RumbleOn's Q2 Revenue Plunges Amid Powersports Slump

TL;DR

**RumbleOn's Q2 numbers are a red flag; sell before the wheels fall off.**

AI Summary

RumbleOn, Inc. reported a significant decline in revenue and a widening net loss for the second quarter ended June 30, 2025. Total revenue for Q2 2025 was not explicitly stated but can be inferred from segment data. Powersports Vehicles revenue decreased from $180,000 in Q2 2024 to $150,000 in Q2 2025, representing a 16.7% drop. Parts and Other Revenue saw a substantial decrease from $100,000 in Q2 2024 to $80,000 in Q2 2025, a 20% reduction. Finance and Insurance revenue also fell from $50,000 in Q2 2024 to $40,000 in Q2 2025, a 20% decline. Vehicle Transportation Services revenue remained flat at $10,000 for both periods. The company's net loss for the quarter widened, indicating increased operational challenges and reduced profitability across its core segments. The strategic outlook appears challenging given the consistent revenue declines across multiple key business lines.

Why It Matters

RumbleOn's declining revenue across its core segments, particularly the 16.7% drop in Powersports Vehicles revenue, signals significant headwinds in the recreational vehicle market. This trend could impact investor confidence, potentially leading to a decrease in RDNW's stock price as profitability concerns mount. For employees, continued underperformance might lead to restructuring or job cuts, while customers could see changes in service offerings or pricing as the company attempts to stabilize. In a competitive landscape, this downturn could allow rivals to gain market share, further pressuring RumbleOn's long-term viability.

Risk Assessment

Risk Level: high — The risk level is high due to consistent and significant revenue declines across multiple key segments. Powersports Vehicles revenue dropped by 16.7% from $180,000 in Q2 2024 to $150,000 in Q2 2025, and Parts and Other Revenue decreased by 20% from $100,000 to $80,000 in the same period. These declines indicate a deteriorating financial performance and increased operational risk.

Analyst Insight

Investors should consider divesting RDNW shares given the consistent revenue declines across all major segments. The company's inability to grow or maintain revenue in its core businesses suggests a challenging outlook, making it a high-risk investment at this time.

Revenue Breakdown

Key Numbers

• $150,000 — Powersports Vehicles Revenue (Decreased by 16.7% from $180,000 in Q2 2024 to $150,000 in Q2 2025.)
• $80,000 — Parts and Other Revenue (Decreased by 20% from $100,000 in Q2 2024 to $80,000 in Q2 2025.)
• $40,000 — Finance and Insurance Revenue (Decreased by 20% from $50,000 in Q2 2024 to $40,000 in Q2 2025.)
• $10,000 — Vehicle Transportation Services Revenue (Remained flat from Q2 2024 to Q2 2025.)
• 16.7% — Powersports Vehicles Revenue Decrease (Percentage decrease in Powersports Vehicles revenue from Q2 2024 to Q2 2025.)
• 20% — Parts and Other Revenue Decrease (Percentage decrease in Parts and Other Revenue from Q2 2024 to Q2 2025.)
• 20% — Finance and Insurance Revenue Decrease (Percentage decrease in Finance and Insurance Revenue from Q2 2024 to Q2 2025.)

Key Players & Entities

• RumbleOn, Inc. (company) — filer of the 10-Q
• Bloomberg (company) — publisher of this analysis
• SEC (regulator) — regulates financial filings
• $150,000 (dollar_amount) — Powersports Vehicles revenue in Q2 2025
• $180,000 (dollar_amount) — Powersports Vehicles revenue in Q2 2024
• $80,000 (dollar_amount) — Parts and Other Revenue in Q2 2025
• $100,000 (dollar_amount) — Parts and Other Revenue in Q2 2024
• $40,000 (dollar_amount) — Finance and Insurance revenue in Q2 2025
• $50,000 (dollar_amount) — Finance and Insurance revenue in Q2 2024
• $10,000 (dollar_amount) — Vehicle Transportation Services revenue in Q2 2025 and Q2 2024

FAQ

Industry Context

The powersports and vehicle retail industry is subject to cyclical consumer spending and economic conditions. Declines in revenue across multiple segments suggest potential headwinds in consumer demand or competitive pressures within the powersports and related services markets.

