Miami, FL – August 14 2020 (EmergingGrowth.com NewsWire) — EmergingGrowth.com, a leading independent small cap media portal with an extensive history of providing unparalleled content for the Emerging Growth markets and companies, reports on Energy Services of America Corporation (OTCQB: ESOA).
Energy Services of America Corporation provides contracting services for energy related companies in the United States. It constructs, replaces, and repairs interstate and intrastate natural gas pipelines and storage facilities for utility companies and private natural gas companies; and provides services relating to pipeline, storage facilities, and plant works.
Average daily volume for ESOA is 2 thousand shares. See how the volume does in the morning hours of trading.
Energy Services of America Corporation Press Release:
HUNTINGTON, W.Va., Aug. 14, 2020 /PRNewswire/ — Energy Services of America Corporation (the “Company” or “Energy Services”) (OTC QB: ESOA), parent company of C.J. Hughes Construction Company and Nitro Construction Services, announced financial results for the three and nine months ended June 30, 2020. Energy Services earned revenues of $30.8 million and $74.7 million for the three and nine months ended June 30, 2020, respectively. Net loss available to common shareholders was ($95,000) and ($2.0) million for the three and nine months ended June 30, 2020, respectively. The Company had adjusted EBITDA of $1.4 million ($0.10 per share) and $1.1 million ($0.08 per share) for the three and nine months ended June 30, 2020, respectively. The backlog at June 30, 2020 was $69.8 million.
Douglas Reynolds, President, commented on the announcement. “The COVID-19 pandemic had a significant effect on the three months ended June 30, 2020. However, many of our customers have continued with projects and we are receiving new bid opportunities. Also, our employee count at June 30, 2020 was higher compared to March 31, 2020.” Reynolds continued, “While we are seeing positive signs, we could see a significant impact in the fourth quarter of fiscal year if there is a worsening of the pandemic.”
Below is a comparison of the Company’s unaudited operating results for the three and nine months ended June 30, 2020 and 2019:
Three Months Three Months Nine Months Nine Months Ended Ended Ended Ended June 30, June 30, June 30, June 30, 2020 2019 2020 2019 Revenue $ 30,762,725 $ 40,187,978 $ 74,678,432 $ 136,257,561 Cost of revenues 27,936,548 36,936,926 69,425,044 128,580,270 Gross profit 2,826,177 3,251,052 5,253,388 7,677,291 Selling and administrative expenses 2,532,141 2,021,359 7,473,422 6,790,032 Income (loss) from operations 294,036 1,229,693 (2,220,034) 887,259 Other income (expense) Interest income 83 – 53,332 58,023 Other nonoperating expense (53,793) (25,736) (130,472) (79,312) Interest expense (101,335) (331,067) (400,197) (744,541) Gain on sale of equipment 43,296 68,672 563,062 206,241 (111,749) (288,131) 85,725 (559,589) Income (loss) before income taxes 182,287 941,562 (2,134,309) 327,670 Income tax expense (benefit) 200,242 455,805 (347,629) 334,987 Net (loss) income (17,955) 485,757 (1,786,680) (7,317) Dividends on preferred stock 77,250 77,250 231,750 231,750 Net (loss) income available to common shareholders $ (95,205) $ 408,507 $ (2,018,430) $ (239,067) Weighted average shares outstanding-basic 13,627,293 13,985,579 13,844,340 14,080,299 Weighted average shares-diluted 13,627,293 17,418,912 13,844,340 14,080,299 (Loss) earnings per share available to common shareholders $ (0.007) $ 0.029 $ (0.146) $ (0.017) (Loss) earnings per share-diluted available to common shareholders $ (0.007) $ 0.023 $ (0.146) $ (0.017)
Please refer to the table below that reconciles adjusted EBITDA and adjusted EBITDA per common share with net (loss) income available to common shareholders:
Three Months Three Months Ended Ended Nine Months Ended Nine Months Ended June 30, 2020 June 30, 2019 June 30, 2020 June 30, 2019 Unaudited Unaudited Unaudited Unaudited Net (loss) income available to common shareholders $ (95,205) $ 408,507 $ (2,018,430) $ (239,067) Add: Income tax benefit (expense) 200,242 455,805 (347,629) 334,987 Add: Dividends on preferred stock 77,250 77,250 231,750 231,750 Add: Interest expense 101,335 331,067 400,197 744,541 Less: Non-operating expense (income) 10,414 (42,936) (485,922) (184,952) Add: Depreciation expense 1,097,750 1,073,387 3,315,541 3,187,733 Adjusted EBITDA $ 1,391,786 $ 2,303,080 $ 1,095,507 $ 4,074,992 Common shares outstanding 13,627,293 13,985,579 13,844,340 14,080,299 Adjusted EBITDA per common share $ 0.10 $ 0.16 $ 0.08 $ 0.29
Certain statements contained in the release including, without limitation, the words “believes,” “anticipates,” “intends,” “expects” or words of similar import, constitute “forward-looking statements” within the meaning of section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements of the Company expressed or implied by such forward-looking statements. Such factors include, among others, general economic and business conditions, changes in business strategy or development plans, the effect of the COVID-19 pandemic and other factors referenced in this release. Given these uncertainties, prospective investors are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce the results of any revisions to any of the forward-looking statements contained herein to reflect future events or developments.
View original content:http://www.prnewswire.com/news-releases/energy-services-of-america-announces-financial-results-301112509.html
SOURCE Energy Services of America Corporation
/CONTACT: Douglas Reynolds, President, (304)-522-3868
/Web site: http://esa-c.com
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