Business
Energy Services of America Reports Fiscal Third Quarter 2024 Results
Records 510 Basis Point Improvement in Gross Margin and 13 Percent Sequential Increase in Backlog HUNTINGTON, W.Va., Aug. 12, 2024 /PRNewswire/ -- Energy
About this update from Energy Services Of America Corporation
[{"type":"text","content":"Records 510 Basis Point Improvement in Gross Margin and 13 Percent Sequential Increase in Backlog\nHUNTINGTON, W.Va., Aug. 12, 2024 /PRNewswire/ -- Energy Services of America Corporation (the \"Company\" or \"Energy Services\") (Nasdaq: ESOA), today announced its results for its fiscal third quarter ended June 30, 2024.\n\nThird Quarter Summary (1)\nRevenue of $85.9 million versus $85.5 millionGross profit of $15.3 million, a 41% increaseNet income of $17.5 million, or $1.06 per diluted share, compared to $3.4 million, or $0.21 per diluted share. This quarter's results include approximately $11.4 million net of estimated income tax expense, or $0.69 per diluted share, from a legal judgementAdjusted EBITDA of $10.8 million compared to $7.5 millionBacklog of $250.9 million compared to $222.8 million as of March 31, 2024(1) All comparisons are versus the comparable prior year period, unless otherwise stated.\n\"Our third quarter results, particularly our improved gross profit, reflect the underlying strength of the business and our ability to focus on projects with more favorable margin profiles,\" said Doug Reynolds, President. \"We added $28 million to our backlog compared to the second quarter and continue to identify and hire the right employees to effectively manage these additional projects.\"\n\"We continue to experience very favorable tailwinds across the industries we serve and believe this trend will continue well into fiscal 2025. We reduced our debt by almost $14 million in the quarter and our strong balance sheet will allow us to continue to be opportunistic with acquisitions. Overall, we are very optimistic about the prospects for our business over the coming quarters and believe we are well-positioned to deliver long-term value to our shareholders,\" Mr. Reynolds concluded.\"\nThird Quarter Fiscal 2024 Financial Results \nTotal revenues for the period were $85.9 million, compared to $85.5 million in the third quarter of fiscal 2023. Increased work within the Gas & Water Distribution and Electrical, Mechanical and General business lines was mostly offset by lower revenue within the Gas & Petroleum Transmission segment.\nGross profit was $15.3 million, compared to $10.9 million in the prior-year quarter. Gross margin was 17.8% of revenues, compared to 12.7% of revenues in the third quarter of fiscal 2023. The increase ...