• Revenues for the third quarter of 2020 were $215.7 million; up $57.3 million, or 36.2%, versus 2019. Revenue from sales of Recreational Vehicles ("RVs") was $194.6 million for the third quarter of 2020, up $55.7 million, or 40.1%, versus 2019. Unit sales excluding wholesale units, were 2,595 for the quarter, up 660 units, or 34.1% versus 2019. New and preowned RV sales revenues were $130.3 million and $64.2 million for the quarter, up 50.1% and 23.5% respectively compared to 2019.
• Gross profit for the quarter was $49.3 million; up $18.8 million, or 61.5%, versus 2019. Gross profit, excluding last-in-first-out ("LIFO") adjustments, was $47.9 million, up $16.5 million, or 52.3%, versus 2019. Gross margin excluding LIFO adjustments increased between the two periods, to 22.2% in 2020 from 19.9% in 2019, with the change attributable to improved RV sales margins and mix of business. This gross profit comparison reflects a $2.3 million net difference in LIFO adjustments between the two periods.
• Selling, General and Administrative expense ("SG&A") which excludes transaction costs, stock-based compensation, and depreciation and amortization, for the third quarter of 2020 was $28.6 million, up $3.0 million compared to the prior year. This increase is attributable to the additional overhead expenses associated with The Villages dealership acquired in August 2019, the service center near Houston that started up operations in mid-February 2020, the Phoenix dealership acquired in May 2020 and increased performance wages driven by the higher unit sales and revenue, partially offset by overhead cost reduction actions taken in April 2020.
• Adjusted EBITDA, a non-GAAP financial measure, was $19.0 million for the third quarter of 2020, up $13.7 million compared to 2019. This is another record high quarterly Adjusted EBITDA for Lazydays, beating the recently set previous record of $14.9 million in the second quarter of 2020.
• Net income for the third quarter of 2020 was $11.6 million, or 55¢ per share, as compared to net loss of $2.5 million, or 41¢ per share, in 2019. This $14.1 million net improvement was primarily the result of incremental profits driven by the growth in sales, the reduced amortization of stock based compensation, as well as a $0.6 million decrease in interest expense.
• As of September 30, 2020, cash was $81.7 million, up $50.2 million from December 31, 2019.
• Year over year demand and margins in October 2020 continued to be strong, and manufacturers are shipping product to us at levels that are slightly ahead of retail sales.

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Lazydays, The RV Authority®, is an iconic brand in the RV industry. Home of the world's largest recreational dealership, based on 126 acres outside of Tampa, Florida, Lazydays has nine dealership locations in Arizona, Colorado, Florida, Indiana, Minnesota, and Tennessee.  Lazydays also has a dedicated Service Center location in Texas. Offering the nation's largest selection of leading RV brands, Lazydays features over 3,000 new and pre-owned RVs, more than 400 service bays and two on-site campgrounds with over 700 RV campsites. In addition, Lazydays RV Accessories & More™ stores offer thousands of accessories and hard-to-find parts at dealership locations.

Since 1976, Lazydays has built a reputation for providing an outstanding customer experience with exceptional service and product expertise, along with being a preferred place to rest and recharge with other RVers. Lazydays consistently provides the best RV purchase, service, and ownership experience, which is why RVers and their families keep returning to Lazydays year after year, calling it their "home away from home."

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.  All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements.  Forward-looking statements describe Lazydays future plans, projections, strategies and expectations, including statements on expected customer demand, sales, margins, and OEM shipments, are based on assumptions and involve a number of risks and uncertainties, many of which are beyond the control of Lazydays. Actual results could differ materially from those projected due to various factors, including economic conditions generally, conditions in the credit markets and changes in interest rates, conditions in the capital markets, the global, national and local impact of the pandemic outbreak of coronavirus (COVID-19) and other factors described from time to time in Lazydays SEC reports and filings, which are available at www.sec.gov. Forward-looking statements contained in this news release speak only as of the date of this news release, and Lazydays undertakes no obligation to update these forward-looking statements to reflect subsequent events or circumstances, unless otherwise required by law.

We use certain non-GAAP financial measures, such as EBITDA, Adjusted EBITDA, and Adjusted EBITDA Margin to enable us to analyze our performance and financial condition. We utilize these financial measures to manage our business on a day-to-day basis and believe that they are useful measures of performance as they reflect certain operating drivers of the business, such as sales growth, operating costs, selling and administrative expense and other operating income and expense. We believe that these supplemental measures are commonly used by analysts, investors and other interested parties to evaluate companies in our industry. We believe these non-GAAP measures provide expanded insight of the underlying operating results and trends and overall understanding of our financial performance and prospects for the future. The presentation of non-GAAP financial information should not be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.

Our use of EBITDA, Adjusted EBITDA, and Adjusted EBITDA Margin may not be comparable to other companies within the industry due to different methods of calculation. We compensate for these limitations by using each of EBITDA, Adjusted EBITDA, and Adjusted EBITDA Margin as only one of several measures for evaluating our business performance. In addition, capital expenditures, which impact depreciation and amortization, interest expense, and income tax expense, are reviewed separately by management. We may incur expenses in the future that are the same or similar to some of those adjusted in this presentation.