TAMPA, Fla., March 31, 2025 /PRNewswire/ -- Lazydays Holdings, Inc. (NasdaqCM: GORV) ("Lazydays," the "Company" or "we") today reported financial results for the fourth quarter and fiscal year ended December 31, 2024.
Lazydays RV Logo (PRNewsfoto/Lazydays RV)
Ron Fleming, Interim CEO, said, "2024 was a year of significant transformation for Lazydays, marked by our leadership transition and the execution of a series of transactions designed to strengthen our balance sheet and streamline our operational footprint. While our fourth quarter and full year 2024 results were challenging, we believe the steps we have taken, and continue to take, will create a more durable and agile company that is positioned for the future. As we look ahead, we remain laser focused on ensuring we have the right dealership footprint – as evidenced by our announced letter of intent to further divest three store locations – while maximizing the operational performance of the stores within our footprint to drive long-term shareholder value."
Total revenue for the fourth quarter 2024 was $159.9 million compared to $198.0 million for the same period in 2023. Total revenue for the year ended December 31, 2024 was $871.6 million compared to $1,082.7 million for the same period in 2023.
Fourth quarter 2024 net loss was $96.1 million compared to net loss of $108.0 million for the same period in 2023. Fourth quarter 2024 Adjusted EBITDA, a non-GAAP measure, was $(24.3) million compared to Adjusted EBITDA of $(10.7) million for the same period in 2023.* We recognized impairment charges of $39.1 million related to assets held for sale during the fourth quarter 2024 and $118.6 million related to goodwill during the fourth quarter 2023. The results for the fourth quarter 2024 were also negatively impacted by a non-cash loss on change in fair value of warrant liabilities of $16.3 million.
Net loss for the year ended December 31, 2024 was $180.0 million compared to net loss of $110.3 million for the same period in 2023. Adjusted EBITDA for the year ended December 31, 2024 was $(58.7) million compared to Adjusted EBITDA of $11.6 million for the same period in 2023.* Net loss per diluted share for the year ended December 31, 2024 was $8.90 compared to net loss per diluted share of $8.45 for the same period in 2023.
*Refer to the reconciliation of net income to Adjusted EBITDA under "Reconciliation of Non-GAAP Measures" in this press release.
Recent Developments Lazydays today announced that it has signed a letter of intent with General RV Center to divest three store locations from the Company's footprint: Ft. Pierce, Florida; Longmont, Colorado; and Mesa, Arizona. If completed, this transaction will add meaningful cash to the Company's balance sheet, reduce our indebtedness and decrease geographic redundancy in its footprint. The letter of intent is generally nonbinding, with the exception of a 75-day exclusivity provision relating to the three stores.
Additionally, during February 2025 and March 2025, the Company completed the sales of the following facilities and any associated owned real estate to subsidiaries of Camping World Holdings, Inc. (collectively, "Camping World") under an asset purchase agreement and a real estate purchase agreement: Elkhart, Indiana; Surprise, Arizona; Murfreesboro, Tennessee; Sturtevant, Wisconsin; and Woodland, Washington. In March 2025, Camping World elected to not close on the purchase of two of the Company's dealerships located in Portland, Oregon and Council Bluffs, Iowa.
The Company delivered written notice to Camping World to exercise its remedy under the asset purchase agreement for its failure to complete the Portland, Oregon and Council Bluffs, Iowa closings (namely to relieve the Company from any obligation to issue 9,708,737 shares of its common stock to Camping World) and to terminate the asset purchase agreement effective on March 31, 2025, the outside date under the asset purchase agreement.
In March 2025, we entered into a Limited Waiver and Consent with Respect to Credit Agreement (the "Waiver") with Manufacturers and Traders Trust Company, as Administrative Agent, and certain lenders under the Second Amended and Restated Credit Agreement dated as of February 21, 2023. For more information on the Waiver, please see our Current Report on Form 8-K filed on March 28, 2025 with the U.S. Securities and Exchange Commission.
Conference Call Information We have scheduled a conference call at 8:30 AM Eastern Time on Monday, March 31, 2025 that will also be broadcast live over the internet.
The conference call may be accessed by telephone at (877) 407-8029 / +1 (201) 689-8029. To listen live on our website or for replay, visit https://www.lazydays.com/investor-relations.
