| Selling, General, and Administrative expenses | Selling, General, and Administrative expenses Selling, general, and administrative expenses primarily include salaries and incentive-based compensation, sales commissions, brokerage commissions, advertising, insurance, utilities, the majority of depreciation and amortization, and other customary operating expenses. Stock-Based Compensation We account for our stock-based compensation plans following the provisions of FASB ASC 718, “Compensation — Stock Compensation” (“ASC 718”). In accordance with ASC 718, we use the Black-Scholes valuation model for estimating the fair value of stock option grants and shares purchased under our Employee Stock Purchase Plan. We measure compensation for restricted stock awards and restricted stock units at fair value on the grant date based on the number of shares expected to vest and the quoted market price of our common stock on the grant date. We recognize compensation cost for all awards in operations, net of estimated forfeitures, on a straight-line basis over the requisite service period for each separately vesting portion of the award. Foreign Currency Transactions For the Company’s foreign subsidiaries that use a currency other than the U.S. dollar as their functional currency, the assets and liabilities are translated at exchange rates in effect at the balance sheet date, and revenues and expenses are translated at the weighted average exchange rate for the period. The effects of these translation adjustments are reported in accumulated other comprehensive income. Gains and losses arising from transactions denominated in a currency other than the functional currency of the entity involved are included in operating income. No amounts were reclassified out of accumulated other comprehensive income in fiscal 2024 . Advertising and Promotional Cost We expense advertising and promotional costs as incurred and include them in selling, general and administrative expenses in the accompanying Consolidated Statements of Operations. We net amounts received by us under our co-op assistance programs from our manufacturers against the related advertising expenses. Total advertising and promotional expenses approximated $ 25.8 million, $ 36.0 million and $ 37.2 million, net of related co-op assistance, which was not material to the consolidated financial statements, for the fiscal years ended September 30, 2022, 2023, and 2024 , respectively. Income Taxes We account for income taxes in accordance with FASB ASC 740, “Income Taxes” (“ASC 740”). Under ASC 740, we recognize deferred tax assets and liabilities for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. We measure deferred tax assets and liabilities using enacted tax rates expected to apply to taxable income in the years in which we expect those temporary differences to be recovered or settled. We record valuation allowances to reduce our deferred tax assets to the amount expected to be realized by considering all available positive and negative evidence. Concentrations of Credit Risk Financial instruments, which potentially subject us to concentrations of credit risk, consist principally of cash and cash equivalents and accounts receivable. Concentrations of credit risk with respect to our cash and cash equivalents are limited primarily to amounts held with financial institutions. Concentrations of credit risk arising from our receivables are limited primarily to amounts due from manufacturers and financial institutions. Use of Estimates and Assumptions The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates made by us in the accompanying consolidated financial statements include valuation allowances, valuation of goodwill and intangible assets, valuation of long-lived assets, and valuation of contingent consideration liabilities. Actual results could differ materially from those estimates. Segment Reporting We report our operations through two reportable segments: Retail Operations and Product Manufacturing. See Note 21.
