Lazydays reported financial results for the second quarter ended June 30.
John North, Lazydays chief executive officer, said, “Our team has focused on maintaining healthy vehicle inventory, improving F&I per unit and achieving substantial total gross margin improvement sequentially. However, the seasonal improvement in sales volume we had anticipated to occur in the second quarter did not materialize. On a same-store basis, we saw a decline in both new and used unit volume relative to the first quarter, partially offset by significantly improved gross profit per unit sold reflecting the benefits of the inventory actions we took earlier this year. Our same store F&I was over $5,300 per unit, up 6.9%, despite average selling prices being lower by approximately 17% on a blended basis.
“We have continued to focus on maintaining our healthy inventory position while increasing our efforts to procure more used units directly from consumers as trade-ins on vehicle sales have been off approximately 50% compared to our historical averages. As of today, our new inventory is comprised of 26% model year 2025 units and 69% model year 2024 units, with less than 140 2023 units remaining. Also of note, over 75% of our inventory is towable product, up from 70% at the same time last year.”
Commenting on operational changes since the end of the second quarter, North stated, “Given the current unit sales volume, we have implemented further cost reduction actions in August that should be substantially complete by the end of September. We anticipate these decisions will save approximately $25 million annually. We have also closed our Waller, Texas, dealership, and consolidated our retail operations from two locations to one in the Surprise, Arizona, market.
“While these decisions are painful, they are necessary. Despite these two store actions, we remain enthusiastic about operating the rest of our best-in-class locations and will continue to adjust our expense structure as necessary to seek to match the revenue opportunities available. We would note that we are not contemplating, nor are we in discussions with counterparties regarding strategic transactions involving significant store divestitures or business combinations at this time.
“As usual, I want to thank our entire team for delivering the improvements in operating results that are within our control and providing exceptional customer experiences as we await the market recovery. We remain confident in the earnings power of our company and look forward to unlocking its full potential as the industry recovers.”
Total revenue for the second quarter was $238.7 million compared to $308.4 million for the same period in 2023. Total revenue for the six months ended June 30 was $509.3 million compared to $604.0 million for the same period in 2023.
Net loss for the second quarter was $44.2 million compared to net income of $3.6 million for the same period in 2023. Adjusted net loss, a non-GAAP measure, was $18.4 million compared to adjusted net income of $3.9 million for the same period in 2023. Net loss per diluted share was $3.22 compared to net income per diluted share of $0.12 for the same period in 2023. Adjusted net loss per diluted share was $1.42 compared to adjusted net income per diluted share of $0.14 for the same period in 2023.
Net loss for the six months ended June 30 as $66.2 million compared to net income of $3.3 million for the same period in 2023. Adjusted net loss, a non-GAAP measure, was $46.5 million compared to adjusted net income of $5.1 million for the same period in 2023. Net loss per diluted share was $4.89 compared to net income per diluted share of $0.00 for the same period in 2023. Adjusted net loss per diluted share was $3.51 compared to adjusted net income per diluted share of $0.13 for the same period in 2023.
For additional information from the Lazydays financial report, click here.