Pest control services firm Rollins' Q3 revenue misses estimates

Rollins

29/10/2025 20:43

Overview

Rollins Q3 revenue grows 12% yr/yr to $1 bln, missing analyst expectations

Adjusted EBITDA for Q3 beats consensus, reflecting improved operational efficiency

Company reports 21.4% increase in EPS, driven by strong cash flow and acquisitions

Outlook

Rollins remains focused on growth through organic means and acquisitions

Company emphasizes continuous improvement initiatives to enhance profitability

Rollins highlights strong balance sheet and access to investment grade credit markets

Result Drivers

ORGANIC GROWTH - Organic revenues increased by 7.2%, contributing significantly to overall revenue growth

ACQUISITIONS - Company invested $35 mln in acquisitions, aiding revenue and EPS growth

MARGIN IMPROVEMENT - Operating margin increased by 100 basis points, reflecting improved operational efficiency

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$1 bln
$1.02 bln (8 Analysts)
Q3 EPS
$0.34
Q3 Net Income
$164 mln
Q3 Adjusted EBITDA
Beat
$258 mln
$251.40 mln (7 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the business support services peer group is "buy"

Wall Street's median 12-month price target for Rollins Inc is $61.50, about 8.9% above its October 28 closing price of $56.05

The stock recently traded at 46 times the next 12-month earnings vs. a P/E of 48 three months ago

Press Release: ID:nPn7r3mxPa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)