2023
Level 1 Level 2 Level 3 Total
(Amounts in thousands)
Assets:
Interest rate swap contract $ — $ 1,409 $ — $ 1,409
Liabilities:
Contingent consideration liabilities $ — $ — $ 86,059 $ 86,059 There were no transfers between the valuation hierarchy Levels 1 , 2 , and 3 for the fiscal years ended September 30, 2023 and 2024. The fair value of the Company’s interest rate swap contract is calculated as the present value of expected future cash flows, determined on the basis of forward interest rates and present value factors. The inputs to the fair value measurements reflect Level 2 inputs. The interest rate swap contract balance is included in other long-term assets in the accompanying Consolidated Balance Sheets. The interest rate swap contract is designated as a cash flow hedge with changes in fair value reported in other comprehensive income in the accompanying Consolidated Statements of Comprehensive Income. The fair value of the Company's contingent consideration liabilities is based on the present value of the expected future payments to be made to the sellers of the acquired entities in accordance with the provisions outlined in the respective purchase agreements, which is a Level 3 fair value measurement. In determining fair value, we estimated the acquired entity’s future performance using financial projections developed by management for the acquired entity and market participant assumptions that were derived for revenue growth and/or profitability. We estimated future payments using the earnout formula and performance targets specified in each purchase agreement and the financial projections just described. The risk associated with the financial projections was evaluated using a Monte Carlo simulation analysis, pursuant to which the projections were discounted to present value using a discount rate that takes into consideration market-based rates of return, and then simulated to reflect the ability of the acquired entity to achieve the earnout targets. Such calculated earnout payments were further discounted at our estimated cost of debt, to account for counterparty risk. Actual results, changes in financial projections, market participant assumptions for revenue growth and/or profitability, or market risk factors, result in a change in the fair value of recorded earnout obligations. The following table summarizes ranges for significant quantitative unobservable inputs we utilized in our fair value measurements with respect to contingent consideration liabilities:
Unobservable Input: September 30, 2024
Earnout projected growth (including net operating income) 23 % - 25 %
Discount rate 11.0 % The contingent consideration liabilities balance is included in accrued expenses and other long-term liabilities in the accompanying Consolidated Balance Sheets. Contingent consideration liabilities, recorded in accrued expenses, totaled approximately $ 5.4 million and $ 77.4 million as of September 30, 2023 and September 30, 2024, respectively. Contingent consideration liabilities, recorded in other long-term liabilities, totaled approximately $ 80.7 million and $ 3.9 million as of September 30, 2023 and September 30, 2024, respectively. Changes in fair value and net present value of the contingent consideration liabilities are included in selling, general, and administrative expenses in the accompanying Consolidated Statements of Operations. The following table sets forth the changes in fair value of our contingent consideration liabilities, which reflect Level 3 inputs, for the fiscal the years ended September 30, 2023 and 2024:
Contingent Consideration Liabilities
(Amounts in thousands)
Balance as of September 30, 2022 $ 15,207
Additions from business acquisitions 77,380
Settlement of contingent consideration liabilities ( 8,900 )
Change in fair value and net present value of contingency 2,372
Balance as of September 30, 2023 $ 86,059
Additions from business acquisitions 1,313
Settlement of contingent consideration liabilities ( 3,032 )
Change in fair value and net present value of contingency ( 3,029 )
Balance as of September 30, 2024 $ 81,311 We determined the carrying value of cash and cash equivalents, accounts receivable, accounts payable, accrued expenses, short-term borrowings, and the revolving mortgage facility approximate their fair values because of the nature of their terms and current market rates of these instruments. The fair value of our mortgage facilities and term loan, which are not carried at fair value in the accompanying Consolidated Balance Sheets, was determined using Level 2 inputs based on the discounted cash flow method. We estimate the fair value of our mortgage facilities using a present value technique based on current market interest rates for similar types of financial instruments that reflect Level 2 inputs. The following table summarizes the carrying value and fair value of our mortgage facilities and term loan as of September 30,
