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Alliance Laundry Holdings Reports Increase in 2014 Net Revenues

CEO: Marks fifth consecutive year of ‘record revenues’

RIPON, Wis. — Alliance Laundry Holdings LLC reports its net revenues for the full year 2014 increased by $169.7 million (or 30.5%) to $726.3 million, up from $556.6 million for the full year 2013.

Excluding the impact of the Primus Laundry Equipment Group acquisition—which the company fully acquired last spring—net revenues increased 12.1% for 2014.

The company’s net income for 2014 decreased to $29.6 million, from $33.2 million for 2013.

Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) for 2014 increased to $164.3 million from $106.3 million for 2013. Excluding the impact of the Primus acquisition, Adjusted EBITDA for 2014 increased 17.1% to $124.4 million.

The company attributes its 2014 net revenue performance to increases in United States and Canada revenues of $65.9 million, Europe revenues of $65.0 million, Asia revenues of $19.2 million, Middle East and Africa revenues of $12.0 million, and Latin America revenues of $7.6 million.

These increases represent percentage growth by segment for U.S. and Canada revenues of 16.4%, Europe revenues of 107.9%, Asia revenues of 37.3%, Middle East and Africa revenues of 51.6%, and Latin America revenues of 37.3%.

The company attributes the net income decrease of $3.6 million to higher selling; general and administrative expenses of $35.5 million; higher restructuring and other costs of $21.0 million; higher interest expense of $7.5 million; and higher provision for income tax of $1.9 million, partially offset by higher gross profit of $61.9 million.

“2014 was an extraordinary year for Alliance. It is our fifth consecutive year of record revenues, with a compound annual growth rate of 13.1% since 2009,” says company President/CEO Michael D. Schoeb.

“In early 2014, we announced a transformational event with the acquisition of the Primus Laundry Equipment Group which contributed significantly to 2014 revenues and Adjusted EBITDA. This acquisition provided our distribution partners with added product breadth and significantly expanded our international footprint, giving Alliance unrivaled scale in the commercial laundry industry.”

Schoeb adds that the company looks forward to another year of “solid growth and expanded profitability … tempered somewhat by currency and select international market headwinds.”

“We have made significant progress with the integration of the Primus Group and are delighted to have their distribution and employees be a part of our growing company,” he says. “As a result of the speed and execution of the integration and other operational initiatives, we have increased confidence that we will exceed our 2015 profitability goals that were communicated with the acquisition in early 2014.”

Alliance Laundry Holdings LLC is the parent company of Alliance Laundry Systems, which manufactures commercial laundry equipment under the Speed Queen, UniMac, Huebsch, IPSO, Cissell, Primus, Lavamac and Deli brands. 

Alliance Laundry Holdings

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