EVI Industries (EVI) 10-Q 10 May 22 2022 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Mar. 31, 2022	May 04, 2022
Cover [Abstract]
Entity Central Index Key	0000065312
Current Fiscal Year End Date	--06-30
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Amendment Flag	false
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2022
Document Transition Report	false
Entity File Number	001-14757
Entity Registrant Name	EVI Industries, Inc.
Entity Incorporation State Country Code	DE
Entity Tax Identification Number	11-2014231
Entity Address, Address Line One	4500 Biscayne Blvd.
Entity Address, Address Line Two	Suite 340
Entity Address, City or Town	Miami
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33137
City Area Code	305
Local Phone Number	402-9300
Title of 12(b) Security	Common Stock, $.025 par value
Trading Symbol	EVI
Name of Exchange on which Security is Registered	NYSE
Entity Information Former Legal Or Registered Name	Not Applicable
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		12,515,944

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Mar. 31, 2021
Income Statement [Abstract]
Revenues	$ 60,042	$ 62,413	$ 184,485	$ 177,456
Cost of sales	42,980	46,659	132,977	133,989
Gross profit	17,062	15,754	51,508	43,467
Selling, general and administrative expenses	16,874	15,025	47,680	41,330
Operating income	188	729	3,828	2,137
Interest and other (expense) income, net	(125)	197	(390)	(122)
Income before income taxes	63	926	3,438	2,015
Provision for income taxes	23	301	851	411
Net income	$ 40	$ 625	$ 2,587	$ 1,604
Net earnings per share - basic	$ 0	$ 0.05	$ 0.19	$ 0.12
Net earnings per share - diluted	$ 0	$ 0.04	$ 0.18	$ 0.12

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2022	Jun. 30, 2021
Current assets
Cash	$ 5,604	$ 6,057
Accounts receivable, net of allowance for doubtful accounts of $1.1 million and $1.0 million, respectively	33,124	28,904
Inventories, net	40,781	25,129
Vendor deposits	2,022	367
Contract assets	357	347
Other current assets	6,953	4,419
Total current assets	88,841	65,223
Equipment and improvements, net	12,140	10,594
Operating lease assets	7,466	7,060
Intangible assets, net	23,943	23,677
Goodwill	65,861	63,881
Other assets	6,930	7,415
Total assets	205,181	177,850
Current liabilities
Accounts payable and accrued expenses	26,346	26,227
Accrued employee expenses	6,420	7,528
Customer deposits	21,114	10,344
Contract liabilities	20	3,232
Current portion of operating lease liabilities	2,458	2,131
Total current liabilities	56,358	49,462
Deferred tax liabilities, net	4,157	4,208
Long-term operating lease liabilities	5,784	5,567
Long-term debt, net	23,914	11,873
Total liabilities	90,213	71,110
Commitments and contingencies (Note 12)
Shareholders’ equity
Preferred stock, $1.00 par value; authorized shares - 200,000; none issued and outstanding
Common stock, $.025 par value; authorized shares – 20,000,000; 12,609,354 shares issued at March 31, 2022 and 12,399,137 shares issued at June 30, 2021, including shares held in treasury	315	310
Additional paid-in capital	96,342	90,501
Treasury stock, 127,801 shares at March 31, 2022 and 120,706 shares at June 30, 2021, at cost	(3,070)	(2,865)
Retained earnings	21,381	18,794
Total shareholders’ equity	114,968	106,740
Total liabilities and shareholders’ equity	$ 205,181	$ 177,850

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Mar. 31, 2022	Jun. 30, 2021
Statement of Financial Position [Abstract]
Accounts receivable, net of allowance for doubtful accounts	$ 1.1	$ 1
Preferred stock, par value	$ 1	$ 1
Preferred stock, shares authorized	200,000	200,000
Preferred stock, shares issued
Preferred stock, shares outstanding
Common stock, par value	$ 25	$ 25
Common stock, shares authorized	20,000,000	20,000,000
Common stock, shares issued	12,609,354	12,399,137
Treasury stock, shares	127,801	120,706

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Treasury Stock	Retained Earnings	Total
Balance, beginning at Jun. 30, 2020	$ 301	$ 79,127	$ (2,012)	$ 10,410	$ 87,826
Balance, shares, beginning at Jun. 30, 2020	12,029,910		95,396
Share repurchases			$ (629)		(629)
Share repurchases, shares			17,846
Vesting of restricted shares	$ 1	(1)
Vesting of restricted shares, shares	51,701
Issuances of shares under employee stock plan		21			21
Issuances of shares under employee stock plan, shares	693
Issuances of shares in connection with acquisitions	$ 7	8,870			8,877
Issuances of shares in connection with acquisitions, shares	289,111
Stock compensation		1,834			1,834
Net income				1,604	1,604
Balance, ending at Mar. 31, 2021	$ 309	89,851	$ (2,641)	12,014	99,533
Balance, shares, ending at Mar. 31, 2021	12,371,415		113,242
Balance, beginning at Dec. 31, 2020	$ 309	88,855	$ (2,358)	11,389	98,195
Balance, shares, beginning at Dec. 31, 2020	12,340,591		105,635
Share repurchases			$ (283)		(283)
Share repurchases, shares			7,607
Vesting of restricted shares, shares	20,098
Issuances of shares in connection with acquisitions		356			356
Issuances of shares in connection with acquisitions, shares	10,726
Stock compensation		640			640
Net income				625	625
Balance, ending at Mar. 31, 2021	$ 309	89,851	$ (2,641)	12,014	99,533
Balance, shares, ending at Mar. 31, 2021	12,371,415		113,242
Balance, beginning at Jun. 30, 2021	$ 310	90,501	$ (2,865)	18,794	106,740
Balance, shares, beginning at Jun. 30, 2021	12,399,137		120,706
Share repurchases			$ (205)		(205)
Share repurchases, shares			7,095
Vesting of restricted shares	$ 1	(1)
Vesting of restricted shares, shares	20,835
Issuances of shares under employee stock plan		59			59
Issuances of shares under employee stock plan, shares	2,008
Issuances of shares in connection with acquisitions	$ 4	3,836			3,840
Issuances of shares in connection with acquisitions, shares	179,087
Stock compensation		1,947			1,947
Stock compensation, shares	8,287
Net income				2,587	2,587
Balance, ending at Mar. 31, 2022	$ 315	96,342	$ (3,070)	21,381	114,968
Balance, shares, ending at Mar. 31, 2022	12,609,354		127,801
Balance, beginning at Dec. 31, 2021	$ 310	91,880	$ (3,007)	21,341	110,524
Balance, shares, beginning at Dec. 31, 2021	12,418,075		124,706
Share repurchases			$ (63)		(63)
Share repurchases, shares			3,095
Vesting of restricted shares	$ 1	(1)
Vesting of restricted shares, shares	12,192
Issuances of shares under employee stock plan, shares
Issuances of shares in connection with acquisitions	$ 4	3,836			3,840
Issuances of shares in connection with acquisitions, shares	179,087
Stock compensation		627			627
Stock compensation, shares
Net income				40	40
Balance, ending at Mar. 31, 2022	$ 315	$ 96,342	$ (3,070)	$ 21,381	$ 114,968
Balance, shares, ending at Mar. 31, 2022	12,609,354		127,801

