Rollins, Inc.’s ROL first-quarter 2025 earnings met the Zacks Consensus Estimate, and revenues beat the same.
Adjusted earnings of 22 cents per share met the consensus estimate and increased 10% year over year. Revenues of $822.5 million topped the consensus mark by 0.8% and improved 9.9% year over year. Organic revenues of $804 million increased 7.4% year over year. Rollins’ performance in the quarter was positively impacted by a healthy demand environment for its services.
Rollins, Inc. price-consensus-eps-surprise-chart | Rollins, Inc. Quote
Rollins shares have risen 23.5% in the past year, underperforming the 24.4% growth of the industry.
Residential revenues increased 8.2% year over year to $356.3 million but missed our estimate of $365.3 million. Commercial revenues rose 10.2% year over year to $284.4 million and surpassed our estimate of $274.7 million. Termite and ancillary revenues increased 13.2% year over year to $172.1 million and beat our estimate of $156.4 million.
Adjusted EBITDA of $171.9 million increased 6.9% year over year. This compares to our expectation of an adjusted EBITDA of $182.9 million. The adjusted EBITDA margin of 20.9% decreased 60 basis points (bps) year over year compared with our expectation of an adjusted EBITDA margin of 22.7%.
Rollins exited the quarter with a cash and cash equivalent balance of $201.2 million compared with the prior-year quarter’s $113 million. Long-term debt at the end of the quarter was $485.5 million compared with $395.3 million at the end of the prior quarter.
The company generated $147 million in cash from operating activities in the quarter, and the capital expenditure was $6.8 million. Free cash flow came in at $140.1 million. ROL paid dividends worth $80 million in the quarter.
Currently, Rollins carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Fiserv, Inc. FI reported mixed first-quarter 2025 results. Earnings beat the Zacks Consensus Estimate, while revenues missed the mark.
FI’s adjusted earnings per share of $2.14 beat the consensus mark by 2.9% and gained 13.8% year over year. Adjusted revenues of $4.8 billion missed the consensus estimate by 1.6% but rose 5.5% on a year-over-year basis. (See the Zacks Earnings Calendar to stay ahead of market-making news.)
The Interpublic Group of Companies, Inc. IPG reported mixed first-quarter 2025 results. Earnings topped the Zacks Consensus Estimate, while revenues missed the mark.
IPG’s adjusted earnings of 33 cents per share surpassed the Zacks Consensus Estimate by 10% but decreased 8.3% from the year-ago quarter. Revenues before billable expenses (net revenues) of $2 billion missed the consensus estimate by a slight margin and declined 20% year over year. Total revenues of $2.3 billion decreased 7.2% year over year but outpaced the Zacks Consensus Estimate of $2 billion.
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