MarineMax reported Q1 2026 revenue of $505.2 million, up 7.8% year-over-year, driven by over 10% same-store sales growth despite industry challenges. Gross margins contracted to 31.8% due to promotional activity, leading to a net loss of $0.36 per share. The company reduced inventory by nearly $170 million and reaffirmed fiscal 2026 adjusted EBITDA guidance of $110 million to $125 million, anticipating gradual margin recovery as inventory normalizes in the second half of the year.
MarineMax (HZO) Q1 2026 Earnings Call Highlights
In the fiscal first quarter of 2026, MarineMax faced a competitive landscape marked by elevated promotional efforts across the recreational boating sector. The company’s leadership emphasized the resilience of its diversified business model, which includes marinas, superyacht services, and finance and insurance operations, helping to sustain gross margins above 30% even amid boat sales margin compression.
Revenue reached $505.2 million, reflecting a 7.8% increase from the prior year’s $468.5 million. This growth was bolstered by a strong performance at the Fort Lauderdale International Boat Show, which skewed toward larger, premium products. Same-store sales rose by more than 10%, a notable turnaround from the 11% decline in the comparable period last year. Unit volumes, however, declined in the low to mid-single digits, particularly in fiberglass segments critical to the business. This was offset by a significant rise in average unit prices, driven by product mix shifts toward higher-end offerings.
Gross profit stood at $160.5 million, down from $169.7 million, with margins compressing to 31.8% from 36.2%. Management attributed this to industry-wide retail pressures, noting that current boat margins are over 400 basis points below historical norms. Contributions from higher-margin segments, such as marinas and superyacht services, provided some offset, demonstrating the value of strategic diversification.
Selling, general, and administrative expenses climbed to $155.6 million, or 30.8% of revenue, from $130.7 million, or 27.9% previously. Adjusting for non-recurring items like changes in contingent consideration and weather-related costs, adjusted SG&A rose modestly by $1.6 million, or 1.1%, to $151.0 million. As a percentage of revenue, it declined by 200 basis points, reflecting operational efficiencies from location optimizations.
Interest expense decreased to $15.9 million from $18.7 million, benefiting from lower inventory levels and reduced borrowing rates. This contributed to a stronger balance sheet, with cash holdings at $164.6 million and inventory reduced by $167.3 million year-over-year. The net debt to adjusted EBITDA ratio remained healthy at just over two times.
The quarter resulted in a reported net loss of $7.9 million, or $0.36 per share, compared to net income of $18.1 million, or $0.77 per diluted share, in the prior year. On an adjusted basis, the net loss was $4.6 million, or $0.21 per share, versus adjusted net income of $4.1 million, or $0.17 per share. Adjusted EBITDA totaled $15.5 million, down from $26.1 million.
Key Financial Metrics Table
Operational and Market Insights
| Metric | Q1 2026 | Q1 2025 | % Change |
|---|---|---|---|
| Revenue | $505.2 million | $468.5 million | +7.8% |
| Gross Profit | $160.5 million | $169.7 million | -5.4% |
| Gross Margin | 31.8% | 36.2% | -440 bps |
| SG&A Expenses | $155.6 million | $130.7 million | +19.1% |
| Adjusted SG&A | $151.0 million | $149.4 million | +1.1% |
| Operating Income | $4.9 million | $39.0 million | -87.4% |
| Interest Expense | $15.9 million | $18.7 million | -15.2% |
| Net (Loss)/Income | ($7.9 million) | $18.1 million | N/A |
| Adjusted EBITDA | $15.5 million | $26.1 million | -40.6% |
| Diluted EPS (GAAP) | ($0.36) | $0.77 | N/A |
| Adjusted EPS | ($0.21) | $0.17 | N/A |
| Inventory | Reduced by $167.3 million YoY | N/A | N/A |
Leadership highlighted the company’s focus on customer experience, evidenced by strong net promoter scores, as a key driver in navigating the quarter’s challenges. Despite broader economic uncertainty affecting consumer sentiment, December revenue grew year-over-year, aided by easier comparisons due to prior-year hurricanes.
Inventory management was a priority, with reductions aligning supply more closely with demand. Customer deposits remained flat year-over-year, signaling stability heading into the spring season. The shift toward premium brands and larger products continued to differentiate MarineMax, with early boat show activity in markets like Boston, Atlanta, and New York showing consistent interest.
The superyacht services and marina operations contributed positively, underscoring the benefits of acquisitions totaling roughly $700 million in high-margin revenue since 2019. Recent investments, including the opening of IGY Savannah and expansions at Stewart Marina and Fort Myers, are expected to support long-term growth.
Industry data indicated ongoing challenges in boat registrations, particularly fiberglass, but management expressed optimism for normalization. They noted that larger products often lead recoveries in past cycles, aligning with the company’s portfolio strengths.
Fiscal 2026 Guidance and Outlook
MarineMax reaffirmed its full-year guidance, projecting adjusted EBITDA between $110 million and $125 million, and adjusted net income of $0.40 to $0.95 per diluted share. This assumes industry unit sales flat to slightly up, with same-store sales flat to modestly positive depending on mix.
Retail margin pressures are expected to continue through the fiscal second quarter, with meaningful inventory improvements anticipated in the second half. Consolidated gross margins are forecasted to remain in the low 30% range, supported by growth in higher-margin businesses.
The outlook incorporates interest rate cuts to date, an effective tax rate of 26.5%, and a share count of about 22.8 million. January trends were described as solid, with positive same-store sales driven by successful boat shows.
Q&A Session Key Takeaways
Analysts probed on gross margin trajectories, with management indicating aggressive promotions would persist in winter but ease by late March as industry weeks-on-hand inventory approaches normal levels. This could enable gradual margin recovery starting in the June quarter, though not a sharp rebound. OEM promotional support might moderate as dealers stabilize, but alignment remains focused on driving demand.
Questions on same-store sales growth highlighted the role of premium mix and boat show strength, with leadership cautious on broader consumer trends amid macroeconomic factors. Superyacht services were noted as resilient, with steady demand from high-net-worth clients less sensitive to cycles.
Inventory discussions emphasized disciplined reductions, positioning the company for improved cash flows. Balance sheet strength was reiterated, with liquidity supporting potential share repurchases or acquisitions.
Overall, the call conveyed balanced caution for the near term, with confidence in operational execution and market positioning to capitalize on seasonal upticks and industry recovery.
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