TAMPA, Fla., June 13, 2025 /PRNewswire/ -- Lazydays Holdings, Inc. (NASDAQCM: GORV) ("Lazydays" or the "Company") announced today that it has closed on the asset sale of its Longmont, Colorado location to General R.V. Center, Inc. ("General RV"). This closing marks the final transaction completion of the previously announced three stores to General RV. "Expanding our footprint into Colorado represents our ongoing commitment to our current and future customers to provide access to premier customer service an ...

Company Overview - Lazydays Holdings, Inc. has been a significant player in the RV industry since its inception in 1976, known for exceptional RV sales, service, and ownership experiences [3] - The company is publicly listed on the Nasdaq stock exchange under the ticker "GORV" [5] Recent Developments - Lazydays has completed the asset and real estate sale of its Ft. Pierce, Florida location to General R.V. Center, Inc., with plans to finalize the remaining divestiture in Longmont, Colorado soon [1][2] - The sale of the Ft. Pierce location is part of Lazydays' strategy to streamline operations, reduce dealership footprint, pay off significant debt, and enhance cash flow [2] General RV Center - General RV has nearly doubled its number of Supercenters nationwide in the past three years, currently operating over 20 locations across nine states [2] - The acquisition of the Ft. Pierce location is expected to improve service capabilities for General RV's customers [2]

Financial Performance - Total revenue for Q1 2025 was $165.8 million, a decrease of 38.5% compared to $270.1 million in Q1 2024[12] - New vehicle retail revenue decreased to $97.5 million from $152.7 million, representing a decline of 36.1% year-over-year[12] - Gross profit increased to $43.8 million, up 16.4% from $37.8 million in the same period last year[12] - Net loss for Q1 2025 was $9.5 million, compared to a net loss of $22.0 million in Q1 2024, showing an improvement of 56.7%[12] - Total revenues for the three months ended March 31, 2024, were revised to $270.1 million after an adjustment of $(466) thousand[27] - The net loss attributable to common stockholders for Q1 2025 was $9.533 million, compared to a net loss of $23.964 million in Q1 2024[77] - Basic loss per share for Q1 2025 was $(0.09), significantly improved from $(1.67) in Q1 2024[77] - Adjusted EBITDA for the quarter ended March 31, 2025, was $(4.0) million, compared to $(18.2) million for the same period in 2024[170] Cash and Liquidity - Cash and cash equivalents decreased to $19.7 million from $24.7 million at the end of Q4 2024, a decline of 20.1%[10] - As of March 31, 2025, the company had cash and cash equivalents of $20 million, debt obligations of $47.7 million, and floor plan notes payable of $210.9 million[24] - The company’s liquidity needs are primarily satisfied through cash flows from operations, borrowings under credit facilities, and potential financing options[175] - For the three months ended March 31, 2025, the company reported a net cash provided by operating activities of $26,032,000, a decrease of 67.5% compared to $80,240,000 in the same period of 2024[180] - The company experienced a net cash inflow of $113,932,000 from investing activities, primarily from the sale of five dealerships, which was used to repay $61.2 million of floor plan notes payable and $46.1 million of term loan and mortgage debt[181] Inventory and Assets - The company reported a significant increase in inventories, which rose to $182.6 million from $211.9 million, a decrease of 13.8%[10] - Inventories, net, decreased from $211.9 million as of December 31, 2024, to $182.6 million as of March 31, 2025[35] - The current replacement costs of LIFO inventories exceeded their recorded values by $22.4 million as of March 31, 2025[34] - As of March 31, 2025, current assets held for sale totaled $16,049,000, a decrease from $86,869,000 as of December 31, 2024, while long-term assets held for sale decreased to $18,563,000 from $75,747,000[45] Debt and Financing - The outstanding principal balance of the Revolving Credit Facility was $27,800,000 as of March 31, 2025, with an interest rate of 7.83%[56] - The Floor Plan Credit Facility had an outstanding balance of $210,900,000 at an interest rate of 6.93% as of March 31, 2025[59] - Future contractual maturities of total debt are projected to be $52,228,000, with $8,846,000 due in the remainder of 2025[67] - The company entered into a term loan agreement with Coliseum Holdings I, LLC for an initial principal amount of $35,000,000, maturing December 29, 2026[62] - As of March 31, 2025, the outstanding principal balance of a term loan with Coliseum Holdings I, LLC was $18.4 million[92] Operational Efficiency - The company plans to continue focusing on operational efficiency and cost management to improve profitability in the upcoming quarters[12] - SG&A expenses decreased by $10.3 million, or 21.0%, primarily due to a reduction in employee-related costs and marketing expenses[161] - Floor plan interest expense decreased by $3.1 million, or 40.2%, due to a reduction in floor plan notes payable[163] - The company is focused on managing inventory levels to reflect consumer demand and has strategies in place for customer retention and growth[118] Market Presence and Sales - The company had 17 dealerships across various states as of March 31, 2025, maintaining its market presence[19] - Revenue from Florida accounted for 48% of total revenue for the three months ended March 31, 2025, compared to 44% in the same period of 2024[71] - The company achieved a pre-owned to new vehicle sales ratio of 70.4% for the quarter ended March 31, 2025, with a goal to reach a 1:1 ratio[122] - The company offers a comprehensive selection of over 3,400 new and pre-owned RVs, aiming to provide a full spectrum of products and services for RV owners[117] Internal Controls and Compliance - The company identified material weaknesses in its internal control over financial reporting, particularly in Information Technology General Controls (ITGC) related to user access and program change management[207] - As of March 31, 2025, the company's disclosure controls and procedures were deemed ineffective due to previously identified material weaknesses[206] - Management concluded that the inherent limitations of control systems may lead to undetected misstatements due to error or fraud[205] - The company is currently in the process of remediating the identified material weaknesses[206]

