First America Resources reported fiscal 2025 revenue of $18.79 million, up 15.9% year-over-year, while basic and diluted earnings per share were $0.00 on 87,964,090 weighted average shares. The company posted net income of $0.0028 million, aided materially by a $346,000 Employee Retention Credit, and recorded a slight operating loss as costs to scale operations increased. Gross profit was $10.345 million with a 55.1% margin, modestly compressed by mix, logistics and onboarding expenses.
Financial Highlights
- Revenues: $18.79 million, up $2.584 million (15.9%) versus 2024.
- Gross profit: $10.345 million; gross margin 55.1% (down 110 basis points).
- Income (loss) from operations: $(0.187) million, compared with $0.296 million operating income in 2024.
- Net income: $0.0028 million, down from $0.211 million in the prior year; results were materially aided by a $346,000 Employee Retention Credit.
- Basic and diluted net income per share: $0.00, based on 87,964,090 weighted average shares outstanding.
Business Highlights
- Revenue drivers: Growth across recycling, IT asset disposition (ITAD), data destruction, and data center decommissioning services contributed to the revenue increase.
- Customer and channel mix: Concentration among top customers decreased, with the largest customers representing about 15%, 13% and 12% of revenue, indicating a more diversified enterprise customer base.
- Service demand trends: Increased projects tied to retirements of legacy data center infrastructure as customers adopt AI/HPC-optimized hardware.
- Operational scale-up: Expanded headcount and facility footprint to support growth, including recognition of new right-of-use assets for leases; these investments increased payroll and lease-related operating expenses.
- Liquidity support: Receipt of a $346,000 Employee Retention Credit provided non-recurring support to 2025 operating results and cash flow management.
Original SEC Filing:
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