Press Release: Alliance Reports Third Quarter 2025 Results

Dow Jones
Nov 13, 2025
   -- Revenue increased 14% vs. prior year with strong performance across all 
      end markets 
 
   -- Net Income of $32.9 million reflecting robust topline, cost optimization 
      and manufacturing leverage 
 
   -- Adjusted EBITDA increased 16% vs. prior year from high demand and 
      operational execution 
 
   -- Advanced innovation leadership with launch of industry's largest stack 
      tumbler and new payment technology solution for the Vended market 
 
   -- Strengthened balance sheet with repayment of debt with IPO proceeds in 
      October 2025 

RIPON, Wis., Nov. 13, 2025 /PRNewswire/ -- Alliance Laundry Systems $(ALH)$ ("Alliance" or the "Company"), the global leader in commercial laundry equipment, announced results today for its third quarter ended September 30, 2025.

"Alliance delivered strong performance in our first reported quarter as a public company with double-digit growth on both the top and bottom line, and disciplined execution on our strategic initiatives," said Michael Schoeb, CEO of Alliance Laundry. "Using proceeds from our successful IPO in October, we meaningfully reduced leverage while investing in our key long-term growth opportunities. Our balanced capital allocation strategy and relentless focus on quality and reliability enhance our position as the leading, pure-play commercial laundry systems manufacturer."

THIRD QUARTER 2025 CONSOLIDATED RESULTS

Net revenues were $437.6 million, an increase of 14% compared to $384.3 million in the prior year quarter. The increase was driven by both strong volume performance and low to mid-single digit price increases. The strong performance across both North America and International reportable segments was due to continued robust demand across the Vended, On-Premise Laundry (OPL), and Commercial-In-Home (CIH) end markets. The high demand reflects the attractive total cost of ownership offering Alliance provides that addresses continued customer needs for durable and reliable commercial laundry solutions.

Net income was $32.9 million, an increase of 620% compared to net loss of $(6.3) million in the prior year quarter. Net income improvement in the quarter was driven by strong operating performance, lower interest expense, and refinancing expenses in the prior year quarter. Adjusted net income was $48.4 million, a 47% increase versus the prior year period. Net income margin expanded year-over-year to 8%, an increase of 920 basis points.

Adjusted EBITDA was $110.8 million, an increase of 16% compared to $95.9 million in the prior year quarter. The increase reflects strong revenue growth, disciplined operating expense management and continued strategic investments in product innovation, and commercial and corporate functions to support long-term growth and public company infrastructure. Adjusted EBITDA margin expanded year-over-year to 25%, an increase of 40 basis points.

THIRD QUARTER 2025 RESULTS BY REPORTABLE SEGMENT

North America revenue was $330.7 million, an increase of 14%, compared to $289.2 million in the prior year quarter with strong double digit growth across all three end markets, driven by a combination of mid-single digit price increases, and low double digit increases in volume.

North America Adjusted EBITDA was $95.4 million, an increase of 13%, compared to $84.2 million for the prior year quarter. Performance was driven by gross margin expansion including manufacturing efficiencies, offset by strategic investments to support future value creation initiatives. Tariff impact in the quarter was $3.5 million and was largely offset by price increases.

International revenue was $106.9 million, an increase of 12%, compared to $95.1 million for the prior year quarter. Growth was balanced across mature and developing markets, with approximately one-third of the increase attributable to each of volume, price, and favorable foreign exchange.

International Adjusted EBITDA was $25.7 million, an increase of 9%, compared to $23.4 million for the prior year quarter with strong topline performance partially offset by customer and product mix. The Company's local-for-local manufacturing strategy resulted in limited tariff exposure in the quarter.

THIRD QUARTER 2025 BUSINESS HIGHLIGHTS

   -- Strengthened capital structure with repricing of Term Loan B facility 
      resulting in a 25 basis point interest rate reduction, and a voluntary 
      $135.0 million debt paydown, positioning the Company for future interest 
      savings. 
 
   -- Showcased leading innovation at Clean Show 2025 with product and 
      technology launches including: 
 
          -- Industry's largest stack tumbler: 55-pound stack tumbler that 
             provides greater drying capacity and laundromat owners another 
             tool to drive greater revenue. 
 
          -- Scan-Pay-Wash: industry's first cashless payment technology 
             solution that does not require an app download. 
 
