Avalon Holdings Corporation (AWX): History, Ownership, Mission, How It Works & Makes Money

How does a company like Avalon Holdings Corporation navigate the distinct worlds of waste management services and premier golf resorts, particularly when reporting revenues approaching $60 million for the first nine months of the 2024 fiscal year? This unique operational blend presents both significant hurdles and specific opportunities within its chosen markets, demanding a carefully crafted strategy. Are you interested in understanding the historical milestones that shaped its current structure and precisely how it derives income from such different business units? Examining Avalon's journey offers valuable real-world lessons applicable to managing diverse operational portfolios.

Avalon Holdings Corporation (AWX) History

Avalon Holdings Corporation's Founding Timeline

The company's journey began with a focus on specific regional assets before consolidating into its current structure.

Year established

Avalon Holdings Corporation was incorporated in 1998, although its operational roots through predecessor entities extend further back, particularly in the hospitality sector.

Original location

The company established its headquarters in Warren, Ohio, maintaining a strong presence in the region throughout its history.

Founding team members

While evolving from earlier businesses, Ronald E. Klingle has been the central figure, serving long-term as Chairman, President, and Chief Executive Officer, guiding the company since its formal incorporation.

Initial capital/funding

The formation involved the consolidation of assets from existing golf and related businesses, combined with capital structuring typical for a newly incorporated entity aiming for public markets, though specific initial funding figures from 1998 are embedded within these consolidated assets.

Avalon Holdings Corporation's Evolution Milestones

Key developments have shaped Avalon Holdings into the diversified company it is today.

Avalon Holdings Corporation's Transformative Moments

Diversification Beyond Hospitality

The strategic move into waste management services was pivotal. It provided a counter-cyclical business segment to balance the seasonality and economic sensitivity often associated with the golf and country club industry, contributing significantly to revenue stability.

Becoming a Public Entity

Listing on the NYSE American exchange (AWX) provided access to capital markets, increased visibility, and established a framework for corporate governance and reporting, fundamentally changing its operational and financial landscape.

Navigating Market Dynamics

Successfully managing through economic downturns, tightening environmental regulations in waste management, and shifting consumer preferences in leisure has demonstrated resilience. This adaptability is crucial for understanding the company's long-term strategy and its connection to its Mission Statement, Vision, & Core Values of Avalon Holdings Corporation (AWX).

Avalon Holdings Corporation (AWX) Ownership Structure

Avalon Holdings Corporation operates with a distinct ownership structure, significantly influenced by insiders and institutional investors. This composition shapes the company's governance and strategic direction.

Avalon Holdings Corporation's Current Status

As of the end of 2024, Avalon Holdings Corporation is a publicly traded company. Its shares are listed on the NYSE American exchange under the ticker symbol AWX.

Avalon Holdings Corporation's Ownership Breakdown

Understanding who holds the shares is crucial for assessing potential influences on company policy. The distribution reveals a substantial insider stake, suggesting that management's interests are closely tied to shareholder value. For a deeper dive into investor trends, consider Exploring Avalon Holdings Corporation (AWX) Investor Profile: Who’s Buying and Why?.

Avalon Holdings Corporation's Leadership

The company's strategic execution rests with its experienced leadership team. As of the end of 2024, key figures guiding Avalon Holdings Corporation include:

• Ronald E. Klingle: Chairman and Chief Executive Officer
• Gary B. Davis: President and Chief Operating Officer
• Michael E. Poole: Chief Financial Officer, Secretary, and Treasurer

This team oversees operations spanning waste management services and golf/hospitality segments, navigating market dynamics and driving performance.

Avalon Holdings Corporation (AWX) Mission and Values

Avalon Holdings Corporation's operational focus defines its purpose, centering on providing essential waste management services alongside operating golf and related hospitality facilities. These activities shape the company's implicit values and strategic direction beyond pure financial metrics.

Avalon Holdings Corporation's Core Purpose

The company's core purpose is embedded in its diversified operations, aiming for excellence in both environmental services and recreational experiences.

Official mission statement

Avalon Holdings Corporation does not prominently publish a formal mission statement across its primary corporate communications. However, its operational activities suggest a commitment to providing reliable waste management solutions and high-quality golf and country club amenities.

Vision statement

A specific, publicly stated vision statement for the company is not readily available. Its strategic actions point towards maintaining and potentially expanding its footprint in its core operating sectors – waste management services, which generated significant revenue as per 2024 reported segments, and hospitality. Understanding the drivers behind its strategy is key when Exploring Avalon Holdings Corporation (AWX) Investor Profile: Who’s Buying and Why?

Company slogan

There is no official company slogan publicly associated with Avalon Holdings Corporation.

