Andrew Crum: Got it. Okay. And then just a follow-up to that. Can you comment on what you saw in terms of performance for premium versus value brands at your stores during the quarter? I think there’s been this kind of ongoing narrative or observation that premium has outperformed value over the last several periods. What did you see in the quarter? And how did premium perform relative to your expectations?
Michael McLamb: I can comment consistent that premium is performing better. I mean — when you look at the industry, October, November and December, so October was up from an industry perspective. November was actually down a little bit and December was down a little bit more. If you unpack that, fiberglass boat sales in November and December were down about double digit, 9% or 10%. And if you unpack that further within that, based on some of the data we’ve looked at, the premium business did better than the entry-level business, if you will, the value business. So I think that thesis continues, and that’s always been we’ve seen through all the different cycles and all the different years we’ve been doing this.
William McGill: Yes. And I think to add to that, I think that the premium segment is holding up well, but people need discounting there like we said in our comments that they’re needing that incentive to create the urgency, but they’re still active buyers.
Operator: Our next question is from Joe Altobello with Raymond James.
Joseph Altobello: Brett, I just wanted to go back to that comment you just made about incentivizing buyers. It seemed like things kind of went sideways in November which is usually a small one for both retail anyway. So how do we know if this is not just normal seasonality coming back rather than any shift in demand?
William McGill: Yes. I think typically the way a quarter lays out is November is smaller than October and December smaller than November, but we had to reverse around clearly seasonality weighs in on it to create some urgency for people to get moving a boat now. But I think just the market, people are looking for incentives to make a move because there were so many years of not having it and you’re seeing it out in the marketplace. Mike, do you want to add anything?
Michael McLamb: Yes, I think the point is it’s a good point. It’s like when you look at even the industry data comments that I made about it being down double digit, is it — how much of that is seasonality? How much of that is funk in the marketplace, if you will, economic issues, how much of it is the need for urgency? I don’t think we know those answers right now, Joe. I know it’s pretty clear, people want to get into boat, you can see from our results that we drove positive same-store sales growth, including unit growth in a quarter. Granted, it cost us a little bit of margin, but people are happy with the product.
Joseph Altobello: Okay. Got it. And you also mentioned that you were pleased with the support that you’re seeing from your manufacturing partners. Would you expect to continue to see that support and maybe even greater support into the spring and summer selling season?
William McGill: Yes. Our manufacturers have really stepped up. I kind of always have. I think we just got really proactive in the quarter in December. We wanted to not wait and see what happened, but make a move. And — but all of our manufacturers, we work really closely with, and they’re working with us to see what they can do to help.
Michael McLamb: In fairness, the December quarter is usually not one. And specifically November and December is usually not one where the manufacturers are — they’re not normally thinking to launch an incentive then. So when we went to them and said, “Hey, just given what we’re seeing at retail, we can certainly use some of your support.” And they did all they could in a quick period of time, but just not as much as we would have wanted them to do in many cases and certainly not what they’re doing today. The rest of the season is when there’s typically some type of reason to buy in the industry, and that’s what we’re seeing now.
Joseph Altobello: Okay. Just one last one, if I could. You mentioned that there are some categories that are heavy on inventory in the industry. I mean we’ve heard skiway is a little bit heavy. Are there other categories where there’s a little bit too much supply?
Michael McLamb: You touched on skiway.
William McGill: Yes. I think the rest of the categories, it’s probably a model-by-model or size basis, it’d be too hard to categorize it.
Michael McLamb: Aluminum pontoons, products like that it’s probably a little heavy still, although it’s cleaning up relatively fast. And actually, the industry is cleaning up relatively fast. I do want to state that the manufacturers, there’s a lot of them that are public now and you can see what they’ve done, the dealers are trying to order the right level of product, which I think everybody is. I think while inventories are still elevated, the manufacturers are doing a great job bringing down production. So the outlook for the industry, if you talk to the folks who finance the inventory in the industry, they all feel pretty good about where inventories will be as we get through March and maybe even into the June quarter, inventories will continue to come in line. The amount of product being shipped to dealers is much, much lower than it was originally forecasted to be.
Operator: Our next question is from Mike Swartz with Truist Securities.