   -- Acquired Metropolitan Laundry Machinery Sales, a proven laundry equipment 
      distributor serving customers across the greater New York area, expanding 
      Alliance's direct presence in the attractive Northeast market. 
 
   -- Launched Stax-X stacked washer dryer, the first product fully developed 
      at Alliance's engineering facility in Thailand. Aligned with Alliance's 
      local-for-local manufacturing strategy, Stax-X is designed for regional 
      markets with its combined washer-extractor and tumble dryer that saves 
      floor space and provides commercial-grade performance. 

POST-QUARTER HIGHLIGHTS

   -- Completed successful IPO on October 9, 2025, following which Alliance 
      used net proceeds from the IPO and cash on-hand to repay $525.0 million 
      of debt to deliver a 3.1x IPO adjusted net leverage ratio1. The Term Loan 
      repricing combined with the repayment delivers an approximate 
      $46.0 million annualized interest savings at current debt levels. 
 
   -- Received a one notch credit rating upgrade from S&P Global to B+ 
      (positive) and an outlook upgrade from Moody's Ratings to B2 (positive). 

(1) IPO adjusted net leverage ratio reflects September 30, 2025 Net debt to Adjusted EBITDA, adjusted for the debt repayment of $505.7 million related to IPO proceeds.

CONFERENCE CALL INFORMATION

Alliance will host a conference call to discuss this quarter's results at 8:00 am Eastern Time today, November 13, 2025.

To listen to the conference call, a live audio webcast will be available on the Alliance's Investor Relations website at https://ir.alliancelaundry.com/news-events/ir-calendar. A replay of the webcast will be available after the call.

To participate in the conference call, analysts and investors can dial 1 (800) 267-6316 and international participants can dial 1 (203) 518-9783. The Conference ID is ALH3Q25. Participants should dial in at least 10 minutes prior to the call.

ABOUT ALLIANCE LAUNDRY

Alliance Laundry makes the world cleaner as a provider of the highest quality commercial laundry systems. Our laundry solutions are available under five respected brands, sold and supported by a global network of select distributors. We serve approximately 150 countries with a team of more than 4,000 employees. Our brands include Speed Queen$(R)$, UniMac(R), Huebsch(R), Primus(R) and IPSO(R). Together, they present a full line of commercial washing machines, dryers, and ironers (with load capacities from 20--400 lb. or 9--180 kg.) and support service. You can also enjoy the superior wash and fabric care of commercial-grade laundry equipment in your home through our legendary Speed Queen(R) washers and dryers.

For more information, visit www.alliancelaundry.com.

NON-GAAP FINANCIAL MEASURES

We regularly review non-GAAP measures to evaluate our business, measure our performance and manage our operations, including identifying trends affecting our business, formulating business plans and making strategic decisions. We believe that non-GAAP measures provide an additional way of viewing aspects of our operations that, when viewed together with our GAAP results, provide a more complete understanding of our results of operations and the factors and trends affecting our business. These non-GAAP financial measures are also used by our management to evaluate financial results and to plan and forecast future periods. Non-GAAP financial measures should be considered a supplement to, and not a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP. Non-GAAP financial measures used by us may differ from the non-GAAP measures used by other companies, including our competitors.

"Adjusted EBITDA" represents Net income before provision for income taxes, interest expense, depreciation and amortization. Adjusted EBITDA is also adjusted for the discrete items that management excluded in analyzing the segments' operating performance, such as refinancing and debt related costs, share-based compensation, strategic transaction costs, foreign exchange on intercompany loans and other non-recurring items which management believes are not indicative of the Company's ongoing operating performance. "Adjusted EBITDA Margin" represents Adjusted EBITDA divided by Net revenues. Management utilizes Adjusted EBITDA and Adjusted EBITDA Margin as measures of operating performance. Management believes Adjusted EBITDA is a useful measure to help readers of our financial statements evaluate our operating performance and facilitates more meaningful comparisons with industry peers. Our calculation of non-GAAP measures may differ from similarly titled measures used by other companies, and therefore may not be directly comparable. In evaluating these metrics, investors should be aware that in the future we may incur expenses similar to those eliminated in this presentation.

"Adjusted net income" represents Net income adjusted to exclude certain expenses not representative of our ongoing operations and other charges. These adjustments include, but are not limited to, refinancing and debt related costs, share-based compensation, strategic transaction costs, foreign exchange on intercompany loans and other non-recurring items.

