TAMPA,
Fla., Nov. 18, 2024 /PRNewswire/ -- Lazydays
Holdings, Inc. (Nasdaq: GORV) today announced its third quarter
2024 earnings results.
Ron Fleming,
Interim CEO, said, "Despite challenging financial results during
the third quarter, which continued to be impacted by economic and
other industry-wide demand headwinds, we are very encouraged by the
completion of last week's recapitalization transactions. These
transformative transactions have fortified the Company's financial
foundation and operational focus and mark a turning point for
Lazydays as we position ourselves for a stronger, more agile
future. With a streamlined balance sheet, enhanced liquidity, and a
simplified dealership network, we are better equipped to navigate
the evolving RV landscape and deliver on our commitment to industry
leadership."
Total revenue for the third quarter was $213.5 million compared to $280.7 million for the same period in 2023.
Total revenue for the nine months ended September 30, 2024 was
$722.7 million compared to
$884.7 million for the same
period in 2023.
Net loss for the third quarter was $17.7 million compared to net loss of
$5.6 million for the same period
in 2023. Adjusted net loss, a non-GAAP measure, was $16.2 million compared to adjusted net loss
of $2.9 million for the same
period in 2023. Net loss per diluted share was $1.37 compared to net loss per diluted share of
$0.48 for the same period in 2023.
Adjusted net loss per diluted share, a non-GAAP measure, was
$1.27 compared to adjusted net loss
per diluted share of $0.29 for the
same period in 2023.
Net loss for the nine months ended September 30, 2024
was $83.9 million compared to net
loss of $2.3 million for the
same period in 2023. Adjusted net loss, a non-GAAP measure,
was $62.1 million compared to
adjusted net income of $2.2 million
for the same period in 2023. Net loss per diluted share was
$6.24 compared to net loss per
diluted share of $0.49 for the same
period in 2023. Adjusted net loss per diluted share, a non-GAAP
measure, was $4.73 compared to
adjusted net loss per diluted share of $0.07 for the same period in 2023.
See Reconciliation of Non-GAAP Measures for additional details
regarding our adjusted results of operations.
Conference Call Information
We have scheduled a
conference call at 8:30 AM Eastern Time on
Tuesday, November 19, 2024 that will also be broadcast
live over the internet.
The conference call may be accessed by telephone at (877)
407-8029 / +1 (201) 689-8029. To listen live on our website or for
replay, visit https://www.lazydays.com/investor-relations.
About Lazydays
Lazydays has been a prominent player in
the RV industry since our inception in 1976, earning a stellar
reputation for delivering exceptional RV sales, service, and
ownership experiences. Our commitment to excellence has led to
enduring relationships with RVers and their families who rely on us
for all of their RV needs.
Our wide selection of RV brands from top manufacturers,
state-of-the-art service facilities, and an extensive range of
accessories and parts ensure that Lazydays is the go-to destination
for RV enthusiasts seeking everything they need for their journeys
on the road. Whether you're a seasoned RVer or just starting your
adventure, our dedicated team is here to provide outstanding
support and guidance, making your RV lifestyle truly
extraordinary.
Lazydays is a publicly listed company on the Nasdaq stock
exchange under the ticker "GORV."
Forward-Looking Statements
This press release includes
"forward-looking statements" within the meaning of the
"Safe-Harbor" provisions of the Private Securities Litigation
Reform Act of 1995. Forward looking statements include statements
regarding our goals, plans, projections and guidance regarding our
financial position, results of operations, market position, pending
and potential future financing transactions and business strategy,
and often contain words such as "project," "outlook," "expect,"
"anticipate," "intend," "plan," "believe," "estimate," "may,"
"seek," "would," "should," "likely," "goal," "strategy," "future,"
"maintain," "continue," "remain," "target" or "will" and similar
references to future periods.
By their nature, forward-looking statements involve risks and
uncertainties because they relate to events that depend on
circumstances that may or may not occur in the future.
Forward-looking statements are not guarantees of future
performance, and our actual results of operations, financial
condition and liquidity and development of the industry in which we
operate may differ materially from those made in or suggested by
the forward-looking statements in this press release. The risks and
uncertainties that could cause actual results to differ materially
from estimated or projected results include, without limitation,
future economic and financial conditions (both nationally and
locally), changes in customer demand, our relationship with, and
the financial and operational stability of, vehicle manufacturers
and other suppliers, risks associated with our indebtedness
(including our ability to obtain further waivers or amendments to
credit agreements, the actions or inactions of our lenders,
available borrowing capacity, our compliance with financial
covenants and our ability to refinance or repay indebtedness on
terms acceptable to us), acts of God or other incidents which may
adversely impact our operations and financial performance,
government regulations, legislation and others set forth throughout
under the headers "Management's Discussion and Analysis of
Financial Condition and Results of Operations" and "Risk Factors"
and in the notes to our financial statements, in our most recent
Quarterly Report on Form 10-Q, Annual Report on Form 10-Kand from
time to time in our other filings with the SEC. We urge you to
carefully consider this information and not place undue reliance on
forward-looking statements. We undertake no duty to update our
forward-looking statements, including our earnings outlook, which
are made as of the date of this release.
