THE STRONG 2013 performance of Destination Powersports in Punta Gorda, Fla., continued through its second month with a February earnings performance double that of the same period last year.
February sales were driven by solid increases in sales of new watercraft and ATVs, plus sales of used motorcycles. Total sales of new and used units were 57, up from 44 in February 2012. (Click chart for larger view.)
Unit sales generated a gross profit of $51,471 for the month, up from $43,604 last year.
“New powersports sales are driven very much by weather and OEM programs of the moment,” Bill Shenk says. “I really don’t know of any reason for the product mix changes year-over-year, since we did nothing different in terms of promotions. One thing that is different is that our used inventory mix overall continues to improve.”
During February the sales department created another $10,000 in profit from some units it picked up and ran through an auction at wholesale.
Earnings were $36,596 on total revenues of $535,130, up from earnings of $18,129 on total revenues of $387,872. Gross profit for February was $133,487, up from $104,183 last year.
So far, the dealership is well ahead of last year in sales and earnings. Total sales for January and February are $1,106,945, compared to only $787,198 for the same period last year. Two-month earnings were $78,935, more than double the $37,237 two-month earnings total posted last year.
Inventories in February were lower than last year — 255 units ($2,345,399) vs. 263 units ($2,108,107), respectively.
F&I also did well for the month, generating a gross profit of $22,569 — nearly double the $11,784 earned in February 2012. Twenty-eight units were financed in February, compared to 15 units last year. The F&I gain was $158 per unit sold at retail, and $61 of that was in finance reserve. (Continued)