EX-99.1 2 ex99-1.htm EX-99.1

 

Exhibit 99.1

 

 

Off The Hook Yachts Reports Third Quarter Financial and Operating Results

 

Third Quarter Revenues of $24.0 million

Record Nine Month Revenues of $82.6 million, up 19.3% YOY

Third Quarter Number of Boats totaled 112 units, up 51% YOY

Issues 2026 Full Year Revenue Guidance

 

Wilmington, NC (GLOBE NEWSWIRE — December 15, 2025) — Off The Hook YS Inc. (NYSE: “OTH”, or “Off the Hook Yachts”), one of America’s largest buyer and seller of pre-owned boats, today announced financial results for the third quarter ended September 30, 2025. The Company will host a live conference call today Monday, December 15, 2005, at 4:30 P.M. EST.

 

“I’d like to acknowledge my team in the outstanding performance this quarter, even as we executed on our initial public offering on November 14, 2025 where we raised $15 million.  I’m also proud of our recent successful launch of Autograph Yacht Group, located in Jupiter, Florida, and our 45 brokers, positioned throughout the United States.  By leveraging its nationwide broker network, advanced CRM technology, and synergistic portfolio of entities, OTH delivers exceptional value to clients. As we continue to focus on the pre-owned boat market, we believe that we can quickly capitalize on boating trends whether pre-owned boat prices go up or down,” said Brian John, Chief Executive Officer of OTH.

 

2025 Third Quarter Highlights

 

  Completed our IPO on November 14, 2025
Revenue was $24.0 million, compared to $25.8 million in 2024

Third quarter number of boats sold grew 51.1% to 112

Second highest quarterly boat sales in the Company’s history, following a record 117 units in the seasonally strong second quarter

  Net loss of $0.07 million with adjusted EBITDA of $0.5 million
Gross profit of $3.0 million compared to $2.9 million in 2024
Opened our premier yacht broker division, Autograph Yacht Group in South Florida
Added ten new brokers to our growing team of brokers

 

2025 Nine Month Highlights

 

Record revenue of $82.6 million, an increase of 19.3%

Record number of boats sold, grew 24.4% to 310

  Net income of $0.8 million
Adjusted EBITDA was $2.6 million, compared to $3.1 million in 2024

Gross profit of $8.4 million for the nine months ended September 30, 2025, compared to $6.9 million for the nine months ended September 30, 2024., an increase of $1.5 million

 

2026 Full Year Guidance

 

For 2026 the Company expects that annual revenue will be between $140 million and $145 million.

 

Third Quarter Financial Discussion

 

Third quarter revenues of $24.0 million decreased 7.2%, compared to third quarter revenues in 2024, a portion of the revenue decrease is attributed to several larger pre-owned boat sales closing in the first few days in Q4. We sold 51.1% more boats in the third quarter of 2025 selling 112 in the third quarter of 2025 versus 74 boats in the same period of 2024. We believe sales can continue to grow at a higher rate going forward due to an increased broker pool and a larger amount of capital to grow our floor plan and increase the number of boats we can transact.

 

 
 

 

Revenue from boat sales decreased by $1.8 million, or (7.18)%, to $23.4 million. Despite a slight decrease in boat revenues which was primarily attributed to time of sale completion of a few large boats, we are still seeing strong demand and expect this to be reflected in our 4th-quarter revenues. Revenue from arranging financing products, including financing, insurance and extended warranty contracts, to customers through various third-party financial institutions and insurance companies, was $0.6 million as compared to $0.7 million in 2024. The Company plans to increase the attachment rate of Azure with our boat sales and thereby growing the business internally.

 

Gross profit was $3.0 million compared to $2.9 million in 2024. Our gross profit as a percentage of sales increased slightly. Our boat sales gross profit increased $0.2 million as a result of our purchasing team’s skillful buying decisions for our pre-owned boat inventory. Finance related gross profit decreased $0.1 million.

 

Operating expenses were $2.7 million compared to $1.6 million in 2024. SG&A increased primarily because we added go-to-market capacity and public-company capabilities designed to support significantly higher revenue over the next several years.

 

Floor plan interest expense was $0.4 million compared to $0.3 million for 2024. Adjusted EBITDA was $0.5 million in the third quarter of 2025, versus $1.4 million in the same period in 2024.

 

GAAP diluted earnings per share for the third quarter in 2025 was ($0.003), compared to $0.048 in the same period in 2024.

