Kingsway Achieves Record-Breaking Quarter: Strong Organic Growth, Strategic Acquisitions, and Enhanced Tax Efficiency
On March 12th, Kingsway, a publicly traded U.S. company employing the search fund model to acquire and build great businesses, announced a strong fourth quarter and full year 2025 earnings call. During the conference, JT Fitzgerald, CEO of Kingsway, highlighted the company's significant progress in achieving its long-term goals.
The Kingway strategy involves purchasing companies with recurring revenues, fragmented customer bases, and strong secular growth tailwinds, matching them with talented operator leaders who drive performance. The KSX segment, which represents a majority of both revenue and adjusted EBITDA in the third and fourth quarters, has seen significant growth, with six acquisitions completed within this segment during the year.
For the full year 2025, consolidated revenue grew to $135 million, reflecting organic growth across their businesses and contributions from recent acquisitions. Consolidated adjusted EBITDA for the year was $7.8 million, and portfolio LTM (Last Twelve Months) EBITDA was $22-$23 million as of December 31st.
In his remarks, JT Fitzgerald emphasized that the company's vision is to combine both organic and inorganic growth to drive value creation. He expressed confidence in their budget for double-digit organic growth across both KSX and Extended Warranty segments, stating that their annual budgeting process involves comprehensive evaluation of each business one by one.
One notable example of a growing business under Kingsway's management is Roundhouse, which services electric motors for natural gas compression and transmission infrastructure in the Permian Basin. This industry has seen significant expansion due to the growing demand for domestic energy infrastructure.
The CEO also reiterated their target of three to five acquisitions in 2026, reflecting the company's commitment to strategic growth through both organic and inorganic means. Kingsway's unique position as a publicly traded U.S. company employing the search fund model at scale within a tax-efficient public company framework continues to set it apart from other companies.
With their continued focus on driving long-term shareholder value, Kingsway appears poised for continued success in 2026 and beyond.
