RumbleON (RMBL) investor relations material

Executive summary

• Revenue for Q2 2025 declined 11% year-over-year to $299.9M, with a net loss of $32.2M, including a $34M franchise rights impairment; adjusted EBITDA rose 6.2% to $17.2M due to cost discipline and operational improvements.

• Company rebranded to RideNow Group, Inc., relocated headquarters to Arizona, and changed ticker symbol to RDNW effective August 13, 2025.

• Powersports segment remains the main revenue driver, with new unit sales down 11.5% and pre-owned up 10.2%, partially offsetting lower overall sales.

• Vehicle transportation services revenue dropped 91.4% to $1.3M due to broker departures and industry-wide volume declines.

• Cost savings initiatives reduced SG&A expenses, but legal, management transition, and impairment charges increased non-recurring costs.

Financial highlights

• Q2 2025 revenue: $299.9M (down 11% year-over-year); gross profit: $83.9M (down 6.7%); adjusted EBITDA: $17.2M (up 6.2%).

• Net loss for Q2 2025: $32.2M, including a $34M franchise rights impairment; operating loss: $18.8M.

• Adjusted SG&A expenses were $64.9M (77.4% of gross profit), down $5.9M year-over-year.

• Cash and restricted cash at June 30, 2025: $59.8M; total available liquidity: $185.7M.

• Free cash flow for the first half was $1.1M, down from $28.2M year-over-year.

Outlook and guidance

• Management expects vehicle transportation services volume to remain substantially lower for the rest of 2025 due to ongoing broker hiring.

• Company sees signs of stabilization and recovery in new and pre-owned vehicle pricing, with improved consumer confidence following tax reforms.

• Cost savings initiatives will continue, focusing on professional fees and facilities costs.

• Exploring new B2C opportunities in vehicle transportation to diversify revenue streams.

• Current liquidity is expected to be sufficient for at least the next twelve months, but additional financing may be needed depending on business conditions.