MarineMax posts record fiscal results in past quarter
MarineMax has posted record sales and earnings growth for the quarter ending December 31st, 2020. W. Brett McGill, President and CEO, said: “We delivered record sales and earnings growth in the quarter on top of very strong performance a year ago, as we continue to outperform by effectively executing on our balanced growth strategy.”
The US’ largest yacht retailer said that revenue increased by over $107m, to $411.5m for the quarter from $304.2m in the comparable period last year.
Same-store sales grew over 20% in the quarter, driven by growth in new units sold of more than 35%. The 20% same-store sales growth was on top of 24% growth in the comparable quarter last year, pointing to a continued strength of demand.
Following the firm’s expansion over the past several years, in tandem with increased demand, net income and earnings (per diluted share) more than doubled to $23.6m and $1.04, respectively. This compares with figures of $9.1m and $0.41 in the same period last year.
McGill continued: “We grew market share as we drove 20% same-store-sales growth that was fuelled by greater overall unit growth. Our entire team contributed to these impressive results, supported by our global market presence, premium brands, exceptional customer service and ongoing investments in technology. The meaningful margin expansion in the quarter was bolstered by growth in product margins, storage and service, Fraser Yachts and Northrop & Johnson, our global super yacht services businesses and our finance and insurance businesses. Our focus on driving margins and improving our cost structure continues to produce significant leverage in our operating model.”
The companies will continue to pursue opportunities to expand the business, added McGill.
“Furthermore, we are realising meaningful benefit from the foundational shift of new customers embracing and enjoying the boating lifestyle. This shift positions us to build on our growth for years to come, as many existing and new customers should upgrade to larger boats and take advantage of our multitude of product and service offerings. With the largest selling season ahead, we expect to build on the strong start to our fiscal year.”
At December 31st, 2020, the company’s financial capacity, consisting of cash and cash equivalents, along with available borrowings under its credit facilities, exceeded $254m .
At a glance: MarineMax first quarter
-Record December quarter revenue grows 35% to over $411m
-Same-store sales growth exceeds 20% vdriven by 35% comparable new unit growth
-Gross margin e xpands to a record 30% in the quarter
-Record December quarter net income increases to $23.6m
-Diluted EPS more than doubles to $1.04
– Raises fiscal year 2021 guidance.