Revenue and Profit - Revenue for the three-month period ended December 31, 2024, reached a record of $92.7 million, a 1% increase compared to the same period in 2023[4] - Gross profit for the same three-month period increased by 4% to a record of $27.5 million, with gross margin rising to 29.7% from 28.9%[4] - For the six-month period, revenue increased by 4% to a record of $186.3 million, while gross profit rose by 8% to $56.4 million, achieving a gross margin of 30.3%[4] - Revenues for the six months ended December 31, 2024, increased to $186,336,000, up from $179,438,000 for the same period in 2023, representing a growth of 4.9%[19] - Gross profit for the six months ended December 31, 2024, was $56,377,000, compared to $52,098,000 in 2023, reflecting an increase of 8.7%[19] - Net income for the six months ended December 31, 2024, rose to $4,360,000, a significant increase from $2,623,000 in the prior year, marking a growth of 66.3%[19] - Adjusted EBITDA for the six-month period increased to a record of $12.7 million, or 6.8%, compared to $11.5 million, or 6.4% in the previous year[4] - Adjusted EBITDA for the six months ended December 31, 2024, was $12,749,000, compared to $11,492,000 in 2023, indicating an increase of 10.9%[24] Operating Income and Cash Flow - Operating income for the three-month period was $2.4 million, down from $3.0 million in the prior year, while net income was $1.1 million, or 1.2%[4] - Operating activities generated cash of $2.2 million during the six-month period, a decrease of $8.7 million compared to the same period in 2023[10] - The company reported a net cash provided by operating activities of $2,176,000 for the six months ended December 31, 2024, a decrease from $10,858,000 in the same period of 2023[21] Dividends and Capital Expenditures - The company paid a dividend of $4.6 million, marking the largest dividend in its history[4] - The company paid dividends totaling $4,593,000 during the six months ended December 31, 2024, compared to $4,071,000 in the same period of 2023, an increase of 12.9%[21] - Capital expenditures for the six months ended December 31, 2024, were $2,124,000, slightly down from $2,376,000 in the prior year[21] Assets and Liabilities - Total assets as of December 31, 2024, were $248,802,000, up from $230,659,000 as of June 30, 2024, representing an increase of 7.8%[20] - Long-term debt increased to $27,920,000 as of December 31, 2024, compared to $12,903,000 as of June 30, 2024, reflecting a significant rise of 116.5%[20] - Cash at the end of the period decreased to $3,905,000 from $4,558,000 at the beginning of the period, a decline of 14.3%[21] Acquisitions and Workforce Growth - The company completed two acquisitions during the six-month period, enhancing its sales and service expertise in the Southeast region[4] - The sales team grew by 3% to over 190 professionals, while the service team increased by 10% to over 425 professionals, supporting expansion efforts[8] - The company has a backlog of over $100 million in confirmed customer sales orders, indicating strong future revenue potential[5]