Non-GAAP Financial Measures
This press release contains non-GAAP financial measures such as
adjusted cash flow from operations, adjusted costs applicable to
revenue, adjusted net income (loss), adjusted net income (loss) per
diluted share, adjusted income (loss) before income taxes,
adjusted SG&A, and adjusted income (loss) from operations.
Non-GAAP measures do not have definitions under GAAP and may be
defined differently by and not comparable to similarly titled
measures used by other companies. As a result, we review any
non-GAAP financial measures in connection with a review of the most
directly comparable measures calculated in accordance with GAAP. We
caution you not to place undue reliance on such non-GAAP measures,
and also to consider them with the most directly comparable GAAP
measures. We present cash flows from operations in the following
tables, adjusted to include the change in non-trade floor plan debt
to improve the visibility of cash flows related to vehicle
financing. As required by SEC rules, we have reconciled these
measures to the most directly comparable GAAP measures in the
attachments to this release. We believe the non-GAAP financial
measures we present improve the transparency of our disclosures;
provide a meaningful presentation of our results from core business
operations, because they exclude items not related to core business
operations and other non-cash items; and improve the
period-to-period comparability of our results from core business
operations. These presentations should not be considered an
alternative to GAAP measures.
Contact:
investors@lazydays.com
|
Results of
Operations
|
|
Three Months Ended September
30,
|
Variance
|
|
(In thousands except share and per share
amounts)
|
2024
|
|
2023
|
%
|
|
Revenues
|
|
|
|
|
|
New vehicle
retail
|
$
122,291
|
|
$
172,898
|
(29.3) %
|
|
Pre-owned vehicle
retail
|
60,177
|
|
75,059
|
(19.8) %
|
|
Vehicle
wholesale
|
1,801
|
|
2,056
|
(12.4) %
|
|
Finance and
insurance
|
16,333
|
|
16,462
|
(0.8) %
|
|
Service, body and
parts and other
|
12,863
|
|
14,207
|
(9.5) %
|
|
Total
revenues
|
213,465
|
|
280,682
|
(23.9) %
|
|
Cost applicable to revenues
|
|
|
|
|
|
New vehicle
retail
|
111,032
|
|
154,181
|
(28.0) %
|
|
Pre-owned vehicle
retail
|
49,220
|
|
59,693
|
(17.5) %
|
|
Vehicle
wholesale
|
1,964
|
|
2,026
|
(3.1) %
|
|
Finance and
insurance
|
544
|
|
569
|
(4.4) %
|
|
Service, body and
parts and other
|
5,742
|
|
7,109
|
(19.2) %
|
|
LIFO
|
(350)
|
|
2,663
|
(113.1) %
|
|
Total cost applicable
to revenues
|
168,152
|
|
226,241
|
(25.7) %
|
|
Gross profit
|
45,313
|
|
54,441
|
(16.8) %
|
|
Depreciation and
amortization
|
5,170
|
|
4,602
|
12.3 %
|
|
Selling, general, and
administrative expenses
|
45,802
|
|
48,250
|
(5.1) %
|
|
(Loss) income from
operations
|
(5,659)
|
|
1,589
|
NM
|
|
Other income
(expense):
|
|
|
|
|
|
Floor plan interest
expense
|
(6,361)
|
|
(6,258)
|
1.6 %
|
|
Other interest
expense
|
(5,564)
|
|
(2,701)
|
106.0 %
|
|
Change in fair value
of warrant liabilities
|
(462)
|
|
—
|
NM
|
|
(Loss) gain on sale of
property and equipment
|
—
|
|
(21)
|
NM
|
|
Total other expense,
net
|
(12,387)
|
|
(8,980)
|
37.9 %
|
|
Loss before income taxes
|
(18,046)
|
|
(7,391)
|
NM
|
|
Income tax benefit
(expense)
|
381
|
|
1,805
|
(78.9) %
|
|
Net loss
|
(17,665)
|
|
(5,586)
|
NM
|
|
Dividends on Series A
Convertible Preferred Stock
|
(2,159)
|
|
(1,210)
|
78.4 %
|
|
Net loss and comprehensive loss attributable to
common
stock and participating securities
|
$
(19,824)
|
|
$
(6,796)
|
NM
|
|
|
|
|
|
|
Loss per share:
|
|
|
|
|
|
Basic
|
$
(1.37)
|
|
$
(0.48)
|
NM
|
|
Diluted
|
$
(1.37)
|
|
$
(0.48)
|
NM
|
|
Weighted average shares
used for EPS calculations:
|
|
|
|
|
|
Basic
|
14,439,861
|
|
14,263,367
|
|
|
Diluted
|
14,439,861
|
|
14,263,367
|
|
|
|
*NM - not
meaningful
|
|
Nine Months Ended September 30,
