AWX AVALON HOLDINGS CORP

Overview and Growth

In fiscal 2025, AVALON HOLDINGS CORP recorded $83.55M of revenue, net income of $321.00K, and an operating cash inflow of $3.78M. The $83.55M revenue base provides substantial context for the company’s earnings, cash generation, and capital requirements. Revenue was 0.3% below fiscal 2024 revenue of $83.80M, marking a top-line contraction. Revenue equaled 0.96x of total assets, indicating how much reported top-line activity the company produced relative to its period-end asset base.

Profitability

After reported cost of revenue, the company retained $16.33M as gross profit before recognizing operating expenses and other items. The gross-profit relationship equaled 19.5% of revenue, quantifying the portion retained before operating expenses were recognized. Operations produced $2.02M of income after the reported operating expense base, before the remaining non-operating and tax effects. Relative to revenue, operating income represented 2.4%, showing how efficiently sales converted into operating profit. After all reported below-operating-line items, the company recorded net income of $321.00K for the fiscal year. Net margin was 0.4%, meaning that this portion of revenue remained as net income after all recognized expenses. The pretax result was a loss of $17.00K, establishing the deficit before tax effects. The pretax loss equaled 0.0% of revenue, measuring the pre-tax deficit against sales. The company recognized $82.00K of income tax for the period, completing the transition from pretax income to net income. Return on period-end equity was 0.9%, relating annual net income to the equity capital on the balance sheet. Net income represented 0.4% of period-end assets, placing the company’s bottom-line result against the total resource base employed.

Liquidity and Capital Structure

At period end, the $87.38M asset base was financed through $50.43M of liabilities and $36.95M of equity. The near-term balance sheet paired $16.96M of current assets with $16.83M of current liabilities at the reporting date. Current assets covered current liabilities by 1.01x, leaving a positive buffer for near-term obligations. Cash and equivalents totaled $4.11M, identifying the most liquid reported component available within the broader current-asset balance. Measured only with cash and equivalents, coverage of current liabilities was 24.4%, excluding receivables and other current assets. Borrowings totaled $28.65M, adding a fixed financing obligation alongside the company’s equity capital. Debt equaled 0.78x of book equity, describing the relative scale of borrowing and shareholder capital. The debt-to-assets relationship was 32.8%, comparing borrowing with the total asset balance. Liabilities represented 57.7% of total assets, quantifying the liability-funded share of the company’s resource base. Measured against total assets, cash and equivalents represented 4.7%, a balance-sheet composition measure rather than a liquidity forecast. Compared with $86.19M in fiscal 2024, the current asset base moved 1.4% and finished higher. Book equity was 0.3% lower than fiscal 2024 equity of $37.05M, showing how shareholder capital changed year over year.

Cash Flow and Earnings Quality

Cash flow from operations was $3.78M, a reported cash inflow that can be compared directly with net income and capital spending. Operating cash flow equaled 11.79x of net income, showing how strongly accounting earnings converted into cash from operations. Capital expenditures used $1.73M, identifying the reported investment outflow deducted from operating cash flow in the free-cash-flow calculation. Capital expenditures represented 45.7% of operating cash flow, leaving the remainder available as free cash flow. The combination of operating cash flow and capital spending produced $2.06M of positive free cash flow for the period. Free cash flow represented 2.5% of revenue, linking post-investment cash generation with the company’s operating scale. Free cash flow equaled 2.4% of total assets, relating post-investment cash generation to the company’s resource base.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.