"Adjusted net income per share attributable to common stockholders -- diluted" represents Adjusted net income divided by the weighted average number of diluted shares outstanding for the relevant period.

"Net debt" represents our total debt less Cash and cash equivalents.

"Net Debt to Adjusted EBITDA" represents total debt less Cash and cash equivalents divided by Adjusted EBITDA for the relevant period.

"IPO adjusted net leverage" represents Net debt divided by Adjusted EBITDA giving effect to the repayment of debt with our IPO proceeds as if it had occurred at the ending of the relevant period.

SEGMENT INFORMATION

Our business is organized into two reportable segments, North America and International. The Company uses Segment net revenues, Segment Adjusted EBITDA and Segment Adjusted EBITDA Margin as its measures of performance. The Company allocates certain costs including manufacturing variances, customer support expenses and selling and general expenses which are incurred in our global operations to the reportable segments in determining Segment Adjusted EBITDA.

We define "Segment Adjusted EBITDA" as, on a segment basis, net income excluding interest income/expense, income taxes, depreciation and amortization. Segment Adjusted EBITDA is also adjusted for the discrete items that management excluded in analyzing the segments' operating performance, such as refinancing and debt related costs, share-based compensation, strategic transaction costs, foreign exchange on intercompany loans and other non-recurring items which management believes are not indicative of the Company's ongoing operating performance. Segment Adjusted EBITDA is a measure of operating performance of our reportable segments and may not be comparable to similar measures reported by other companies.

FORWARD-LOOKING STATEMENTS

This press release includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. In some cases, you can identify these forward-looking statements by the use of terms such as "expect," "will," "continue," or similar expressions, and variations or negatives of these words, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements represent our management's beliefs and assumptions only as of the date of this press release. You should read this press release with the understanding that our actual future results may be materially different from what we expect. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, which include but are not limited to: expectations relating to revenues and other financial or business metrics; statements regarding relationships with clients and business momentum; and any other statements of expectation or belief. These statements are subject to known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from results expressed or implied in this press release. Such risk factors include, but are not limited to, those related to: the high degree of competition in the markets in which we operate; our reliance on the performance of distributors, route operators, suppliers, retailers and servicers; our ability to achieve and maintain a high level of product and service quality; fluctuations in the cost and availability of raw materials; our exposure to international markets, particularly emerging markets; our exposure to costs and difficulties of acquiring and integrating complementary businesses and technologies; and our exposure to worldwide economic conditions and potential global economic downturns.

Additional information concerning these and other risks and uncertainties are contained in the section entitled "Risk Factors" in the final prospectus filed October 9, 2025, which forms part of the Registration Statement on Form S-1 declared effective as of September 30, 2025. Additional information will be made available in our quarterly reports on Form 10-Q, and other filings and reports that we may file from time to time with the SEC. Except as required by law, we assume no obligation, and do not intend to, to update these forward-looking statements, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.

ALLIANCE LAUNDRY SYSTEMS CONTACTS:

Investor Contact:

Bob Calver

Vice President, Investor Relations

ir@alliancels.com

Media Contact:

Randy Radtke

Senior Manager of Content and Creative Services

randy.radtke@alliancels.com

 
                                       ALLIANCE LAUNDRY HOLDINGS INC. 
                       CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME 
                                                 (unaudited) 
                                  (in thousands, except per share amounts) 
 
                                  Three Months Ended                          Nine Months Ended 
                                     September 30,                               September 30, 
                      ------------------------------------------  ------------------------------------------ 
                              2025                  2024                  2025                  2024 
                      --------------------  --------------------  --------------------  -------------------- 
Net revenues: 
 Equipment, service 
  parts and other         $        424,993      $        371,980       $     1,237,465       $     1,076,640 
 Equipment financing                12,613                12,315                36,898                36,664 
                      --------------------  --------------------  --------------------  -------------------- 
Net revenues                       437,606               384,295             1,274,363             1,113,304 
Costs and expenses: 
 Cost of sales                     265,844               230,098               764,100               669,973 
 Cost of sales - 
  related parties                    1,950                 1,649                 5,032                 4,644 
 Equipment financing 
  expenses                           7,859                 9,587                24,068                25,997 
                      --------------------  --------------------  --------------------  -------------------- 
Gross profit                       161,953               142,961               481,163               412,690 
                      --------------------  --------------------  --------------------  -------------------- 
 
