LAZYDAYS REPORTS FIRST QUARTER 2025 FINANCIAL RESULTS
PR Newswire
TAMPA, Fla., May 15, 2025
TAMPA, Fla., May 15, 2025 /PRNewswire/ -- Lazydays Holdings, Inc. (NasdaqCM: GORV) ("Lazydays," the "Company" or "we") today reports financial results for the first quarter ended March 31, 2025.
Ron Fleming, Interim CEO, said, "We made meaningful progress against our stated priorities in the first quarter of 2025. Our operating results were much improved as compared to our results in the fourth quarter and first quarter of 2024, with a notable increase in gross profit and greater gross profit margins across all product lines. Additionally, we completed the strategic divestiture of five dealership locations in the quarter, enabling us to enhance our cost structure and significantly de-lever our balance sheet by repaying approximately $145 million in debt. We are committed to continuing to execute our turnaround plan and to unlocking value for our shareholders."
Total revenue for the first quarter 2025 was $165.8 million compared to $270.1 million for the same period in 2024. Loss from operations for the first quarter 2025 was $2.3 million compared to $16.6 million for the same period in 2024. We recognized impairment charges of $2.9 million related to indefinite-lived intangible assets during the first quarter 2025. First quarter 2025 net loss was $9.5 million compared to net loss of $22.0 million for the same period in 2024. First quarter 2025 Adjusted EBITDA, a non-GAAP measure, was $(4.0) million compared to Adjusted EBITDA of $(18.2) million for the same period in 2024.* Net loss per diluted share for the first quarter 2025 was $0.09 compared to net loss per diluted share of $1.67 for the same period in 2024.
*Refer to the reconciliation of net income to Adjusted EBITDA under "Reconciliation of Non-GAAP Measures" in this press release.
Conference Call Information
We have scheduled a conference call at 8:30 AM Eastern Time on Thursday, May 15, 2025 that will also be broadcast live over the internet.
The conference call may be accessed by telephone at (877) 407-8029 / +1 (201) 689-8029. To listen live on our website or for replay, visit https://www.lazydays.com/investor-relations.
About Lazydays
Lazydays has been a prominent player in the RV industry since our inception in 1976, earning a stellar reputation for delivering exceptional RV sales, service, and ownership experiences. Our commitment to excellence has led to enduring relationships with RVers and their families who rely on us for all of their RV needs.
Our wide selection of RV brands from top manufacturers, state-of-the-art service facilities, and an extensive range of accessories and parts ensure that Lazydays is the go-to destination for RV enthusiasts seeking everything they need for their journeys on the road. Whether you're a seasoned RVer or just starting your adventure, our dedicated team is here to provide outstanding support and guidance, making your RV lifestyle truly extraordinary.
Lazydays is a publicly listed company on the Nasdaq stock exchange under the ticker "GORV."
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of the "Safe-Harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward looking statements include statements regarding our goals, plans, projections and guidance regarding our financial position, results of operations, market position, pending and potential future financing transactions and business strategy, and often contain words such as "project," "outlook," "expect, " "anticipate," "intend," "plan," "believe," "estimate," "may," "seek," "would," "should," "likely," "goal," "strategy," "future," "maintain," "continue," "remain," "target" or "will" and similar references to future periods.
By their nature, forward-looking statements involve risks and uncertainties because they relate to events that depend on circumstances that may or may not occur in the future. Forward-looking statements are not guarantees of future performance, and our actual results of operations, financial condition and liquidity and development of the industry in which we operate may differ materially from those made in or suggested by the forward-looking statements in this press release. The risks and uncertainties that could cause actual results to differ materially from estimated or projected results include, without limitation, future economic and financial conditions (both nationally and locally), changes in customer demand, our relationship with, and the financial and operational stability of, vehicle manufacturers and other suppliers, risks associated with our indebtedness (including our ability to obtain further waivers or amendments to credit agreements, the actions or inactions of our lenders, available borrowing capacity, our compliance with financial covenants and our ability to refinance or repay indebtedness on terms acceptable to us), acts of God or other incidents which may adversely impact our operations and financial performance, government regulations, legislation and other risks and uncertainties set forth throughout under the headers "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" and in the notes to our financial statements in our most recent Quarterly Report on Form 10-Q, Annual Report on Form 10-K and from time to time in our other filings with the U.S. Securities and Exchange Commission. Shareholders, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements made herein and are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements made herein are only made as of the date of this press release and we disclaim any obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances, except as may be required by law.