Lazydays (GORV) Q1 2025 Earnings Call May 15, 2025 08:30 AM ET Company Participants Jeff Needles - CFORon Fleming - Interim CEOAmber Dillard - COO Operator and welcome to the Lazydays RV Holdings First Quarter twenty twenty five Conference Call. At this time, all participants are on a listen only mode. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host Mr. Jeff Needles, Chief Financial Officer. Thank you. Please go ahead. Jeff Needles Thank you, operator, and welc ...

Financial Data and Key Metrics Changes - Net sales for the quarter were $166 million, a decrease of $104 million or 39% compared to the prior year period, driven by a deliberate reduction of inventory and lower store count [17][18] - Gross profit for the quarter was $44 million, an increase of $6 million compared to the prior year period [18] - SG&A expenses improved to $39 million for the quarter compared to $49 million in the prior year period, primarily due to reduced overhead personnel and marketing expenses [18][19] - The company achieved a gross margin of 24% excluding LIFO adjustments, representing a 10% increase compared to the prior year [18] - Adjusted EBITDA loss was $4 million, an improvement compared to the loss of $18 million in the prior year period [19] Business Line Data and Key Metrics Changes - New unit sales were down 36% or 912 units in the quarter, while average selling price for new units was 15% better for the quarter [16] - Pre-owned retail unit sales were down 48% or 655 units during the quarter, reflective of divestitures [16] - Gross margins for new vehicles were 11% for the quarter, a 7% increase compared to the prior year period, while used vehicle gross margins were 21%, a 10% increase [17] Market Data and Key Metrics Changes - New inventory comprised of 82% model year 2025 and 2026 units, up significantly from last quarter [13] - The company noted a shift towards single axle towables and first-time buyers, with motorized inventory sales improving 11% in the first quarter versus the fourth quarter [13] Company Strategy and Development Direction - The company outlined a two-part strategy focused on optimizing dealership footprint and maximizing operational performance [5] - The sale of five dealerships to Camping World allowed the company to significantly deleverage its balance sheet by repaying approximately $145 million in debt [6] - The company entered into a letter of intent to divest three additional stores, aiming to refine its footprint and reinforce its financial position [7] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism regarding the RV lifestyle's affordability and consumer attraction despite potential tariff impacts [9] - The company is closely monitoring customer demand and macroeconomic trends, including tariffs and supply chain shortages [13] - Management remains committed to strengthening the balance sheet to support long-term growth and stability [20] Other Important Information - The company reported a loss from operations of $2.3 million for the quarter, which included non-cash impairment charges of $2.9 million [19] - The company reduced debt by $145 million during the quarter, contributing to meaningful deleveraging [19] Q&A Session Summary - No questions were fielded following the conclusion of prepared remarks, and the call concluded without a Q&A session [4]