Financial Performance - Revenues for the six-month period ended December 31, 2024 increased by $6.9 million, or 4%, compared to the same period in the prior fiscal year[95] - Gross profit for the six-month period ended December 31, 2024 increased by $4.3 million, or 8%, with gross margins rising from 29.0% to 30.3%[96] - Operating expenses increased by $2.5 million, or 5%, for the six-month period ended December 31, 2024, primarily due to expenses from acquired businesses and increased selling costs[97] - Interest expense decreased to $1.2 million for the six-month period ended December 31, 2024, down from $1.6 million in the same period of the prior year[98] - The effective tax rate decreased to 30.0% for the six-month period ended December 31, 2024, compared to 34.0% for the same period in the prior year[100] - Net income for the six-month period ended December 31, 2024 was $4.4 million, an increase from $2.6 million in the same period of the prior year[101] - Gross profit for the three-month period ended December 31, 2024 increased by $1.1 million, or 4%, compared to the same period in the prior fiscal year[96] Acquisitions and Growth Strategy - The Company acquired Laundry Pro of Florida, Inc. for $5.9 million in cash on July 1, 2024, and O'Dell Equipment & Supply, Inc. for $4.6 million in cash on November 1, 2024[89] - The Company implemented a "buy-and-build" growth strategy, focusing on acquisitions and optimizing operations at acquired businesses[89] - The Company aims to increase market share through various strategies, which may lead to lower gross margins in the short term but strengthen customer relationships in the long term[91] Assets and Liabilities - Total assets increased from $230.7 million at June 30, 2024 to $248.8 million at December 31, 2024, primarily due to increases in current assets and intangible assets from acquisitions[102] - Total liabilities rose from $94.1 million at June 30, 2024 to $110.8 million at December 31, 2024, mainly driven by an increase in long-term debt[102] - Working capital increased from $32.1 million at June 30, 2024 to $41.4 million at December 31, 2024, reflecting higher accounts receivable and inventory[104] Cash Flow and Financing - Cash provided by operating activities decreased to $2.2 million for the six months ended December 31, 2024, down from $10.9 million in the same period of 2023[107] - Net cash used in investing activities increased to $12.6 million for the six months ended December 31, 2024, compared to $3.4 million in 2023, with cash paid for acquisitions rising by $9.5 million[108] - Financing activities provided cash of $9.8 million for the six months ended December 31, 2024, compared to cash used of $9.2 million in 2023, primarily due to increased debt borrowings[109] - As of December 31, 2024, the Company had approximately $28.0 million of outstanding borrowings under its Credit Agreement with a weighted average interest rate of 5.88%[120] - The Credit Agreement allows for borrowings up to $100 million, with an accordion feature to increase by up to $40 million, and the maturity date is May 6, 2027[110] Economic Factors - Inflation did not significantly affect the Company's results, but there are risks related to the current inflationary trend impacting product pricing[114] - The Company believes existing cash and anticipated cash from operations will be sufficient to fund operations and capital expenditures for at least the next twelve months[113]

Financial Data and Key Metrics Changes - The company reported record revenues of $93 million for the three-month period and $186 million for the six-month period, representing a 1% and 4% increase respectively compared to the same period last year [4][5] - Gross profit reached $28 million for the quarter and $56 million for the six months, with a gross margin of 30% for the six-month period [4][8] - Adjusted EBITDA for the six-month period was $12.7 million, reflecting a compounded annual growth rate of 28% since 2016 [4][10] Business Line Data and Key Metrics Changes - The modest revenue increases were attributed to irregular industrial revenue and delays in large sales order contracts, despite a recurring base of industrial business [6][7] - The company achieved record gross profits, partly due to a shift towards higher-margin parts and services [8] Market Data and Key Metrics Changes - The company has a backlog of over $100 million in equipment sales, indicating strong future revenue potential [7] - The company completed two acquisitions during the six-month period and a third acquisition shortly after, expanding its presence in the Southeast and Midwest regions of the United States [11][12] Company Strategy and Development Direction - The long-term growth strategy focuses on becoming a leader in the commercial laundry industry, with a compounded annual growth rate in revenue, net income, and adjusted EBITDA of 31%, 19%, and 28% respectively since 2016 [3][4] - The company emphasizes a "buy and build" strategy, acquiring family-owned businesses while preserving their culture and legacy [12][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth prospects, citing a strong financial position and ongoing investments in technology and acquisitions [10][14] - The company aims to leverage its technology initiatives to enhance sales and operational efficiency, despite short-term financial impacts [9][10] Other Important Information - A special cash dividend of $4.6 million was declared, marking the largest dividend in the company's history [5][10] - The company has increased its net debt from $8.3 million to $24 million due to acquisitions and working capital investments [11] Q&A Session Summary - No specific questions and answers were provided in the content, thus this section is not applicable.

Core Insights - EVI Industries, Inc. reported record financial results for the first fiscal quarter ending September 30, 2024, with net earnings per share increasing to 21 cents from 9 cents year-over-year, and revenues rising 6% to $93.6 million [2][3] Financial Performance - Gross profit reached a record $28.9 million, up 12% from the previous year, with gross margin improving to 30.8% from 29.2% [3] - Operating income surged 92% to $5 million, while net income more than doubled to $3.2 million, representing 3.5% of revenue compared to 1.5% the previous year [3] - Adjusted EBITDA also set a record at $7.6 million, reflecting a 27% increase from last year's $6 million [3] Business Metrics - EVI secured new customer contracts exceeding the volume of fulfilled orders, indicating strong demand and potential future revenue streams [5] - The company achieved notable gains in gross and operating margins due to operational efficiencies [5] Management Commentary - CEO Henry M. Nahmad attributed the record performance to the workforce and emphasized the company's strategic focus on acquisition-driven expansion, operational efficiencies, and technological investments [6] Factors Influencing Performance - EVI's performance was supported by steady order fulfillment, strategic investments in operational efficiencies, and enhancements to technology infrastructure [7] - The focus on advanced field service technology and enterprise resource planning contributed to improved operational metrics [7] Financial Position - Cash flow from operating activities decreased to $0.2 million from $1.5 million a year earlier, primarily due to working capital changes [8] - Net debt increased from $8.3 million to $15.5 million, largely due to acquisition-related expenses [8] Other Developments - EVI completed the acquisition of Laundry Pro of Florida and expanded further with the acquisition of O'Dell Equipment and Supply [8] - The company declared a special cash dividend of 31 cents per share, the largest in its history, reinforcing its commitment to shareholder returns [8]

