NEW YORK, July 01, 2024 (GLOBE NEWSWIRE) -- The Gross Law Firm issues the following notice to shareholders of Vestis Corporation (NYSE: VSTS). CLASS PERIOD: October 2, 2023 to May 1, 2024 CONTACT US HERE: ALLEGATIONS: The complaint alleges that during the class period, Defendants issued materially false and/or misleading statements and/or failed to disclose that: (1) Aramark, a company providing food service and facilities management, had historically underinvested in the business that became Vestis; (2) Ve ...

NEW YORK, June 28, 2024 (GLOBE NEWSWIRE) -- Lowey Dannenberg P.C., a preeminent law firm in obtaining redress for consumers and investors, announces the filing of a class action lawsuit against Vestis Corporation ("Vestis" or the "Company") (NYSE: VSTS) for violations of the federal securities laws on behalf of investors who purchased or acquired Vestis common stock between October 2, 2023 and May 1, 2024, inclusive (the "Class Period"). On May 17, 2024, a complaint was filed against the Company and certain ...

CONTACT US HERE: ALLEGATIONS: The complaint alleges that during the class period, Defendants issued materially false and/or misleading statements and/or failed to disclose that: (1) Aramark, a company providing food service and facilities management, had historically underinvested in the business that became Vestis; (2) Vestis operated with outdated facilities and an underperforming sales force; (3) Vestis's outdated facilities and underperforming sales force led to "service gaps" that had impeded the Compa ...

SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 29, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Table of Contents UNITED STATES (Address of Principal Executive Offices) (Zip Code) (470) 226-3655 (Registrant's telephone number, including area code) Securities registered pursuant to Section 12(b) of the Act: | ...

Uniforms and Workplace Supplies ... Second Quarter 2024 Results May 2, 2024 Forward Looking Statements This presentation contains "forward-looking statements" within the meaning of the securities laws. All statements that reflect our expectations, assumptions or projections about the future, other than statements of historical fact, are forward-looking statements, including, without limitation, statements relating to future operations and financial performance and statements regarding our strategy for growt ...

Vestis Reports Second Quarter 2024 Results and Updates Full-Year Outlook Positioning Vestis for long-term success as we advance our strategic plan while navigating in-year short-term challenges Second Quarter 2024 Results ATLANTA, GA, May 2, 2024 – Vestis Corporation (NYSE: VSTS), a leading provider of uniforms and workplace supplies, today announced its results for the second quarter ended March 29, 2024 and updated its outlook for fiscal year 2024. Management Commentary "I am grateful to our team for the ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 29, 2023 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 001-41783 Vestis Corporation (Exact name of registrant as specified in its charter) Delaware 92-2573927 (I.R.S. Employer Identification Number) (State or o ...

