Marinemax, Inc. (fl) · NYSE:HZO
Marinemax, Inc. (fl) — Q1 2024 Earnings Presentation
31 slides from Marinemax, Inc. (fl)'s earnings presentation, Jan 25, 2024
Slide 1: on Ee
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Slide 2: Disclaimer
DISCLAIMER Information contained in this presentation, other than historical information, should be considered forward-looking and subject to various risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect
Slide 3: Boating quote from CEO Brett McGill
Slide 4: Investment Highlights
INVESTMENT HIGHLIGHTS ont re y) YS “k., > ° Largest boat, yacht and Exclusive agreements Diversified products superyacht services with premier brands fuel and services drive higher company in a highly high-end market share margins and recurring fragmented industry revenue streams Innovative growth V
Slide 5: MarineMax Fiscal Year 2023 at a Glance
MARINEMAX FISCAL YEAR 2023 AT A GLANCE $2.4B -a% $5.21 | $14.02/| 34.9% | 32% Net Sales Same Store Sales |Adjusted Diluted EPS*| Per Share Tangible Gross Margin Pre-Tax CAGR** Net Worth * For a reconciliation of GAAP to Non-GAAP financial measures, refer to the Appendix. **Based on 2019-2023 Adjuste
Slide 6: Company Overview
COMPANY OVERVIEW
Slide 7: Storm-Tested Leadership
STORM-TESTED LEADERSHIP Bill McGill Brett McGill Mike McLamb Chuck Cashman Anthony Cassella Kyle Langbehn Shawn Berg Executive Chief Executive Executive Vice President, Executive Vice Executive Vice Executive Vice Executive Vice Chairman Officer and Chief Financial Officer President, President Finan
Slide 8: Why MarineMax?
WHY MARINEMAX? SERVICE FUN MarineMax Getaways!® Pro-active and Emergency Services Fishing Seminars Captain's Orientation Mobile Service Owners Rendezvous State-Of-The-Art Equipment and Facilities Customer Events Women on Water & Boat Shows MarineMax Kids in Boating Vacations MarineMax App
Slide 9: Premium Brands
PREMIUM BRANDS MARINEM AX — ar Azimut @crusersvacnts @ OceanAlexanoer GALEON nym Wiles YACHTS @aaui.a @ AVIARA Se SAxXDOR BERTRAM EANAUTIQUE Woe WHALER / GD sre iiirepid —PoweRsoarTs HARRIS MasterCratt = Seg
Slide 10: Portfolio of Valuable Real Estate
PORTFOLIO OF VALUABLE REAL ESTATE Real estate portfolio includes 66 owned or operated marina and storage locations. Marinas are located in highly desired key global yachting destinations and represent an opportunity for geographic expansion and growth. Marina operations drive structural gross margin
Slide 11: Multiple Opportunities for Growth
MULTIPLE OPPORTUNITIES FOR GROWTH Target select accretive Platforms for organic growth - Significant margin Brand expansion opportunities within acquisitions dealerships, superyacht services, growth opportunity existing and new markets marinas, technology, financial services a
Slide 12: Adding Value Beyond Traditional Boat Dealer Acquisitions
IVE; ADDING VALUE BEYOND TRADITIONAL BOAT DEALER AQUISITIONS /7&@”“/Max ys sid TAR ‘if ©. (ese) 4 ~@) FULL S Sy ou paar e SERVICE MARINAS 12
Slide 13: Creating a Seamless Digital Experience for Customers
MNVE; CREATING A SEAMLESS DIGITAL EXPERIENCE FOR CUSTOMERS VEG an oS . . — —f ww 7 Leveraging digital and Introduced award-winning Soundings Trade Only Newly formed entity, New marketing analytics, MarineMax App, to give "Most Innovative Wave Innovations, plus, artificial quick, easy access to Marin
Slide 14: Significant Margin Opportunities
SIGNIFICANT MARGIN OPPORTUNITIES MG Mex FULL SERVICE FRASER/ NORTHROP & PARTS & SERVICE FINANCIAL DIGITAL MARINAS JOHNSON SUPERYACHT SERVICES BUSINESS SERVICES
Slide 15: Recent Acquisitions
RECENT ACQUISITIONS “ae ~©=—S FRASER COTA Imourancs — ANRFRURRP “SipperBudé Sail&SkiCenter SERVICES See, Superyacht Insurance Jes. Superyacht Boat Dealer / XG’ Boat Dealer BX Sehices () Technology g Services Be Services L Marinas APRIL 2019 JULY 2019 MARCH 2020 JULY 2020 JULY 2020 OCTOBER 2020 IVABI
Slide 16: Commentary
COMMENTARY ▪ Completed 16 strategic transactions ▪ Expanded portfolio of marina and storage locations from 24 to 66 through strategic acquisitions, including IGY Marinas ▪ >$600MM of revenue acquired, virtually all higher-margin businesses ▪ Enhanced ASPs through a focus on premium brands and larger
