Exhibit 99.1
CONTACT: | Michael H. McLamb Chief Financial Officer MarineMax, Inc. 727/531-1700 | Brad Cohen Integrated Corporate Relations, Inc. 203/682-8211 |
MARINEMAX REPORTS RECORD FIRST QUARTER RESULTS
- Same-store sales increased 17%
- - Net income increased 27%
- - Raising fiscal 2005 guidance to a range of $1.80 to $1.85
CLEARWATER, FL, January 20, 2005 – MarineMax, Inc. (NYSE: HZO), the nation’s largest recreational boat retailer, today announced record revenue and earnings for the first quarter of fiscal 2005.
For the quarter ended December 31, 2004, revenue increased 18% to $184.2 million from $156.7 million for the comparable quarter last year. Same-store sales increased 17% due to a stronger economic climate and the expansion of brands added over the past 24 months. Net income increased 27% to $2.8 million, or $0.17 per diluted share, from net income of $2.2 million, or $0.14 per diluted share, for the comparable quarter last year.
William H. McGill, Jr., Chairman, Chief Executive Officer, and President, stated, “I am very pleased with our strong start to fiscal 2005, which exceeded our expectations. We entered the quarter with caution related to the lingering effects of the four hurricanes that impacted Florida and the significant 56% same-store sales growth that we were up against in last year’s December quarter. Despite these concerns, our Team delivered a 17% increase in same-store sales growth. The strongest growth came from Florida with contributions from most of our markets across the country. Furthermore, we benefited from the expansion of the Ferretti Group and Meridian products along with strong performance from Sea Ray.”
Mr. McGill concluded, “While we are certainly pleased with the start of 2005, we likely benefited from a shift in business from the September quarter due to the hurricanes delaying sales and perhaps the acceleration of business from future quarters, so our enthusiasm is tempered. Importantly, we have the right inventory to make the most of improved industry conditions. Furthermore, we remain convinced that the MarineMax brand, a customer-centric, full-service approach to “delivering the boating dream” with the best Team in the industry will enable us to gain further market share and continue to deliver shareholder value over the long-term.”
Based on current business conditions, retail trends and other factors, MarineMax is raising its previously announced fiscal 2005 guidance of $1.75 to $1.80 per diluted share to $1.80 to $1.85. This revised guidance includes an estimated $0.03 per diluted share reduction in earnings due to the requirements of the Financial Accounting Standards Board Statement No. 123R “Share-Based Payment” which we are required to adopt in our fourth quarter of fiscal 2005.
About MarineMax
Headquartered in Clearwater, Florida, MarineMax is the nation’s largest recreational boat retailer. Focused on premium brands, such as Sea Ray, Boston Whaler, Meridian, Hatteras, Grady White, Ferretti Yachts, Custom Line, CRN, Pershing, Riva, Mochi Craft, Apreamare and Bertram, the Company sells new and used recreational boats and related marine products and provides yacht brokerage services. The Company currently operates 67 retail locations in Alabama, Arizona, California, Colorado, Delaware, Florida, Georgia, Maryland, Minnesota, Nevada, New Jersey, North Carolina, Ohio, South Carolina, Texas and Utah. MarineMax is a New York Stock Exchange-listed Company.
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 expectations regarding the strength of our products and the performance of our team; our position in the boating market; our ability to continue long-term growth and increase stockholder value; and our earnings guidance for fiscal 2005. These statements involve certain risks and uncertainties that may cause actual results to differ materially from expectations as of the date of this release. These risks include the ability to accomplish goals and strategies, the success of the acquisition program, synergies expected from acquisitions, anticipated revenue enhancements, general economic conditions and the level of consumer spending, the Company’s ability to integrate acquisitions into existing operations and numerous other factors identified in the Company’sForm 10-K and other filings with the Securities Exchange Commission.
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(table follows)
MarineMax, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(Unaudited amounts in thousands, except share and per share data)
Three Months Ended December 31, | ||||||||
2004 | 2003 | |||||||
Revenue | $ | 184,188 | $ | 156,659 | ||||
Cost of sales | 140,064 | 121,559 | ||||||
Gross profit | 44,124 | 35,100 | ||||||
Selling, general, and administrative expenses | 37,140 | 30,015 | ||||||
Income from operations | 6,984 | 5,085 | ||||||
Interest expense | 2,384 | 1,459 | ||||||
Income before income tax provision | 4,600 | 3,626 | ||||||
Income tax provision | 1,771 | 1,396 | ||||||
Net income | $ | 2,829 | $ | 2,230 | ||||
Basic net income per common share: | $ | 0.18 | $ | 0.14 | ||||
Diluted net income per common share: | $ | 0.17 | $ | 0.14 | ||||
Weighted average number of common shares used in computing net income per common share: | ||||||||
Basic | 15,778,029 | 15,444,082 | ||||||
Diluted | 16,955,107 | 16,280,368 | ||||||
(table follows)
MarineMax, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Unaudited amounts in thousands, except share and per share data)
December 31, | December 31, | |||||||
2004 | 2003 | |||||||
ASSETS | ||||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 9,501 | $ | 8,760 | ||||
Accounts receivable, net | 18,043 | 16,331 | ||||||
Inventories, net | 332,136 | 272,984 | ||||||
Prepaid expenses and other current assets | 5,969 | 3,846 | ||||||
Deferred tax assets | 3,086 | 1,551 | ||||||
Total current assets | 368,735 | 303,472 | ||||||
Property and equipment, net | 86,288 | 74,227 | ||||||
Goodwill and other intangible assets, net | 56,101 | 53,409 | ||||||
Other long-term assets | 828 | 897 | ||||||
Total assets | $ | 511,952 | $ | 432,005 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
Current Liabilities: | ||||||||
Accounts payable | $ | 12,220 | $ | 11,690 | ||||
Customer deposits | 9,980 | 13,283 | ||||||
Accrued expenses | 18,776 | 14,409 | ||||||
Short-term borrowings | 234,000 | 195,000 | ||||||
Current maturities of long-term debt | 3,127 | 2,371 | ||||||
Total current liabilities | 278,103 | 236,753 | ||||||
Deferred tax liabilities | 9,442 | 7,200 | ||||||
Long-term debt, net of current maturities | 22,341 | 19,395 | ||||||
Total liabilities | 309,886 | 263,348 | ||||||
Stockholders’ Equity: | ||||||||
Preferred stock, $.001 par value, 1,000,000 shares authorized, none issued or outstanding at December 31, 2004 and 2003 | — | — | ||||||
Common stock, $.001 par value; 24,000,000 shares authorized, 15,846,329 and 15,458,356 shares issued and outstanding at December 31, 2004 and 2003, respectively | 16 | 15 | ||||||
Additional paid-in capital | 72,741 | 65,606 | ||||||
Retained earnings | 129,927 | 103,036 | ||||||
Treasury Stock, at cost, 30,000 shares held at December 31, 2004 | (618 | ) | — | |||||
Total stockholders’ equity | 202,066 | 168,657 | ||||||
Total liabilities and stockholders’ equity | $ | 511,952 | $ | 432,005 | ||||
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