UniFirst reported earnings per share of $1.98 for the first quarter ended November 29, 2025, falling short of analysts’ $2.05 estimate. Revenue, however, came in at $621.3 million, surpassing expectations of $614.7 million and marking 2.7% year-over-year growth driven by organic expansion in its Uniform & Facility Service Solutions segment. Net income declined to $34.4 million from $43.1 million a year earlier, while diluted earnings per share decreased to $1.89 from $2.31.

Operating margin contracted to 7.3% from 9.2% in the prior year period as UniFirst accelerated investments in new customer acquisition, digital transformation and its enterprise resource planning project. Adjusted EBITDA margin declined to 13.3% from 15.5%, reflecting $2.3 million of project-related costs that reduced operating income and adjusted EBITDA by approximately 40 basis points each. First Aid & Safety Solutions revenues rose 15.3% to $30.2 million but generated an operating loss of $0.4 million as the company builds scale in that segment.

UniFirst ended the quarter with $129.5 million in cash, no long-term debt, a low debt-to-equity ratio of 0.036 and a current ratio of 3.31, underscoring ample liquidity. The company repurchased $31.7 million of shares in Q1 and affirmed full-year consolidated revenue guidance of $2.475–$2.495 billion and diluted earnings per share between $6.58 and $6.98. Management highlighted that ongoing investments are designed to drive long-term margin improvement and sustain organic growth through enhanced customer retention and service innovation.