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Exhibit 99.1

 

MARINEMAX REPORTS THIRD QUARTER FISCAL 2018 RESULTS

~ Quarterly Revenue Grew Approximately 10% to $361.3 Million ~

~ 8% Quarterly Same-Store Sales Growth ~

~ Year-to-Date Diluted EPS Grows Over 55% ~

~ Reaffirms Annual Guidance Range for Fiscal 2018 ~

 

CLEARWATER, FL, July 26, 2018 – MarineMax, Inc. (NYSE: HZO), the nation’s largest recreational boat and yacht retailer, today announced results for its third quarter ended June 30, 2018.  

 

Revenue increased approximately 10% to $361.3 million for the quarter ended June 30, 2018, compared with $329.8 million for the June quarter last year, as same-store sales grew 8%.  Included in the quarter ended June 30, 2018, was approximately $1.2 million before taxes, or $0.04 per diluted share, of non-recurring unusual costs.  Net income for the quarter ended June 30, 2018, increased about 22% year-over-year to $17.4 million, while earnings per diluted share grew approximately 32% to $0.75, compared to $0.57 for the comparable quarter last year.  Excluding the non-recurring unusual costs, earnings per diluted share grew 39% to $0.79 in the quarter ended June 30, 2018.  

 

Revenue grew over 8% to $868.8 million for the nine months ended June 30, 2018, compared with $801.7 million for the same period last year.  Same-store sales increased approximately 6% on top of similar growth for the comparable period last year.  Net income for the nine months ended June 30, 2018, rose over 41% to $27.8 million, or $1.21 per diluted share, compared with $19.6 million, or $0.78 per diluted share for the comparable period last year.   Excluding the non-recurring unusual costs, earnings per diluted share increased over 60% to $1.25 in the nine months ended June 30, 2018.    

 

William H. McGill, Jr., Chairman and Chief Executive Officer stated, “We drove strong growth in the quarter, with solid contributions across almost all our segments and brand offerings.  Despite some larger boat choppiness as suggested by industry data, we believe we continue to take market share through our proven strategies and leading brands.  While our top line sales were healthy, margins did come under some pressure, largely due to the anticipated Brunswick sale of Sea Ray.  Furthermore, in addition to the non-recurring unusual costs, we incurred significant healthcare cost increases in the quarter.  The great news is that generally, industry fundamentals are sound, and with Brunswick retaining the Sea Ray brand, the margin pressure should subside as we move ahead.”

 

McGill continued, “As expected, our inventory and outstanding borrowings declined year-over-year while same-store sales continue to grow, increasing inventory turns and cash flow.  The mix of our inventory is well positioned in terms of model line-up and model age.  Our balance sheet remains very strong, which supports our ability to take advantage of opportunities as they arise.  As we head into the rest of the summer season, our team is focused, our backlog is up, and we plan to build upon the already strong year to date earnings and cash flow as we close out fiscal 2018.”

 

 

~ more ~

 

 

 



 

2018 Guidance

Based on current business conditions, retail trends and other factors, the Company is reaffirming its annual guidance range expectations for fully taxed earnings per diluted share to be in the range of $1.44 to $1.50 for fiscal 2018. These expectations do not take into account, or give effect for future material acquisitions that may be completed by the Company during the fiscal year or other unforeseen events.

About MarineMax

Headquartered in Clearwater, Florida, MarineMax is the nation’s largest recreational boat and yacht retailer. Focused on premium brands, such as Sea Ray, Boston Whaler, Meridian, Hatteras, Azimut Yachts, Ocean Alexander, Galeon, Grady-White, Harris, Bennington, Crest, Mastercraft, Scout, Sailfish, Sea Pro, Sportsman, Scarab Jet Boats, Tige’, Aquila, NauticStar, Nautique and Yamaha Jet Boats. MarineMax sells new and used recreational boats and related marine products and services as well as provides yacht brokerage and charter services. MarineMax currently has 63 retail locations in Alabama, Connecticut, Florida, Georgia, Maryland, Massachusetts, Minnesota, Missouri, New Jersey, New York, North Carolina, Ohio, Oklahoma, Rhode Island, South Carolina and Texas and operates MarineMax Vacations in Tortola, British Virgin Islands. MarineMax is a New York Stock Exchange-listed company. For more information, please visit www.marinemax.com.

