NYSE$UNF

UniFirst Corporation · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

UniFirst's financial performance in Q2 2020 showed revenue growth but a decrease in operating income due to higher costs, though adjusted figures showed improvements when excluding a prior-year settlement gain.

UniFirst Corporation reported a 6.2% increase in consolidated revenues for the second quarter of fiscal 2020, reaching $464.6 million. However, operating income decreased by 29.3% to $44.1 million, and net income decreased to $34.7 million. Excluding the effect of a prior-year CRM settlement, operating income, net income, and diluted earnings per share increased.

  • Consolidated revenues increased by 6.2% to $464.6 million.
  • Operating income decreased by 29.3% to $44.1 million, but increased by 6.8% excluding a prior-year CRM settlement.
  • Net income decreased to $34.7 million, but increased by 8.2% from prior year’s adjusted net income.
  • Diluted earnings per share decreased to $1.82, but increased 9.0% from prior year’s adjusted amount.

Headline financials

Total Revenue

$465M

Previous: $437M+6.2%
EPS (adj)

$1.82

Previous: $1.67+9.0%
Capital Expenditures

-$62.3M

No prior period
Free Cash Flow

-$27.6M

Previous: $47.6M-158.0%
Net Income

$34.7M

Previous: $47.6M-27.2%
Operating Income

$44.1M

Previous: $62.4M-29.3%
Gross Profit

$163M

Previous: $156M+4.7%
Cash & Equivalents

$395M

No prior period

Revenue & EPS history

UniFirst · Revenue · Quarterly

$465M

Q2 2020+6.2%vs Q2 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

UniFirst · $634M total across 3 segments · Q3 2026

  • Uniform & Facility Service Solutions
    $576M
  • First Aid & Safety Solutions
    $30.8M
  • Other
    $27.8M

Forward guidance

Due to the evolving pandemic, the company is not providing guidance for the remainder of fiscal 2020, expecting a negative impact on revenues and profitability.

Headwinds

  • The company's ability to assess the financial impact on our business remains limited due to the evolving pandemic.
  • The company expects the disruption related to this pandemic will clearly have a negative impact on our revenues and profitability.
  • The company also expects that if sustained for an extended period, the sharp decline in oil prices as well as the decline in the Canadian exchange rate will further challenge our performance.
  • Sharp decline in oil prices will further challenge our performance.
  • Decline in the Canadian exchange rate will further challenge our performance.

Historical earnings impact

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

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

-0.3%

Avg return

Earnings day

-0.5%

Avg return

5 days after

+1.9%

Avg return

30 days after

45%

30 / 66 earnings

Positive

+11.6%

Q2 2018

Best reaction

-11.8%

Q4 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026
Q2 2026+0.9%-1.3%
Q1 2026-3.3%-0.8%-0.9%
Q4 2025-6.0%-0.2%-2.4%
Q3 2025-2.4%-1.5%-1.9%
Q2 2025+1.0%-6.3%+2.6%
Q1 2025+7.8%+10.7%+7.2%
Q4 2024-0.4%-2.1%+5.4%
Q3 2024+11.0%+11.1%+23.8%
Q2 2024+3.8%+1.4%-1.7%
Q1 2024-9.5%-8.2%-3.5%
Q4 2023-0.8%-0.4%+4.4%
Q3 2023-6.3%-7.0%-6.1%
Q2 2023-10.2%-10.8%-15.3%
Q1 2023+5.3%+5.9%+7.9%
Q4 2022-3.4%-1.5%+11.4%
Q3 2022+6.7%+6.9%+21.4%
Q2 2022-3.2%-7.7%-9.5%
Q1 2022-5.8%-7.9%-14.5%
Q4 2021-6.3%-5.7%-8.8%
Q3 2021-6.4%-6.3%-9.9%
Q2 2021+1.2%-0.1%+0.9%
Q1 2021+4.9%+3.0%+7.9%
Q4 2020-11.8%-15.1%-1.2%
Q3 2020-2.0%-2.7%+4.2%
Q2 2020-7.7%-0.6%+9.8%
Q1 2020+2.0%+4.9%-0.9%
Q4 2019+4.5%+5.2%+5.9%
Q3 2019+11.3%+12.7%+17.0%
Q2 2019+10.8%+12.1%+12.7%
Q1 2019-6.6%-4.7%-4.6%
Q4 2018-8.1%-7.4%-8.4%
Q3 2018-2.5%-0.2%+1.8%
Q2 2018+11.6%+6.9%+10.4%
Q1 2018+4.3%+2.3%-2.8%
Q4 2017+0.2%+0.5%-1.0%
Q3 2017+0.9%+3.0%+2.7%
Q2 2017+3.7%+1.0%+2.3%
Q1 2017-6.9%-8.5%-11.6%
Q4 2016-9.1%-9.0%+7.3%
Q3 2016+9.7%+8.8%+10.8%
Q2 2016-3.3%
Q1 2016+0.3%
Q4 2015-5.1%
Q3 2015+4.7%
Q2 2015+3.8%
Q1 2015-0.7%
Q4 2014-1.3%
Q3 2014-2.1%
Q2 2014-5.2%
Q1 2014-1.4%
Q4 2013-0.8%
Q3 2013+2.8%
Q2 2013-1.3%
Q1 2013+8.4%
Q4 2012+0.2%
Q3 2012+0.3%
Q2 2012-2.6%
Q1 2012+1.8%
Q4 2011-0.3%
Q4 2009-0.3%
Q4 2010-0.3%
Q3 2011+1.3%
Q2 2011-0.1%
Q1 2011-5.5%
Q3 2010+3.0%
Q2 2010+0.1%

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