Avalon Holdings Corporation Announces First Quarter Results

Rhea-AI Summary

Avalon Holdings Corporation (AWX) reported a positive financial performance for Q1 2021, achieving net operating revenues of $15.1 million, up from $14.4 million in Q1 2020. The company posted a net income of $0.7 million, a turnaround from a net loss of $0.8 million in the previous year. Basic net income per share reached $0.18, compared to a loss of $0.21 in Q1 2020. The company continues to provide waste management and recreational services and has shown improved operational efficiency.

Positive

• Net operating revenues increased to $15.1 million, up 4.9% year-over-year.
• Achieved net income of $0.7 million, a significant improvement from a net loss of $0.8 million in Q1 2020.
• Basic net income per share rose to $0.18, compared to a loss of $0.21 per share in the same quarter last year.

Negative

• Operating costs in waste management services were $8.7 million, slightly down from $8.9 million but indicate ongoing expense challenges.
• Operating loss of $146,000, although an improvement, still signifies some operational inefficiencies.

WARREN, Ohio, May 13, 2021 /PRNewswire/ -- Avalon Holdings Corporation (NYSE Amex: AWX) today announced financial results for the first quarter of 2021.

Net operating revenues in the first quarter of 2021 were $15.1 million compared with $14.4 million in the first quarter of 2020.  The Company recorded net income attributable to Avalon Holdings Corporation common shareholders of $0.7 million in the first quarter of 2021 compared with a net loss attributable to Avalon Holdings Corporation common shareholders of $0.8 million in the first quarter of 2020.  For the first quarter of 2021, basic net income per share attributable to Avalon Holdings Corporation common shareholders was $0.18 compared with a basic net loss per share attributable to Avalon Holdings Corporation common shareholders of $0.21 in the first quarter of 2020.

Avalon Holdings Corporation provides waste management services to industrial, commercial, municipal and governmental customers in selected northeastern and midwestern U.S. markets, captive landfill management services and salt water injection well operations.  Avalon Holdings Corporation also owns Avalon Resorts and Clubs Inc., which includes the operation of a hotel and its associated resort amenities, four golf courses and related country clubs and a multipurpose recreation center.

 

AVALON HOLDINGS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Operations (Unaudited)
(in thousands, except for per share amounts)
	Three Months Ended
	March 31,
	2021		2020
Net operating revenues:
Waste management services	$                    11,150		$                    11,133
Food, beverage and merchandise sales	1,341		1,035
Other golf and related operations	2,622		2,235
Total golf and related operations	3,963		3,270
Total net operating revenues	15,113		14,403
Costs and expenses:
Waste management services operating costs	8,701		8,869
Cost of food, beverage and merchandise	593		528
Golf and related operations operating costs	2,921		2,632
Depreciation and amortization expense	764		699
Selling, general and administrative expenses	2,280		2,232
Operating loss	(146)		(557)
Other income (expense):
Interest expense	(297)		(307)
Gain on debt extinguishment	1,087		-
Other income, net	87		78
Income (loss) before income taxes	731		(786)
Provision for income taxes	43		44
Net income (loss)	688		(830)
Less net loss attributable to non-controlling interest in subsidiary	(28)		(17)
Net income (loss) attributable to Avalon Holdings Corporation common shareholders	$                         716		$                       (813)
Income (loss) per share attributable to Avalon Holdings Corporation common shareholders:
Basic net income (loss) per share	$                        0.18		$                      (0.21)
Diluted net income (loss) per share	$                        0.18		$                      (0.21)
Weighted average shares outstanding - basic	3,899		3,875
Weighted average shares outstanding - diluted	3,945		3,875

 

AVALON HOLDINGS CORPORATION AND SUBSIDIARIES
Condensed Consolidated Balance Sheets (Unaudited)
(in thousands)
	March 31,		December 31,
	2021		2020
Assets
Current Assets:
Cash and cash equivalents	$               4,038		$               4,210
Accounts receivable, net	10,688		8,744
Unbilled membership dues receivable	701		585
Inventories	1,138		910
Prepaid expenses	893		730
Other current assets	50		80
Total current assets	17,508		15,259
Property and equipment, net	51,337		51,299
Property and equipment under finance leases, net	5,793		5,735
Operating lease right-of-use assets	1,726		1,728
Restricted cash	3,368		3,885
Noncurrent deferred tax asset	8		8
Other assets, net	36		36
Total assets	$              79,776		$              77,950
Liabilities and Equity
Current liabilities:
Current portion of long term debt	$               1,465		$               1,594
Current portion of obligations under finance leases	333		333
Current portion of obligations under operating leases	532		529
Accounts payable	10,444		9,097
Accrued payroll and other compensation	1,102		809
Accrued income taxes	67		43
Other accrued taxes	422		461
Deferred membership dues revenue	4,122		3,196
Other liabilities and accrued expenses	1,072		1,121
Total current liabilities	19,559		17,183
Long term debt, net of current portion	20,721		21,941
Obligations under finance leases, net of current portion	546		560
Obligations under operating leases, net of current portion	1,194		1,199
Asset retirement obligation	100		100
Equity:
Total Avalon Holdings Corporation Shareholders' Equity	37,810		37,093
Non-controlling interest in subsidiary	(154)		(126)
Total shareholders' equity	37,656		36,967
Total liabilities and equity	$              79,776		$              77,950

 

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SOURCE Avalon Holdings Corporation

FAQ

What were Avalon Holdings Corporation's net revenues for Q1 2021?

Avalon Holdings Corporation reported net operating revenues of $15.1 million for Q1 2021.

How did Avalon Holdings Corporation perform in Q1 2021 compared to Q1 2020?

The company improved from a net loss of $0.8 million in Q1 2020 to a net income of $0.7 million in Q1 2021.

What is Avalon Holdings Corporation's stock symbol?

Avalon Holdings Corporation is traded under the stock symbol AWX.

What was Avalon Holdings Corporation's income per share in Q1 2021?

The basic net income per share attributable to shareholders was $0.18 in Q1 2021.

What services does Avalon Holdings Corporation provide?

Avalon Holdings Corporation offers waste management services and operates recreational facilities, including a hotel and golf courses.