Contact:
investors@lazydays.com
Results of Operations
Three Months Ended March 31,
--------------------------------------------------------
(In thousands,
except share and
per share data) 2025 2024
--------------------------- ---------------------------
Revenue
New vehicle
retail $ 97,519 $ 152,691
Pre-owned vehicle
retail 40,673 78,644
Vehicle wholesale 2,056 6,249
Consignment
vehicle 1,489 466
Finance and
insurance 11,502 18,329
Service, body and
parts and other 12,576 13,741
--------------------------- ---------------------------
Total revenue 165,815 270,120
Cost applicable to
revenue
New vehicle
retail 86,672 147,055
Pre-owned vehicle
retail 31,994 69,733
Vehicle wholesale 2,120 8,460
Finance and
insurance 434 693
Service, body and
parts and other 5,698 6,287
LIFO (4,945) 126
--------------------------- ---------------------------
Total cost
applicable to
revenue 121,973 232,354
--------------------------- ---------------------------
Gross profit 43,842 37,766
Depreciation and
amortization 4,582 5,461
Selling, general,
and
administrative
expenses 38,629 48,886
Impairment
charges 2,900 --
--------------------------- ---------------------------
Loss from
operations (2,269) (16,581)
Other income
(expense):
Floor plan
interest
expense (4,590) (7,676)
Other interest
expense (6,169) (4,523)
Change in fair
value of warrant
liabilities 4,282 --
Loss on sale of
businesses,
property and
equipment (459) --
--------------------------- ---------------------------
Total other
expense, net (6,936) (12,199)
--------------------------- ---------------------------
Loss before income
taxes (9,205) (28,780)
Income tax
(expense)
benefit (328) 6,800
--------------------------- ---------------------------
Net loss (9,533) (21,980)
Dividends on
Series A
convertible
preferred stock -- (1,984)
--------------------------- ---------------------------
Net loss and
comprehensive
loss attributable
to common stock
and participating
securities $ (9,533) $ (23,964)
=========================== ===========================
Loss per share:
Basic $ (0.09) $ (1.67)
Diluted $ (0.09) $ (1.67)
Weighted average
shares used for
EPS calculations:
Basic 110,300,452 14,368,677
Diluted 110,300,452 14,368,677
Other Metrics and Highlights
Three Months Ended March 31,
2025 2024
---------------------- ----------------------
Gross profit margins
New vehicle retail 11.1 % 3.7 %
Pre-owned vehicle retail 21.3 % 11.3 %
Vehicle wholesale (3.1) % (35.4) %
Consignment vehicle 100.0 % 100.0 %
Finance and insurance 96.2 % 96.2 %
Service, body and parts and
other 54.7 % 54.2 %
Total gross profit margin 26.4 % 14.0 %
Total gross profit margin
(excluding LIFO) 23.5 % 14.0 %
Retail units sold
New vehicle retail 1,143 2,055
Pre-owned vehicle retail 805 1,460
Consignment vehicle 200 6
---------------------- ----------------------
Total retail units sold 2,148 3,521
Average selling price per
retail unit
New vehicle retail $ 85,318 $ 74,263
Pre-owned vehicle retail 50,525 53,866
Average gross profit per
retail unit (excluding
LIFO)
New vehicle retail $ 9,490 $ 2,704
Pre-owned vehicle retail 10,781 6,103
Finance and insurance 5,153 4,919
Revenue mix
New vehicle retail 58.8 % 56.5 %
