EVI Industries, Inc. announced financial results for the first quarter of fiscal 2027, which ended September 30, 2026. The company reported record revenue of $112.9 million, representing a 4.3% increase compared to the same period in the prior fiscal year. This growth was driven by a 2.9% increase in commercial laundry revenue and approximately $1.6 million of revenue from the first month of operations following the acquisition of Sudsies, Inc., which occurred on September 1, 2026.
Profitability metrics also reached record levels during the quarter. Gross profit increased by 12% to $38.0 million, resulting in a gross margin of 33.7%. Operating income rose by 75% to $6.2 million, while net income increased by 108% to $3.8 million, expanding the net income margin to 3.4% of revenue. Adjusted EBITDA climbed 47% to $9.9 million, with a margin of 8.8%. The company generated $7.8 million in operating cash flow during the quarter, a significant increase from $1.0 million in the prior year.
On the balance sheet, net debt stood at $76.7 million as of September 30, 2026, up from $44.2 million at the end of the previous quarter. This increase was primarily due to borrowings related to the Sudsies acquisition, partially offset by operating cash generation. Following the close of the quarter, EVI acquired Commercial Laundry Equipment (CLZ), a family-owned distributor based in West Palm Beach, Florida, adding 18 employees to its workforce.
