Keeping an Eye on the Big Boys, Alliance and EVI: What They Are Doing and Why It Matters

The backdrop: laundromats are boring… until you look at the money

Behind every clean T-shirt is a surprisingly big industry.

The global commercial laundry market is worth roughly $7–7.5 billion in 2025 and is projected to grow at about 5.8% CAGR through 2035.Business Research Insights
Zoom into laundromats specifically and the global laundromat machines market is about $4.8 billion in 2024, expected to almost double to ~$9 billion by 2034, with around 35,000 laundromats in the U.S. alone.Claight

Inside that ecosystem, two companies matter a lot for vended laundromats and commercial installs:

• EVI Industries (NYSE American: EVI) – a consolidator and distributor of commercial and vended laundry equipment and services.EVI Industries, Inc.

• Alliance Laundry Systems (NYSE: ALH) – the global OEM behind Speed Queen, Huebsch, UniMac, Primus, IPSO and other brands, now a freshly public company with a dominant North American share.Reuters+1

Think of it this way:

• Alliance is the factory + brand engine.

• EVI is becoming the national “front line” sales, design, and service network that laundromat owners and institutions actually interact with.

Let’s break down what each is doing, how they plan to grow, and what that means if you’re building or upgrading laundromats — plus SWOTs for both.

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EVI Industries: the quiet consolidator

Business model in one line

EVI is not an OEM. It’s a “value-added distributor”: it sells/leases commercial and vended equipment manufactured by others, designs turnkey laundries, and provides installation, parts, and long-term service contracts across commercial, industrial, institutional and retail (laundromats) customers.EVI Industries, Inc.

Over the last decade, EVI has been executing a textbook “buy-and-build” roll-up in a highly fragmented U.S. distribution and service market:

• Since 2016, EVI has acquired 26+ distributors, becoming a leading North American commercial laundry distribution and service platform.Business Wire

• By 2025, it had completed 31 acquisitions, including ASN Laundry Group in New York, and its largest-ever deal: Girbau North America (a major OEM distributor) for roughly $43 million.EVI Industries, Inc.+2Business Wire+2

Financially, the strategy has worked at the top line:

• Revenue has increased roughly 10x since 2015, driven largely by acquisitions.PESTEL ANALYSIS

• Fiscal 2024 revenue was $353.6 million with record gross profit of $105.3 million and gross margin of 29.8%.EVI Industries, Inc.

• Operating cash flow hit a record $33 million in FY 2024, and net debt dropped 71% to $8.3 million — giving them more dry powder for future deals.EVI Industries, Inc.

In short: EVI is building the “nationwide dealer + service layer” for laundromat and commercial laundry OEMs, including brands like Girbau, and often competing OEMs in different territories.

How EVI plans to grow market share

1. More acquisitions, deeper coverage

EVI’s business strategy explicitly centers on “buy-and-build”, acquiring local and regional distributors and then investing to expand their sales, service, and tech capabilities.EVI Industries, Inc.+2BeyondSPX+2

Recent moves:

• ASN Laundry Group (NY) – EVI’s 31st acquisition, boosting its density and service capabilities in a key Northeast market.EVI Industries, Inc.+1

• Prior deals like Ed Brown Distributors expanded EVI’s footprint in Texas and adjacent regions.Business Wire

The target: a national footprint of high-touch, locally branded distributors that still feel “local” to the customer but run on EVI’s capital base and systems.

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2. Tech backbone: ERP, field service, e-commerce

For an industry famous for clipboards and hand-written service tickets, EVI is leaning hard into tech:

• It has been consolidating business units onto common ERP systems, implementing field service technology, and launching an e-commerce platform for parts and accessories.EVI Industries, Inc.+1

Those initiatives aim to:

• Speed up quoting and project design for new laundromats.

• Increase technician utilization and first-time-fix rates.

• Make reordering parts/consumables as simple as online shopping.

If it works, EVI becomes not just a roll-up, but a higher-margin, tech-enabled service platform — which is where a lot of the long-term profit in laundromats lives.

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3. Sales force and service scale

EVI has been growing its sales team and service tech base:

• FY 2024: sales team grew 6% to over 190 professionals; service techs up 5% to ~400 technicians.EVI Industries, Inc.

That’s a big deal for laundromat owners:

• More trained reps → better project design, more OEM options, more competition on package pricing.

• More techs → less downtime, faster installs, and potentially bigger “full service” contracts.