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Operating activities:
Net income	$ 2,587	$ 1,604
Adjustments to reconcile net income to net cash (used) provided by operating activities:
Depreciation and amortization	3,795	3,388
Amortization of debt discount	41	41
Provision for bad debt expense	231	252
Non-cash lease expense	138	47
Stock compensation	1,947	1,834
Inventory reserve	(274)	(178)
(Benefit) provision for deferred income taxes	(51)	953
Other	(24)	(277)
(Increase) decrease in operating assets:
Accounts receivable	(3,129)	2,799
Inventories	(13,476)	(674)
Vendor deposits	(1,485)	(1,459)
Contract assets	(10)	(8,873)
Other assets	(1,214)	(2,153)
Increase (decrease) in operating liabilities:
Accounts payable and accrued expenses	(829)	3,323
Accrued employee expenses	(1,170)	684
Customer deposits	10,081	2,062
Contract liabilities	(3,212)	2,117
Net cash (used) provided by operating activities	(6,054)	5,490
Investing activities:
Capital expenditures	(3,066)	(1,934)
Cash paid for acquisitions, net of cash acquired	(3,187)	(4,818)
Net cash used by investing activities	(6,253)	(6,752)
Financing activities:
Proceeds from long-term debt	46,000	37,500
Debt repayments	(34,000)	(42,500)
Repurchases of common stock in satisfaction of employee tax withholding obligations	(205)	(629)
Issuances of common stock under employee stock purchase plan	59	21
Net cash provided (used) by financing activities	11,854	(5,608)
Net decrease in cash	(453)	(6,870)
Cash at beginning of period	6,057	9,789
Cash at end of period	5,604	2,919
Supplemental disclosures of cash flow information:
Cash paid during the period for interest	320	388
Cash paid during the period for income taxes	$ 261	$ 526
Supplemental disclosure of non-cash financing activities:
Common stock issued for acquisitions	3,840	8,877
Forgiveness of PPP Loan		$ 916

General

General	9 Months Ended
	Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
General	Note (1) - General: The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial statements and the instructions to Form 10-Q and Article 10 of Regulation S-X related to interim period financial statements. Accordingly, the accompanying unaudited condensed consolidated financial statements do not include certain information and footnotes required by GAAP for complete financial statements. However, in management’s opinion, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting only of normal recurring accruals and adjustments) which are necessary in order to state fairly the Company’s results of operations, financial position, shareholders’ equity and cash flows as of and for the periods presented. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year or any other future period. The unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and related notes, including the Summary of Significant Accounting Policies, included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2021. The June 30, 2021 balance sheet information contained herein was derived from the Company’s audited consolidated financial statements as of that date included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2021. The preparation of the unaudited condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The estimates and assumptions made may not prove to be correct, and actual results could differ from the estimates. The Company, through its wholly-owned subsidiaries, is a value-added distributor, and provides advisory and technical services. Through its vast sales organization, the Company provides its customers with planning, designing, and consulting services related to their commercial laundry operations. The Company sells and/or leases its customers commercial laundry equipment, specializing in washing, drying, finishing, material handling, water heating, power generation, and water reuse applications. In support of the suite of products it offers, the Company sells related parts and accessories. Additionally, through the Company’s robust network of commercial laundry technicians, the Company provides its customers with installation, maintenance, and repair services. The Company’s customers include government, institutional, industrial, commercial and retail customers. Product purchases made by customers range from parts and accessories, to single or multiple units of equipment, to large complex systems. The Company also provides its customers with the services described above. The Company’s growth strategy includes organic growth initiatives and business acquisitions pursuant to the Company’s “buy-and-build” growth strategy, which was implemented in 2015. The COVID-19 pandemic has negatively impacted, and may continue to negatively impact, the Company’s business and results. Specifically, beginning at the end of the quarter ended March 31, 2020, the COVID-19 pandemic and accompanying economic disruption caused delays and declines in the placement of customer orders, the completion of equipment and parts installations, and the fulfillment of parts orders. In response to the economic and business disruption during 2020, the Company took actions to reduce costs and spending across the organization, including changes to inventory stock levels, renegotiating payment terms with suppliers, and reducing hiring activities. During the fiscal year ended June 30, 2021, the COVID-19 pandemic had a resurgence with the increased presence and spread of the Delta variant. In addition, the Omicron variant emerged as a variant of concern towards the end of the quarter ended December 31, 2021 and had adverse effects. Factors arising from the COVID-19 pandemic that have impacted, or may in the future negatively impact, the Company’s business and results, including sales and gross margin, include, but are not limited to: supply chain disruptions, which resulted in, and may continue to result in, delays in delivering products or services to the Company’s customers; labor shortages; limitations on the ability of the Company’s employees to perform their work due to sickness or other impacts caused by the pandemic or local, state, federal or foreign orders that may restrict the Company’s operations or the operations of its customers, or require that employees be quarantined; limitations on the ability of carriers to deliver products to the Company’s facilities and customers; risks associated with vaccine mandates, including the potential loss of employees, fines for noncompliance and loss of, or future inability to secure, certain contracts, including with the federal government; adverse impacts of the pandemic on certain industries and customers of the Company which operate in those industries, including the hospitality industry; and potential decreased demand for products and services, including potential limitations on the ability of, or adverse changes in the desire of, the Company’s customers to conduct their business, purchase products and services, and pay for purchases on a timely basis or at all. Further, the Company may continue to experience adverse impacts to its business as a result of, among other things, any adverse impact that has occurred or may occur in the future in the economy or markets generally, and changes in customer or supplier behavior, in each case, in connection with the pandemic.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note (2) – Summary of Significant Accounting Policies:

Recently Issued Accounting Guid

Recently Issued Accounting Guidance	9 Months Ended
	Mar. 31, 2022
Accounting Standards Update and Change in Accounting Principle [Abstract]
Recently Issued Accounting Guidance	Note (3) – Recently Issued Accounting Guidance: In March 2020, the FASB issued ASU No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” The new guidance provides temporary optional guidance to ease the potential burden in accounting for reference rate reform. The new guidance provides optional expedients and exceptions for applying GAAP to transactions affected by reference rate reform if certain criteria are met. These transactions include contract modifications, hedging relationships, and the sale or transfer of debt securities classified as held-to-maturity. Entities may apply the provisions of the new standard as of the beginning of the reporting period when the election is made. The provisions of this update are only available until December 31, 2022, when the reference rate replacement activity is expected to be completed. The Company is currently evaluating the impact that adopting this guidance may have on its consolidated financial statements. Other than as described above, management does not believe that accounting standards and updates which have been issued but are not yet effective will have a material impact on the Company’s consolidated financial statements upon adoption.