Selling, general, 
 and administrative 
 expenses                           76,386                70,942               227,113               195,766 
Selling, general, 
 and administrative 
 expenses - 
 related 
    parties                             75                    75                   225                   225 
Total operating 
 expenses                           76,461                71,017               227,338               195,991 
                      --------------------  --------------------  --------------------  -------------------- 
 Operating income                   85,492                71,944               253,825               216,699 
 
Interest expense, 
 net                                36,952                42,339               121,240               100,770 
Other expenses, net                  5,606                37,340                26,514                37,110 
 Income/(loss) 
  before taxes                      42,934               (7,735)               106,071                78,819 
Provision/(benefit) 
 for income taxes                   10,038               (1,413)                24,912                17,564 
                      --------------------  --------------------  --------------------  -------------------- 
 Net income/(loss)       $          32,896   $           (6,322)     $          81,159     $          61,255 
                      ====================  ====================  ====================  ==================== 
 
Comprehensive 
income: 
 Net income/(loss)       $          32,896   $           (6,322)     $          81,159     $          61,255 
 Foreign currency 
  translation 
  adjustment                         5,969                21,017                59,155                 1,768 
   Comprehensive 
    income               $          38,865     $          14,695      $        140,314     $          63,023 
                      ====================  ====================  ====================  ==================== 
 
Net income/(loss) 
 Basic                $               0.19  $             (0.04)  $               0.47  $               0.36 
 Diluted              $               0.19  $             (0.04)  $               0.46  $               0.35 
 
Weighted average 
number of common 
shares 
   outstanding 
 Basic                             171,423               171,054               171,554               170,722 
 Diluted                           174,950               171,054               175,458               173,116 
 
 
                              ALLIANCE LAUNDRY HOLDINGS INC. 
                           CONDENSED CONSOLIDATED BALANCE SHEETS 
                                        (unaudited) 
                     (in thousands, except share and per share amounts) 
 
 
                                      September 30, 2025            December 31, 2024 
                                 ----------------------------  ---------------------------- 
Assets 
Current assets: 
 Cash and cash equivalents       $                    136,168  $                    154,682 
 Restricted cash                                        3,601                         6,401 
 Restricted cash - for 
  securitization investors                             20,052                        26,959 
 Accounts receivable, net                             106,725                        92,150 
 Inventories, net                                     154,861                       133,494 
 Inventories, net - related 
  parties                                                 823                           989 
 Accounts receivable, net - 
  restricted for securitization 
  investors                                           164,197                       130,060 
 Equipment financing 
  receivables, net                                      3,613                         4,600 
 Equipment financing 
  receivables, net - restricted 
  for securitization investors                         88,000                        88,288 
 Prepaid expenses and other 
  current assets                                       36,975                        30,534 
                                 ----------------------------  ---------------------------- 
 Total current assets                                 715,015                       668,157 
 
Equipment financing 
 receivables, net                                       6,468                         7,633 
Property, plant, and equipment, 
 net                                                  250,559                       248,341 
Operating lease right-of-use 
 assets                                                20,273                        17,080 
Equipment financing 
 receivables, net - restricted 
 for securitization investors                         449,130                       417,672 
Deferred income tax asset, net                          3,486                         3,220 
Debt issuance costs, net                                3,663                         2,793 
Goodwill                                              687,714                       666,580 
Intangible assets, net                                765,014                       793,666 
Other long-term assets                                  2,830                         6,963 
                                 ----------------------------  ---------------------------- 
   Total assets                   $                 2,904,152   $                 2,832,105 
                                 ============================  ============================ 
 
Liabilities and Stockholders' 
Deficit 
Current liabilities: 
 Current portion of long-term 
  debt                           $                     20,862  $                     20,896 
 Accounts payable                                     151,171                       141,808 
 Accounts payable - related 
  parties                                               1,708                         1,338 
 Asset backed borrowings - owed 
  to securitization investors                         196,990                       170,862 
 Current operating lease 
  liabilities                                           5,859                         5,502 
 Other current liabilities                            131,782                       138,259 
                                 ----------------------------  ---------------------------- 
   Total current liabilities                          508,372                       478,665 
 
Long-term debt, net                                 1,903,836                     2,034,545 
Asset backed borrowings - owed 
 to securitization investors                          404,007                       382,910 
Deferred income tax liability                         169,602                       171,103 
Long-term operating lease 
 liabilities                                           15,289                        12,549 
Other long-term liabilities                            39,468                        29,661 
                                 ----------------------------  ---------------------------- 
   Total liabilities                                3,040,574                     3,109,433 
 