Avalon Holdings Corporation (AWX) How It Works

Avalon Holdings Corporation operates primarily through two distinct business segments: waste management services and golf/related operations. The company generates revenue by providing essential environmental services and managing upscale recreational facilities, leveraging its physical assets and regional presence.

Avalon Holdings Corporation's Product/Service Portfolio

Avalon Holdings Corporation's Operational Framework

Avalon Holdings Corporation's operational structure revolves around managing its portfolio of assets within its two core divisions. In the waste management segment, operations involve the collection, transportation, and disposal of various waste streams, utilizing company-owned landfills and transfer stations; this segment contributed significantly to revenue through 2024. The golf and related operations segment focuses on managing premier golf courses, clubhouses, dining, and event facilities, driving revenue through memberships, greens fees, food and beverage sales, and event hosting. Understanding the financial performance of these segments is crucial; Breaking Down Avalon Holdings Corporation (AWX) Financial Health: Key Insights for Investors provides deeper analysis. Both segments rely on efficient asset utilization and strong regional customer relationships to maintain operations and profitability.

Avalon Holdings Corporation's Strategic Advantages

The company leverages several key strengths to compete effectively:

• Integrated Waste Services: Owning and operating landfills provides a significant advantage in controlling disposal costs and ensuring capacity, a key factor in winning municipal and industrial contracts through 2024.
• Regional Focus: Deep operational concentration in specific geographic areas (Northeastern Ohio, Western Pennsylvania) allows for market density, route efficiency, and strong local brand recognition.
• Asset Ownership: Direct ownership of valuable assets, including landfills and premier golf properties, provides a solid foundation and barriers to entry for competitors.
• Diversified Revenue Streams: Operating in two distinct, relatively uncorrelated sectors (waste management and hospitality/golf) offers some degree of revenue diversification, although the waste segment remained the primary revenue driver in 2024.

Avalon Holdings Corporation (AWX) How It Makes Money

The company generates revenue primarily through two distinct business segments: providing waste management services and operating golf courses along with related hospitality services. These operations form the core of its income streams, balancing industrial services with leisure and hospitality offerings.

Avalon Holdings Corporation's Revenue Breakdown

Based on financial results for the trailing twelve months (TTM) ending September 30, 2024, the revenue sources are segmented as follows:

Avalon Holdings Corporation's Business Economics

The company's financial engine relies on different models for each segment. Waste management revenues come from landfill operations, waste hauling contracts, brokerage services, and salt water injection well disposal fees, often involving long-term contracts and volume-based pricing sensitive to industrial activity and environmental regulations.

Golf and related operations generate income through membership dues, daily green fees, food and beverage sales, event hosting, and hotel accommodations. This segment is influenced by seasonality, consumer discretionary spending, and weather patterns. Understanding the Mission Statement, Vision, & Core Values of Avalon Holdings Corporation (AWX). helps frame how these segments align with broader company goals.

• Waste Management pricing is often contractual or based on market rates for tipping and disposal.
• Golf operations use tiered membership pricing, dynamic green fees, and event package rates.
• Key cost drivers include labor, fuel, landfill maintenance, course upkeep, and capital expenditures for equipment and facilities.

Avalon Holdings Corporation's Financial Performance

Analyzing recent financial data provides insights into the company's operational health. For the first nine months of 2024, total revenues reached $89.6 million, showing a growth of 4.6% compared to the same period in 2023. This growth was primarily driven by the waste management segment.

Gross profit for the nine months ended September 30, 2024, stood at $12.1 million, resulting in a gross margin of 13.5%. Operating income for the same period was $1.8 million, yielding an operating margin of 2.0%. However, the company reported a net loss of $0.5 million for the first nine months of 2024, indicating pressures on profitability despite revenue growth, potentially due to rising costs or interest expenses.

Avalon Holdings Corporation (AWX) Market Position & Future Outlook

Avalon Holdings Corporation maintains a focused regional presence in waste management and golf operations, navigating a path toward stable, albeit modest, growth into 2025. Its future outlook hinges on optimizing existing assets and capitalizing on regional economic activity, particularly considering the performance trends observed throughout the 2024 fiscal year.

Competitive Landscape

Opportunities & Challenges

Industry Position

Within the broader waste management and hospitality sectors, Avalon Holdings occupies a distinct niche as a smaller, regionally focused operator primarily serving Ohio and Pennsylvania. While lacking the scale of national giants, its integrated model offers localized advantages in waste collection, disposal, and landfill management. The company's golf and related operations provide diversification but also expose it to different market cycles compared to pure-play waste firms. Understanding the Mission Statement, Vision, & Core Values of Avalon Holdings Corporation (AWX) provides context for its strategic focus on these specific regional markets and operational segments. Its position reflects a strategy centered on maximizing value from its established regional footprint rather than competing directly on scale with industry leaders, a strategy informed by financial results and market conditions observed through 2024.