Rollins Shares Drop Post Q2 Results; Reveals CEO Succession Plan

  • Rollins, Inc. ROL reported second-quarter FY22 sales growth of 11.9% year-over-year to $714.05 million, +8.7% on an organic basis, beating the consensus of $686.33 million.
  • Rollins' residential, commercial, and termite and ancillary services each experienced double-digit revenue percentage growth.
  • Adjusted EPS was $0.20, in line with the consensus of $0.20.
  • The operating income decreased 0.45% Y/Y to $132.96 million, and the margin contracted by 231 bps to 18.6%.
  • Adjusted EBITDA was $159.19 million (+1.2% Y/Y), and the margin contracted by 235 bps to 22.3%.
  • Rollins generated cash from operating activities year-to-date of $214.82 million, compared to $219.21 million a year ago. Free cash flow was $198.94 million.
  • Rollins held cash and equivalents of $220.96 million as of June 30, 2022.
  • Separately, Rollins announced its long-term leadership succession plan, effective January 1, 2023.
  • The company's current President and COO, Jerry Gahlhoff Jr., will become President and CEO.
  • Current Chairman and CEO Gary W. Rollins is expected to remain Chairman of the Board of Directors.
  • Price Action: ROL shares are trading lower by 5.16% at $34.35 on the last check Wednesday.
Market News and Data brought to you by Benzinga APIs
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsNewsManagementMoversTrading IdeasBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!