2023 2024
Fair Value Carrying Value Fair Value Carrying Value
(Amounts in thousands)
Mortgage facility payable to Flagship Bank $ 6,027 $ 5,907 $ 5,501 $ 5,411
Mortgage facility payable to Seacoast National Bank 17,223 16,735 15,467 15,378
Mortgage facility payable to Hancock Whitney Bank 24,171 23,279 21,781 21,366
Term loan payable to M&T Bank 379,650 377,500 347,250 347,500 5. ACCOUNTS RECEIVABLE: Trade receivables consist primarily of receivables from financial institutions, which provide funding for customer boat financing and amounts due from financial institutions earned from arranging financing with our customers. We normally collect these receivables within 30 days of the sale. Trade receivables also include amounts due from customers on the sale of boats, parts, service, and storage. Amounts due from manufacturers represent receivables for various manufacturer programs and parts and service work performed pursuant to the manufacturers’ warranties. Accounts receivable are presented net of an allowance for expected credit losses. The allowance for expected credit losses, which was not material to the consolidated financial statements as of September 30, 2023 or 2024, was based on our consideration of past collection experience, current information, and reasonable and supportable forecasts. Accounts receivable, net consisted of the following as of September 30,
2023 2024
(Amounts in thousands)
Trade receivables, net $ 70,752 $ 84,120
Amounts due from manufacturers 13,555 19,937
Other receivables 1,473 2,352
Accounts receivable, net $ 85,780 $ 106,409 6. INVENTORIES: Inventories consisted of the following as of September 30,
2023 2024
(Amounts in thousands)
New and used boats, motors, and trailers $ 625,287 $ 784,152
In transit inventory and deposits 115,879 60,470
Parts, accessories, and other 18,712 14,569
Work-in-process 22,340 24,996
Raw materials 30,612 22,454
Inventories $ 812,830 $ 906,641 7. PROPERTY AND EQUIPMENT: Property and equipment, net consisted of the following as of September 30,
2023 2024
(Amounts in thousands)
Land $ 124,605 $ 124,975
Buildings and improvements 413,688 435,665
Machinery and equipment 100,517 105,070
Furniture and fixtures 8,153 7,378
Vehicles 24,848 26,930
Gross property and equipment 671,811 700,018
Less: accumulated depreciation and amortization ( 144,259 ) ( 167,252 )
Property and equipment, net $ 527,552 $ 532,766 Depreciation expense on property and equipment, which includes amounts allocated to cost of sales, totaled approximately $ 16.7 million, $ 32.3 million and $ 35.7 million, for the fiscal years ended September 30, 2022, 2023, and 2024 , respectively. 8. LEASES: Lessee Substantially all of the leases that we enter into are real estate leases. We lease numerous facilities relating to our operations, including showrooms, display lots, marinas, service facilities, slips, offices, equipment and our corporate headquarters. Leases for real property have terms, including renewal options, ranging from one to in excess of twenty-five years . In addition, we lease certain charter boats for our yacht charter business. As of September 30, 2024 , the weighted-average remaining lease term for our leases was approximately 21 years. All of our leases are classified as operating leases, which are included as right-of-use ("ROU") assets and operating lease liabilities in the accompanying Consolidated Balance Sheets. For the fiscal years ended September 30, 2022, 2023, and 2024 , operating lease expenses recorded in selling, general, and administrative expenses were approximately $ 23.5 million, $ 30.4 million, and $ 33.8 million, of which approximately $ 0.6 million, $ 0.7 million, and $ 0.7 million, related to variable lease expenses, respectively. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. We do not have any significant leases that have not yet commenced but that create significant rights and obligations for us. We have elected the practical expedient under ASC Topic 842 to not separate lease and nonlease components. Our real estate and equipment leases often require that we pay maintenance in addition to rent. Additionally, our real estate leases generally require payment of real estate taxes and insurance. Maintenance, real estate taxes, and insurance payments are generally variable and based on actual costs incurred by the lessor. Therefore, these amounts are not included in the consideration of the contract when determining the ROU asset and lease liability, but are reflected as variable lease expenses. Substantially all of our lease agreements include fixed rental payments. Certain of our lease agreements include fixed rental payments that are adjusted periodically by a fixed rate or changes in an index. The fixed payments, including the effects of changes in the fixed rate or amount, and renewal options reasonably certain to be exercised, are