One of the men was located alive on the beach.
He was flown directly to Hawke's Bay Hospital but has since been discharged.
The body of the 63-year-old male was located on rocks nearby and was recovered by the Rescue Helicopter this morning.
Senior Sergeant Luke Shadbolt said it appeared the men weren't wearing life jackets when the boat flipped. He said the boat had been well equipped with life jackets and safety equipment.
"It is a tragedy when an afternoon of recreational fishing ends in tragedy and shows the importance of wearing life jackets at all times as incidents like this can develop very quickly."
The matter has been referred to the Coroner.