Business
VSE Corporation Announces Third Quarter 2023 Results
Record Revenue and Profitability for Aviation Segment Raised Full-Year Revenue Guidance for Aviation Segment Positive Cash from Operations and Free Cash Flow
About this update from Vse Corporation
[{"type":"text","content":"\nRecord Revenue and Profitability for Aviation Segment\nRaised Full-Year Revenue Guidance for Aviation Segment\nPositive Cash from Operations and Free Cash Flow to Accelerate in the Fourth Quarter\n\n\n ALEXANDRIA, Va.--(BUSINESS WIRE)--\nVSE Corporation (NASDAQ: VSEC, \"VSE\", or the \"Company\"), a leading provider of aftermarket distribution and maintenance, repair and overhaul (\"MRO\") services for air and land transportation assets for commercial and government markets, announced today results for the third quarter 2023.\n\n\nTHIRD QUARTER 2023 RESULTS1\n\n\n(As compared to the Third Quarter 2022; excludes discontinued operations of Federal & Defense segment)\n\n\n\nTotal Revenues of $231.4 million increased 38.2%\n\n\n\n\nGAAP Net Income of $12.1 million increased 57.3%\n\n\n\n\nGAAP EPS (Diluted) of $0.80 increased 33.3%\n\n\n\n\nAdjusted EBITDA of $32.3 million increased 55.6%\n\n\n\n\nAdjusted Net Income of $13.8 million increased 74.6%\n\n\n\n\nAdjusted EPS (Diluted) of $0.92 increased 48.4%\n\n\n\n1 From continuing operations\n\n\nMANAGEMENT COMMENTARY\n\n\n“Third quarter results reflected record financial performance in our Aviation segment and continued progress and disciplined revenue growth and customer diversification in our Fleet segment,” said John Cuomo, President and CEO of VSE Corporation. “We delivered our fourth consecutive quarter of record revenue and profit in our Aviation segment, driven by strong program execution, continued market share gains, expansion of our product lines and service capabilities, and robust end-market activity. In our Fleet segment, we continue to grow and scale our commercial business with contributions from our newly opened Memphis distribution center of excellence, all while continuing to grow and support legacy fleets and customers.”\n\n\nSteve Griffin, CFO of VSE Corporation, commented, “We made strong progress against our financial and operating plans, which drove improved overall margins and cash flow in the third quarter. Our secondary equity offering in July, along with improved cash generation in the third quarter, allowed us to pay down debt and execute on two inorganic strategic growth initiatives, including a transformational investment with Honeywell. Our pro forma net leverage ratio was 3.7x at the end of the third quarter and is on track to improve to below 3.5x ...