Good afternoon. The next MicroCap Presentation will be Lakeland Fire and Safety. We have CEO Jim Jenkins, Helen An, COO, Roger Shannon, CFO.
Thank you. Good morning, everybody. I'm Jim Jenkins, CEO. Thanks for joining us. We've got, you know, a pretty lengthy investor presentation. We're going to obviously use a deep ridge version here. Here we go. There's a safe harbor statement, obviously. Quick overview of us. We'll get into this in more detail, you know, as the presentation goes along. We've been a pretty active acquirer of companies over the course of the last 23, 24 months, from 2022 until just most recently, our acquisition of Veridian Fire in Des Moines, Iowa. We've sort of pivoted from being what I would call sort of a sleepy PPE industrial business, waiting for the next pandemic to happen, to a more actively involved, you know, growth engine, using M&A as part of that. That doesn't mean we're going to ignore, you know, the industrial side. It's what got us here.
It's critical to our growth plan. You know, we do believe we've got a pretty unique competitive position given the manufacturing flexibility we have throughout the world. We've got 18 locations in 14 countries. We've got 10 manufacturing facilities all over the world. I'm going to do a brief corporate video and would ask that you remind yourselves that the video usually adds about 20 lbs. Here we go.
The most important value that we bring to the table is that we protect our heroes. We protect people that keep you and I safe, that run into burning buildings, that walk into chemical facilities with ammonia spills, things that most average...
We'll start that over. That makes me perfect for having a technical glitch at every meeting I've ever had.
The most important value that we bring to the table is that we protect our heroes.
We protect people that keep you and I safe, that run into burning buildings, that walk into chemical facilities with ammonia spills, things that most average people would not dream of trying to do.
At Lakeland, we have what we refer to as our iCare values. One of those core values is around accountability. Our employees are absolutely accountable to each other, to the customers that we serve, and our communities as well.
You know, we have seven manufacturing facilities throughout the world. We are able to get product in the hands of a customer in a very quick period of time. We control that process.
Being global, we have the opportunity to work with standards from around the world to help incorporate what is best practice and best opportunity to support and utilize a team that's cross-functional.
There are certifications all over the world that we have a talented group throughout the world in our manufacturing facilities who are able to get those certifications. That's very important. You're going to have a product that passes standards. We are able to do that. We are able to, most importantly, control the quality of the product that we manufacture.
Our products are all in the line of protecting people. Head-to-toe safety products. We have a history of product development right from the start. It is through decades of experience in developing products for specific market sectors. Research and development, new product development, and innovation starts with a customer. We have to be very closely tied to the end user and their problems and look at finding solutions to help ensure that their people are safe. That is our focus. Our noble purpose is that we protect your people.
Behind me are some amazing Jolly Boots products that we manufacture for police, fire, and military purposes. Personally speaking, my best friend is a firefighter, and I'm so grateful that they're protected by products like these. We also have an internal mantra around every stitch matters, and it absolutely does. Our global employees around the world have a singular and unified, powerful message around protecting people. It is that commitment to safety that keeps us unified.
Okay. Okay. That's already a dated video. We talked about seven manufacturing facilities. We since that video acquired Veridian and added three more manufacturing facilities in the United States, in Des Moines, Iowa, Spencer, Iowa, and just outside of Little Rock, Arkansas. Here's our product portfolio. We've got, obviously, fire and industrial. We've got certifications, as I mentioned in the video, throughout the world. We've got a portfolio of brands now in fire. We've got a portfolio of products that serve a number of verticals throughout the world and in world markets. We've sort of put together the sort of the top 10 reasons, sort of the David Letterman kind of thing, for why we think fire service growth, you know, is so compelling. I'll just talk about a little bit of them.
One of the things that I think that Roger, Helena , and I find most appealing for us is that unlike the industrial space, where you've got to have inventory in stock and you're sort of making some educated guesses based on prior performance and forecast, you got to make some inventory, take some inventory risks. In fire, it's all about having that raw material six months in advance, which Helen a and her team do a tremendous job of planning for. When we're dealing with finished goods inventory in fire, there is a PO associated with that order. It is a much better, much easier business in some ways from an inventory perspective to manage. High margin, lots of cross-selling opportunities as a result of the brands that we've acquired. The brands that we have acquired have a very strong presence in the markets they serve.