|
Variance
|
|
(In thousands except share and per share
amounts)
|
2024
|
|
2023
|
%
|
|
Revenues
|
|
|
|
|
|
New vehicle
retail
|
$
418,315
|
|
$
532,397
|
(21.4) %
|
|
Pre-owned vehicle
retail
|
200,661
|
|
250,825
|
(20.0) %
|
|
Vehicle
wholesale
|
11,318
|
|
5,480
|
106.5 %
|
|
Finance and
insurance
|
50,703
|
|
51,085
|
(0.7) %
|
|
Service, body and
parts and other
|
41,748
|
|
44,931
|
(7.1) %
|
|
Total
revenues
|
722,745
|
|
884,718
|
(18.3) %
|
|
Cost applicable to revenues
|
|
|
|
|
|
New vehicle
retail
|
388,225
|
|
465,656
|
(16.6) %
|
|
Pre-owned vehicle
retail
|
168,865
|
|
199,646
|
(15.4) %
|
|
Vehicle
wholesale
|
14,021
|
|
5,432
|
158.1 %
|
|
Finance and
insurance
|
1,881
|
|
2,072
|
(9.2) %
|
|
Service, body and
parts and other
|
19,179
|
|
21,807
|
(12.1) %
|
|
LIFO
|
91
|
|
4,049
|
(97.8) %
|
|
Total cost applicable
to revenues
|
592,262
|
|
698,662
|
(15.2) %
|
|
Gross profit
|
130,483
|
|
186,056
|
(29.9) %
|
|
Depreciation and
amortization
|
15,587
|
|
13,464
|
15.8 %
|
|
Selling, general, and
administrative expenses
|
146,698
|
|
152,262
|
(3.7) %
|
|
(Loss) income from
operations
|
(31,802)
|
|
20,330
|
NM
|
|
Other income
(expense):
|
|
|
|
|
|
Floor plan interest
expense
|
(19,745)
|
|
(17,624)
|
12.0 %
|
|
Other interest
expense
|
(15,924)
|
|
(6,484)
|
145.6 %
|
|
Change in fair value
of warrant liabilities
|
(799)
|
|
856
|
NM
|
|
(Loss) gain on sale of
property and equipment
|
1,044
|
|
(21)
|
NM
|
|
Total other expense,
net
|
(35,424)
|
|
(23,273)
|
52.2 %
|
|
Loss before income taxes
|
(67,226)
|
|
(2,943)
|
NM
|
|
Income tax benefit
(expense)
|
(16,640)
|
|
642
|
NM
|
|
Net loss
|
(83,866)
|
|
(2,301)
|
NM
|
|
Dividends on Series A
Convertible Preferred Stock
|
(6,174)
|
|
(3,590)
|
72.0 %
|
|
Net loss and comprehensive loss attributable to
common
stock and participating securities
|
$
(90,040)
|
|
$
(5,891)
|
NM
|
|
|
|
|
|
|
Loss per share:
|
|
|
|
|
|
Basic
|
$
(6.24)
|
|
$
(0.44)
|
NM
|
|
Diluted
|
$
(6.24)
|
|
$
(0.49)
|
NM
|
|
Weighted average shares
used for EPS calculations:
|
|
|
|
|
|
Basic
|
14,418,692
|
|
13,470,219
|
|
|
Diluted
|
14,418,692
|
|
13,470,219
|
|
|
|
*NM - not
meaningful
|
|
Total Results
Summary
|
|
Three Months Ended September
30,
|
Variance
|
|
2024
|
|
2023
|
|
Gross profit margins
|
|
|
|
|
|
|
New vehicle
retail
|
9.2 %
|
|
10.8 %
|
(160)
|
bps
|
|
Pre-owned vehicle
retail
|
18.2 %
|
|
20.5 %
|
(230)
|
bps
|
|
Vehicle
wholesale
|
(9.1) %
|
|
1.5 %
|
NM
|
|
|
Finance and
insurance
|
96.7 %
|
|
96.5 %
|
20
|
bps
|
|
Service, body and
parts and other
|
55.4 %
|
|
50.0 %
|
540
|
bps
|
|
Total gross profit
margin
|
21.2 %
|
|
19.4 %
|
180
|
bps
|
|
Total gross profit
margin (excluding LIFO)
|
21.1 %
|
|
20.3 %
|
80
|
bps
|
|
|
|
|
|
|
|
Retail units sold
|
|
|
|
|
|
|
New vehicle
retail
|
1,666
|
|
2,046
|
(18.6) %
|
|
|
Pre-owned vehicle
retail
|
1,084
|
|
1,162
|
(6.7) %
|
|
|
Total retail units
sold
|
2,750
|
|
3,208
|
(14.3) %
|
|
|
|
|
|
|
|
|
Average selling price per retail
unit
|
|
|
|
|
|
|
New vehicle
retail
|
$
73,404
|
|
$
84,505
|
(13.1) %
|
|
|
Pre-owned vehicle
retail
|
55,514
|
|
64,595
|
(14.1) %
|
|
|
|
|
|
|
|
|
Average gross profit per retail unit (excluding
LIFO)
|
|
|
|
|
|
|
New vehicle
retail
|
$
6,758
|
|
$
9,148
|
(26.1) %
|
|
|
Pre-owned vehicle
retail
|
10,108
|
|
13,224
|
(23.6) %
|
|
|
Finance and
insurance
|
5,741
|
|
4,954
|
15.9 %
|
|
|
|
|
|
|
|
|
Revenue mix
|
|
|
|
|
|
|
New vehicle
retail
|
57.3 %
|
|
61.6 %
|
|
|
|
Pre-owned vehicle
retail
|
28.2 %
|
|
26.7 %
|
|
|
|
Vehicle
wholesale
|
0.8 %
|
|
0.7 %
|
|
|
|
Finance and
insurance
|
7.7 %
|
|
5.9 %
|
|
|
|
Service, body and
parts and other
|
6.0 %
|
|
5.1 %
|
|
|
|
100.0 %
|
|
100.0 %
|
|
|
|
|
|
|
|
|
|
Gross profit mix
|
|
|
|
|
|
|
New vehicle
retail
|
24.8 %
|
|
34.4 %
|
|
|
|
Pre-owned vehicle
retail
|
24.2 %
|
|
28.2 %
|
|
|
|
