UniFirst misses Q4 profit expectations
UniFirst Corp. (NYSE: UNF) shares are down after the uniform provider announced that its fourth quarter net income missed analyst projections. Fourth-quarter profit increased to $10.8 million, or $0.56 per share, below Wall Street expectations of $0.59 per share and compared with $10.6 million, or $0.55 per share, during the same period of 2006. The company’s revenue grew to $227.5 million, above analyst expectations of $223.4 million and compared with $207.5 million a year earlier.
"We are pleased with the results of another record year for UniFirst,” CEO Ronald Croatti said in a statement. "Despite the challenge posed by a slow growth economy, our core laundry operations delivered solid results. Professional rep sales held up well throughout the year, with overall performance benefiting from increased headcount, better productivity and reduced turnover."
The Wilmington, Mass.-based company cited strong sales for its laundry operations and improved profitability in its specialty garments segment as factors in the quarterly results.
In afternoon trading, UNF shares are down 4.98%, or $1.85, at $35.27. Over the last 52 weeks, shares have ranged from $34.60 to $48.
