What is the market's earnings forecast for Quest Resource next quarter?

What is the revenue and EPS growth rate for Quest Resource year over year?

What does Quest Resource do and what are its main business segments?

What is Quest Resource's latest dividend and current dividend yield?

What guidance did Quest Resource's management provide for the next earnings period?

What were the key takeaways from Quest Resource’s earnings call?

What factors drove the changes in Quest Resource's revenue and profit?

What is Quest Resource's gross profit margin?

- **Revenue Resilience**: Sequential growth of 6.4% to $63.3M, offsetting industrial market weakness.
- **Margin Expansion**: Gross margin improved 200bps YoY to 18.1%, driven by operational efficiency.
- **Debt Reduction**: $11.2M debt paid down YTD, with plans to prioritize higher-cost debt.
- **Strategic Wins**: New contracts in retail and hospitality, expanding share of wallet with existing clients.
- **Operational Excellence**: 25+ KPIs tracking process improvements, reducing DSO to 70s.

**【Management Opening Remarks】**
- CEO Perry Moss highlighted a solid Q3 with sequential financial improvement, driven by operational excellence initiatives despite macroeconomic challenges.
- Emphasis on cost reduction, cash flow generation, and margin optimization, with confidence in 2026 growth.

**【CEO Commentary】**
- **Operational Excellence**: Streamlined processes, enhanced customer engagement, and vendor management improvements.
- **Share of Wallet Expansion**: Added services for existing clients, including cardboard and food waste management, with new contracts in retail and hospitality.
- **New Client Wins**: Secured major retailer and restaurant chain contracts, with a focus on non-industrial markets for Q4 stability.
- **Vendor Relationships**: Stronger partnerships reducing service disruptions and costs.

**【CFO Financial Commentary】**
- **Revenue**: $63.3M (13% YoY decline, 6.4% sequential growth) due to mall business divestiture and industrial volume challenges.
- **Gross Profit**: $11.5M (2% YoY decline, 3.9% sequential growth), with margin improvement to 18.1% (200bps YoY).
- **SG&A**: $9.2M (10% YoY reduction), driven by workforce optimization and cost-cutting.
- **Cash Flow**: $5.7M generated, reducing DSO to 70s and paying down $4.6M debt.

**【Q&A Highlights】**
- **Industrial Market Outlook**: Stabilized but seasonally weak in Q4; focus on share of wallet and non-industrial clients.
- **Operational KPIs**: 25+ metrics tracking process efficiency, with sequential improvements.
- **Debt Strategy**: Aggressive debt reduction targeting higher-cost debt post-Q1 2026 restrictions.
- **Data monetization**: Exploring subscription model for customer data access.


Quest Resource Holding Corporation (QRHC) Q3 2025 Earnings Call Transcript

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