Vehicle
wholesale
|
(0.4) %
|
|
0.1 %
|
|
|
|
Finance and
insurance
|
34.8 %
|
|
29.2 %
|
|
|
|
Service, body and
parts and other
|
15.7 %
|
|
13.0 %
|
|
|
|
LIFO
|
0.9 %
|
|
(4.9) %
|
|
|
|
100.0 %
|
|
100.0 %
|
|
|
|
|
*NM - not
meaningful
|
|
Nine Months Ended September 30,
|
Variance
|
|
2024
|
|
2023
|
|
Gross profit margins
|
|
|
|
|
|
|
New vehicle
retail
|
7.2 %
|
|
12.5 %
|
(530)
|
bps
|
|
Pre-owned vehicle
retail
|
15.8 %
|
|
20.4 %
|
(460)
|
bps
|
|
Vehicle
wholesale
|
(23.9) %
|
|
0.9 %
|
NM
|
|
|
Finance and
insurance
|
96.3 %
|
|
95.9 %
|
40
|
bps
|
|
Service, body and
parts and other
|
54.1 %
|
|
51.5 %
|
260
|
bps
|
|
Total gross profit
margin
|
18.1 %
|
|
21.0 %
|
(290)
|
bps
|
|
Total gross profit
margin (excluding LIFO)
|
18.1 %
|
|
21.5 %
|
(340)
|
bps
|
|
|
|
|
|
|
|
Retail units sold
|
|
|
|
|
|
|
New vehicle
retail
|
5,742
|
|
6,005
|
(4.4) %
|
|
|
Pre-owned vehicle
retail
|
3,692
|
|
3,854
|
(4.2) %
|
|
|
Total retail units
sold
|
9,434
|
|
9,859
|
(4.3) %
|
|
|
|
|
|
|
|
|
Average selling price per retail
unit
|
|
|
|
|
|
|
New vehicle
retail
|
$
72,852
|
|
$
88,659
|
(17.8) %
|
|
|
Pre-owned vehicle
retail
|
54,350
|
|
65,082
|
(16.5) %
|
|
|
|
|
|
|
|
|
Average gross profit per retail unit (excluding
LIFO)
|
|
|
|
|
|
|
New vehicle
retail
|
$
5,240
|
|
$
11,114
|
(52.9) %
|
|
|
Pre-owned vehicle
retail
|
8,612
|
|
13,279
|
(35.1) %
|
|
|
Finance and
insurance
|
5,175
|
|
4,972
|
4.1 %
|
|
|
|
|
|
|
|
|
Revenue mix
|
|
|
|
|
|
|
New vehicle
retail
|
57.9 %
|
|
60.2 %
|
|
|
|
Pre-owned vehicle
retail
|
27.8 %
|
|
28.4 %
|
|
|
|
Vehicle
wholesale
|
1.6 %
|
|
0.6 %
|
|
|
|
Finance and
insurance
|
7.0 %
|
|
5.8 %
|
|
|
|
Service, body and
parts and other
|
5.7 %
|
|
5.0 %
|
|
|
|
100.0 %
|
|
100.0 %
|
|
|
|
|
|
|
|
|
|
Gross profit mix
|
|
|
|
|
|
|
New vehicle
retail
|
23.1 %
|
|
35.9 %
|
|
|
|
Pre-owned vehicle
retail
|
24.4 %
|
|
27.5 %
|
|
|
|
Vehicle
wholesale
|
(2.1) %
|
|
— %
|
|
|
|
Finance and
insurance
|
37.4 %
|
|
26.3 %
|
|
|
|
Service, body and
parts and other
|
17.3 %
|
|
12.4 %
|
|
|
|
LIFO
|
(0.1) %
|
|
(2.1) %
|
|
|
|
100.0 %
|
|
100.0 %
|
|
|
|
|
*NM - not
meaningful
|
|
Other
Metrics
|
|
Adjusted
|
|
As Reported
|
|
Three Months Ended
September 30,
|
|
Three Months Ended
September 30,
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
SG&A as a % of
revenue
|
20.8 %
|
|
16.7 %
|
|
21.5 %
|
|
17.2 %
|
|
SG&A as % of gross
profit, excluding LIFO
|
98.8 %
|
|
82.1 %
|
|
101.9 %
|
|
84.5 %
|
|
(Loss) income from
operations as a % of revenue
|
(2.2) %
|
|
2.0 %
|
|
(2.7) %
|
|
0.6 %
|
|
(Loss) income from
operations as a % of gross profit,
excluding LIFO
|
(10.3) %
|
|
9.8 %
|
|
(12.6) %
|
|
2.8 %
|
|
(Loss) income before
income taxes as % of revenue
|
(7.7) %
|
|
(1.2) %
|
|
(8.5) %
|
|
(2.6) %
|
|
Net (loss) income as a
% of revenue
|
(7.6) %
|
|
(1.0) %
|
|
(8.3) %
|
|
(2.0) %
|
|
Adjusted
|
|
As Reported
|
|
Nine Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
SG&A as a % of
revenue
|
19.8 %
|
|
16.8 %
|
|
20.3 %
|
|
17.2 %
|
|
SG&A as % of gross
profit, excluding LIFO
|
109.6 %
|
|
78.3 %
|
|
112.3 %
|
|
80.1 %
|
|
(Loss) income from
operations as a % of revenue
|
(3.9) %
|
|
3.1 %
|
|
(4.4) %
|
|
2.3 %
|
|
(Loss) income from
operations as a % of gross profit,
excluding LIFO
|
(21.5) %
|
|
14.6 %
|
|
(24.4) %
|
|
10.7 %
|
|
(Loss) income before
income taxes as % of revenue
|
(8.7) %
|
|
0.4 %
|
|
(9.3) %
|
|
(0.3) %
|
|
Net (loss) income as a
% of revenue
|
(8.6) %
|
|
0.3 %
|
|
(11.6) %
|
|
(0.3) %
|
|
Other
Highlights
|
|
September 30, 2024
|
|
December 31, 2023
|
|
Store Count
|
|
|
|
|
Dealerships
|
23
|
|
24
|
|
|
|
|
|
Days Supply*
|
|
|
|
|
New vehicle
inventory
|
235
|
|
380
|
|
Pre-owned vehicle
inventory
|
76
|
|
132
|
|
*Days supply calculated
based on current inventory levels and a 90-day historical average
cost of sales level.
