Vestis Corporation, a leading provider of uniforms and workplace supplies in the United States and Canada, has recently released its 10-K report. The company offers a wide range of uniform options, workplace supplies, restroom supply services, first-aid supplies, and safety products to over 300,000 customer locations. With approximately 19,600 employees and a network of over 350 facilities, Vestis operates a fleet of service vehicles supporting over 3,300 pick-up and delivery routes.
In its 10-K report, Vestis highlights its financial condition and results of operations for the fiscal years ended September 27, 2024, and September 29, 2023. The report emphasizes that the company's revenue primarily comes from route servicing contracts, with over 94% of total revenue generated from these contracts on both uniforms and workplace supplies. Vestis recognizes revenue over time as services are performed based on the nature of services provided and contractual rates.
The report also sheds light on the company's costs and expenses, including cost of services provided, depreciation and amortization, selling, general and administrative expenses, interest expense, and provision for income taxes. It mentions that Vestis' effective tax rate differs from the statutory United States income tax rate due to the effect of state and local income taxes, foreign taxes, tax credits, and certain nondeductible expenses.
Additionally, the 10-K report discusses key trends affecting Vestis' results of operations, emphasizing the impact of macro-economic conditions, employment levels, workplace hygiene and safety standards, and the trend of businesses outsourcing non-core operations. It also acknowledges the adverse effects of global events, geopolitical events, and ongoing volatility in global financial markets on Vestis' operational and financial performance.
The market has reacted to these announcements by moving the company's shares 2.6% to a price of $16.02. If you want to know more, read the company's complete 10-K report here.
