News — DIY

Polaris Industries Looks to Make a Splash in Pontoon Boats

By: Motley Fool

The powersports vehicle maker looks to reenter the water market after leaving over a decade ago.

After a 14-year hiatus, Polaris Industries (NYSE:PII) is taking the plunge into watersports again by acquiring pontoon boat maker Boat Holdings for $805 million cash.

The powersports vehicle manufacturer exited the industry in 2004, selling both its personal watercraft (PWC) vehicles and powerboats because of changing industry dynamics. Rising costs and a lack of "commonality" with its existing powersports business led to the exit.

The market has apparently shifted once more as Polaris now says its customer base has a lot in common with boating -- 30% of them also own a boat. Buying Boat Holdings immediately catapults Polaris to the top of the pontoon market because it commands 26% of the industry.

Making waves

The boat market has been soaring. The U.S. powerboat market is an $8 billion opportunity, with pontoons one of the largest and fastest-growing segments. Polaris points out that pontoon sales have grown at an 11% compounded annual rate since 2010, though it may be starting to slow.

According to Statistical Surveys says the pontoon market grew 7.2% last year, but notes that some markets like Houston were devastated by Hurricane Harvey and finished down for the year. Prior to the storm, however, sales had been positive and many large markets still enjoyed double-digit growth. Fort Wayne, Indiana, for example surged over 22% for the year.

Pontoon boats are a versatile vessel as they can be used for fishing, sports, cruising, and day trips. That latter part is key because rival boatmaker Brunswick (NYSE:BC) -- which Polaris used to have a business relationship with when it was in the marine market -- says that overnight trips with boats are fading. Industry site Boat Industry quotes Brunswick's freshwater boat group President Jeff Kinsey as saying, "There's been a clear shift toward day boating, and that speaks directly to the pontoon with its seating capacity, its open space, its amenities and its comfort."

National Marine Manufacturer's Association data that shows where pontoon boat market share has remained steady at around 20% of the market for the past five years, cruisers with overnight facilities have just a 3.2% of the market.

Riding the rising tide

Boat Holdings generated $560 million in revenue last year with earnings before interest, taxes, depreciation, and amortization (EBITDA) of $75 million. Polaris says that if you take into account the net present value of the tax benefits from the deal of $100 million, the purchase price represents a multiple of approximately 9.5 times Boat Holdings' EBITDA. The deal is expected to add $0.10 per share to Polaris' earnings depending on how sales do over the next few months.

Polaris has been eyeing a return to the marine market for four or five years, but couldn't find the right spot to jump in. That changed with Boat Holdings, which was originally explored last year, though Polaris CEO Scott Wine said the opportunity wasn't right then.

Boat Holdings brings with it four brands: its top-selling Bennington, which generates 70% of the company's sales; Godfrey, the third best-selling pontoon brand; Hurricane, the leading deck boat brand; and Rinker, manufacturer of sterndrive and outboard powered runabouts and cruisers.

The latter will put Polaris in competition with leading powerboat manufacturer Malibu Boats(NASDAQ:MBUU), which last year bought Cobalt Boats, the top maker of 24- to 29-foot sterndrive boats.

While the acquisition brings Polaris Industries back into the marine market, it really is a different one than it left a decade and a half ago. It's a different demographic that buys pontoons compared to those buying personal watercraft vehicles like Kawasaki's JetSki or Bombardier's Sea-Doo. 

Millennials are targeted by PWC dealers, but boat registration tracking firm Info-Link Technologies says younger families are buying pontoons and baby boomers are selling their PWCs.

Yet with the biggest manufacturer in the fastest-growing boating segment, Polaris should be able to make a big splash once again. 

For all your accessories and/or vinyl flooring visit Pontoon Depot's shop site. 

Family-Owned & Operated Self Creek Lodge & Marina...

By: Self Creek

Pic By: Southern Fishing Boats

...on Lake Greeson is proud of its heritage of offering the most dedicated staff at one of the finest of Arkansas lake resorts. If you’re looking for a vacation in Arkansas, our Lodge & Resort is your answer.

