Segment Information
We report our operations through two reportable segments: (1) Dealerships and (2) Distribution. See Note 2 for more information about our segments. The Company evaluates performance and allocates resources for all of its reportable segments based on metrics such as segment revenues and segment income. These segment profit metrics are consistent across all segments. The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM.
Reportable segment financial information for the years ended September 30, 2025, 2024 and 2023 is as follows:
| | | | | | | | | | | | | | | | | | | | |
| Dealerships: | | For the Year Ended September 30, |
| | 2025 | | 2024 | | 2023 |
| Revenues: | | | | | | |
| New boat | | $ | 1,158,165 | | | $ | 1,118,292 | | | $ | 1,223,691 | |
| Pre-owned boat | | 363,906 | | | 312,193 | | | 334,477 | |
| Finance & insurance income | | 54,959 | | | 51,494 | | | 56,325 | |
| Service, parts & other | | 147,951 | | | 134,591 | | | 140,734 | |
| Total revenues | | 1,724,981 | | | 1,616,570 | | | 1,755,227 | |
| | | | | | |
| Cost of sales: | | | | | | |
| New boat (1) | | 973,411 | | | 919,596 | | | 955,222 | |
| Pre-owned boat | | 298,361 | | | 248,068 | | | 258,524 | |
| Service, parts & other | | 72,924 | | | 65,479 | | | 65,927 | |
| Total cost of sales | | 1,344,696 | | | 1,233,143 | | | 1,279,673 | |
| | | | | | |
| Selling, general and administrative expenses (2) | | 283,215 | | | 276,113 | | | 286,426 | |
| Interest expense - floor plan | | 28,469 | | | 34,087 | | | 25,080 | |
| Segment income | | $ | 68,601 | | | $ | 73,227 | | | $ | 164,048 | |
| | | | | | |
(1) Cost of sales - new boat excludes restructuring and impairment charges. |
| (2) Selling, general and administrative expenses exclude equity-based compensation. |
| | | | | | | | | | | | | | | | | | | | |
| Distribution: | | For the Year Ended September 30, |
| | 2025 | | 2024 | | 2023 |
| Revenues: | | | | | | |
| Service, parts & other | | $ | 147,353 | | | $ | 156,060 | | | $ | 181,083 | |
| Cost of sales: | | | | | | |
| Service, parts & other (1) | | 96,271 | | | 98,706 | | | 118,621 | |
| | | | | | |
| Selling, general and administrative expenses | | 49,571 | | | 48,124 | | | 50,137 | |
| Segment income | | $ | 1,511 | | | $ | 9,230 | | | $ | 12,325 | |
| | | | | | |
| (1) Cost of sales - Service, parts & other excludes depreciation and amortization and restructuring and impairment charges |
| | | | | | | | | | | | | | | | | | | | |
| | For the Year Ended September 30, |
| Reconciliation of segment income: | | 2025 | | 2024 | | 2023 |
| Dealership segment income | | $ | 68,601 | | | $ | 73,227 | | | $ | 164,048 | |
| Distribution segment income | | 1,511 | | | 9,230 | | | 12,325 | |
| Segment income | | 70,112 | | | 82,457 | | | 176,373 | |
| Interest expense - other | | (36,183) | | | (37,050) | | | (34,557) | |
| Restructuring and impairment | | (149,678) | | | (15,318) | | | (147,400) | |
| Change in fair value of contingent consideration | | 2,133 | | | (4,248) | | | 1,604 | |
| Equity-based compensation | | (10,499) | | | (8,443) | | | (8,962) | |
| Transaction costs | | (1,547) | | | (1,530) | | | (1,839) | |
| Depreciation and amortization | | (24,440) | | | (22,187) | | | (26,789) | |
| Other expense, net | | (1,429) | | | (14) | | | (953) | |
| Net (loss) income before income tax (benefit) expense | | $ | (151,531) | | | $ | (6,333) | | | $ | (42,523) | |
| | | | | | | | | | | | | | | | | | | | |
| | For the Year Ended September 30, |
| Interest expense - other: | | 2025 | | 2024 | | 2023 |
| Dealership segment | | $ | 36,183 | | | $ | 37,050 | | | $ | 34,557 | |
| Distribution segment | | — | | | — | | | — | |
| Total interest expense - other | | $ | 36,183 | | | $ | 37,050 | | | $ | 34,557 | |
| | | | | | | | | | | | | | |
| | As of September 30, |
| Assets: | | 2025 | | 2024 |
| Dealership segment | | $ | 1,276,806 | | | $ | 1,357,638 | |
| Distribution segment | | 127,019 | | | 232,351 | |
| Total Assets | | $ | 1,403,825 | | | $ | 1,589,989 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.