Business
DLH Reports First Quarter Fiscal Year 2020 Results
Executing on Plans to Grow Business, Reduce Interest, and Strengthen Company Fundamentals ATLANTA, Feb. 05, 2020 (GLOBE NEWSWIRE) -- DLH Holdings Corp.
About this update from Dlh Holdings Corp.
[{"type":"text","content":"Executing on Plans to Grow Business, Reduce Interest, and Strengthen Company Fundamentals\n ATLANTA, Feb. 05, 2020 (GLOBE NEWSWIRE) -- DLH Holdings Corp. (NASDAQ: DLHC) (“DLH” or the “Company”), a leading provider of innovative healthcare services and solutions to federal agencies, today announced financial results for its fiscal first quarter ended December 31, 2019. Highlights Revenue was $52.2 million and $33.8 million for the three months ended December 31, 2019 and 2018, respectivelyOperating income was $3.1 million for the first quarter versus $2.6 million for the prior-year periodEarnings of $1.6 million, or $0.12 per diluted share, for the first quarter of fiscal 2020 versus $1.7 million, or $0.13 per diluted share, for the prior-year period, reflecting the impact of interest expense on acquisition debt and amortization of acquired intangible assets Management Discussion“The fiscal first quarter of 2020 demonstrated, once again, the resilience of our business model and longstanding demand for the services we provide, as well as our commitment to streamlining operations where appropriate,” stated DLH President and Chief Executive Officer Zach Parker. “Revenue rose significantly year-over-year, reflecting the inclusion of S3, and we posted EBITDA of $5.0 million. We continue to focus on new business development, broadening the Company's capabilities, and strengthening our position in health IT solutions and data analytics. As such, our bid pipeline remains active, and we believe DLH is on track to deliver solid results this fiscal year.\" Results for the Three Months Ended December 31, 2019Revenue for the first quarter of fiscal 2020 was $52.2 million versus $33.8 million in the prior-year period. The increase in revenue is due primarily to the $17.3 million contribution from the new Social & Scientific Systems unit (\"S3\"), while the Company's legacy operations grew modestly year-over-year. Income from operations was $3.1 million for the quarter versus $2.6 million in the prior-year period and, as a percent of revenue, the Company reported an operating margin of 6.0% in fiscal 2020 versus 7.6% in fiscal 2019, The lower margin year-over-year was primarily due to increased depreciation and amortization, including amortization of acquired intangibles in the S3 transaction. Interest expense in the quarter was $0.9 million, v...