Acquisitions

Acquisitions	9 Months Ended
	Mar. 31, 2022
Business Combinations [Abstract]
Acquisitions	Note (4) - Acquisitions: CLK Acquisition On February 7, 2022, the Company acquired Consolidated Laundry Equipment, Inc. and Central Equipment Company, LLC (collectively “CLK”), pursuant to a merger whereby CLK merged with and into, and became, a wholly-owned subsidiary of the Company (the “CLK Acquisition”). CLK is a North Carolina-based distributor of commercial, industrial, and vended laundry products and provider of installation and maintenance services to the new and replacement segments of the commercial, industrial and vended laundry industry. This acquisition expanded the Company’s footprint in the Southeast region of the United States. The consideration paid by the Company in connection with the merger consisted of $4.4 million in cash and 179,087 shares of the Company’s common stock. The Company funded the cash consideration with borrowings under its credit facility. Fees and expenses related to the CLK Acquisition, consisting primarily of legal and other professional fees, totaled approximately $45,000 and are classified as selling, general and administrative expenses in the Company’s consolidated statements of operations for the three and nine months ended March 31, 2022. The total purchase price for accounting purposes was $7.0 million, net of cash acquired of $1.2 million. The CLK Acquisition was treated for accounting purposes as a purchase of CLK using the acquisition method of accounting in accordance with Accounting Standards Codification (“ASC”) 805, Business Combinations. Under the acquisition method of accounting, the aggregate consideration in the CLK Acquisition was allocated to the acquired assets and assumed liabilities, in each case, based on their respective fair values as of the closing date, with the excess of the consideration transferred over the fair value of the net assets acquired being allocated to intangible assets and goodwill. The computation of the purchase price consideration and the preliminary allocation of the consideration to the net assets acquired are presented in the following tables (in thousands): Purchase price consideration: Cash consideration, net of cash acquired (a) $ 3,187 Stock consideration (b) 3,840 Total purchase price consideration, net of cash acquired $ 7,027 (a) Includes $4.4 million paid net of $1.2 million of cash acquired. (b) Calculated as 179,087 shares of the Company’s common stock, multiplied by $21.44, the closing price of the Company’s common stock on the closing date. Allocation of purchase price consideration: Accounts receivable $ 1,322 Inventories 1,902 Vendor Deposits 170 Other assets 835 Equipment and improvements 841 Intangible assets 1,700 Accounts payable and accrued expenses (948 ) Accrued employee expenses (62 ) Customer deposits (689 ) Total identifiable net assets 5,071 Goodwill 1,956 Total $ 7,027 The Company is continuing its valuation of the net assets acquired, which is subject to adjustment in accordance with the merger agreement. Accordingly, the purchase price allocation set forth above reflects preliminary fair value estimates based on preliminary work and analyses performed by management and is subject to change as additional information to assist in determining the fair value of the net assets acquired as of the closing date is obtained during the post-closing measurement period of up to one year. The Company has finalized its assessment of the assets acquired and liabilities assumed, except for certain working capital items, including accounts receivable, inventories, other assets and accounts payable and accrued expenses. Intangible assets consist of $800,000 allocated to the Consolidated Laundry Equipment trade name and $900,000 allocated to customer-related intangible assets. The Consolidated Laundry Equipment trade name is indefinite-lived and therefore not subject to amortization. The Consolidated Laundry Equipment trade name will be evaluated for impairment annually or more frequently if an event occurs or circumstances change that indicate it may be impaired, by comparing its fair value to its carrying amount to determine if a write-down to fair value is required. Customer-related intangible assets are being amortized over 10 years. Goodwill is attributable primarily to the assembled workforce acquired, as well as benefits from the increased scale of the Company as a result of the CLK Acquisition. The goodwill from the CLK Acquisition is not deductible for income tax purposes. 12 Index EVI Industries, Inc. and Subsidiaries NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS March 31, 2022 (Unaudited) Supplemental Pro Forma Results of Operations The following supplemental pro forma information presents the results of operations of the Company, after giving effect to the CLK Acquisition as described above, as if the Company had completed such transaction on July 1, 2020, using the estimated fair values of the assets acquired and liabilities assumed. The pro forma results are presented for informational purposes only and are not necessarily indicative of what the actual results of operations of the Company would have been if the transaction had occurred on the date assumed, nor are they indicative of future results of operations. For the nine months ended March 31, (in thousands) 2022 (Unaudited) 2021 (Unaudited) Revenues $ 192,731 $ 188,058 Net income 3,350 2,585 The Company’s consolidated results of operations for the nine months ended March 31, 2022 include total revenue of approximately $2.4 million and total net income of approximately $186,000 attributable to CLK, based on the consolidated effective tax rate. These results of the acquired business do not include the effects of acquisition costs or interest expense associated with the consideration paid in connection with the acquisitions.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Mar. 31, 2022
Earnings Per Share [Abstract]
Earnings Per Share	Note (5) - Earnings Per Share: For the nine months ended March 31, For the three months ended March 31, 2022 (Unaudited) 2021 (Unaudited) 2022 (Unaudited) 2021 (Unaudited) Net income $ 2,587 $ 1,604 $ 40 $ 625 Less: distributed and undistributed income allocated to unvested restricted common stock 261 143 4 56 Net income allocated to EVI Industries, Inc. shareholders $ 2,326 $ 1,461 $ 36 $ 569 Weighted average shares outstanding used in basic earnings per share 12,321 12,101 12,402 12,252 Dilutive common share equivalents 375 444 261 533 Weighted average shares outstanding used in diluted earnings per share 12,696 12,545 12,663 12,785 Basic earnings per share $ 0.19 $ 0.12 $ 0.00 $ 0.05 Diluted earnings per share $ 0.18 $ 0.12 $ 0.00 $ 0.04 At March 31, 2022 and 2021, other than 1,400,105 shares and 1,202,275 shares, respectively, of common stock subject to unvested restricted stock awards or restricted stock units, there were no potentially dilutive securities outstanding.

Interest and other (expense) in

Interest and other (expense) income, net	9 Months Ended
	Mar. 31, 2022
Other Income and Expenses [Abstract]
Interest and other (expense) income, net	Note (6) – Interest and other (expense) income, net: For the nine months ended March 31, For the three months ended March 31, 2022 (Unaudited) 2021 (Unaudited) 2022 (Unaudited) 2021 (Unaudited) Bargain purchase gain $ - $ 361 $ - $ 361 Interest (expense), net (390 ) (483 ) (125 ) (164 ) Interest and other (expense) income, net $ (390 ) $ (122 ) $ (125 ) $ 197

Debt

Debt	9 Months Ended
	Mar. 31, 2022
Debt Disclosure [Abstract]
Debt	Note (7) - Debt: March 31, 2022 June 30, 2021 Revolving credit facility $ 24,000 $ 12,000 Less: unamortized discount and deferred financing costs (86 ) (127 ) Total long-term debt, net $ 23,914 $ 11,873 On November 2, 2018, the Company entered into a syndicated credit agreement (the “Credit Agreement”) for a five-year revolving credit facility in the maximum aggregate principal amount of up to $100 million, with an accordion feature to increase the revolving credit facility by up to $40 million for a total of $140 million. A portion of the revolving credit facility is available for swingline loans of up to a sublimit of $5 million and for the issuance of standby letters of credit of up to a sublimit of $10 million. Prior to the amendment described below, borrowings (other than swingline loans) under the Credit Agreement accrued interest at a rate, at the Company’s election at the time of borrowing, equal to (a) LIBOR plus a margin that ranged from 1.25% to 1.75% depending on the Company’s consolidated leverage ratio, which is a ratio of consolidated funded indebtedness to consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) (the “Consolidated Leverage Ratio”) or (b) the highest of (i) prime, (ii) the federal funds rate plus 50 basis points, and (iii) the one month LIBOR rate plus 100 basis points, plus a margin that ranged from 0.25% to 0.75% depending on the Consolidated Leverage Ratio. Swingline loans accrued interest calculated at the base rate determined in accordance with clause (b) of the preceding sentence plus a margin that ranged from 0.25% to 0.75% depending on the Consolidated Leverage Ratio. The Credit Agreement had an initial term of five years with a scheduled maturity date of November 2, 2023. As of March 31, 2022, $27.5 million was available to borrow under the revolving credit facility. On May 6, 2022, the Company entered into an amendment to the Credit Agreement which, among other things, (i) in connection with the phasing out of LIBOR, replaced LIBOR with the Bloomberg Short-Term Bank Yield Index (“BSBY”), and (ii) extended the maturity date of the Credit Agreement from November 2, 2023 to May 6, 2027. See Part II, Item 5 of this Quarterly Report on Form 10-Q for additional information relating to the amendment to the Credit Agreement. The Credit Agreement contains certain covenants, including financial covenants requiring the Company to comply with maximum leverage ratios and minimum interest coverage ratios. The Credit Agreement also contains other provisions which may restrict the Company’s ability to, among other things, dispose of or acquire assets or businesses, incur additional indebtedness, make certain investments and capital expenditures, pay dividends, repurchase shares and enter into transactions with affiliates. As of March 31, 2022 and the date of the amendment, the Company was in compliance with its covenants under the Credit Agreement. The obligations of the Company under the Credit Agreement are secured by substantially all of the assets of the Company and certain of its subsidiaries, and are guaranteed, jointly and severally, by certain of the Company’s subsidiaries. In connection with the Company’s acquisition of Yankee Equipment Systems, Inc. (“YES”) during November 2020, the Company, indirectly through its wholly-owned subsidiary, assumed the approximately $916,000 loan previously obtained by YES under the Paycheck Protection Program (“PPP”) established under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). Under the merger agreement related to the acquisition, the Company was entitled to indemnification for any required repayment of the loan to YES under the PPP. During the quarter ended March 31, 2021, the loan to YES under the PPP was forgiven by the U.S. Small Business Administration (“SBA”). The Company determined that the fair value of its right to indemnification was equal to the amount forgiven by the SBA. Accordingly, the Company did not recognize any gain on the extinguishment of this debt.

