8-K
MARINEMAX INC (HZO)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
| Date of Report (Date of Earliest Event Reported): | January 23, 2020 |
|---|
MarineMax, Inc.
__________________________________________
(Exact name of registrant as specified in its charter)
| Florida | 1-14173 | 59-3496957 | |
|---|---|---|---|
| _____________________<br><br><br>(State or other jurisdiction | _____________<br><br><br>(Commission | ______________<br><br><br>(I.R.S. Employer | |
| of incorporation) | File Number) | Identification No.) | |
| 2600 McCormick Drive, Suite 200, Clearwater, Florida | 33759 | ||
| _________________________________<br><br><br>(Address of principal executive offices) | ___________<br><br><br>(Zip Code) | ||
| Registrant’s telephone number, including area code: | 727-531-1700 |
Not Applicable
______________________________________________
Former name or former address, if changed since last report
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading<br><br><br>Symbol(s) | Name of each exchange on which registered |
|---|---|---|
| Common Stock, par value $.001 per share | HZO | New York Stock Exchange |
Item 2.02 Results of Operations and Financial Condition.
On January 23, 2020, MarineMax, Inc. issued a press release announcing its results of operations for its first fiscal quarter ended December 31, 2019. A copy of the press release is furnished as Exhibit 99.1 hereto and is incorporated herein by reference.
The information in this Report of Form 8-K (including the exhibit) is furnished pursuant to Item 2.02 and shall not be deemed to be "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section. The information in this Current Report shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date of this Current Report, regardless of any general incorporation language in the filing.
Item 9.01 Financial Statements and Exhibits.
Press release of MarineMax, Inc. dated January 23, 2020, reporting the financial results for the first fiscal quarter ended December 31, 2019.
Exhibit Index
| Exhibit No. | Description |
|---|---|
| 99.1 | Press release of MarineMax, Inc. dated January 23, 2020, reporting the financial results for the first fiscal quarter ended December 31, 2019. |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| MarineMax, Inc. | ||
|---|---|---|
| By: | /s/ Michael H. McLamb<br><br><br><br>Name: Michael H. McLamb<br>Title: Executive Vice President, Chief Financial Officer and Secretary | |
| January 23, 2020 |
hzo-ex991_6.htm
Exhibit 99.1
MARINEMAX REPORTS FISCAL FIRST QUARTER 2020 RESULTS
~Record December Quarter Revenue Grows 26% to $304.2 Million~
~Quarterly Same-Store Sales Exceed 24%~
~Record December Quarter Net Income Increases to $9.1 Million~
~EPS Almost Doubles to $0.41~
~Raises Fiscal Year 2020 Guidance Range~
CLEARWATER, FL, January 23, 2020 – MarineMax, Inc. (NYSE: HZO), the nation’s largest recreational boat and yacht retailer, today announced results for its first quarter ended December 31, 2019.
Revenue increased 26%, or over $62.2 million, to $304.2 for the quarter ended December 31, 2019 from $241.9 million in the comparable period last year. Same-store sales were up over 24%, in the quarter, supported almost entirely by similar growth in units sold. For the sixth consecutive year, the Company produced a profitable December quarter as net income nearly doubled to $9.1 million with earnings per diluted share reaching $0.41, compared to net income of $4.9 million and earnings per diluted share of $0.21 in the comparable period last year.
W. Brett McGill, MarineMax’s Chief Executive Officer and President stated, “We are excited to be delivering industry leading results driven by our team‘s focused execution that is supported by the technology investments we have made over the last few years. Furthermore, we benefitted from a resurgence in consumer confidence and the relatively stable economic environment. As a result of these factors, combined with our customer centric approach and optimal product mix, we drove a meaningful increase in sales and profitability. Relative to our historical expectations for our December quarter, we again outperformed as we overcame margin pressure while making significant progress to better align our inventory. Additionally, we produced very meaningful unit growth in the quarter, far exceeding that of the industry.”
Mr. McGill continued, “We were also pleased to see positive results from our September 2019 store optimization effort, as evidenced by the strong sales growth in the quarter and reduced costs. Finally, our focus on improving costs, combined with our strong sales, resulted in attractive cash flow growth, allowing us to bolster our balance sheet. With the largest two selling seasons ahead of us, we expect to build on the strong start to our fiscal year and leverage the excitement in the industry with a robust slate of upcoming boat shows. Furthermore, we will continue to pursue complementary opportunities to expand our business, as we remain committed to creating long term value for our shareholders.”
