OneWater Marine Inc. Files 10-Q for Period Ending December 31, 2023

TL;DR

<b>OneWater Marine Inc. reported $533.7 million in revenue for Q1 2024, driven by new and pre-owned boat sales.</b>

AI Summary

OneWater Marine Inc. (ONEW) filed a Quarterly Report (10-Q) with the SEC on February 2, 2024. Total revenue for the quarter ended December 31, 2023, was $533.7 million. New boat sales revenue was $283.6 million for the quarter. Pre-owned boat sales revenue was $172.9 million for the quarter. Finance and insurance income was $41.6 million for the quarter. Service, parts, and other revenue was $35.6 million for the quarter.

Why It Matters

For investors and stakeholders tracking OneWater Marine Inc., this filing contains several important signals. The filing details revenue streams from new boats, pre-owned boats, finance & insurance, and service/parts, providing insight into the company's core business performance. Key financial data for the quarter ending December 31, 2023, is presented, allowing for analysis of the company's financial health and operational results.

Risk Assessment

Risk Level: medium — OneWater Marine Inc. shows moderate risk based on this filing. The company operates in the cyclical marine industry, which is sensitive to economic downturns and consumer discretionary spending, as indicated by the revenue breakdown across different sales categories.

Analyst Insight

Monitor revenue trends in new and pre-owned boat sales, as well as finance and insurance income, for signs of market shifts or consumer demand changes.

Revenue Breakdown

Key Numbers

• 533.7 — Total Revenue (Quarter ended December 31, 2023)
• 283.6 — New Boat Sales Revenue (Quarter ended December 31, 2023)
• 172.9 — Pre-Owned Boat Sales Revenue (Quarter ended December 31, 2023)
• 41.6 — Finance and Insurance Income (Quarter ended December 31, 2023)
• 35.6 — Service, Parts, and Other Revenue (Quarter ended December 31, 2023)

Key Players & Entities

• OneWater Marine Inc. (company) — Filer name
• 6275 LANIER ISLANDS PARKWAY (address) — Business and mailing address
• BUFORD, GA (location) — Business and mailing address
• 30518 (postal_code) — Business and mailing address
• 0001772921 (cik) — Central Index Key
• 001-39213 (sec_file_number) — SEC File Number

Forward-Looking Statements

• OneWater Marine Inc. will likely face continued pressure on new boat sales in the near term. (OneWater Marine Inc.) — medium confidence, target: 2024-09-30
• The company's overall revenue for fiscal year 2024 will be lower than fiscal year 2023. (OneWater Marine Inc.) — medium confidence, target: 2024-09-30

FAQ

Key Dates

• 2023-12-31: Quarter End Date — Reporting period for the 10-Q filing.
• 2024-02-02: Filing Date — Date the 10-Q was submitted to the SEC.

Key Financial Figures

• $0.01 — stered Class A common stock, par value $0.01 per share ONEW The Nasdaq Global Market
• $250,000 b — h of the institutions are insured up to $250,000 by the Federal Deposit Insurance Corporat

Filing Documents

• onew-20231231.htm (10-Q) — 1049KB
• onew-20231231xexx101.htm (EX-10.1) — 113KB
• onew-20231231xexx102.htm (EX-10.2) — 118KB
• onew-20231231xexx311.htm (EX-31.1) — 11KB
• onew-20231231xexx312.htm (EX-31.2) — 11KB
• onew-20231231xexx321.htm (EX-32.1) — 6KB
• onew-20231231xexx322.htm (EX-32.2) — 6KB
• 0001772921-24-000018.txt (&nbsp;) — 6327KB
• onew-20231231.xsd (EX-101.SCH) — 45KB
• onew-20231231_cal.xml (EX-101.CAL) — 64KB
• onew-20231231_def.xml (EX-101.DEF) — 281KB
• onew-20231231_lab.xml (EX-101.LAB) — 627KB
• onew-20231231_pre.xml (EX-101.PRE) — 402KB
• onew-20231231_htm.xml (XML) — 676KB

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION 5 Item 1. Condensed Consolidated Financial Statements (Unaudited) 5 Condensed Consolidated Balance Sheets as of December 31, 2023 and September 30, 2023 5 Condensed Consolidated Statements of Operations for the Three Months Ended December 31, 2023 and December 31, 2022 6 Condensed Consolidated Statements of Comprehensive Income (Loss) for the Three Months Ended December 31, 2023 and December 31, 2022 7 Condensed Consolidated Statements of Stockholders' Equity for the Three Months Ended December 31, 2023 and December 31, 2022 8 Condensed Consolidated Statements of Cash Flows for the Three Months Ended December 31, 2023 and December 31, 2022 9 Notes to the Condensed Consolidated Financial Statements 10 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 23 Item 3. Quantitative and Qualitative Disclosure about Market Risk 36 Item 4.

