Kingsway Financial Services Inc (KFS) Q3 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Roundhouse, Advanced Plumbing and Drain, and the HR team. We are excited to welcome all three to the KSX segment and to the Kingsway family. On August 14th, we completed our 12th KSX acquisition with the purchase of Southside Plumbing for a purchase price of $5.625 million plus a potential earn-out of up to $1.125 million for a total maximum purchase price of $6.75 million. At the time of acquisition, Southside Plumbing's unaudited pro forma annual revenue was $4 million, and its unaudited pro forma annual adjusted EBITDA was $900,000. Based in Omaha, Nebraska, Southside Plumbing is a leading provider of commercial and residential plumbing services. This transaction, which was sourced and led by Rob Casper, President of Skilled Trades, marks the third edition under our Kingsway Skilled Trades platform in 2025. We believe that Southside Plumbing has significant potential to accelerate growth through expanded marketing efforts and new service lines and to increase the proportion of sales that are recurring or reoccurring given the strong momentum in its service and repair operations. The Southside team has earned an exceptional reputation in its market for quality and service driving consistently robust growth in its core business. We are thrilled to partner with Josh Gruen, who is remaining with the company as president and maintaining an economic interest, ensuring an alignment of incentives and continuity of leadership. We look forward to supporting Josh and his team in upholding Southside Plumbing's longstanding legacy of excellence and reliability. Subsequent to quarter end, on October 20th, we welcomed Colter Hanson as our newest operator in residence, or OIR. His combination of military leadership, strategic consulting experience, and a passion for entrepreneurs...