Revenues were up 49% compared to the preveious 12-month period
OneWater Marine announced fiscal first quarter 2020 revenue up 49% on 17% same-store sales growth, the boat dealership chain’s first reporting after an initial public offering (IPO) of 5,307,693 shares of its Class A Common Stock at a price of US$12.00 per share.
“Following a successful initial public offering earlier this month, we are thrilled to report a strong start to our fiscal year 2020. Since its inception in 1987, OneWater has executed a strategy that blends organic growth and strategic acquisitions. We believe that this strategy, coupled with an excellent customer experience, has positioned OneWater well to meet the demands of a large and growing boating market,” says OneWater CEO Austin Singleton in a statement.
Revenue for the fiscal Q1 2020 was US$153.7m, compared to $103.3m in fiscal first quarter 2019. The 49% increase was primarily driven by strong sales of both new and pre-owned units. Stores recently acquired contributed to the increase in first quarter sales and same-store sales for the fiscal first quarter increased 17%. Finance & insurance income for the period increased to US$4.3m from US$2.2m in the prior year period.
“Positive consumer sentiment and favourable retail boat trends drove our same-store sales growth with increased sales across all of our boat categories, particularly in ski and wake, as well as runabouts,” Singleton said in the release. “Feedback from the start of the 2020 boat season suggests continued momentum and optimism across our network. In fact, our sales at several major boat shows, such as Atlanta, grew beyond our high single-digit expectations.”
Higher finance and insurance income along with new and used boat sales led to gross profits of US$32.2m for the fiscal first quarter 2020, compared to US$23.3m in 2019. Gross margin of 20.9% declined 170 basis points compared to the prior year due primarily to a shift in the mix and size of boat models sold, the margin profile of recently acquired locations and the Company’s emphasis on generating strong same-store sales.
Based in Buford, Georgia, OneWater Marine is comprised of 21 dealerships with 63 locations in 11 states.