Leases

Leases	9 Months Ended
	Mar. 31, 2022
Leases [Abstract]
Leases	Note (8) – Leases: Company as Lessee The Company leases warehouse and distribution facilities, administrative office space and service and other fleet vehicles, generally for terms of three The Company applies ASC Topic 842, Leases (“ASC 842” or “Topic 842”), which, among other things, requires lessees to recognize substantially all leases on their balance sheets and disclose certain additional key information about leasing arrangements. The standard established a right-of-use model that requires a lessee to recognize a right-of-use asset and liability on the balance sheet for all leases with a term longer than 12 months. Leases are required to be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the statement of operations. The Company adopted this standard effective July 1, 2019 using the modified retrospective transition approach, which requires a cumulative-effect adjustment, if any, to the opening balance of retained earnings to be recognized on the date of adoption without restatement of prior periods. The Company made the election to not apply the recognition requirements in Topic 842 to short-term leases (i.e., leases of 12 months or less). Instead, the Company, as permitted by Topic 842, recognizes the lease payments under its short-term leases in profit or loss on a straight-line basis over the lease term. The Company elected this accounting policy for all classes of underlying assets. In addition, in accordance with Topic 842, variable lease payments in the period in which the obligation for those payments is incurred are not included in the recognition of a lease liability or right-of-use asset. Right-of-use assets represent the Company’s right to use an underlying asset for the lease term, and right-of-use liabilities represent the Company’s obligation to make lease payments arising from the lease. Right-of-use assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. When available, the Company uses the rate implicit in the lease to discount lease payments to present value. However, certain of the Company’s leases do not provide a readily determinable implicit rate. For such leases, the Company estimates the incremental borrowing rate to discount lease payments based on information available at lease commencement. The Company uses instruments with similar characteristics when calculating its incremental borrowing rates. The Company has options to extend certain of its operating leases for additional periods of time and the right to terminate several of its operating leases prior to its contractual expiration, in each case, subject to the terms and conditions of the lease. The lease term consists of the non-cancellable period of the lease and the periods covered by Company options to extend the lease when it is reasonably certain that the Company will exercise such options. The Company's lease agreements do not contain residual value guarantees. The Company has elected to not separate non-lease components from the associated lease component for all underlying classes of assets with lease and non-lease components. As of March 31, 2022, the Company had 29 facilities, consisting of warehouse facilities and administrative offices, financed under operating leases with lease term expirations between 2022 and 2030. Rent expense consists of monthly rental payments under the terms of the Company’s lease agreements recognized on a straight-line basis. The following table provides details of the Company’s future minimum lease payments under operating lease liabilities recorded on the Company’s condensed consolidated balance sheet as of March 31, 2022. The table below does not include commitments that are contingent on events or other factors that are currently uncertain or unknown. Fiscal years ending June 30, Total Operating Lease Obligations (in thousands) 2022 (remainder of) $ 688 2023 2,579 2024 1,727 2025 1,169 2026 803 Thereafter 1,921 Total minimum lease payments $ 8,887 Less: amounts representing interest 645 Present value of minimum lease payments $ 8,242 Less: current portion 2,458 Long-term portion $ 5,784 15 Index EVI Industries, Inc. and Subsidiaries NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS March 31, 2022 (Unaudited) The table below presents additional information related to the Company’s operating leases (in thousands): Nine months ended March 31, Three months ended March 31, 2022 2021 2022 2021 Operating lease cost Operating lease cost (1) 1,781 1,475 $ 671 $ 482 Short-term lease cost (1) - 12 - - Variable lease cost (1) 320 287 44 122 Total lease cost 2,101 1,774 $ 715 $ 604 (1) Expenses are classified within selling, general and administrative expenses in the Company’s condensed consolidated statements of operations. The table below presents lease-related terms and discount rates as of March 31, 2022: March 31, 2022 Weighted average remaining lease terms Operating leases 4.9 years Weighted average discount rate Operating leases 3.1% The table below presents supplemental cash flow information related to the Company’s long-term operating lease liabilities for the nine months ended March 31, 2022 and 2021 (in thousands): Nine months ended March 31, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: $ 1,919 $ 1,475 Operating lease right-of-use assets obtained in exchange for operating lease liabilities: $ 2,010 $ 3,793 Company as Lessor The Company derives a portion of its revenue from equipment leasing arrangements. Such arrangements provide for monthly payments covering the equipment provided, maintenance, and interest. These arrangements meet the criteria to be accounted for as sales type leases. Accordingly, revenue from the provision of the equipment is recognized upon delivery of the equipment and its acceptance by the customer. Upon the recognition of such revenue, an asset is established for the investment in sales type leases. Maintenance revenue and interest are recognized monthly over the lease term. 16 Index EVI Industries, Inc. and Subsidiaries NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS March 31, 2022 (Unaudited) The future minimum lease payments receivable for sales type leases are as follows (in thousands): Fiscal years ending June 30, Total Minimum Lease Payments Receivable Amortization of Unearned Income Net Investment in Sales Type Leases 2022 (remainder of) $ 1,004 $ 595 $ 409 2023 3,356 1,995 1,361 2024 2,577 1,476 1,101 2025 1,825 973 852 2026 1,211 551 660 Thereafter 935 419 516 $ 4,899 * * Excludes residual values of $2.5 million. The total net investments in sales type leases, including stated residual values, as of March 31, 2022 and June 30, 2021 was $7.4 million and $6.7 million, respectively. The current portion of $1.8 million and $0.9 million is included in other current assets in the consolidated balance sheets as of March 31, 2022 and June 30, 2021, respectively, and the long term portion of $5.6 million and $5.8 million is included in other assets in the consolidated balance sheets as of March 31, 2022 and June 30, 2021, respectively.

Income Taxes

Income Taxes	9 Months Ended
	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Note (9) - Income Taxes: As of both March 31, 2022 and June 30, 2021, the Company had net deferred tax liabilities of approximately $4.2 million. Consistent with the guidance of the FASB regarding accounting for income taxes, the Company regularly estimates its ability to recover deferred tax assets and establishes a valuation allowance against deferred tax assets to reduce the balance to amounts expected to be recoverable. This evaluation includes the consideration of several factors, including an estimate of the likelihood of generating sufficient taxable income in future periods over which temporary differences reverse, the expected reversal of deferred tax liabilities, past and projected taxable income, and available tax planning strategies. As of March 31, 2022, management believed that it was more-likely-than-not that the results of future operations will generate sufficient taxable income to realize the net amount of the Company’s deferred tax assets over the periods during which temporary differences reverse. The Company follows ASC Topic 740-10-25, “Accounting for Uncertainty in Income Taxes” (“ASC 740”). ASC 740 prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. During the nine and three months ended March 31, 2022 and 2021, the Company’s accounting for income taxes in accordance with this standard did not result in a material adjustment to the Company’s provision for income taxes. As of March 31, 2022, the Company was subject to potential federal and state tax examinations for the tax years 2018 through 2021.

