Achieved 35% adjusted EBITDA growth in 2025, driven by record Good Sam revenue and a 14% improvement in same-store unit sales.
Attributed fourth-quarter margin pressure to a deliberate strategy of clearing aged and noncore inventory to improve working capital efficiency.
Identified a significant weather disruption in early 2026 that temporarily closed over 60 locations, resulting in an estimated loss of 1,500 unit sales.
Emphasized a shift toward disciplined execution and cost optimization, completing $25 million in annualized SG&A reductions to offset margin impacts.
Positioned the Good Sam business as the high-margin cornerstone of future growth, focusing on protecting and empowering the RV community.
Articulated a strategy to ‘do more with less’ by accelerating inventory turnover rates to historical norms of 2.2 to 2.4 for new units.
Noted that while travel trailer demand shows softness, the company is seeing idiosyncratic strength in exclusive brands and entry-level motorized categories.
Established 2026 adjusted EBITDA guidance of $275 million to $325 million, factoring in a $35 million headwind from aggressive inventory cleansing.
Anticipates a massive wave of trade-in demand starting in late 2026 as the 4.1 million customers from the 2020-2022 peak reach manageable equity positions.
Assumes industry retail sales between 325,000 and 350,000 new units, with approximately 50% of company EBITDA expected in the first half of the year.
Projects full-year new vehicle gross margins to settle around 12.5% due to front-half promotional activity required to reset the inventory foundation.
Prioritizes balance sheet health by pausing the dividend to retain free cash flow for debt reduction and growth capital, targeting a leverage ratio below 4.7x.
Paused the quarterly dividend following the exhaustion of ‘trapped cash’ at the public company level to focus on net debt deleveraging.
Repaid $50 million of long-term debt in early 2026 as an initial step toward fortifying the balance sheet.
Flagged dealer insurance product cancellation reserves as a primary driver of the delta in Q4 results versus internal expectations.
Transitioned to a ‘pull-through’ ordering model with manufacturers to reduce lead times and better align inventory with real-time demand.
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