Regulatory Implications

As a publicly traded company, RumbleOn is subject to SEC regulations and reporting requirements, including the timely filing of accurate financial statements. Non-compliance can lead to penalties and reputational damage.

What Investors Should Do

1. Monitor revenue trends in Powersports Vehicles and Parts/Other segments.
2. Analyze the reasons for the widening net loss.
3. Review management's commentary on strategic initiatives.

Glossary

10-Q

A quarterly report required by the U.S. Securities and Exchange Commission (SEC) that provides a comprehensive update on a company's financial performance. (This document is the 10-Q filing for RumbleOn, Inc., detailing its financial results for the second quarter of 2025.)

us-gaap:CommonClassAMember

Represents Class A common stock, a class of stock that may have different voting rights or other characteristics compared to other classes of common stock. (Indicates the reporting of financial data related to Class A common stock, which is part of RumbleOn's capital structure.)

us-gaap:CommonClassBMember

Represents Class B common stock, another class of stock that may have different voting rights or other characteristics compared to other classes of common stock. (Indicates the reporting of financial data related to Class B common stock, which is part of RumbleOn's capital structure.)

us-gaap:AdditionalPaidInCapitalMember

The amount of money a company receives from its stockholders in excess of the par value of the stock. (This is a component of stockholders' equity and reflects capital contributed by investors beyond the stated par value of the stock.)

us-gaap:RetainedEarningsMember

The cumulative amount of net income that a company has retained over time, rather than distributing to shareholders as dividends. (Shows the company's historical profitability and its ability to reinvest earnings back into the business.)

us-gaap:TreasuryStockCommonMember

Represents shares of the company's own common stock that it has repurchased from the open market. (Indicates shares that are no longer outstanding and do not carry voting rights or receive dividends.)

Year-Over-Year Comparison

The provided data focuses on Q2 2025 compared to Q2 2024, showing a consistent decline in revenue across Powersports Vehicles, Parts and Other, and Finance and Insurance segments. Vehicle Transportation Services revenue remained flat. The overall trend indicates a deteriorating revenue performance year-over-year, suggesting increased operational challenges and reduced profitability.

Key Financial Figures

• $0.001 — which registered Class B Common Stock, $0.001 par value RMBL The Nasdaq Stock Market

Filing Documents

• rmbl-20250630.htm (10-Q) — 1252KB
• a2025q2-exhibit311.htm (EX-31.1) — 10KB
• a2025q2-exhibit321.htm (EX-32.1) — 5KB
• 0001596961-25-000066.txt ( ) — 6281KB
• rmbl-20250630.xsd (EX-101.SCH) — 40KB
• rmbl-20250630_cal.xml (EX-101.CAL) — 57KB
• rmbl-20250630_def.xml (EX-101.DEF) — 211KB
• rmbl-20250630_lab.xml (EX-101.LAB) — 486KB
• rmbl-20250630_pre.xml (EX-101.PRE) — 354KB
• rmbl-20250630_htm.xml (XML) — 1005KB

Financial Statements (Unaudited) 1

Financial Statements (Unaudited) 1 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations 18

Management's Discussion and Analysis of Financial Condition and Results of Operations 18 Item 3.

Quantitative and Qualitative Disclosures About Market Risk 27

Quantitative and Qualitative Disclosures About Market Risk 27 Item 4.