About Lazydays Lazydays has been a prominent player in the RV industry since our inception in 1976, earning a stellar reputation for delivering exceptional RV sales, service, and ownership experiences. Our commitment to excellence has led to enduring relationships with RVers and their families who rely on us for all of their RV needs.
Our wide selection of RV brands from top manufacturers, state-of-the-art service facilities, and an extensive range of accessories and parts ensure that Lazydays is the go-to destination for RV enthusiasts seeking everything they need for their journeys on the road. Whether you're a seasoned RVer or just starting your adventure, our dedicated team is here to provide outstanding support and guidance, making your RV lifestyle truly extraordinary.
Lazydays is a publicly listed company on the Nasdaq stock exchange under the ticker "GORV."
Forward-Looking Statements This press release includes "forward-looking statements" within the meaning of the "Safe-Harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward looking statements include statements regarding our goals, plans, projections and guidance regarding our financial position, results of operations, market position, pending and potential future financing transactions and business strategy, and often contain words such as "project," "outlook," "expect," "anticipate," "intend," "plan," "believe," "estimate," "may," "seek," "would," "should," "likely," "goal," "strategy," "future," "maintain," "continue," "remain," "target" or "will" and similar references to future periods.
By their nature, forward-looking statements involve risks and uncertainties because they relate to events that depend on circumstances that may or may not occur in the future. Forward-looking statements are not guarantees of future performance, and our actual results of operations, financial condition and liquidity and development of the industry in which we operate may differ materially from those made in or suggested by the forward-looking statements in this press release. The risks and uncertainties that could cause actual results to differ materially from estimated or projected results include, without limitation, future economic and financial conditions (both nationally and locally), changes in customer demand, our relationship with, and the financial and operational stability of, vehicle manufacturers and other suppliers, risks associated with our indebtedness (including our ability to obtain further waivers or amendments to credit agreements, available borrowing capacity, compliance with financial covenants and ability to refinance or repay indebtedness on favorable terms or at all), acts of God or other incidents which may adversely impact our operations and financial performance, government regulations, legislation and others set forth in the Company's filings with the U.S. Securities and Exchange Commission, including those described in the "Risk Factors" section of our Annual Report on Form 10-K for the fiscal year ended December 31, 2024. Shareholders, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements made herein and are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements made herein are only made as of the date of this press release and we disclaim any obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances, except as may be required by law.
Net loss and comprehensive loss attributable to common stock and participating securities
$ (97,177)
$ (109,175)
$ (187,217)
$ (115,066)
Loss per share:
Basic
$ (2.39)
$ (7.59)
$ (8.90)
$ (8.41)
Diluted
$ (2.39)
$ (7.59)
$ (8.90)
$ (8.45)
Weighted average shares outstanding:
Basic
39,532,129
14,384,961
20,713,356
13,689,001
Diluted
39,532,129
14,384,961
20,713,356
13,689,001
Other Metrics and Highlights
Three Months Ended December 31,
Year Ended December 31,
2024
2023
2024
2023
Gross profit margins
New vehicle retail
11.2 %
12.8 %
7.9 %
12.6 %
Pre-owned vehicle retail
10.7 %
17.4 %
15.0 %
19.7 %
Vehicle wholesale
1.5 %
(8.7) %
(20.4) %
(2.1) %
Consignment vehicle
100.0 %
— %
100.0 %
— %
Finance and insurance
97.1 %
95.7 %
96.4 %
95.9 %
Service, body and parts and other