Commitments and contingencies 
(See Note 17) 
Stockholders' deficit: 
Redeemable preferred stock, 
$0.01 par value, 100,000,000 
shares authorized, no shares 
issued or outstanding                                      --                            -- 
Common stock, $0.01 par value, 
 2,000,000,000 shares 
 authorized, 172,802,531 and 
 189,609,192 issued, 
 respectively, and 172,802,531 
 and 125,290,718, outstanding, 
 respectively                                           1,728                         1,896 
Additional paid-in capital                                 --                       189,911 
(Accumulated deficit)/retained 
 earnings                                           (195,553)                        31,527 
Treasury stock, at cost, 0 and 
 64,318,474 shares, 
 respectively                                              --                     (498,910) 
Accumulated other comprehensive 
 income/(loss)                                         57,403                       (1,752) 
                                 ----------------------------  ---------------------------- 
 Total stockholders' deficit                        (136,422)                     (277,328) 
                                 ----------------------------  ---------------------------- 
   Total liabilities and 
    stockholders' deficit         $                 2,904,152   $                 2,832,105 
                                 ============================  ============================ 
 
 
                          ALLIANCE LAUNDRY HOLDINGS INC. 
                  CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS 
                                    (unaudited) 
 
                                     Nine Months Ended September 30, 
                       ------------------------------------------------------------ 
(in thousands)                     2025                           2024 
                       -----------------------------  ----------------------------- 
Cash flows from 
operating 
activities: 
 Net income             $                     81,159   $                     61,255 
 Adjustments to 
 reconcile Net 
 income to net cash 
 provided by 
 operating 
 activities: 
   Depreciation and 
    amortization                              69,344                         67,496 
   Amortization and 
    extinguishment of 
    debt issuance 
    costs                                      2,498                          5,045 
   Amortization of 
    original issue 
    discount                                   2,858                          2,227 
   Non-cash interest 
    expense                                    9,761                         11,214 
   Non-cash 
    (gain)/loss on 
    commodity & 
    foreign exchange 
    contracts, net                               (9)                            394 
   Non-cash foreign 
    exchange loss, 
    net                                       23,035                          4,143 
   Non-cash 
    stock-based 
    compensation                               2,562                          2,585 
   Loss on sale of 
    property, plant, 
    and equipment                                656                            360 
   Provision for 
    credit losses                              2,917                          3,393 
   Deferred income 
    taxes                                    (4,144)                       (15,902) 
   Changes in assets 
   and liabilities, 
   net of the 
   effects of 
   acquisitions: 
     Accounts and 
      equipment 
      financing 
      receivables, 
      net                                    (3,807)                          4,761 
     Accounts 
      receivable - 
      restricted for 
      securitization 
      investors                             (34,391)                        (8,474) 
     Inventories, net                       (15,069)                       (16,279) 
     Inventories, net 
      - related 
      party                                      166                             75 
     Equipment 
      financing 
      receivables, 
      net - 
      restricted for 
      securitization 
      investors                             (21,783)                       (26,968) 
     Other assets                            (3,153)                        (2,470) 
     Accounts payable                          9,677                          6,076 
     Accounts payable 
      - related 
      parties                                    370                          (116) 
     Other 
      liabilities                            (5,857)                       (31,484) 
                       -----------------------------  ----------------------------- 
 Net cash provided by 
  operating 
  activities                                 116,790                         67,331 
                       -----------------------------  ----------------------------- 
 
Cash flows from 
investing 
activities: 
 Capital expenditures                       (29,789)                       (23,624) 
 Acquisition of 
  businesses, net of 
  cash acquired                             (13,614)                       (22,181) 
 Proceeds on 
  disposition of 
  assets                                         343                            106 
 Originations of 
  equipment financing 
  receivables, net - 
  restricted for 
  securitization 
  investors                                 (66,924)                       (63,942) 
 Collections of 
  equipment financing 
  receivables, net - 
  restricted for 
  securitization 
  investors                                   55,674                         54,036 
                       -----------------------------  ----------------------------- 
   Net cash used in 
    investing 
    activities                              (54,310)                       (55,605) 
                       -----------------------------  ----------------------------- 
 