included in the measurement of the related lease liability. Most of our real estate leases include one or more options to renew, with renewal terms that can extend the lease term from one to five years or more. The exercise of lease renewal options is at our sole discretion. If it is reasonably certain that we will exercise such options, the periods covered by such options are included in the lease term and are recognized as part of our right of use assets and lease liabilities. The depreciable life of assets and leasehold improvements are limited by the expected lease term, which includes renewal options reasonably certain to be exercised . For our incremental borrowing rate, we generally use a portfolio approach to determine the discount rate for leases with similar characteristics . We determine discount rates based upon our hypothetical credit rating, taking into consideration our short-term borrowing rates, and then adjusting as necessary for the appropriate lease term. As of September 30, 2024 , the weighted-average discount rate used was approximately 6.5 %. As of September 30, 2024, maturities of lease liabilities by fiscal year are summarized as follows:
(Amounts in thousands)
2025 $ 16,134
2026 16,935
2027 15,525
2028 14,918
2029 13,451
Thereafter 258,513
Total lease payments 335,476
Less: interest ( 201,189 )
Present value of lease liabilities $ 134,287 The following table sets forth supplemental cash flow information related to leases for the fiscal years ended September 30,
2022 2023 2024
(Amounts in thousands)
Cash paid for amounts included in the measurement of
Operating cash flows from operating leases $ 16,039 $ 17,474 $ 18,358
Right-of-use assets obtained in exchange for lease
Operating leases $ 4,588 $ 42,488 $ 5,548 The Company reports the amortization of ROU assets and the change in operating lease liabilities on a net basis in accrued expenses and other liabilities in the accompanying Consolidated Statements of Cash Flows. Lessor The Company enters into certain agreements as a lessor under which it rents buildings to third parties. Initial terms of our real estate leases are generally three to five years, exclusive of options to renew, which are generally exercisable at our sole discretion for one term of five years. These leases meet all of the criteria of an operating lease and are accordingly recognized straight line over the lease term. The following table summarizes the amount of operating lease income and other income included in total revenues in the accompanying consolidated statements of operations:
2023 2024
(Amounts in thousands)
Operating leases:
Operating lease income $ 9,780 $ 10,065
Variable lease income 526 1,008
Total rental income $ 10,306 $ 11,073 As of September 30, 2024, future minimum payments to be received during the next five years and thereafter are as follows:
(Amounts in thousands)
2025 $ 7,696
2026 6,073
2027 4,082
2028 2,261
2029 828
Thereafter —
Total lease payments $ 20,940 9. GOODWILL, OTHER INTANGIBLE ASSETS, AND OTHER LONG-TERM ASSETS: In March 2024, we acquired Williams Tenders USA, a premier distributor and retailer for UK-based Williams Jet Tenders Ltd., the world’s leading manufacturer of rigid inflatable jet tenders for the luxury yacht market. In March 2024, we also acquired Native Marine, a boat dealer based in Islamorada, Florida. In October 2023, we acquired a controlling interest of AGY, a luxury charter management agency based in Athens, Greece. In June 2023, we acquired C&C Boat Works, a full-service boat dealer based in Crosslake, Minnesota. In January 2023, we acquired Boatzon, a boat and marine digital retail platform, through our technology entity, New Wave Innovations. In December 2022, we acquired Midcoast Marine Group, a leading full-service marine construction Company based on Central Florida's Gulf Coast. These three acquisitions completed in fiscal year 2023 were purchased for an aggregate consideration of approximately $ 49.0 million (net of cash acquired of $ 0.1 million), including estimated contingent consideration of $ 9.7 million. Tangible assets acquired, net of liabilities assumed and cash acquired, totaled approximately $ 20.3 million; intangible assets acquired totaled $ 1.9 million; and total goodwill recognized was approximately $ 26.8 million. The goodwill represents the assembled workforce, acquired capabilities, and future economic benefits resulting from the acquisitions. Approximately $ 13.6 million of goodwill related to these acquisitions is deductible for tax purposes. In October 2022, we purchased all of the outstanding equity of IGY Marinas for an aggregate consideration of approximately $ 552.9 million (net of cash acquired of $ 28.1 million), including estimated contingent consideration of $ 67.7 million. Tangible assets acquired, net of liabilities assumed and cash acquired, totaled approximately $ 259.4 million; intangible