Business
Great Elm Capital Group, Inc. Reports Second Quarter 2020 Financial Results
Year-over-year DME revenue growth in major product categoriesNew patient setups continue to grow in key PAP and ventilator segments, each hitting new highs in
About this update from Great Elm Group, Inc.
[{"type":"text","content":"Year-over-year DME revenue growth in major product categoriesNew patient setups continue to grow in key PAP and ventilator segments, each hitting new highs in the quarter ended December 31, 2019Investment Management reports management fee revenue of $0.8 million in the quarter ended December 31, 2019, approximately flat year-over-year WALTHAM, Mass., Feb. 10, 2020 (GLOBE NEWSWIRE) -- Great Elm Capital Group, Inc. (NASDAQ: GEC, “Great Elm”) announced its financial results for the quarter ended December 31, 2019. Great Elm will host a conference call and webcast on Monday, February 10, 2020 at 8:00 a.m. Eastern Time to discuss its second quarter 2020 financial results. Please see below for details.\n Select highlights from the second quarter 2020 include: Operating Companies: For the three months ended December 31, 2019, $14.4 million of revenue, $0.7 million of net loss and $3.5 million of adjusted EBITDA1Invested heavily in people, processes and technology to enhance our scalable infrastructure, capable of supporting multiple acquisitions per yearManagement team has identified a large number of potential acquisition targets with strong product fitOutlook for continued growth in fiscal year 2020 underpinned by revenue growth in PAP category Investment Management: For the three months ended December 31, 2019, $0.9 million of revenue, net income of $0.005 million and $0.3 million of adjusted EBITDAFor the six months ended December 31, 2019, $0.7 million of adjusted EBITDA up 273% vs. $0.2 million during the same period in the prior yearFor the three months ended December 31, 2019, management fees of approximately $0.76 million roughly unchanged, year-over-yearOutlook for continued free cash flow growth in fiscal year 2020 based on an increase in management fee revenue “At Great Elm DME, we are pleased with both the sequential and year-over-year revenue growth. Profitability grew meaningfully this quarter, as compared to the prior two quarters during which we began significant infrastructure investments necessary to enhance our scalable platform,” remarked Peter A. Reed, Great Elm’s Chief Executive Officer. “Furthermore, we believe our Investment Management business is poised for continued free cash flow growth.” Alignment of Interest The employees of Great Elm and Great Elm Capital Management, Inc. (“GECM”) collectively own approxi...