OneWater Marine (ONEW) Q4 2024 earnings summary

Executive summary

• Fiscal 2024 was marked by significant challenges, including hurricanes that disrupted operations and impacted sales, especially on Florida's West Coast, but all locations have since reopened.

• Fiscal 2024 revenue declined 8.5% to $1.77 billion, with same-store sales down 7% year-over-year.

• Gross profit margin fell to 24.5%, reflecting industry normalization and moderated boat pricing.

• Cost-saving measures, brand rationalization, and facility consolidation were implemented to align with demand and improve efficiency.

• Adjusted EBITDA dropped 53.2% to $82.5 million for the year.

Financial highlights

• Q4 2024 revenue decreased 16.2% year-over-year to $377.9 million; full-year revenue down 8% to $1.8 billion.

• Q4 new boat sales fell 18%, pre-owned sales dropped 20%, and service parts/other sales declined 7%.

• Q4 gross profit margin was 24.0%, down 240 basis points from prior year; full-year gross profit down 19% to $435 million.

• Q4 net loss was $10.4 million ($0.63 per share), improved from a $110.9 million loss last year; full-year net loss was $6.2 million ($0.39 per share).

• Adjusted EBITDA for Q4 was $8 million (vs. $30 million prior year); full-year adjusted EBITDA was $82.5 million.

Outlook and guidance

• Fiscal 2025 sales expected between $1.7–$1.85 billion, with low single-digit same-store sales growth.

• Adjusted EBITDA guidance is $80–$110 million; adjusted EPS expected between $1–$2.

• Cautious optimism for 2025, with recovery anticipated in the back half as hurricane-impacted regions rebound.

• Q1 2025 EBITDA may be slightly negative due to ongoing disruptions and seasonal factors.