assets acquired totaled $ 30.4 million; and total goodwill recognized was approximately $ 293.5 million. The goodwill represents the future economic benefits resulting from the acquisition. Approximately $ 193.3 million of goodwill related to this acquisition is deductible for tax purposes. In April 2022, through Northrop & Johnson, we acquired Superyacht Management, S.A.R.L., better known as SYM, a superyacht management company based in Golfe-Juan, France. In total, goodwill and other intangible assets increased, primarily due to acquisitions, by $ 353.1 million and $ 30.2 million, for the fiscal years ended September 30, 2023 and 2024 , respectively. These acquisitions have resulted in the recording of goodwill deductible for tax purposes of $ 216.0 million and $ 0.7 million, for the fiscal years ended September 30, 2023 and 2024 , respectively. Current and previous acquisitions have resulted in the recording of $ 559.8 million and $ 592.3 million in goodwill and $ 39.7 million and $ 37.5 million in other intangible assets as of September 30, 2023 and 2024, respectively. The following table sets forth the changes in carrying amount of goodwill by reportable segment for the fiscal years ended September 30, 2023 and 2024:
Retail Operations Product Manufacturing Total
(Amounts in thousands)
Balance as of September 30, 2022 $ 166,551 $ 69,034 $ 235,585
Goodwill acquired 321,166 — 321,166
Foreign currency translation 3,069 — 3,069
Balance as of September 30, 2023 $ 490,786 $ 69,034 $ 559,820
Goodwill acquired 29,335 — 29,335
Foreign currency translation 3,138 — 3,138
Balance as of September 30, 2024 $ 523,259 $ 69,034 $ 592,293 Other intangible assets, net, at September 30, consisted of the following:
2023 2024
(Amounts in thousands)
Trade names — indefinite-lived $ 17,712 $ 18,270
Other intangible assets, primarily customer relationships 25,929 32,818
43,641 51,088
Less: accumulated amortization ( 3,928 ) ( 13,630 )
Intangible assets, net $ 39,713 $ 37,458 The weighted average amortization period for other intangible assets is 4.1 years and they have no expected residual value. The following table sets forth the aggregate amortization expense for each of the five succeeding fiscal years:
(Amounts in thousands)
2025 $ 9,154
2026 5,801
2027 4,214
2028 19
2029 —
Total $ 19,188 10. ACCRUED EXPENSES: Accrued expenses consisted of the following as of September 30,
2023 2024
(Amounts in thousands)
Payroll accruals $ 43,273 $ 46,652
Customer and storage accruals 28,829 31,161
Sales and other taxes payable 9,673 8,297
Contingent consideration 5,317 77,379
Other accruals 25,654 33,806
Accrued expenses $ 112,746 $ 197,295 11. SHORT-TERM BORROWINGS AND LONG-TERM DEBT: In July 2023, we executed the Amended Credit Facility with Manufacturers and Traders Trust Company ("M&T Bank") as Administrative Agent, Swingline Lender, and Issuing Bank, Wells Fargo Commercial Distribution Finance, LLC, as Floor Plan Agent, and the lenders party thereto (the “Amended Credit Facility”). The Amended Credit Facility provides the Company short-term borrowing in the form of a line of credit with asset-based borrowing availability ( the "Floor Plan") of up to $ 950 million and establishes a revolving credit facility in the maximum amount of $ 100 million (including a $ 20 million swingline facility and a $ 20 million letter of credit sublimit). The Amended Credit Facility also provides long-term debt in the form of a delayed draw term loan facility to finance the acquisition of IGY Marinas in the maximum amount of $ 400 million, and a $ 100 million delayed draw mortgage loan facility. The maturity of each of the facilities is August 2027 . As of September 30, 2024 , our available borrowings under the delayed draw mortgage loan facility were approximately $ 100 million, and our available borrowings under the revolving credit facility were approximately $ 86 million. The interest rate is (a) for amounts outstanding under the Floor Plan, 3.45 % above the one month secured term rate as administered by the CME Group Benchmark Administration Limited (CBA) (“SOFR”), (b) for amounts outstanding under the revolving credit facility or the term loan facility, a range of 1.50 % to 2.0 %, depending on the total net leverage ratio, above the one month, three month, or six month term SOFR rate, and (c) for amounts outstanding under the mortgage loan facility, 2.20 % above the one month, three month, or six month term SOFR rate. The alternate base rate with a margin is available for amounts outstanding under the revolving credit, term, and mortgage loan facilities and the Euro Interbank Offered Rate plus a margin is available for borrowings in Euro or other currencies other than dollars under the revolving credit facility. The Amended Credit Agreement has certain financial covenants as specified in the agreement. The covenants include provisions that our leverage ratio must not