 

Nine Month Financial Discussion

 

Revenue was $82.6 million as compared to $69.2 million in 2024, an increase of 19.3%. The revenue increase is primarily due to an increase in new and pre-owned boat sales. Revenue from boat sales increased 20.39%, to $80.7 million compared to $67.1 in 2024. The revenue increase is primarily attributed to our increased utilization of our floor plan financing facility. Revenue from arranging financing products, including financing, insurance and extended warranty contracts, to customers through various third-party financial institutions and insurance companies was $1.9 million as compared to $2.2 million for 2024.

 

Gross profit was $8.4 million as compared to $6.9 million in 2024, an increase of 20.8%. This increase was primarily driven by our increase in overall sales revenue, specifically our pre-owned boat segment. Our gross profit as a percentage of sales increased slightly. Boat sale gross profit was $7.3 million as compared to $5.6 million in 2024, an increase of 29.3%. Finance related gross profit was $1.1 million as compared to $1.3 million in 2024.

 

Operating expenses were $6.1 million as compared to $4.3 million in 2024. This increase includes one-time expenses such as IPO costs, and all fees associated for launching Autograph Yacht Group. This growth is broadly in line with our plan, and we expect SG&A as a percentage of revenue to decline over time as we realize operating leverage.

 

Floor plan interest expense was $1.4 million as compared to $0.7 million in 2024. Floor plan interest expense is increasing as we sell more boats and hold more inventory in order to give brokers and customers a wider selection of used boats.

 

Conference Call and Webcast

 

The Company will host an earnings conference call on December 15, 2025, at 4:30 P.M. Eastern time. All interested parties can join the call. To participate in the call, please dial (800) 715-9871 (domestic), or (646) 307-1963 (international). The conference passcode is 5863262. This call is being webcast and can be accessed using the conference passcode 5863262, on the Investor Relations section of the company’s website at https://investor.offthehookyachts.com/. The online replay will be available for a limited time beginning immediately following the call.

 

About Off The Hook YS Inc.

 

Founded in 2012, Off The Hook YS Inc. has become one of America’s largest buyers and sellers of pre-owned boats. Headquartered in Wilmington, North Carolina, with operations throughout the East Coast and South Florida, the Company acquires more than $100 million in boats and yachts annually. Off The Hook Yachts leverages AI-assisted valuation tools and a data-driven sales platform to bring speed and transparency to yacht transactions, supported by a nationwide network of offices and marinas offering brokerage, wholesale, and performance yacht sales. Customers can buy boats from our many boat brokers including Autograph Yacht Group, our premier yacht brokerage offering expert service, exclusive listings, and a refined approach to buying and selling yachts. They can finance them with our Azure Funding Division, our recreational loan broker and lender providing financing solutions for individuals, dealerships, and brokerages. Off the Hook Yacht Services provides high-quality maintenance, repair, and support services yacht servicing. Marine Asset Recovery provides asset recovery and repossession services. In addition to our company digital property, Boatsandbuyers.com and Webuyboats.com provide boat auction and lead generation services. To purchase a boat, explore our inventory or visit the Autograph Yacht Group website.

 

 
 

 

Cautionary Statement Regarding Forward-Looking Statements

 

This press release contains “forward-looking statements” that are subject to substantial risks and uncertainties. All statements, other than statements of historical fact, contained in this press release are forward-looking statements. Forward-looking statements contained in this press release may be identified by the use of words such as “anticipate,” “believe,” “contemplate,” “could,” “estimate,” “expect,” “intend,” “seek,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “target,” “aim,” “should,” “will” “would,” or the negative of these words or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements are based on Off The Hook YS Inc.’s current expectations and are subject to inherent uncertainties, risks and assumptions that are difficult to predict. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. These and other risks and uncertainties are described more fully in the section titled “Risk Factors” in the final prospectus related to the public offering filed with the Securities and Exchange Commission. Forward-looking statements contained in this announcement are made as of this date, and Off The Hook YS Inc. undertakes no duty to update such information except as required under applicable law.

 

Contacts:

 

Off The Hook YS, Inc.:

Chad Corbin

Chief Financial Officer

Ccorbin@offthehookys.com

 

Investor Contact:

John Evans, Riverside Capital

(415) 309-0230

IR@offthehookys.com

 

 
 

 

Appendix

 

OFF THE HOOK YS, INC.

