MarineMax delivered a solid top-line performance in Q2 2024 with revenue of $582.9 million, up 2% year over year, supported by positive same-store sales and contributions from newly acquired assets within the IGY marina portfolio. However, profitability endured pressure as promotional activity intensified in a softer industry backdrop, pushing gross margins to 32.7% (down from prior year) and elevating SG&A expenses. Net income declined to $1.59 million, and Adjusted EBITDA fell to $29.6 million, reflecting lower gross margins, higher selling/general and administrative costs, and elevated floorplan interest. The quarter also featured meaningful one-time items and strategic actions, including cybersecurity incident management and a legal/regulatory event at a Cabo San Lucas marina, which management characterized as non-recurring but noteworthy risk factors.
Management underscored ongoing investments in strategic brands and platform expansion. Notably, MarineMax completed the Williams Tenders USA acquisition (exclusive distribution in the US and Caribbean for a leading luxury tender brand) and expanded the footprint in Islamorada with Native Marine. The company also signaled cost-reduction programs designed to improve SG&A leverage and operating margin as the cycle begins to normalize. In terms of outlook, MarineMax reiterated 2024 guidance with a slightly wider range, reflecting a tougher near-term retail environment but an expectation of second-half improvement as seasonality returns. The management team framed April as a potential inflection point for stronger selling momentum, supported by OEM incentives and showroom promotions.
The investment thesis remains anchored in MarineMax’s premium-brand strategy, accretive acquisitions, and strong liquidity position, offset by the cyclicality of the recreational boating market and near-term margin pressure from promotional activity. Investors should monitor customer demand signals, OEM promotional intensity, inventory velocity, and the effectiveness of cost-reduction initiatives as the company progresses through the back half of 2024 and into 2025.