exceed 3.35 to 1.0 and that our consolidated fixed charge coverage ratio must be greater than 1.10 to 1.0. As of September 30, 2024 , we were in compliance with all covenants under the Amended Credit Agreement. The Amended Credit Agreement is secured by the Company’s personal property assets, including inventory and related accounts receivable. The mortgage loans will also be secured by the real estate pledged as collateral for such loans. In August 2022, we entered into a Credit Agreement with M&T Bank as Administrative Agent, Swingline Lender, and Issuing Bank, Wells Fargo Commercial Distribution Finance, LLC, as Floor Plan Agent, and the lenders party thereto (the “2022 Credit Agreement”). The 2022 Credit Agreement provided the Company short-term borrowing (the "2022 Floor Plan") in the form of a line of credit with asset based borrowing availability of up to $ 750 million and establishes a revolving credit facility in the maximum amount of $ 100 million (including a $ 20 million swingline facility and a $ 20 million letter of credit sublimit). The 2022 Credit Agreement also provided long-term debt in the form of a delayed draw term loan facility to finance the acquisition of IGY Marinas in the maximum amount of $ 400 million, and a $ 100 million delayed draw mortgage loan facility. The maturity of each of the facilities was to have been August 2027 . The 2022 Credit Agreement was replaced by the Amended Credit Facility in July 2023. As of September 30, 2024 , our outstanding short term borrowings under the Floor Plan associated with financing our inventory and working capital needs totaled approximately $ 709.0 million. As of September 30, 2024 , our short-term borrowings, which solely consisted of the Floor Plan, included unamortized debt issuance costs of approximately $ 1.3 million. As of September 30, 2023 , our short term borrowings under the Floor Plan totaled approximately $ 537.1 million, and included unamortized debt issuance costs of approximately $ 1.6 million. As of September 30, 2023 and 2024 , the interest rate on the outstanding short-term borrowings, which solely consisted of the Floor Plan, was approximately 8.8 % and 8.7 %, respectively. As of September 30, 2024 , our additional available Floor Plan borrowings under our Amended Credit Facility were approximately $ 1.5 million based upon the outstanding borrowing base availability. As of September 30, 2024, no amounts were withdrawn on the revolving credit facility or the delayed draw mortgage loan facility. As of September 30, 2024, we had approximately $ 14.1 million in letters of credit that reduced the available borrowings under the revolving credit facility. As is common in our industry, we receive interest assistance directly from boat manufacturers, including Brunswick. The interest assistance programs vary by manufacturer, but generally include periods of free financing or reduced interest rate programs. The interest assistance may be paid directly to us or our lender depending on the arrangements the manufacturer has established. We classify interest assistance received from manufacturers as a reduction of inventory cost and related cost of sales. The availability and costs of borrowed funds can adversely affect our ability to obtain adequate boat inventory and the holding costs of that inventory as well as the ability and willingness of our customers to finance boat purchases. However, we rely on our Amended Credit Agreement to purchase our inventory of boats. The aging of our inventory limits our borrowing capacity as defined curtailments reduce the allowable advance rate as our inventory ages. Our access to funds under our Amended Credit Agreement also depends upon the ability of our lenders to meet their funding commitments, particularly if they experience shortages of capital, experience excessive volumes of borrowing requests from others during a short period of time or otherwise experience liquidity issues of their own as other lending institutions have recently experienced. Unfavorable economic conditions, weak consumer spending, turmoil in the credit markets, and lender difficulties, among other potential reasons, could interfere with our ability to utilize our Amended Credit Agreement to fund our operations. Any inability to utilize our Amended Credit Agreement could require us to seek other sources of funding to repay amounts outstanding under the credit agreements or replace or supplement our credit agreements, which may not be possible at all or under commercially reasonable terms. Similarly, decreases in the availability of credit and increases in the cost of credit adversely affect the ability of our customers to purchase boats from us and thereby adversely affect our ability to sell our products and impact the profitability of our finance and insurance activities. Long-term Debt The below table summarizes the Company’s long-term debt.
