Caribbean Utilities Company, Ltd. Announces Agreed Path Forward for Grand Cayman's Energy Future
On August 1, 2025, CUC and the Cayman Islands Utility Regulation and Competition Office ("URCO") agreed on an approach to address the urgent need for additional generating capacity requirements for Grand Cayman. As part of this agreement, CUC has voluntarily withdrawn its Certificate of Need ("CON") originally submitted on June 7, 2024. Concurrently, URCO has rescinded its Final Determination issued on April 24, 2025.
CUC will submit a new CON to URCO by September 5, 2025. This updated submission will define the generation resource requirements necessary to support Grand Cayman's projected energy demand from 2027 onward.
CUC and URCO have also agreed that Condition 31 of CUC's Transmission and Distribution ("T&D") Licence, does not preclude the provision of firm capacity generation from renewable sources. Both parties have acknowledged that hybrid solar photovoltaic systems integrated with battery storage may qualify as firm capacity, subject to Effective Load Carrying Capacity analysis.
In addition, both parties are actively engaged in the modernization of the CUC Transmission and Distribution Licence to align with evolving regulatory, infrastructure, and operational needs. Both parties will apply all reasonable efforts to finalize this process, including establishing milestone dates and deliverables to be agreed upon as soon as practicable.
In support of the broader diversification of Grand Cayman's energy portfolio, URCO issued a Dispatchable Photovoltaic Request for Proposals on July 3, 2025. All eligible bidders, including CUC, are invited to submit proposals by October 2, 2025. This initiative represents an important step in expanding distributed renewable generation capacity.
"We are proud of our strong track record of continuous improvement in reliability with our average annual interruption duration now under 2 hours, and in line with North American benchmarks. We are dedicated to maintaining and improving energy reliability and resilience as we transition to Grand Cayman's clean energy future. The CUC team is fully committed to working closely with URCO to ensure that affordability, reliability, and safety remain at the heart of our clean energy transformation," said President and CEO, Mr. Richard Hew.
ABOUT CARIBBEAN UTILITIES COMPANY, LTD. Caribbean Utilities Company, Ltd. ("CUC" or the "Company") is the sole provider of electricity to Grand Cayman. The principal activity of the Company is to generate, transmit and distribute electricity in its licence area of Grand Cayman, Cayman Islands, pursuant to a 20-year Transmission & Distribution ("T&D") Licence and a 25-year non-exclusive Generation Licence (the "Generation License" and together with the T&D Licence, the "Licences") granted by the Cayman Islands Government (the "Government", "CIG"). The T&D Licence, which expires in April 2028, contains provisions for an automatic 20-year renewal and the Company has reasonable expectation of renewal until April 2048. The Generation Licence expires in November 2039. Further information is available at www.cuc-cayman.com.
Caribbean Utilities Company, Ltd. ("CUC" or "the Company"), on occasion, includes forward-looking statements in its media releases, Canadian securities regulatory authorities filings, shareholder reports and other communications. Forward-looking statements include statements that are predictive in nature, depend upon future events or conditions, or include words such as "expects", "anticipates", "plan", "believes", "estimates", "intends", "targets", "projects", "forecasts", "schedule", or negative versions thereof and other similar expressions, or future or conditional verbs such as "may", "will", "should", "would" and "could". Forward-looking statements are based on underlying assumptions and management's beliefs, estimates and opinions, and are subject to certain risks and uncertainties surrounding future expectations generally that may cause actual results to vary from plans, targets and estimates. Such risks and uncertainties include but are not limited to operational, general economic, market and business conditions, regulatory developments and weather conditions. CUC cautions readers that actual results may vary significantly from those expected should certain risks or uncertainties materialize or should underlying assumptions prove incorrect. Forward-looking statements are provided for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise except as required by law.
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Carriage Services Announces Second Quarter 2025 Results, Strategic Acquisitions, and Raises Full-Year 2025 Outlook
HOUSTON, Aug. 06, 2025 (GLOBE NEWSWIRE) -- Carriage Services, Inc. (NYSE: CSV) today announced its financial results for the second quarter ended June 30, 2025. Company Highlights: GAAP net income growth of $5.5 million, or 85.7%, over the prior year quarter; GAAP diluted EPS of $0.74 and adjusted diluted EPS of $0.74, compared to $0.40 and $0.63 in the prior year quarter, a growth of 85.0% and 17.5%, respectively; Total funeral consolidated revenue increased $1.7 million or 2.6% over the prior year quarter, driven by an increase in consolidated funeral average revenue per contract of 1.4%; Total consolidated revenue for the six months ended June 30, 2025, grew $3.4 million, driven by a $4.4 million increase in consolidated funeral revenue that was slightly offset by a decline in consolidated cemetery revenue of $1.0 million; The Company is excited to announce our return to growth through acquisitions as we are under contract to acquire strategic businesses that generated revenue in excess of $15 million last year, with closings scheduled for later this quarter; and Leverage ratio lowered to 4.2x from 4.6x at the same period last year, as the Company paid down $7.1 million of debt on its credit facility during the second quarter. Carlos Quezada, Vice Chairman and CEO, stated, 'We are pleased with our second quarter performance, which delivered an impressive GAAP net income growth of $5.5 million, or 85.7%, over the prior year quarter. Our GAAP diluted EPS reached $0.74, and adjusted diluted EPS of $0.74, compared to $0.40 and $0.63 in the prior quarter, reflecting growth of 85.0% and 17.5%, respectively. Despite the revenue impact of our first quarter divestitures, total revenue remained flat due to the impact of our organic growth strategies. Excluding the impact of divestitures, revenue increased $1.8 million, or 1.7%. After over two years of disciplined capital allocation, where we were able to pay just over $100 million of debt, we are excited to announce that we are under contract to acquire new businesses, which we anticipate will close this quarter. Combined, these premier locations served more than 2,600 families and generated more than $15 million in revenue last year. We are excited to return to our long-term strategy of adding shareholder value through high-quality acquisitions. Therefore, we are updating our full-year guidance to reflect our current performance trends, as well as divestitures and acquisitions that will impact the second half of the year,' concluded Mr. Quezada. FINANCIAL HIGHLIGHTS Three months ended June 30, Six months ended June 30, (in millions, except volume, average, margins, and EPS) 2025 2024 2025 2024 GAAP Metrics: Total revenue $ 102.1 $ 102.3 $ 209.2 $ 205.8 Operating income $ 24.0 $ 18.4 $ 55.6 $ 37.8 Operating income margin 23.5 % 18.0 % 26.6 % 18.4 % Net income $ 11.7 $ 6.3 $ 32.7 $ 13.2 Diluted EPS $ 0.74 $ 0.40 $ 2.07 $ 0.85 Cash provided by operating activities $ 8.1 $ 2.2 $ 21.9 $ 21.9 Cemetery Consolidated Metrics: Preneed interment rights (property) sold 4,016 4,179 7,252 7,616 Average price per preneed interment right sold $ 5,871 $ 5,908 $ 5,669 $ 5,430 Funeral Consolidated Metrics: Funeral contracts 10,589 10,679 22,761 22,770 Average revenue per funeral contract (1) $ 5,626 $ 5,549 $ 5,671 $ 5,565 Burial rate 31.4 % 32.0 % 32.4 % 32.9 % Cremation rate 61.6 % 59.7 % 60.9 % 59.3 % Non-GAAP Metrics (2): Adjusted consolidated EBITDA $ 32,262 $ 32,604 $ 65,210 $ 66,205 Adjusted consolidated EBITDA margin 31.6 % 31.9 % 31.2 % 32.2 % Adjusted diluted EPS $ 0.74 $ 0.63 $ 1.70 $ 1.38 Adjusted free cash flow $ 6.9 $ (0.3) $ 20.3 $ 18.2 Cemetery Operating Metrics (3): Preneed interment rights (property) sold 4,016 4,025 7,116 7,269 Average price per preneed interment right sold $ 5,871 $ 6,013 $ 5,705 $ 5,554 Funeral Operating Metrics (4): Funeral contracts 10,589 10,533 22,644 22,306 Average revenue per funeral contract (1) $ 5,626 $ 5,578 $ 5,682 $ 5,595 Burial rate 31.4 % 32.0 % 32.4 % 32.7 % Cremation rate 61.6 % 59.9 % 61.0 % 59.6 % (1) Excludes preneed interest earnings reflected in financial revenue. (2) We present both GAAP and non-GAAP measures to provide investors with additional information and to allow for the increased comparability of our ongoing performance from period to period. The most comparable GAAP measures to the Non-GAAP measures presented in this table can be found in the Reconciliation of Non-GAAP Financial Measures section of this press release. (3) Metrics calculated using cemetery operating results (excluding impact from divestitures and acquisitions). (4) Metrics calculated using funeral operating results (excluding impact from divestitures and acquisitions). Total revenue for the three months ended June 30, 2025 decreased $0.2 million compared to the three months ended June 30, 2024. We experienced a 3.9% decrease in the consolidated number of preneed interment rights (property) sold and a 0.6% decrease in the consolidated average price per preneed interment right sold. Additionally, we experienced a 1.4% increase in the consolidated average revenue per funeral contract, as well as a 0.8% decrease in consolidated funeral contract volume. Net income for the three months ended June 30, 2025 increased $5.5 million compared to the three months ended June 30, 2024. We experienced a $6.7 million decrease in general, administrative, and other expenses, and a $1.3 million decrease in interest expense; partially offset by a $1.1 million decrease in gross profit contribution from our businesses and a $0.9 million increase in income tax expense. Total revenue for the six months ended June 30, 2025 increased $3.4 million compared to the six months ended June 30, 2024. We experienced a 4.4% increase in the consolidated average price per preneed interment right sold, which was partially offset by a 4.8% decrease in the consolidated number of preneed interment rights (property) sold. Additionally, we experienced a 1.9% increase in the consolidated average revenue per funeral contract. Consolidated funeral contract volume remained flat. Net income for the six months ended June 30, 2025 increased $19.4 