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EnviroStar(EVI) - 2025 Q3 - Quarterly Results
EVIEnviroStar(EVI)2025-05-12 21:00

Revenue and Profitability - Revenue for the three-month period increased by 11% to 93.5millioncomparedto93.5 million compared to 84.0 million, while revenue for the nine-month period increased by 6% to a record 280million[3].−Grossprofitforthethree−monthperiodincreasedby9280 million[3]. - Gross profit for the three-month period increased by 9% to a record 28.1 million, and for the nine-month period, it increased by 8% to a record 84.4million[3].−AdjustedEBITDAforthethree−monthperiodincreasedto84.4 million[3]. - Adjusted EBITDA for the three-month period increased to 5.1 million, or 5.4%, and for the nine-month period, it increased to 17.8million,or6.417.8 million, or 6.4%[3]. - Revenues for the nine months ended March 31, 2025, increased to 279.874 million, up 6.0% from 263.417millionforthesameperiodin2024[18].−GrossprofitfortheninemonthsendedMarch31,2025,was263.417 million for the same period in 2024[18]. - Gross profit for the nine months ended March 31, 2025, was 84.432 million, representing a gross margin of 30.2%, compared to 77.884millionandagrossmarginof29.677.884 million and a gross margin of 29.6% for the same period in 2024[18]. - Net income for the nine months ended March 31, 2025, was 5.401 million, a 50.7% increase from 3.579millionintheprioryear[18].−AdjustedEBITDAfortheninemonthsendedMarch31,2025,was3.579 million in the prior year[18]. - Adjusted EBITDA for the nine months ended March 31, 2025, was 17.816 million, compared to 16.424millionforthesameperiodin2024,reflectingan8.516.424 million for the same period in 2024, reflecting an 8.5% increase[23]. - Operating income for the nine months ended March 31, 2025, was 9.654 million, a 21.1% increase from 7.976millioninthesameperiodof2024[18].CashFlowandLiquidity−Operatingcashflowforthethree−monthperiodwas7.976 million in the same period of 2024[18]. Cash Flow and Liquidity - Operating cash flow for the three-month period was 9.1 million, and for the nine-month period, it was 11.3million[3][10].−Thecompanymaintainedover11.3 million[3][10]. - The company maintained over 175 million in available liquidity, with a revolving credit facility increased to 200million[10].−Thecompanyreportedanetcashprovidedbyoperatingactivitiesof200 million[10]. - The company reported a net cash provided by operating activities of 11.325 million for the nine months ended March 31, 2025, down from 20.276millionintheprioryear[20].−Cashattheendoftheperiodwas20.276 million in the prior year[20]. - Cash at the end of the period was 5.913 million, an increase from 4.558millionatthebeginningoftheperiod[20].AcquisitionsandGrowth−Thecompanycompletedthreeacquisitions,includingGirbauNorthAmerica,whichisexpectedtosignificantlyenhancerevenueandoperatingprofit[3][4].−ThecompanycompletedtheacquisitionofGNAonApril1,2025,withproformainformationreflectingtheacquisitionasifcompletedonJanuary1,2024[17].−Thecompanyhasestablishedacompoundedannualgrowthrateinrevenue,netincome,andadjustedEBITDAof314.558 million at the beginning of the period[20]. Acquisitions and Growth - The company completed three acquisitions, including Girbau North America, which is expected to significantly enhance revenue and operating profit[3][4]. - The company completed the acquisition of GNA on April 1, 2025, with pro forma information reflecting the acquisition as if completed on January 1, 2024[17]. - The company has established a compounded annual growth rate in revenue, net income, and adjusted EBITDA of 31%, 18%, and 28%, respectively, since 2016[2]. Expenses and Debt - Selling, General and Administrative expenses increased by 10% for the three-month period, driven by higher commissionable sales and integration costs from acquisitions[7]. - Long-term debt increased to 24.000 million as of March 31, 2025, compared to 12.903millionasofJune30,2024,reflectingasignificantriseinleverage[19].DigitalTransformation−EVI′sdigitaltransformationinitiativeincludesthedeploymentofanadvancedFieldServiceManagementplatformutilizedbyover425serviceprofessionals[8].Assets−TotalassetsasofMarch31,2025,were12.903 million as of June 30, 2024, reflecting a significant rise in leverage[19]. Digital Transformation - EVI's digital transformation initiative includes the deployment of an advanced Field Service Management platform utilized by over 425 service professionals[8]. Assets - Total assets as of March 31, 2025, were 251.790 million, up from $230.659 million as of June 30, 2024, indicating a growth of 9.1%[19].