Pre-owned vehicle retail 24.5 % 29.1 %
Vehicle wholesale 1.2 % 2.3 %
Consignment vehicle 0.9 % 0.2 %
Finance and insurance 6.9 % 6.8 %
Service, body and parts and
other 7.7 % 5.1 %
---------------------- ----------------------
100.0 % 100.0 %
Gross profit mix
New vehicle retail 24.7 % 14.9 %
Pre-owned vehicle retail 19.8 % 23.6 %
Vehicle wholesale (0.1) % (5.9) %
Consignment vehicle 3.4 % 1.2 %
Finance and insurance 25.2 % 46.7 %
Service, body and parts and
other 15.7 % 19.7 %
LIFO 11.3 % (0.2) %
---------------------- ----------------------
100.0 % 100.0 %
Condensed Consolidated Balance Sheets
(In thousands) March 31, 2025 December 31, 2024
----------------------------- -----------------------------
ASSETS
Current assets:
Cash $ 19,727 $ 24,702
Receivables, net
of allowance
for doubtful
accounts 26,363 22,318
Inventories, net 182,607 211,946
Income tax
receivable 1,695 6,116
Prepaid expenses
and other 6,066 1,823
Current assets
held for sale 16,049 86,869
----------------------------- -----------------------------
Total current
assets 252,507 353,774
Property and
equipment, net 171,033 174,324
Operating lease
right-of-use
assets 12,875 13,812
Intangible
assets, net 50,806 54,957
Other assets 3,724 3,216
Long-term assets
held for sale 18,563 75,747
----------------------------- -----------------------------
Total assets $ 509,508 $ 675,830
============================= =============================
LIABILITIES AND
STOCKHOLDERS'
EQUITY
Current
liabilities:
Accounts payable $ 23,452 $ 22,426
Accrued expenses
and other
current
liabilities 31,780 31,211
Floor plan notes
payable, net of
debt
discount(1) 210,920 306,036
Current portion
of financing
liability 2,880 2,792
Current portion
of revolving
credit
facility 10,000 10,000
Current portion
of long-term
debt 346 1,168
Current portion
of operating
lease
liability 3,366 3,711
Current
liabilities
related to
assets held for
sale 220 1,530
----------------------------- -----------------------------
Total current
liabilities 282,964 378,874
Long-term
liabilities:
Financing
liability, net
of debt
discount 75,226 76,007
Revolving credit
facility 17,844 20,344
Long-term debt,
net of debt
discount 12,338 27,417
Related party
debt, net of
debt discount 7,189 36,217
Operating lease
liability 9,886 10,592
Deferred income
tax liability 1,820 1,348
Warrant
liabilities 1,427 5,709
Other long-term
liabilities 6,721 6,721
Long-term
liabilities
related to
assets held for
sale 13,729 23,001
----------------------------- -----------------------------
Total
liabilities 429,144 586,230
Stockholders'
Equity
Common stock 10 10
Additional
paid-in capital 261,762 261,465
Treasury stock,
at cost (57,128) (57,128)
Retained deficit (124,280) (114,747)
----------------------------- -----------------------------
Total
stockholders'
equity 80,364 89,600
----------------------------- -----------------------------
Total
liabilities
and
stockholders'
equity $ 509,508 $ 675,830
============================= =============================
(1) Includes floor plan notes payable associated with inventories classified
as held for sale of $16.0 million as of March 31, 2025 and $86.8 million as of
December 31, 2024.