million compared to the six months ended June 30, 2024. We experienced a $9.3 million increase in (gain) loss on sale of divestitures and real property, a $10.9 million decrease in general, administrative, and other expenses, and a $2.7 million decrease in interest expense; partially offset by a $2.5 million increase in income tax expense and a $0.5 million decrease in gross profit contribution from our businesses. Revised 2025 Outlook (1) Previous 2025 Outlook (1) (in millions – except per share amounts) Total revenue $410 – $420 $400 – $410 Adjusted consolidated EBITDA (2) $129 – $134 $128 – $133 Adjusted diluted EPS (2) $3.15 – $3.35 $3.10 – $3.30 Adjusted free cash flow (2)(3) $40 – $50 $40 – $50 (1) Includes the expected revenue impact of acquisitions and divestitures of certain non-core assets. (2) Adjusted consolidated EBITDA, adjusted diluted EPS, and adjusted free cash flow are non-GAAP financial measures. We normally reconcile these non-GAAP financial measures from operating income, diluted earnings per share, and cash provided by operating activities; however, these measures calculated in accordance with GAAP are not currently accessible on a forward-looking basis. Our outlook for 2025 excludes the following: Gains or losses associated with divestitures, acquisition costs, severance and separation costs, impairment of goodwill, intangibles, and property, plant, and equipment, special vendor incentives, potential tax reserve adjustments and IRS payments and/or refunds, and other special items. The foregoing items could materially impact our forward-looking diluted earnings per share and/or our net cash provided by operating activities calculated in accordance with GAAP. (3) Includes the expected impact of total capital expenditures (growth and maintenance). Carriage Services has scheduled a conference call for tomorrow, August 7, 2025 at 8:00 a.m. Central Time. To participate in the call, please dial 888-254-3590 (Conference ID – 6237081) or to listen live over the internet via webcast click link. An audio archive of the call will be available on demand via the Company's website at Carriage Services is a leading provider of funeral and cemetery services and merchandise in the United States. Carriage operated 159 funeral homes in 25 states and 28 cemeteries in 10 states as of June 30, 2025. It is dedicated to delivering premier experiences through innovation, partnership, and elevated service. For any investor relations questions, please email InvestorRelations@ (in thousands – except per share amounts) Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Funeral operating revenue $ 59,572 $ 58,753 $ 128,662 $ 124,801 Cemetery operating revenue 33,450 33,644 61,388 60,049 Financial revenue 8,224 6,921 15,580 13,664 Ancillary revenue 904 1,082 1,936 2,329 Divested revenue (3) 1,918 1,650 4,968 Total revenue $ 102,147 $ 102,318 $ 209,216 $ 205,811 Funeral operating EBITDA $ 22,030 $ 23,220 $ 51,570 $ 50,569 Funeral operating EBITDA margin 37.0 % 39.5 % 40.1 % 40.5 % Cemetery operating EBITDA 15,003 16,712 26,368 28,247 Cemetery operating EBITDA margin 44.9 % 49.7 % 43.0 % 47.0 % Financial EBITDA 7,610 6,385 14,165 12,715 Financial EBITDA margin 92.5 % 92.3 % 90.9 % 93.1 % Ancillary EBITDA 32 192 220 365 Ancillary EBITDA margin 3.5 % 17.7 % 11.4 % 15.7 % Divested EBITDA 49 694 628 1,634 Divested EBITDA margin (1633.3)% 36.2 % 38.1 % 32.9 % Total field EBITDA $ 44,724 $ 47,203 $ 92,951 $ 93,530 Total field EBITDA margin 43.8 % 46.1 % 44.4 % 45.4 % Total overhead $ 12,462 $ 20,425 $ 27,741 $ 39,781 Overhead as a percentage of revenue 12.2 % 20.0 % 13.3 % 19.3 % Consolidated EBITDA $ 32,262 $ 26,778 $ 65,210 $ 53,749 Consolidated EBITDA margin 31.6 % 26.2 % 31.2 % 26.1 % Other expenses and interest Depreciation & amortization $ 6,173 $ 6,204 $ 11,574 $ 11,664 Non-cash stock compensation 2,092 2,182 3,845 2,671 Interest expense 7,034 8,324 14,332 17,036 Other 106 (391) (7,652) 1,197 Pretax income $ 16,857 $ 10,459 $ 43,111 $ 21,181 Net tax expense 5,118 4,200 10,446 7,949 Net income $ 11,739 $ 6,259 $ 32,665 $ 13,232 Special items (1) $ 12 $ 5,417 $ (8,217) $ 12,212 Tax on special items 4 1,825 (2,432) 4,054 Adjusted net income $ 11,747 $ 9,851 $ 26,880 $ 21,390 Adjusted net income margin 11.5 % 9.6 % 12.8 % 10.4 % Adjusted basic earnings per share $ 0.75 $ 0.65 $ 1.72 $ 1.42 Adjusted diluted earnings per share $ 0.74 $ 0.63 $ 1.70 $ 1.38 GAAP basic earnings per share $ 0.75 $ 0.41 $ 2.09 $ 0.87 GAAP diluted earnings per share $ 0.74 $ 0.40 $ 2.07 $ 0.85 Weighted average shares o/s – basic 15,458 14,965 15,352 14,920 Weighted average shares o/s – diluted 15,653 15,403 15,528 15,356 Reconciliation of Consolidated EBITDA to Adjusted consolidated EBITDA Consolidated EBITDA $ 32,262 $ 26,778 $ 65,210 $ 53,749 Special items (1) — 5,826 — 12,456 Adjusted consolidated EBITDA margin 31.6 % 31.9 % 31.2 % 32.2 % (1) A detail of our Special items presented in this table can be found in the Reconciliation of Non-GAAP Financial Measures section of this press release. CARRIAGE SERVICES, INC. CONDENSED CONSOLIDATED BALANCE SHEET (unaudited and in thousands) June 30, 2025 December 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 1,398 $ 1,165 Accounts receivable, net 34,830 30,193 Inventories 7,580 7,920 Prepaid and other current assets 7,454 4,123 Current assets held for sale 61 1,135 Total current assets 51,323 44,536 Preneed cemetery trust investments 99,908 98,120 Preneed funeral trust investments 108,167 106,219 Preneed cemetery receivables, net 56,717 50,958 Receivables from preneed funeral trusts, net 22,024 22,372 Property, plant, and equipment, net 271,445 273,004 Cemetery property, net 110,574 109,576 Goodwill 410,703 414,859 Intangible and other non-current assets, net 40,382 40,427 Operating lease right-of-use assets 14,268 14,953 Cemetery perpetual care trust investments 86,744 85,103 Non-current assets held for sale 3,459 19,453 Total assets $ 1,275,714 $ 1,279,580 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Current portion of debt and lease obligations $ 4,745 $ 3,914 Accounts payable 16,691 15,427 Accrued and other liabilities 26,897 38,460 Current liabilities held for sale 130 240 Total current liabilities 48,463 58,041 Acquisition debt, net of current portion 4,817 4,895 Long-term liabilities held for sale 1,743 13,842 Credit facility 111,458 135,382 Senior notes 396,954 396,597 Obligations under finance leases, net of current portion 8,908 6,045 Obligations under operating leases, net of current portion 12,923 14,035 Deferred preneed cemetery revenue 64,379 61,767 Deferred preneed funeral revenue 39,437 39,261 Deferred tax liability 54,693 51,429 Other long-term liabilities 1,334 1,179 Deferred preneed cemetery receipts held in trust 99,908 98,120 Deferred preneed funeral receipts held in trust 108,167 106,219 Care trusts' corpus 87,110 84,218 Total liabilities 1,040,294 1,071,030 Commitments and contingencies: Stockholders' equity: Common stock 273 269 Additional paid-in capital 238,026 243,825 Retained earnings 275,874 243,209 Treasury stock (278,753) (278,753) Total stockholders' equity 235,420 208,550 Total liabilities and stockholders' equity $ 1,275,714 $ 1,279,580 CARRIAGE SERVICES, INC. (unaudited and in thousands, except per share data) Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Revenue: Service revenue $ 46,510 $ 44,433 $ 99,520 $ 94,132 Property and merchandise revenue 46,513 49,590 92,099 95,092 Other revenue 9,124 8,295 17,597 16,587 102,147 102,318 209,216 205,811 Field costs and expenses: Cost of service 23,787 21,672 48,364 45,380 Cost of merchandise 32,156 31,981 64,765 63,931 Cemetery property amortization 2,241 2,560 4,069 4,316 Field depreciation expense 3,288 3,405 6,610 6,872 Regional and unallocated funeral and cemetery costs 3,260 4,245 8,495 8,087 Other expenses 1,480 1,462 3,136 2,970 66,212 65,325 135,439 131,556 Gross profit 35,935 36,993 73,777 74,255 Corporate costs and expenses: General, administrative, and other 11,938 18,601 23,986 34,841 Net (gain) loss on divestitures, disposals, and impairments charges (1) 23 (5,771) 1,568 Operating income 23,998 18,369 55,562 37,846 Interest expense 7,034 8,324 14,332 17,036 Net gain on property damage, net of insurance claims — (417) — (417) Other, net 107 3 (1,881) 46 Income before income taxes 16,857 10,459 43,111 21,181 Expense for income taxes 5,260 3,513 13,451 7,032 (Benefit) expense related to discrete income tax items (142) 687 (3,005) 917 Total expense for income taxes 5,118 4,200 10,446 7,949 Net income $ 11,739 $ 6,259 $ 32,665 $ 13,232 Basic earnings per common share: $ 0.75 $ 0.41 $ 2.09 $ 0.87 Diluted earnings per common share: $ 0.74 $ 0.40 $ 2.07 $ 0.85 Dividends declared per common share: $ 0.1125 $ 0.1125 $ 0.2250 $ 0.2250 Weighted average number of common and common equivalent shares outstanding: Basic 15,458 14,965 15,352 14,920 (unaudited and in thousands) Six months ended June 30, 2025 2024 Cash flows from operating activities: Net income $ 32,665 $ 13,232 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 11,574 11,664 Provision for credit losses 1,973 1,447 Stock-based compensation expense 3,845 2,671 Deferred income tax (benefit) expense 3,264 (1,477) Amortization of intangibles 660 669 Amortization of debt issuance costs 255 352 Amortization and accretion of debt 278 266 Net (gain) loss on divestitures, disposals, and impairment charges (5,771) 1,568 Net gain on property damage, net of insurance claims — (417) Gain on sale of excess real property (1,993) — Changes in operating assets and liabilities that provided (used) cash: Accounts and preneed receivables (11,430) (13,939) Inventories, prepaid, and other current assets (3,136) 1,224 Intangible and other non-current assets (1,117) (2,339) Preneed funeral and cemetery trust investments (4,281) (9,523) Accounts payable (2,245) 3,084 Accrued and other liabilities (10,458) (3,999) Deferred preneed funeral and cemetery revenue 1,941 7,064 Deferred preneed funeral and cemetery receipts held in trust 5,853 10,313 Net cash provided by operating activities 21,877 21,860 Cash flows from investing activities: Proceeds from divestitures and sale of other assets 18,822 11,174 Proceeds from insurance claims — 314 Capital expenditures (6,009) (7,096) Net cash provided by investing activities 12,813 4,392 Cash flows from financing activities: Borrowings from the credit facility 24,600 24,800 Payments against the credit facility (48,700) (48,900) Payments on acquisition debt and obligations under finance leases (221) (305) Proceeds from the exercise of stock options and employee stock purchase plan contributions 983 1,942 Taxes paid on restricted stock, performance award vestings, and exercise of stock options (7,631) (419) Dividends paid on common stock (3,488) (3,390) Net cash used in financing activities (34,457) (26,272) Net increase (decrease) in cash and cash equivalents 233 (20) Cash and cash equivalents at beginning of period 1,165 1,523 Cash and cash equivalents at end of period $ 1,398 $ 1,503 NON-GAAP FINANCIAL MEASURES This earnings release uses Non-GAAP financial measures to present the financial performance of the Company. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the Company's reported operating results or cash flow from operations or any other measure of performance as determined in accordance with GAAP. We believe the Non-GAAP results are useful to investors to compare our results to previous periods, to provide insight into the underlying long-term performance trends in our business and to provide the opportunity to differentiate ourselves as the best consolidation platform in the industry against the performance of other funeral and cemetery companies. Reconciliations of the Non-GAAP financial measures to GAAP measures are also provided in this earnings release. The Non-GAAP financial measures used in this earnings release and the definitions of them used by the Company for our internal management purposes in this earnings release are described below. Special items are defined as charges or credits included in our GAAP financial statements that can vary from period to period and are not reflective of costs incurred in the ordinary course of our operations. The tax adjustment related to certain discrete items is not tax effected, all other special items are taxed at the operating tax rate. Adjusted net income is defined as net income after adjustments for special items that we believe do not directly reflect our core operations and may not be indicative of our normal business operations. Adjusted net income margin is defined as adjusted net income as a percentage of total revenue. Consolidated EBITDA is defined as operating income, plus depreciation and amortization expense, non-cash stock compensation and net loss on divestitures, disposals, and impairment charges. Consolidated EBITDA margin is defined as consolidated EBITDA as a percentage of total revenue. Adjusted consolidated EBITDA is defined as consolidated EBITDA after adjustments for severance and separation costs and other special items. Adjusted consolidated EBITDA margin is defined as adjusted consolidated EBITDA as a percentage of total revenue. Adjusted free cash flow is defined as cash provided by operating activities, adjusted by special items as deemed necessary, less cash for capital expenditures, which include cemetery property development costs, facility repairs and improvements, equipment, furniture, and vehicle purchases. Adjusted free cash flow margin is defined as adjusted free cash flow as a percentage of total revenue. Funeral operating EBITDA is defined as funeral gross profit, plus depreciation and amortization and regional and unallocated costs, less financial EBITDA, ancillary EBITDA, and divested EBITDA related to the funeral home segment. Funeral operating EBITDA margin is defined as funeral operating EBITDA as a percentage of funeral operating revenue. Cemetery operating EBITDA is defined as cemetery gross profit, plus depreciation and amortization and regional and unallocated costs, less financial EBITDA and divested EBITDA related to the cemetery segment. Cemetery operating EBITDA margin is defined as cemetery operating EBITDA as a percentage of cemetery operating revenue. Preneed cemetery sales is defined as cemetery property, merchandise, and services sold prior to death. Financial EBITDA is defined as financial revenue, less the related expenses. Financial revenue and the related expenses are presented within Other revenue and Other expenses, respectively, on the Consolidated Statement of Operations. Financial EBITDA margin is defined as financial EBITDA as a percentage of financial revenue. Ancillary revenue is defined as revenues from our ancillary businesses, which include a flower shop, a monument business, a pet cremation business and our online cremation businesses. Ancillary revenue and the related expenses are presented within Other revenue and Other expenses, respectively, on the Consolidated Statement of Operations. Ancillary EBITDA is defined as ancillary revenue, less expenses related to our ancillary businesses noted above. Ancillary EBITDA margin is defined as ancillary EBITDA as a percentage of ancillary revenue. Divested revenue is defined as revenues from certain funeral home and cemetery businesses that we have divested. Divested EBITDA is defined as divested revenue, less field level and financial expenses related to the divested businesses noted above. Divested EBITDA margin is defined as divested EBITDA as a percentage of divested revenue. Overhead expenses are defined as regional and unallocated funeral and cemetery costs and general, administrative, and other costs, excluding home office depreciation and non-cash stock compensation. Adjusted basic earnings per share (EPS) is defined as GAAP basic earnings per share, adjusted for special items. Adjusted diluted earnings per share (EPS) is defined as GAAP diluted earnings per share, adjusted for special items. Funeral Operating EBITDA and Cemetery Operating EBITDA Our operations are reported in two business segments: Funeral Home operations and Cemetery operations. Our operating level results highlight trends in volumes, revenue, operating EBITDA (the individual business' cash earning power/locally controllable business profit), and operating EBITDA margin (the individual business' controllable profit margin). Funeral operating EBITDA and cemetery operating EBITDA are defined above. Funeral and cemetery gross profit is defined as revenue less 'field costs and expenses' — a line item encompassing these areas of costs: i) funeral and cemetery field costs, ii) field depreciation and amortization expense, and iii) regional and unallocated funeral and cemetery costs. Funeral and cemetery field costs include cost of service, funeral and cemetery merchandise costs, operating expenses, labor, and other related expenses incurred at the business level. Regional and unallocated funeral and cemetery costs presented in our GAAP statement consist primarily of salaries and benefits of our regional leadership, incentive compensation opportunity to our field employees, and other related costs for field infrastructure. These costs, while necessary to operate our businesses as currently operated within our unique, decentralized platform, are not controllable operating expenses at the field level as the composition, structure and function of these costs are determined by executive leadership in the Houston Support Center. These costs are components of our overall overhead platform presented within consolidated EBITDA and adjusted consolidated EBITDA. We do not directly or indirectly 'push down' any of these expenses to the individual business' field level margins. We believe that our 'regional and unallocated funeral and cemetery costs' are necessary to support our decentralized, high performance culture operating framework, and as such, are included in consolidated EBITDA and adjusted consolidated EBITDA, which more accurately reflects the cash earning power of the Company as an operating and consolidation platform. Usefulness and Limitations of These Measures When used in conjunction with GAAP financial measures, our total EBITDA, consolidated EBITDA and adjusted consolidated EBITDA are supplemental measures of operating performance that we believe are useful measures to facilitate comparisons to our historical consolidated and business level performance and operating results. We believe our presentation of adjusted consolidated EBITDA, a key metric used internally by our management, provides investors with a supplemental view of our operating performance that facilitates analysis and comparisons of our ongoing business operations because it excludes items that may not be indicative of our ongoing operating performance. Our total field EBITDA, consolidated EBITDA and adjusted consolidated EBITDA are not necessarily comparable to similarly titled measures used by other companies due to different methods of calculation. Our presentation is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. Funeral operating EBITDA, cemetery operating EBITDA, financial EBITDA, ancillary EBITDA and divested EBITDA are not consolidated measures of profitability. Our total field EBITDA excludes certain costs presented in our GAAP statement that we do not allocate to the individual business' field level margins, as noted above. Consolidated EBITDA excludes certain items that we believe do not directly reflect our core operations and may not be indicative of our normal business operations. A reconciliation to operating income, the most directly comparable GAAP measure, is set forth below. Therefore, these measures may not provide a complete understanding of our performance and should be reviewed in conjunction with our GAAP financial measures. We strongly encourage investors to review the Company's consolidated financial statements and publicly filed reports in their entirety and not rely on any single financial measure. The Non-GAAP financial measures are presented for additional information and are reconciled to their most comparable GAAP measures, all of which are reflected in the tables below. three and six months ended June 30, 2025 and 2024: Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Operating income $ 23,998 $ 18,369 $ 55,562 $ 37,846 Depreciation & amortization 6,173 6,204 11,574 11,664 Non-cash stock compensation 2,092 2,182 3,845 2,671 Net (gain) loss on divestitures, disposals, and impairment charges (1) 23 (5,771) 1,568 Consolidated EBITDA $ 32,262 $ 26,778 $ 65,210 $ 53,749 Adjusted for: Severance and separation costs (1) $ — $ 771 $ — $ 6,228 Other special items (2) — 5,055 — 6,228 Adjusted consolidated EBITDA $ 32,262 $ 32,604 $ 65,210 $ 66,205 Total revenue $ 102,147 $ 102,318 $ 209,216 $ 205,811 Operating income margin 23.5 % 18.0 % 26.6 % 18.4 % Adjusted consolidated EBITDA margin 31.6 % 31.9 % 31.2 % 32.2 % (1) Primarily represents the severance and performance award settlement expense recognized during the first quarter of 2024 for our former Executive Chairman of the Board per his Transition Agreement which was effective February 22, 2024 and severance expense recognized during the second quarter of 2024 for our former Chief Financial Officer per his Release and Separation Agreement which was effective July 1, 2024. (2) Represents expenses related to the review of strategic alternatives. Special items affecting Adjusted net income (in thousands) for the three and six months ended June 30, 2025 and 2024: Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Severance and separation costs (1) $ — $ 771 $ — $ 6,228 Equity award cancellation (2) — — — (1,336) Net (gain) loss