Avalon Holdings Corporation Announces First Quarter Results

AVALON HOLDINGS CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Operations (Unaudited)

(in thousands, except for per share amounts)

Three Months Ended

2020

2019

Net operating revenues:

Waste management services

$                     11,133

$                     11,434

Food, beverage and merchandise sales

1,035

1,082

Other golf and related operations

2,235

2,092

Total golf and related operations

3,270

3,174

Total net operating revenues

14,403

14,608

Costs and expenses:

Waste management services operating costs

8,869

9,248

Cost of food, beverage and merchandise

528

515

Golf and related operations operating costs

2,632

2,532

Depreciation and amortization expense

699

600

Selling, general and administrative expenses

2,232

2,231

Operating loss

(557)

(518)

Other income (expense):

Interest expense

(307)

(163)

Other income, net

78

68

Loss before income taxes

(786)

(613)

Provision for income taxes

44

40

Net loss

(830)

(653)

Less net loss attributable to non-controlling interest in subsidiary

(17)

(15)

Net loss attributable to Avalon Holdings Corporation common shareholders

$                        (813)

$                        (638)

Loss per share attributable to Avalon Holdings Corporation common shareholders:

Basic and diluted net loss per share

$                       (0.21)

$                       (0.16)

Weighted average shares outstanding - basic and diluted

3,875

3,875

AVALON HOLDINGS CORPORATION AND SUBSIDIARIES

Condensed Consolidated Balance Sheets (Unaudited)

(in thousands)

March 31,

December 31,

2020

2019

Assets

Current Assets:

Cash and cash equivalents

$               1,448

$               1,446

Accounts receivable, net

10,977

12,009

Unbilled membership dues receivable

813

602

Inventories

1,049

813

Prepaid expenses

860

725

Other current assets

15

15

Total current assets

15,162

15,610

Property and equipment, net

49,740

48,978

Property and equipment under finance leases, net

5,805

5,878

Operating lease right-of-use assets

1,399

1,466

Restricted cash

5,523

7,185

Noncurrent deferred tax asset

8

8

Other assets, net

39

39

Total assets

$              77,676

$              79,164

Liabilities and Equity

Current liabilities:

Current portion of long term debt

$               1,028

$               1,015

Current portion of obligations under finance leases

297

295

Current portion of obligations under operating leases

473

513

Accounts payable

10,407

11,719

Accrued payroll and other compensation

1,035

961

Accrued income taxes

72

93

Other accrued taxes

405

434

Deferred membership dues revenue

4,018

3,153

Other liabilities and accrued expenses

896

839

Total current liabilities

18,631

19,022

Long term debt, net of current portion

21,308

21,570

Obligations under finance leases, net of current portion

576

555

Obligations under operating leases, net of current portion

926

953

Asset retirement obligation

100

100

Equity:

Total Avalon Holdings Corporation Shareholders' Equity

36,218

37,030

Non-controlling interest in subsidiary

(83)

(66)

Total shareholders' equity

36,135

36,964

Total liabilities and equity

$              77,676

$              79,164