- Aramark ARMK reported first-quarter FY22 sales growth of 44% year-on-year, to $3.95 billion, beating the analyst consensus of $3.80 billion.
- Organic revenue improved 41% Y/Y with growth in all segments.
- The revenue in the FSS U.S. segment rose 68% Y/Y, FSS International increased 26%, and Uniform & Career Apparel climbed 8%.
- Adjusted EPS of $0.22 met the analyst consensus estimate.
- The adjusted operating margin was 4.3% on a constant-currency basis, and the adjusted operating income for the quarter was $166.5 million.
- The company held $415.5 million in cash and equivalents as of December 31, 2021.
- Net cash used by operating activities amounted to $503 million, and free cash flow was a use of $569 million.
- The company's quarterly dividend of $0.11 per share is payable on March 2, 2022, to stockholders of record on February 16, 2022.
- Outlook: Aramark maintained its FY22 performance expectations, with 23% - 27% organic revenue growth.
- Price Action: ARMK shares closed higher by 2.29% at $36.58 on Monday.
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