on divestitures and sale of real estate (3) 12 8 (7,913) 1,509 Impairment of goodwill, intangibles, and PPE — — 117 — (Gain) loss on property damage, net of insurance claims (4) — (417) — (417) Tax adjustment related to certain discrete items — — (421) — Other special items (5) — 5,055 — 6,228 Total $ 12 $ 5,417 $ (8,217) $ 12,212 (1) Primarily represents the severance and performance award settlement expense recognized during the first quarter of 2024 for our former Executive Chairman of the Board per his Transition Agreement which was effective February 22, 2024 and severance expense recognized during the second quarter of 2024 for our former Chief Financial Officer per his Release and Separation Agreement which was effective July 1, 2024. (2) Primarily represents the stock compensation benefit recognized during the first quarter of 2024 for equity awards cancelled for our former Executive Chairman of the Board per his Transition Agreement, which was effective February 22, 2024. (3) Represents the net gain or loss recognized for the sale of businesses and real estate during the periods presented. (4) Represents the loss on property damage, net of insurance claims for property damaged by Hurricane Ian during the third quarter of 2022 and a fire that occurred during first quarter of 2023. (5) Represents expenses related to the review of strategic alternatives. three and six months ended June 30, 2025 and 2024: Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 GAAP basic earnings per share $ 0.75 $ 0.41 $ 2.09 $ 0.87 Special items — 0.24 (0.37) 0.55 Adjusted basic earnings per share $ 0.75 $ 0.65 $ 1.72 $ 1.42 Reconciliation of GAAP diluted earnings per share to Adjusted diluted earnings per share for the three and six months ended June 30, 2025 and 2024: Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 GAAP diluted earnings per share $ 0.74 $ 0.40 $ 2.07 $ 0.85 Special items — 0.23 (0.37) 0.53 Adjusted diluted earnings per share $ 0.74 $ 0.63 $ 1.70 $ 1.38 Reconciliation of Cash provided by operating activities to Adjusted free cash flow (in thousands) for the three and six months ended June 30, 2025 and 2024: Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Cash provided by operating activities $ 8,085 $ 2,157 $ 21,877 $ 21,860 Cash used for capital expenditures (2,846) (3,545) (6,009) (7,096) Free cash flow $ 5,239 $ (1,388) $ 15,868 $ 14,764 Plus: incremental special items: Severance and separation costs (1) 411 1,049 1,885 2,260 Other special items (2) 1,250 — 2,500 1,173 Adjusted free cash flow $ 6,900 $ (339) $ 20,253 $ 18,197 (1) Primarily represents the cash paid to our former Executive Chairman of the Board per his Transition Agreement which was effective February 22, 2024 and cash paid to our former Chief Financial Officer per his Release and Separation Agreement which was effective July 1, 2024. (2) Represents cash paid for professional services related to the review of strategic alternatives. CAUTIONARY STATEMENT ON FORWARD-LOOKING STATEMENTS This earnings release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and contains certain statements and information that may constitute forward-looking statements within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements made herein or elsewhere by us, or on our behalf, other than statements of historical information, should be deemed to be forward-looking statements, which include, but are not limited to, statements regarding any projections of earnings, revenue, cash flow, investment returns, capital allocation, debt levels, equity performance, death rates, market share growth, cost inflation, overhead, preneed sales or other financial items; any statements of the plans, strategies, objectives and timing of management for future operations or financing activities, including, but not limited to, capital allocation, organizational performance, execution of our strategic objectives and growth strategy, planned acquisitions and divestitures, technology improvements, product development, the ability to obtain credit or financing, anticipated integration, performance and other benefits of recently completed and anticipated acquisitions, and cost management and debt reductions; any statements of the plans, timing and objectives of management for acquisition and divestiture activities; any statements regarding future economic conditions and market conditions or performance; any statements of belief; and any statements of assumptions underlying any of the foregoing and are based on our current expectations and beliefs concerning future developments and their potential effect on us. Words such as 'may', 'will', 'estimate', 'intend', 'believe', 'expect', 'seek', 'project', 'forecast', 'foresee', 'should', 'would', 'could', 'plan', 'anticipate' and other similar words may be used to identify forward-looking statements; however, the absence of these words does not mean that the statements are not forward-looking. While we believe these assumptions concerning future events are reasonable as and when made, there can be no assurance that future developments affecting us will be those that we anticipate. All comments concerning our expectations for future revenue and operating results are based on our forecasts for our existing operations and do not include the potential impact of any future acquisitions or divestitures, except where specifically noted. Our forward-looking statements involve significant risks and uncertainties (some of which are beyond our control) and assumptions that could cause actual results to differ materially from our historical experience and our present expectations or projections. Important factors that could cause actual results to differ materially from those in the forward-looking statements include but are not limited to: our ability to find and retain skilled personnel; the effects of our talent recruitment efforts, incentive and compensation plans and programs, including such effects on our Standards Operating Model and the Company's operational and financial performance; our ability to execute our strategic objectives and growth strategy, if at all; the potential adverse effects on the Company's business, financial and equity performance if management fails to meet the expectations of its strategic objectives and growth plan; the execution of our Standards Operating and strategic acquisition frameworks; the effects of competition; changes in the number of deaths in our markets, which are not predictable from market to market or over the short term; changes in consumer preferences and our ability to adapt to or meet those changes; our ability to generate preneed sales, including implementing our cemetery portfolio sales strategy, product development and optimization plans; the investment performance of our funeral and cemetery trust funds; fluctuations in interest rates, including, but not limited to, the effects of increased borrowing costs under our Credit Facility and our ability to minimize such costs, if at all; the effects of inflation on our operational and financial performance, including the increased overall costs for our goods and services, the impact on customer preferences as a result of changes in discretionary income, and our ability, if at all, to mitigate such effects; our ability to obtain debt or equity financing on satisfactory terms to fund additional acquisitions, expansion projects, working capital requirements and the repayment or refinancing of indebtedness; our ability to meet the timing, objectives and expectations related to our capital allocation framework, including our forecasted rates of return, planned uses of free cash flow and future capital allocation, including debt repayment plans, internal growth projects, potential strategic acquisitions, dividend increases, or share repurchases; our ability to meet the projected financial and performance guidance to our full year outlook, if at all; the timely and full payment of death benefits related to preneed funeral contracts funded through life insurance contracts; the financial condition of third-party insurance companies that fund our preneed funeral contracts; increased or unanticipated costs, such as merchandise, goods, insurance or taxes, and our ability to mitigate or minimize such costs, if at all; our level of indebtedness and the cash required to service our indebtedness; changes in federal income tax laws and regulations and the implementation and interpretation of these laws and regulations by the Internal Revenue Service; effects of the application of other applicable laws and regulations, including changes in such regulations or the interpretation thereof; the potential impact of epidemics and pandemics, including any new or emerging public health threats, on customer preferences and on our business; government, social, business and other actions that have been and will be taken in response to pandemics and epidemics, including potential responses to any new or emerging public health threats; effects and expense of litigation; consolidation in the funeral and cemetery industry; our ability to identify and consummate strategic acquisitions on commercially reasonable terms and on a timely basis, if at all, and successfully integrate acquired businesses with our existing businesses, including expected performance and financial improvements related thereto; our ability to successfully complete any non-core asset divestitures on commercially reasonable terms and on a timely basis, if at all, and the impact of any such divestitures on our Company, including any financial, operational, tax or other similar impacts related thereto; the effects of any imposition or changes in tariffs or trade agreements including, but not limited to, any increased inflationary pressures on the economy or costs for our goods, and our ability, if at all, to mitigate such effects; economic, financial and stock market fluctuations; interruptions or security lapses of our information technology, including any cybersecurity or ransomware incidents; adverse developments affecting the financial services industry; acts of war or terrorists acts and the governmental or military response to such acts; our failure to maintain effective control over financial reporting; and other factors and uncertainties inherent in the funeral and cemetery industry. For additional information regarding known material factors that could cause our actual results to differ from our projected results, please see 'Risk Factors' in our Annual Report on Form 10-K for the year ended December 31, 2024, and in other filings with the SEC, available at Investors are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of the applicable communication and we undertake no obligation to publicly update or revise any forward-looking statements except to the extent required by applicable law.
