Energy Services Of America ( (ESOA) ) has released its Q3 earnings. Here is a breakdown of the information Energy Services Of America presented to its investors.
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Energy Services of America Corporation, headquartered in Huntington, WV, is a contractor and service company that operates primarily in the mid-Atlantic and Central regions of the United States, providing services to the natural gas, petroleum, water distribution, automotive, chemical, and power industries. The company is known for its commitment to safety, quality, and production, employing over 1,000 individuals regularly.
Energy Services of America recently reported its fiscal third-quarter results for 2025, highlighting a notable increase in revenue and a substantial backlog. Despite a decrease in gross profit and net income compared to the previous year, the company remains optimistic about future growth opportunities.
The company reported a revenue of $103.6 million, marking a 21% increase from the previous year, primarily driven by its Gas & Water Distribution business line. However, gross profit decreased to $12.0 million from $15.3 million, with a gross margin decline attributed to lower operational efficiency. Net income was reported at $2.1 million, or $0.12 per diluted share, compared to $17.5 million or $1.06 per diluted share in the prior year, which included a significant legal judgment.
Energy Services also noted an increase in its backlog to $304.4 million, up from $250.9 million in the previous year, indicating strong demand for its services. The company has been strategically expanding its workforce and incurring higher administrative expenses to manage anticipated growth, including the acquisition of Tribute in December 2024.
Looking ahead, Energy Services of America remains optimistic about its business outlook as it enters the final quarter of fiscal 2025 and into fiscal 2026. The company anticipates continued growth opportunities in the electrical, mechanical, and general construction sectors, supported by ongoing water and wastewater projects. Management believes these favorable industry conditions will enable sustained top and bottom-line growth, ultimately generating long-term value for shareholders.