Obviously, the goal now is to integrate those brands, cross-sell them, and we're well on our way to doing that. You know, I'll talk a little bit about the services business. It's an area where I think we're going to start to focus on as we grow our M&A activity a little bit differently in the coming 15- 18 months. Part of that service program is that firefighters generally get two sets of turnout gear. When they go on a call, that turnout gear has got to be decontaminated. It used to be really cool to walk around with the dirty fire equipment. That was sort of a badge of honor. You know, you're walking around with carcinogens. What's happened now is there's been an urgent move to decontamination, recertification of that gear.
You go into a call, you've got the carcinogens on you, you've turned it into this service program, which we now have in Australia. We have a joint venture in New Zealand. We're in Hong Kong. We've got a small presence in Germany. That came as a result of our acquisition of a company called LHD. We saw that that presents real opportunity for cross-selling, for sticky and recurring revenue. We've seen that with our experiences with LHD. We want to replicate that in North and South America. We will likely, over the course of the next nine or 12 months, acquire a couple of companies in the United States, hopefully, you know, East Coast, Midwest, West Coast, and then look to probably build one in South America. We've got some strong tailwinds. We'll talk about the tariffs a little bit later.
We think we've got a really, you know, cogent and complete plan to execute on that. There's a, you know, obviously the global acceptance of PPE after COVID, we view as a strong tailwind, and it's a relatively mature but still growing market. Some of the markets where we sort of were close, we were not terribly fixated on maybe prior to COVID, biotech, life sciences, those types of spaces, we're starting to see some real growth in that. We call that our critical environment, sort of clean room. You know, there's a high risk of failure in those environments, so folks will pay a little bit more for that kind of product. In the industrial space, that's a real opportunity for us. On the industrial space, you know, there are some things that are cyclical. You look at things like oil and gas.
You know, the oil and gas refineries in the United States really have not been shut down and cleaned for quite some time. We think this is a year where we'll see some opportunity there. Of course, the semiconductor space is an area where, again, you need that clean room, that high-end opportunity. Of course, we've always been well known for the chemical garments we produce to protect those who are running into harm's way when it comes to cleanup or other items. Finally, we've got this disposable business, you know, that looks a lot like what you'd see at folks in Tyvek, which is one of our larger competitors, obviously. We're an alternative to that. You know, if you watch some of the cleanup that was done after the California fires, everybody's in those white suits because there's mold, there's dirt, there's contaminants.
That's the kind of stuff. In fact, we booked a very significant sale at the end of the year in California to that end. This is sort of our strategic priorities. We're going to build a global firebrand. We're already well on our way to doing that. When Roger and Helena and I got started with this, it really started in a conference room in the summer of 2023, where we sat down and said, you know what, we ought to get, this is a consolidating fragmented space with not a lot of large leaders in it, maybe the largest leader being MSA Safety in the turnout space. They've got about 10% of this $2 billion-plus worldwide market. We should go after it and offer a head-to-toe solution. Within a matter of about 15 months, we are there.
We started as really a relative unknown in the fire space. We now believe we are in the top five in the world in turnout gear. We continue to nip at the heels of those who are just a little bit ahead of us. We are going to continue to do the M&A. We are going to continue to drive that. We have pretty much got the product portfolio that we want. Now we are actually looking at the service end. I think I mentioned that earlier. That is going to be an area, you know, they are not going to be huge acquisitions. They will be under $10 million in size. We will probably do a couple of them, though. Those lend to some other opportunities.
In addition to sort of the traditional decontamination business, there's a software component that we acquired with LHD that allows the firefighter and the battalion chief to track where that garment is and when they can get it. We didn't really monetize that in the Australian market because most of the development was paid for by the Sydney and Brisbane fire departments. We intend to do that in the U.S.. That is another way for us to, we could actually not even sell turnout gear or even decontamination services, but we could sell software, the software that we own as a component part of the decontamination business. You know, we're happy with where that is going for us.
The other add-on to that is because the firefighter gets two pieces of turnout gear, you know, they go on one call, they go on another call, uh-oh, they don't have anything. There is a rental business that we see a growing opportunity in. That will allow us to have a few items in stock. Firefighter does not have a suit available. They can rent it from us. There are also thousands of fire schools throughout the United States, fire academies, fire schools, fire colleges. California alone has over 120. We view that as an opportunity to rent. When you are starting out as a student in one of these fire academies, you are not going to go, they are not going to buy you and fit you a custom suit. You are going to rent it.
