Full Year Revenue Growth and Profitability
Fiscal 2025 revenue increased 2.1% year-over-year to $60.7M (from $59.4M); gross margin improved to 25.8% from 25.3% (+0.5 pp). GAAP net income from continuing operations was $2.5M ($0.046 per diluted share) and adjusted EBITDA for the year was $2.4M, indicating continued underlying profitability in continuing operations.
Strategic Balance Sheet Action — Mountain Top Sale
Sold Mountain Top, PA facility for $9.225M (completed March 6, 2026); proceeds used to repay the MapleMark loan and interest in full, released restricted cash, removed a noncore asset and simplified the balance sheet, improving financial flexibility despite modest net proceeds after costs and debt repayment.
Clear Strategic Priorities and Modernization Plan
Management committed to a multi-quarter modernization program (ERP evaluation plus surrounding apps, integrations and process redesign) and articulated priorities of stabilization, disciplined execution and cash preservation. Company is not pursuing acquisitions or additional debt while modernizing.
Early Operational Signs and Cross-Platform Opportunity
Management reported encouraging directional signs in upstream item setup, vendor onboarding and points-of-distribution work. Denver is beginning to participate in the digital model, offering potential low-capital synergies (working capital velocity, expanded assortment, use of existing fulfillment footprint).