Financial Performance - Revenue increased 6% to a record $93.6 million compared to the first quarter of fiscal 2024[3] - Gross profit increased 12% to a record $28.9 million, with gross margin rising to 30.8% from 29.2%[3] - Operating income reached a record $5.0 million, up from $2.6 million, reflecting a 92% increase[3] - Net income surged 152% to a record $3.2 million, or 3.5% of revenue, compared to $1.3 million, or 1.5%[3] - Adjusted EBITDA was a record $7.6 million, representing 8.1% of revenue, up from $6.0 million, or 6.8%[3] - Revenues for the three months ended September 30, 2024, were $93,625,000, an increase of 6.4% compared to $88,074,000 for the same period in 2023[17] - Gross profit for the same period was $28,855,000, up from $25,692,000, reflecting a gross margin increase[17] - Operating income rose significantly to $4,989,000, compared to $2,617,000 in the prior year, marking an increase of 90.4%[17] - Net income for the quarter was $3,231,000, a substantial increase from $1,282,000, representing a growth of 152.5%[17] - Adjusted EBITDA for the three months ended 09/30/24 was $7,606,000, up from $6,019,000 in the prior year, reflecting a 26.4% growth[21] Dividends and Shareholder Returns - A special cash dividend of $4.6 million was declared, marking the largest dividend in the company's history[3] Acquisitions and Growth Strategy - The company completed one acquisition during the quarter, enhancing its Southeast Group's sales and service expertise[4] - The company is actively pursuing additional acquisition opportunities to enhance its growth strategy[5] - Common stock issued for acquisitions amounted to $4,593,000, compared to $229,000 in the previous year[20] - The company continues to focus on strategic acquisitions and enhancing its product offerings to drive future growth[21] Debt and Cash Flow - The company’s net debt increased from $8.3 million to $15.5 million, primarily due to cash paid for acquisitions[10] - Cash at the end of the period was $4,373,000, a slight decrease from $4,558,000 at the beginning of the period[19] - Net cash provided by operating activities was $207,000, down from $1,540,000 in the same quarter last year[19] - The company incurred $5,885,000 in cash paid for acquisitions during the quarter, compared to $987,000 in the prior year[19] - Cash paid for interest during the period decreased to $413,000 from $767,000 year-over-year, a reduction of 46.2%[20] - Cash paid for income taxes was $0 for the three months ended 09/30/24, compared to $3,171,000 in the same period last year[20] Tax and Expenses - Provision for income taxes increased to $1,276,000 from $565,000, indicating a 126.5% rise[21] - Interest expense, net, decreased to $482,000 from $770,000, a decline of 37.4%[21] - Depreciation and amortization remained relatively stable at $1,550,000 compared to $1,546,000 in the prior year[21] - Amortization of share-based compensation decreased to $1,067,000 from $1,856,000, a drop of 42.5%[21] Long-term Growth - Since 2016, the company has achieved a compounded annual growth rate in revenue, net income, and adjusted EBITDA of 32%, 20%, and 30%, respectively[2] - Total assets as of September 30, 2024, were $245,528,000, up from $230,659,000 as of June 30, 2024[18] - Current liabilities increased to $77,831,000 from $69,803,000, indicating a rise in short-term obligations[18] - Basic earnings per share increased to $0.22 from $0.09, while diluted earnings per share rose to $0.21 from $0.09[17]

