RIPON, Wis. — Alliance Laundry Holdings LLC has reported a net loss for the second quarter of 2009, partly due to costs related to a new credit agreement, the company says.
Net revenues for the quarter ended June 30, 2009, decreased $27.5 million to $94.9 million from $122.4 million for the quarter ended June 30, 2008. The net loss for the quarter was $3.5 million compared to income of $4.4 million for the same period last year.
The net revenue decrease of $27.5 million was partly attributable to an unfavorable $13.6 million noncash mark-to-market adjustment related to the establishing of a new asset-backed facility in June 2009. Excluding the asset-backed facility adjustment, revenues for the quarter decreased $13.9 million, or 11.4% compared to the quarter ended June 30, 2008.
Excluding the transaction costs, income tax and other expenses, the firm’s adjusted earnings (EBITDA) for the quarter ended June 30, 2009, rose to $22.5 million from $20.5 million for the same period last year, exceeding the company’s expectations, according to Alliance Laundry CEO Thomas L’Esperance.
Net revenues for the six months ended June 30, 2009, decreased $41.1 million, or 17.7%, to $191.3 million from $232.4 million for the six months ended June 30, 2008. The net loss for the six months ended June 30, 2009, was $1.2 million compared to income of $6.3 million for the same period last year. Adjusted EBITDA for the six months ended June 30, 2009, was $36.0 million compared to $38.2 for the same period last year.
“We have adjusted our operations appropriately for the current economic environment,” says L’Esperance. “Although market conditions are difficult, we expect strong earnings performance for the balance of 2009 as our lower costs of operating read through.”
Have a question or comment? E-mail our editor Matt Poe at [email protected].