Equity Plans

Equity Plans	9 Months Ended
	Mar. 31, 2022
Share-Based Payment Arrangement [Abstract]
Equity Plans	Note (10) – Equity Plans: Equity Incentive Plan In November 2015, the Company’s stockholders approved the Company’s 2015 Equity Incentive Plan (the “Plan”). During December 2020, the Company’s stockholders approved an amendment to the Plan to increase the number of shares of the Company’s common stock authorized for issuance pursuant to awards granted under the Plan to 3,000,000 shares. The fair value of awards granted under the Plan is expensed on a straight-line basis over the vesting period of the awards. Share-based compensation expense is included in selling, general and administrative expenses in the Company’s condensed consolidated statements of operations. During the nine months ended March 31, 2022, restricted stock awards of a total of 134,612 shares, 135,816 restricted stock units, and 8,287 stock awards were granted under the Plan. Stock awards represent shares of the Company’s common stock issued under the Plan which are held by the recipient upon grant without any future risk of forfeiture. During the three months ended March 31, 2022, restricted stock units of a total of 79,393 shares were granted under the Plan. No restricted stock awards or stock awards were granted under the Plan during the three months ended March 31, 2022. During the nine months ended March 31, 2022, restricted stock awards of a total of 13,203 shares were forfeited and returned to the Plan. There were no restricted stock awards forfeited during the three months ended March 31, 2022. There were 9,457 and 1,130 restricted stock units forfeited during the nine and three months ended March 31, 2022, respectively. During the nine months ended March 31, 2021, restricted stock awards of a total of 8,624 shares and 204,014 restricted stock units were granted under the Plan. During the three months ended March 31, 2021, 2,400 restricted stock units were granted under the Plan. During the nine months ended March 31, 2021, restricted stock awards of a total of 1,492 shares were forfeited and returned to the Plan. There were no shares forfeited during the three months ended March 31, 2021. For the nine and three months ended March 31, 2022, non-cash share-based compensation expense related to awards granted under the Plan (which, in each case, included restricted stock units and, for the nine-month period, also included restricted stock awards and stock awards, as described above) totaled $1.9 million and $627,000, respectively. For the nine and three months ended March 31, 2021, non-cash share-based compensation expense related to awards granted under the Plan (which, in each case, included restricted stock units and, for the nine-month period, also included restricted stock awards, as described above) totaled $1.8 million and $640,000, respectively. As of March 31, 2022, the Company had $18.5 million and $9.5 million of total unrecognized compensation expense related to restricted stock awards and restricted stock units, respectively, granted under the Plan, which is expected to be recognized over the weighted-average period of 17.1 years and 10.8 years, respectively. The following is a summary of non-vested restricted stock activity as of and for the nine months ended March 31, 2022: Restricted Stock Awards Restricted Stock Units Shares Weighted- Average Grant Date Fair Value Shares Weighted- Average Grant Date Fair Value Non-vested awards or units outstanding at June 30, 2021 919,259 $ 19.59 253,913 $ 30.92 Granted 134,612 35.32 135,816 24.54 Vested (14,485) 25.11 (6,350) - Forfeited (13,203) 14.20 (9,457) 33.68 Non-vested awards or units outstanding at March 31, 2022 1,026,183 $ 21.65 373,922 $ 28.56 18 Index EVI Industries, Inc. and Subsidiaries NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS March 31, 2022 (Unaudited) Employee Stock Purchase Plan During 2017, the Company’s stockholders approved the Company’s 2017 Employee Stock Purchase Plan, which, subject to the terms of the plan, allows eligible employees the opportunity to purchase shares of the Company’s common stock at a 5% discount. The Company’s employee stock purchase plan provides for six-month offering periods ending on December 31 and June 30 of each year. During the nine months ended March 31, 2022, 2,008 shares of common stock were issued under the Company’s employee stock purchase plan for which the Company received net proceeds of $59,000. During the nine months ended March 31, 2021, 693 shares of common stock were issued under the Company’s employee stock purchase plan for which the Company received net proceeds of $21,000. No shares were issued under the Company’s employee stock purchase plan during the three months ended March 31, 2022 or 2021.

Transactions with Related Parti

Transactions with Related Parties	9 Months Ended
	Mar. 31, 2022
Related Party Transactions [Abstract]
Transactions with Related Parties	Note (11) – Transactions with Related Parties: During October 2016 During October 2017 During February 2018 19 Index EVI Industries, Inc. and Subsidiaries NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS March 31, 2022 (Unaudited) During September 2018 During February 2019 During November 2020 During February 2022

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Mar. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note (12) – Commitments and Contingencies The Company may from time to time become subject to litigation and other legal proceedings. Litigation and other legal proceedings may require the Company to incur significant expenses, including those relating to legal and other professional fees, as well as damages or other payments. Litigation and other legal proceedings are inherently uncertain, and adverse outcomes in litigation or other legal proceedings could adversely affect the Company’s financial condition, cash flows, and operating results.

Goodwill

Goodwill	9 Months Ended
	Mar. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	Note (13) – Goodwill Balance at June 30, 2021 $ 63,881 Goodwill from acquisition (1) 1,956 Working capital adjustments (2) 24 Balance at March 31, 2022 $ 65,861 (1) Relates to the CLK Acquisition which was consummated during February 2022, as described in Note 4, “Acquisitions.” (2) Represents working capital adjustments related to business acquisitions consummated by the Company during the fiscal year ended June 30, 2021.

Subsequent Events

Subsequent Events	9 Months Ended
	Mar. 31, 2022
Subsequent Events [Abstract]
Subsequent Events	Note (14) – Subsequent Events: On April 25, 2022, the Company entered into a definitive purchase agreement to acquire substantially all of the assets of Clean Designs, Inc. and Clean Route, LLC (collectively “Clean Designs”). Clean Designs is a Colorado-based distributor of commercial, industrial, and vended laundry products and provider of installation and maintenance services to the new and replacement segments of the commercial, industrial and vended laundry industry. In connection with the acquisition, the Company will also assume certain liabilities of Clean Designs. The anticipated consideration to be paid by the Company in connection with the acquisition is not expected to be material to the Company on a consolidated basis. Closing of the acquisition is subject to certain conditions precedent. There is no assurance that the acquisition will be consummated on the contemplated terms, when expected, or at all. On April 29, 2022, the Company, indirectly through a wholly-owned subsidiary, acquired substantially all of the assets of LS Acquisition, LLC (d/b/a Laundry South Systems and Repair) (“Laundry South Systems and Repair”), a Mississippi-based distributor of commercial, industrial, and vended laundry products and provider of installation and maintenance services to the new and replacement segments of the commercial, industrial and vended laundry industry. In connection with the transaction, the Company, indirectly through its wholly-owned subsidiary, also assumed certain of the liabilities of Laundry South Systems and Repair. The consideration paid by the Company in connection with the transaction was not material to the Company on a consolidated basis. The financial condition and results of operations of Laundry South Systems and Repair subsequent to the April 29, 2022 closing date of the transaction will be included within the Company’s consolidated financial statements commencing with the quarter ending June 30, 2022. On May 5, 2022, the Company, indirectly through a wholly-owned subsidiary, acquired substantially all of the assets of Spynr, Inc. (“Spynr”), a Delaware-based digital marketing and technology company which provides digital marketing services to customers and vendors within the commercial, industrial and vended laundry industries. In connection with the transaction, the Company, indirectly through its wholly-owned subsidiary, also assumed certain of the liabilities of Spynr. The consideration paid by the Company in connection with the transaction was not material to the Company on a consolidated basis. The financial condition and results of operations of Spynr subsequent to the May 5, 2022 closing date of the transaction will be included within the Company’s consolidated financial statements commencing with the quarter ending June 30, 2022. See also Note 7, “Debt” and Part II, Item 5 of this Quarterly Report on Form 10-Q for a description of the amendment to the Company’s Credit Agreement that was entered into on May 6, 2022.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Significant Accounting Policies	Note (2) – Summary of Significant Accounting Policies:

