Lazydays Holdings, Inc (LAZY) Misses Q2 EPS by 21c, Revenues Beat

Lazydays Holdings, Inc (NASDAQ: LAZY) reported Q2 EPS of $0.39, $0.21 worse than the analyst estimate of $0.60. Revenue for the quarter came in at $214 million versus the consensus estimate of $210.03 million.

Second Quarter Financial Results and Highlights:

• Revenues for the second quarter were $214.0 million; up $45.5 million, or 26.9%, versus 2019. Revenue from sales of Recreational Vehicles ("RVs") was $191.5 million for the second quarter, up $42.5 million, or 28.5%, versus 2019. RV unit sales excluding wholesale units, were 2,950 for the quarter, up 858 units, or 41.0% versus 2019. New and preowned RV sales revenues were $129.4 million and $62.1 million for the quarter, up 37.3% and 13.3% respectively compared to 2019.
• Gross profit, excluding last-in-first-out ("LIFO") adjustments, was $43.7 million, up $7.9 million, or 22.0%, versus 2019. Gross margin excluding LIFO adjustments decreased between the two periods, to 20.4% in 2020 from 21.3% in 2019, with the change attributable to mix of business. Gross profit for the quarter including LIFO adjustments was $44.0 million; up $8.5 million, or 23.9%, versus 2019. This gross profit comparison reflects a $0.6 million net difference in LIFO adjustments between the two periods.
• Excluding transaction costs, stock-based compensation, and depreciation and amortization, Selling, General and Administrative expense ("SG&A") for the second quarter was $28.3 million, up $3.1 million compared to the prior year. This increase is attributable to the additional overhead expenses associated with The Villages dealership acquired in August 2019, the service center near Houston that started up operations in mid-February 2020, the Phoenix dealership acquired in May 2020 and increased performance wages driven by the higher unit sales and revenue, partially offset by overhead cost reduction actions taken in April 2020.
• Adjusted EBITDA, a non-GAAP financial measure, was $14.9 million for the second quarter, up $5.0 million compared to 2019. This is a record high quarterly Adjusted EBITDA for Lazydays, beating the previous record of $11.5 million set in the first quarter of 2018.
• Net income for the second quarter was $8.1 million, or 39¢ per share, as compared to net income of $1.9 million, or 2¢ per share, in 2019. This $6.2 million improvement was primarily the result of incremental profits driven by the growth in sales, the reduced amortization of stock based compensation, as well as a $0.5 million decrease in interest expense.
• As of June 30, 2020, cash was $62.1 million, up $30.6 million from December 31, 2019.
• Demand in July 2020 continued to be strong. The Company believes its Adjusted EBITDA for the month of July 2020 will be equal to or greater than its Adjusted EBITDA for the entire third quarter of 2019.

For earnings history and earnings-related data on Lazydays Holdings, Inc (LAZY) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• Reading (RDI) Tops Q2 EPS by 4c
• Star Equity Holdings (STRR) Misses Q2 EPS by 8c