Hello, and welcome to EVI Industries Earnings Call for the First Quarter of the Fiscal Year ending June 30, 2023.
This is Henry Nahmad, Chairman and CEO of EVI.
Before we proceed, we would like to disclose our cautionary statement.
This earnings call contains forward-looking statements as defined by SEC laws and regulations.
Forward-looking statements are subject to a number of risks and uncertainties, including those set forth in our earnings press release issued today and in our SEC filings, including the Risk Factors section of our annual report on Form 10-K for the fiscal year ended June 30, 2022.
materially statements. expressed differ by or may forward-looking the results from in those implied Actual
also a company call non-GAAP in This includes performance. financial is EBITDA, evaluating measure a which that the believes useful discussion is of adjusted
GAAP issued to Please information for the net we adjusted income regarding press reconciliation a comparable how additional EBITDA including to today and refer financial EBITDA, of earnings to define our measure. release adjusted adjusted most EBITDA
and quarter our results for Today, connection the our progress I will our with fiscal in summarize operating first share long-term objectives.
operating on achieved our first that quarter, is pursuit performance reflect entrepreneurial term. in operating the well-synchronized substantial instrumental success customers XXX has For long-term been and a a principles, our to results maintaining thus to of to executing number testament to upholding important focused we efforts series our This of our these the record leaders culture, metrics. staying of operate values dedicated performance also an goals. over financial our and our employees on discipline, far. believe financial including empowering initiatives Each these We in of the of long serving a while locally
long-term our strategy. and OEMs, with And starting joining future. our we leaders position the owners, working given leader laundry to and/or industry, that benefits customers continue prospective family our market in our to and to success in While the to the industry, of still early attracted we realize North EVI American the will business company be to we are believe in build undisputed are a the strategy in commercial some of
in adjusted quarter revenue fulfillment our record to factors connection same of compared start maintenance despite with $X.X record and or stocked chain This had in of These as inventory, sales an increase million repair period of X% backlog record XX% services sale We About of from and installations the prior approximately contributed performance and million $XX ongoing million, net a supply challenges. our equipment operating reflects approximately the of revenue. of continued customer reported accessories. fiscal excellent year our and fiscal orders $X.X from of appropriately to EBITDA to revenue revenue sales, year. income we performance, and first parts steady
with calls, company. over As build single acquired We our in largest I've growing quality relationships and industry, and the organization types the and with secure stated Combined of prior our new commercial They laundries products and professionals experience. array sizes. in sales force support sales of employ actively to our the customer backbone company. resources, of our the industry business all sales our priceless company of is equipped knowledge opportunities decades for capabilities serve are
profit $XX.X revenue, a record increased increase gross to and basis margin In XXX increased in million, XX.X%. to significant record a addition gross the XX% points to
in improvement deployment improved factors, continuous by, gross intelligence advanced margin have of among Our operating that pricing is from the new other analytics. technologies derived business driven
capable network our driven service and aspect on X national new higher-margin Executing opportunities laundry serving across commercial company. core of of categories. growth strategy part build to sales growth installation of a our a is Additionally, also has our customers for strategy and all this
operating per our profit income of and operating income expenses gross The level share increases XX% share. operating expenses, deployment to $X.X a new goals. can increased operating the investment net diluted Ultimately, by in XX% revenue, size million, to million million share higher per earnings $X.X from $X.X a which feel related belief operating approximately we efforts to other record connection million, our a revenue with a to increase and increased greater continued We was to achieve driven our with record technologies per that a alone, and increased advanced from X% $X.XX of and million $X results businesses, or validate largely EBITDA record offset an that increased optimization in in in $X.X leverage. $X.XX our record from adjusted of to acquired
getting leaders culture faster smarter better company. is technologies business we are by continue our bigger, to across provided deploy information While making our from our collaborative resulting also advanced decisions leadership our and and the
leverage our effectiveness the our to scale up confident remain to the have commercial level customers in Given laundry of and we services of a products more ability our undertaken, business around we business. provide operating the as greater achieve and in initiatives we
the on as strategy first acquisitions. component of during X execute our acquisitions, continued quarter, the we completed growth buy to we On long-term
installation first across the Southeast acquisition region industrial of and The the customer acquisition maintenance laundry enhances segments. installation Laundry capabilities growing provider and and a which services to the service base to Service, on-premise States. our is our was United This K&B of
and commercial installation The related services commercial is of which and customers provider laundry United second of products acquisition Northeast a laundry in Aldrich States. the of was a to maintenance distributor region Clean-Tech, the
announced our the of on our long-term of inception acquisition acquisition quarter, of our strategy. growth XXrd third and Following fiscal since we completion first the the closed XXXX and
result profitability As I've through which significant many achieve growth. believe will our strategy, and times, in revenue buy-and-build planting attractive requires buy seeds focus, that we mentioned long-term will we opportunities
culture, and approach addition discipline, the have all Our a nurturing with requires we which demonstrated high-quality of patience these of thoughtfulness, businesses.
strength acquisition commercial about and our and our laundry and of remain robust health growth and optimistic opportunities long-term excited of around plans outlook. pipeline the Given the in company we and industry, the
aggressive we opportunities our financial principles. growth on but disciplined our long-term consider to strategy, have the of commencement Moving based balance sheet. pursuit of been in our Since buy-and-build
believe on navigate utilized flexibility us turbulent that with debt-conservative times capitalize to opportunities. We has have a and simultaneously ample growth to provided we approach attractive
was during and ample our to acquisitions leverage low by net sheet the million $X compared The Despite provided XX, continue strong result completed million at and first as capital the of of our the investment continued debt Net debt XXXX. reflects we balance $XX have increase increase, recently which end quarter increase credit renewed working with facility. the June the a liquidity an in is $XXX million quarter. in to
As a the building in have business high-quality continue of investing businesses, and long-term buying in pursuit we our we goals. result, flexibility working our believe capital to
I shareholders the produce to the to so, our and long-term years just undisputed on reiterate that returns journey leader term. on long ago, strategy the want in goals, for around build long-term and X Finally, we industry in embarked our over and doing commercial attractive laundry a
committed we when a long-term, beginning, that acts are growth-focused thoughtful that from As the conviction stated the is have is right. and and with we company opportunity
principles, true improve stayed acquired customer our operating have our margins margins. and good value and strengthened proposition businesses, consistently financial We gross to
We benefits just beginning also initiatives. to optimization believe realize that the our we are of
dynamic, entrepreneurial leaders of laundry the well-respected Supporting these is efforts industry. from commercial a and across collection
to and which approach earned of add we us seek may -- including family, owners talented we results growing a among seek and our industry, quality who Our positive may hire. among professionals businesses, to have EVI in reputation and our may around who
reasons and optimistic call, about remain earnings the these and this growth mentioned during others our plans For we long-term outlook. excited and
loyal XXXX. EVI. support to quarter the thank comments ended our employees, suppliers and next This in your our of time, and XX, and for June to year related shareholders closing, want customers our In well. participation fiscal Until first I concludes valued my be
