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ROLLINS, INC. REPORTS FOURTH QUARTER AND FULL YEAR 2017 RECORD FINANCIAL RESULTS
January 24, 2018
Company posts 47th consecutive quarter of improved revenues and earnings
- Revenue increased 7.5% for the quarter and 6.4% for full year
- Fourth quarter net income of $33.7 million, or $0.15 per diluted share
- Fourth quarter net income of $45.3 million, or $0.21 per diluted share excluding significant items
- Full year net income of $179.1 million, or $0.82 per diluted share
- Full year net income of $190.7 million, or $0.87 per diluted share excluding significant items
ATLANTA, Jan. 24, 2018 /PRNewswire/ -- Rollins, Inc. (NYSE: ROL), a premier global consumer and commercial services company, reported strong unaudited financial results for its fourth quarter and year ended December 31, 2017.
On December 22, 2017, the Tax Cuts & Jobs Act ("TCJA") was signed into law. The fourth quarter 2017 and full year 2017 results reflect the estimated negative impact of the enactment of the TCJA, which resulted in an $11.6 million decrease in net income, ($8.0 million from transition tax on foreign earnings, $2.9 million from the revaluation of deferred tax assets, and $0.7 million from reductions in tax benefits on stock compensation). This resulted in a $0.06 per diluted share decrease in net income for the quarter and $0.05 per diluted share decrease for the year. Net income and diluted earnings per share excluding significant items are non-GAAP financial measures. Management believes these measures help investors understand the effect of these on reported results.
The Company recorded fourth quarter revenues of $414.7 million, an increase of 7.5% over the prior years fourth quarter revenue of $385.6 million. Rollins reported net income of $33.7 million or $0.15 per diluted share. Excluding significant items Rollins' net income increased 19.2% to $45.3 million or $0.21 per diluted share for the fourth quarter ended December 31, 2017, compared to $38.0 million or $0.17 per diluted share for the same period in 2016.
For the full-year ended December 31, 2017, Rollins' revenues rose 6.4% to $1.674 billion compared to $1.573 billion for the prior year. The Company reported net income of $179.1 million. Excluding significant items Rollins' net income for the year rose 13.9% to $190.7 million, or $0.87 per diluted share, compared to net income of $167.4 million, or $0.77 per diluted share last year.
Gary W. Rollins, Vice Chairman and Chief Executive Officer of Rollins, Inc. stated, "We are pleased to have delivered solid financial results for the fourth quarter and for the year. These results reflect the underlying strength of our business and our initiatives that have benefitted our customers, employees, and shareholders."
Mr. Rollins concluded, "Our strong balance sheet has allowed us to continue to make strategic acquisitions. Northwest Exterminating has been a great addition to our Company and we are extremely pleased with the contributions that they have made to our revenues and profits. We look forward to all of our acquisitions having a significant role in the company going forward."
Eddie Northen, Vice President, Chief Financial Officer and Treasurer of Rollins, Inc. stated, "For Fiscal 2018, we believe the Tax Cuts & Jobs Act will result in an all-in book tax rate for the Company in the mid 20 percent range. Our first quarter 2018 will have the additional tax benefit from share-based compensation, further reducing that quarter's tax rate.
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., Rollins Australia, Waltham Services LLC., PermaTreat, Rollins UK, 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.
http://www.rollins.com/news/2018/01-24-2018-123055309