Condensed Consolidated Balance Sheets

($ in thousands, except share and per share data)

 

   September 30, 2025   December 31, 2024 
   (Unaudited)   (Audited) 
ASSETS          
CURRENT ASSETS:          
Cash and cash equivalents  $2,267,564   $2,927,126 
Accounts receivable, net   244,400    104,317 
Inventory   24,015,983    22,593,422 
Prepaid expense   2,281,347    2,388,782 
Private label receivable   -    4,942 
Other current assets   368,117    840,401 
TOTAL CURRENT ASSETS   29,177,411    28,858,990 
           
NON-CURRENT ASSETS          
Property, plant and equipment, net   498,156    461,709 
Other receivable   43,366    42,192 
Private label receivable   -    185,550 
Due from related party   -    11,313 
Right-of-use assets   1,868,839    1,505,986 
Goodwill   570,000    570,000 
Intangible assets, net   456,111    - 
TOTAL NON-CURRENT ASSETS   3,436,472    2,776,750 
           
TOTAL ASSETS  $32,613,883   $31,635,740 
           
LIABILITIES AND STOCKHOLDERS’ EQUITY          
           
CURRENT LIABILITIES          
Accounts payable  $627,237   $962,725 
Accrued liabilities   519,204    507,284 
Lease liabilities, current   491,945    382,731 
Line of credit   2,842,682    2,833,400 
Current portion of long-term debt   219,321    137,468 
Due to related party   1,322,015    1,422,540 
Customer deposit   1,690,533    2,350,219 
Floor plan notes payable   23,478,756    20,595,517 
Other current liabilities   213,631    110,547 
Contingent liabilities   350,000    - 
TOTAL CURRENT LIABILITIES   31,755,324    29,302,431 
           
LONG-TERM LIABILITIES          
Long-term debt, noncurrent   67,924    229,295 
Lease liabilities, noncurrent   1,401,170    1,136,624 
TOTAL LONG-TERM LIABILITIES   1,469,094    1,365,919 
           
TOTAL LIABILITIES   33,224,418    30,668,350 
           
MEMBERS’ DEFICIT          
Common stock, with $0.001 par value, 100,000,000 number of common stocks authorized, 20,000,000 shares of common stocks issued and outstanding as of September 30, 2025, and December 31, 2024, respectively. *   20,000    20,000 
Additional paid-in capital   2,774,944    2,774,944 
Retained earnings   (3,405,479)   (1,827,554)
TOTAL MEMBERS’ EQUITY   (610,535)   967,390 
           
TOTAL LIABILITIES AND MEMBERS’ EQUITY  $32,613,883   $31,635,740 

 

 
 

 

OFF THE HOOK YS, INC.

Condensed Consolidated Statements of Income

($ in thousands, except share and per share data)

 

  

For the three months ended

September 30,

  

For the nine months ended

September 30,

 
   2025   2024   2025   2024 
                 
Revenues  $24,005,345   $25,865,198   $82,592,188   $69,225,871 
Cost of revenues   20,975,546    22,963,223    74,218,978    62,296,256 
Gross profit   3,029,799    2,901,975    8,373,210    6,929,615 
                     
Operating expenses:                    
Depreciation and amortization   87,162    68,760    210,372    206,787 
Selling, general and administrative   617,396    256,616    1,441,248    1,053,275 
Advertising and marketing   220,851    95,202    597,506    314,081 
Professional services   68,892    119,793    170,372    288,375 
Salaries and wages   1,513,401    941,514    3,113,964    2,148,143 
Rent expenses   211,689    126,459    596,250    313,514 
Total operating expenses   2,719,391    1,608,344    6,129,712    4,324,175 
                     
Income from operations   310,408    1,293,631    2,243,498    2,605,440 
                     
Other expenses:                    
Interest expense, net   (500,360)   (404,281)   (1,616,872)   (1,205,638)
Other income   123,286    71,118    150,323    272,672 
Total expenses   (377,074)   (333,163)   (1,466,549)   (932,966)
                     
Net Income (loss)  $(66,666)  $960,468   $776,949   $1,672,474 
                     
Basic and diluted net income per membership shares  $(0.003)  $0.048   $0.039   $0.084 
Basic and diluted weighted average membership shares outstanding   20,000,000    20,000,000    20,000,000    20,000,000 

 

*Par value of common stocks, additional paid-in capital and share data have been retrospectively restated to give effect to the reorganization that is discussed in Note 1.

 

 
 

 

OFF THE HOOK YS, INC.