Financial Performance - Revenues for the three-month period ended September 30, 2024 increased by $5.6 million, or 6%, compared to the same period of the prior fiscal year[82]. - Gross profit for the three-month period ended September 30, 2024 increased by $3.2 million, or 12%, with gross margins rising from 29.2% to 30.8%[83]. - Net income for the three months ended September 30, 2024 was $3.2 million, an increase from $1.3 million in the same period of the prior fiscal year[86]. - Interest expense decreased to $482,000 for the three-month period ended September 30, 2024, down from $770,000 in the same period of the prior fiscal year[85]. - The effective tax rate decreased to 28.3% for the three-month period ended September 30, 2024, compared to 30.6% for the same period of the prior fiscal year[85]. Expenses and Liabilities - Operating expenses increased by $0.8 million, or 3%, primarily due to operating expenses of acquired businesses and increases in selling costs[84]. - Total liabilities rose from $94.1 million at June 30, 2024 to $109.5 million at September 30, 2024, mainly due to increased accounts payable and long-term debt[87]. Acquisitions and Growth Strategy - The Company acquired Laundry Pro of Florida, Inc. for $5.9 million in cash on July 1, 2024, and O'Dell Equipment & Supply, Inc. for $4.6 million in cash on November 1, 2024[76]. - The "buy-and-build" growth strategy includes pursuing acquisitions and implementing a growth culture at acquired businesses[76][77]. - The Company aims to increase market share through various strategies, which may lead to lower gross margins but strengthen customer relationships[78]. Assets and Working Capital - Total assets increased from $230.7 million at June 30, 2024 to $245.5 million at September 30, 2024, primarily due to increases in current assets and goodwill from the acquisition of Laundry Pro of Florida[87]. - Working capital increased from $32.1 million at June 30, 2024 to $34.5 million at September 30, 2024, reflecting increases in accounts receivable and inventory[89]. Cash Flow and Financing - Cash provided by operating activities was $0.2 million for the three months ended September 30, 2024, down from $1.5 million in the same period of 2023, a decrease of $1.3 million[92]. - Investing activities used cash of $7.1 million for the three months ended September 30, 2024, compared to $2.0 million in the same period of 2023, an increase of $5.1 million primarily due to business acquisitions[93]. - Financing activities provided cash of $6.7 million for the three months ended September 30, 2024, compared to cash used of $1.3 million in the same period of 2023, an increase of $8.0 million[94]. - As of September 30, 2024, the Company had approximately $20 million of outstanding borrowings under its Credit Agreement with a weighted average interest rate of 6.40%[106]. Dividends and Future Outlook - The Company declared a special cash dividend of $0.31 per share, totaling $4.6 million, on September 11, 2024, payable on October 7, 2024[87]. - The Company believes existing cash and anticipated cash from operations will be sufficient to fund operations and capital expenditures for at least the next twelve months[99]. Inflation Impact - Inflation did not significantly affect the Company's results, but there are risks related to the current inflationary trend impacting product pricing[100].

Core Insights - EVI Industries, Inc. reported a 7.7% increase in earnings per share (EPS) to 14 cents in Q4 fiscal 2024, despite a 4% decline in revenues to $90.1 million [1][2] - The company demonstrated resilience in its core commercial laundry services, even as larger industrial project sales weakened [1][2] Financial Performance - Gross profit for Q4 was $27.4 million, slightly down from $27.8 million, but gross margin improved to 30.4%, the highest in company history [3] - Net income increased by 10.5% year over year to $2.1 million, aided by lower interest expenses and improved operating efficiencies [4] - Adjusted EBITDA was $6.2 million, down from $6.4 million, with an EBITDA margin of 6.8% [4] Balance Sheet and Cash Flow - As of June 30, 2024, EVI had $4.6 million in cash, total assets of $230.7 million, and long-term debt reduced to $12.9 million from $34.9 million [5] - The company generated record operating cash flows of $33 million for fiscal 2024, leading to a 71% reduction in net debt to $8.3 million [6] Annual Overview - For the full fiscal year, EPS declined to 37 cents from 67 cents, with revenues relatively flat at $353.6 million [7] - Gross profit for the year was $105.3 million, a 2% increase, while operating income fell to $11.6 million from $16.5 million [7] Strategic Developments - EVI completed two acquisitions in fiscal 2024 and executed a third purchase agreement for a Florida-based commercial laundry distributor, aligning with its buy-and-build strategy [7] - The company declared a special cash dividend of 31 cents per share, a 10% increase from the previous year, reflecting strong cash flow generation [8] Technological Advancements - EVI expanded its use of field service technology and began implementing an e-commerce platform, which is expected to contribute to long-term growth despite short-term cost increases [9]

