Accounts Receivable

3 Months Ended

Dec. 31, 2022

Accounts Receivable [Abstract]

Accounts Receivable

5. Accounts Receivable

Accounts receivable primarily consists of trade accounts receivable, contracts in transit and manufacturer receivables. Trade receivables include amounts due from customers on the sale of boats, parts, service, and storage. Contracts in transit represent anticipated funding from the loan agreement customers execute at the dealership when they purchase their new or pre-owned boat. These finance contracts are typically funded within 30 days. Amounts due from manufacturers represent receivables for various manufacturer incentive programs and parts and service work performed pursuant to the manufacturers’ warranties.

The allowance for credit losses is estimated based on past collection experience, current conditions and reasonable and supportable forecasts. The activity for charges and subsequent recoveries is immaterial.

Accounts receivable consisted of the following:

($ in thousands)	December 31, 2022			September 30, 2022
Trade accounts receivable	$	43,143		$	37,359
Contracts in transit		15,044			14,543
Manufacturer receivable		6,365			7,224
Total accounts receivable		64,552			59,126
Less – allowance for credit losses		(939	)		(1,166	)
Total accounts receivable, net	$	63,613		$	57,960