UniFirst Corporation announced its revenues and earnings for its second quarter and first half of fiscal 2007 which ended February 24, 2007.
Revenues were a record $222.4 million and $444.7 million for the second quarter and first half of fiscal 2007, respectively. These revenues represent an increase of 10.0% and 10.8%, respectively, from the $202.2 million and $401.5 million in the comparable 2006 periods.
Second quarter net income was $7.0 million, or $0.36 per diluted common share, compared to last year's second quarter net income of $6.3 million, or $0.33 per diluted common share. Net income for the first six months of fiscal 2007 was $20.7 million, or $1.07 per diluted common share, compared to $17.7 million, or $0.92 per diluted common share for the comparable period in 2006.
The Company's second quarter and six month earnings were affected by severance expense related to the departure of the Company's Senior Vice President of Sales and Marketing as well as by adjustments made to the Company's environmental reserves.
These combined to decrease the Company's income from operations and net income by approximately $2.3 million and $1.4 million, respectively. Without these adjustments, the Company's diluted earnings per share for the second quarter and the first six months of fiscal 2007 would have been $0.43 and $1.14, respectively.
Excluding the items discussed above, income from operations from the Company's core laundry business, which excludes the Company's Specialty Garments and First Aid segments, increased 20.9% and 15.8% in the second quarter and six month periods as compared to fiscal 2006. These increases were the result of revenue growth of 10.0% and 10.2% in the second quarter and six month periods, respectively, as well as lower operating costs as a percentage of revenues.
marketing@alchempro.com