Cash flows from 
financing 
activities: 
 Payments on 
  revolving line of 
  credit borrowings                               --                        (5,605) 
 Proceeds from 
  long-term 
  borrowings                                      --                      2,064,625 
 Payments on 
  long-term 
  borrowings                               (135,000)                    (1,268,000) 
 Cash paid for debt 
  establishment and 
  amendment fees                             (1,877)                        (2,307) 
 Increase in asset 
  backed borrowings 
  owed to 
  securitization 
  investors                                  164,311                        154,006 
 Decrease in asset 
  backed borrowings 
  owed to 
  securitization 
  investors                                (117,086)                      (111,112) 
 Dividends paid                                   --                      (265,940) 
 Return of capital 
  paid                                            --                      (634,060) 
 Repurchase of common 
  stock                                      (6,205)                           (99) 
 Taxes paid related 
  to net share 
  settlement of stock 
  options                                    (1,937)                        (1,105) 
 Net proceeds from 
  stock options 
  exercised                                    5,672                             82 
 Proceeds from 
 common stock 
 issuance under 
 employee purchase 
 plan                                            500                             -- 
                       -----------------------------  ----------------------------- 
   Net cash used in 
    financing 
    activities                              (91,622)                       (69,515) 
                       -----------------------------  ----------------------------- 
 
Effect of exchange 
 rate changes on 
 cash, cash 
 equivalents, and 
 restricted cash                                 921                        (2,232) 
 
(Decrease)/increase 
 in cash, cash 
 equivalents, and 
 restricted cash                            (28,221)                       (60,021) 
Cash, cash 
 equivalents, and 
 restricted cash at 
 beginning of period                         188,042                        209,969 
                       -----------------------------  ----------------------------- 
Cash, cash 
 equivalents, and 
 restricted cash at 
 end of period           $                   159,821    $                   149,948 
                       =============================  ============================= 
 
Reconciliation of 
cash, cash 
equivalents, and 
restricted cash to 
the Condensed 
Consolidated Balance 
Sheets: 
 Cash and cash 
  equivalents            $                   136,168    $                   128,356 
 Restricted cash                               3,601                          5,227 
 Restricted cash - 
  for securitization 
  investors                                   20,052                         16,365 
                       -----------------------------  ----------------------------- 
   Total cash, cash 
    equivalents, and 
    restricted cash 
    shown in the 
    Statement of Cash 
    Flows                $                   159,821    $                   149,948 
                       =============================  ============================= 
 
Supplemental 
disclosure of cash 
flow information: 
 Cash paid for 
  interest               $                   107,974    $                   108,020 
 Cash paid for 
  interest - to 
  securitized 
  investors             $                     23,706   $                     25,871 
 Cash paid for income 
  taxes                 $                     38,872   $                     46,765 
 
Supplemental 
disclosure of 
investing and 
financing non-cash 
activities: 
 Capital expenditures 
  included in 
  accounts payable     $                       2,662  $                       2,065 
 
 
                                        ALLIANCE LAUNDRY HOLDINGS INC. 
                                                SEGMENT SUMMARY 
 
The following table presents revenue by segment, Segment Adjusted EBITDA and Segment Adjusted EBITDA Margin: 
 
                                                          (Unaudited) 
                 --------------------------------------------------------------------------------------------- 
                          Three Months Ended September 30,                Nine Months Ended September 30, 
(in thousands)             2025                      2024                   2025                 2024 
                 ------------------------  ------------------------  ------------------  --------------------- 
North America 
 Segment net 
  revenues        $               330,742   $               289,242   $         952,156   $            819,078 
 Segment 
  adjusted 
  EBITDA         $                 95,449  $                 84,233   $         273,027   $            240,530 
 Segment 
  adjusted 
  EBITDA 
     margin                        28.9 %                    29.1 %              28.7 %                 29.4 % 
International 
 Segment net 
  revenues        $               106,864  $                 95,053   $         322,207   $            294,226 
 Segment 
  adjusted 
  EBITDA         $                 25,650  $                 23,447  $           91,344  $              79,768 
 Segment 
  adjusted 
  EBITDA 
     margin                        24.0 %                    24.7 %              28.3 %                 27.1 % 
 
 
                                              ALLIANCE LAUNDRY HOLDINGS INC. 
                                                 RECONCILIATION SCHEDULES 
 
Selected financial information for each segment is as follows: 
 