September 30, 2024
(Amounts in thousands)
Mortgage facility payable to Flagship Bank bearing interest at 7.00 % (prime minus 100 basis points with a floor of 2.00 %). Requires monthly principal and interest payments with a balloon payment of approximately $ 4.0 million due August 2027 . $ 5,411
Mortgage facility payable to Seacoast National Bank bearing interest at 7.09 % ( SOFR plus 220 basis points) . Requires monthly interest payments for the first year and then monthly principal and interest payments with a balloon payment of approximately $ 10.0 million due September 2031 . 15,378
Mortgage facility payable to Hancock Whitney Bank bearing interest at 7.38 % (prime minus 62.5 basis points with a floor of 2.25 %). Requires monthly principal and interest payments with a balloon payment of approximately $ 15.5 million due November 2027 . 50 % of the outstanding borrowings are hedged with an interest rate swap contract with a fixed rate of 3.20 %. 21,366
Revolving mortgage facility with FineMark National Bank & Trust bearing interest at 7.75 % (prime minus 25 basis points with a floor of 3.00 %). Facility matures in October 2027 . Current available borrowings under the facility were approximately $ 21.0 million at September 30, 2024. —
Term loan payable to M&T Bank bearing interest at 6.67 %. Requires quarterly principal and interest payments. Facility matures in August 2027 . 347,500
Loan payable to TRANSPORT S.a.s di Taula Vittorio & C. bearing interest at 7.21 %. Requires quarterly principal and interest payments. Facility matures in December 2030 . 1,531
Total long-term debt 391,186
Less: current portion ( 33,766 )
Less: unamortized portion of debt issuance costs ( 1,514 )
Long-term debt, net current portion and unamortized debt issuance costs $ 355,906
September 30, 2023
(Amounts in thousands)
Mortgage facility payable to Flagship Bank bearing interest at 7.50 % (prime minus 100 basis points with a floor of 2.00 %). Requires monthly principal and interest payments with a balloon payment of approximately $ 4.0 million due August 2027 . $ 5,907
Mortgage facility payable to Seacoast National Bank bearing interest at 7.88 % ( SOFR plus 220 basis points) . Requires monthly interest payments for the first year and then monthly principal and interest payments with a balloon payment of approximately $ 10.0 million due September 2031 . 16,735
Mortgage facility payable to Hancock Whitney Bank bearing interest at 7.88 % (prime minus 62.5 basis points with a floor of 2.25 %). Requires monthly principal and interest payments with a balloon payment of approximately $ 15.5 million due November 2027 . 50 % of the outstanding borrowings are hedged with an interest rate swap contract with a fixed rate of 3.20 %. 23,279
Revolving mortgage facility with FineMark National Bank & Trust bearing interest at 8.25 % (prime minus 25 basis points with a floor of 3.00 %). Facility matures in October 2027 . Current available borrowings under the facility were approximately $ 22.7 million at September 30, 2023. —
Term loan payable to M&T Bank bearing interest at 6.83 %. Requires quarterly principal and interest payments. Facility matures in August 2027 . 377,500
Loan payable to TRANSPORT S.a.s di Taula Vittorio & C. bearing interest at 7.08 %. Requires quarterly principal and interest payments. Facility matures in December 2030 . 1,478
Total long-term debt 424,899
Less: current portion ( 33,767 )
Less: unamortized portion of debt issuance costs ( 1,901 )
Long-term debt, net current portion and unamortized debt issuance costs $ 389,231 As of September 30, 2024, the aggr |