|
|
Same-Store Results
Summary
|
|
Three Months Ended September
30,
|
|
Variance
|
|
($ in thousands, except per vehicle
data)
|
2024
|
|
2023
|
|
|
Revenues
|
|
|
|
|
|
|
|
New vehicle
retail
|
$
105,432
|
|
$
163,622
|
|
(35.6) %
|
|
|
Pre-owned vehicle
retail
|
52,166
|
|
70,236
|
|
(25.7) %
|
|
|
Vehicle
wholesale
|
1,340
|
|
2,055
|
|
(34.8) %
|
|
|
Finance and
insurance
|
14,127
|
|
15,552
|
|
(9.2) %
|
|
|
Service, body and
parts and other
|
11,279
|
|
12,841
|
|
(12.2) %
|
|
|
Total
revenues
|
$
184,344
|
|
$
264,306
|
|
(30.3) %
|
|
|
|
|
|
|
|
|
|
Gross profit
|
|
|
|
|
|
|
|
New vehicle
retail
|
$
9,385
|
|
$
17,208
|
|
(45.5) %
|
|
|
Pre-owned vehicle
retail
|
9,334
|
|
14,435
|
|
(35.3) %
|
|
|
Vehicle
wholesale
|
49
|
|
31
|
|
58.1 %
|
|
|
Finance and
insurance
|
13,655
|
|
15,017
|
|
(9.1) %
|
|
|
Service, body and
parts and other
|
6,166
|
|
6,662
|
|
(7.4) %
|
|
|
LIFO
|
350
|
|
(2,663)
|
|
(113.1) %
|
|
|
Total gross
profit
|
$
38,939
|
|
$
50,690
|
|
(23.2) %
|
|
|
|
|
|
|
|
|
|
Gross profit margins
|
|
|
|
|
|
|
|
New vehicle
retail
|
8.9 %
|
|
10.5 %
|
|
(160)
|
bps
|
|
Pre-owned vehicle
retail
|
17.9 %
|
|
20.6 %
|
|
(270)
|
bps
|
|
Vehicle
wholesale
|
3.7 %
|
|
1.5 %
|
|
220
|
bps
|
|
Finance and
insurance
|
96.7 %
|
|
96.6 %
|
|
10
|
bps
|
|
Service, body and
parts and other
|
54.7 %
|
|
51.9 %
|
|
280
|
bps
|
|
Total gross profit
margin
|
21.1 %
|
|
19.2 %
|
|
190
|
bps
|
|
Total gross profit
margin (excluding LIFO)
|
20.9 %
|
|
20.2 %
|
|
70
|
bps
|
|
|
|
|
|
|
|
|
Retail units sold
|
|
|
|
|
|
|
|
New vehicle
retail
|
1,365
|
|
1,865
|
|
(26.8) %
|
|
|
Pre-owned vehicle
retail
|
913
|
|
1,071
|
|
(14.8) %
|
|
|
Total retail units
sold
|
2,278
|
|
2,936
|
|
(22.4) %
|
|
|
|
|
|
|
|
|
|
Average selling price per retail
unit
|
|
|
|
|
|
|
|
New vehicle
retail
|
$
77,240
|
|
$
87,733
|
|
(12.0) %
|
|
|
Pre-owned vehicle
retail
|
57,137
|
|
65,580
|
|
(12.9) %
|
|
|
|
|
|
|
|
|
|
Average gross profit per retail unit (excluding
LIFO)
|
|
|
|
|
|
|
New vehicle
retail
|
$
6,875
|
|
$
9,227
|
|
(25.5) %
|
|
|
Pre-owned vehicle
retail
|
10,223
|
|
13,478
|
|
(24.2) %
|
|
|
Finance and
insurance
|
5,994
|
|
5,115
|
|
17.2 %
|
|
|
*NM - not
meaningful
|
|
Nine Months Ended September 30,
|
|
Variance
|
|
|
(In thousands, except per vehicle
data)
|
2024
|
|
2023
|
|
|
|
Revenues
|
|
|
|
|
|
|
|
New vehicle
retail
|
$
354,704
|
|
$
504,127
|
|
(30) %
|
|
|
Pre-owned vehicle
retail
|
166,013
|
|
232,452
|
|
(29) %
|
|
|
Vehicle
wholesale
|
8,861
|
|
5,222
|
|
70 %
|
|
|
Finance and
insurance
|
42,357
|
|
48,330
|
|
(12) %
|
|
|
Service, body and
parts and other
|
34,737
|
|
39,852
|
|
(13) %
|
|
|
Total
revenues
|
$
606,672
|
|
$
829,983
|
|
(27) %
|
|
|
|
|
|
|
|
|
|
Gross profit
|
|
|
|
|
|
|
|
New vehicle
retail
|
$
24,666
|
|
$
62,636
|
|
(61) %
|
|
|
Pre-owned vehicle
retail
|
25,986
|
|
47,682
|
|
(46) %
|
|
|
Vehicle
wholesale
|
(1,438)
|
|
44
|
|
NM
|
|
|
Finance and
insurance
|
40,728
|
|
46,354
|
|
(12) %
|
|
|
Service, body and
parts and other
|
18,637
|
|
20,075
|
|
(7) %
|
|
|
LIFO
|
(91)
|
|
(4,049)
|
|
(98) %
|
|
|
Total gross
profit
|
$
108,488
|
|
$
172,742
|
|
(37) %
|
|
|
|
|
|
|
|
|
|
Gross profit margins
|
|
|
|
|
|
