MarineMax posts $527m revenue as new boat sales tumble
MarineMax owns superyacht brands Fraser Yachts and Northrop & Johnson.
Recreational yacht and boar retailer MarineMax posted a 16% year-over-year decline in revenue owing to high base effect from last year’s second quarter sales which saw a surge owing to the release of pent-up demand caused by hurricane closings in Florida.
“Our fiscal second-quarter results reflected ongoing industry headwinds in the retail environment for new and used boat sales; however, our higher‑margin businesses once again provided important balance, stability and growth, helping to offset much of the pressure caused by the decline in boat revenue,” said MarineMax CEO and president Brett McGill.
The revenue declines were broad-based but more pronounced in the used boat sales which fell 44%YoY to $50.1m from $89m. New boat sales also tumbled 18%YoY to $328.6m. Revenue from other segments including maintenance and repair services, finance and insurance products also declined. On the flipside, storage and charter rentals, parts and accessories and brokerage sales were up during the three months under review.,
“For the quarter, revenue was $527m. We expected revenue to be down given the comparison, but it was softer than expected due to the increased global uncertainty. Most of the decline was due to a 15% decrease in same-store sales, driven by lower new and used boat revenue,” said Michael McLamb, executive vice president and chief financial officer of MarineMax.
While revenues slid owing to base effect from higher sales last year, the company did see significant expansion in gross margins which rose 440 basis points to 34.4% of the revenue clocking in at $181.3m.
“Higher-margin businesses, including our service and parts, finance and insurance, superyacht services and marinas, including IGY, all performed well in the quarter, growing as a percentage of revenue and importantly, year-over-year in absolute dollars,” said McLamb.
Selling, general, and administrative (SG&A) expenses were $170.4m – 32.3% of revenue, compared with SG&A expenses of $166.8m, or 26.4% of revenue, in the prior-year period.
Interest expense was $14.7m – 2.8% of revenue, reflecting lower interest rates and reduced inventory levels. Overall, the company’s inventory fell to $845.4m from $867.3m owing to significant drawdown in new and used boats, motors and trailers which fell 10% to $704m.
Overall, the net loss for the quarter stood at $2.6m compared to net income of $3.3m in the comparable period last year.
The company’s cash and cash equivalents were $189.1mat quarter end, compared with $203.5 million in the prior-year period and $170.4 million at the end of fiscal 2025.
Despite the lower-than-expected performance of the second quarter, MarineMax CEO McGill reaffirmed the 2026 guidance of EBITDA to be in the range of $110m to $125m and adjusted net income in the range of $0.40 to $0.95 per diluted share.
“As we look ahead, we recognise that geopolitical uncertainty and macroeconomic dynamics may continue to influence consumer behaviour over the next several quarters,” McGill concluded. “That said, our diversified business model, strong balance sheet and continued growth in higher-margin businesses position us well to navigate the environment and drive long-term value creation.”
