It’s been smooth sailing for MarineMax, the largest recreational boat and yacht retailer. The company reported that revenue for the quarter ending March 31, 2021 was a whopping 70 percent greater than the same period a year ago, jumping from $214 million to $523.1 million. Same-store sales grew over 45 percent, in addition to a 1 percent increase in the comparable quarter last year.
According to a news release, the growth was driven by an increase in comparable new units sold driven by the increased demand for boating. An additional driver of growth has been the company’s “recent geographic and product diversification and effective utilization of its digital platform,” said the release.
Net income and earnings per diluted share rose more than sevenfold to $38.9 million and $1.69, respectively. This compares to net income of $5.1 million and earnings per share of $.23 in the same quarter last year. Despite the impact of COVID-19, MarineMax generated positive same-store sales growth during the March 2020 quarter.
W. Brett McGill, CEO and president, said in the release, “We delivered record sales and earnings growth in the quarter, driven by a 45 percent same-store sales increase and strong gross margins.” He added that the growth was also due to “the foundational shift” of new customers, as well as many existing customers upgrading to larger and newer boats.
The not-too-distant future looks good as well, he said, boting that the company’s large on-order backlog provides additional confidence for the remaining fiscal 2021. The company also benefited from its investments in technology.
Based on the current market, retail trends and other factors, MarineMax is raising its fiscal year 2021 guidance for earnings per diluted share to the range of $5.50 to $5.65, which is an increase from its previous guidance of $4.00 to $4.20 per diluted share. These expectations do not consider material acquisitions that may be completed by the company during fiscal 2021 or other unforeseen events, including changes in global economic conditions, the release stated.
MarineMax operates more than 100 locations worldwide, including 77 retail dealerships and 30 marinas or storage operations.
Selected by EFXA