Acquisitions (Tables)

Acquisitions (Tables)	9 Months Ended
	Mar. 31, 2022
Business Combinations [Abstract]
Schedule of Purchase Price	The CLK Acquisition was treated for accounting purposes as a purchase of CLK using the acquisition method of accounting in accordance with Accounting Standards Codification (“ASC”) 805, Business Combinations. Under the acquisition method of accounting, the aggregate consideration in the CLK Acquisition was allocated to the acquired assets and assumed liabilities, in each case, based on their respective fair values as of the closing date, with the excess of the consideration transferred over the fair value of the net assets acquired being allocated to intangible assets and goodwill. The computation of the purchase price consideration and the preliminary allocation of the consideration to the net assets acquired are presented in the following tables (in thousands): Purchase price consideration: Cash consideration, net of cash acquired (a) $ 3,187 Stock consideration (b) 3,840 Total purchase price consideration, net of cash acquired $ 7,027 (a) Includes $4.4 million paid net of $1.2 million of cash acquired. (b) Calculated as 179,087 shares of the Company’s common stock, multiplied by $21.44, the closing price of the Company’s common stock on the closing date.
Schedule of Allocation of Purchase Price Consideration	Allocation of purchase price consideration: Accounts receivable $ 1,322 Inventories 1,902 Vendor Deposits 170 Other assets 835 Equipment and improvements 841 Intangible assets 1,700 Accounts payable and accrued expenses (948 ) Accrued employee expenses (62 ) Customer deposits (689 ) Total identifiable net assets 5,071 Goodwill 1,956 Total $ 7,027
Schedule of Supplemental Pro Forma Results of Operations	The following supplemental pro forma information presents the results of operations of the Company, after giving effect to the CLK Acquisition as described above, as if the Company had completed such transaction on July 1, 2020, using the estimated fair values of the assets acquired and liabilities assumed. The pro forma results are presented for informational purposes only and are not necessarily indicative of what the actual results of operations of the Company would have been if the transaction had occurred on the date assumed, nor are they indicative of future results of operations. For the nine months ended March 31, (in thousands) 2022 (Unaudited) 2021 (Unaudited) Revenues $ 192,731 $ 188,058 Net income 3,350 2,585

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Mar. 31, 2022
Earnings Per Share [Abstract]
Schedule of Basic and Diluted Earnings Per Share	Note (5) - Earnings Per Share: For the nine months ended March 31, For the three months ended March 31, 2022 (Unaudited) 2021 (Unaudited) 2022 (Unaudited) 2021 (Unaudited) Net income $ 2,587 $ 1,604 $ 40 $ 625 Less: distributed and undistributed income allocated to unvested restricted common stock 261 143 4 56 Net income allocated to EVI Industries, Inc. shareholders $ 2,326 $ 1,461 $ 36 $ 569 Weighted average shares outstanding used in basic earnings per share 12,321 12,101 12,402 12,252 Dilutive common share equivalents 375 444 261 533 Weighted average shares outstanding used in diluted earnings per share 12,696 12,545 12,663 12,785 Basic earnings per share $ 0.19 $ 0.12 $ 0.00 $ 0.05 Diluted earnings per share $ 0.18 $ 0.12 $ 0.00 $ 0.04 At March 31, 2022 and 2021, other than 1,400,105 shares and 1,202,275 shares, respectively, of common stock subject to unvested restricted stock awards or restricted stock units, there were no potentially dilutive securities outstanding.

Interest and Other Income (Expe

Interest and Other Income (Expense), Net (Tables)	9 Months Ended
	Mar. 31, 2022
Other Income and Expenses [Abstract]
Schedule of interest and other income (expense), net	For the nine months ended March 31, For the three months ended March 31, 2022 (Unaudited) 2021 (Unaudited) 2022 (Unaudited) 2021 (Unaudited) Bargain purchase gain $ - $ 361 $ - $ 361 Interest (expense), net (390 ) (483 ) (125 ) (164 ) Interest and other (expense) income, net $ (390 ) $ (122 ) $ (125 ) $ 197

Debt (Tables)

Debt (Tables)	9 Months Ended
	Mar. 31, 2022
Debt Disclosure [Abstract]
Schedule of Long-term debt	Note (7) - Debt: March 31, 2022 June 30, 2021 Revolving credit facility $ 24,000 $ 12,000 Less: unamortized discount and deferred financing costs (86 ) (127 ) Total long-term debt, net $ 23,914 $ 11,873

Leases (Tables)

Leases (Tables)	9 Months Ended
	Mar. 31, 2022
Leases [Abstract]
Schedule of Maturities of Operating Lease Liabilities	The following table provides details of the Company’s future minimum lease payments under operating lease liabilities recorded on the Company’s condensed consolidated balance sheet as of March 31, 2022. The table below does not include commitments that are contingent on events or other factors that are currently uncertain or unknown. Fiscal years ending June 30, Total Operating Lease Obligations (in thousands) 2022 (remainder of) $ 688 2023 2,579 2024 1,727 2025 1,169 2026 803 Thereafter 1,921 Total minimum lease payments $ 8,887 Less: amounts representing interest 645 Present value of minimum lease payments $ 8,242 Less: current portion 2,458 Long-term portion $ 5,784
Schedule of Operating Leases	The table below presents additional information related to the Company’s operating leases (in thousands): Nine months ended March 31, Three months ended March 31, 2022 2021 2022 2021 Operating lease cost Operating lease cost (1) 1,781 1,475 $ 671 $ 482 Short-term lease cost (1) - 12 - - Variable lease cost (1) 320 287 44 122 Total lease cost 2,101 1,774 $ 715 $ 604 (1) Expenses are classified within selling, general and administrative expenses in the Company’s condensed consolidated statements of operations. The table below presents lease-related terms and discount rates as of March 31, 2022: March 31, 2022 Weighted average remaining lease terms Operating leases 4.9 years Weighted average discount rate Operating leases 3.1%
Schedule of Supplemental Cash Flow Information Related to Company's Long-Term Operating Lease Liabilities	The table below presents supplemental cash flow information related to the Company’s long-term operating lease liabilities for the nine months ended March 31, 2022 and 2021 (in thousands): Nine months ended March 31, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: $ 1,919 $ 1,475 Operating lease right-of-use assets obtained in exchange for operating lease liabilities: $ 2,010 $ 3,793
Schedule of Minimum future rental commitments	The future minimum lease payments receivable for sales type leases are as follows (in thousands): Fiscal years ending June 30, Total Minimum Lease Payments Receivable Amortization of Unearned Income Net Investment in Sales Type Leases 2022 (remainder of) $ 1,004 $ 595 $ 409 2023 3,356 1,995 1,361 2024 2,577 1,476 1,101 2025 1,825 973 852 2026 1,211 551 660 Thereafter 935 419 516 $ 4,899 * * Excludes residual values of $2.5 million.

Equity Plans (Tables)

Equity Plans (Tables)	9 Months Ended
	Mar. 31, 2022
Share-Based Payment Arrangement [Abstract]
Schedule of Non-vested Restricted Stock Activity	The following is a summary of non-vested restricted stock activity as of and for the nine months ended March 31, 2022: Restricted Stock Awards Restricted Stock Units Shares Weighted- Average Grant Date Fair Value Shares Weighted- Average Grant Date Fair Value Non-vested awards or units outstanding at June 30, 2021 919,259 $ 19.59 253,913 $ 30.92 Granted 134,612 35.32 135,816 24.54 Vested (14,485) 25.11 (6,350) - Forfeited (13,203) 14.20 (9,457) 33.68 Non-vested awards or units outstanding at March 31, 2022 1,026,183 $ 21.65 373,922 $ 28.56

Goodwill (Tables)

Goodwill (Tables)	9 Months Ended
	Mar. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Carrying Amount of Goodwill	Note (13) – Goodwill Balance at June 30, 2021 $ 63,881 Goodwill from acquisition (1) 1,956 Working capital adjustments (2) 24 Balance at March 31, 2022 $ 65,861 (1) Relates to the CLK Acquisition which was consummated during February 2022, as described in Note 4, “Acquisitions.” (2) Represents working capital adjustments related to business acquisitions consummated by the Company during the fiscal year ended June 30, 2021.

