Rollins Inc (ROL) SEC Filing 10-Q Quarterly report for the period ending Sunday, September 30, 2018

Exhibit 99.1

 

	For Further Information Contact
	Eddie Northen (404) 888-2242

 

 

FOR IMMEDIATE RELEASE

 

 

ROLLINS, INC. REPORTS THIRD QUARTER AND NINE MONTHS 2018 FINANCIAL RESULTS

Company posts 50^th consecutive quarter of improved revenues and earnings

ATLANTA, GEORGIA, October 24, 2018:

Rollins, Inc. (NYSE:ROL), a premier global consumer and commercial services company, reported unaudited financial results for its third quarter and nine months ended September 30, 2018.

 

The Company recorded third quarter revenues of $487.7 million, an increase of 8.3% over the prior year’s third quarter revenue of $450.4 million. Rollins’ net income increased 29.6% to $66.6 million or $0.31 per diluted share for the third quarter ended September 30, 2018, compared to $51.4 million or $0.24 per diluted share for the same period in 2017.

 

Rollins’ revenues rose 9.3% for the first nine months of 2018 to $1.377 billion compared to $1.259 billion for the prior year. Net income for the first nine months of 2018 was $180.7 million or $0.83 per diluted share, an increase of 24.3%, or $0.16 per diluted share compared to $145.4 million or $0.67 per diluted share for the same period last year.

 

Gary W. Rollins, Vice Chairman and Chief Executive Officer of Rollins, Inc. stated, “We are pleased to have completed our 50^th consecutive quarter of improved revenue and earnings. The weather in some of the eastern U.S. was very challenging; however, our people took extreme measures to provide services to most of those customers impacted. We are so proud of our team and their willingness to go the extra mile.

 

On August 10, we celebrated our company's 50^th year on the New York Stock Exchange. This was an especially historic occasion since our Chairman, R. Randall Rollins, and Lead Director, Henry B. Tippie were on hand at the initial listing, and for this anniversary. I want to thank them, our employees and shareholders for their support and contribution to our success during those past 50 years.”

 

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, Northwest Exterminating, Critter Control, Inc., The Industrial Fumigant Company, Trutech LLC., Orkin Australia, Waltham Services LLC., OPC Pest Services, PermaTreat, Rollins UK, Aardwolf Pestkare, 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 Rollins and its subsidiaries by visiting our web sites at www.orkin.com, www.pestdefense.com, www.orkincanada.ca, www.westernpest.com, www.callnorthwest.com, www.crittercontrol.com, www.indfumco.com, www.trutechinc.com, www.orkinau.com, www.allpest.com.au, www.walthamservices.com, www.opcpest.com, www.permatreat.com, www.cranepestcontrol.com, www.murraypestcontrol.com.au, www.statewidepestcontrol.com.au, www.safeguardpestcontrol.co.uk, www.aardwolfpestkare.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. 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, 2017.

 

ROL-Fin

 

 

 

ROLLINS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
(in thousands)

At September 30, (unaudited)		2018				2017
ASSETS
Cash and cash equivalents		$	118,652			$	113,396
Trade accounts receivables, net			122,375				110,325
Financed receivables, net			20,384				17,208
Materials and supplies			16,093				15,380
Other current assets			25,576				26,617
Total Current Assets			303,080				282,926
Equipment and property, net			136,857				132,865
Goodwill			365,480				372,924
Customer contracts			185,477				141,385
Trademarks & Tradenames			53,850				35,196
Other intangible assets, net			11,587				10,777
Financed receivables, long-term, net			26,882				18,995
Deferred income taxes, net			5,863				32,491
Prepaid pension			19,522				—
Other assets			20,975				18,968
Total Assets		$	1,129,573			$	1,046,527
LIABILITIES
Accounts payable		$	29,991			$	36,195
Accrued insurance, current			27,722				27,830
Accrued compensation and related liabilities			73,829				75,087
Unearned revenue			123,916				118,950
Other current liabilities			53,923				50,724
Total Current Liabilities			309,381				308,786
Accrued insurance, less current portion			33,883				34,014
Accrued pension			58				1,759
Long-term accrued liabilities			51,493				51,529
Total Liabilities			394,815				396,088
STOCKHOLDERS’ EQUITY
Common stock			218,212				217,975
Retained earnings and other equity			516,546				432,464
Total stockholders’ equity			734,758				650,439
Total Liabilities and Stockholders’ Equity		$	1,129,573			$	1,046,527

 

 

 

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,
		2018				2017				2018				2017
REVENUES
Customer services		$	487,739			$	450,442			$	1,376,942			$	1,259,244
COSTS AND EXPENSES
Cost of services provided			236,287				218,781				673,202				612,424
Depreciation and amortization			16,867				14,313				50,149				41,630
Sales, general and administrative			145,072				134,932				414,938				379,753
Gain on sale of assets, net			(314	)			(66	)			(678	)			(179	)
Interest expense / (income), net			(63	)			(79	)			70				(342	)
			397,849				367,881				1,137,681				1,033,286
INCOME BEFORE INCOME TAXES			89,890				82,561				239,261				225,958
PROVISION FOR INCOME TAXES			23,262				31,131				58,566				80,569
NET INCOME		$	66,628			$	51,430			$	180,695			$	145,389
NET INCOME PER SHARE - BASIC AND DILUTED		$	0.31			$	0.24			$	0.83			$	0.67
Weighted average shares outstanding - basic and diluted			218,214				217,988				218,188				217,987

 

 

 

 

 

(( CONFERENCE CALL ANNOUNCEMENT ((

Rollins, Inc.

(NYSE: ROL)

 

Management will hold a conference call to discuss

Third Quarter 2018 results on

 

 

TO PARTICIPATE:

Please dial 855-719-5012 domestic;

334-323-0522 international
at least 5 minutes before start time.

 

REPLAY: available through October 31, 2018

Please dial 888-203-1112/719-457-0820, Passcode 2143746

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

 

 

 

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The following information was filed by Rollins Inc (ROL) on Wednesday, October 24, 2018 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.