Financial Performance - Total revenue for Q1 2025 was $165.8 million, a decrease of 38.5% compared to $270.1 million in Q1 2024[2] - Net loss for Q1 2025 was $9.5 million, improved from a net loss of $22.0 million in Q1 2024[2] - Adjusted EBITDA for Q1 2025 was $(4.0) million, compared to $(18.2) million in Q1 2024[2] - The company reported a net loss of $9,533,000 for the three months ended March 31, 2025, compared to a net loss of $21,980,000 in the same period of 2024, indicating an improvement in financial performance[14] - Adjusted EBITDA for the three months ended March 31, 2025, was $(4,025,000), an improvement from $(18,161,000) in Q1 2024, highlighting a positive trend in core operating results[18] Profitability Metrics - Gross profit increased to $43.8 million in Q1 2025, with a total gross profit margin of 26.4%, up from 14.0% in Q1 2024[11][12] - New vehicle retail gross profit margin improved to 11.1% in Q1 2025, compared to 3.7% in Q1 2024[12] Sales and Units - Retail units sold decreased to 2,148 in Q1 2025 from 3,521 in Q1 2024[12] - Average selling price for new vehicles increased to $85,318 in Q1 2025, up from $74,263 in Q1 2024[12] Debt and Liabilities - The company repaid approximately $145 million in debt during the quarter, significantly de-leveraging its balance sheet[2] - Total liabilities decreased to $429.1 million as of March 31, 2025, down from $586.2 million at the end of 2024[13] Cash Flow and Liquidity - Net cash provided by operating activities was $26,032,000 for Q1 2025, a decrease from $80,240,000 in Q1 2024, reflecting changes in working capital[14] - Total cash at the end of the period was $19,727,000, down from $39,350,000 at the end of Q1 2024, indicating a decrease in liquidity[14] - The company’s cash flow from financing activities showed a net outflow of $144,939,000 in Q1 2025, compared to a net outflow of $90,210,000 in Q1 2024, indicating increased financing pressures[14] Expenses - The company incurred $10,759,000 in interest expense for the three months ended March 31, 2025, compared to $12,199,000 in the same period of 2024[18] - Depreciation and amortization expenses totaled $4,582,000 for Q1 2025, down from $5,461,000 in Q1 2024, suggesting improved asset utilization[18] Inventory and Asset Management - The company reported a significant increase in inventories, with a change of $32,346,000 for the three months ended March 31, 2025, compared to $109,442,000 in the same period of 2024[14] - The company experienced a loss on the sale of businesses, property, and equipment amounting to $459,000 in Q1 2025, while there were no such losses reported in Q1 2024[18] - The company generated $113,947,000 in net proceeds from the sale of businesses, property, and equipment during the three months ended March 31, 2025[14]