2020 Guidance
Based on current business conditions, retail trends and other factors, the Company is raising its fiscal year 2020 guidance for earnings per diluted share to be in the range of $1.82 to $1.92, which is increased from its previously provided guidance of $1.58 to $1.68. This compares to a GAAP earnings per diluted share of $1.57 and a non-GAAP adjusted, but fully taxed, diluted earnings per diluted share of $1.63 in fiscal 2019. These expectations do not take into account, or give effect for, material acquisitions that may be completed by the Company during fiscal 2020 or other unforeseen events, including changes in global economic conditions.
~ more ~
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, Hatteras, Azimut Yachts, Benetti, Ocean Alexander, Galeon, Grady-White, Harris, Bennington, Crest, MasterCraft, MJM Yachts, NauticStar, Scout, Sailfish, Scarab Jet Boats, Tige, Yamaha Jet Boats, Aquila, Aviara, and Nautique. MarineMax sells new and used recreational boats and related marine products and services as well as provides yacht brokerage and charter services. MarineMax also owns Fraser Yachts Group, a leading superyacht brokerage and luxury yacht services company with operations in multiple countries. MarineMax currently has 59 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 first quarter ended December 31, 2019; the Company’s expectation to build on the strong start to its fiscal year; the Company’s pursuit of complimentary opportunities to expand its business; and the Company’s fiscal 2020 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 our 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, 2019 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. McLamb | Brad Cohen | |
| Chief Financial Officer | ICR, LLC. | |
| Abbey Heimensen | 203.682.8211 | |
| Public Relations | bcohen@icrinc.com | |
| MarineMax, Inc. | ||
| 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 | ||||
|---|---|---|---|---|
| December 31, | ||||
| 2019 | 2018 | |||
| Revenue | $ | 304,172 | $ | 241,937 |
| Cost of sales | 224,154 | 178,459 | ||
| Gross profit | 80,018 | 63,478 | ||
| Selling, general, and administrative expenses | 64,386 | 54,492 | ||
| Income from operations | 15,632 | 8,986 | ||
| Interest expense | 3,344 | 2,516 | ||
| Income before income tax provision | 12,288 | 6,470 | ||
| Income tax provision | 3,229 | 1,560 | ||
| Net income | $ | 9,059 | $ | 4,910 |
| Basic net income per common share | $ | 0.42 | $ | 0.22 |
| Diluted net income per common share | $ | 0.41 | $ | 0.21 |
| Weighted average number of common shares used in computing<br><br><br>net income per common share: | ||||
| Basic | 21,453,914 | 22,779,567 | ||
| Diluted | 21,890,065 | 23,400,685 |
MarineMax, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)
| December 31, | December 31, | |||||
|---|---|---|---|---|---|---|
| 2019 | 2018 | |||||
| ASSETS | ||||||
| CURRENT ASSETS: | ||||||
| Cash and cash equivalents | $ | 35,985 | $ | 38,581 | ||
| Accounts receivable, net | 36,118 | 25,711 | ||||
| Inventories, net | 493,943 | 445,465 | ||||
| Prepaid expenses and other current assets | 11,009 | 10,904 | ||||
| Total current assets | 577,055 | 520,661 | ||||
| Property and equipment, net | 144,756 | 138,730 | ||||
| Operating lease assets | 41,335 | — | ||||
| Goodwill and other intangible assets, net | 64,479 | 27,488 | ||||
| Other long-term assets, net | 7,781 | 6,227 | ||||
| Deferred tax assets, net | — | 2,588 | ||||
| Total assets | $ | 835,406 | $ | 695,694 | ||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
| CURRENT LIABILITIES: | ||||||
| Accounts payable | $ | 18,159 | $ | 11,840 | ||
| Customer deposits | 20,198 | 21,071 | ||||
| Accrued expenses | 35,436 | 29,790 | ||||
| Operating lease liabilities | 6,898 | — | ||||
| Short-term borrowings | 334,085 | 270,715 | ||||
| Total current liabilities | 414,776 | 333,416 | ||||
| Noncurrent operating lease liabilities | 36,325 | — | ||||
| Deferred tax liabilities, net | 2,413 | — | ||||
| Long-term liabilities | 1,145 | 840 | ||||
| Total liabilities | 454,659 | 334,256 | ||||
| STOCKHOLDERS' EQUITY: | ||||||
| Preferred stock | — | — | ||||
| Common stock | 28 | 27 | ||||
| Additional paid-in capital | 271,622 | 265,516 | ||||
| Accumulated other comprehensive loss | (63 | ) | — | |||
| Retained earnings | 212,124 | 171,380 | ||||
| Treasury stock | (102,964 | ) | (75,485 | ) | ||
| Total stockholders’ equity | 380,747 | 361,438 | ||||
| Total liabilities and stockholders’ equity | $ | 835,406 | $ | 695,694 |