EVI Industries, Inc. (NYSE:EVI) Q1 2024 Results Conference Call November 9, 2023 9:00 AM ET
Company Participants
Henry Nahmad - Chairman and Chief Executive Officer
Henry Nahmad
Hello, and welcome to EVI Industries' Earnings Call for the First Quarter of the Fiscal Year ending June 30, 2024. This is Henry Nahmad, Chairman and CEO of EVI.
Before we proceed, we would like to disclose our cautionary statement. This earnings call contains forward-looking statements as defined by SEC laws and regulations. Forward-looking statements are subject to a number of risks and uncertainties, including those set forth in our earnings press release issued today and in our SEC filings, including the Risk Factors section of the annual report on Form 10-K for the fiscal year ended June 30, 2023.
Actual results may differ materially from those expressed in or implied by the forward-looking statements. This call also includes a discussion of adjusted EBITDA, which is a non-GAAP financial measure that the Company believes is useful in evaluating performance. Please refer to our earnings press release issued today for additional information regarding adjusted EBITDA, including how we define adjusted EBITDA and a reconciliation of adjusted EBITDA to net income, the most comparable GAAP financial measure.
Today, I will summarize our operating results for the first quarter of fiscal '24, and I will share our progress in connection with our long-term goals. For those of you that may be new to our company and our long-term growth plans, please refer to the recording previously provided with our fiscal '23 results available on our website, where I describe the fundamentals of our industry and key attributes of our principles and values.
EVI achieved record revenue and gross profit for the first quarter of fiscal '24, including a record $88 million in revenue, reflecting a 6% increase year-over-year and we delivered record gross profits of approximately $26 million or a 29.2% gross margin. Despite record revenues, we maintained a strong customer sales order backlog as of September 30. Amid our growth and continuous investment, we sustained a healthy balance sheet with approximately $30 million of net debt as of September 30, generated $1.5 million in cash flow from operations, and we completed one acquisition during the quarter.
It is through disciplined execution of our buy-and-build growth strategy and a thriving entrepreneurial culture that we have established EVI as a leader in the highly fragmented North American commercial laundry distribution and service market. As a result of various initiatives since 2016, our revenue, net income and adjusted EBITDA have grown at compounded annual growth rates of 37%, 24% and 35%, respectively.