Company Operations - As of December 31, 2024, Lazydays Holdings operated 22 RV dealerships across the United States, employing approximately 1,100 people[17][19]. - The company has over 400 service bays and employs more than 270 skilled technicians, focusing on service, body, and parts as a strategic growth area[167]. - The company employs approximately 1,100 people across its 22 dealership locations, providing extensive RV expertise to customers[159]. - The company leases 17 of the 22 real properties where it operates, with leases generally ranging from three to twenty years[82]. Financial Performance - Total revenue for the year ended December 31, 2024, was $871.6 million, a decrease of $211.2 million or 19.5% compared to 2023[182]. - New vehicle retail revenue decreased by $118.7 million, or 18.8%, primarily due to a 4.9% decrease in units sold and a 14.6% decrease in average selling price[184]. - Pre-owned vehicle retail revenue decreased by $98.4 million, or 30.4%, due to a 15.5% decrease in retail units sold and a 17.6% decrease in average selling price[187]. - Total gross profit for 2024 was $160.9 million, down $67.9 million or 29.7% from 2023[182]. - SG&A expenses increased to $200.1 million, a rise of $1.8 million or 0.9%, with SG&A as a percentage of revenue increasing to 23.0% from 18.3%[195]. - The company incurred a net loss of $180.0 million for the year ended December 31, 2024, with an accumulated deficit of $131.0 million[58]. - Adjusted EBITDA for 2024 was -$58,661 thousand, a decline from $11,618 thousand in 2023, reflecting operational challenges[206]. - Net cash provided by operating activities was $94,354 thousand in 2024, a significant improvement from -$36,480 thousand in 2023[212]. - Adjusted net cash used in operating activities was -$46,756 thousand in 2024, compared to $33,299 thousand in 2023, reflecting changes in floor plan notes payable[215]. Market and Industry Insights - The RV industry is characterized by a strong commitment from approximately 11.2 million U.S. households that own an RV, indicating a stable market for RV-related products and services[30]. - The RV industry is cyclical, influenced by economic conditions, which may lead to fluctuations in sales and operating results[78]. - Competition in the RV market is fragmented, and the company faces challenges from both existing and new competitors[76]. - Economic uncertainties, including rising interest rates and inflation, could adversely affect consumer spending and, consequently, the company's financial performance[73]. Strategic Initiatives - Lazydays launched a rebranding effort in January 2024, including a new stock symbol "GORV" and enhancements to its digital retail experience, which is crucial as over 80% of website traffic comes from mobile devices[22]. - Lazydays aims to improve operational performance and profitability through an entrepreneurial model and performance-based action plans at each dealership location[25]. - The company has identified material weaknesses in its internal control over financial reporting, particularly in information technology general controls[61]. - The company’s success is dependent on maintaining strong brand value, which requires substantial investments in marketing and customer experience[71]. Debt and Compliance - As of December 31, 2024, the company had cash and cash equivalents of $24.7 million and total debt obligations of $495.1 million, which includes $306.0 million in floor plan notes payable[58]. - The company received a notice from Nasdaq on January 23, 2025, indicating that its common stock bid price had been below the minimum $1.00 requirement for 30 consecutive business days[49]. - The company has until July 22, 2025, to regain compliance with the Nasdaq bid price requirement, with the possibility of an additional 180-day period if necessary[50][51]. - The company must maintain a minimum liquidity of $7.5 million under the M&T Credit Agreement, which is subject to monthly compliance[127]. - The company has eliminated its ability to borrow new loans under the revolving credit facility, limiting its access to general working capital[123]. Risks and Challenges - The company faces substantial doubt about its ability to continue as a going concern due to its financial condition and reliance on generating positive cash inflows[58][60]. - The company must effectively manage inventory to align with changing consumer preferences, or it risks excess inventory and declining revenues[72]. - Disruptions in relationships with third-party service providers could negatively impact the company's ability to market and sell its products[89]. - The company may face product liability claims related to the products sold, which could negatively impact its brand image and financial condition[119]. - The company is subject to complex federal and state regulations regarding the sale of extended service contracts, which could affect revenue recognition and operational compliance[107]. Asset Management - The company entered into an Asset Purchase Agreement to sell RV sales and service businesses for approximately $1.0 million per facility, plus additional cash for RV inventory and service work in process[23]. - The company sold certain real estate for approximately $48.5 million in cash as part of the Camping World Sales[168]. - The company recorded impairment charges of $17.7 million for definite-lived intangible assets associated with dealerships held for sale during the year ended December 31, 2024[104]. - The company recognized a goodwill impairment charge of $118.0 million in 2023[197]. Cybersecurity and Compliance - The company has a comprehensive cybersecurity program with a governance structure led by the Chief Technical Officer, who provides quarterly reports to the Board of Directors[143][144]. - The company has not identified any material risks from cybersecurity threats that could affect its business strategy or financial condition[142]. - The company is currently in compliance with the Payment Card Industry Data Security Standard, but future compliance is uncertain and breaches could have serious repercussions[101]. Shareholder Information - As of December 31, 2024, the company had outstanding warrants to purchase 10,194,174 shares of common stock at an exercise price of $3.83 per share, which may dilute existing stockholders[130]. - Coliseum Holdings owns 72% of the company’s common stock, which may influence management decisions and future capital raising efforts[133].

Financial Data and Key Metrics Changes - In the fourth quarter, net sales were $160 million, a decrease of $38 million or 19% compared to the same period in 2023, aligning with planned lower volumes [25] - New unit sales declined by 7% or approximately 92 units, while the average selling price for new units grew by 3% [24] - Pre-owned retail unit sales, including consigned vehicles, were down 23% or 268 units during the quarter [25] - SG&A expenses increased to $53 million for the quarter from $46 million in the prior year, primarily due to higher transaction and legal expenses related to restructuring [26] - Adjusted EBITDA loss was $24 million compared to a loss of $11 million in the prior year period [27] Business Line Data and Key Metrics Changes - On a same-store basis, there was a decline in both new and used unit volume, partially offset by improved gross profit per unit sold [15] - Total gross margin was 19% in the fourth quarter compared to 21% in the third quarter of 2024; excluding inventory and LIFO adjustments, gross margin was 23% [16] - Finance and Insurance (F&I) revenue was over $6,000 per unit, up 3% relative to the third quarter [16] Market Data and Key Metrics Changes - The company’s new inventory is comprised of 75% model year 2025 units and 25% prior model year units, with over 77% of new inventory being towable products [17] - Motorized inventory decreased by 44% from the prior year's period due to aggressive inventory management [18] Company Strategy and Development Direction - The company is focused on rightsizing its dealership portfolio to de-lever its balance sheet and improve earnings power [9] - A letter of intent has been signed to divest three locations, which will add cash to the balance sheet and reduce indebtedness [11] - The company aims to improve operational performance across all functional areas of its dealerships, including inventory, sales, service, F&I, and marketing [21] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that 2024 was a year of significant transformation and that the company is executing a turnaround plan [7] - There is optimism that the company is near the bottom of a prolonged market down cycle, with expectations for future retail demand for RVs to return to historical levels [21] - Management expressed confidence in the company’s ability to drive improved results for stakeholders [27] Other Important Information - The company completed a comprehensive recapitalization, including a $30 million common equity investment and the exchange of convertible preferred stock for common stock [7] - The company reduced floor plan debt by $11 million and term loan debt by $6 million during the quarter [27] Q&A Session Summary - No questions were fielded following the prepared remarks, and the call concluded without a Q&A session [5][30]