Financial Performance - Revenue for fiscal 2024 was $353.6 million, flat compared to $354.2 million in fiscal 2023[3] - Gross profit increased 2% to a record $105.3 million, with a gross margin of 29.8%, up from 29.3%[3] - Adjusted EBITDA for fiscal 2024 was $22.6 million, or 6.4%, compared to $25.6 million, or 7.2% in the previous year[3] - Operating income decreased to $11,628 thousand for the 12 months ended June 30, 2024, down from $16,506 thousand in 2023, indicating a decline of 29.6%[18] - Net income for the 12 months ended June 30, 2024, was $5,646 thousand, a decrease of 41.5% from $9,719 thousand in 2023[18] - Basic net earnings per share for the 12 months ended June 30, 2024, were $0.39, down from $0.68 in the previous year[18] - Adjusted EBITDA for the twelve months ended 06/30/24 was $22,585,000, down 11.7% from $25,592,000 in the previous year[24] Cash Flow and Liquidity - Record operating cash flows of $33 million for fiscal 2024, a $32 million increase over the prior year[2] - Net cash provided by operating activities increased significantly to $32,652,000 from $940,000 year-over-year[21] - Cash at the end of the period decreased to $4,558,000 from $5,921,000, a decline of 23.0%[21] - Cash paid for interest increased to $2,783,000 from $2,469,000, reflecting a rise of 12.7%[22] - Cash paid for income taxes rose to $4,575,000, compared to $3,099,000, marking an increase of 47.7%[22] Debt and Equity - Net debt declined 71% to $8.3 million as of June 30, 2024[2] - Long-term debt decreased significantly to $12,903 thousand as of June 30, 2024, from $34,869 thousand in the previous year, a decrease of 63.0%[20] - Shareholders' equity increased to $136,606 thousand as of June 30, 2024, compared to $130,956 thousand in 2023, reflecting a growth of 4.3%[20] Assets and Liabilities - Total assets decreased to $230,659 thousand as of June 30, 2024, from $253,847 thousand a year earlier, representing a decline of 9.1%[20] - Current liabilities decreased to $69,803 thousand as of June 30, 2024, compared to $76,445 thousand in 2023, a reduction of 8.5%[20] Operational Developments - The company executed three acquisitions during fiscal 2024, enhancing its sales and service expertise[2] - The company increased its sales team by 6% to over 190 professionals and its service team by 5% to approximately 400 technicians[5] - The company implemented new field service technologies aimed at improving service operations efficiency[5] Revenue Breakdown - Equipment revenue was flat, while parts revenue increased 6.6% and service revenue increased 7.8% during fiscal 2024[4] Dividends and Stock Compensation - A special cash dividend of $0.31 per share was declared, a 10% increase over the previous special cash dividend[7] - The company paid dividends totaling $4,071,000 during the period, with no dividends paid in the previous year[21] - Stock compensation expenses increased to $4,974,000 from $3,062,000, reflecting a rise of 62.3%[21] Accounts Receivable - The company reported a significant increase in accounts receivable, which rose to $7,028,000 from a decrease of $5,664,000 in the prior year[21]

Zacks Investment Research has recently initiated coverage of EVI Industries, Inc. (EVI) with a Neutral recommendation. This coverage highlights the company's strategic positioning in the expanding dry-cleaning and laundry services market, balanced against several notable challenges. EVI Industries, headquartered in Miami, is a value-added distributor of a wide range of commercial laundry equipment and services. The company has leveraged a "buy-and-build" strategy since 2015, making significant acquisitions ...

Exhibit 99.1 EVI Industries Reports Third Quarter Results Including Record Cash Flows Achieved Record Revenue and Gross Profits, and a Record $20M in Operating Cash Flows for the Nine-Month Period, Further Strengthened its Balance Sheet, and Increased Investments Across Key Technology Initiatives Miami, Florida – May 9, 2024 – EVI Industries, Inc. (NYSE American: EVI) announced its operating results for the three- and nine- month periods ended March 31, 2024, including record revenue, gross profit, and oper ...