Exhibit 99.1

 

For Further Information Contact

Harry J. Cynkus (404) 888-2922

 

FOR IMMEDIATE RELEASE

 

ROLLINS, INC. REPORTS FIRST QUARTER 2012

FINANCIAL RESULTS

 

ATLANTA, GEORGIA, April 25, 2012: Rollins, Inc. (NYSE:ROL), a premier North American consumer and commercial services company, today reported strong unaudited financial results for its first quarter ended March 31, 2012.

 

The Company recorded first quarter revenues of $289.5 million, an increase of 6.6% over the prior year’s first quarter revenue of $271.6 million.  Net income increased 23.8% to $23.1 million or $0.16 per diluted share for the first quarter ended March 31, 2012, compared to $18.6 million or $0.13 per diluted share for the same period in 2011.

 

On January 24, 2012, Rollins increased its regular quarterly cash dividend to shareholders 14.3% to $0.08 per share.  The Company also repurchased 68,000 shares at a weighted average price of $19.58 per share during the first quarter.  In total, 1,011,964 additional shares may be purchased under the share repurchase program.

 

Gary W. Rollins, President and Chief Executive Officer of Rollins, Inc. stated, “Our successful marketing and sales programs, along with a nice assist from the unseasonably warm winter, made significant contributions to our record first quarter results.  We are especially proud that our team took full advantage of this situation.  We are certainly pleased with our revenue and profit increases, and are enthusiastic about the opportunities that we have before us.  Rollins will continue to focus on the strengths of our leading pest control brands, and our 2012 plans directed to grow our business, improve earnings and generate a strong cash flow.”

 

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, Mexico, Central America, the Caribbean, the Middle East, Asia, the Mediterranean, Europe and Africa 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 about the Company’s enthusiasm about its opportunities, plans to continue to focus on the strengths of its leading pest control brands, and plans to grow its business, improve earnings and generate a strong cash flow.  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, 2011.

 

 

ROLLINS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(in thousands)

 

At March 31, (unaudited)		2012			2011
ASSETS
Cash and cash equivalents		$	59,684		$	23,340
Trade Accounts Receivables Short Term, Net		63,790			59,174
Financed Receivables, Net		11,386			10,350
Materials and supplies		10,874			12,680
Deferred income taxes		29,718			27,178
Other current assets		15,123			14,522
Total Current Assets		190,575			147,244
Equipment and property, net		77,146			73,444
Goodwill		211,237			212,130
Customer Contracts and Other Intangible assets		139,580			146,742
Deferred income taxes		21,775			14,336
Financed receivables, long-term		11,441			9,786
Other assets		11,052			10,523
Total Assets		$	662,806		$	614,205
LIABILITIES
Accounts payable		$	19,214		$	23,283
Accrued insurance		20,430			19,918
Accrued compensation and related liabilities		52,592			51,697
Unearned revenue		92,778			92,193
Line of Credit		—			25,000
Other current liabilities		43,569			29,825
Total Current Liabilities		228,583			241,916
Accrued insurance		30,203			25,969
Accrued pension		29,850			8,390
Long-term accrued liabilities		37,915			36,710
Total Liabilities		326,551			312,985
STOCKHOLDERS’ EQUITY
Common stock		146,803			147,428
Retained earnings and other equity		189,452			153,792
Total Stockholders’ Equity		336,255			301,220
Total Liabilities and Stockholders’ Equity		$	662,806		$	614,205

 

 

ROLLINS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(in thousands except per share data)

(unaudited)

 

		First Quarter Ended
		March 31,
		2012			2011
REVENUES
Customer services		$	289,465		$	271,643
COSTS AND EXPENSES
Cost of services provided		148,082			140,898
Depreciation and amortization		9,767			9,200
Sales, general and administrative		94,824			91,498
Interest Expense		51			192
		252,724			241,788
INCOME BEFORE TAXES		36,741			29,855
PROVISION FOR INCOME TAXES		13,661			11,215
NET INCOME		$	23,080		$	18,640
NET INCOME PER SHARE - BASIC		$	0.16		$	0.13
NET INCOME PER SHARE - DILUTED		$	0.16		$	0.13
Weighted average shares outstanding - basic		146,697			147,473
Weighted average shares outstanding - diluted		146,714			147,570

 

 

(( CONFERENCE CALL ANNOUNCEMENT ((

 

Rollins, Inc.

(NYSE: ROL)

 

Management will hold a conference call to discuss

First Quarter 2012 results on:

 

Wednesday, April 25, 2012 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 866-225-8754 domestic;

480-629-9818 international
at least 5 minutes before start time.

 

REPLAY: available through May 2, 2012

Please dial 800-406-7325/303-590-3030, Passcode: 4531560

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