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UniFirst
🇺🇸 NYSE:UNF
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Feb 24, 2024

UniFirst Q2 2024 Earnings Report

UniFirst's financial performance for Q2 2024 showed revenue growth and increased profitability.

Key Takeaways

UniFirst Corporation reported an 8.8% increase in consolidated revenues, reaching $590.7 million for the second quarter of fiscal 2024. Operating income increased by 34.9% to $27.9 million, and net income rose by 14.9% to $20.5 million, with diluted earnings per share increasing to $1.09.

Consolidated revenues increased by 8.8% to $590.7 million.

Operating income increased by 34.9% to $27.9 million.

Net income increased by 14.9% to $20.5 million.

Diluted earnings per share increased by 14.7% to $1.09.

Total Revenue
$591M
Previous year: $543M
+8.8%
EPS
$1.22
Previous year: $1.39
-12.2%
Core Laundry Op Margin
3.6%
Adjusted EBITDA
$64.8M
Core Laundry Adj EBITDA Margin
10.3%
Gross Profit
$159M
Cash and Equivalents
$90.5M
Previous year: $244M
-62.9%
Free Cash Flow
$27.2M
Total Assets
$2.62B
Previous year: $2.45B
+6.8%

UniFirst

UniFirst

UniFirst Revenue by Segment

Forward Guidance

The company expects revenues for fiscal year 2024 to be between $2.415 billion and $2.425 billion, and fully diluted earnings per share to be between $6.80 and $7.16.

Positive Outlook

  • Core Laundry Operations’ operating and EBITDA margins at the midpoint of the range of 6.5% and 12.6%, respectively.
  • An effective tax rate of 25.0%.
  • Guidance includes one extra week of operations compared to fiscal 2023
  • Expect revenues for fiscal year 2024 to be between $2.415 billion and $2.425 billion
  • Expect fully diluted earnings per share to be between $6.80 and $7.16

Challenges Ahead

  • A revised estimate of $12.0 million of costs directly attributable to our Key Initiatives that will be expensed in fiscal 2024 and will decrease both the Core Laundry Operations’ operating and EBITDA margins by 0.6%.
  • No impact from any future share buybacks
  • No impact from unexpected significantly adverse economic developments.
  • Uncertainties caused by an economic recession or other adverse economic conditions
  • Disruptions of our business and operations, including limitations on, or closures of, our facilities, or the business and operations of our customers or suppliers in connection with extraordinary events or circumstances such as the COVID-19 pandemic

Revenue & Expenses

Visualization of income flow from segment revenue to net income

Company Overview

Full financial data and analysis

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