Rollins, Inc. Reports Fourth Quarter And Full Year 2013 Record Financial Results

Company posts 31st consecutive quarter of improved earnings results

Jan 29, 2014, 07:30 ET from Rollins, Inc.

ATLANTA, Jan. 29, 2014 /PRNewswire/ --            

  • Revenue increased 6.0% for the quarter and 5.2% for full year
  • Net income up 22.0% for the quarter and 10.8% for the full year
  • Earnings per diluted share rose 18.8% for the quarter to $0.19 from $0.16, and up 10.5% to $0.84 from $0.76 for the full year

Rollins, Inc. (NYSE: ROL), a premier global consumer and commercial services company, today reported strong unaudited financial results for its fourth quarter and year ended December 31, 2013. 

The Company recorded fourth quarter revenues of $324.7 million, an increase of 6.0% over the prior year's fourth quarter revenue of $306.4 million.  Net income increased 22.0% to $28.0 million or $0.19 per diluted share for the fourth quarter ended December 31, 2013, compared to $22.9 million or $0.16 per diluted share for the same period in 2012. 

Rollins' revenues for the full year rose 5.2% to $1.337 billion compared to $1.271 billion for the prior year.  Rollins' net income for the full year rose 10.8% to $123.3 million, or $0.84 per diluted share, compared to net income of $111.3 million, or $0.76 per diluted share for the same period last year.

Gary W. Rollins, Vice Chairman and Chief Executive Officer of Rollins, Inc. stated, "Once again, the Rollins group of leading pest control companies has achieved our major financial objectives for 2013.  These results reflect the execution of our strategic programs that were designed to accelerate our sales, while improving productivity and profit margins."

Mr. Rollins, concluded, "We are thankful and very proud of our people who made 2013 successes possible and who now are clearly focused on achieving our Company's 2014 objectives."

Rollins Inc. is a premier global consumer and commercial services company. Through its wholly owned subsidiaries, Orkin LLC., HomeTeam Pest Defense, Western Pest Services, Orkin Canada, The Industrial Fumigant Company, Waltham Services LLC., Crane Pest Control and Trutech LLC., the company provides essential pest control services and protection against termite damage, rodents and insects to more than 2 million customers in the United States, Canada, Central America, South America, the Caribbean, the Middle East, Asia, the Mediterranean, Europe, Africa and Mexico from more than 500 locations. You can learn more about our subsidiaries by visiting our web sites at www.orkin.com, www.pestdefense.com, www.westernpest.com, www.orkincanada.ca, www.indfumco.com, www.walthamservices.com, www.cranepestcontrol.com, www.trutechinc.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 our focus on achieving the Company's 2014 objectives. 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, 2012.

For Further Information Contact Harry J. Cynkus (404) 888-2922

 

ROLLINS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(in thousands)

At December 31, (unaudited)

2013

2012

ASSETS

Cash and cash equivalents

$               118,216

$                    65,082

Trade accounts receivables, net

72,849

68,920

Financed receivables, net 

12,220

11,823

Materials and supplies

12,251

11,847

Deferred income taxes, net

39,518

33,338

Other current assets

19,388

14,982

Total Current Assets

274,442

205,992

Equipment and property, net

87,215

82,263

Goodwill 

211,847

212,477

Customer contracts and other intangible assets, net

128,569

141,789

Deferred income taxes, net

4,544

26,841

Financed receivables, long-term, net

11,608

11,681

Prepaid Pension

7,113

-

Other assets

13,879

11,463

    Total Assets

$               739,217

$                  692,506

LIABILITIES

Accounts payable

$                  23,194

$                    24,854

Accrued insurance, current

25,631

24,164

Accrued compensation and related liabilities

66,175

60,042

Unearned revenue

91,014

87,753

Other current liabilities

29,778

31,603

Total Current Liabilities

235,792

228,416

Accrued insurance, less current portion

28,245

31,283

Accrued pension

691

43,271

Long-term accrued liabilities

36,234

34,580

Total Liabilities

300,962

337,550

STOCKHOLDERS' EQUITY

Common stock

145,864

146,015

Retained earnings and other equity

292,391

208,941

Total stockholders' equity

438,255

354,956

Total Liabilities and Stockholders' Equity

$               739,217

$                  692,506

 

ROLLINS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(in thousands except per share data)

(unaudited)

Fourth Quarter Ended

Twelve Months Ended

December 31,

December 31,

2013

2012

2013

2012

REVENUES

Customer services

$    324,707

$      306,393

$ 1,337,374

$   1,270,909

COSTS AND EXPENSES

Cost of services provided

167,357

163,025

678,459

647,578

Depreciation and amortization

9,833

9,810

39,571

38,655

Sales, general and administrative

106,362

98,040

428,288

407,488

(Gain)/loss on sales/impairment of assets, net

81

(432)

(165)

(468)

Pension settlement loss

-

1,000

-

1,000

Interest (income)/expense

(112)

(76)

(385)

14

283,521

271,367

1,145,768

1,094,267

INCOME BEFORE INCOME TAXES

41,186

35,026

191,606

176,642

PROVISION FOR INCOME TAXES

13,229

12,112

68,276

65,310

NET INCOME

$      27,957

$       22,914

$    123,330

$      111,332

NET INCOME PER SHARE - BASIC

$          0.19

$           0.16

$          0.84

$           0.76

NET INCOME PER SHARE - DILUTED

0.19

0.16

$          0.84

$           0.76

Weighted average shares outstanding - basic

145,872

146,028

146,081

146,299

Weighted average shares outstanding - diluted

145,872

146,029

146,081

146,306

CONFERENCE CALL ANNOUNCEMENT Rollins, Inc. (NYSE: ROL)


Management will hold a conference call to discuss
Fourth Quarter and Full-Year 2013 results on:

Wednesday, January 29, 2014 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 877-941-9205 domestic;
480-629-9771 international
at least 5 minutes before start time.

REPLAY: available through February 5, 2014
Please dial 800-406-7325/303-590-3030, Passcode: 4660653
THIS CALL CAN ALSO BE ACCESSED THROUGH THE INTERNET AT
www.viavid.net

Questions?
Contact Samantha Alphonso at Financial Relations Board at 212-827-3746
Or email to salphonso@mww.com

SOURCE Rollins, Inc.



RELATED LINKS

http://www.rollins.com