                                                                (Unaudited) 
                  -------------------------------------------------------------------------------------------------------- 
                        Three Months Ended September 30, 2025                Three Months Ended September 30, 2024 
                  --------------------------------------------------  ---------------------------------------------------- 
(in thousands)      North America       International       Total       North America       International        Total 
                  ------------------  -----------------  -----------  ------------------  ------------------  ------------ 
Net revenues       $         330,742   $        106,864   $  437,606   $         289,242   $          95,053    $  384,295 
Cost of sales(1)             204,781             69,896                          180,099              60,607 
Other segment 
 items(2)                     30,512             11,318                           24,910              10,999 
Segment Adjusted 
 EBITDA           $           95,449  $          25,650   $  121,099  $           84,233   $          23,447    $  107,680 
Reconciling 
items: 
Interest 
 expense, net                                               (36,952)                                              (42,339) 
Depreciation and 
 amortization                                               (23,386)                                              (22,587) 
Refinancing and 
 debt related 
 costs                                                       (2,425)                                              (32,967) 
Foreign exchange 
 gain/(loss) on 
 intercompany 
 loans, net                                                  (3,181)                                               (4,373) 
Shared-based 
 compensation                                                  (791)                                                 (809) 
Strategic 
 transaction 
 costs                                                       (1,132)                                                 (515) 
Corporate and 
 other                                                      (10,298)                                              (11,825) 
Income before 
 taxes                                                   $    42,934                                          $    (7,735) 
 
 
                                                                (Unaudited) 
                  -------------------------------------------------------------------------------------------------------- 
                         Nine Months Ended September 30, 2025                 Nine Months Ended September 30, 2024 
                  --------------------------------------------------  ---------------------------------------------------- 
(in thousands)      North America       International       Total       North America       International        Total 
                  ------------------  -----------------  -----------  ------------------  ------------------  ------------ 
Net revenues       $         952,156   $        322,207  $ 1,274,363   $         819,078   $         294,226   $ 1,113,304 
Cost of sales(1)             592,236            198,317                          514,024             184,967 
Other segment 
 items(2)                     86,893             32,546                           64,524              29,491 
Segment Adjusted 
 EBITDA            $         273,027  $          91,344   $  364,371   $         240,530  $           79,768   $   320,298 
Reconciling 
items: 
Interest 
 expense, net                                              (121,240)                                             (100,770) 
Depreciation and 
 amortization                                               (69,344)                                              (67,496) 
Refinancing and 
 debt related 
 costs                                                       (3,479)                                              (32,967) 
Foreign exchange 
 gain/(loss) on 
 intercompany 
 loans, net                                                 (23,035)                                               (4,143) 
Shared-based 
 compensation                                                (2,562)                                               (2,585) 
Strategic 
 transaction 
 costs                                                       (4,176)                                               (5,183) 
Corporate and 
 other                                                      (34,464)                                              (28,335) 
Income before 
 taxes                                                    $  106,071                                          $     78,819 
 
 
 
(1)  Consists of Cost of sales, Cost of sales - related parties and Equipment 
     financing expenses. 
(2)  Other segment items for each reportable segment includes allocated 
     engineering, sales and marketing, information technology, and certain 
     other overhead expenses. 
 

The following table presents a reconciliation of Net income/(loss) to the non-GAAP financial measure adjusted earnings before interest, taxes depreciation and amortization (Adjusted EBITDA) and Net income (loss) margin to Adjusted EBITDA margin:

 
                                                             (Unaudited) 
                       ---------------------------------------------------------------------------------------- 
                                Three Months Ended September 30,             Nine Months Ended September 30, 
(in thousands, except 
percentages)                    2025                      2024                   2025               2024 
                       -----------------------  -------------------------  -----------------  ----------------- 
Net income/(loss)      $                32,896  $                 (6,322)  $          81,159  $          61,255 
 Provision/(benefit) 
  for income 
     taxes                              10,038                    (1,413)             24,912             17,564 
 Interest expense, 
  net                                   36,952                     42,339            121,240            100,770 
 Depreciation and 
  amortization                          23,386                     22,587             69,344             67,496 
 Refinancing and debt 
  related costs                          2,425                     32,967              3,479             32,967 
 Foreign exchange 
  gain on 
     intercompany 
  loans, net                             3,181                      4,373             23,035              4,143 
 Shared-based 
  compensation                             791                        809              2,562              2,585 
 Strategic 
  transaction costs                      1,132                        515              4,176              5,183 
                       -----------------------  -------------------------  -----------------  ----------------- 
Adjusted EBITDA         $              110,801    $                95,855   $        329,907   $        291,963 
                       =======================  =========================  =================  ================= 
 
