EES Has $20 Million in 2022 Revenues

Rhea-AI Summary

Energy and Environmental Services, Inc. (OTC: EESE) reported significant financial growth for the year ended December 31, 2022. Sales revenues surged 46% to $20,081,900, driven by a gross profit increase of 60.7%, reaching $11,483,900. EBITDA rose 78% to $2,885,300, and net income flipped to $1,723,100 from a loss of $954,900 in 2021. The company's working capital also improved to $5,571,100. Analysts expect a positive outlook for 2023 due to ongoing oil production constraints and growing demand from a recovering Chinese economy. EES remains optimistic about sustaining its operational improvements.

Positive

• Sales revenues increased by 46% to $20,081,900 in 2022.
• Gross profit rose 60.7% to $11,483,900.
• EBITDA increased by 78% to $2,885,300.
• Net income switched from a loss of $954,900 in 2021 to a profit of $1,723,100 in 2022.
• Working capital improved to $5,571,100.

Negative

• None.

OKLAHOMA CITY, March 30, 2023 /PRNewswire/ -- Energy and Environmental Services, Inc. (OTC: EESE) today announced its unaudited financial results for the year ended December 31, 2022.

"Our robust 2022 results show the strength of our people and products," said CEO Leon Joyce. "We dealt with industry volatility by retaining staff and inventory levels, which gave us the capacity to post excellent growth in 2021 and 2022. We believe we have the people and products to meet industry demand," added Joyce.

Year End 2022 Financial Highlights

• Sales revenues increased $6,359,600 or 46% to $20,081,900 in 2022 from $13,722,300 in 2021. Gross profit was up $4,338,400 or 60.7% from $7,145,500 in 2021 to $11,483,900 in 2022$.
• Selling, general and administrative expenses as a percentage of revenues fell nearly 10% from 53.3% ($7,313,000) in 2021 to 43.5% ($8,730,700) in 2022.
• EBITDA was $2,885,300 in 2022 compared to $1,619,500 for 2021 reflecting a 78% increase.
• Net income from operations of $1,723,100 in 2022 compared to a loss from operations of $(954,900) in 2021.

Capital Resources

At year end 2022, EES had working capital of $5,571,100 versus $4,750,500 the year before. Cash provided by operating activities in 2022 was $2,182,700 versus cash used in operating activities during 2021 of $939,800.

Outlook

The oil and gas industry had a strong 2022 with an average WTI price of $95 per barrel in 2022 versus an average price of $67.99 per barrel in 2021. For 2023, EES expects that oil production will continue to be limited by Russian oil embargos, a recovering Chinese economy will increase demand, and domestic producers will invest at rates comparable to or higher than 2022. With these expectations, the oil and gas outlook for 2023 is upbeat, and EES anticipates continued improvement in its results of operations.

About EES

Energy and Environmental Services, Inc. (OTC: EESE) based in Edmond, Oklahoma, participates in the oilfield chemical, anti-corrosive coatings and biotech industries. EES was established in 1991 and management has over 200 years of combined experience in blending, manufacturing and packaging custom liquids and solid chemicals for the oil and gas, farm and ranch, and agricultural industries. Additionally, EES has expanded to manufacture coated oil and gas pump barrels, OMRI-certified liquid fertilizer, and other products and applications for specialized anti-corrosive coatings, and enzyme system technologies. Please visit the company's website at www.eesokc.com.

Safe Harbor for Forward-Looking Statements

Certain statements contained in this press release are forward-looking statements. These forward-looking statements involve risks and uncertainties that could cause Energy and Environmental Services actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Except as required by law, Energy and Environmental Services expressly disclaims any intent or obligation to update any forward-looking statements.

View original content:https://www.prnewswire.com/news-releases/ees-has-20-million-in-2022-revenues-301786568.html

SOURCE Energy and Environmental Services, Inc.

FAQ

What were the financial results for EESE in 2022?

EESE reported a 46% increase in sales revenues to $20,081,900 and a net income of $1,723,100 for 2022.

How much did EESE's gross profit increase in 2022?

EESE's gross profit increased by 60.7% to $11,483,900 in 2022.

What is the EBITDA for EESE in 2022?

EESE's EBITDA for 2022 was $2,885,300, reflecting a 78% increase from the previous year.

What is the outlook for EESE in 2023?

EESE has a positive outlook for 2023 due to expected oil production constraints and increasing demand.

How much was EESE's working capital at the end of 2022?

At the end of 2022, EESE's working capital was $5,571,100.