Avalon Holdings Corporation reported a positive financial performance for the third quarter and the first nine months of 2024, with net operating revenues reaching $24.2 million for Q3 2024, a slight increase from $24.0 million in Q3 2023. For the nine months ended September 30, 2024, total revenues were $66.2 million, up from $63.2 million in the same period of the previous year. The growth was driven by the golf and related operations segment, which saw revenues rise to approximately $12.8 million in Q3 2024, compared to $12.2 million in Q3 2023, attributed to increased pricing and improved business operations.

In contrast, the waste management services segment experienced a decline in revenues, generating approximately $11.5 million in Q3 2024, down from $11.7 million in Q3 2023. Despite this, the segment's income before income taxes improved to approximately $1.2 million for Q3 2024, consistent with the previous year. For the nine-month period, waste management services revenues increased to $36.2 million from $34.7 million, reflecting a steady demand despite competitive pressures.

Avalon reported significant improvements in profitability, with net income attributable to common shareholders of $1.8 million ($0.47 per share) for Q3 2024, compared to $0.9 million ($0.23 per share) in Q3 2023. For the nine months ended September 30, 2024, net income was $1.8 million, a turnaround from a net loss of $0.9 million in the same period of 2023. This improvement was supported by a reduction in total costs of operations for both segments, with waste management costs decreasing to $28.4 million from $27.9 million, and golf operations costs down to $23.6 million from $24.2 million.

Avalon’s balance sheet showed a healthy increase in cash and cash equivalents, rising to $3.9 million as of September 30, 2024, from $1.2 million at the end of 2023. Total assets increased to $89.1 million, up from $88.0 million, while total equity rose to $37.7 million from $36.1 million. The company’s working capital deficit improved significantly to approximately $0.5 million from $3.9 million.

Strategically, Avalon continues to focus on enhancing its waste management services through increased sales and marketing efforts, while also managing challenges such as labor availability and rising commodity costs. The company has also been involved in ongoing legal matters regarding its saltwater disposal wells, which have faced regulatory scrutiny. Despite these challenges, Avalon remains committed to its growth strategy and operational improvements.