Forward Looking Statement

Certain statements in this press release are forward-looking as defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include the Company's anticipated financial results for the third quarter ended June 30, 2018; the Company’s belief that margin pressure should subside; the Company’s plan to build upon the already strong year to date earnings and cash flow growth; and the Company's fiscal 2018 guidance. These statements are based on current expectations, forecasts, risks, uncertainties and assumptions that may cause actual results to differ materially from expectations as of the date of this release. These risks, assumptions and uncertainties include the Company’s abilities to reduce inventory, manage expenses and accomplish its goals and strategies, the quality of the new product offerings from the Company's manufacturing partners, general economic conditions, as well as those within the Company’s industry, the level of consumer spending, the Company’s ability to integrate acquisitions into existing operations, the continued recovery of the industry, and numerous other factors identified in the Company’s Form 10-K for the fiscal year ended September 30, 2017 and other filings with the Securities and Exchange Commission. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

 

Contact:

Michael H. McLambBrad Cohen

Chief Financial OfficerICR, LLC.

Abbey Heimensen203.682.8211

Public Relations, MarineMax, Inc.bcohen@icrinc.com

727.531.1700

  

 

~ more ~

 


 

 

 

MarineMax, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations

(Amounts in thousands, except share and per share data)

(Unaudited)

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

 

June 30,

 

June 30,

 

 

 

2018

 

 

2017

 

2018

 

 

2017

 

Revenue

 

$

361,254

 

 

$

329,809

 

$

868,780

 

 

$

801,702

 

Cost of sales

 

 

270,567

 

 

 

245,017

 

 

649,551

 

 

 

602,713

 

Gross profit

 

 

90,687

 

 

 

84,792

 

 

219,229

 

 

 

198,989

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selling, general, and administrative expenses

 

 

64,089

 

 

 

59,557

 

 

172,994

 

 

 

161,433

 

Income from operations

 

 

26,598

 

 

 

25,235

 

 

46,235

 

 

 

37,556

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

2,499

 

 

 

1,897

 

 

7,881

 

 

 

5,511

 

Income before income tax provision

 

 

24,099

 

 

 

23,338

 

 

38,354

 

 

 

32,045

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income tax provision

 

 

6,723

 

 

 

9,094

 

 

10,582

 

 

 

12,409

 

Net income

 

$

17,376

 

 

$

14,244

 

$

27,772

 

 

$

19,636

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic net income per common share

 

$

0.78

 

 

$

0.59

 

$

1.25

 

 

$

0.81

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted net income per common share

 

$

0.75

 

 

$

0.57

 

$

1.21

 

 

$

0.78

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of common shares

   used in computing net income per common share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

22,399,079

 

 

 

24,336,777

 

 

22,185,736

 

 

 

24,293,512

 

Diluted

 

 

23,182,546

 

 

 

25,095,398

 

 

22,944,581

 

 

 

25,045,046

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


MarineMax, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets

(Amounts in thousands)

(Unaudited)

 

 

 

 

 

June 30,

 

 

June 30,

 

 

 

2018

 

 

2017

 

ASSETS

 

 

 

 

 

 

 

 

CURRENT ASSETS:

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

62,108

 

 

$

58,930

 

Accounts receivable, net

 

 

42,683

 

 

 

41,696

 

Inventories, net

 

 

379,425

 

 

 

385,277

 

Prepaid expenses and other current assets

 

 

6,001

 

 

 

5,872

 

Total current assets

 

 

490,217

 

 

 

491,775

 

 

 

 

 

 

 

 

 

 

Property and equipment, net

 

 

130,684

 

 

 

127,750

 

Goodwill and other long-term assets, net

 

 

31,916

 

 

 

29,978

 

Deferred tax assets, net

 

 

3,095

 

 

 

11,753

 

Total assets

 

$

655,912

 

 

$

661,256

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

CURRENT LIABILITIES:

 

 

 

 

 

 

 

 

Accounts payable

 

$

20,773

 

 

$

25,634

 

Customer deposits

 

 

22,865

 

 

 

22,451

 

Accrued expenses

 

 

35,391

 

 

 

33,547

 

Short-term borrowings

 

 

232,764

 

 

 

241,642

 

Total current liabilities

 

 

311,793

 

 

 

323,274

 

Long-term liabilities

 

 

2,497

 

 

 

3,250

 

Total liabilities

 

 

314,290

 

 

 

326,524

 

SHAREHOLDERS' EQUITY:

 

 

 

 

 

 

 

 

Preferred stock

 

 

 

 

 

 

Common stock

 

 

27

 

 

 

26

 

Additional paid-in capital

 

 

262,320

 

 

 

248,600

 

Retained earnings

 

 

154,531

 

 

 

122,848

 

Treasury stock

 

 

(75,256

)

 

 

(36,742

)

Total shareholders’ equity

 

 

341,622

 

 

 

334,732

 

Total liabilities and shareholders’ equity

 

$

655,912

 

 

$

661,256

 

 

 

 

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