Company: ONEW
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001772921-25-000025
Chunk: 171

Company: OneWater Marine Inc.
Filing Date: 2025-05-02
Form: 10-Q
Item: Part I, Item 2
Chunk 171
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, to customers through various third-party financial institutions and insurance companies. Finance & insurance income increased by $0.3 million, or 1.9%, to $15.0 million for the three months ended March 31, 2025 from $14.7 million for the three months ended March 31, 2024. The increase was primarily due to an increase in penetration. We remain very focused on improving sales of finance & insurance products throughout our dealer network and implementing best practices at acquired dealer groups and existing dealerships. Finance & insurance income is recorded net of related fees, including fees charged back due to any early cancellation of loan or insurance contracts by a customer. Since finance & insurance income is fee-based, we do not incur any related cost of sale.

Service, Parts & Other Sales

Service, parts & other sales increased by $1.7 million, or 2.4%, to $69.3 million for the three months ended March 31, 2025 from $67.6 million for the three months ended March 31, 2024. The increase in service, parts & other sales is primarily due to the Company's focus on increasing this higher margin business. Revenues for the Distribution segment are reported in service, parts & other sales and totaled $37.2 million and $38.2 million for the three months ended March 31, 2025 and 2024, respectively.

Gross Profit

Overall, gross profit decreased by $10.0 million, or 8.3%, to $110.4 million for the three months ended March 31, 2025 from $120.4 million for the three months ended March 31, 2024. This decrease was primarily due to new and pre-owned boat pricing, including the impact of select brands the Company is exiting. Overall gross margin decreased 180 basis points to 22.8% for the three months ended March 31, 2025 from 24.6% for the three months ended March 31, 2024 due to the factors noted below.

New Boat Gross Profit

New boat gross profit decreased by $9.8 million, or 16.3%, to $50.3 million for the three months ended March 31, 2025 from $60.1 million for the three months ended March 31, 2024. This decrease was due to the decrease in new boat revenues and gross profit margins. New boat gross profit margin was 16.2%