On Tuesday, Capstone Holding Corp (NASDAQ:CAPS) announced fourth-quarter results. Instone delivered over 8% revenue growth in the fourth quarter of 2024.
The quarter marked the successful launch of Toro Stone, which installed 90 displays across six new states. The company said it bagged orders from over 50 customers.
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Capstone Holding completed a targeted cost reduction initiative and accomplished improved gross margins.
CEO Matt Lipman, CEO of Capstone, said the company plans to focus on growth in the year’s second half. It plans to double the size of the business through targeted, strategic acquisitions focused on Tuck-In Acquisitions, Sister Companies, and Platform Acquisitions.
The company is targeting an operating company revenue run rate by the end of 2025 of $100 million and adjusted Instone EBITDA of at least $10 million.
The deal environment and structures remain favorable, implying acquisition multiples of 4-6 times EBITDA and 20%- 45% of consideration as non-cash.
Price Action: CAPS stock closed higher by 0.42% at $2.41 on Monday.
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