Globe and Mail
a few seconds ago
- Globe and Mail
DXP Enterprises, Inc. Reports Second Quarter 2025 Results
DXP Enterprises, Inc. ("DXP" or the "Company") (NASDAQ: DXPE) today announced financial results for the second quarter ended June 30, 2025. The following are results for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, and March 31, 2025, where appropriate. A reconciliation of the non-GAAP financial measures can be found in the back of this press release. Second Quarter 2025 Financial Highlights: Sales increased 11.9 percent to $498.7 million compared to $445.6 million for the second quarter of 2024 and increased 4.6 percent sequentially from $476.6 million for the first quarter of 2025. Net income increased 41.3 percent for the second quarter to $23.6 million, compared to $16.7 million for the second quarter of 2024 and $20.6 million for the first quarter of 2025. Earnings per diluted share for the second quarter was $1.43 based upon 16.5 million diluted shares, compared to $1.00 earnings per diluted share in the second quarter of 2024, based on 16.7 million diluted shares. Adjusted EBITDA for the second quarter was $57.3 million compared to $48.2 million for the second quarter of 2024 and $52.5 million for the first quarter of 2025. Adjusted EBITDA as a percentage of sales, or Adjusted EBITDA margin, was 11.5 percent, 10.8 percent, and 11.0 percent, respectively. Cash flow from operating activities increased 26.5 percent for the second quarter to $18.6 million, compared to $14.7 million for the second quarter of 2024. Free Cash Flow (cash flow from operating activities less capital expenditures) for the second quarter was $8.3 million, compared to $5.9 million for second quarter of 2024. Business segment financial highlights: Service Centers' revenue for the second quarter was $339.7 million, an increase of 10.8 percent year-over-year, with a 14.8 percent operating income margin. Innovative Pumping Solutions' revenue for the second quarter was $93.5 million, an increase of 27.5 percent year-over-year, with a 19.9 percent operating income margin. Supply Chain Services' revenue for the second quarter was $65.4 million, a decrease of 0.4 percent year-over-year, with a 8.0 percent operating income margin. David R. Little, Chairman and Chief Executive Officer commented, "Second quarter results reflect the execution of our growth strategy and the resilience and durability of DXP's business. We are pleased with our sequential and year-over-year sales growth and strength in our gross profit margins. This resulted in operating leverage that produced earnings per share of $1.43. DXP's second quarter 2025 sales were $498.7 million, or a 4.6 percent increase over the first quarter of 2025 and 11.9 percent increase over 2024. Sequential organic sales for the quarter increased 12.3 percent or $51.9 million and acquisitions added another $24.6 million in sales during Q2. Adjusted EBITDA grew $4.8 million, or 9.2 percent over the first quarter of 2025. During the second quarter of 2025, sales were $339.7 million for Service Center, $93.5 million for Innovative Pumping Solutions, and $65.4 million for Supply Chain Services. Overall, we are very pleased with our performance and the progress DXP continues to make as a growth company, and we are excited to enter the second half of 2025.' Kent Yee, Chief Financial Officer and Senior Vice President, remarked, 'DXP achieved another high watermark quarter with a 4.6 percent sequential and 11.9 percent year-over-year sales increase to $498.7 million and 11.5 percent Adjusted EBITDA margins. We have closed two acquisitions through the second quarter, and one subsequent, and we anticipate closing at least three or four more acquisitions during the second half of 2025. This quarters financial results reflect continued execution of our strategic goals and the impact of our diversification efforts, an overall reduced energy industry exposure, and a strong balance sheet to support our key initiatives. Total debt outstanding as of June 30, 2025, was $626.8 million. DXP's secured leverage ratio or net debt to EBITDA ratio was 2.4:1.0 with a covenant EBITDA of $221.1 million for the last twelve months ending June 30, 2025.' Conference Call Information DXP Enterprises, Inc. management will host a conference call, August 7, 2025, at 10:30 a.m. Central Time, to discuss the Company's financial results. The conference call may be accessed by going to Interested investors and other parties can listen to a webcast of the live conference call by logging onto the Investor Relations section of the Company's website at The online replay will be available on the same website immediately following the call. A slide presentation highlighting the Company's results and key performance indicators will also be available on the Investor Relations section of the Company's website. To learn more about DXP Enterprises, Inc., please visit the Company's website at About DXP Enterprises, Inc. DXP Enterprises, Inc. is a leading products and service distributor that adds value and total cost savings solutions to industrial customers throughout North America and Dubai. DXP provides innovative pumping solutions, supply chain services and maintenance, repair, operating and production ("MROP") services that emphasize and utilize DXP's vast product knowledge and technical expertise in rotating equipment, bearings, power transmission, metal working, industrial supplies and safety products and services. DXP's breadth of MROP products and service solutions allows DXP to be flexible and customer-driven, creating competitive advantages for our customers. DXP's business segments include Service Centers, Innovative Pumping Solutions and Supply Chain Services. For more information, go to Non-GAAP Financial Measures DXP supplements reporting of net income with certain non-GAAP measurements, including EBITDA, Adjusted EBITDA, EBITDA Margin, Adjusted EBITDA Margin, and Free Cash Flow. This supplemental information should not be considered in isolation or as a substitute for the unaudited GAAP measurements. Additional information regarding EBITDA, Adjusted EBITDA, EBITDA Margin, Adjusted EBITDA Margin, Free Cash Flow and net debt referred to in this press release are included below under "Unaudited Reconciliation of Non-GAAP Financial Information". The Company believes EBITDA provides additional information about: (i) operating performance, because it assists in comparing the operating performance of the business, as it removes the impact of non-cash depreciation and amortization expense as well as items not directly resulting from core operations such as interest expense and income taxes and (ii) the performance and the effectiveness of operational strategies. Additionally, EBITDA performance is a component of a measure of the Company's financial covenants under its credit facilities. Furthermore, some investors use EBITDA as a supplemental measure to evaluate the overall operating performance of companies in the industry. Management believes that some investors' understanding of performance is enhanced by including this non-GAAP financial measure as a reasonable basis for comparing ongoing results of operations. By providing this non-GAAP financial measure, together with a reconciliation to its most directly comparable GAAP financial measure, the Company believes it is enhancing investors' understanding of the business and results of operations, as well as assisting investors in evaluating how well the Company is executing strategic initiatives. Free Cash Flow reconciles to the most directly comparable GAAP financial measure of cash flows from operations as provided below. We believe Free Cash Flow is an important liquidity metric because it measures, during a given period, the amount of cash generated that is available to fund acquisitions, make investments, repay debt obligations, repurchase shares of the Company's common stock, and for certain other activities. Information Related to Forward-Looking Statements The Private Securities Litigation Reform Act of 1995 provides a 'safe-harbor' for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made by or to be made by the Company) contains statements that are forward-looking. These forward-looking statements include, without limitation, those about the Company's expectations regarding the Company's expectations regarding the filing of the Form 10-Q; the description of the anticipated changes in the Company's consolidated balance sheet and the results of operations and the Company's assessment of the impact of such anticipated changes; the Company's business, the Company's future profitability, cash flow, liquidity, and growth. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future; and accordingly, such results may differ from those expressed in any forward-looking statement made by or on behalf of the Company. These risks and uncertainties include, but are not limited to: the effectiveness of management's strategies and decisions; our ability to implement our internal growth and acquisition growth strategies; general economic and business conditions specific to our primary customers; changes in government regulations; our ability to effectively integrate businesses we may acquire; new or modified statutory or regulatory requirements; availability of materials and labor; inability to obtain or delay in obtaining government or third-party approvals and permits; non-performance by third parties of their contractual obligations; unforeseen hazards such as weather conditions, acts of war or terrorist acts and the governmental or military response thereto; cyber-attacks adversely affecting our operations; other geological, operating and economic considerations and declining prices and market conditions, including supply or demand for maintenance, repair and operating products, equipment and service; inability of the Company or its independent auditors to complete the work necessary in order to file the Form 10-Q in the expected time frame; unanticipated changes to the Company's operating results in the Form 10-Q as filed or in relation to prior periods, including as compared to the anticipated changes stated here; unanticipated impact of such changes and its materiality; ability to obtain needed capital, dependence on existing management, leverage and debt service, domestic or global economic conditions, ability to manage changes and the continued health or availability of management personnel and changes in customer preferences and attitudes. In some cases, you can identify forward-looking statements by terminology such as, but not limited to, 'may,' 'will,' 'should,' 'intend,' 'expect,' 'plan,' 'anticipate,' 'believe,' 'estimate,' 'predict,' 'potential,' 'goal,' or 'continue' or the negative of such terms or other comparable terminology. More information on these risks and other potential factors that could affect the Company's business and financial results is included in the Company's filings with the Securities and Exchange Commission, including in the 'Risk Factors' and 'Management's Discussion and Analysis of Financial Condition and Results of Operations' sections of the Company's most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings. The Company assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates. Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Sales $ 498,682 $ 445,556 $ 975,251 $ 858,191 Cost of sales 340,869 307,763 667,173 596,516 Gross profit 157,813 137,793 308,078 261,675 Selling, general and administrative expenses 111,827 100,441 221,577 195,192 Income from operations 45,986 37,352 86,501 66,483 Interest expense 14,744 15,384 29,404 30,928 Other income, net (354 ) (1,035 ) (1,672 ) (3,004 ) Income before income taxes 31,596 23,003 58,769 38,559 Provision for income taxes 7,984 6,310 14,568 10,534 Net income 23,612 16,693 44,201 28,025 Preferred stock dividend 22 22 45 45 Net income attributable to common shareholders $ 23,590 $ 16,671 $ 44,156 $ 27,980 Net income $ 23,612 $ 16,693 $ 44,201 $ 28,025 Foreign currency translation adjustments 2,563 93 2,649 (521 ) Comprehensive income $ 26,175 $ 16,786 $ 46,850 $ 27,504 Earnings per share: Basic $ 1.50 $ 1.05 $ 2.81 $ 1.75 Diluted $ 1.43 $ 1.00 $ 2.67 $ 1.66 Weighted average common shares outstanding: Basic 15,694 15,868 15,696 15,998 Diluted 16,534 16,708 16,536 16,838 DXP ENTERPRISES, INC. AND SUBSIDIARIES UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS ($ thousands, except share amounts) June 30, 2025 December 31, 2024 ASSETS Current assets: Cash $ 112,930 $ 148,320 Restricted cash — 91 Accounts receivable, net of allowance of $3,665 and $5,172, respectively 361,393 339,365 Inventories 110,758 103,113 Costs and estimated profits in excess of billings 57,260 50,735 Prepaid expenses and other current assets 41,320 20,250 Total current assets 683,661 661,874 Property and equipment, net 107,207 81,556 Goodwill 461,298 452,343 Other intangible assets, net 78,485 85,679 Operating lease right of use assets, net 60,835 46,569 Other long-term assets 20,908 21,473 Total assets $ 1,412,394 $ 1,349,494 LIABILITIES AND EQUITY Current liabilities: Current maturities of debt $ 6,595 $ 6,595 Trade accounts payable 104,764 103,728 Accrued wages and benefits 37,449 41,650 Customer advances 16,018 13,655 Billings in excess of costs and estimated profits 22,906 12,662 Short-term operating lease liabilities 17,071 14,921 Other current liabilities 40,646 50,773 Total current liabilities 245,449 243,984 Long-term debt, net of unamortized debt issuance costs and discounts 620,239 621,684 Long-term operating lease liabilities 45,402 33,159 Other long-term liabilities 33,212 27,879 Total long-term liabilities 698,853 682,722 Total liabilities 944,302 926,706 Commitments and Contingencies Shareholders' equity: Series A preferred stock, $1.00 par value; 1,000,000 shares authorized 1 1 Series B preferred stock, $1.00 par value; 1,000,000 shares authorized 15 15 Common stock, $0.01 par value, 100,000,000 shares authorized; 20,401,857 issued and 15,694,084 outstanding at June 30, 2025 and 20,402,861 issued and 15,695,088 outstanding at December 31, 2024 204 204 Additional paid-in capital 217,982 219,511 Retained earnings 433,826 389,670 Accumulated other comprehensive loss (30,961 ) (33,610 ) Treasury stock, at cost 4,707,773 and 4,707,773 shares, respectively (152,975 ) (153,003 ) ($ thousands, unaudited) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Income from operations for reportable segments $ 74,042 $ 63,044 $ 140,056 $ 115,596 Adjustment for: Amortization of intangibles 5,327 4,719 10,684 9,088 Corporate expenses 22,729 20,973 42,871 40,025 Income from operations $ 45,986 $ 37,352 $ 86,501 $ 66,483 Interest expense 14,744 15,384 29,404 30,928 Other income, net (354 ) (1,035 ) (1,672 ) (3,004 ) Income before income taxes $ 31,596 $ 23,003 $ 58,769 $ 38,559 RECONCILIATION OF NON-GAAP FINANCIAL INFORMATION ($ thousands, unaudited) We define and calculate EBITDA as Net income attributable to DXP Enterprises, Inc., plus interest, taxes, depreciation, and amortization. We define and calculate Adjusted EBITDA as Net income attributable to DXP Enterprises, Inc., plus interest, taxes, depreciation, and amortization minus stock-based compensation expense and all other non-cash charges, adjustments, and non-recurring items. We identify the impact of all other non-cash charges, adjustments and non-recurring items because we believe these items do not directly reflect our underlying operations. We define and calculate EBITDA Margin as EBITDA divided by sales. We define and calculate Adjusted EBITDA Margin as Adjusted EBITDA divided by sales. The following table sets forth the reconciliation of EBITDA, EBITDA Margin, Adjusted EBITDA and Adjusted EBITDA Margin to the most comparable U.S. GAAP financial measure (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Income before income taxes $ 31,596 $ 23,003 $ 58,769 $ 38,559 Plus: Interest expense 14,744 15,384 29,404 30,928 Plus: Depreciation and amortization 9,490 8,127 18,624 15,665 EBITDA $ 55,830 $ 46,514 $ 106,797 $ 85,152 Plus: other non-recurring items (1) — 500 235 1,342 Plus: stock compensation expense 1,483 1,212 2,800 2,076 Adjusted EBITDA $ 57,313 $ 48,226 $ 109,832 $ 88,570 Operating Income Margin 9.2 % 8.4 % 8.9 % 7.7 % Net Income Margin 4.7 % 3.7 % 4.5 % 3.3 % EBITDA Margin 11.2 % 10.4 % 11.0 % 9.9 % Adjusted EBITDA Margin 11.5 % 10.8 % 11.3 % 10.3 % (1) Other non-recurring items includes unique acquisition integration costs and other non-cash, non-recurring costs not related to continuing business operations. We define and calculate organic sales to include locations and acquisitions under our ownership for at least twelve months. "Acquisition Sales" are sales from acquisitions that have been under our ownership for less than twelve months and are excluded in our calculation of Organic Sales. "Business Days" are days of the week, excluding Saturdays, Sundays, and holidays, that our locations are open during the year. Depending on the location and the season, our branches may be open on Saturdays and Sundays; however, for consistency, those days have been excluded from the calculation of Business Days. We define and calculate Sales per Business Day as sales divided by the number of Business Days in the relevant reporting period. We define and calculate Organic Sales per Business Day as Organic Sales divided by the number of Business Days in the relevant reporting period. The following table sets forth the reconciliation of Acquisition Sales, Organic Sales and Organic Sales per Business Day to the most comparable U.S. GAAP financial measure (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Sales by Business Segment Service Centers $ 339,731 $ 306,516 $ 666,806 $ 594,952 Innovative Pumping Solutions 93,540 73,377 179,722 135,592 Supply Chain Services 65,411 65,663 128,723 127,647 Total DXP Sales $ 498,682 $ 445,556 $ 975,251 $ 858,191 Acquisition Sales $ 24,605 $ 23,403 $ 55,717 $ 35,178 Organic Sales $ 474,077 $ 422,153 $ 919,534 $ 823,013 Business Days 63 64 126 127 Sales per Business Day $ 7,916 $ 6,962 $ 7,740 $ 6,757 Organic Sales per Business Day $ 7,525 $ 6,596 $ 7,298 $ 6,480 We define and calculate free cash flow as net cash (used in) provided by operating activities less purchases of property and equipment. The following table sets forth the reconciliation of Free Cash Flow to the most comparable GAAP financial measure (in thousands):
Cision Canada
a few seconds ago
- Cision Canada
GDI Integrated Facility Services Inc. Releases its Financial Results for the Second Quarter Ended June 30, 2025 Français
