Lazydays (LAZY) - 2023 Q4 - Annual Results

Financial Performance - Fourth quarter 2023 revenue decreased to $198.0 million, down from $243.5 million in the same quarter of 2022, representing a decline of approximately 18.7%[2] - Fourth quarter 2023 net loss was $108.0 million, compared to a net loss of $1.4 million for the same period in 2022, indicating a significant increase in losses[3] - Adjusted net loss for 2023 was $11.5 million, compared to adjusted net income of $64.1 million in 2022, reflecting a substantial decline in profitability[5] - Net loss for the year ended December 31, 2023, was $110,266,000 compared to a net income of $66,393,000 in 2022[23] - The company reported a net loss of $110.266 million for the latest quarter, with a diluted net loss per share of $8.45[32] - The income tax benefit for the latest quarter was $30.462 million, contributing positively to the net income[32] Goodwill Impairment - The company recorded a non-cash goodwill impairment charge of $118.0 million in the fourth quarter of 2023 due to a decline in the price of common equity[2] - The company reported a goodwill impairment of $117,970,000 in Q4 2023, which significantly impacted the income from operations[23] - The company experienced a significant goodwill impairment charge of $117.970 million in Q4 2023[31] - The company experienced a goodwill impairment charge of $117.970 million during the latest quarter[32] Revenue and Sales - Total revenue for Q4 2023 was $198,029,000, a decrease of 18.7% compared to $243,490,000 in Q4 2022[23] - New vehicle retail revenue decreased by 27.9% to $99,351,000 in Q4 2023 from $137,729,000 in Q4 2022[23] - Retail units sold for new vehicles decreased by 15.8% to 1,264 in Q4 2023 compared to 1,501 in Q4 2022[24] - Total revenue for Q4 2023 was $169.724 million, a decrease of 26.9% compared to $232.193 million in Q4 2022[28] - New vehicle retail revenue decreased by 34.7% to $84.837 million in Q4 2023 from $129.866 million in Q4 2022[28] - Retail units sold for new vehicles decreased by 26.0% to 1,033 units in Q4 2023 compared to 1,396 units in Q4 2022[28] Operational Changes and Future Outlook - The company anticipates a pre-tax loss in the first quarter of 2024 but expects to return to profitability thereafter, projecting positive net income and operational cash flow for the full year 2024[2] - The company launched a comprehensive rebranding effort in January 2024, including a new website and stock symbol change to "GORV," aimed at enhancing digital retailing and customer experience[10] - The company acquired Orangewood RV and RVzz during the fourth quarter, which are expected to add approximately $110.0 million in annual revenues at steady state[8] - The company opened a new dealership in Surprise, Arizona, expected to generate estimated annual revenues of $50.0 million at steady state, bringing the total to 25 locations nationwide[9] Financial Position - As of the end of the fourth quarter, the company had cash of $58.1 million and expects to generate an additional $47.5 million in mortgage loan proceeds through refinancing[12] - The company received a waiver of financial covenants for the fourth quarter of 2023 and the first two quarters of 2024, with relaxed covenants in the third quarter[13] - Total assets increased to $937.742 million as of December 31, 2023, from $830.718 million in 2022[29] - Current liabilities rose to $499.980 million in 2023, up from $399.625 million in 2022[29] Cost and Profitability Metrics - Gross profit margin for new vehicle retail dropped to 12.8% in Q4 2023 from 16.4% in Q4 2022, a decline of 360 basis points[24] - Gross profit margin for total revenue was 21.3% in Q4 2023, down from 22.9% in Q4 2022, representing a decline of 170 basis points[28] - Total cost applicable to revenue for the year ended December 31, 2023, was $854,005,000, down 14.5% from $998,270,000 in 2022[23] - Selling, general and administrative expenses amounted to $222.218 million, reflecting a reduction of $0.286 million[32] - The adjusted income from operations for the twelve months was $103.284 million, indicating a strong operational performance[32]