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4. OEM breadth and project solutions

Owning Girbau North America’s distribution plus many legacy distributorships means EVI can bundle equipment and services across several OEM brands (not just one), plus boilers, controls, and logistics.PESTEL ANALYSIS+1

That gives them leverage in:

• Multi-store laundromat chains wanting standardized fleets across regions.

• Institutional customers (hotels, healthcare, government) looking for long-term service guarantees and turnkey design + installation.

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Alliance Laundry Systems: the OEM finally steps into the spotlight

From private to public — and very large

Alliance Laundry Systems has long been the OEM power behind the curtain, selling under brands like Speed Queen, Huebsch, UniMac, Primus, IPSO and others.Reuters+1

Key points:

• Alliance claims about 40% share of the North American commercial laundry market — making it the dominant OEM for laundromats and many on-premise laundries.Reuters+1

• It went public in October 2025, raising about $826 million and debuting at a valuation of roughly $4.8 billion on the NYSE under ticker ALH.Reuters+1

• Revenue for the first half of 2025 jumped ~15% to $836.8 million, though net income fell from $67.6 million to $48.3 million as costs and interest weighed on margins.Reuters+1

The Financial Times notes that Alliance has grown revenue at about 9.5% CAGR since 2010, but carries around $2 billion of debt (≈6x projected 2024 EBITDA) after leveraged buyout activity and a large dividend to its private equity owner BDT & MSD Partners.Financial Times

How Alliance plans to grow market share

1. Double-down on brand + product leadership

Alliance is the brand house of commercial laundry:

• Speed Queen – vended laundromats + residential commercial-grade machines.

• Huebsch – vended and multi-housing.

• UniMac – on-premise laundries (OPL).

• Primus, IPSO, others – international and specialized segments.National Laundry Equipment+1

Alliance’s messaging and product roadmap emphasize:

• Water & energy efficiency – e.g., marketing around Speed Queen and UniMac equipment that reduces water use and cuts dry times, such as UniMac’s high-G-force extraction that shortens drying cycles.Alliance Distribution

• Durability & lifecycle cost – their pitch is that lower breakdowns and lower utility costs offset higher upfront prices.

As ESG and utility costs become bigger factors in laundromat underwriting and hotel/hospital laundry RFPs, this “green + durable” narrative positions Alliance to maintain premium pricing.

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2. Expanding & tightening distribution

Alliance historically sold through independent distributors, but it’s been increasingly buying distributors to secure channels:

• In 2024, Alliance acquired the distribution assets of Star Distributing (plus its Parts King business) in Nashville, a major distributor of Speed Queen vended/multi-housing/OPL equipment.Alliance Distribution

Owning more of its distribution:

• Secures shelf space for Speed Queen / Huebsch in key territories.

• Lets Alliance control the customer experience, from equipment selection to parts.

• Potentially creates head-to-head competition with third-party distributors like those EVI owns.

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3. IPO proceeds: deleveraging and optionality

Alliance’s S-1 and related coverage point to a clear use for IPO proceeds:

• Reduce debt – use a meaningful chunk of the ~$826M raised to delever from ~6x EBITDA and lower interest burden.Reuters+1

• Selective acquisitions and technology investments – especially in sustainable laundry tech and bolt-on distribution, leveraging equity as a deal currency.AInvest+1

Deleveraging + public currency means Alliance can keep playing the “OEM + network” scale game as demand grows in:

• Vended laundromats (new builds and retools).

• Multi-housing.

• Hospitality and healthcare, where uptime and utility consumption are mission-critical.

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4. Product and technology trends

Alliance’s own content and distributor guidance highlight:

• Higher-capacity, higher-extract machines to cut cycle times and increase store throughput.Alliance Distribution

• Smarter controls and connectivity for better maintenance and remote monitoring.

• Programming around equipment sizing, store layout, and capacity to ensure operators don’t over- or under-build.Alliance Distribution+1

From a laundromat operator’s perspective, that’s essentially a push for:

“Fewer, more capable machines, running more hours/day with less water and energy per pound.”

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How they collide (and cooperate) in the laundromat landscape

Even though they sit in different parts of the value chain, EVI and Alliance inevitably bump into each other in the vended laundromat market:

• Alliance wants its brands to dominate what gets installed.

• EVI wants to be the preferred channel that installs and services everything.

