MarineMax to delve deeper into superyacht market
MarineMax plans to broaden its business strategy, including through recent acquisitions of Fraser Yachts Group, Northrop & Johnson and Skipperbud’s, to increase its superyacht brokerage and luxury yacht services and marina and storage services. The US-based maritime giant is hoping that this “broadening of strategy” will potentially increase margins.
The company published its 10-K Annual Report today (December 3rd) in which it set out its aims for the near future. Since MarineMax’s initial acquisitions in March 1998, it has acquired 30 additional recreational boat dealers, four boat brokerage operations, and two full-service yacht repair operations.
Through Fraser Yachts and Northrop & Johnson the company offers yacht and superyacht brokerage. With these acquisitions being relatively new, during fiscal 2020, brokerage sales commissions accounted for 2.6% or $39m of revenue.
The firm is looking to increase this and believes the services it offers alongside a vessel brokered through them will help do so. “The purchaser of a boat brokered through us also can take advantage of MarineMax Getaways! weekend and day trips and other rendezvous gatherings and in-water events, as well as boat operation and safety seminars,” according to the company. “We believe that the array of services we offer are unique in the brokerage business.”
On charter, MarineMax reported that its yacht charter fleet resumed charters during fiscal 2019 on a limited basis before returning to full operations in January 2020. However, beginning in March 2020, it temporarily closed its dedicated charter facilities in the British Virgin islands and yacht charters based on guidance from local government and health officials as a result of Covid-19.
“We expect yacht charters to resume during fiscal 2021, but impact of the Covid-19 pandemic and the duration for which it may have an impact cannot be determined at this time.”
See the full report and any other investor related MarineMax publications here.