AVALON HOLDINGS CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Operations (Unaudited)

(in thousands, except for per share amounts)

Three Months Ended

Year Ended

December 31,

December 31,

2025

2024

2025

2024

Net operating revenues:

Waste management services

$          13,673

$            9,771

$          46,010

$          45,922

Food, beverage and merchandise sales

2,909

2,915

13,247

13,537

Other golf and related operations

4,897

4,959

24,288

24,336

Total golf and related operations

7,806

7,874

37,535

37,873

Total net operating revenues

21,479

17,645

83,545

83,795

Costs and expenses:

Waste management services operating costs

10,865

7,568

36,195

35,940

Cost of food, beverage and merchandise

1,382

1,388

6,069

6,105

Golf and related operations operating costs

5,548

5,596

24,949

24,521

Depreciation and amortization expense

937

949

3,803

3,906

Selling, general and administrative expenses

2,668

2,278

10,504

10,248

Operating (loss) income

79

(134)

2,025

3,075

Other income (expense):

Interest expense

(510)

(509)

(2,042)

(2,040)

Other income, net

-

-

-

7

Income (loss) before income taxes

(431)

(643)

(17)

1,042

Provision for income taxes

(18)

(36)

82

90

Net income (loss)

(413)

(607)

(99)

952

Less net loss attributable to non-controlling interest in subsidiaries

(57)

(110)

(420)

(366)

Net income (loss) attributable to Avalon Holdings Corporation common shareholders

$             (356)

$             (497)

$               321

$            1,318

Income (loss) per share attributable to Avalon Holdings Corporation common shareholders:     

Basic net income (loss) per share

$            (0.09)

$            (0.13)

$              0.08

$              0.34

Weighted average shares outstanding - basic 

3,899

3,899

3,899

3,899

AVALON HOLDINGS CORPORATION AND SUBSIDIARIES

Condensed Consolidated Balance Sheets (Unaudited)

(in thousands)

December 31,

December 31,

2025

2024

Assets

Current Assets:

Cash and cash equivalents

$               4,114

$               2,803

Accounts receivable, net

9,819

8,595

Unbilled membership dues receivable

541

582

Inventories

1,555

1,558

Prepaid expenses

919

1,003

Other current assets

15

15

Total current assets

16,963

14,556

Property and equipment, net

53,982

55,582

Property and equipment under finance leases, net

6,267

5,647

Operating lease right-of-use assets

1,379

1,383

Restricted cash

8,730

8,958

Noncurrent deferred tax asset, net

32

27

Other assets, net

28

33

Total assets

$             87,381

$             86,186

Liabilities and Equity

Current liabilities:

Current portion of long term debt

$                  614

$                  575

Current portion of obligations under finance leases

384

201

Current portion of obligations under operating leases

362

365

Accounts payable

7,984

7,116

Accrued payroll and other compensation

1,244

1,064

Accrued taxes

660

594

Deferred membership dues revenue

3,529

3,524

Other liabilities and accrued expenses

2,054

2,024

Total current liabilities

16,831

15,463

Long term debt, net of current portion

28,032

28,646

Line of credit

3,200

3,200

Obligations under finance leases, net of current portion

1,248

707

Obligations under operating leases, net of current portion

1,017

1,018

Asset retirement obligation

100

100

Equity:

Total Avalon Holdings Corporation Shareholders' Equity     

38,355

38,034

Non-controlling interest in subsidiaries

(1,402)

(982)

Total shareholders' equity

36,953

37,052

Total liabilities and equity

$             87,381

$             86,186