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): | April 28, 2022 |
|---|
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 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 April 28, 2022, MarineMax, Inc. issued a press release announcing its results of operations for its second fiscal quarter ended March 31, 2022. 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 April 28, 2022, reporting the financial results for the second fiscal quarter ended March 31, 2022.
Exhibit Index
| Exhibit No. | Description |
|---|---|
| 99.1 | Press release of MarineMax, Inc. dated April 28, 2022, reporting the financial results for the second fiscal quarter ended March 31, 2022. |
| 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><br><br>Name: Michael H. McLamb<br>Title: Executive Vice President, Chief Financial Officer and Secretary |
|
| April 28, 2022 |
hzo-ex991_6.htm
Exhibit 99.1
MARINEMAX REPORTS RECORD FISCAL 2022 SECOND QUARTER RESULTS
~Record March Quarter Revenue Grows 17% to Over $610 Million~
~Same-Store Sales Growth of 7% on Top of 45% a Year Ago~
~Gross Margin Expands to 34%~
~Record Second Quarter Earnings Per Share of $2.37~
~Raises Fiscal Year 2022 Guidance~
CLEARWATER, FL, April 28, 2022 – MarineMax, Inc. (NYSE: HZO), the world’s largest recreational boat and yacht retailer, today announced record results for its second quarter ended March 31, 2022.
Revenue increased 17% to a record $610.1 million for the quarter ended March 31, 2022 from $523.1 million in the comparable period last year. The revenue growth was due to contributions from solid same-store sales growth of 7% on top of a 45% increase in the comparable quarter last year and recent strategic acquisitions. The improvement was driven by strong overall demand for boating despite the lean inventories. The Company’s significant geographic and product diversification, in combination with accretive acquisitions, and growth in gross profit, drove more than a 37% increase in net income to $53.5 million and a 40% increase in earnings per diluted share to $2.37. This compares to earnings per diluted share of $1.69 in the comparable period last year.
For the six months ended March 31, 2022, revenue grew 16% to $1.083 billion compared with $934.6 million for the same period last year. Same-store sales increased approximately 8% in the first half of fiscal year 2022 on top of 33% growth during the same period last year. Net income increased 43% to $89.5 million and earnings per diluted share increased 45% to $3.96 for the six months ended March 31, 2022. This compares to net income of $62.5 million, or $2.73 per diluted share, in the same period last year.
W. Brett McGill, Chief Executive Officer and President, stated, “We once again delivered record sales, earnings growth and cash flow in the quarter, driven by strong same-store sales growth up against a very tough comparison of 45% a year ago. Our market share is expanding as we introduce new customers to MarineMax and the boating lifestyle. Our exceptional customer service, affirmed by our record Net Promotor customer satisfaction levels, has resulted in many of our existing customers upgrading to larger and newer boats. I am extremely proud of our team’s execution as we extend our long record of producing meaningful same-store sales growth, even on top of significant compares, while executing on our balanced growth strategy.”
Mr. McGill continued, “As we enter our most active season, our demand and backlog provides us with continued confidence for the balance of fiscal 2022 and beyond. We anticipated two years ago that boating would be one of the beneficiaries of a changed world. This quarter is evidence of the sustainability of that trend and MarineMax’s ability to leverage our scale, global presence, product diversification, technology advancements, strong balance sheet and cycle tested team. Our record March quarter margins reflects the success of our ongoing focus of growing our higher margin and recurring revenue. The combination of robust operating leverage, significant cash flow and strong consumer demand will support sustainable internal and acquisition growth as we continue to enhance long-term shareholder value.”
Updated 2022 Guidance
Based on current business conditions, retail trends and other factors, the Company is raising its fiscal year 2022 guidance for earnings per diluted share to a range of $7.90 to $8.30, which is increased from its previously provided guidance of $7.60 to $8.00 per diluted share. This compares to earnings per diluted share of $6.78 in fiscal 2021. These expectations do not consider, or give effect for, material acquisitions that may be completed by the Company during fiscal 2022 or other unforeseen events, including changes in global economic conditions.