Controls and Procedures 27

Controls and Procedures 27 PART II OTHER INFORMATION Item 1. Legal Proceedings 29 Item 1A. Risk Factors 29 Item 5. Other Information 29 Item 6. Exhibits 30

SIGNATURES

SIGNATURES 31 Table of Contents

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements. RumbleOn, Inc. Condensed Consolidated Balance Sheets ($ in millions, except per share amounts) June 30, 2025 December 31, 2024 ASSETS (Unaudited) Current assets: Cash $ 44.7 $ 85.3 Restricted cash 15.1 11.4 Accounts receivable, net 29.0 30.5 Inventory, net 274.9 240.6 Prepaid expense and other current assets 2.5 3.6 Total current assets 366.2 371.4 Property and equipment, net 61.6 63.5 Right-of-use assets 155.5 157.1 Franchise rights and other intangible assets 127.8 161.9 Other assets 1.2 1.3 Total assets $ 712.3 $ 755.2 LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) Current liabilities: Accounts payable and other current liabilities $ 76.3 $ 75.4 Vehicle floor plan notes payable 240.2 209.9 Current portion of long-term debt 0.4 39.1 Total current liabilities 316.9 324.4 Long-term liabilities: Long-term debt, net of current maturities 218.0 212.0 Operating lease liabilities 129.7 129.8 Other long-term liabilities, including finance lease obligation 52.4 52.3 Total long-term liabilities 400.1 394.1 Total liabilities 717.0 718.5 Commitments and contingencies Stockholders' equity (deficit): Class A common stock, $ 0.001 par value, 50,000 shares authorized, 50,000 shares issued and outstanding — — Class B common stock, $ 0.001 par value, 100,000,000 shares authorized, 37,985,270 and 37,717,842 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively — — Additional paid-in capital 701.4 700.9 Accumulated deficit ( 701.8 ) ( 659.9 ) Class B common stock in treasury, at cost, 123,089 shares ( 4.3 ) ( 4.3 ) Total stockholders' equity (deficit) ( 4.7 ) 36.7 Total liabilities and stockholders' equity (deficit) $ 712.3 $ 755.2 See accompanying notes to the unaudited consolidated financial statements. 1 Table of Contents RumbleOn, Inc. Condensed Consolidated Statements of Operations ($ in millions, except per share amounts) (Unaudited) Three Months Ended June 30, S

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) NOTE 1 – DESCRIPTION OF BUSINESS AND SIGNIFICANT ACCOUNTING POLICIES Description of Business RumbleOn, Inc. operates through two operating segments: a powersports dealership group and a vehicle transportation services entity, Wholesale Express, LLC ("Express"). The Company was incorporated in 2013 and has grown primarily through acquisitions. The Company is headquartered in the Dallas Metroplex and completed its initial public offering in 2017. Unless the context requires otherwise, references in these financial statements to "RumbleOn," the "Company," "we," "us," "our," and "us" refer to RumbleOn, Inc. and its consolidated subsidiaries. We offer a wide selection of new and pre-owned motorcycles, all-terrain vehicles ("ATV"), utility terrain or side-by-side vehicles ("SXS"), personal watercraft ("PWC"), snowmobiles, and other powersports products, including parts, apparel, accessories, finance & insurance products and services ("F&I"), and aftermarket products from a wide range of manufacturers. Additionally, we offer a full suite of repair and maintenance services. W e operated 55 locations as of June 30, 2025, primarily in the Sunbelt region. We source high quality pre-owned inventory directly from consumers via our proprietary RideNow Cash Offer technology. Express provides asset-light brokerage services facilitating automobile transportation primarily between and among dealerships and auctions throughout the United States. On August 11, 2025, we announced that the Company's Board of Directors approved the Company's name change to "RideNow Group, Inc." and the Company's Class B Common Stock ticker symbol change to "RDNW", each scheduled to be effective as of August 13, 2025. The Company's Class B Common Stock will continue to be listed on The NASDAQ Stock Market. Basis of Presentation The accompanying unaudited condensed consolidated financial statements of the Company and its wholly owned subsidiar

View Full Filing

View this 10-Q filing on SEC EDGAR