Some tension points:

• EVI’s distribution includes non-Alliance OEMs (e.g., Girbau North America), giving it leverage to spec alternative brands depending on pricing, territory and service.PESTEL ANALYSIS+1

• Alliance is buying some distributors outright (like Star Distributing), which can compete with independent players (including EVI-owned distributors) in certain territories.Alliance Distribution

But the market is big and growing:

• U.S. commercial laundry appliances are expected to reach $13.17 billion by 2030, with Alliance, Whirlpool, Electrolux, Dexter, and Continental Girbau named as key players.Mordor Intelligence

So in practice, laundromat investors will likely see:

• Alliance equipment in many proposals.

• EVI-owned distributors as one of the principal design/build/service partners, sometimes offering Alliance, sometimes competitors.

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SWOT: EVI Industries

Strengths

• Scale & consolidation lead in distribution
  EVI has executed 31 acquisitions, becoming a leader in North American commercial laundry distribution and service, with a growing installed base and multi-region coverage.EVI Industries, Inc.+2AInvest+2

• Proven buy-and-build track record
  Revenue has grown roughly 10x since 2015, driven by disciplined acquisitions and integration.PESTEL ANALYSIS

• Service-heavy, recurring revenue profile
  EVI doesn’t just ship equipment; it designs, installs, and services facilities, driving recurring parts and service revenue and deeper customer relationships.EVI Industries, Inc.+1

• Improving balance sheet & cash generation
  FY 2024 saw record operating cash flow ($33M), a $32M YoY increase, and net debt trimmed to $8.3M, giving EVI financial flexibility to keep acquiring.EVI Industries, Inc.

• Tech modernization underway
  Common ERP, field service tech, and e-commerce initiatives should enhance operational efficiency and customer experience over time.EVI Industries, Inc.+1

Weaknesses

• Thin margins typical of distribution
  EVI operates with single-digit operating margins and mid-20s to high-20s gross margins; it’s inherently less profitable than a branded OEM unless tech and services can materially move the needle.EVI Industries, Inc.+1

• Integration complexity
  Integrating dozens of acquired companies with different cultures, systems, and vendor relationships is difficult and can distract management or create uneven customer experience.BeyondSPX+1

• Dependence on OEM partners
  As a distributor, EVI’s fortunes are tied to OEM product cycles, pricing, and channel strategies. OEMs buying more distributors (like Alliance buying Star) can squeeze access or margins in some regions.Alliance Distribution+1

• Exposure to construction & capex cycles
  Large projects (new laundromats, hotel/healthcare builds) can be lumpy, making quarterly results volatile.

Opportunities

• Further consolidation of a fragmented channel
  Many regional distributors remain independent; EVI’s improved balance sheet and acquisition experience position it to keep rolling them up.Business Wire+1

• Higher-margin, tech-enabled services
  Better field service tools, e-commerce, and standardized processes can increase productivity per tech, unlock predictive maintenance, and deepen customer lock-in.EVI Industries, Inc.+1

• Sustainability-driven retrofits
  Utilities and ESG mandates create a long runway of laundromat and OPL retrofits (water- and energy-efficient equipment). EVI can package equipment from multiple OEMs to meet these standards.Global Market Insights Inc.+2Business Research Insights+2

• Cross-selling across verticals
  EVI serves commercial, industrial, institutional, and retail customers; acquisitions like ASN expand geographic density, making cross-selling easier (e.g., multi-store laundromat operators, regional hotel groups).EVI Industries, Inc.+2AInvest+2

Threats

• OEM channel conflict
  If major OEMs (Alliance, Girbau, others) decide to own more distribution, EVI could face reduced access, lower margin, or the need to rebalance its vendor mix.Alliance Distribution+1

• Rising competition from other roll-ups
  Private equity-backed distributors or alternative service networks could emerge, eroding EVI’s acquisition pipeline and pricing power.

• Macroeconomic headwinds & interest rates
  Higher rates make laundromat projects harder to finance and reduce the appetite for leverage-funded acquisitions.

• Execution risk on tech
  ERP and field service rollouts are infamous for delays and cost overruns; if poorly executed, they can hurt rather than help service levels.

