Exhibit 99.1

 

For Further Information Contact

Harry J. Cynkus (404) 888-2922

 

FOR IMMEDIATE RELEASE

 

ROLLINS, INC. REPORTS SECOND QUARTER AND SIX MONTHS 2013

                FINANCIAL RESULTS

 

Company posts 29th consecutive quarter of improved earnings results

 

ATLANTA, GEORGIA, July 24, 2013: Rollins, Inc. (NYSE:ROL), a premier North American consumer and commercial services company, today reported strong unaudited financial results for its second quarter and six months ended June 30, 2013.

 

The Company recorded second quarter revenues of $350.8 million, an increase of 4.8%   compared to $334.9 million in the prior year’s second quarter.  Net income increased 8.7% to $36.0 million or $0.25 per diluted share for the second quarter ended June 30, 2013, compared to $33.1million or $0.23 per diluted share for the same period in 2012.

 

Rollins’ revenues rose 4.2% for the first six months of 2013 to $650.5 million compared to $624.3 million for the prior year.  Net income for the first six months of 2013 was $59.2 million, or $0.40 per diluted share, compared to net income of $56.2 million, or $0.38 per diluted share for the same period last year.

 

In the second quarter, the Company repurchased 172,589 shares at a weighted average price of $24.41 per share.  In total, 5,125,594 additional shares may be purchased under the share repurchase program.

 

Commenting on the Company’s results, Gary W. Rollins, Vice Chairman and Chief Executive Officer of Rollins, Inc. said, “We are very pleased with the solid financial results our Company reported for the second quarter.  We are particularly pleased about the growth we experienced in revenues, which accelerated over our first quarter.  This improvement reflects the positive impact of our new marketing and sales programs.”

 

Mr. Rollins, concluded, “Our progress in the first six months of this year has been encouraging.  We are confident that as we continue to execute our plans that we will achieve our goals for the year relative to growth and improving profitability.”

 

Rollins Inc. is a premier North American consumer and commercial services company. Through its wholly owned subsidiaries, Orkin LLC., HomeTeam Pest Defense, Western Pest Services, Orkin Canada, The Industrial Fumigant Company, Waltham Services LLC., Crane Pest Control and Trutech LLC., the company provides essential pest control services and protection against termite damage, rodents and insects to more than 2 million customers in the United States, Canada, Central America, South America, the Caribbean, the Middle East, Asia, the Mediterranean, Europe, Africa and Mexico from more than 500 locations.  You can learn more about our subsidiaries by visiting our web sites at www.orkin.com,

 

 

www.pestdefense.com, www.westernpest.com, www.orkincanada.ca, www.indfumco.com, www.walthamservices.com, www.cranepestcontrol.com, www.trutechinc.com and www.rollins.com. You can also find this and other news releases at www.rollins.com by accessing the news releases button.

 

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS

 

This release contains statements that constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding the Company’s belief that its improved operating results reflect the positive impact of the Company’s new marketing and sales programs, and the Company’s confidence that it will continue to execute its plan and will achieve its goals for the year relative to growth and improving profitability. The actual results of the Company could differ materially from those indicated by the forward-looking statements because of various risks and uncertainties, including without limitation, economic and competitive conditions which may adversely affect the Company’s business; the degree of success of the Company’s pest and termite process, and pest control selling and treatment methods; the Company’s ability to identify and integrate potential acquisitions; climate and weather trends; competitive factors and pricing practices; the Company’s ability to attract and retain skilled workers, and potential increases in labor costs; uncertainties of litigation; and changes in various government laws and regulations, including environmental regulations.  All of the foregoing risks and uncertainties are beyond the ability of the Company to control, and in many cases the Company cannot predict the risks and uncertainties that could cause its actual results to differ materially from those indicated by the forward-looking statements.  A more detailed discussion of potential risks facing the Company can be found in the Company’s Report on Form 10-K filed with the Securities and Exchange Commission for the year ended December 31, 2012.

 

 

ROLLINS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(in thousands)

 

At June 30, (unaudited)		2013			2012
ASSETS
Cash and cash equivalents		$	91,597		$	62,060
Trade accounts receivables, net		79,015			73,784
Financed receivables, net		12,443			12,822
Materials and supplies		12,117			12,162
Deferred income taxes, net		34,299			30,477
Other current assets		28,321			19,004
Total Current Assets		257,792			210,309
Equipment and property, net		84,470			76,963
Goodwill		212,004			210,971
Customer contracts and other intangible assets, net		131,122			137,865
Deferred income taxes, net		26,245			21,088
Financed receivables, long-term, net		12,834			12,569
Other assets		12,602			11,009
Total Assets		$	737,069		$	680,774
LIABILITIES
Accounts payable		$	30,724		$	29,676
Accrued insurance, current		26,392			22,244
Accrued compensation and related liabilities		57,088			56,234
Unearned revenue		100,057			96,127
Other current liabilities		32,805			36,459
Total Current Liabilities		247,066			240,740
Accrued insurance, less current portion		28,575			28,185
Accrued pension		42,263			29,793
Long-term accrued liabilities		34,358			37,749
Total Liabilities		352,262			336,467
STOCKHOLDERS’ EQUITY
Common stock		146,078			146,071
Retained earnings and other equity		238,729			198,236
Total stockholders’ equity		384,807			344,307
Total Liabilities and Stockholders’ Equity		$	737,069		$	680,774

 

 

ROLLINS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(in thousands except per share data)

(unaudited)

 

		Second Quarter Ended						Six Months Ended
		June 30,						June 30,
		2013			2012			2013			2012
REVENUES
Customer services		$	350,798		$	334,872		$	650,512		$	624,337
COSTS AND EXPENSES
Cost of services provided		174,361			165,993			329,967			314,075
Depreciation and amortization		9,768			9,613			19,662			19,380
Sales, general and administrative		109,518			106,068			208,652			200,892
Interest (income)/expense		(127		)	20			(172		)	71
		293,520			281,694			558,109			534,418
INCOME BEFORE INCOME TAXES		57,278			53,178			92,403			89,919
PROVISION FOR INCOME TAXES		21,284			20,051			33,230			33,712
NET INCOME		$	35,994		$	33,127		$	59,173		$	56,207
NET INCOME PER SHARE - BASIC		$	0.25		$	0.23		$	0.40		$	0.38
NET INCOME PER SHARE - DILUTED		0.25			0.23			$	0.40		$	0.38
Weighted average shares outstanding - basic		146,210			146,417			146,224			146,557
Weighted average shares outstanding - diluted		146,210			146,428			146,224			146,571

 

 

(( CONFERENCE CALL ANNOUNCEMENT ((

Rollins, Inc.

(NYSE: ROL)

 

 

Management will hold a conference call to discuss

Second Quarter 2013 results on:

 

Wednesday, July 24, 2013 at:

  10:00 a.m. Eastern

 9:00 a.m. Central

     8:00 a.m. Mountain

 7:00 a.m. Pacific

 

TO PARTICIPATE:

Please dial 877-941-8609 domestic;

480-629-9692 international
at least 5 minutes before start time.

 

REPLAY: available through July 31, 2013

Please dial 800-406-7325/303-590-3030, Passcode: 4628395

THIS CALL CAN ALSO BE ACCESSED THROUGH THE INTERNET AT

www.viavid.net

Questions?

Contact Samantha Alphonso at Financial Relations Board at 212-827-3746

Or email to salphonso@mww.com