Acquisitions (Narrative) (Detai

Acquisitions (Narrative) (Details) - USD ($) $ in Thousands	Feb. 07, 2022	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Mar. 31, 2021
Business Acquisition [Line Items]
Revenues		$ 60,042	$ 62,413	$ 184,485	$ 177,456
Net income		40	$ 625	2,587	$ 1,604
CLK Acquisition [Member]
Business Acquisition [Line Items]
Cash Consideration	$ 4,400
Stock Consideration	179,087
Acquisition legal and other professional fees		45,000		45,000
Total purchase price for accounting purposes				7,000
Cash acquired	$ 1,200
Indefinite lived intangible assets acquired		800,000		800,000
Finite lived intangible assets acquired		$ 900,000		$ 900,000
Amortized life				10 years
Total revenue				$ 2,400
Total net income				$ 186,000

Acquisitions (Schedule of Purch

Acquisitions (Schedule of Purchase price) (Details) - USD ($) $ in Thousands		Feb. 07, 2022	Mar. 31, 2022	Mar. 31, 2021
Purchase price consideration:
Cash Consideration, net of cash acquired			$ 3,187	$ 4,818
CLK Acquisition [Member]
Purchase price consideration:
Cash Consideration, net of cash acquired	[1]	$ 3,187
Stock Consideration	[2]	3,840
Total purchase price consideration, net of cash acquired		$ 7,027
[1]	Includes $4.4 million paid net of $1.2 million of cash acquired.
[2]	Calculated as 179,087 shares of the Company’s common stock, multiplied by $21.44, the closing price of the Company’s common stock on the closing date.

Acquisitions (Schedule of Alloc

Acquisitions (Schedule of Allocation of purchase price consideration) (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Jun. 30, 2021	Nov. 03, 2020
Allocation of purchase price consideration:
Goodwill	$ 65,861	$ 63,881
CLK Acquisition [Member]
Allocation of purchase price consideration:
Accounts receivable			$ 1,322
Inventories			1,902
Vendor Deposits			170
Other assets			835
Equipment and improvements			841
Intangible assets			1,700
Accounts payable and accrued expenses			(948)
Accrued employee expenses			(62)
Customer deposits			(689)
Total identifiable net assets			5,071
Goodwill			1,956
Total			$ 7,027

Acquisitions (Schedule of Suppl

Acquisitions (Schedule of Supplemental Pro Forma Results of Operations) (Details) - USD ($) $ in Thousands	9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Business Combinations [Abstract]
Revenues	$ 192,731	$ 188,058
Net income	$ 3,350	$ 2,585

Earnings Per Share (Narrative)

Earnings Per Share (Narrative) (Details) - shares	9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Restricted Stock Awards [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive securities outstanding	1,400,105	1,202,275
Restricted Stock Units [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive securities outstanding	1,400,105	1,202,275

Earnings Per Share (Schedule of

Earnings Per Share (Schedule of Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Mar. 31, 2021
Earnings Per Share [Abstract]
Net income	$ 40	$ 625	$ 2,587	$ 1,604
Less: distributed and undistributed income allocated to unvested restricted common stock	4	56	261	143
Net income allocated to EVI Industries, Inc. shareholders	$ 36	$ 569	$ 2,326	$ 1,461
Weighted average shares outstanding used in basic earnings per share	12,402	12,252	12,321	12,101
Dilutive common share equivalents	261	533	375	444
Weighted average shares outstanding used in diluted earnings per share	12,663	12,785	12,696	12,545
Basic earnings per share	$ 0	$ 0.05	$ 0.19	$ 0.12
Diluted earnings per share	$ 0	$ 0.04	$ 0.18	$ 0.12

Interest and other (expense) _2

Interest and other (expense) income, net (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Mar. 31, 2021
Other Income and Expenses [Abstract]
Bargain purchase gain		$ 361		$ 361
Interest (expense), net	(125)	(164)	(390)	(483)
Interest and other (expense) income, net	$ (125)	$ 197	$ (390)	$ (122)

Debt (Narrative) (Details)

Debt (Narrative) (Details) - USD ($) $ in Millions	Nov. 02, 2018	Mar. 31, 2022
Standby Letters of Credit [Member]
Debt Instrument [Line Items]
Amount available for borrowing under the revolving line of credit facility	$ 10
Credit facility [Member]
Debt Instrument [Line Items]
Revolving line of credit facility maximum borrowing capacity	100
Revolving line of credit facility amount outstanding	$ 40
Basis of variable interest rate		LIBOR plus a margin that ranged from 1.25% to 1.75% depending on the Company’s consolidated leverage ratio, which is a ratio of consolidated funded indebtedness to consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) (the “Consolidated Leverage Ratio”) or (b) the highest of (i) prime, (ii) the federal funds rate plus 50 basis points, and (iii) the one month LIBOR rate plus 100 basis points, plus a margin that ranged from 0.25% to 0.75% depending on the Consolidated Leverage Ratio. Swingline loans accrued interest calculated at the base rate determined in accordance with clause (b) of the preceding sentence plus a margin that ranged from 0.25% to 0.75% depending on the Consolidated Leverage Ratio.
Expiration date		Nov. 2, 2023
Credit facility term	5 years	5 years
Amount available for borrowing under the revolving line of credit facility		$ 27.5
Credit facility [Member] | Maximum [Member]
Debt Instrument [Line Items]
Revolving line of credit facility maximum borrowing capacity	$ 140
Swingline Loans [Member]
Debt Instrument [Line Items]
Amount available for borrowing under the revolving line of credit facility	$ 5
Paycheck Protection Program Loan [Member]
Debt Instrument [Line Items]
Principal loan amount		$ 916,000

Debt (Schedule of Long-term deb

Debt (Schedule of Long-term debt) (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Jun. 30, 2021
Debt Disclosure [Abstract]
Revolving credit facility	$ 24,000	$ 12,000
Less: unamortized discount and deferred financing costs	(86)	(127)
Total long-term debt, net	$ 23,914	$ 11,873

Leases (Narrative) (Details)

Leases (Narrative) (Details) $ in Millions	Mar. 31, 2022USD ($)Facilities	Jun. 30, 2021USD ($)
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items]
Number of facilities financed under operating leases | Facilities	29
Total net investment in sales type leases	$ 5.6	$ 5.8
Current portion Sales type leases	1.8	0.9
Long term portion sales type leases	$ 7.4	$ 6.7
Minimum [Member]
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items]
Lease term	3 years
Maximum [Member]
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items]
Lease term	10 years

Leases (Schedule of Maturities

Leases (Schedule of Maturities of Operating Lease Liabilities) (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Jun. 30, 2021
Operating leases
2022 (remainder of)	$ 688
2023	2,579
2024	1,727
2025	1,169
2026	803
Thereafter	1,921
Total minimum lease payments	8,887
Less: amounts representing interest	645
Present value of minimum lease payments	8,242
Less: current portion	2,458	$ 2,131
Long-term portion	$ 5,784	$ 5,567