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SWOT: Alliance Laundry Systems (ALH)

Strengths

• Dominant market share & installed base
  Alliance holds about 40% of the North American commercial laundry market, with a 117-year history and wide installed base across laundromats, hotels, healthcare, and institutions.Reuters+2Financial Times+2

• Powerhouse brand portfolio
  Brands like Speed Queen, Huebsch, UniMac, Primus, IPSO cover vended, OPL, and international segments, giving Alliance broad reach and strong brand recognition among operators.National Laundry Equipment+1

• Scale manufacturing and product depth
  Alliance’s scale enables it to invest in more efficient, high-capacity machines and advanced controls, such as high-G-force extractors that cut dry times and water usage.Alliance Distribution+1

• Public market access & equity currency
  The 2025 IPO raised roughly $826 million, valuing Alliance around $4.8 billion and giving it a public listing under ALH, which can be used both for capital raises and as stock-based M&A currency.Reuters+2Reuters+2

• Proven growth track record
  Revenue has grown at ~9.5% CAGR since 2010, with strong 2025 H1 growth (~15%).Financial Times+1

Weaknesses

• High leverage
  Alliance carries around $2 billion in debt, roughly 6x projected 2024 EBITDA, a legacy of private-equity ownership and a large dividend recap.Financial Times

• Profitability under pressure
  Despite revenue growth, net income in H1 2025 fell to $48.3M from $67.6M, pointing to cost and interest headwinds.Reuters+1

• Capital-intensive, cyclical business
  As a heavy manufacturer tied to capex cycles, Alliance faces utilization risk if laundromat build-outs slow or institutional customers defer upgrades.

• Potential distributor friction
  Owning distribution (e.g., Star Distributing) can alienate independent distributors who might then favor competing OEMs in mixed territories.Alliance Distribution+1

Opportunities

• Deleveraging via IPO proceeds
  Using IPO funds to reduce leverage can free up cash flow for R&D, acquisitions, and marketing while lowering risk in a rising-rate environment.Reuters+2Financial Times+2

• ESG & efficiency tailwinds
  Regulation and customer focus on water, energy, and carbon footprints favor Alliance’s emphasis on high-efficiency washers and dryers and could justify premium pricing.Alliance Distribution+1

• Residential + commercial crossover
  Speed Queen’s “commercial-grade at home” pitch opens a hybrid growth path that leverages the brand’s commercial credibility in the consumer market.Alliance Laundry+1

• Global expansion and channel control
  Alliance can deepen its presence in Europe, Latin America, and Asia by expanding its brand suite and selectively acquiring distributors, mirroring moves like the Star Distributing deal in the U.S.Alliance Distribution+2Mordor Intelligence+2

Threats

• Raw material & trade volatility
  Alliance’s filings highlight steel and aluminum price swings and trade barriers as ongoing risks; these can squeeze margins or force price hikes that dampen demand.Reuters+1

• Intense competition
  Competitors like Whirlpool, Electrolux, Dexter, Continental Girbau and others remain aggressive in commercial laundry appliances.Mordor Intelligence+1

• Regulatory and ESG scrutiny
  As the “big public OEM,” Alliance becomes a visible target for scrutiny around environmental performance, labor practices, and supply chain resilience.

• IPO market sentiment and PE overhang
  BDT & MSD Partners retains a significant post-IPO stake; any future large secondary offerings could pressure the stock, and the market’s appetite for PE-backed IPOs is cyclical.Financial Times+1

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What this means if you’re in the laundromat/equipment game

If you’re building or upgrading laundromats or investing in the space, here’s how to interpret the moves:

1. Expect more professionalized, tech-driven counterparties.
   EVI is upgrading the “last mile” of design, install, and service with better systems and scale; Alliance is pushing more efficient, smarter machines. This will likely raise the bar for store design and operations — good for serious operators, tough for bare-bones shops.

2. Brand and channel strategy will matter more.

   • Alliance’s brands will remain hard to ignore in proposals, especially where financing and support are tied to OEM packages.

   • EVI-controlled distributors may flex across multiple OEMs to optimize packages — which can be a negotiating lever if you’re equipment-shopping.

3. Consolidation is your new normal.
   More acquisitions (by both EVI and Alliance) likely mean fewer, larger players in both equipment and distribution. That can deliver better support and financing options, but you’ll want to shop nationally and negotiate locally.

4. Green and efficient is not optional.
   Between utility costs and ESG/municipal rules, expect a steady retrofit cycle toward high-efficiency washers, dryers and control systems. Both EVI and Alliance are positioning to capture that spend.Global Market Insights Inc.+2Alliance Distribution+2

5. Balance sheets will shape strategy.

   • EVI’s relatively low net debt gives it room to keep rolling up distributors and investing in tech.EVI Industries, Inc.

   • Alliance’s IPO-funded deleveraging path will determine how aggressively it can pursue acquisitions and R&D versus just paying down debt.Reuters+1