Capstone Reports Q2 2025 Results: Gross Margin Up to 24.4%; First Acquisition Nears Close

About this update from Capstone Holding Corp.

[{"type":"text","content":"NEW YORK, NY / ACCESS Newswire / August 15, 2025 / Capstone Holding Corp. (NASDAQ:CAPS) today announced its second quarter 2025 financial results and strategic highlights, including substantial gross margin expansion and that it has executed an agreement today that it expects to close in the next 10 days for its first acquisition. The acquisition of a Carolina Based Stone Company will be immediately accretive and extend the company's reach into the high-growth Southeast market and expand Instone's distribution platform.","length":533,"tagName":"p"},{"type":"text","content":"Q2 2025 results reflect continued execution on the Company's strategy of organic growth, margin expansion, and earnings-accretive acquisitions. The team is focused on delivering on our target of a $100M revenue run-rate by year-end 2025 or Q1 2026.","length":252,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"First Acquisition Nears Close: The acquisition agreement for a Carolina Based Stone Company has been executed and is expected to close in the next 10 days. It will be immediately accretive to both revenue and EBITDA. This strategic transaction strengthens Capstone's market presence in North Carolina - a gateway to the high-growth Southeast region - and adds premium brands with strong margin expansion potential to the Company's portfolio.","length":449,"tagName":"p"}]}],"tagName":"ul","bulletedList":true,"length":449,"olType":false},{"type":"list","items":[{"val":[{"type":"text","content":"Strong Margin Growth: Gross margins expanded from 21.4% to 24.4% year-over-year, reflecting both increased sales of owned brands and disciplined cost management. This 310 basis-point margin expansion highlights Capstone's ability to drive profitability. SG&A remains on track at approximately $8.5 million annualized, supporting the Company's EBITDA growth objectives.","length":380,"tagName":"p"}]},{"val":[{"type":"text","content":"Active, Favorable Pipeline: Multiple additional acquisition targets are under review at attractive 4-6× EBITDA valuations, with 20-45% of each deal's consideration in non-cash consideration. At least one more acquisition is projected to close by year-end 2025, further supporting Capstone's growth pipeline.","length":315,"tagName":"p"}]},{"val":[{"type":"text","content":"Flexible C...

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