48.6 %
53.3 %
52.8 %
51.9 %
Total gross profit margin
19.0 %
21.6 %
18.5 %
21.1 %
Total gross profit margin (excluding LIFO)
21.4 %
21.4 %
18.9 %
21.5 %
Retail units sold
New vehicle retail
1,172
1,264
6,914
7,269
Pre-owned vehicle retail
741
1,164
4,238
5,018
Consignment vehicle
155
—
349
—
Total retail units sold
2,068
2,428
11,501
12,287
Average selling price per retail unit
New vehicle retail
$ 80,801
$ 78,600
$ 74,199
$ 86,910
Pre-owned vehicle retail
50,247
62,228
53,057
64,420
Average gross profit per retail unit (excluding LIFO)
New vehicle retail
$ 9,052
$ 10,044
$ 5,886
$ 10,928
Pre-owned vehicle retail
5,352
10,812
7,972
12,707
Finance and insurance
5,957
4,357
5,316
4,850
Revenue mix
New vehicle retail
59.2 %
50.2 %
58.9 %
58.3 %
Pre-owned vehicle retail
23.3 %
36.6 %
25.8 %
29.9 %
Vehicle wholesale
1.1 %
1.3 %
1.5 %
0.7 %
Consignment vehicle
0.8 %
— %
0.4 %
— %
Finance and insurance
7.9 %
5.6 %
7.3 %
5.7 %
Service, body and parts and other
7.7 %
6.3 %
6.1 %
5.4 %
100.0 %
100.0 %
100.0 %
100.0 %
Gross profit mix
New vehicle retail
34.9 %
29.7 %
25.3 %
34.7 %
Pre-owned vehicle retail
13.1 %
29.5 %
21.0 %
27.9 %
Vehicle wholesale
0.1 %
(0.5) %
(1.7) %
(0.1) %
Consignment vehicle
4.3 %
— %
2.0 %
— %
Finance and insurance
40.6 %
24.8 %
38.0 %
26.1 %
Service, body and parts and other
19.4 %
15.8 %
17.7 %
13.1 %
LIFO
(12.4) %
0.7 %
(2.3) %
(1.7) %
100.0 %
100.0 %
100.0 %
100.0 %
Balance Sheets
December 31,
(In thousands)
2024
2023
ASSETS
Current assets:
Cash
$ 24,702
$ 58,085
Receivables, net of allowance for doubtful accounts
22,318
22,694
Inventories, net
211,946
456,087
Income tax receivable
6,116
7,416
Prepaid expenses and other
1,823
2,614
Assets held for sale, current portion
86,869
—
Total current assets
353,774
546,896
Property and equipment, net
174,324
265,726
Operating lease right-of-use assets
13,812
26,377
Intangible assets, net
54,957
80,546
Deferred income tax asset
—
15,444
Other assets
3,216
2,750
Assets held for sale, non-current portion
75,747
$ —
Total assets
$ 675,830
$ 937,739
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable
$ 22,426
$ 15,144
Accrued expenses and other current liabilities
31,211
29,160
Floor plan notes payable, net of debt discount
306,036
446,783
Financing liability, current portion
2,792
2,473
Revolving line of credit, current portion
10,000
—
Long-term debt, current portion, net of debt discount
1,168
1,141
Operating lease liability, current portion
3,711
5,276
Liabilities related to assets held for sale, current portion
1,530
—
Total current liabilities
378,874
499,977
Long-term liabilities:
Financing liability, non-current portion, net of debt discount
76,007
91,401
Revolving line of credit, non-current portion
20,344
49,500
Long term debt, non-current portion, net of debt discount
27,417
28,075
Related party debt, non-current portion, net of debt discount
36,217
33,354
Operating lease liability, non-current portion
10,592
22,242
Deferred income tax liability
1,348
—
Warrant liabilities
21,960
—
Other long-term liabilities
6,721
—
Liabilities related to assets held for sale, non-current portion
23,001
—
Total liabilities
602,481
724,549
Series A Convertible Preferred Stock
—
56,193
Stockholders' Equity
Common stock
10
—
Additional paid-in capital
261,465
165,988
Treasury stock, at cost
(57,128)
(57,128)
Retained (deficit) earnings
(130,998)
48,137
Total stockholders' equity
73,349
156,997
Total liabilities and stockholders' equity
$ 675,830
$ 937,739
Statements of Cash Flows
Year Ended December 31,
(In thousands)
2024
2023
Operating Activities
Net loss
$ (179,963)
$ (110,266)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Stock-based compensation
1,751
2,249
Bad debt expense
407
12
Depreciation of property and equipment
12,716
10,954
Amortization of intangible assets
7,909
7,558
Amortization of debt discount
3,808
312
Non-cash operating lease expense
(515)
296
Loss on sale of property and equipment
394
28
Deferred income taxes
16,792
(30,980)
Change in fair value of warrant liabilities
17,053
(856)
Impairment charges
39,093
118,599
Changes in operating assets and liabilities, net of acquisitions:
Receivables
(31)
