“We’ve done a great job of clearing out aged inventory ahead of schedule,” he says. “We’re in a good spot with the right inventory. We’re in a position to take advantage of the demand that’s out there.”
Looking ahead, OneWater Marine is focused on navigating the challenges of the current economic environment while continuing to position itself for long-term success. With a strategic approach to inventory management, brand rationalisation, and cost reduction initiatives, the company is optimistic about its future prospects.
As the industry continues to face uncertainties, OneWater Marine remains committed to serving its customers and adapting to changing market conditions. With a strong focus on operational execution and a customer-centric approach, the company is well-positioned to weather the challenges of today and emerge stronger in the long run.
OneWater has been making strategic moves to clean up its inventory and streamline its brand offerings. With the exit of fifteen brands, the company is now left with only 56 units in inventory, down from over 3,000 boats. This reduction in inventory will allow OneWater to focus on selling its remaining boats at better margins, setting them up for a more profitable future.
Anthony Aisquith, President and COO of OneWater, notes that the company’s efforts to clean up aged inventory are tracking ahead of schedule. The selling environment remains competitive, but with support from manufacturing partners and strong traffic at dealership levels, OneWater is optimistic about the upcoming selling season and beyond.
Demand for premium models is holding up well, indicating that OneWater is delivering on the performance features and design that customers are seeking in the high-end market. Pre-owned boat sales have been strong, with higher volumes supported by an increase in trade-ins and trade-ups. Financing and insurance revenue continue to be a strength for the company.
On the financial side, revenue for the fiscal second quarter of 2025 was $483.5 million, a slight decrease from the previous year. Gross profit margins were impacted by the exit of select brands and changes in new boat model mix and pricing. Despite this, the company reported a net loss of $(0.4) million, an improvement from the previous year.
Looking ahead, OneWater is updating its fiscal year 2025 outlook, with revenue expected to be in the range of $1.7 billion to $1.8 billion. The company anticipates ending the year with a 10 to 15 percent reduction in inventory, positioning them for a more productive lineup of brands.
Overall, OneWater’s strategic moves to clean up inventory, focus on premium models, and streamline its brand offerings are setting the company up for a stronger future. With a focus on profitability and efficiency, OneWater is positioned for success in the coming years.
Projections for Adjusted EBITDA and Adjusted Diluted Earnings Per Share
According to recent financial reports, the company’s Adjusted EBITDA is expected to fall within the range of $65 million to $95 million. Additionally, the Adjusted Diluted Earnings Per Share is forecasted to be in the range of $0.75 to $1.25. These projections indicate a positive outlook for the company’s financial performance in the upcoming period.
Adjusted EBITDA Forecast
The expected range of $65 million to $95 million for Adjusted EBITDA reflects the company’s anticipated earnings before interest, taxes, depreciation, and amortization. This metric is a key indicator of the company’s operational performance and financial health. The upper end of the range suggests strong profitability and efficient cost management, while the lower end indicates steady performance and potential for growth.
Adjusted Diluted Earnings Per Share Projection
With a projected range of $0.75 to $1.25 for Adjusted Diluted Earnings Per Share, the company’s profitability per share is expected to demonstrate growth and stability. This metric accounts for the impact of dilutive securities on earnings per share and provides insights into the company’s ability to generate earnings for its shareholders.
In conclusion, the projected ranges for Adjusted EBITDA and Adjusted Diluted Earnings Per Share signal a positive financial outlook for the company. These metrics serve as important indicators of the company’s financial performance and its ability to create value for its stakeholders. As the company continues to execute its strategic initiatives and drive growth, investors can look forward to favorable results in the upcoming period.