ANDG earnings analysis
What we found in ANDG's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Andersen delivered strong Q2 revenue growth of 23.7% to $217.7 million and a substantial year-over-year improvement in operating results, although GAAP operating margin remained negative at 4.1% and diluted EPS was negative $0.09. Six-month operating income turned positive and operating cash flow reached $65.8 million, but cash fell by $74.6 million during the period as the company paid $48.9 million of debt principal and $83.6 million of distributions. The outlook is operationally constructive, supported by broad service-line growth and acquisitions, but elevated debt, receivables growth, unresolved material weaknesses and ongoing acquisition activity warrant caution.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue growth remained strong
- Second-quarter revenue increased 23.7% year over year to $217.658 million from $175.991 million, driven by client additions, higher volume, service-line expansion and $5.5 million of inorganic growth.
- Operating profitability turned positive
- Six-month operating income improved to $15.158 million from an operating loss of $52.520 million, with operating margin rising to 3.3% from negative 13.7%.
- Adjusted profitability expanded
- Q2 adjusted EBITDA increased to $45.960 million, and adjusted EBITDA margin expanded to 21.1% from 16.9%; adjusted net income was $39.002 million versus $28.105 million.
- Growth was broad-based
- All four service lines grew year over year: Business Tax Services rose to $85.392 million from $62.397 million, while Private Client Services increased to $102.452 million from $87.630 million.
- Operating cash flow exceeded capex
- Operating cash flow increased 6.4% to $65.815 million from $61.875 million. Capital spending totaled $12.764 million for property and equipment plus $0.395 million for internal-use software.
- Liquidity remained substantial
- Working capital increased to $220.0 million from $216.2 million at December 31, 2025, and the company had $175.631 million of cash plus $2.070 million of current Treasury securities at June 30, 2026.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- GAAP loss and higher interest burden
- The company reported a Q2 net loss of $10.094 million and diluted loss per share of $0.09. Interest expense increased to $5.887 million from $0.104 million, primarily due to the Capital Account Notes and Holdover Note.
- Cash declined against sizable debt
- Cash declined to $175.631 million from $250.280 million at December 31, 2025, while aggregate principal on the Capital Account Notes and Holdover Note was $301.234 million; six-month principal payments were $48.925 million.
- Receivables and credit-loss exposure increased
- Accounts receivable increased to $189.371 million from $123.418 million, while the allowance for credit losses rose to $3.977 million from $1.676 million, creating working-capital and collection risk.
- Material weaknesses remain unresolved
- Management stated that disclosure controls and procedures were not effective as of June 30, 2026 because the material weaknesses reported in the 2025 Form 10-K continued to exist.
- Acquisition execution and integration risk
- The company completed acquisitions with aggregate purchase consideration of $12.193 million, including $6.421 million of deferred consideration, and expects eight additional acquisitions to close in the fourth quarter of 2026, subject to conditions.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.09
- Gross margin
- 20.3%
- Operating margin
- -4.1%
- Segment
- Single reportable segment: tax, valuation, financial advisory and related consulting services; Q2 revenue $217.658M versus $175.991M, up 23.7% year over year.
- Segment
- Private Client Services: $102.452M versus $87.630M, up approximately 16.9% year over year.
- Segment
- Business Tax Services: $85.392M versus $62.397M, up approximately 36.9% year over year.
- Segment
- Alternative Investment Funds: $17.712M versus $15.021M, up approximately 17.9% year over year.
- Segment
- Valuation Services: $12.102M versus $10.943M, up approximately 10.6% year over year.
What they said about what is next.
The 10-Q does not provide numeric revenue or EPS guidance. Management provides forward-looking acquisition commentary, including eight additional acquisitions expected to close in the fourth quarter of 2026, subject to closing conditions; prior outlook was addressed in the earnings release and call.
The filing reads about the same as the one before it.
What came before.
- 10-Q · May 12, 2026
- Andersen Group Inc. reported strong Q1 2026 results with revenue reaching $240.7 million, a 15.7% increase from the previous year, largely due to expanded client engagement and service line growth. However, EPS was just…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
Read the next one first.
We read every filing ANDG makes the day it lands, and put it next to what the options market did about it. Members get both, and an alert when a filing arrives.
Cancel anytime · Month to month · Switch tiers whenever