Net revenues            $              437,606     $              384,295     $    1,274,363      $   1,113,304 
Net income/(loss) 
 margin                                  7.5 %                    (1.6) %              6.4 %              5.5 % 
Adjusted EBITDA 
 margin                                 25.3 %                     24.9 %             25.9 %             26.2 % 
 

The following table presents a reconciliation of Net income to Adjusted net income:

 
                                                                   (Unaudited) 
                   ------------------------------------------------------------------------------------------------------------ 
                             Three Months Ended September 30,                        Nine Months Ended September 30, 
(in thousands, 
except per share 
data)                        2025                       2024                         2025                       2024 
                   ------------------------  ---------------------------  --------------------------  ------------------------- 
Net income/(loss)  $                 32,896    $                 (6,322)     $                81,159     $               61,255 
 Amortization of 
  intangible 
  assets                             12,626                       12,515                      38,061                     37,584 
 Refinancing and 
  debt related 
  costs                               2,425                       32,967                       3,479                     32,967 
 Foreign exchange 
  gain on 
     intercompany 
  loans, net                          3,181                        4,373                      23,035                      4,143 
 Shared-based 
  compensation                          791                          809                       2,562                      2,585 
 Strategic 
  transaction 
  costs                               1,132                          515                       4,176                      5,183 
 Tax effect of 
  add backs                         (4,634)                     (11,848)                    (16,395)                   (19,090) 
                   ------------------------  ---------------------------  --------------------------  ------------------------- 
Adjusted net 
 income            $                 48,417     $                 33,009      $              136,077      $             124,627 
                   ========================  ===========================  ==========================  ========================= 
 
Net income/(loss) 
 per share 
    attributable 
 to common 
 stockholders 
 - 
    diluted:                           0.19                       (0.04)                        0.46                       0.35 
Adjusted net 
 income per share 
    attributable 
 to common 
 stockholders - 
    diluted:                           0.28  $                      0.19  $                     0.78  $                    0.72 
 

The following table presents the calculation of last twelve months $(LTM)$ adjusted EBITDA for purposes of calculating Net debt and Net debt to Adjusted EBITDA:

 
                                                          (Unaudited) 
                       --------------------------------------------------------------------------------- 
                               Three Months                  Nine Months                    LTM 
                              Ended December                Ended September            September 30, 
(in thousands)                   31, 2024                      30, 2025                     2025 
                       ----------------------------  ----------------------------  --------------------- 
Net Income             $                     37,064  $                     81,159  $             118,223 
 Provision/(benefit) 
  for income taxes                            7,566                        24,912                 32,478 
 Interest expense, 
  net                                        31,231                       121,240                152,471 
 Depreciation and 
  amortization                               22,673                        69,344                 92,017 
 Refinancing and debt 
  related costs                                 250                         3,479                  3,729 
 Foreign exchange 
  gain on 
  intercompany loans, 
  net                                       (8,797)                        23,035                 14,238 
 Shared-based 
  compensation                                  678                         2,562                  3,240 
 Strategic 
  transaction costs                             620                         4,176                  4,796 
                       ----------------------------  ----------------------------  --------------------- 
Adjusted EBITDA                              91,285                       329,907                421,192 
                       ============================  ============================  ===================== 
 

The following table presents a reconciliation of Debt to Net Debt and Net Debt to Adjusted EBITDA:

 
                                                  (Unaudited) 
(in thousands)             September 30, 2025                      December 31, 2024 
Term loan                $                    1,940,000          $                   2,075,000 
Finance lease 
 obligations                                        267                                    359 
                 --------------------------------------  ------------------------------------- 
Debt                                          1,940,267                              2,075,359 
Less: Cash and 
 cash 
 equivalents                                  (136,168)                              (154,682) 
                 --------------------------------------  ------------------------------------- 
Net debt                 $                    1,804,099          $                   1,920,677 
 
LTM adjusted 
 EBITDA                 $                       421,192        $                       383,248 
Net debt to                                         4.3                                    5.0 
 adjusted                                           x                                      x 
 EBITDA 
 

View original content:https://www.prnewswire.com/news-releases/alliance-reports-third-quarter-2025-results-302614423.html

SOURCE Alliance Laundry Systems

 

(END) Dow Jones Newswires

November 13, 2025 07:00 ET (12:00 GMT)

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