ROLLINS, INC. ATLANTA, Oct. 28, 2015 /PRNewswire/ -- Rollins, Inc. (NYSE: ROL), a premier global consumer and commercial services company, today reported unaudited financial results for its third quarter and nine months ended September 30, 2015.
The Company recorded third quarter revenues of $399.7 million, an increase of 3.9% over the prior year's third quarter of $384.9 million. Net income increased 9.5% to $45.0 million or $0.21 per diluted share for the third quarter ended September 30, 2015 compared to $41.1 million or $0.19 per diluted share for the same period in 2014.
Rollins' revenues rose 5.2% for the first nine months of 2015 to $1.123 billion compared to $1.068 billion for the prior year. Net income for the first nine months of 2015 was $120.4 million, an increase of 11.7%, or $0.55 per diluted share compared to $107.7 million or $0.49 per diluted share for the same period last year.
Gary W. Rollins, Vice Chairman and Chief Executive Officer of Rollins, Inc. stated, "This quarter reflects a record performance in revenue and profits. Our revenue growth reflects contributions from all of our businesses. As you would expect, we are pleased with the results from our operational initiatives and their impact on customer and employee retention, as well as the bottom line."
Mr. Rollins concluded, "Our progress in the first nine months of this year has been solid and we are on target to meet our business objectives for the year. Our focus is squarely on providing a great job for our employees, excellent service to our customers and solid earnings improvement for our shareholders. We remain confident in our strategy and action plans, and are working hard to grow the business both organically and through strategic acquisitions."
Rollins, Inc. is a premier global consumer and commercial services company. Through its wholly owned subsidiaries, Orkin LLC., HomeTeam Pest Defense, Orkin Canada, Western Pest Services, Critter Control, Inc., The Industrial Fumigant Company, TruTech LLC., Rollins Australia, Waltham Services LLC., PermaTreat, and Crane Pest Control, the Company provides essential pest control services and protection against termite damage, rodents and insects to more than two million customers in the United States, Canada, Central America, South America, the Caribbean, the Middle East, Asia, the Mediterranean, Europe, Africa, Mexico, and Australia from more than 700 locations. You can learn more about our subsidiaries by visiting our web sites at www.orkin.com, www.pestdefense.com, www.orkincanada.ca, www.westernpest.com, www.crittercontrol.com, www.indfumco.com, www.trutechinc.com, www.allpest.com.au, www.walthamservices.com, www.permatreat.com, www.cranepestcontrol.com, and www.rollins.com. You can also find this and other news releases at www.rollins.com by accessing the news releases button.
CAUTION CONCERNING FORWARD-LOOKING STATEMENTS
This release contains statements that constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements about the Company's being on target to meet its business objectives for the year; intent to provide a good job for all of its employees, great service to customers and solid earnings improvement for shareholders; and confidence in its strategy and action plans. The actual results of the Company could differ materially from those indicated by the forward-looking statements because of various risks and uncertainties, including without limitation, economic and competitive conditions which may adversely affect the Company's business; the degree of success of the Company's pest and termite process, and pest control selling and treatment methods; the Company's ability to identify and integrate potential acquisitions; climate and weather trends; competitive factors and pricing practices; the Company's ability to attract and retain skilled workers, and potential increases in labor costs; uncertainties of litigation; and changes in various government laws and regulations, including environmental regulations. All of the foregoing risks and uncertainties are beyond the ability of the Company to control, and in many cases the Company cannot predict the risks and uncertainties that could cause its actual results to differ materially from those indicated by the forward-looking statements. A more detailed discussion of potential risks facing the Company can be found in the Company's Report on Form 10-K filed with the Securities and Exchange Commission for the year ended December 31, 2014.
ROLLINS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
(in thousands)
At September 30, (unaudited) 2015 2014
--------------------------- ---- ----
ASSETS
Cash and cash equivalents $134,310 $114,216
Trade accounts receivables, net 90,782 87,755
Financed receivables, net 14,211 12,867
Materials and supplies 12,964 12,526
Deferred income taxes, net 42,141 42,280
Other current assets 24,695 17,701
Total Current Assets 319,103 287,345
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Equipment and property, net 115,731 101,986
Goodwill 248,792 250,540
Customer contracts and other intangible
assets, net 142,640 150,286
Deferred income taxes, net 8,308 -
Financed receivables, long-term, net 14,217 12,276
Prepaid pension - 10,533
Other assets 13,548 13,668
Total Assets $862,339 $826,634
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LIABILITIES
Accounts payable $21,092 $26,293
Accrued insurance, current 31,192 25,024
Accrued compensation and related
liabilities 74,138 72,074
Unearned revenue 105,725 104,296
Other current liabilities 32,727 40,170
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Total Current Liabilities 264,874 267,857
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Accrued insurance, less current portion 21,866 30,472
Accrued pension 24,538 493
Deferred income taxes, net - 397
Long-term accrued liabilities 31,631 36,402
------ ------
Total Liabilities 342,909 335,621
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STOCKHOLDERS' EQUITY
Common stock 218,591 218,289
Retained earnings and other equity 300,839 272,724
Total stockholders' equity 519,430 491,013
------- -------
Total Liabilities and Stockholders' Equity $862,339 $826,634
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ROLLINS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(in thousands except per share data)
(unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
------------- -------------
2015 2014 2015 2014
---- ---- ---- ----
REVENUES
Customer services $399,746 $384,870 $1,122,805 $1,067,615
COSTS AND EXPENSES
Cost of services provided 195,489 188,810 553,741 532,760
Depreciation and amortization 11,156 11,437 33,182 32,259
Sales, general and
administrative 121,944 118,765 346,141 330,349
Gain on sale of assets, net (1,255) (86) (1,504) (564)
Interest (income)/expense, net (21) 24 (134) (138)
327,313 318,950 931,426 894,666
INCOME BEFORE INCOME TAXES 72,433 65,920 191,379 172,949
PROVISION FOR INCOME TAXES 27,387 24,799 70,979 65,202
NET INCOME $45,046 $41,121 $120,400 $107,747
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NET INCOME PER SHARE -BASIC
AND DILUTED $0.21 $0.19 $0.55 $0.49
===== ===== ===== =====
Weighted average shares
outstanding -basic and
diluted 218,594 218,700 218,583 218,832
CONFERENCE CALL ANNOUNCEMENT
Rollins, Inc.
(NYSE: ROL)
Management will hold a conference call to discuss
Third Quarter and Nine Months 2015 results on
Wednesday, October 28, 2015 at:
-------------------------------
10:00 a.m. Eastern
9:00 a.m. Central
8:00 a.m. Mountain
7:00 a.m. Pacific
TO PARTICIPATE:
Please dial 888-632-3382 domestic;
785-424-1677 international
at least 5 minutes before start time.
-------------------------------------
REPLAY: available through November 4, 2015
Please dial 888-203-1112/719-457-0820, Passcode: 212739
THIS CALL CAN ALSO BE ACCESSED THROUGH THE INTERNET AT
www.viavid.com
Questions?
Contact Samantha Alphonso at Financial Relations Board at
212-827-3746
Or email to salphonso@mww.com
For Further Information Contact
Eddie Northen (404) 888-2242
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SOURCE Rollins, Inc.
