Fri, May 2, 11:51 AM (14 days ago)
**IES Holdings, Inc. (IESC) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** Q1 2025 revenue was $833.96 million, up 18.2% from $705.73 million in Q1 2024. Six-month revenue was $1.58 billion, an 18.2% increase from $1.34 billion in 2024. - **Profit Margins:** Gross profit margin was 25% in Q1 2025, up from 24.3% in Q1 2024. Operating income margin was 11.1% in Q1 2025, slightly up from 11% in Q1 2024. - **Net Income:** Net income attributable to IES Holdings, Inc. was $70.65 million in Q1 2025, up from $52.91 million in Q1 2024. Six-month net income was $126.96 million, up from $93.87 million in 2024. - **Earnings per Share (EPS):** Basic EPS was $3.54 in Q1 2025, up from $2.32 in Q1 2024. Diluted EPS was $3.50 in Q1 2025, up from $2.29 in Q1 2024. - **Cash Flow:** Net cash provided by operating activities was $62.1 million in the six months ended March 31, 2025, up from $58.7 million in 2024. Net cash used in investing activities was $97.1 million, compared to $11.4 million in 2024. Net cash used in financing activities was $43.4 million, compared to $17.1 million in 2024. **Segment Performance:** - **Communications:** Revenue increased by 41.1% in Q1 2025, driven by data center demand. Gross profit margin improved to 23.1%. - **Residential:** Revenue decreased by 6.3% in Q1 2025 due to housing affordability concerns. Gross profit margin decreased to 25.1%. - **Infrastructure Solutions:** Revenue increased by 55.2% in Q1 2025, driven by custom engineered solutions and acquisitions. Gross profit margin improved to 33.4%. - **Commercial & Industrial:** Revenue increased by 29.1% in Q1 2025, driven by data center and education markets. Gross profit margin improved to 21.4%. **Trends and Uncertainties:** - Strong demand in data centers and infrastructure solutions segments. - Housing affordability concerns impacting residential segment. - Increased commodity prices and labor costs affecting margins. - Strategic acquisitions and capacity expansions to drive future growth. **Future Operations Impact:** - Continued investment in capacity and acquisitions. - Focus on passing along increased costs to customers. - Monitoring of economic conditions and commodity prices. **Debt and Liquidity:** - No outstanding borrowings under the revolving credit facility as of March 31, 2025. - $5.5 million in outstanding letters of credit and $294.46 million in total availability under the revolving credit facility. - Compliance with financial covenants under the Amended Credit Agreement.