RIPON, Wis. — Net revenues for Alliance Laundry Holdings LLC, the parent company of Alliance Laundry Systems, were $122.6 million for the quarter ended March 31, a 4.7% increase from first-quarter 2012.
First-quarter net income was $4.7 million, down $0.8 million from January-March 2012. Adjusted EBITDA was $22.4 million—a company record—compared to $18.5 million for the quarter ended March 31, 2012.
The overall net-revenue increase of $5.4 million was attributable to revenue increases in the United States and Canada ($3.7 million), Asia ($1.7 million) and the Middle East and Africa ($0.1 million). These increases were partially offset by lower Latin America revenues ($0.1 million). Europe revenues were unchanged.
Alliance attributed the net income decrease to higher interest expense ($3.0 million); higher selling, general and administrative expenses ($1.6 million); and loss from early extinguishment of debt ($1.9 million), partly offset by improved gross profit ($4.7 million), lower other costs ($0.4 million) and a lower provision for income taxes ($0.6 million).
“We maintained our momentum during the first quarter with solid revenue growth and margin improvement through focused execution across all areas of the business despite less than favorable macroeconomic conditions,” says Alliance CEO Michael D. Schoeb. “The core tenants of our strategy—superior products, exceptional value-added services, continued improvements in operational efficiencies and capitalizing on global growth opportunities—continue to differentiate us in the marketplace and solidify our position as a leader in the commercial laundry equipment market.”
Alliance achieved its record adjusted EBITDA (Earnings Before Interest, Tax, Depreciation and Amortization) for the quarter through “execution against our strategic goals, with an intensified effort on new product development and improving operating efficiencies,” Schoeb adds.
Alliance Laundry Systems designs, manufactures and markets commercial laundry equipment under the brand names of Speed Queen, UniMac, Huebsch, IPSO and Cissell.