Energy Services of America Reports Fiscal Third Quarter 2025 Results
HUNTINGTON, W.Va., Aug. 11, 2025 /PRNewswire/ -- Energy Services of America Corporation (the "Company" or "Energy Services") (NASDAQ:ESOA), today announced its results for its fiscal third quarter ended June 30, 2025.
Third Quarter Summary (1)
Revenue of $103.6 million, a 21% increase
Gross profit of $12.0 million, compared to $15.3 million
Net income of $2.1 million, or $0.12 per diluted share
Backlog of $304.4 million compared to $250.9 million
(1) All comparisons are versus the comparable prior year period, unless otherwise stated.
"Our third quarter results show a significant sequential improvement as we entered the more favorable spring and summer weather period. We also recorded strong revenue growth from the prior-year quarter primarily driven by our Gas & Water Distribution business line," said Doug Reynolds, President of Energy Services. "We also increased our backlog by $24 million sequentially thanks in part to increased opportunities for water and wastewater projects."
"We remain optimistic about the outlook for our business as we enter the final quarter of fiscal 2025 and into fiscal 2026. Opportunities for projects within the electrical, mechanical, and general construction business remain strong and we continue to benefit from ongoing water and wastewater pipe replacement projects through private utility companies. The strong inflow of opportunities allows us to select projects with a more attractive margin profile while continuing to effectively manage and staff these projects. Overall, we believe the favorable tailwinds across our industries will allow us to continue to deliver top and bottom-line growth while generating long-term value for our shareholders," Mr. Reynolds concluded.
Third Quarter Fiscal 2025 Financial ResultsTotal revenues for the period equaled $103.6 million, compared to $85.9 million in the third quarter of fiscal 2024. The year-over-year increase was primarily driven by increased work within the Gas & Water Distribution and Electrical, Mechanical and General business lines, which more than offset a decline in Gas & Petroleum Transmission.
Gross profit was $12.0 million, compared to $15.3 million in the prior-year quarter. Gross margin was 11.6% of revenues, compared to 17.8% of revenues in the third quarter of fiscal 2024. The decrease is related to lower operational efficiency resulting in less fixed cost coverage.
Selling and administrative expenses were $8.8 million, compared to $6.8 million in the prior-year quarter. The increase is primarily related to additional personnel hired to secure and manage work for expected growth, the acquisition of Tribute in December 2024 and increased consulting and audit fees due to becoming an accelerated filer which requires a separate internal controls audit.
Net income was $2.1 million, or $0.12 per diluted share, compared to net income of $17.5 million or $1.06 per diluted share in the third quarter of fiscal 2024. The prior-year quarter included approximately $11.4 million, or $0.69 per diluted share, from a legal judgement.
Backlog as of June 30, 2025 was $304.4 million, compared to $280.7 million as of March 31, 2025 and $250.9 million as of June 30, 2024.
Below is a comparison of the Company's operating results for the three and nine months ended June 30, 2025 and 2024 (unaudited):
Three Months Ended
Three Months Ended
Nine Months Ended
Nine Months Ended
June 30,
June 30,
June 30,
June 30,
2025
2024
2025
2024
Revenue
$ 103,601,585
$ 85,923,760
$ 280,926,850
$ 247,214,602
Cost of revenues
91,618,987
70,615,936
258,602,810
214,828,263
Gross profit
11,982,598
15,307,824
22,324,040
32,386,339
Selling ...
