AVALON HOLDINGS CORPORATION ANNOUNCES FIRST QUARTER RESULTS

AVALON HOLDINGS CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Operations (Unaudited)

(in thousands, except for per share amounts)

Three Months Ended

March 31,

2024

2023

Net operating revenues:

Waste management services

$                      12,470

$                      12,652

Food, beverage and merchandise sales

2,011

1,974

Other golf and related operations

4,377

3,819

Total golf and related operations

6,388

5,793

Total net operating revenues

18,858

18,445

Costs and expenses:

Waste management services operating costs

9,897

10,380

Cost of food, beverage and merchandise

1,025

1,023

Golf and related operations operating costs

4,873

4,836

Depreciation and amortization expense

980

940

Selling, general and administrative expenses

2,596

2,530

Operating loss

(513)

(1,264)

Other income (expense):

Interest expense, net

(508)

(504)

Other income, net

7

–

Loss before income taxes

(1,014)

(1,768)

Provision for income taxes

40

31

Net loss

(1,054)

(1,799)

Less net loss attributable to non-controlling interest in subsidiaries

(75)

(122)

Net loss attributable to Avalon Holdings Corporation common shareholders

$                         (979)

$                      (1,677)

Loss per share attributable to Avalon Holdings Corporation common shareholders:

Basic net loss per share

$                        (0.25)

$                        (0.43)

Weighted average shares outstanding – basic 

3,899

3,899

AVALON HOLDINGS CORPORATION AND SUBSIDIARIES

Condensed Consolidated Balance Sheets (Unaudited)

(in thousands)

March 31,

December 31,

2024

2023

Assets

Current Assets:

Cash and cash equivalents

$              1,163

$              1,187

Accounts receivable, net

12,265

9,499

Unbilled membership dues receivable

790

567

Inventories

1,861

1,662

Prepaid expenses

1,282

1,116

Other current assets

16

14

Total current assets

17,377

14,045

Property and equipment, net

56,158

56,630

Property and equipment under finance leases, net

5,580

5,711

Operating lease right-of-use assets

1,254

1,270

Restricted cash

10,192

10,265

Noncurrent deferred tax asset

8

8

Other assets, net

34

36

Total assets

$            90,603

$            87,965

Liabilities and Equity

Current liabilities:

Current portion of long term debt

$                 547

$                 538

Current portion of obligations under finance leases

197

198

Current portion of obligations under operating leases

417

432

Accounts payable

11,316

9,657

Accrued payroll and other compensation

1,753

1,277

Accrued taxes

504

539

Deferred membership dues revenue

5,158

3,443

Other liabilities and accrued expenses

1,863

1,825

Total current liabilities

21,755

17,909

Long-term debt, net of current portion

29,080

29,220

Line of credit

3,200

3,200

Obligations under finance leases, net of current portion

585

598

Obligations under operating leases, net of current portion

837

838

Asset retirement obligation

100

100

Equity:

Total Avalon Holdings Corporation Shareholders’ Equity

35,737

36,716

Non-controlling interest in subsidiaries

(691)

(616)

Total shareholders’ equity

35,046

36,100

Total liabilities and equity

$            90,603

$            87,965