|
|
New vehicle
retail
|
7.0 %
|
|
12.4 %
|
|
(540)
|
bps
|
|
Pre-owned vehicle
retail
|
15.7 %
|
|
20.5 %
|
|
(480)
|
bps
|
|
Vehicle
wholesale
|
(16.2) %
|
|
0.8 %
|
|
NM
|
|
|
Finance and
insurance
|
96.2 %
|
|
95.9 %
|
|
30
|
bps
|
|
Service, body and
parts and other
|
53.7 %
|
|
50.4 %
|
|
330
|
bps
|
|
Total gross profit
margin
|
17.9 %
|
|
20.8 %
|
|
(290)
|
bps
|
|
Total gross profit
margin (excluding LIFO)
|
17.9 %
|
|
21.3 %
|
|
(340)
|
bps
|
|
|
|
|
|
|
|
|
Retail units sold
|
|
|
|
|
|
|
|
New vehicle
retail
|
4,511
|
|
5,543
|
|
(19) %
|
|
|
Pre-owned vehicle
retail
|
2,950
|
|
3,534
|
|
(17) %
|
|
|
Total retail units
sold
|
7,461
|
|
9,077
|
|
(18) %
|
|
|
|
|
|
|
|
|
|
Average selling price per retail
unit
|
|
|
|
|
|
|
|
New vehicle
retail
|
$
78,631
|
|
$
90,948
|
|
(14) %
|
|
|
Pre-owned vehicle
retail
|
56,276
|
|
65,776
|
|
(14) %
|
|
|
|
|
|
|
|
|
|
Average gross profit per retail unit (excluding
LIFO)
|
|
|
|
|
|
|
New vehicle
retail
|
$
5,468
|
|
$
11,300
|
|
(52) %
|
|
|
Pre-owned vehicle
retail
|
8,809
|
|
13,492
|
|
(35) %
|
|
|
Finance and
insurance
|
5,459
|
|
5,107
|
|
7 %
|
|
|
*NM - not
meaningful
|
|
Condensed Consolidated Balance
Sheets
|
|
(In thousands)
|
September 30, 2024
|
|
December 31, 2023
|
|
Current assets
|
|
|
|
|
Cash
|
$
13,536
|
|
$
58,085
|
|
Receivables, net of
allowance for doubtful accounts
|
23,642
|
|
22,694
|
|
Inventories
|
310,671
|
|
456,087
|
|
Income tax
receivable
|
7,254
|
|
7,416
|
|
Prepaid expenses and
other
|
3,467
|
|
2,614
|
|
Total current assets
|
358,570
|
|
546,896
|
|
|
|
|
|
Long-term assets
|
|
|
|
|
Property and
equipment, net
|
273,733
|
|
265,726
|
|
Operating lease
assets
|
25,571
|
|
26,377
|
|
Intangible assets,
net
|
74,442
|
|
80,546
|
|
Other
assets
|
3,630
|
|
2,750
|
|
Deferred income tax
asset
|
—
|
|
15,444
|
|
Total assets
|
$
735,946
|
|
$
937,739
|
|
|
|
|
|
Current liabilities
|
|
|
|
|
Floor plan notes
payable
|
$
316,551
|
|
$
446,783
|
|
Revolving line of
credit, current portion
|
17,500
|
|
—
|
|
Other current
liabilities
|
57,967
|
|
53,194
|
|
Total current liabilities
|
392,018
|
|
499,977
|
|
|
|
|
|
Long-term liabilities
|
|
|
|
|
Financing liability,
non-current portion, net
|
90,540
|
|
91,401
|
|
Revolving line of
credit, non-current portion
|
23,500
|
|
49,500
|
|
Long-term debt,
non-current portion, net
|
27,590
|
|
28,075
|
|
Related party debt,
non-current portion, net
|
43,152
|
|
33,354
|
|
Warrant
liabilities
|
5,706
|
|
—
|
|
Other long-term
liabilities
|
22,512
|
|
22,242
|
|
Total liabilities
|
605,018
|
|
724,549
|
|
|
|
|
|
Series A Convertible
Preferred Stock
|
62,363
|
|
56,193
|
|
Stockholders'
Equity
|
68,565
|
|
156,997
|
|
Total liabilities and stockholders'
equity
|
$
735,946
|
|
$
937,739
|
|
Condensed
Consolidated Statements of Cash Flows
|
|
Nine Months Ended September 30,
|
|
(In thousands)
|
2024
|
|
2023
|
|
Operating Activities
|
|
|
|
|
Net loss
|
$
(83,866)
|
|
$
(2,301)
|
|
Adjustments to
reconcile net loss to net cash provided by operating
activities:
|
|
|
|
|
Stock-based
compensation
|
1,495
|
|
2,067
|
|
Bad debt
expense
|
46
|
|
9
|
|
Depreciation and
amortization of property and equipment
|
9,481
|
|
7,992
|
|