Statements of Cash Flows
Three Months Ended March 31,
(In thousands) 2025 2024
------------------------- ------------------------
Operating Activities
Net loss $ (9,533) $ (21,980)
Adjustments to
reconcile net loss to
net cash provided by
operating activities:
Stock-based
compensation 297 509
Bad debt expense 263 58
Depreciation of
property and
equipment 3,330 3,189
Amortization of
intangible assets 1,252 2,271
Amortization of debt
discount 1,701 74
Non-cash operating
lease expense (222) (30)
Loss on sale of
businesses,
property and
equipment 459 29
Deferred income
taxes 472 (5,032)
Change in fair value
of warrant
liabilities (4,282) --
Impairment charges 2,900 --
Changes in operating
assets and
liabilities:
Receivables (4,308) (4,608)
Inventories 32,346 109,442
Prepaid expenses and
other (4,155) 1,193
Income tax
receivable 4,421 (1,612)
Other assets $(504.SI)$ (333)
Accounts payable,
accrued expenses
and other current
liabilities 1,595 (2,930)
------------------------- ------------------------
Net cash provided by
operating
activities 26,032 80,240
Investing Activities
Net proceeds from sale
of businesses,
property and
equipment 113,947 --
Purchases of property
and equipment (15) (8,765)
------------------------- ------------------------
Net cash provided by
(used) in investing
activities 113,932 (8,765)
Financing Activities
Net repayments under
M&T bank floor plan (95,136) (89,016)
Principal repayments
on revolving credit
facility (2,500) --
Principal repayments
on long-term debt and
finance liabilities (47,303) (1,176)
Loan issuance costs -- (18)
------------------------- ------------------------
Net cash used in
financing
activities (144,939) (90,210)
------------------------- ------------------------
Net decrease in cash (4,975) (18,735)
Cash, beginning of
period 24,702 58,085
------------------------- ------------------------
Cash, end of period $ 19,727 $ 39,350
========================= ========================
Reconciliation of Non-GAAP Measures
EBITDA and Adjusted EBITDA
EBITDA, which is a non-GAAP financial measure, is defined as net income (loss) excluding interest expense, income tax expense (benefit) and depreciation and amortization expense. Adjusted EBITDA, which is a non-GAAP financial measure, is further adjusted to include floor plan interest expense and excludes stock-based compensation expense; LIFO adjustment; impairment charges; loss (gain) on sale of businesses, property and equipment; and change in fair value of warrant liabilities.
EBITDA and Adjusted EBITDA are not measures of financial performance under GAAP and should not be considered in isolation or as an alternative to net income (loss), cash flows from operating activities or any other measure determined in accordance with GAAP. The items excluded to calculate EBITDA and Adjusted EBITDA are significant components in understanding and assessing the Company's results of operations. The Company's EBITDA and Adjusted EBITDA may not be comparable to a similarly titled measure of another company because other entities may not calculate EBITDA and Adjusted EBITDA in the same manner.
The Company believes Adjusted EBITDA is an important measure of operating performance because it allows management, investors and others to evaluate and compare the Company's core operating results from period to period by removing (i) the impact of the Company's capital structure (interest expense from outstanding debt); (ii) tax consequences; (iii) asset base (depreciation, amortization and LIFO adjustments); (iv) the non-cash charges from asset impairments, stock-based compensation expense and change in fair value of warrant liabilities; and (v) gains or losses on the sale of businesses, property and equipment. The Company uses Adjusted EBITDA internally to monitor operating results and to evaluate the performance of its business.
The following table presents a reconciliation of net income to EBITDA and adjusted EBITDA for the periods indicated:
Three Months Ended March 31,
---------------------------------------------------
(In thousands) 2025 2024
------------------------- ------------------------
Net loss $ (9,533) $ (21,980)
Interest expense, net 10,759 12,199
Depreciation and
amortization 4,582 5,461
Income tax expense
(benefit) 328 (6,800)
------------------------- ------------------------
EBITDA 6,136 (11,120)
------------------------- ------------------------
Floor plan
interest expense (4,590) (7,676)
LIFO adjustment (4,945) 126
Loss on sale of
businesses,
property and
equipment 459 --
Impairment charges 2,900 --
Gain on change in
fair value of
warrant
liabilities (4,282) --
Stock-based
compensation
expense 297 509
------------------------- ------------------------
Adjusted EBITDA $ (4,025) $ (18,161)
========================= ========================
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SOURCE Lazydays RV
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May 15, 2025 07:00 ET (11:00 GMT)
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