EBITDA Growth
Q: Is EBITDA growth target on track?
A: Management reaffirmed its 30% adjusted EBITDA growth goal despite a $15M hit from higher floor plan interest, emphasizing that stable $38K new unit ASPs and a cautious ramp-up in used procurement will support overall profitability.

Margin Outlook
Q: How will new margins trend this year?
A: New unit gross margins were around 14% and are expected to improve to about 15% in Q2/Q3 before easing slightly in Q4 as inventory is normalized.

Interest Expense Impact
Q: How are higher rates affecting costs?
A: The absence of rate cuts has increased floor plan interest by $15M, which pressures gross profit; however, deliberate pricing and inventory shifts are expected to mitigate this impact.

Auction Business
Q: What’s driving the CW auction initiative?
A: A $7M upfront investment in auctions is intended to enhance used asset procurement and market transparency, creating a non-recurring platform to improve booking velocity.

Dealership Growth
Q: What are the new door plans for the year?
A: After netting 13 new openings (accounting for one sale), management expects at least 17 doors by year’s end through a mix of organic opens and strategic acquisitions.

Model Year Changeover
Q: When will 2025 models begin arriving?
A: The rollout for 2025 models is set to start gradually—motorized units this month and towables by October–December—reflecting prudent inventory management.

Demand & Sales Performance
Q: How is current demand performing?
A: Demand is robust, with double-digit same‐store new unit sales growth in April, driven by a deliberate shift toward affordability to capture market share.

Pricing Strategy
Q: Will invoice prices decline further?
A: Management does not anticipate any material movement; invoice pricing for new units is expected to stabilize as the market adjusts.

Parts & Service
Q: How are parts & service operations performing?
A: The external, customer-paid work is up year-over-year, signaling healthy industry activity, while internal repair volumes adjust with used inventory dynamics.

OEM Promotional Support
Q: Has OEM support been significant this quarter?
A: There was minimal OEM promotional support in Q1 as manufacturers deferred incentives, reinforcing a focus on organic inventory and pricing strategies.

Retail Outlook
Q: Does weaker retail affect unit sales?
A: Despite industry-wide retail softness, the company’s strategy—including disciplined store openings and mix adjustments—supports robust retail unit sales without derailing EBITDA expectations.

Good Sam Alternatives
Q: Are Good Sam alternatives delaying expansion?
A: Management is progressing on Good Sam’s parallel expansion into marine and power sports while pursuing strategic alternatives independently, ensuring no delay in overall growth.

Aftermarket Agreement
Q: How will the new supplier deal impact margins?
A: The supplier agreement with Lippert and similar partners aims to reset retail parts pricing and boost margins by providing better pricing and performance-linked rebates.

RV Sourcing
Q: What’s changing in RV manufacturing sourcing?
A: The company continues its collaboration with THOR, Forest River, and Winnebago, leveraging proprietary data to drive innovative product development and enhance overall industry growth.

Door Sales Acceleration
Q: Is there faster door sales growth in April?
A: April’s performance was strong—with same-store new unit sales holding or slightly improving over March—reflecting a steady, if not accelerating, market demand.