Boat lift sales.... A tell tale sign.. especially since they are the after boat purchase "oh shoot I also need this purchase".

FYI there are hardly any wake boat bunk kits being sold on new lifts out there... 

1 hour ago, BLSousa said:

My assumption: There is likely a venture capitalist/private equity group behind tommy’s expansion that should have a 1st position deed of trust on everything except most of the floor plan boats. The VC will acquire all of Tommy’s assets and Malibu will likely work with them 1st to establish a new dealer, or who the VC chooses to sell to. The sweetheart building leases with the old owners will be canceled and replaced with new sub market leases. 
 

As part of the new deal, the new dealer will continue to sell the repo boats for the floor plan lender. From that point forward it is pretty much business as usual. 
 

The only thing I see messing this up is if Tommy’s has another senior lender or is valued at more than the VC/PE’s loans. 

If PE is involved then its all good as you said, if anything then just part of the plan to restructure for lower leases, better deals, etc. Then get a steal on purchasing these from the banks. PE is great at blending losses just as banks are. They can stink it up and come out smelling like roses! 

1 minute ago, The Hulk said:

Thats odd and goes against business 101 for wealthy individuals....

All I know is what I read;). It is in that paywall article mentioned above.  The part about their other bank issue. 

23 minutes ago, IXFE said:

What if you sold that business, pocketed the proceeds, and could suddenly get back in for $0…? 

Still not interested…? 

With the noncompete voided…

Yeah, worse than even I was thinking it would be. Amid a sea of red ink, this caught my eye more than all the rest…

“Net sales attributable to our Malibu segment decreased $112.4 million, or 65.1%, to $60.2 million for the three months ended March 31, 2024, compared to the three months ended March 31, 2023. Unit volumes attributable to our Malibu segment decreased 886 units for the three months ended March 31, 2024, compared to the three months ended March 31, 2023”

So yeah, Malibu/Axis sales are only 1/3 of what they were just one year ago… OUCH!!

@The Hulk predicted this just by watching the RV industry meltdown, which started about a year earlier. I knew he was right then, but wouldn’t have believed a 2/3 reduction in revenue / volume. 

I guess there’s nowhere to go but UP for the new management team.