Lazydays Holdings recently announced its financial results for the second quarter, showing that revenues decreased by $2.7 million, or 1.6 percent, from $164.8 million for the quarter ended June 30, 2017, to $162.1 million for the quarter ended June 30, 2018. The company said this was driven by decreased average selling price of new models due to the shift toward towable units as a greater portion of Lazydays’ sales mix.
Gross profit increased by $1.9 million, or 5.7 percent, from $33.8 million for the quarter ended June 30, 2017, to $35.7 million. The increase in gross profit was primarily driven by a shift toward pre-owned vehicles sales and an increase in the volume of towables as a percentage of our new vehicle sales.
“While we saw increases in volume during the second quarter, our topline revenues were lower, driven by a shift toward towables. Despite the lower sales revenue, we were able to improve gross profit based upon our increased unit sales and our sales mix having higher margins as a percent of revenue,” said William Murnane, chairman and CEO of Lazydays. “We are excited to have completed our first acquisition as a public company. We closed our acquisition of the assets of Shorewood RV Center on Aug. 7. This is an important milestone for Lazydays as geographic expansion into top-tier RV markets is a key element of our growth strategy.”
Excluding transaction costs, selling, general, and administrative expenses increased by $4.7 million, or 18.1 percent. This was primarily driven by increases in non-cash expenses including depreciation and amortization of property and equipment and amortization of intangible assets associated with the acquisition date accounting, as well as the stock-based compensation expense related to options issued to management following the merger between Andina Acquisition Corp. II and Lazy Days’ R.V. Center on March 15.