Company: ONEW
Filing Date: 2025-01-31
Form Type: 10-Q
Source: 0001772921-25-000013
Chunk: 39

Company: OneWater Marine Inc.
Filing Date: 2025-01-31
Form: 10-Q
Item: Part I, Item 1
Chunk 39
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 renew, with renewal terms that can extend the lease from one to ten or more years. The exercise of the lease renewal option is typically at our sole discretion. If it is reasonably certain that we will exercise the option to renew, the period covered by the options are included in the lease term and are recognized as part of our ROU assets and lease liabilities. Certain leases include the option to purchase the leased property. The depreciable life of assets and leasehold improvements are limited by the expected lease term, which includes renewal options reasonably certain to be exercised.Certain of our lease agreements include rental payments based on percentage of retail sales over contractual levels and others include rental payments adjusted periodically based on index rates. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants.

17.    Related Party Transactions

In accordance with agreements approved by the Board, we purchased inventory, in conjunction with our retail sale of the products, from certain entities affiliated with the Company. Total purchases incurred under these arrangements were $52.4 million and $49.8 million for the three months ended December 31, 2024 and 2023, respectively. In accordance with agreements approved by the Board, certain entities affiliated with the Company receive fees for rent of commercial property. Total expenses incurred under these arrangements were $1.4 million and $0.7 million for the three months ended December 31, 2024 and 2023, respectively.In accordance with agreements approved by the Board, the Company received fees from certain entities and individuals affiliated with the Company for goods and services. Total fees recorded under these arrangements were $2.1 million and less than $1.1 million for the three months ended December 31, 2024 and 2023, respectively.In accordance with agreements approved by the Board, the Company made payments to certain entities and individuals affiliated with the Company for goods and services. Total payments recorded under these arrangements were $0.2 million for the three months ended December 31, 2024. No payments were recorded under these arrangements for the three months ended December 31, 2023.

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In connection with transactions noted above, the Company owed $4.9 million and $6.0 million as recorded within accounts payable as of December 31, 2024 and September 30, 2024, respectively. No amounts were recorded within accounts receivable as of December 31, 2024 and September 30, 2024.In connection with the Tax Receivable Agreement