~ more ~
About MarineMax
MarineMax is the world’s largest recreational boat and yacht retailer, selling new and used recreational boats, yachts and related marine products and services, as well as providing yacht brokerage and charter services. MarineMax has over 100 locations worldwide, including 79 retail dealership locations, which includes 31 marinas or storage operations. Through Fraser Yachts and Northrop and Johnson, the Company also is the largest superyacht services provider, operating locations across the globe. Cruisers Yachts, a MarineMax company, manufactures boats and yachts with sales through our select retail dealership locations and through independent dealers. Intrepid Powerboats, a MarineMax company, manufactures powerboats and sells through a direct-to-consumer model. MarineMax provides finance and insurance services through wholly owned subsidiaries and operates MarineMax Vacations in Tortola, British Virgin Islands. The Company also operates Boatyard, a pioneering digital platform that enhances the boating experience. MarineMax is a New York Stock Exchange-listed company (NYSE: HZO). 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 second quarter ended March 31, 2022; the Company's confidence for the balance of fiscal 2022 and beyond; the sustainability of the trend that boating would be one of the beneficiaries of a changed world; the Company's ability to leverage its scale, global presence, product diversification, digital platform, strong balance sheet and cycle tested team; the Company's expectation that the combination of robust operating leverage, significant cash flow and strong consumer demand will support sustainable growth; the Company's enhancement of long-term shareholder value; and the Company's fiscal 2022 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, the performance of the recently-acquired businesses, the impacts (direct and indirect) of COVID-19 on the Company’s business, the Company’s employees, the Company’s manufacturing partners, and the overall economy, general economic conditions, as well as those within the Company's industry, the level of consumer spending, potential supply chain constraints and numerous other factors identified in the Company’s Form 10-K for the fiscal year ended September 30, 2021 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 or Dawn Francfort | |
| Chief Financial Officer | ICR, LLC. | |
| Abbey Heimensen | investorrelations@marinemax.com. | |
| Public Relations | ||
| 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 | Six Months Ended | |||||||
|---|---|---|---|---|---|---|---|---|
| March 31, | March 31, | |||||||
| 2022 | 2021 | 2022 | 2021 | |||||
| Revenue | $ | 610,106 | $ | 523,095 | $ | 1,082,797 | $ | 934,618 |
| Cost of sales | 404,791 | 366,289 | 710,283 | 654,411 | ||||
| Gross profit | 205,315 | 156,806 | 372,514 | 280,207 | ||||
| Selling, general, and administrative expenses | 133,532 | 103,936 | 253,529 | 195,354 | ||||
| Income from operations | 71,783 | 52,870 | 118,985 | 84,853 | ||||
| Interest expense | 654 | 1,092 | 1,291 | 2,360 | ||||
| Income before income tax provision | 71,129 | 51,778 | 117,694 | 82,493 | ||||
| Income tax provision | 17,622 | 12,843 | 28,244 | 19,958 | ||||
| Net income | $ | 53,507 | $ | 38,935 | $ | 89,450 | $ | 62,535 |
| Basic net income per common share | $ | 2.45 | $ | 1.76 | $ | 4.09 | $ | 2.83 |
| Diluted net income per common share | $ | 2.37 | $ | 1.69 | $ | 3.96 | $ | 2.73 |
| Weighted average number of common shares used in computing<br><br><br>net income per common share: | ||||||||
| Basic | 21,861,438 | 22,143,043 | 21,880,558 | 22,083,827 | ||||
| Diluted | 22,530,102 | 22,986,061 | 22,597,105 | 22,864,950 |
MarineMax, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)
| March 31, | March 31, | |||||
|---|---|---|---|---|---|---|
| 2022 | 2021 | |||||
| ASSETS | ||||||
| CURRENT ASSETS: | ||||||
| Cash and cash equivalents | $ | 219,400 | $ | 142,888 | ||
| Accounts receivable, net | 62,276 | 54,489 | ||||
| Inventories, net | 329,731 | 302,979 | ||||
| Prepaid expenses and other current assets | 17,596 | 14,698 | ||||
| Total current assets | 629,003 | 515,054 | ||||
| Property and equipment, net | 220,569 | 151,254 | ||||
| Operating lease right-of-use assets, net | 100,818 | 106,348 | ||||
| Goodwill and other intangible assets, net | 246,265 | 142,152 | ||||
| Other long-term assets | 9,069 | 10,318 | ||||
| Total assets | $ | 1,205,724 | $ | 925,126 | ||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||
| CURRENT LIABILITIES: | ||||||
| Accounts payable | $ | 37,856 | $ | 23,280 | ||
| Contract liabilities (customer deposits) | 164,068 | 83,357 | ||||
| Accrued expenses | 95,750 | 84,536 | ||||
| Short-term borrowings | 58,858 | 35,762 | ||||
| Current maturities on long-term debt | 3,587 | 2,802 | ||||
| Current operating lease liabilities | 9,774 | 10,439 | ||||
| Total current liabilities | 369,893 | 240,176 | ||||
| Long-term debt, net of current maturities | 45,747 | 49,440 | ||||
| Noncurrent operating lease liabilities | 93,885 | 98,276 | ||||
| Deferred tax liabilities, net | 14,646 | 6,501 | ||||
| Other long-term liabilities | 7,293 | 7,429 | ||||
| Total liabilities | 531,464 | 401,822 | ||||
| SHAREHOLDERS' EQUITY: | ||||||
| Preferred stock | — | — | ||||
| Common stock | 29 | 28 | ||||
| Additional paid-in capital | 295,589 | 285,532 | ||||
| Accumulated other comprehensive income | 147 | 1,105 | ||||
| Retained earnings | 522,128 | 340,234 | ||||
| Treasury stock | (143,633 | ) | (103,595 | ) | ||
| Total shareholders’ equity | 674,260 | 523,304 | ||||
| Total liabilities and shareholders’ equity | $ | 1,205,724 | $ | 925,126 |
MarineMax, Inc. and Subsidiaries
Segment Financial Information
(Amounts in thousands)
(Unaudited)
| Three Months Ended | Six Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| March 31, | March 31, | |||||||||
| 2022 | 2021 | 2022 | 2021 | |||||||
| Revenue: | ||||||||||
| Retail Operations | $ | 577,624 | $ | 523,095 | $ | 1,032,242 | $ | 934,618 | ||
| Product Manufacturing | 46,758 | — | 81,002 | — | ||||||
| Elimination of intersegment revenue | (14,276 | ) | — | (30,447 | ) | — | ||||
| Revenue | $ | 610,106 | $ | 523,095 | $ | 1,082,797 | $ | 934,618 | ||
| Income from operations: | ||||||||||
| Retail Operations | $ | 68,346 | $ | 52,870 | $ | 113,469 | $ | 84,853 | ||
| Product Manufacturing | 4,387 | — | 7,830 | — | ||||||
| Elimination of intersegment income | (950 | ) | — | (2,314 | ) | — | ||||
| Income from operations | $ | 71,783 | $ | 52,870 | $ | 118,985 | $ | 84,853 |