Q2 2025 revenue of $610 million, a decrease of $29 million, or 5%, over Q2 2024. Q2 2025 Adjusted EBITDA* of $34 million, representing an Adjusted EBITDA* margin of 6%, compared to $34 million and 5% in Q2 2024. Q2 2025 net loss of $1 million or $0.04 per share compared with net income of $2 million or $0.07 per share for the second quarter of 2024. Adjusting for the net of tax effect of a $5 million unrealized foreign exchange loss during the quarter, net income would have been $3 million or $0.12 per share. LASALLE, QC, Aug. 6, 2025 /CNW/ - GDI Integrated Facility Services Inc. ("GDI" or the "Company") (TSX: GDI) is pleased to announce its financial results for the second quarter ended June 30, 2025. Financial Highlights For the second quarter of 2025: Revenue reached $610 million, a decrease of $29 million, or 5%, over the second quarter of 2024 mainly attributable to the organic decline of 4%. Adjusted EBITDA* amounted to $34 million, representing an Adjusted EBITDA* margin of 6% compared to $34 million and 5% in Q2 2024. Net loss was $1 million or $0.04 per share compared to $2 million or $0.07 per share in Q2 2024. During Q2 2025, the Company recorded a $5 million unrealized foreign exchange loss due to the revaluation of a U.S. dollar intercompany loan in our Canadian operations. The offsetting gain is recorded in Other comprehensive income through the currency conversion of our U.S. subsidiary, creating an accounting mismatch with no cash flow impact. Without this expense and considering the related income tax benefit of $1 million, net income would have been $3 million or $0.12 per share. For the second quarters of 2025 and 2024, the business segments performed as follows: Note: The 2024 results were recast to reflect i) the transfer of the Integrated Facility Services business from Corporate and Other to Technical Services since January 1, 2025; and ii) the allocation of corporate technology costs, moving some from the Corporate and Other segment to the operating Business Segments. For the six-month period ended June 30, 2025: Revenue reached $1.23 billion, a decrease of $57 million, or 4%, over the corresponding period of 2024, comprised of 5% organic decline and 1% decrease from acquisitions and disposals, partially offset by 2% growth attributable to the currency translation. Adjusted EBITDA* amounted to $67 million, an increase of $6 million, or 10%, over the corresponding period of 2024. Net income was $5 million or $0.22 per share compared to $2 million or $0.09 per share over the corresponding period of 2024. The increase is mainly due to higher operating income of $14 million mainly attributable to the increase in Adjusted EBITDA* and to the decrease in amortization and depreciation expense. Last year included additional amortization expense due to the significant reduction of an important customer contract. The increase in 2025 was partially offset by higher net finance expense of $11 million which includes a $5 million unrealized foreign exchange loss due to the revaluation of a U.S. dollar intercompany loan in our Canadian operations. For the first two quarters of 2025 and 2024, the business segments performed as follows: Note: The 2024 results were recast to reflect i) the transfer of the Integrated Facility Services business from Corporate and Other to Technical Services since January 1, 2025 and ii) the allocation of corporate technology costs, moving some from the Corporate and Other segment to the operating Business Segments Financial results for the second quarter 2025 GDI's Business Services Canada segment recorded $147 million in revenue while generating $10 million in Adjusted EBITDA *, representing an Adjusted EBITDA margin * of 7%. GDI's Business Services USA segment recorded revenue of $204 million and Adjusted EBITDA * of $14 million, representing an Adjusted EBITDA margin * of 7%. Business Services USA organic decline in Q2 reflects the paring down of low margin accounts from our Atalian acquisition which was carried out through the course of fiscal 2024 as well as the loss of the remaining 20% of the large client lost during Q1 fiscal 2024. In addition, revenue generated by one customer fluctuated based on the volume of recurring project work which was lower in the second quarter of 2025. The Technical Services segment recorded revenue of $252 million and Adjusted EBITDA * of $14 million, up by $2 million compared to Q2 2024, representing an Adjusted EBITDA margin * of 6% compared to 5% in Q2 2024, mainly attributable to higher margins in project revenues compared to previous year. GDI's Corporate and Other segment recorded revenue of $7 million and negative Adjusted EBITDA* of $4 million compared to $9 million and negative $3 million in Q2 2024, respectively. "I am relatively pleased with GDI's Q2 2025 performance," stated Claude Bigras, President & CEO of GDI. "Our Business Services Canada delivered results in-line with historic, with 1% organic growth and a slight decline in Adjusted EBITDA. We are experiencing a degree of softness in our Business Services Canada segment due to a higher levels of contract churn and margin pressure on existing accounts. These trends reflect broader challenges in the Canadian real estate sector, where higher vacancy rates and economic uncertainty from tariffs are weighing on customer operating budgets. In response, we are actively implementing strategic initiatives to align our cost structure, enhance client retention, and preserve margins in this evolving environment. GDI's Business Services USA segment delivered solid results with an Adjusted EBITDA margin of 7%, an increase over the prior year's quarter. As previously announced, the business recorded an organic revenue decline in Q2 reflecting the paring down of low margin accounts from our Atalian USA acquisition which was carried out through the course of fiscal 2024 as well as the loss of the remaining 20% of the business' largest client lost in Q1 fiscal 2024. The Business Services USA segment has secured several new contracts wins which are expected to be starting in Q3 and we expect this business to perform well for the remainder of the year. Our Technical Services business had a very good quarter compared to Q2 last year, generating $252 million in revenue and a 6% Adjusted EBITDA margin which represents a 17% increase in Adjusted EBITDA over Q2 2024. Our Ainsworth business is continuing to perform well. It is generating higher than historic profitability and the outlook remains positive," stated Mr. Bigras. "GDI's balance sheet management initiatives continue to deliver results with a slight decrease in long-term debt over Q1 2025 and stability in working capital levels. Our leverage ratio remains comfortably below three times Adjusted EBITDA, our balance sheet is strong, and we are well positioned to continue to execute on our growth through M&A strategy," concluded Mr. Bigras. _________________________________ * The terms "Adjusted EBITDA", "Adjusted EBITDA Margin", Long-term debt, net of cash, and net operating working capital do not have standardized definitions prescribed by International Financial Reporting Standards and therefore, may not be comparable to similar measures presented by other companies. "Adjusted EBITDA" is defined as operating income before depreciation and amortization, transaction, reorganization and other costs, share-based compensation and strategic information technology projects configuration and customization costs. The Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by revenues. For more details and for a reconciliation of that measure to the most directly comparable IFRS measure, consult the "Operating and Financial Results" section of the Company's Management Discussion & Analysis ("MD&A"). Long-term debt, net of cash, and net operating working capital details and calculation is descripted in the section "consolidated financial position" of the MD&A. ABOUT GDI GDI is a leading integrated commercial facility services provider which offers a range of services in Canada and the United States to owners and managers of a variety of facility types including office buildings, educational facilities, distribution centers, industrial facilities, healthcare establishments, stadiums and event venues, hotels, shopping centres, airports and other transportation facilities. GDI's commercial facility services capabilities include commercial janitorial and building maintenance, energy advisory and system optimization, the installation, maintenance and repair of HVAC-R, mechanical, electrical and building automation systems, as well as other complementary services such as janitorial products manufacturing and distribution. GDI's subordinate voting shares are listed on the Toronto Stock Exchange (TSX: GDI). Additional information on GDI can be found on its website at CAUTION CONCERNING FORWARD-LOOKING STATEMENTS Certain statements in this press release may constitute forward-looking information within the meaning of securities laws. Forward looking information may relate to GDI's future outlook and anticipated events, business, operations, financial performance, financial condition or results and, in some cases, can be identified by terminology such as "may"; "will"; "should"; "expect"; "plan"; "anticipate"; "believe"; "intend"; "estimate"; "predict"; "potential"; "continue"; "foresee"; "ensure" or other similar expressions concerning matters that are not historical facts. In particular, statements regarding GDI's future operating results and economic performance, and its objectives and strategies are forward-looking statements. These statements are based on certain factors and assumptions including expected growth, results of operations, performance and business prospects and opportunities, which GDI believes are reasonable as of the current date. While management considers these assumptions to be reasonable based on information currently available to the Company, they may prove to be incorrect. It is impossible for GDI to predict with certainty the impact that the current economic uncertainties may have on future results. Forward-looking information is also subject to certain factors, including risks and uncertainties (described in the "Risk Factors" section) that could cause actual results to differ materially from what GDI currently expects. Namely, these factors include risks pertaining to unsuccessful implementation of the business strategy, changes to business structure, inherent operating risks from acquisition activity, failure to integrate an acquired company, decline in commercial