NASDAQ$VSEC

VSE Corporation · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

VSE Corporation announced record revenue and profitability for its Aviation segment in the fourth quarter and full year 2024.

VSE Corporation reported strong fourth-quarter 2024 results with a 27% increase in total revenues and a 21% increase in GAAP Net Income, primarily driven by record performance in its Aviation segment. The company also announced strategic transformations, including the acquisition of two commercial aviation aftermarket businesses and the divestiture of its Federal and Defense Services segment.

  • Total Revenues increased by 27% to $299.0 million in Q4 2024.
  • GAAP Net Income increased by 21% to $15.5 million in Q4 2024.
  • Aviation segment revenue increased 48% year-over-year to a record $227.4 million.
  • Adjusted EBITDA increased by 26% to $39.5 million in Q4 2024.

Headline financials

Total Revenue

$299M

Previous: $235M+27.1%
EPS (adj)

$0.90

Previous: $0.85+5.9%
Adjusted EBITDA

$33.3M

Previous: $31.4M+5.9%
Net Income

$15.5M

Previous: $12.8M+21.0%
Operating Income

$27.4M

Previous: $25.3M+8.3%

Revenue & EPS history

VSE · Revenue · Quarterly

$299M

Q4 2024+27.1%vs Q4 2023
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

VSE · $61M total across 1 segment · Q4 2019

  • Aviation
    $61M+42.3%

Forward guidance

VSE Corporation expects strong revenue growth and improved profitability for its Aviation segment in 2025, while not providing guidance for the Fleet segment due to its announced sale.

Tailwinds

  • Aviation segment full year 2025 revenue growth is expected to be 35% to 40% year-over-year.
  • Full year revenue growth includes contributions from TCI and Kellstrom acquisitions.
  • Aviation segment full year 2025 Adjusted EBITDA margin is expected to be between 15.5% and 16.5%.
  • The company is focused on driving above-market revenue growth in 2025.
  • The company aims to enhance profitability, integrate recent acquisitions, and generate stronger free cash flow throughout 2025.

Headwinds

  • The near-term margin dilution impact from the TCI and Kellstrom acquisitions is expected.
  • The company will not be providing guidance for the Fleet segment due to its announced sale.
  • The Fleet segment sale is subject to customary closing conditions.
  • The company's ability to successfully integrate recently acquired businesses could pose challenges.
  • Future business conditions resulting in impairments could negatively impact results.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+1.9%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+2.2%

Avg return

30 days after

49%

32 / 65 earnings

Positive

+34.8%

Q3 2015

Best reaction

-20.5%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.1%-9.5%-9.4%
Q4 2025+3.0%-1.3%-22.2%
Q3 2025-1.3%-1.0%-1.4%
Q1 2025+7.9%+11.3%+13.2%
Q4 2024+16.7%+14.8%+15.5%
Q3 2024+7.6%+13.6%+11.6%
Q2 2024-3.3%-11.4%+6.8%
Q1 2024-4.9%-10.8%-3.3%
Q4 2023+3.6%+0.2%+10.3%
Q3 2023+8.8%+8.8%+14.2%
Q2 2023-2.3%+0.6%-0.1%
Q1 2023+25.7%+13.1%+11.2%
Q4 2022-20.5%-28.2%-25.1%
Q3 2022-0.8%+6.7%+12.5%
Q2 2022+15.1%+16.6%+23.3%
Q1 2022+17.0%+5.5%+0.9%
Q4 2021-4.9%-9.0%-15.6%
Q3 2021+11.7%+11.4%+15.9%
Q2 2021-3.1%-7.4%-5.0%
Q1 2021+0.1%+3.6%+7.7%
Q4 2020+0.9%+6.0%+3.6%
Q3 2020-3.1%+2.7%+16.2%
Q2 2020+3.8%+0.9%+4.8%
Q1 2020-0.9%-11.2%+28.8%
Q4 2019+3.9%-6.0%-35.2%
Q3 2019+17.7%+16.2%+20.8%
Q2 2019+14.2%+17.6%+24.2%
Q1 2019-5.2%-8.2%-20.8%
Q4 2018-3.0%-3.5%-12.1%
Q3 2018+9.8%+7.1%+1.4%
Q2 2018-5.1%-8.5%-18.1%
Q1 2018-0.6%-2.5%-3.6%
Q4 2017-2.1%+0.3%+6.6%
Q3 2017-13.8%-15.4%-17.2%
Q2 2017+9.2%+18.8%+11.3%
Q1 2017-2.6%-1.9%-3.6%
Q4 2016+0.0%-2.9%-4.6%
Q3 2016-7.3%-6.9%+26.6%
Q2 2016-6.3%-8.7%-3.4%
Q1 2016-9.2%
Q4 2015+9.7%
Q3 2015+34.8%
Q2 2015-2.5%
Q1 2015-7.3%
Q4 2014-1.0%
Q3 2014+4.2%
Q2 2014-9.4%
Q1 2014+4.3%
Q4 2013+0.0%
Q3 2013-9.2%
Q2 2013+4.7%
Q1 2013-0.3%
Q4 2012+2.3%
Q3 2012-0.6%
Q2 2012-1.7%
Q1 2011+6.7%
Q1 2012+0.2%
Q4 2009+1.4%
Q4 2011+1.4%
Q3 2011-7.2%
Q2 2011+12.9%
Q4 2010+12.9%
Q3 2010-6.8%
Q2 2010-0.3%
Q1 2010+0.1%

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