Everything is in place for Self Creek Lodge and Marina to offer our guests a wonderful family vacation in Arkansas at Lake Greeson. We offer year-round events and activities to make your lakeside vacation memorable, fun, and carefree. Our marinastore offers over 2,400 square feet of display and retail area – there’s even a cozy dining area where guests can look out onto the lake and enjoy a plump juicy hot dog fresh off the grill, a delicious pizza, or other great lake snacks. Fishing supplies, lake necessities, sportswear, marine and boating supplies are offered as well as fuel, bait and ice. Friendly and helpful staff greet guests at the fueling tee or behind the spacious oak counter. Outside, a cool, shady patio beckons with comfortable, lake-side seating – the perfect perch for enjoying ice cream!

The resort offers a wide range of covered and uncovered slips for boat storage of every size in a clean, well-maintained marina basin. A full rental fleet includes late model party barges and ski boats.

From across the water, cozy, Arkansas lakeside cabins offer lakers a peek at casual, rustic luxury. The cabins feature spacious rooms, a stone fireplace, fully equipped kitchen and beautiful furnishings in an eclectic blend of antiques and comfortable, contemporary pieces. From the beautiful area rugs and unique accessories and artwork in each unit to the bubbling hot tubs on the back decks, these Arkansas lakeside cabins have been designed to offer every comfort and delight for visitors to the lake.

Jim and the Self Creek staff are eager to welcome you to their home on Lake Greeson! Jim, Lori and family live on the grounds to offer visitors the kind of warm, personal service that makes Self Creek one of the most popular of all Arkansas lake resorts, and one of  the top choices by families across the South.

Self Creek Lodge and Marina is part of the Tri-Pennant Family of Resorts, spanning two other Arkansas wilderness lakes and offering more of the premier luxury that you’re used to at Self Creek. Visit Iron Mountain Lodge and Marina on nearby DeGray Lake, and don’t miss Mountain Harbor Resort and Spa on nearby Lake Ouachita. All three resorts within the Tri-Pennant Family offer the same excellent customer service and memorable destination vacation experience that you deserve in a vacation. The families of the Tri-Pennant Families love to serve yours – and treat you like their own.

For all your accessories and/or vinyl flooring visit Pontoon Depot's shop site.

If You’re Wondering What The Benefits of Owning a Pontoon Are...

By: Pontoon-Depot, Amy Cabanas

...look no further!

Here are the top five reasons: 

1. PLENTY OF STORAGE

Pontoon boats are more spacious than speed boats or other motorized boats, so there’s more places for storage. Typically, pontoon boats have plenty of space under seats and floors for extra blankets, food, water, life jackets and water toys. In addition, pontoon boats usually seat more people than a traditional boat, typically big enough to fit more than 10 people comfortably. 

2. EASY FOR BEGINNERS AND FAMILIES

In addition to having more space for families, pontoons are perfect for beginning boaters. They’re easy to drive and simple to dock because of the shape and speed of the boat. Because of their size, pontoon boats are also safe, because they are difficult to flip or tip. 

3. LONGER LIFESPAN

Pontoon boats have a longer lifespan than motorized boats for a couple reasons. In addition to being easier to maintain, pontoon boats generally don’t change much over time. This means, there’s not a reason to update every few years. They are also typically less expensive to insure, because they are considered a very safe style of boat. 

4. PLENTY OF CUSTOMIZATION OPTIONS

There may not be a reason to update to a new pontoon boat over time, but there are still plenty of ways to customize your boat to make it your own. You can add LED lights, speakers, additional seating and even toys such as inflatable water slides or tubes! The possibilities are endless. 

5. PERFECT FOR EVERYTHING

Regardless if you’re planning to use your new boat for fishing or entertaining, pontoon boats are very versatile. The right kind of pontoon boat can even be used to pull inner tubes or other floaties! 

Are you ready to start researching DIY projects on your pre-owned Pontoon boat? Contact our Pontoon-Depot team today for your flooring and boating accessories options to get started!

For all your accessories and/or vinyl flooring visit Pontoon Depot's shop site.

The Best Props For a Pontoon Boat | Gone Outdoors

By: Gone_Outdoors

Pontoon boats carry passengers and cargo. Large, flat-bottomed boats, pontoon boats are sometimes called party boats because of the number of people they can accommodate. Because of their unique design and purpose, it is important to carefully select propellers, or props, for your pontoon boat. There are several factors to consider when searching for the best prop for your pontoon boat, including sufficient thrust and turning ability among other things.