The company reported a third-quarter 2014 net loss of $4 million, or $0.03 per diluted share, which included a loss on extinguishment of debt of $65 million and consulting agreement termination fees of $21 million in conjunction with the initial public offering, versus net income of $45 million, or $0.49 per diluted share for the third quarter of 2013.

The company reported third-quarter 2014 adjusted net income(1)of $61 million, or $0.45 per diluted share, versus $32 million, or $0.35 per share, in the same period in 2013.Earnings per share and other share data for the third-quarter 2014 and nine months ended September 30, 2014 contained in this release reflect the 41.3 million shares issued by the company on July1, 2014, in conjunction with its initial public offering.

The company reported third-quarter 2014 Adjusted EBITDA(2)of $157 million, an increase of $29 million or 22 percent compared to the same period in 2013. The increase was primarily driven by the impact of higher revenue, operating cost savings and the transition of certain costs to TruGreen Holding Corporation, which the company spun-off on January14, 2014. A reconciliation of income from continuing operations to both adjusted net income and Adjusted EBITDA are set forth below in this press release.

Terminix and American Home Shield both reported revenue and Adjusted EBITDA growth in the third quarter of 2014 versus prior year, said Rob Gillette, ServiceMasters chief executive officer. Based on our strong third-quarter 2014 operating performance, were increasing our current projection for full-year 2014 Adjusted EBITDA to a range of $543 million to $548 million, with revenue projected to be in the range of $2,445 million to $2,455 million.

In addition, ServiceMaster announced today that it has realigned its Franchise Services Group under the leadership of American Home Shield president Mark Barry. Barry will lead both American Home Shield and the Franchise Services Group as group president, though the two businesses will continue to report financial results separately. Marty Wick, American Home Shield vice president of operations, has been named president of the Franchise Services Group reporting to Mark. Mark has done a great job leading American Home Shield and we believe the realignment will allow us to accelerate top- and bottom-line growth of both American Home Shield and the Franchise Services Group, said Gillette. Marty is a strong leader whose process improvement mindset, versatile background and people management skills make him a great choice to lead our franchise businesses.

Preliminary Consolidated Performance

Preliminary Information for Continuing Operations

Terminix

Terminix, which provides termite and pest control services to residential and commercial customers and distributes pest control products, reported a 6 percent revenue increase in the third quarter of 2014 compared to the third quarter of 2013. The revenue increase was primarily driven by improved price realization in both termite and pest control and new product introductions.

Adjusted EBITDA increased 18 percent or $12 million versus prior year, driven primarily by higher revenue conversion and increased production labor and overhead efficiency.

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ServiceMaster Global Holdings, Inc. Reports Preliminary Third-Quarter 2014 Financial Results

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October 31, 2014 at 5:59 am by Mr HomeBuilder
Category: Termite Inspection and Control