NYSE$ROL

Rollins Inc. · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Rollins reported record revenues, driven by organic growth and strong performance across residential, commercial, and termite services.

Rollins, Inc. reported record second quarter revenues of $714.0 million, an 11.9% increase over the second quarter of 2021. Organic revenues increased by 8.7%. Net income for the quarter was $100.3 million, or $0.20 per diluted share, compared to $98.9 million, or $0.20 per diluted share, for the same period in 2021.

  • Record second quarter revenues of $714.0 million, up 11.9% year-over-year.
  • Organic revenues increased 8.7% to $693.6 million.
  • Net income increased to $100.3 million, or $0.20 per diluted share.
  • Residential, commercial, and termite services each experienced double-digit revenue percentage growth.

Headline financials

Total Revenue

$714M

Previous: $638M+11.9%
EPS (adj)

$0.20

Previous: $0.20+0.0%
Adjusted EBITDA

$159M

No prior period
Capital Expenditures

-$15.9M

Previous: -$13.2M-20.0%
Free Cash Flow

$84.4M

Previous: $85.6M-1.4%
Net Income

$100M

Previous: $98.9M+1.5%
Operating Income

$133M

Previous: $136M-2.6%
Gross Profit

-$361M

Previous: $340M-206.1%
Cash & Equivalents

$221M

Previous: $129M+71.9%
Total Assets

$2.17B

Previous: $1.92B+12.8%
Stock-Based Comp

$4.82M

Previous: $3.92M+22.9%

Revenue & EPS history

Rollins · Revenue · Quarterly

$714M

Q2 2022+11.9%vs Q2 2021
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Rollins · $560M total across 2 segments · Q2 2022

  • Residential Revenue
    $325M
  • Commercial Revenue
    $234M

Forward guidance

Rollins is well positioned for the remainder of 2022, with confidence in continued strategic growth and profitability.

Tailwinds

  • Strong level of commitment and drive towards taking care of our customers.
  • Confident in continued strategic growth.
  • Confident in continued profitability moving forward.

Headwinds

  • Failure to maintain and enhance our brands and develop a positive client reputation.
  • Our ability to protect our intellectual property and other proprietary rights that are material to our business and our brand recognition.
  • Actions taken by our franchisees, subcontractors or vendors that may harm our business.
  • General economic conditions.
  • The impact of the extent and duration of economic contraction related to COVID-19 on general economic activity for the remainder of 2022 and beyond.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

+0.3%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+1.6%

Avg return

30 days after

60%

41 / 68 earnings

Positive

+14.1%

Q3 2022

Best reaction

-11.5%

Q3 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.3%+0.8%-3.3%
Q4 2025-10.5%-8.4%-16.0%
Q3 2025+7.3%+10.7%+14.1%
Q1 2025+1.0%+2.6%+3.5%
Q4 2024+3.6%-0.2%+2.6%
Q3 2024-6.2%-4.6%+2.2%
Q2 2024-6.4%-4.7%+0.4%
Q1 2024+3.8%+5.0%+8.3%
Q4 2023-4.9%-6.4%+5.7%
Q3 2023+6.1%+9.5%+19.2%
Q2 2023-8.9%-8.9%-12.2%
Q1 2023+4.7%+3.9%-1.0%
Q4 2022+1.5%+1.9%+1.2%
Q3 2022+14.1%+17.1%+11.3%
Q2 2022+6.5%+8.0%-4.8%
Q1 2022+5.2%+1.5%+11.9%
Q4 2021-7.3%-1.3%+2.8%
Q3 2021-11.5%-13.0%-9.8%
Q2 2021+1.8%+3.7%+3.9%
Q1 2021+4.0%+5.1%-5.1%
Q4 2020-2.9%-2.2%-10.4%
Q3 2020-0.2%-1.9%-3.8%
Q2 2020+5.7%+8.4%+12.6%
Q1 2020-1.7%+0.0%+2.8%
Q4 2019+4.0%+4.8%+1.9%
Q3 2019+7.3%+5.6%-1.4%
Q2 2019-10.8%-11.2%-16.2%
Q1 2019-10.6%-11.1%-15.4%
Q4 2018-1.6%-2.7%+2.7%
Q3 2018+0.6%+1.7%+6.3%
Q2 2018+1.2%-1.6%+5.7%
Q1 2018-3.0%-4.3%-1.1%
Q4 2017+5.5%+4.9%+6.9%
Q3 2017-6.6%-8.3%-4.1%
Q2 2017+4.0%+4.3%+7.6%
Q1 2017+2.7%+2.8%+13.0%
Q4 2016+4.8%+3.8%+8.9%
Q3 2016+9.1%+9.5%+15.8%
Q2 2016-4.6%-3.3%-3.7%
Q1 2016+0.4%
Q4 2015-0.3%
Q3 2015-0.7%
Q2 2015+3.3%
Q1 2015-1.6%
Q4 2014+1.0%
Q3 2014+3.1%
Q2 2014+0.7%
Q1 2014+0.0%
Q4 2013+2.0%
Q3 2013+0.2%
Q2 2013-5.8%
Q1 2013+1.4%
Q4 2012+1.7%
Q3 2012+0.9%
Q2 2012+3.9%
Q1 2012+2.4%
Q4 2011-2.6%
Q3 2011-7.1%
Q2 2011-0.7%
Q1 2010-0.7%
Q1 2011+2.3%
Q4 2008+2.7%
Q4 2010+2.7%
Q3 2009-0.2%
Q3 2010-0.2%
Q2 2010+0.5%
Q2 2009+0.5%
Q4 2009+0.5%

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