2,347
Inventories
157,359
(42,901)
Prepaid expenses and other
703
450
Income tax receivable/payable
1,300
492
Other assets
(476)
(199)
Accounts payable, accrued expenses and other current liabilities
16,054
5,425
Net cash provided by (used in) operating activities
94,354
(36,480)
Investing Activities
Cash paid for acquisitions, net of cash received
—
(97,727)
Net proceeds from sales of property and equipment
10,893
—
Purchases of property and equipment
(19,021)
(95,237)
Net cash used in investing activities
(8,128)
(192,964)
Financing Activities
Net (repayments) borrowings under M&T bank floor plan
(141,110)
98,530
Principal (repayments) borrowings on revolving line of credit
(19,156)
49,500
Principal repayments on long-term debt and finance liabilities
(11,713)
(11,130)
Proceeds from issuance of long-term debt and finance liabilities
16,429
64,005
Loan issuance costs
(2,431)
(3,015)
Payment of dividends on Series A preferred stock
—
(4,800)
Repurchase of Treasury Stock
—
(109)
Proceeds from shares issued pursuant to the Employee Stock Purchase Plan
113
413
Proceeds from exercise of warrants
—
30,543
Proceeds from exercise of stock options
—
1,283
Disgorgement of short-swing profits
—
622
Net proceeds from the issuance of common stock
28,259
—
Cash received as nonrefundable deposit pursuant to the Asset Purchase Agreement
10,000
—
Net cash (used in) provided by financing activities
(119,609)
225,842
Net decrease in cash
(33,383)
(3,602)
Cash, beginning of period
58,085
61,687
Cash, end of period
$ 24,702
$ 58,085
Reconciliation of Non-GAAP Measures
EBITDA and Adjusted EBITDA
EBITDA, which is a non-GAAP financial measure, is defined as net income (loss) excluding interest expense, income tax expense (benefit) and depreciation and amortization expense. Adjusted EBITDA, which is a non-GAAP financial measure, is further adjusted to include floor plan interest expense and exclude stock-based compensation expense, LIFO adjustment, impairment charges, loss (gain) on sale of property and equipment, and change in fair value of warrant liabilities.
EBITDA and Adjusted EBITDA are not measures of financial performance under GAAP and should not be considered in isolation or as an alternative to net income (loss), cash flows from operating activities or any other measure determined in accordance with GAAP. The items excluded to calculate EBITDA and Adjusted EBITDA are significant components in understanding and assessing the Company's results of operations. The Company's EBITDA and Adjusted EBITDA may not be comparable to a similarly titled measure of another company because other entities may not calculate EBITDA and Adjusted EBITDA in the same manner.
The Company believes Adjusted EBITDA is an important measure of operating performance because it allows management, investors and others to evaluate and compare the Company's core operating results from period to period by removing (i) the impact of the Company's capital structure (interest expense from outstanding debt), (ii) tax consequences, (iii) asset base (depreciation and amortization and LIFO adjustments), (iv) the non-cash charges from asset impairments, stock-based compensation expense and change in fair value of warrant liabilities and (v) gains or losses on the sale of property, plant and equipment. The Company uses Adjusted EBITDA internally to monitor operating results and to evaluate the performance of its business.
The following table presents a reconciliation of net income to EBITDA and adjusted EBITDA for the periods indicated:
Three Months Ended December 31,
Year Ended December 31,
(In thousands)
2024
2023
2024
2023
Net loss
$ (96,097)
$ (107,965)
$ (179,963)
$ (110,266)
Interest expense, net
11,245
10,774
46,914
34,882
Depreciation and amortization
5,038
5,048
20,625
18,512
Income tax expense (benefit)
12
(29,820)
16,652
(30,462)
EBITDA
(79,802)
(121,963)
(95,772)
(87,334)
Floor plan interest expense
(5,291)
(7,196)
(25,036)
(24,820)
LIFO adjustment
3,765
(297)
3,856
3,752
Loss on sale of property and equipment
1,438
10
394
28
Impairment charges
39,093
118,599
39,093
118,599
Loss (gain) on change in fair value of warrant liabilities
