abm industries inc (ABM) Key Developments
ABM Industries Incorporated Announces Resignation of Stephen Kadenacy as Director
Oct 20 14
Effective October 20, 2014, Mr. Stephen Kadenacy resigned as a member of the Board of Directors of ABM Industries Incorporated. Mr. Kadenacy advised the company that he resigned in order to devote his full time and attention to his new responsibilities as President and Chief Financial Officer at his current employer. He did not resign as a result of any disagreement with the company on any matter relating to the company’s operations, policies or practices.
ABM Healthcare Support Services Receives Contract from Regional West Medical Center
Sep 10 14
ABM announced that ABM Healthcare Support Services has been selected to provide environmental services for Regional West Medical Center (RWMC) in Scottsbluff, NE. RWMC is western Nebraska's and eastern Wyoming's primary resource for comprehensive medical care. Under the multi-year, multi-million dollar partnership, ABM has begun overseeing all housekeeping operational aspects, including transitioning associates previously on staff, with an aim to enhance Regional West's ability to deliver excellence in patient care through a clean, healthy environment.
ABM Industries Incorporated Promotes Three Executives
Sep 4 14
ABM Industries Incorporated announced three executive promotions. Scott Salmirs has been promoted to Executive Vice President, ABM Industries from his prior position as Executive Vice President, ABM Onsite Services -- Northeast. General Counsel and Corporate Secretary Sarah Hlavinka McConnell has been named Executive Vice President. She has served as Senior Vice President, General Counsel and Corporate Secretary since May 2008. Chief Information Officer Doug Gilbert has been promoted to Senior Vice President, having served previously as Vice President and Chief Information Officer. McConnell, who joined ABM in 2007, previously served as Vice President, Assistant General Counsel and Secretary of Fisher Scientific International Inc., among other positions. Gilbert has served as ABM's Chief Information Officer since December 2007. He joined ABM as part of the company's acquisition of his previous employer, OneSource, where he had served as Vice President & Chief Information Officer.
ABM Industries Declares Fourth Quarter Cash Dividend, Payable on November 03, 2014
Sep 3 14
ABM Industries Incorporated announced that the Board of Directors has declared a fourth quarter cash dividend of $0.155 per common share payable on November 3, 2014 to stockholders of record on October 2, 2014. This will be ABM's 194th consecutive quarterly cash dividend.
ABM Industries Incorporated Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended July 31, 2014; Provides Earnings Guidance for the Full Year Ending October 31, 2014
Sep 3 14
ABM Industries Incorporated reported unaudited consolidated earnings results for the third quarter and nine months ended July 31, 2014. For the quarter, revenues were $1,276.1 million against $1,216.8 million a year ago, due to organic growth of 3.8% and contributions from acquisitions. Operating profit was $33.7 million against $28.7 million a year ago. Income before income taxes was $32.6 million against $26.9 million a year ago. Net income was $19.4 million or $0.34 per basic and diluted share against $16.0 million or $0.29 per basic and diluted share a year ago. Net cash provided by operating activities was $19.3 million against $46.5 million a year ago. Adjusted operating profit was $46.7 million against $40.4 million a year ago. Adjusted net income was $26.9 million against $23.1 million a year ago. Adjusted net income per diluted share was $0.47 against $0.41 a year ago, primarily from organic revenue growth, expansion of margins as a result of savings from the Onsite operations realignment and lower insurance expense from enhancements to the Company's risk management and safety programs. Adjusted EBITDA was $62.4 million against $57.2 million a year ago.
For the nine months, revenues were $3,733.9 million against $3,572.5 million a year ago. Revenues increased 4.5%, primarily due to additional revenues from new business. Operating profit was $85.5 million against $81.6 million a year ago. Income before income taxes was $81.7 million against $75.8 million a year ago. Net income was $47.7 million or $0.85 per diluted share against $48.7 million or $0.87 per diluted share a year ago. Net cash provided by operating activities was $57.0 million against $84.3 million a year ago. Adjusted operating profit was $106.5 million against $96.9 million a year ago. Adjusted net income was $59.8 million against $58.0 million a year ago. The increase of $1.8 million is primarily the result of a $7.4 million after-tax contribution from operations, partially offset by higher taxes of $5.5 million. Adjusted net income per diluted share was $1.05 against $1.04 a year ago. Adjusted EBITDA was $153.3 million against $147.8 million a year ago.
For the full year ending October 31, 2014, the company is lifting guidance for adjusted after-tax net income to $1.65 to $1.69 per diluted share. Guidance for after-tax net income is $1.42 to $1.46 per diluted share. This guidance continues to include an expected benefit of $0.08 per diluted share for the Work Opportunity Tax Credit, which the Company anticipates Congress will retroactively reenact by the end of the Company's fiscal year-end of October 31, 2014. The anticipated effective tax rate for fiscal year 2014 continues to be in a range of 36% to 38% and assumes the retroactive reenactment of WOTC by Congress prior to the end of the company's fiscal year on October 31, 2014. If the WOTC is not retroactively reenacted by Congress prior to October 31, 2014, the estimated annual effective income tax rate will be between 40% and 42%.