Quest Resource (QRHC) - 2024 Q4 - Annual Results

Revenue and Profitability - Revenue for Q4 2024 was $70.0 million, a 0.9% increase compared to Q4 2023[5] - Gross profit for Q4 2024 was $10.7 million, a 6.7% decrease compared to Q4 2023, with a gross margin of 15.3%[5] - Total revenue for fiscal year 2024 was $288.5 million, a 0.1% increase compared to 2023[5] - Adjusted EBITDA for Q4 2024 was $1.7 million, down from $3.5 million in Q4 2023[5] Net Loss and Earnings - GAAP net loss per diluted share for Q4 2024 was $(0.46), compared to $(0.11) in Q4 2023[5] - Reported net loss for Q4 2024 was $9.508 million, compared to a loss of $2.330 million in Q4 2023[21] - Adjusted net loss per diluted share for fiscal year 2024 was $(0.03), compared to adjusted net income of $0.15 per diluted share in 2023[5] - Adjusted net income (loss) for Q4 2024 was $(1.839) million, a decrease from an adjusted income of $0.744 million in Q4 2023[21] - Diluted earnings per share for Q4 2024 was $(0.46), compared to $(0.11) in Q4 2023[21] Customer Acquisition and Business Strategy - The company added a record eight new customers in 2024, expected to generate at least seven figures of annual revenue each[5] - Successfully completed debt refinancing, reducing annual interest expense by approximately $1 million and improving credit terms[5] - The company plans to reduce headcount by 15%, which is expected to lower SG&A by approximately $3.0 million annually[5] - Recognized a non-cash impairment loss of $5.5 million related to the anticipated sale of a non-core business line[5] Assets and Liabilities - Total current assets increased to $75.139 million in 2024 from $60.613 million in 2023, representing a growth of approximately 24%[23] - Total liabilities rose to $121.489 million in 2024, up from $110.838 million in 2023, indicating an increase of about 10%[23] - Cash and cash equivalents increased to $396,000 in 2024 from $324,000 in 2023, reflecting a growth of approximately 22%[23] - Goodwill decreased to $81.065 million in 2024 from $85.828 million in 2023, a decline of about 5%[23] - The company reported an impairment loss of $5.511 million in 2024, with no such loss reported in 2023[21] - Total stockholders' equity decreased to $54.156 million in 2024 from $66.281 million in 2023, a decline of approximately 18%[23] Shareholder Information - The weighted average number of diluted shares outstanding decreased to 20,837 in Q4 2024 from 22,502 in Q4 2023[21]