Leases (Schedule of Operating L

Leases (Schedule of Operating Leases) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Mar. 31, 2021
Operating lease cost
Operating lease cost	$ 671	$ 482	$ 1,781	$ 1,475
Short-term lease cost				12
Variable lease cost	44	122	320	287
Total lease cost	$ 715	$ 604	$ 2,101	$ 1,774
Other information
Weighted average remaining lease terms - operating leases	4 years 10 months 24 days		4 years 10 months 24 days
Weighted average discount rate - operating leases	3.10%		3.10%

Leases (Schedule of Supplementa

Leases (Schedule of Supplemental Cash Flow Information Related to Company's Long-Term Operating Lease Liabilities) (Details) - USD ($) $ in Thousands	9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Leases [Abstract]
Cash paid for amounts included in the measurement of lease liabilities:	$ 1,919	$ 1,475
Operating lease right-of-use assets obtained in exchange for operating lease liabilities:	$ 2,010	$ 3,793

Leases (Schedule of Future Mini

Leases (Schedule of Future Minimum Lease Payments Receivable) (Details) $ in Thousands	Mar. 31, 2022USD ($)
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items]
2022 (remainder of)	$ 409
2023	1,361
2024	1,101
2025	852
2026	660
Thereafter	516
Future minimum lease payments receivable	4,899
Total Minimum Lease Payments Receivable [Member]
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items]
2022 (remainder of)	1,004
2023	3,356
2024	2,577
2025	1,825
2026	1,211
Thereafter	935
Amortization of Unearned Income [Member]
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items]
2022 (remainder of)	595
2023	1,995
2024	1,476
2025	973
2026	551
Thereafter	$ 419

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Jun. 30, 2021
Deferred tax liabilities, net	$ 4,157	$ 4,208
Income Taxes [Member]
Deferred tax liabilities, net	$ 42,000	$ 42,000

Equity Plans (Narrative) (Detai

Equity Plans (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Mar. 31, 2021
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares authorized under 2015 Equity Incentive Plan	3,000,000		3,000,000
Non-cash share-based compensation expense	$ 627	$ 640	$ 1,900	$ 1,800
Common Stock [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock issued under employee stock purchase plan			2,008	693
Proceeds from issuance			$ 59	$ 21
2017 Employee Stock Purchase Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Discount rate on purchase of common stock	5.00%		5.00%
Restricted Stock Awards [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares granted			134,612	8,624
Unrecognized compensation expense, net of estimated forfeitures, related to non-vested restricted stock	$ 18,500		$ 18,500
Weighted-average period			17 years 1 month 6 days
Number of stock Forfeited			13,203	1,492
Restricted Stock Units [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares granted	79,393	2,400	135,816	204,014
Unrecognized compensation expense, net of estimated forfeitures, related to non-vested restricted stock	$ 9,500		$ 9,500
Weighted-average period			10 years 9 months 18 days
Number of stock Forfeited	1,130		9,457
Stock Awards [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares granted			8,287

Equity Plans (Schedule of Non-v

Equity Plans (Schedule of Non-vested Restricted Stock Activity) (Details) - $ / shares	3 Months Ended	9 Months Ended
	Mar. 31, 2022	Mar. 31, 2022	Mar. 31, 2021
Restricted Stock Awards [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Non-vested awards or units outstanding at June 30, 2021		919,259
Granted		134,612
Vested		(14,485)
Forfeited		(13,203)	(1,492)
Non-vested awards or units outstanding at March 31, 2022	1,026,183	1,026,183
Weighted-Average Grant Date Fair Value June 30, 2021		$ 19.59
Granted		35.32
Vested		25.11
Forfeited		14.20
Weighted-Average Grant Date Fair Value March 31, 2022	$ 21.65	$ 21.65
Restricted Stock Units [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Non-vested awards or units outstanding at June 30, 2021		253,913
Granted		135,816
Vested		(6,350)
Forfeited	(1,130)	(9,457)
Non-vested awards or units outstanding at March 31, 2022	373,922	373,922
Weighted-Average Grant Date Fair Value June 30, 2021		$ 30.92
Granted		24.54
Vested
Forfeited		33.68
Weighted-Average Grant Date Fair Value March 31, 2022	$ 28.56	$ 28.56

Transactions with Related Par_2

Transactions with Related Parties (Details)	1 Months Ended	3 Months Ended		9 Months Ended
	Jan. 04, 2019USD ($)	Mar. 31, 2022USD ($)ft²	Mar. 31, 2021USD ($)	Mar. 31, 2022USD ($)ft²	Mar. 31, 2021USD ($)
Dennis Mack and Tom Marks [Member] | Western State Design [Member]
Related Party Transaction [Line Items]
Original lease term		5 years		5 years
Area of lease | ft²		17,600		17,600
Lease start date				Oct. 31, 2016
Annual rent payment, year one		$ 12,000		$ 12,000
Monthly base rent				19,000
Rental expense		$ 57,000	$ 36,000	$ 150,000	$ 108,000
Matt Stephenson [Member] | Tri-State [Member]
Related Party Transaction [Line Items]
Original lease term		5 years		5 years
Area of lease | ft²		81,000		81,000
Lease start date				Oct. 31, 2017
Annual rent payment, year one		$ 21,000		$ 21,000
Rental expense		$ 63,000	63,000	$ 189,000	189,000
Mike Zuffinetti [Member]
Related Party Transaction [Line Items]
Original lease term	5 years
Rental expense	$ 36,000
Mike Zuffinetti [Member] | AAdvantage [Member]
Related Party Transaction [Line Items]
Original lease term		5 years		5 years
Area of lease | ft²		5,000		5,000
Lease start date				Feb. 28, 2018
Annual rent payment, year one		$ 4,000		$ 4,000
Monthly base rent				26,000
Rental expense		$ 120,000	120,000	$ 360,000	360,000
Scott Martin [Member] | Scott Equipment [Member]
Related Party Transaction [Line Items]
Original lease term		5 years		5 years
Area of lease | ft²		18,000		18,000
Lease start date				Sep. 30, 2018
Annual rent payment, year one		$ 11,000		$ 11,000
Rental expense		$ 35,000	35,000	$ 103,000	103,000
Frank Costabile [Member] | PAC Industries Inc. [Member]
Related Party Transaction [Line Items]
Original lease term		4 years		4 years
Area of lease | ft²		29,500		29,500
Lease start date				Feb. 28, 2019
Annual rent payment, year one		$ 15,000		$ 15,000
Rental expense		$ 46,000	45,000	$ 137,000	135,000
Peter Limoncelli [Member] | Yankee Equipment Systems [Member]
Related Party Transaction [Line Items]
Original lease term		3 years		3 years
Area of lease | ft²		12,500		12,500
Lease start date				Nov. 30, 2020
Annual rent payment, year one		$ 11,000		$ 11,000
Rental expense		$ 36,000	$ 35,000	$ 106,000	$ 57,000
William Kincaid [Member] | Consolidated Laundry Equipment [Member]
Related Party Transaction [Line Items]
Original lease term		3 years		3 years
Area of lease | ft²		20,300		20,300
Lease start date				Feb. 28, 2022
Annual rent payment, year one		$ 20,000		$ 20,000
Rental expense		$ 20,000		$ 20,000

Goodwill (Schedule of Carrying

Goodwill (Schedule of Carrying Amount of Goodwill) (Details) $ in Thousands	9 Months Ended
	Mar. 31, 2022USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Balance at June 30, 2021	$ 63,881
Goodwill from acquisition	1,956	[1]
Working capital adjustments	24	[2]
Balance at March 31, 2022	$ 65,861
[1]	Relates to the CLK Acquisition which was consummated during February 2022, as described in Note 4, “Acquisitions.”
[2]	Represents working capital adjustments related to business acquisitions consummated by the Company during the fiscal year ended June 30, 2021.