the reporting person's separation from service, (B) the occurrence of a change in control under the Issuer's Long-Term Incentive Plan or (C) an in-service distribution date elected by the reporting person.

Industry Context

This type of transaction is common for executives and board members, aligning their compensation with the company's stock performance.

Comparison to Industry Standards

• Director compensation policies vary across the industry, but equity-based compensation is a common practice to align director and shareholder interests.
• Comparable companies like MasterCraft Boat Holdings, Inc. also utilize equity-based compensation for their directors.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns the interests of the Executive Chair with the company's performance.

Key Dates