Financial Performance - Total revenue for Q4 2024 was $159.9 million, a decrease of 19.1% from $198.0 million in Q4 2023[2] - Net loss for Q4 2024 was $96.1 million, an improvement from a net loss of $108.0 million in Q4 2023[3] - Adjusted EBITDA for Q4 2024 was $(24.3) million, compared to $(10.7) million in Q4 2023[3] - Total revenue for the fiscal year 2024 was $871.6 million, down 19.5% from $1,082.7 million in 2023[2] - Net loss for the fiscal year 2024 was $180.0 million, compared to a net loss of $110.3 million in 2023[4] - Net loss per diluted share for the fiscal year 2024 was $8.90, compared to $8.45 in 2023[4] - Net loss for the year ended December 31, 2024, was $(179,963) thousand, an increase from $(110,266) thousand in 2023[24] Operational Metrics - New vehicle retail gross profit margin decreased to 11.2% in Q4 2024 from 12.8% in Q4 2023, while pre-owned vehicle retail gross profit margin fell to 10.7% from 17.4%[18] - Total retail units sold decreased to 2,068 in Q4 2024 from 2,428 in Q4 2023, with new vehicle retail units sold at 1,172 compared to 1,264 in the prior year[18] - Average selling price per new vehicle retail increased to $80,801 in Q4 2024 from $78,600 in Q4 2023, while average selling price for pre-owned vehicles decreased to $50,247 from $62,228[18] Asset and Liability Management - Total assets decreased to $675.83 million in 2024 from $937.74 million in 2023, with current assets dropping to $353.77 million from $546.90 million[19] - Total liabilities decreased to $602.48 million in 2024 from $724.55 million in 2023, with current liabilities dropping to $378.87 million from $499.98 million[19] - Cash at the end of the period decreased to $24.70 million in 2024 from $58.09 million in 2023[20] Impairment and Charges - The company recognized impairment charges of $39.1 million in Q4 2024 related to assets held for sale[3] - Impairment charges for the year were $39,093 thousand, consistent with the previous year[24] Interest and Expenses - Interest expense, net, increased to $46,914 thousand for the year ended December 31, 2024, up from $34,882 thousand in 2023[24] - Depreciation and amortization expenses rose to $20,625 thousand in 2024, compared to $18,512 thousand in 2023[24] - The company reported a significant increase in floor plan interest expense, totaling $25,036 thousand for 2024, compared to $24,820 thousand in 2023[24] - Stock-based compensation expense decreased to $1,751 thousand in 2024 from $2,249 thousand in 2023[24] Cash Flow and Recovery - The company experienced a net cash provided by operating activities of $94.35 million in 2024, a significant recovery from a net cash used of $36.48 million in 2023[20] Strategic Initiatives - Lazydays signed a letter of intent to divest three store locations, which is expected to strengthen the balance sheet and reduce indebtedness[6] - The company completed sales of several facilities to Camping World, although two dealership closings were not completed[7] - The company is focused on maximizing operational performance and ensuring the right dealership footprint for long-term shareholder value[2] - The company aims to use Adjusted EBITDA to monitor operating results and evaluate business performance moving forward[23]

Core Viewpoint - Lazydays Holdings, Inc. has signed a letter of intent to divest three store locations to General RV Center, aiming to streamline operations and enhance shareholder value [1][2]. Group 1: Company Strategy - The divestiture is expected to add meaningful cash to Lazydays' balance sheet, reduce indebtedness, and decrease geographical redundancy [2]. - The transaction aligns with Lazydays' strategy to focus on operational improvements within a more concentrated dealership network [2]. Group 2: Partnership with General RV - General RV Center is recognized as an established dealership operator that aligns with Lazydays' brand and operational standards [2]. - The acquisition of the three locations will enhance General RV's reach in key markets, particularly in Arizona and Colorado, supporting their growth strategy [2][5]. Group 3: Company Background - Lazydays has been a significant player in the RV industry since 1976, known for exceptional RV sales and service [3]. - The company offers a wide selection of RV brands, state-of-the-art service facilities, and a comprehensive range of accessories [4].