UniFirst Corporation has announced a revision to its segment reporting, resulting in changes to its financial operating and reportable segments. The company previously had five reporting segments but will now report under three segments. The new reporting structure is designed to reflect how the company oversees and manages the business, assesses performance, and allocates resources.
The new segments are as follows:
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Uniform & Facility Service Solutions: This segment consolidates the former U.S. and Canadian Rental and Cleaning, Manufacturing, and Corporate segments. It also includes cleanroom solutions, which were previously part of the Specialty Garments reporting segment.
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First Aid & Safety Solutions: The company renamed its First Aid reporting segment to better reflect the scope of services and products offered. This segment sells first aid cabinet services, non-prescription medicines, safety supplies, and provides certain safety training.
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Other: This segment consists of nuclear solutions, which were previously part of the Specialty Garments reporting segment. It purchases, rents, cleans, delivers, and sells specialty garments and non-garment items primarily for nuclear applications.
The key measures used by management to evaluate segment performance continue to be revenues and operating income. Adjusted EBITDA is also presented for additional informational purposes and to facilitate period-to-period comparisons of operating performance.
To assist investors in understanding the impact of these changes, the company has provided recast supplemental unaudited information containing seven quarters of historical financial and operational metrics for the three reportable segments. This recast financial information is accessible through the News Releases section of the company’s Investor Relations website at investors.unifirst.com.
The modifications to the segment reporting had no impact on the company’s previously reported consolidated financial results.
UniFirst Corporation, headquartered in Wilmington, Mass., is a North American leader in the supply and servicing of uniform and workwear programs, facility service products, as well as first aid and safety supplies and services. The company also manages specialized garment programs for the cleanroom and nuclear industries. UniFirst outfits more than 2 million workers every day and operates with more than 270 service locations, over 300,000 customer locations, and 16,000-plus employee Team Partners. As a result of these announcements, the company's shares have moved 2.2% on the market, and are now trading at a price of $165.24. If you want to know more, read the company's complete 8-K report here.