We will continue to look at those opportunities where we can rent into that space as well. We will likely acquire somebody who provides the decontamination service and then also provides the rental service. Finally, I do not want to forget because we have spent a lot of time talking about fire, our traditional PPE, chemical, critical environment, disposable business, we intend to grow that high single digits, you know, year- over- year. We have probably the most charismatic sales leader I have ever worked with that we have brought in. He worked at Ansell, a competitor of ours in the industrial space. He is driving a new way to do this. We used to sit and aggressively wait for a phone call from our distributors. That was sort of our sales strategy. We are now engaging with end users. We are pulling through our channel partners.
We're starting to see a lot of success from that. There were markets that we, frankly, were not doing well in that are starting to get legs. I look at a place like Europe where we, frankly, for years never really made any money in Europe. Our friend Cameron, who's now driving growth in the industrial space for us, has a new team there. They're fully focused. That's an opportunity for us where we see we're going to be able to capture market share. Latin America, you know, nobody because of the currency risks in some of those countries, a lot of our competitors left. We are a market leader in several of those countries, and we continue to see real opportunity there. China was huge for us during the pandemic, has sort of dipped off.
We now are starting, we've got a new sales leader there as well, courtesy of Helena and her team, sort of we are now driving growth in that region as well. Lots of opportunities in lots of geographies with lots of different products for us to win at. We like what we've got and how we're building it. Again, that's the head-to-toe offering. Those are all the brands we have in fire. You know, I think we have an opportunity to win in virtually every geographic region around the world. Talked a little bit about our competitive advantage. You know, we're relatively asset light. You're talking about warehouses and sewing machines by and large. You're really not talking about a lot of CapEx here. We have a very healthy balance sheet. We just came off a secondary offering.
We think we're very well positioned to continue to move on an M&A strategy and drive the growth we need with the diversified product portfolio that we have. That's the team. We've all been together for maybe less, certainly less than a year. You know, Roger is sort of as the new guy is the grizzled veteran. He's been here for about two years. I joined in June. I've been on the board for about 10 years. My prior life, I ran the M&A program at a company called Transcat. When I took over Transcat, we started on a pretty aggressive M&A strategy. We acquired 16 companies over the course of four years. I sourced, negotiated, and then ran those companies for a year and then handed them off to my ops team. We were about $150 million in market cap when I started.
We were well over a billion when I left. We can replicate that here. We have the team to do it. We've got a bevy of professional experience and wisdom that's sitting up here right now, driving this growth, fully focused on executing and rowing in the same direction. I'm going to hand it over to Roger. I have Helena here. We're obviously going to be doing one-on-ones for most of the day for the Q&A part because if I've stepped in at all on the operations, she'll correct me.
Thank you, Jim. We are a little bit of a different company in terms of year-end. We're a January 31 company. We just filed our 10-K about a week ago. We did our year-end earnings release a little bit earlier in April. You know, we're pleased to announce that we've grown to $167 million in revenue.
Just to kind of contrast that, I started on February 1 of 2023. The year that just ended, the day before was what we call our fiscal 2023 year-end. That year-end, we were at about $112 million in revenue. We had come off of, you know, a very good spike in COVID, but, you know, a lot of stocking around the world of those PPE materials due to COVID. Just kind of, as Jim mentioned, the sales strategy that was being employed at that time just did not make it sticky. Embarking on this roll-up in the fire turnout space, you know, we think has been incredibly successful in that two-year period. We grew from $112 million to about $125 million for our fiscal 2024, which was kind of the first full year that I had joined as CFO.
Of course, Helena was elevated to COO, a long-time professional within the company in the manufacturing and operations side. In the second year, $167.2 million. You can see, you know, really nice growth even in Q4 year- over- year from, and the full year- over- year from $125 million to $167 million and from $31 million to $46 million. Kind of look at the EBITDA as well. For the three months ended the previous fiscal year, $3.4 million, we were $6.1 million. Almost doubled in Q4 with a nice increase in our EBITDA margin. What does that mean going forward? We did give guidance at our most recent earnings call. We've guided to revenue for this fiscal year. Again, reminder, we're in fiscal 2026 because it ends January 31, 2026.
We've given guidance for revenue of $210-$220 million and adjusted EBITDA of $24-$29 million. Of course, this does reflect a full year now of Veridian. We had Veridian for about one month in the previous fiscal year. We had LHD for about six months in the previous fiscal year. We will have them in the full fiscal year. We do count revenue as organic once it ticks over 12 months. We were very pleased to have 11% organic revenue growth year- over- year. This gives us a kind of a graphic picture of how the company has transformed going back to fiscal 2024 versus the year that we just ended.