Condensed Consolidated Statements of Cash Flows

($ in thousands, except share and per share data)

 

   For the nine months ended September 30, 
   2025   2024 
         
Cash flows from operating activities:          
Net income  $776,949   $1,672,474 
Adjustments to reconcile net loss to net cash used in operating activities:          
Depreciation and amortization   210,372    206,787 
Imputed interest   -    10,688 
Changes in operating assets and liabilities:          
Accounts receivable   (140,083)   (87,820)
Private label receivable   190,492    990,516 
Other receivable   (1,174)   (16,363)
Inventory   (1,422,561)   (5,553,367)
Prepaid expense   107,435    (217,016)
Other current assets   472,284    (779,428)
Due from related parties   11,313    (13,991)
Right-of-use assets   357,930    167,587 
Accounts payable   (335,488)   151,937 
Accrued liabilities   11,920    (92,090)
Customer deposits   (659,686)   105,202 
Other current liabilities   103,084    505,008 
Lease liabilities   (347,023)   (157,846)
           
Net cash used in operating activities   (664,236)   (3,107,722)
           
Cash flows from investing activities:          
Purchase of fixed assets   (202,930)   (47,220)
Acquisition of intangible assets   (150,000)   - 
           
Net cash used in investing activities   (352,930)   (47,220)
           
Cash flows from financing activities:          
Proceeds from line of credit   79,732    1,311,612 
Payment to line of credit   (70,450)   (592,440)
Member distribution   (2,354,874)   (835,111)
Proceed from short-term loan payable   -    108,855 
Payment to short-term loan payable   -    (70,000)
Proceed from floorplan notes payables   55,264,450    32,232,333 
Payment to floor plan notes payable   (52,381,211)   (26,474,162)
Proceed from long-term debt   59,428    311,748 
Payment to long-term debt   (138,946)   (364,633)
Proceeds from related party debts   12,020    1,336,455 
Repayments on related party debts   (112,545)   (1,753,157)
           
Net cash provided by financing activities   357,604    5,211,500 
           
Net change in cash   (659,562)   2,056,558 
           
Cash and cash equivalents, beginning of period  $2,927,126    1,654,631 
           
Cash and cash equivalents, end of period  $2,267,564   $3,711,189 
           
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:          
Cash paid for interest   1,617,156    1,194,950 
           
NON-CASH INVESTING AND FINANCING ACTIVITIES          
Establishment of ROU assets and liabilities  $720,783   $1,498,815 
Stock consideration recorded as contingent liability for assets acquisition  $350,000   $- 

 

 
 

 

Non-GAAP Financial Information

 

To supplement OTH’s financial information presented in accordance with generally accepted accounting principles in the United States of America, or GAAP, OTH presents certain financial measures that are not prepared in accordance with GAAP including adjusted EBITDA. These non-GAAP financial measures, which are defined below, should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. These non-GAAP financial measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similarly titled measures presented by other companies.

 

OTH is presenting these non-GAAP financial measures to assist investors in seeing OTH’s operating results through the eyes of management and because OTH’s believes that these measures provide a useful tool for investors to use in assessing OTH’s operating performance against prior period operating results and against business objectives. OTH uses the non-GAAP financial measures in evaluating its operating results and for financial and operational decision-making purposes.

 

The accompanying tables provide more detail on the GAAP financial measures that are most directly comparable to the non-GAAP financial measures described above and the related reconciliations between these financial measures.

 

Adjusted EBITDA

 

We define and calculate adjusted EBITDA as GAAP net income (loss) before interest income or expense, income tax (benefit) expense, depreciation and amortization, and further adjusted for the items as described in the reconciliation below. We believe this information will be useful for investors to facilitate comparisons of our operating performance and better identify trends in our business.

 

Adjusted EBITDA excludes certain expenses that are required to be presented in accordance with GAAP because management believes they are non-core to our regular business. These include, but are not limited to the following:

 

non-cash expenses, such as depreciation and amortization and stock-based compensation,
   
interest expense and income tax expense or benefit; and

 

The following tables present a reconciliation of adjusted EBITDA to our net (loss) income, which is the most directly comparable GAAP measure for the periods presented.

 

   For the three months ended
September 30,
   For the nine months ended
September 30,
 
   2025   2024   2025   2024 
Net (loss) income  $(66,666)  $960,468   $776,949   $1,672,474 
Interest expense, net   500,360    404,281    1,616,872    1,205,638 
Depreciation and amortization   87,162    68,760    210,372    206,787 
Adjusted EBITDA  $520,856   $1,433,509   $2,604,193   $3,084,899