RumbleON Inc Q2 2025 Earnings: Revenue Surpasses Estimates, EPS Misses with Larger-than-Expected Loss

RumbleON Inc reported Q2 2025 revenue of $299.9 million, surpassing estimates, but down 11% YoY. The company faced a net loss of $32.2 million, including a $34 million impairment charge. Adjusted EBITDA rose to $17.2 million, a $1 million increase YoY. RumbleON Inc is rebranding and relocating its headquarters, and amended its credit facility to extend the term loan maturity to September 30, 2027.

RumbleOn Inc reported its Q2 2025 financial results, showing a 11% year-over-year (YoY) decline in revenue to $299.9 million, which still surpassed analyst expectations. The company faced a net loss of $32.2 million, primarily due to a $34 million impairment charge related to franchise rights. Despite the revenue decline, adjusted EBITDA rose to $17.2 million, marking a $1 million increase from the same quarter last year. The company also announced significant strategic changes, including a rebranding to RideNow Group Inc., relocation of its headquarters, and an amendment to its credit facility.

The revenue decline was driven by a 590 unit decrease in powersports sales and a $13.9 million decrease in vehicle transportation services revenue. However, the company's adjusted EBITDA improved due to lower year-over-year sales volumes and strong cost discipline. Gross profit increased by $700,000 in the powersports segment, offsetting volume declines, with new unit gross margins improving to 13.2% and pre-owned gross margins rising to 18.8%.

RumbleOn Inc's CEO, Michael Quartieri, emphasized the company's focus on operational discipline and strategic changes to drive long-term value creation. The company is rebranding to RideNow Group Inc., with the ticker symbol changing to RDNW, and relocating its headquarters back to Chandler, Arizona. Additionally, the company amended its term loan agreement to extend the maturity by 13 months to September 30, 2027, providing the runway needed for business improvement initiatives.

Analysts remain cautiously optimistic about RumbleOn Inc, with the average rating on the shares being "hold" and the breakdown of recommendations being 1 "strong buy" or "buy", 2 "hold", and no "sell" or "strong sell". The median 12-month price target for RumbleOn Inc is $3.00, about 33.3% above its August 8 closing price of $2.00.

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_PLX1899E9:0-rumbleon-q2-revenue-falls-11-but-beats-expectations/
[2] https://seekingalpha.com/article/4812383-rumbleon-inc-rmbl-q2-2025-earnings-call-transcript