EACO Corporation reported record first‑quarter 2025 results, with net sales of $110.95 million, up 18.1% from $93.92 million in the same period a year earlier. Net income rose to $9.32 million, a 35.3% increase from $6.888 million in Q1 2024, and earnings per share climbed to $1.91, up 35.5% from $1.41 a year ago.
Gross margin held steady at 29.6% in Q1 2025, matching the 29.6% margin reported in Q1 2024. The flat margin reflects a balance between pricing power and cost control, while the 18.1% sales growth was driven by stronger demand across the company’s core industrial distribution segments. The company’s sales force expanded to 471 employees, a 10.6% increase, and the number of sales focus teams grew to 116, up four from 112 in the prior year, underscoring its “local presence” strategy to capture market share.
Management reiterated its confidence in continued growth for fiscal 2026, noting that the expansion of headcount and sales focus teams is expected to support further market share gains. The company’s local‑presence model, which emphasizes on‑site customer engagement, remains a key differentiator in the industrial distribution market.
The results demonstrate EACO’s ability to generate robust top‑line growth while maintaining profitability. The combination of steady margins, significant sales growth, and strategic investment in sales infrastructure positions the company well for sustained competitive advantage in its sector.
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