Vestis Corporation ( (VSTS) ) has released its Q3 earnings. Here is a breakdown of the information Vestis Corporation presented to its investors.
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Vestis Corporation, a prominent player in the B2B uniform and workplace supplies sector, serves a diverse clientele across North America, offering services ranging from uniform rentals to specialty garment processing.
In its third-quarter 2025 earnings report, Vestis Corporation reported a revenue of $674 million, with an operating income of $25 million but a net loss of $0.7 million. Despite the net loss, the company generated positive cash flow, aligning with management’s expectations.
Key financial metrics showed a decline in revenue by 3.5% compared to the previous year, primarily due to a decrease in rental and direct sales revenue. Gross profit also saw a reduction, attributed to lost revenues and increased merchandise amortization. However, the company managed to reduce its SG&A expenses by $7.7 million and interest expenses by $7.4 million year-over-year, reflecting strategic cost management.
Despite the challenges, Vestis maintained a strong liquidity position with $290 million available, including cash and cash equivalents. The company also invested $14.9 million in property and equipment improvements, indicating a focus on enhancing operational capabilities.
Looking ahead, Vestis Corporation remains optimistic about its strategic initiatives aimed at strengthening operational excellence and creating long-term shareholder value, as articulated by the new CEO, Jim Barber.