You can see in fiscal 2024, we were about 44% in the U.S., you know, smaller in Europe, just kind of fragments in Europe, other North America, Asia, Latin America, and other foreign. And we're about 40% disposable. You can see that fire was just 21%. And even that number, the previous year, fiscal year 2023, fire was about 10% of our revenue. That reflected growth in Eagle since we had acquired them and partial years of the next two acquisitions. Recognizing that we had acquired Pacific, Jolly, and LHD, we wanted to go back and show what fiscal 2024 would have looked like with those and kind of a pro forma look back. The U.S. would have decreased a little bit. Again, the Veridian acquisition offset some of the growth and international from the other acquisitions.
You know, but really what I'd point you, you know, kind of point your eye to is that fire number. So fire grew to 42% on that pro forma basis from 21%. Disposable still very important at 29%. Like Jim mentioned, we are expanding into the critical environment space. We do manufacture all of our own disposables in numerous locations around the world. So we're able to assure that quality control as well as timely delivery. But you're really just proof of executing on that strategy. Then FY 2025 revenue that we just finished, U.S., again, was about 36% of the total revenue. Europe, you can see increasing. Europe increases because we do now consider, we segment geographically and we consider LHD, Jolly, and Eagle within the European segment. But most importantly, again, disposable still, you know, still strong at 38%. That fire number is 31% for the fiscal year.
Again, I would remind you that that's half a year of LHD and only one month of Veridian. That's the difference between when you see the 31 and the actual and the 42 on the pro forma. Because the, especially the fire turnout business is largely driven by RFPs and large tenders and wins, you know, there is certainly some quarterly cyclicality to that, some quarterly variability. We really want to be measured on a trailing 12-month basis. We give guidance not on a quarterly basis looking forward. We give it annually, and then we look back on a trailing 12-month basis. You can see the growth in the revenue because the trailing 12-month was a year-end. That's that $167 million of revenue. Very nice growth in EBITDA, but we think this is just the beginning of the story.
Like I mentioned with the guidance, we expect to be, you know, well above $200 million in revenue for the coming period and, you know, in the kind of mid to higher 20s in adjusted EBITDA. As Jim mentioned, we did just recently complete a very successful secondary offering. We went out to the market, you know, we've done these acquisitions. The first two acquisitions with what we call our COVID cash, we came out of the COVID period with about $55 million of cash. The third acquisition, we had sold an excess, a non-used warehouse in Canada that appreciated quite a bit. We used a good bit of that cash for, you know, for the Jolly acquisition. The LHD and the Veridian acquisitions were acquired under our Bank of America revolving credit facility.
Those acquisitions had taken our debt up to where we had about a little over $50 million drawn on our revolving credit facility. I just could not be more thrilled about the execution of that secondary offering as well as the timing. I guess, you know, a lot of things became very volatile about three weeks later once the tariff discussion started. We went out with an indication of about $20-$25 million for the offering to do a partial debt paydown. You know, just through excitement in the name and I think belief in the strategy and the execution so far, that deal was over four times oversubscribed in the secondary. We upsized it to $40 million with the green shoe of executed on that first day of $6 million. We did that. The shares priced at $22.
Very, very happy about that. We have recently engaged MZ. We have stepped up our outreach to events like this. We are doing lots and lots of calls, Jim. I'd love to speak with all of you and tell the story. We get very excited about it and participating in many more things you can see in addition to what we are doing this week. Just recently participated in Roth, the Opco Emerging Growth Benchmark, the Roth Deer Valley. Very excited that we have added, I guess, since we introduced this new strategy, we have added three new analysts, coverage analysts, including two recently. Jerry Sweeney at Roth has done an outstanding job of understanding the story and sticking with us. Shortly after that, Matt Golinko at Maxim picked up, but within the last couple of months, D.A.
Davidson and Lake Street have picked up coverage. Again, some of this, I'm not going to go into each one of these again, but you know, we kind of covered this in the previous slides, but we did have strong sales growth. We do now have the head-to-toe offering, which other competitors just frankly don't have. So we're able to go to these tenders with a full head-to-toe offering. You know, we're going to continue to do that through our M&A strategy.
Q&A? We're good. We're good. Okay. All right. Thank you, everybody. Yeah. Thank you.
They want to catch you on the next question. Thanks, guys. Thank you so much. Thank you. Irene, do you want to do lunch first at 11:30? The first round of lunch at 11:30. This presentation.