Press Release: Energy Services of America Reports Fourth Quarter and Full Year Fiscal 2025 Results

Dow Jones12-10 07:23

Records 16.8% Annual Revenue Increase and Highest Quarterly Revenue in Company History

HUNTINGTON, W.Va., Dec. 9, 2025 /PRNewswire/ -- Energy Services of America Corporation (the "Company" or "Energy Services") (Nasdaq: ESOA), today announced its results for its fourth quarter and fiscal year ended September 30, 2025.

Fourth Quarter Highlights (1)

   -- Revenue of $130.1 million versus $104.7 million 
 
   -- Gross profit of $16.5 million versus $17.6 million 
 
   -- Net income of $4.2 million, or $0.25 per diluted share, compared to $6.7 
      million, or $0.40 per diluted share. 
 
   -- Adjusted EBITDA of $11.3 million compared to $11.1 million 
 
   -- Acquired Rigney Digital Systems on September 30th 
 
(1) All comparisons are versus the comparable prior year period, unless 
otherwise stated. 
 

Fiscal 2025 Highlights (1)

   -- Revenue of $411.0 million, a 16.8% increase 
 
   -- Gross profit of $38.8 million compared to $50.0 million 
 
   -- Net income of $380,000 or $0.02 per diluted share, compared to $25.1 
      million, or $1.51 per diluted share. The prior year's results include 
      approximately $11.4 million net of income tax, or $0.69 per diluted share, 
      from a legal judgement 
 
   -- Adjusted EBITDA of $17.2 million compared to $28.8 million 
 
   -- Backlog of $259.7 million compared to $243.2 million as of September 30, 
      2024 
 
   -- Acquired Tribute Contracting & Consultants on December 2, 2024 
 
   -- Doubled dividend rate to $0.12 per share and converted to quarterly 
      payment 
 
   -- Added to Russell 2000 index on June 30th 
 
(1) All comparisons are versus the comparable prior-year period, unless 
otherwise stated. 
 

"Fiscal 2025 was a year of meaningful growth for the Company, primarily driven by demand within our Gas & Water Distribution segment and our acquisition of Tribute last December," said Doug Reynolds, President of Energy Services. "Full-year profitability was negatively impacted by very unfavorable winter weather, but we continue to execute on these delayed projects."

"We believe the outlook for Fiscal 2026 remain very favorable. We continue to experience strong demand within the water and wastewater segment as municipalities and private utility companies are replacing and upgrading older systems and our Electrical, Mechanical and General segment are benefiting from increased construction and service opportunities. Our recent acquisition of Rigney Digital Systems enhances the services offered by Nitro Construction and should boost the margin profile for the segment. Also, we are beginning to see a pickup in activity within our Gas Transmission over the past year. Overall, we remain optimistic about the prospects of the business and will continue to be opportunistic with regards to acquisitions, which should deliver long-term value to our shareholders," Mr. Reynolds concluded.

Fourth Quarter Fiscal 2025 Financial Results

Total revenues for the period were $130.1 million, compared to $104.7 million in the fourth quarter of fiscal 2024. Increased work within the Gas & Water Distribution and Electrical, Mechanical and General business lines more than offset lower revenue within the Gas & Petroleum Transmission segment.

Gross profit was $16.5 million, compared to $17.6 million in the prior-year quarter. Gross margin was 12.6% of revenues, compared to 16.8% of revenues in the fourth quarter of fiscal 2024. The decrease is related to sales mix and timing of projects across the business.

Selling and administrative expenses were $9.0 million, compared to $8.8 million in the prior-year quarter. The increase is primarily related to additional personnel hired to secure and manage work for expected growth.

Net income was $4.2 million, or $0.25 per diluted share, compared to net income of $6.7 million, or $0.40 per diluted share, in the fourth quarter of fiscal 2024.

Fiscal 2025 Financial Results

Total revenues for the year were $411.0 million, compared to $351.9 million in fiscal 2024. Increased work within the Gas & Water Distribution and Electrical, Mechanical and General business lines was partially offset by lower revenue within the Gas & Petroleum Transmission segment.

Gross profit in fiscal 2025 was $38.8 million, compared to $50.0 million in the prior year. Gross margin was 9.4% of revenues, compared to 14.2% of revenues in fiscal 2024. The decrease is related to very unfavorable winter weather which delayed multiple projects into the second half of the year.

Selling and administrative expenses in fiscal 2025 were $34.6 million, compared to $30.1 million in the prior year.

Net income was $380,000 or $0.02 per diluted share, compared to $25.1 million, or $1.51 per diluted share in fiscal 2024. The prior year's results include approximately $11.4 million, or $0.69 per diluted share, related to proceeds from a legal judgement.

Backlog as of September 30, 2025 was $259.7 million, compared to $304.4 million as of June 30, 2025 and $243.2 million as of September 30, 2024.

Below is a comparison of the Company's operating results for the three months and full year ended September 30, 2025 and 2024 (unaudited):

 
                            Three Months Ended               Three Months Ended                 Year Ended                    Year Ended 
                            September 30, 2025               September 30, 2024             September 30, 2025            September 30, 2024 
                      -------------------------------  -------------------------------  ---------------------------  ----------------------------- 
 
Revenue                       $           130,074,523          $           104,662,259          $       411,001,373          $         351,876,861 
 
Cost of revenues                          113,622,850                       87,094,282                  372,225,660                    301,922,545 
                      -------------------------------  -------------------------------  ---------------------------  ----------------------------- 
 
 Gross profit                              16,451,673                       17,567,977                   38,775,713                     49,954,316 
 
Selling and 
 administrative 
 expenses                                   8,957,987                        8,783,208                   34,560,240                     30,119,070 
                      -------------------------------  -------------------------------  ---------------------------  ----------------------------- 
 Income from 
  operations                                7,493,686                        8,784,769                    4,215,473                     19,835,246 
                      -------------------------------  -------------------------------  ---------------------------  ----------------------------- 
 
Other (expense) 
income 
 Other nonoperating 
  (expense) income                          (117,436)                           12,374                    (224,843)                       (21,561) 
 Income from lawsuit 
  judgement                                         -                                -                            -                     15,634,499 
 Interest expense                         (1,068,614)                        (417,049)                  (3,209,300)                    (2,188,609) 
 Gain (loss) on sale 
  of equipment                                 33,020                         (31,064)                       83,552                        261,102 
                      -------------------------------  -------------------------------  ---------------------------  ----------------------------- 
                                          (1,153,030)                        (435,739)                  (3,350,591)                     13,685,431 
 
 Income before 
  income taxes                              6,340,656                        8,349,030                      864,882                     33,520,677 
 
 Income tax expense                         2,097,892                        1,691,014                      485,174                      8,415,667 
 
 Net income                 $               4,242,764        $               6,658,016      $               379,708         $           25,105,010 
                      ===============================  ===============================  ===========================  ============================= 
 
 
 Weighted average 
  shares 
  outstanding-basic                        16,612,876                       16,570,685                   16,643,495                     16,570,289 
 
 Weighted average 
  shares-diluted                           16,649,675                       16,607,045                   16,686,283                     16,608,038 
 
 Earnings per share   $                          0.26  $                          0.40  $                      0.02  $                        1.52 
                      ===============================  ===============================  ===========================  ============================= 
 
 Earnings per 
  share-diluted       $                          0.25  $                          0.40  $                      0.02  $                        1.51 
                      ===============================  ===============================  ===========================  ============================= 
 

(MORE TO FOLLOW) Dow Jones Newswires

December 09, 2025 18:23 ET (23:23 GMT)

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