Slide 17: MarineMax Makes a Difference
MARINEMAX MAKES A DIFFERENCE ENVIRONMENTAL Understands our company’s impact on the environment Takes action to combat climate change Minimizes overall waste Invests resources to maintain and improve the sustainability of our operations Seeks out manufacturers committed to sustainability, environment
Slide 18: FY 2023 Financial Highlights
AR 2023 FINANCIAL HIGHLI Revenue $2.39B Robust Gross Margin Solid Adjusted Diluted Up | 4% | 34.9% EPS’ | $5.21 nta +2? “<,” ‘y! a@ ¥ Strong Balance Strong Cash Poised to Take Advantage Sheet & Tangible Net Position of Opportunities Worth | $318.9M as they arise 18 * For a reconciliation of GAAP to
Slide 19: Building Strong Sustained Sales Growth
BUILDING STRONG SUSTAINED SALES GROWTH Achieving Growth Through: * Acquisitions of higher-margin businesses Brand expansions Market share gains Marinas and higher- margin businesses 2019 2020 18% REVENUE CAGR
Slide 20: Fiscal Year 2023 Revenue Mix
FISCAL YEAR 2023 REVENUE MIX Mix has shifted to FY 2023 Revenue Mix greater percentage of higher margin businesses: * 23.4% in 2023 vs. 14.7% in 2019 4.8% BROKERAGE SALES 4.7% ' I ' I ' I ' I ' I ' I ' I | PARTS & H ACCESSORIES I ' I ' I ' I ' I ' I ' I L 4.4% MAINTENANCE & REPAIR SERVICES a.0% FINA
Slide 21: Fiscal Year 2023 Pre-Tax Growth
FISCAL YEAR 2023 PRE-TAX GROWTH 32% Pre-Tax CAGR $261.9M Most growth generated through same-store sales $205.8M and high-margin acquisitions $147.4M $97.4M $49.0M 2019 2020 2021 2022 2023 32% PRE-TAX CAGR > 21
Slide 22: Record Fiscal Year 2023 Performance
RECORD FISCAL YEAR 2023 PERFORMANCE Record fiscal year 2023 revenue fueled by strategic acquisitions and partially offset by a modest decline in same-store sales Revenue Gross Margin Strong gross profit margin reflects resilience of premium products and higher-margin acquisitions Lower Adjusted EBIT
Slide 23: Quarterly Performance
QUARTERLY PERFORMANCE Record December quarter revenue and 4% same-store sales growth amid more challenging retail environment Revenue (01) Gross Margin (Q1) Gross profit margin decreased 350 bps from Q1'23, largely Net Income Attributable to due to more aggressive MarineMax (Q1) promotional environm
Slide 24: Industry Leading Balance Sheet
INDUSTRY LEADING BALANCE SHEET Strong cash and liquidity As of 12/31/2023 Formidable balance sheet Cash Inventories provides capital for growth 24
Slide 25: Priorities for Use of Cash
PRIORITIES FOR USE OF CASH Investing in Growth Opportunities Strategic Acquisitions Maintain Strong Balance Sheet Capex Facilities and Technology Strategies Opportunistic Share Repurchases | i a {iE :. H = Pe eee | iene ne — Feahy rT | 4 \ s
Slide 26: Investment Highlights
INVESTMENT HIGHLIGHTS ont re 7 YS “k., > ° Largest boat, yacht and Exclusive agreements Diversified products and superyacht services with premier brands fuel services drive higher company in a highly high-end market share Margins and recurring fragmented industry revenue streams Innovative growth Va
Slide 27: Appendix
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Slide 28: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation contains “Adjusted net income,“ “Adjusted diluted EPS” and “Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization” ("Adjusted EBITDA"), which are non-GAAP financial measures as defined under applicable securities legislation. In determi
Slide 29: Adjusted EBITDA Reconciliation
(Amounts in thousands) (Unaudited) Three Months Ended December 31, 2023 2022 Net income attributable to MarineMax, Inc. $ 930 $ 19,690 Interest expense (excluding floor plan) 7,756 6,366 Income tax (benefit) provision (211) 7,029 Depreciation and amortization 10,932 9,118 Stock-based compensation ex
Slide 30: Adjusted Net Income and Diluted EPS Reconciliation
(Amounts in thousands, except share and per share data) (Unaudited) Three Months Ended December 31, 2023 2022 Net income attributable to MarineMax, Inc. $ 930 $ 19,690 Transaction costs (1) 3,106 6,036 Intangible amortization (2) 1,734 1,705 Change in fair value of contingent consideration (3) 219 1
Slide 31: MarineMax
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