Amortization of
intangible assets
|
6,106
|
|
5,501
|
|
Amortization of debt
discount
|
1,508
|
|
327
|
|
Non-cash operating
lease (benefit) expense
|
(497)
|
|
201
|
|
(Gain) loss on sale of
property and equipment
|
(1,044)
|
|
21
|
|
Deferred income
taxes
|
16,700
|
|
(116)
|
|
Change in fair value
of warrant liabilities
|
799
|
|
(856)
|
|
Impairment
charges
|
—
|
|
629
|
|
Changes in operating
assets and liabilities:
|
|
|
|
|
Receivables
|
(994)
|
|
3,221
|
|
Inventories
|
145,416
|
|
18,427
|
|
Prepaid expenses and
other
|
(853)
|
|
(1,196)
|
|
Income tax
receivable/payable
|
165
|
|
(621)
|
|
Other
assets
|
(882)
|
|
(169)
|
|
Accounts
payable
|
(1,601)
|
|
5,511
|
|
Accrued expenses and
other current liabilities
|
6,588
|
|
1,787
|
|
Total adjustments
|
182,433
|
|
42,735
|
|
Net cash provided by operating
activities
|
$
98,567
|
|
$
40,434
|
|
|
|
|
|
Nine Months Ended September 30,
|
|
(In thousands)
|
2024
|
|
2023
|
|
Net cash provided by operating activities, as
reported
|
$
98,567
|
|
$
40,434
|
|
Net repayments on floor
plan notes payable
|
(129,169)
|
|
(13,967)
|
|
Minus borrowings on
floor plan notes payable associated with acquired new
inventory
|
—
|
|
(19,726)
|
|
Adjusted net cash (used in) provided by operating
activities
|
$
(30,602)
|
|
$
6,741
|
|
Reconciliation of
Non-GAAP Measures
|
|
Three Months Ended September 30,
2024
|
|
($ in thousands, except per share
amounts)
|
As reported
|
Loss on
change in fair
value of
warrant
liabilities
|
LIFO
|
Transaction
costs
|
Severance
and transition
costs
|
Deferred tax
valuation
allowance
|
Adjusted
|
|
Costs applicable to
revenue
|
$ 168,152
|
$
—
|
$
350
|
$
—
|
$
—
|
$
—
|
$ 168,502
|
|
Selling, general and
administrative expenses
|
45,802
|
—
|
—
|
(1,296)
|
(100)
|
—
|
44,406
|
|
(Loss) income from
operations
|
(5,659)
|
—
|
(350)
|
1,296
|
100
|
—
|
(4,613)
|
|
Change in fair value of
warrant liabilities
|
(462)
|
462
|
—
|
—
|
—
|
—
|
—
|
|
(Loss) income before
income taxes
|
(18,046)
|
462
|
(350)
|
1,296
|
100
|
—
|
(16,538)
|
|
Income tax (expense)
benefit
|
381
|
2
|
(1)
|
5
|
—
|
1
|
388
|
|
Net (loss)
income
|
(17,665)
|
464
|
(351)
|
1,301
|
100
|
1
|
(16,150)
|
|
Dividends on Series A
Convertible Preferred Stock
|
(2,159)
|
—
|
—
|
—
|
—
|
—
|
(2,159)
|
|
Net (loss) income and
comprehensive (loss) income
attributable to common stock and participating
securities
|
$
(19,824)
|
$
464
|
$
(351)
|
$
1,301
|
$
100
|
$
1
|
$
(18,309)
|
|
|
|
|
|
|
|
|
|
Diluted loss per
share
|
$
(1.37)
|
|
|
|
|
|
$
(1.27)
|
|
Shares used for diluted
calculation
|
14,439,861
|
|
|
|
|
|
14,439,861
|
|
Three Months Ended September 30,
2023
|
|
($ in thousands, except per share
amounts)
|
As reported
|
LIFO
|
Transaction costs
|
Severance and
transition costs
|
Adjusted
|
|
Costs applicable to
revenue
|
$
226,241
|
$
(2,663)
|
$
—
|
$
—
|
$
223,578
|
|
Selling, general and
administrative expenses
|
48,250
|
—
|
(727)
|
(625)
|
46,898
|
|
Income from
operations
|
1,589
|
2,663
|
727
|
625
|
5,604
|
|
(Loss) income before
income taxes
|
(7,391)
|
2,663
|
727
|
625
|
(3,376)
|
|
Income tax benefit
(expense)
|
1,805
|
(873)
|
(238)
|
(205)
|
489
|
|
Net (loss)
income
|
(5,586)
|
1,790
|
489
|
