On July 26, MarineMax
- The company felt the impact of the soft housing market, as consumers shifted away from purchasing big-ticket items. As a result, sales declined 9.9%, mainly from the 9% drop in comps.
- The large drop in sales left the balance sheet full of excess inventory, with inventory levels rising nearly 13%.
- MarineMax faced rising interest rates, as interest rate expenses increased $7.5 million. Additionally, the company's extra borrowings from acquisitions last year contributed to the increase.
- Putting it all together, the bottom line fell 18.9%.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q3 2007 |
Q3 2006 |
Change |
|
|---|---|---|---|
|
Sales |
$379.8 |
$421.3 |
(9.9%) |
|
Net Profit |
$13.9 |
$17.5 |
(20.7%) |
|
EPS |
$0.73 |
$0.90 |
(18.9%) |
|
Diluted Shares |
19.0 |
19.4 |
(2.0%) |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q3 2007 |
Q3 2006 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
23.3% |
23.8% |
(0.5) |
|
Operating Margin |
6.6% |
8.3% |
(1.7) |
|
Net Margin |
3.7% |
4.2% |
(0.5) |
Margins are the earnings engine. See how they work.
Balance Sheet HighlightsAssets | Q3 2007 | Q3 2006 | Change |
|---|---|---|---|
Cash + ST Invest. | $25.3 | $28.2 | (10.2%) |
Accounts Rec. | $72.0 | $80.5 | (10.6%) |
Inventory | $491.7 | $435.7 | 12.9% |
Liabilities | Q3 2007 | Q3 2006 | Change |
|---|---|---|---|
Accounts Payable | $30.6 | $34.2 | (10.4%) |
Long-Term Debt | $27.5 | $33.8 | (18.5%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
Just like you should always wear a lifejacket when boating, management should always include a cash flow statement in the press release.
Related Foolishness:
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.