real estate occupancy levels, increase in costs which cannot be passed on to customers, labour shortages, disruption in information technology systems and execution issues with Strategic IT projects, increases in interest rates, exchange rate fluctuations, deterioration in economic conditions, Government Policies on International trade and Investment, including sanctions and actions in respect to global trade, tariffs, and trade agreement, increase in competition, influence of the principal shareholders, loss of key or long-term customers, public procurement laws and regulations, legal proceedings, reputational damage, labour disputes, disputes with franchisees, environmental, social and governance ("ESG") considerations, goodwill and long-lived assets impairment charges, tax matters, key employees, participation in multi-employer pension plans, legislation or other governmental action, cybersecurity, data confidentiality and data protection, and public perception of our environmental footprint, many of which are beyond the Company's control. Therefore, future events and results may vary significantly from what management currently foresees. The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While management may elect to, the Company is under no obligation and does not undertake to update or alter this information at any particular time, except as may be required by law. June 30, 2025 unaudited condensed consolidated interim financial statements and accompanied Management & Discussion Analysis are filed on Three-months period ended June 30, 2025 Business Services Canada Business Services USA Technical Services Corporate and Other Total Recurring/contractual services 129 193 42 – 364 On-call services 10 11 69 – 90 Projects – – 141 – 141 Manufacturing and distribution – – – 10 10 Other revenues 5 – – – 5 Total external revenues 144 204 252 10 610 Inter-segment revenues 3 – – (3) ‒ Revenues 147 204 252 7 610 Income (loss) before income taxes 8 8 5 (23) (2) Net finance expense – – 2 10 12 Operating income (loss) 8 8 7 (13) 10 Depreciation and amortization 2 6 7 3 18 Transaction, reorganization, and other costs – – – 2 2 Share-based compensation (1) – – – 3 3 Strategic information technology projects configuration and customization costs – – – 1 1 Adjusted EBITDA 10 14 14 (4) 34 Total assets 251 362 525 100 1,238 Total liabilities 67 91 248 334 740 Additions to property, plant and equipment 3 8 2 – 13 Additions to intangible assets – – – 1 1 Goodwill recorded on business acquisitions – – 2 – 2 (1) Includes stock option, performance share unit and restricted share unit plans. GDI INTEGRATED FACILITY SERVICES INC. SEGMENTED INFORMATION (CONTINUED) (UNAUDITED) (IN MILLIONS OF CANADIAN DOLLARS) Three-months period ended June 30, 2024 Business Services Canada Business Services USA Technical Services Corporate and Other (3) Total Recurring/contractual services 127 200 36 ‒ 363 On-call services 10 21 69 ‒ 100 Projects ‒ ‒ 159 ‒ 159 Manufacturing and distribution ‒ ‒ ‒ 12 12 Other revenues 5 ‒ ‒ ‒ 5 Total external revenues 142 221 264 12 639 Inter-segment revenues 3 ‒ ‒ (3) ‒ Revenues 145 221 264 9 639 Income (loss) before income taxes (4) 8 8 1 (12) 5 Net finance expense ‒ 1 2 2 5 Operating income (loss) 8 9 3 (10) 10 Depreciation and amortization 3 5 9 2 19 Transaction, reorganization, and other costs ‒ ‒ ‒ 2 2 Share-based compensation (1) ‒ ‒ ‒ 2 2 Strategic information technology projects configuration and customization costs ‒ ‒ ‒ 1 1 Adjusted EBITDA 11 14 12 (3) 34 Total assets (2) 254 416 526 89 1,285 Total liabilities (2) 72 114 246 357 789 Additions to property, plant and equipment 1 5 8 2 16 Additions to intangible assets – 1 3 – 4 Goodwill recorded on business acquisitions – 7 2 – 9 (1) Includes stock option, performance share unit and restricted share unit plans. (2) As at December 31, 2024. (3) The 2024 figures were recast to reflect the January 1, 2025 reorganization change where facility management services now report into the Technical Serviced segment as opposed to Corporate and Other as published in 2024. (4) The 2024 figures were recast to reflect a change in the allocation of corporate technology costs, moving from the Corporate and Other segment to the operating segments. This change was implemented to provide a more meaningful view of segment profitability. GDI INTEGRATED FACILITY SERVICES INC. SEGMENTED INFORMATION (CONTINUED) (UNAUDITED) (IN MILLIONS OF CANADIAN DOLLARS) Six-months period ended June 30, 2025 Business Services Canada Business Services USA Technical Services Corporate and Other Total Recurring/contractual services 258 399 80 – 737 On-call services 18 22 133 – 173 Projects – – 285 – 285 Manufacturing and distribution – – – 19 19 Other revenues 12 – – – 12 Total external revenues 288 421 498 19 1,226 Inter-segment revenues 6 – – (6) ‒ Revenues 294 421 498 13 1,226 Income (loss) before income taxes 16 18 7 (34) 7 Net finance expense – 1 3 11 15 Operating income (loss) 16 19 10 (23) 22 Depreciation and amortization 5 9 16 6 36 Transaction, reorganization, and other costs – – – 3 3 Share-based compensation (1) – – – 5 5 Strategic information technology projects configuration and customization costs – – – 1 1 Adjusted EBITDA 21 28 26 (8) 67 Total assets 251 362 525 100 1,238 Total liabilities 67 91 248 334 740 Additions to property, plant and equipment 4 18 4 1 27 Additions to intangible assets – – – 1 1 Goodwill recorded on business acquisitions – – 2 – 2 (1) Includes stock option, performance share unit and restricted share unit plans. GDI INTEGRATED FACILITY SERVICES INC. SEGMENTED INFORMATION (CONTINUED) (UNAUDITED) (IN MILLIONS OF CANADIAN DOLLARS) Six-month period ended June 30, 2024 Business Services Canada Business Services USA Technical Services Corporate and Other (3) Total Recurring/contractual services 253 403 72 ‒ 728 On-call services 18 43 143 ‒ 204 Projects ‒ ‒ 309 ‒ 309 Manufacturing and distribution ‒ ‒ ‒ 29 29 Other revenues 13 ‒ ‒ ‒ 13 Total external revenues 284 446 524 29 1,283 Inter-segment revenues 6 ‒ ‒ (6) ‒ Revenues 290 446 524 23 1,283 Income (loss) before income taxes (4) 15 11 (2) (20) 4 Net finance expense ‒ 1 1 2 4 Operating income (loss) 15 12 (1) (18) 8 Depreciation and amortization 6 14 19 6 45 Transaction, reorganization, and other costs ‒ 1 ‒ 2 3 Share-based compensation (1) ‒ ‒ ‒ 4 4 Strategic information technology projects configuration and customization costs ‒ ‒ ‒ 1 1 Adjusted EBITDA 21 27 18 (5) 61 Total assets (2) 254 416 526 89 1,285 Total liabilities (2) 72 114 246 357 789 Additions to property, plant and equipment 3 6 16 3 28 Additions to intangible assets – 1 3 1 5 Goodwill recorded on business acquisitions – 10 2 – 12 (1) Includes stock option, performance share unit and restricted share unit plans. (2) As at December 31, 2024. (3) The 2024 figures were recast to reflect the January 1, 2025 reorganization change where facility management services now report into the Technical Services segment as opposed to Corporate and Other as published in 2024. (4) The 2024 figures were recast to reflect a change in the allocation of corporate technology costs, moving from the Corporate and Other segment to the operating segments. This change was implemented to provide a more meaningful view of segment profitability. GDI INTEGRATED FACILITY SERVICES INC. CONSOLIDATED FINANCIAL POSITION (UNAUDITED) (IN MILLIONS OF CANADIAN DOLLARS) June 30, December 31, (in millions of Canadian dollars) 2025 2024 Net operating working capital: Trade and other receivables and contract assets 529 565 Inventories 32 33 Prepaid expenses and other 22 16 Other financial assets ‒ 15 Trade and other payables (274) (306) Provisions (26) (32) Contract liabilities (35) (33) Net operating working capital 248 258 Long-term debt, including current portion, net of Cash (bank indebtedness): Cash, net of bank indebtedness 25 12 Long-term debt, including current portion (378) (383) Long-term debt, including current portion, net of cash (353) (371) Other financial position accounts: Property, plant and equipment 120 119 Intangible assets 104 115 Goodwill 370 378 Other long-term assets 22 20 Assets held for sale 6 6 Other long-term liabilities (6) (9) Net current tax (liabilities) assets (2) (5) Net deferred tax (liabilities) assets (11) (15) GDI INTEGRATED FACILITY SERVICES INC. SUPPLEMENTARY QUARTERLY FINANCIAL INFORMATION THREE-MONTH PERIODS (UNAUDITED) (IN MILLIONS OF CANADIAN DOLLARS) Period ended June March December September (in millions of Canadian dollars, except per share data) (1) 2025 2025 2024 2024 Revenue 610 616 634 640 Operating income 10 12 15 15 Depreciation and amortization 18 18 22 20 Transaction, reorganization and other costs 2 1 (2) 1 Share-based compensation 3 3 2 3 Strategic information technology projects configuration and customization costs 1 ‒ 1 ‒ Adjusted EBITDA 34 34 38 39 Net (loss) income for the period (1) 6 23 7 Earnings per share Basic (0.04) 0.26 1.00 0.28 Diluted (0.04) 0.26 0.99 0.28 Period ended June March December September (in millions of Canadian dollars, except per share data) (1) 2024 2024 2023 2023 Revenue 639 644 622 615 Operating (loss) income 10 (2) 9 16 Depreciation and amortization 19 26 22 19 Transaction, reorganization and other costs 2 1 2 ‒ Share-based compensation 2 2 2 2 Strategic information technology projects configuration and customization costs 1 1 2 2 Adjusted EBITDA 34 28 37 39 Net income for the period 2 ‒ 6 8 Earnings per share Basic 0.07 0.02 0.26 0.35 Diluted 0.07 0.02 0.25 0.35 (1) The differences between the quarters are mainly the results of business acquisitions, as well as seasonality in the Technical Services segment and also reflect the timing of certain projects. SOURCE GDI Integrated Facility Services Inc.