420
|
(2,887)
|
|
Dividends on Series A
Convertible Preferred Stock
|
(1,210)
|
—
|
—
|
—
|
(1,210)
|
|
Net (loss) income and
comprehensive (loss) income
attributable to common stock and participating
securities
|
$
(6,796)
|
$
1,790
|
$
489
|
$
420
|
$
(4,097)
|
|
|
|
|
|
|
|
Diluted loss per
share
|
$
(0.48)
|
|
|
|
$
(0.29)
|
|
Shares used for diluted
calculation
|
14,263,367
|
|
|
|
14,263,367
|
|
Nine Months Ended September 30,
2024
|
|
($ in thousands, except per share
amounts)
|
As reported
|
Loss on
change in
fair value of
warrant
liabilities
|
LIFO
|
Transaction
costs
|
Severance
and
transition
costs
|
Deferred
tax
valuation
allowance
|
Uninsured
loss
|
Adjusted
|
|
Costs applicable to
revenue
|
$
592,262
|
$
—
|
$
(91)
|
$
—
|
$
—
|
$
—
|
$
—
|
$
592,171
|
|
Selling, general and
administrative expenses
|
146,698
|
—
|
—
|
(2,925)
|
(199)
|
—
|
(481)
|
143,093
|
|
(Loss) income from
operations
|
(31,802)
|
—
|
91
|
2,925
|
199
|
—
|
481
|
(28,106)
|
|
Change in fair value of
warrant liabilities
|
(799)
|
799
|
—
|
—
|
—
|
—
|
—
|
—
|
|
(Loss) income before
income taxes
|
(67,226)
|
799
|
91
|
2,925
|
199
|
—
|
481
|
(62,731)
|
|
Income tax (expense)
benefit
|
(16,640)
|
5
|
1
|
20
|
1
|
17,262
|
3
|
652
|
|
Net (loss)
income
|
(83,866)
|
804
|
92
|
2,945
|
200
|
17,262
|
484
|
(62,079)
|
|
Dividends on Series A
Convertible Preferred Stock
|
(6,174)
|
—
|
—
|
—
|
—
|
—
|
—
|
(6,174)
|
|
Net (loss) income and
comprehensive (loss) income
attributable to common stock and participating
securities
|
$
(90,040)
|
$
804
|
$
92
|
$
2,945
|
$
200
|
$ 17,262
|
$
484
|
$
(68,253)
|
|
|
|
|
|
|
|
|
|
|
Diluted loss per
share
|
$
(6.24)
|
|
|
|
|
|
|
$
(4.73)
|
|
Shares used for diluted
calculation
|
14,418,692
|
|
|
|
|
|
|
14,418,692
|
|
Nine Months Ended September 30,
2023
|
|
($ in thousands, except per share
amounts)
|
As reported
|
Gain on
change in
fair value of
warrant liabilities
|
LIFO
|
Transaction
costs
|
Severance
and
transition
costs
|
Impairment
charge
|
Uninsured
loss
|
Adjusted
|
|
Costs applicable to
revenue
|
$
698,662
|
$
—
|
$ (4,049)
|
$
—
|
$
—
|
$
—
|
$
—
|
$
694,613
|
|
Selling, general and
administrative expenses
|
152,262
|
—
|
—
|
(1,198)
|
(1,278)
|
(629)
|
(300)
|
148,857
|
|
Income from
operations
|
20,330
|
—
|
4,049
|
1,198
|
1,278
|
629
|
300
|
27,784
|
|
Gain on change in fair
value of warrant liabilities
|
856
|
(856)
|
—
|
—
|
—
|
—
|
—
|
—
|
|
(Loss) income before
income taxes
|
(2,943)
|
(856)
|
4,049
|
1,198
|
1,278
|
629
|
300
|
3,655
|
|
Income tax benefit
(expense)
|
642
|
—
|
(1,140)
|
(337)
|
(360)
|
(119)
|
(106)
|
(1,420)
|
|
Net (loss)
income
|
(2,301)
|
(856)
|
2,909
|
861
|
918
|
510
|
194
|
2,235
|
|
Dividends on Series A
Convertible Preferred Stock
|
(3,590)
|
—
|
—
|
—
|
—
|
—
|
—
|
(3,590)
|
|
Net (loss) income and
comprehensive (loss) income
attributable to common stock and participating
securities
|
$ (5,891)
|
$
(856)
|
$
2,909
|
$
861
|
$
918
|
$
510
|
$
194
|
$ (1,355)
|
|
|
|
|
|
|
|
|
|
|
Diluted loss per
share
|
$
(0.49)
|
|
|
|
|
|
|
$
(0.07)
|
|
Shares used for diluted
calculation
|
13,470,219
|
|
|
|
|
|
|
13,470,219
|
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SOURCE Lazydays RV