New boat sales break 13 percent growth through November
Early data from around the industry is showing new powerboat sales up as much as 10 percent, year-over-year, in 2012 for the industry, and unit sales for the average Spader dealer is up 6.8 percent through November. Damage along the Eastern Seaboard caused by Hurricane Sandy tempered sales for the month, skimming away sales momentum from Spader dealers.
Total dealership sales for the average Spader dealership were up by 6.2 percent through November, driven by a mild winter pushing ahead the boating season across the country. New boat sales climbed significantly, prolonging the 13.4 percent growth experienced through October.
Margins on new and used boats were up by around half of a percentage point through November, contributing to a 1.7 percentage point increase to the average dealership’s bottom line. In 2012, the Spader dealers had an average net operating profit of 5.8 percent compared to a 4.1 percent net operating profit in 2011. Total dealership gross margins were about four tenths of a percentage point.
As dealerships earned more, they also spent more in 2012. Spending on personnel and fixed expenses was up almost $80,000 combined over 2011, leading to total dealership expenses growing just below 2 percent through the first 11 months of the year.
Heading into December, inventories were up on new and used inventory, riding 16.5 percent for new powerboat inventory and 19.3 percent on used boats.