TBO.com - TBO is Tampa Bay Online

Pinellas-Based MarineMax Logs 29% Drop In Boat Sales

ADVERTISEMENT

By MICHAEL SASSO

The Tampa Tribune

Published: July 31, 2008

MarineMax Inc., a Clearwater-based boat dealership chain, posted a 29-percent drop in sales for its third quarter, the company said today.

The company, which is the nation's leading seller of Sea Ray boats, said it booked a $113.3 million loss in its fiscal third quarter, which ended June 30.

The company said the loss largely came from a noncash charge of $122.1 million after MarineMax wrote down the value of its "goodwill" -- essentially the value of the company's reputation, position in the marketplace and other intangible assets.

In the same quarter of 2007, the company posted earnings of $13.9 million.

The company's sales fell to $271.3 million in the third quarter, down 29 percent from its sales of $379.8 million in the third quarter of 2007. In earnings per share, the company posted a loss of $6.15 per share in the third quarter, compared with a profit of 73 cents per share in the year-ago quarter. Factoring out the large noncash charge last quarter, the company earned 18 cents per share.

Sales at stores open at least a year – a key measurement in the retail industry – fell 27 percent in the quarter ended June 30 when compared with the same quarter a year ago.

In a statement released today, Chairman and Chief Executive Officer William McGill Jr. says the company is cutting its purchases from manufacturers for the 2009 model year.

The company has about 90 stores in approximately 21 states, including Florida, Georgia and North Carolina.

In morning trading, shares were up 83 cents, to $7.24.

Reporter Michael Sasso can be reached at (813) 259-7865 or msasso@tampatrib.com.

Share this:

Loading Comments...

Email Print

ADVERTISEMENT