#United States #Energy Services #ESOA #Huntington, WV #Fiscal 2026

Energy Services of America Reports Second Quarter Results for Fiscal 2026

Energy Services of America Corporation (Nasdaq: ESOA) recently announced its financial performance for the second quarter ended March 31, 2026. The results reflect a robust growth trajectory for the company, showcasing a year-over-year revenue increase of 21.5%. In this quarter, the company achieved a total revenue of $93.2 million compared to $76.7 million in the same period last year.

Financial Highlights

1. Revenue Growth: The total revenue reached $93.2 million, up from $76.7 million the previous year. This increase was fueled by heightened activity across all business areas, with particular strengths in the Gas and Petroleum Distribution segments.
2. Profit Turnaround: The company recorded a gross profit of $10.2 million, a significant increase from just $78,000 in the prior-year quarter. This resulted in a gross margin of 11%, a substantial rise from 0.1%.
3. Net Income: For this quarter, Energy Services reported a net income of $216,000, or $0.01 per diluted share, a positive swing from a net loss of $6.8 million, or ($0.41) per share in the same quarter last year.
4. Adjusted EBITDA: The adjusted EBITDA for the quarter totaled $4.7 million compared to a loss of $4.9 million in the previous year's second quarter.
5. Backlog: The company’s backlog experienced an increase of over $23 million sequentially, totaling $325.1 million as of March 31, 2026, indicating a solid pipeline of future projects.

Chairman Doug Reynolds expressed optimism about the company's upward momentum, stating, "Our performance this quarter not only demonstrates our recovery but also marks our first profitable fiscal second quarter in 17 years as an operating company. This improvement is attributed to growing demand across all business segments alongside more favorable weather conditions which facilitated timely project start-ups."

Key Segments

Energy Services witnessed notable growth in several key segments:

• - Gas and Petroleum Distribution: Revenue more than doubled from the same period last year, thanks to new project wins.
• - Gas and Water Distribution: This segment also experienced double-digit revenue growth, supported by increased activity levels.
• - Electrical, Mechanical, and General Segments: Similar trends of growth were observed here, contributing to overall revenue performance.

Looking Ahead

With the advent of seasonally stronger quarters, Energy Services is well-positioned to capitalize on its growing backlog. The increased revenue base and improved sales mix are expected to support continued profitability as operations expand. Reynolds emphasized that the company is focused on maintaining its strong performance and is excited about the future projects in the pipeline.

As Energy Services of America continues to grow, investors should keep an eye on its ongoing developments in the markets it serves, particularly with its emphasis on safety, quality, and production excellence. The company employs over 1,400 individuals regularly, and its core values are deeply rooted in operational effectiveness and service delivery.

Conclusion

The results released for the second quarter underline the strong recovery and growth trajectory of Energy Services of America Corporation. As the company advances through fiscal 2026, stakeholders can look forward to further developments shaped by strategic project initiatives and a commitment to operational excellence.