HUNTINGTON, W.Va., May 31, 2023
/PRNewswire/ -- Energy Services of America Corporation (the
"Company" or "Energy Services") (Nasdaq: ESOA), generated net loss
of ($1.9) million, fully diluted loss
per share of ($0.11), revenues of
$53.7 million, and adjusted EBITDA of
($120,000) for the three months ended
March 31, 2023. The Company had
a backlog of $224.6 million
(unaudited) at March 31, 2023, as
compared to $142.3 million
(unaudited) and $120.3 million
(unaudited) at September 30, 2022 and
March 31, 2022, respectively.
Douglas Reynolds, President,
commented on the announcement. "The first six months of fiscal year
2023 have largely been about preparing for the opportunities we are
seeing in the third and fourth quarters of fiscal year 2023 and
beyond. We have brought in a great deal of experience and talent
into the organization to increase our gas transmission
opportunities. We also have seen a significant increase in
large-scale industrial and manufacturing construction
opportunities." Reynolds continued, "We have a strong backlog of
$224.6 million (unaudited) at
March 31, 2023 and are looking
forward to the upcoming construction season and creating greater
shareholder value."
Below is a comparison of the Company's operating results for the
three and six months ended March 31,
2023 and 2022 (unaudited):
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As Restated
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As Restated
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Three Months
Ended
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Three Months
Ended
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Six Months
Ended
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Six Months
Ended
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|
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March 31,
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March 31,
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March 31,
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March 31,
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2023
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2022
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2023
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2022
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Unaudited
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Unaudited
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Unaudited
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Unaudited
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Revenue
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$
53,673,443
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|
$
35,392,578
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$
113,716,028
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$
78,051,703
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Cost of
revenues
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49,772,790
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|
32,526,959
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|
103,829,113
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|
69,877,711
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Gross profit
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3,900,653
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2,865,619
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|
9,886,915
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|
8,173,992
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Selling and
administrative expenses
|
5,887,747
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3,417,039
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11,203,885
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|
7,049,634
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(Loss) income from
operations
|
(1,987,094)
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(551,420)
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(1,316,970)
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1,124,358
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Other income
(expense)
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Interest
income
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124
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-
|
|
196
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|
576
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Other nonoperating
expense
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(10,524)
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(109,810)
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(91,187)
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(263,238)
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Interest
expense
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(574,546)
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(169,530)
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(1,073,974)
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(392,233)
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Gain on sale of
equipment
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48,280
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19,896
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16,937
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359,792
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(536,666)
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(259,444)
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(1,148,028)
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(295,103)
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(Loss) income before
income taxes
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(2,523,760)
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(810,864)
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(2,464,998)
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829,255
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Income tax (benefit)
expense
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(650,160)
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(200,463)
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(729,772)
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293,820
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Net (loss)
income
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$
(1,873,600)
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$
(610,401)
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$
(1,735,226)
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$
535,435
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Weighted average shares
outstanding-basic
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16,666,683
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16,247,898
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16,667,062
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16,247,898
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Weighted average
shares-diluted
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16,666,683
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16,247,898
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16,667,062
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16,247,898
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(Loss) earnings per
share
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$
(0.11)
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$
(0.04)
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$
(0.10)
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$
0.03
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(Loss) earnings per
share-diluted
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$
(0.11)
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$
(0.04)
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$
(0.10)
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$
0.03
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Please refer to the table below that reconciles adjusted EBITDA
with net income (unaudited):
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As Restated
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|
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As Restated
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Three Months
Ended
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|
Three Months
Ended
|
|
Six Months
Ended
|
|
Six Months
Ended
|
|
March 31,
2023
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|
March 31,
2022
|
|
March 31,
2023
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|
March 31,
2022
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Unaudited
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Unaudited
|
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Unaudited
|
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Unaudited
|
|
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Net (loss)
income
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$
(1,873,600)
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|
$
(610,401)
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|
$
(1,735,226)
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$
535,435
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Less: Income tax
(benefit) expense
|
(650,160)
|
|
(200,463)
|
|
(729,772)
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|
293,820
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Add: Interest
expense
|
574,546
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|
169,530
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1,073,974
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|
392,233
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Less: Non-operating
(income) expense
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(37,880)
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89,914
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|
74,054
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(97,130)
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Add: Depreciation
expense
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1,866,789
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|
1,288,529
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3,629,111
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2,593,025
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Adjusted
EBITDA
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$
(120,305)
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$
737,109
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$
2,312,141
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$
3,717,383
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Use of Non-GAAP Financial Measures
In addition to the financial measures prepared in accordance
with U.S. generally accepted accounting principles (GAAP), this
press release contains certain non-GAAP financial measures. The
reasons for the use of these measures, reconciliations of these
non-GAAP financial measures to the most directly comparable GAAP
measures and other information relating to these measures are
included herein. Non-GAAP financial measures have limitations as
analytical tools and should not be considered in isolation or as a
substitute for our financial results prepared in accordance with
GAAP.
About Energy Services
Energy Services of America Corporation (NASDAQ: ESOA),
headquartered in Huntington, WV,
is a contractor and service company that operates primarily in the
mid-Atlantic and Central regions of the
United States and provides services to customers in the
natural gas, petroleum, water distribution, automotive, chemical,
and power industries. Energy Services employs 1,000+ employees on a
regular basis. The Company's core values are safety, quality, and
production.
Certain statements contained in the release including, without
limitation, the words "believes," "anticipates," "intends,"
"expects" or words of similar import, constitute "forward-looking
statements" within the meaning of section 21E of the Securities
Exchange Act of 1934, as amended (the "Exchange Act"). Such
forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause the actual results,
performance, or achievements of the Company to be materially
different from any future results, performance or achievements of
the Company expressed or implied by such forward-looking
statements. Such factors include, among others, general economic
and business conditions, changes in business strategy or
development plans, the effect of the COVID-19 pandemic, the
integration of acquired business and other factors referenced in
this release, risks and uncertainties related to the restatement of
certain of our historical consolidated financial statements. Given
these uncertainties, prospective investors are cautioned not to
place undue reliance on such forward-looking statements. The
Company disclaims any obligation to update any such factors or to
publicly announce the results of any revisions to any of the
forward-looking statements contained herein to reflect future
events or developments.
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content:https://www.prnewswire.com/news-releases/energy-services-of-america-announces-financial-results-for-the-three-and-six-months-ended-march-31-2023-301838975.html
SOURCE Energy Services of America