Overview
Powersports dealership's Q4 revenue declined 4.7% yr/yr, missing analyst expectations
Adjusted EBITDA for Q4 beat analyst expectations, rising to $9.7 mln
Net loss for Q4 narrowed significantly due to reduced impairment charges
Outlook
Company anticipates sustained growth through its back to roots strategy
Result Drivers
SAME STORE SALES - RideNow reported a 6.3% increase in same store sales revenue, driven by a 7.7% rise in unit sales
GROSS PROFIT INCREASE - Powersports Gross Profit rose 10.1%, with gains in pre-owned vehicle sales and finance & insurance services
TRANSPORTATION EXIT - Co ceased vehicle transportation services, leading to a 94% drop in segment revenue
Company press release: ID:nPn5Lk54Wa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Miss | $256.9 mln | $267.08 mln (3 Analysts) |
Q4 Net Income | -$6.4 mln | ||
Q4 Adjusted EBITDA | Beat | $9.7 mln | $7.70 mln (3 Analysts) |
Q4 Gross Profit | $70.9 mln |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the auto vehicles, parts & service retailers peer group is "buy."
Wall Street's median 12-month price target for RideNow Group Inc is $5.00, about 22.8% below its March 6 closing price of $6.48
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)