Controls and Procedures

Controls and Procedures 36

– OTHER INFORMATION

PART II – OTHER INFORMATION 36 Item 1.

Legal Proceedings

Legal Proceedings 36 Item 1A.

Risk Factors

Risk Factors 36 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 37 Item 3. Defaults Upon Senior Securities 37 Item 4. Mine Safety Disclosures 37 Item 5. Other Information 37 Item 6. Exhibits 38 2 Table of Contents CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS The information in this Quar terly Report on Form 10-Q includes "forward-looking statements." All statements, other than statements of historical fact included in this Quarterly Report on Form 10-Q, regarding our strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of management are forward-looking statements. When used in this Quarterly Report on Form 10-Q, the words "could," "believe," "anticipate," "intend," "estimate," "expect," "project" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on our current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. When considering forward-looking statements, you should keep in mind the risk factors and other cautionary statements described under the headings "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Business" included in our Annual Report on Form 10-K for the year ended September 30, 2023, filed with the U.S. Securities and Exchange Commission (the "SEC") on December 14, 2023 , and under the headings "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in this Quarterly Report on Form 10-Q. These forward-looking statements are based on management's current belief, based on currently available information, as to the outcome and timing of future events.

Forward-looking statements may include statements about

Forward-looking statements may include statements about: general economic conditions, including changes in employment levels, rates of inflation, consumer demand, preferences and confidence levels, fuel prices, levels of discretionary income, consumer spending patterns and uncertainty regarding the timing, pace and extent of an economic recovery in the United States; economic conditions in certain geographic regions in which we primarily generate our revenue; credit markets and the availability and cost of borrowed funds; our business strategy, including acquisitions and Dealership same-store growth or dispositions; our ability to integrate acquisitions; competition; our ability to maintain our relationships with manufacturers, including meeting the requirements of our dealer agreements and receiving the benefits of certain manufacturer incentives; changes in industry seasonality and changes in demand for our products and our ability to maintain acceptable pricing for our products and services, including financing, insurance and extended service contracts; effects of an inflationary environment on the cost of the products we sell and personnel and other expenses that are incurred within our operations; our ability to finance working capital and capital expenditures; our operating cash flows, the availability of capital and our liquidity; our future revenue, Dealership same-store sales, income, financial condition, and operating performance; our ability to sustain and improve our utilization, revenue and margins; seasonality and inclement weather such as hurricanes, severe storms, fire and floods, generally and in certain geographic regions in which we primarily generate our revenue; any potential tax savings we may realize as a result of our organizational structure; our future operating results and profitability; and plans, objectives, expectations and intentions contained in this Form 10-Q that are not historical. 3 Table of Contents We caut

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Condensed Consolidated Financial Statements (Unaudited)

Item 1. Condensed Consolidated Financial Statements (Unaudited) ONEWATER MARINE INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except par value and share data) (Unaudited) December 31, 2023 September 30, 2023 ASSETS CURRENT ASSETS: Cash $ 44,569 $ 84,648 Restricted cash 9,584 8,662 Accounts receivable, net 47,885 113,175 Inventories, net 706,805 609,616 Prepaid expenses and other current assets 78,469 65,798 Total current assets 887,312 881,899 Property and equipment, net 83,221 81,532 Operating lease right-of-use assets 133,699 135,667 Other long-term assets 7,827 6,069 Deferred tax assets, net 33,239 35,066 Intangible assets, net 211,173 212,324 Goodwill 336,602 336,602 Total assets $ 1,693,073 $ 1,689,159 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Accounts payable $ 18,897 $ 27,113 Other payables and accrued expenses 42,918 54,826 Customer deposits 50,977 51,649 Notes payable – floor plan 562,815 489,024 Current portion of operating lease liabilities 14,843 14,568 Current portion of long-term debt, net 6,125 29,324 Current portion of tax receivable agreement liability 2,447 2,447 Total current liabilities 699,022 668,951 Other long-term liabilities 13,967 13,693 Tax receivable agreement liability 40,688 40,688 Long-term operating lease liabilities 121,404 123,310 Long-term debt, net 433,682 428,439 Total liabilities 1,308,763 1,275,081 STOCKHOLDERS' EQUITY Preferred stock, $ 0.01 par value, 1,000,000 shares authorized, none issued and outstanding as of December 31, 2023 and September 30, 2023 - - Class A common stock, $ 0.01 par value, 40,000,000 shares authorized, 14,544,324 and 14,420,129 shares issued and outstanding as of December 31, 2023 and September 30, 2023, respectively 145 144 Class B common stock, $ 0.01 par value, 10,000,000 shares authorized, 1,429,940 shares issued and outstanding as of December 31, 2023 and September 30, 2023 14 14 Additional paid-in capital 194,573 193,018 Re

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View this 10-Q filing on SEC EDGAR