UniFirst Q4 revenue beats estimates on uniform segment growth
UNF•UniFirst's fiscal fourth-quarter revenue rose 5% year over year to $645.005 million, beating the $634.41 million analyst estimate. Net income was $34.73 million, and results included $14.4 million in merger-related costs and $2.8 million in ERP project expenses.
1. Revenue and segment growth
UniFirst's fiscal fourth-quarter revenue increased 5% year over year to $645.005 million, above the $634.41 million consensus estimate from three analysts. Growth was primarily driven by organic growth in its Uniform & Facility Service Solutions segment.
2. Costs and guidance
Adjusted EBITDA increased year over year, while operating income declined. Lower merchandise and selling costs supported margins, partly offset by higher production and healthcare claims expenses. Results were negatively affected by $14.4 million in merger-related costs and $2.8 million in ERP project expenses. UniFirst is no longer providing financial guidance due to its pending merger with Cintas.