Financial Data and Key Metrics - Revenue increased by 2.5% YoY to $718 million, with 4.5% growth excluding the impact of a temporary energy fee and foreign exchange [5][12] - Adjusted EBITDA margin expanded by 60 basis points YoY to 13.7%, driven by operating leverage and lower energy costs [5][13] - Adjusted EPS for Q1 2024 was $0.22 per share [14] - Free cash flow in Q1 was $34.6 million, with cash conversion exceeding 100% of net income [15] Business Line Performance - Workplace supplies revenue grew by 4% YoY, supported by a 25% increase in route sales activity [7] - Uniforms revenue grew by 0.2% YoY, with a 1% growth excluding the impact of direct sales moderation [12] - Direct sales business declined by 4% YoY as part of the company's strategy to optimize the business [12] Market Performance - U.S. sales grew by 2% YoY, while Canada sales increased by 3% YoY [12] - The U.S. segment's adjusted EBITDA increased by 13%, while Canada's declined by 5% due to higher merchandise amortization and fleet maintenance costs [13] Strategy and Industry Competition - The company is focused on high-quality growth, efficient operations, disciplined capital allocation, and a performance-driven culture [6][7] - Strategic initiatives include route and network optimization, telematics deployment, and garment reuse to reduce amortization costs [8][9] - The company is targeting specific micro-verticals, such as auto dealerships, with a 47% increase in weekly revenue from this vertical in Q1 [83] Management Commentary on Operating Environment and Future Outlook - Management remains confident in delivering full-year guidance of 4% to 4.5% revenue growth and an adjusted EBITDA margin of 14.3% [6][16] - The company expects to take incremental pricing actions in the back half of the year, particularly in Q2 and Q3 [19][21] - The company is focused on reducing bad debt and improving customer retention through digital tools and field incentives [67][103] Other Important Information - The company is refinancing its two-year $800 million term loan with a seven-year term loan B, expected to close in the coming weeks [15] - The company is managing incremental public company costs of $15 million to $18 million for the year, including TFA payments to Aramark [14] Q&A Session Summary Question: Pricing Opportunities in the Back Half of the Year - The company sees opportunities for incremental pricing in the back half of the year, particularly for customers underpriced on specific products or receiving multi-day services [19][20][21] Question: Canada Segment Investments and Fleet Maintenance Costs - Higher amortization costs in Canada are due to strategic investments in product quality, while fleet maintenance costs are expected to decrease as the fleet is upgraded [22][23][24] Question: Cross-Sell Progress and Selling Environment - Cross-sell momentum is building, with a 25% increase in route sales activity YoY, and the company is seeing good progress in target micro-verticals like auto dealerships [27][28][30] Question: Revenue Growth Cadence and Moving Parts - Revenue growth is expected to accelerate through the year, with headwinds from a $13 million direct sale customer loss and energy fee impacts in Q2 [33][34] Question: Optimization Events and Margin Impact - Optimization events involve route and network improvements, reducing empty miles, and lowering fuel consumption, with 13 events completed in Q1 compared to 26 in the previous year [37][38][39] Question: Macro Environment and Non-Programmer Wins - The company is seeing growth from non-programmers and varies by end market, with healthcare showing growth and restaurants experiencing closures [42][43] Question: Margin Expansion and Inventory Reuse Program - The inventory reuse program is in early stages, with improvements in used fill rates across 103 facilities, expected to yield long-term benefits in amortization and cash management [45][46][47] Question: Pricing Impact on Guidance - Incremental pricing actions provide additional comfort in achieving full-year guidance but are already factored into the company's expectations [53][54] Question: COO Departure and Organizational Impact - The COO's departure is unrelated to business performance, and the company is taking time to evaluate the organizational structure [56][58][59] Question: Retention Trends and Drivers - Retention remains above 90%, with initiatives focused on improving customer experience and incentives for field teams to drive retention [63][64][67] Question: Input Cost Trends - Labor costs are in line with expectations at over 5%, and material costs are stable, with favorable energy costs expected to flatten in the back half of the year [69][70][71] Question: Uniforms Growth vs Competitors - Uniforms growth is moderated by strategic decisions to throttle down direct sales and focus on targeted micro-verticals, with some impact from business closures and a national account loss [73][74][77] Question: Micro-Vertical Strategy and Traction - The company is methodically tracking progress in eight micro-verticals, with auto dealerships showing a 47% increase in weekly revenue in Q1 [79][80][83] Question: Contract Renewals and Stranded Costs - Contract renewals have been seamless post-spin, and stranded costs were addressed pre-spin, with some duplication of costs expected in the first year [87][88][89] Question: DSO and Bad Debt Trends - The increase in bad debt expense is due to a one-time reserve reversal in the prior year, with no significant DSO movement YoY [95][96] Question: Field Incentives and Sales Enhancements - The company is helping frontline teammates understand the financial benefits of cross-selling and has modified field incentives to include retention metrics [99][101][103]

Table of Contents For the fiscal year ended September 29, 2023 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 001-41783 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Vestis Corporation (Exact name of registrant as specified in its charter) Delaware 92-2573927 (State or other jurisdiction of incorporation or organizati ...