Here's What Key Metrics Tell Us About Aramark (ARMK) Q3 Earnings

Zacks Equity Research
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For the quarter ended June 2023, Aramark (ARMK) reported revenue of $4.75 billion, up 15.1% over the same period last year. EPS came in at $0.36, compared to $0.25 in the year-ago quarter.

The reported revenue represents a surprise of +3.96% over the Zacks Consensus Estimate of $4.57 billion. With the consensus EPS estimate being $0.33, the EPS surprise was +9.09%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Aramark performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenues- Food and Support Services- United States: $2.89 billion versus the three-analyst average estimate of $2.79 billion. The reported number represents a year-over-year change of +16.5%.

  • Revenues- Uniform: $696.16 million versus $699.35 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +4.2% change.

  • Revenues- Food and Support Services- International: $1.16 billion versus the three-analyst average estimate of $1.06 billion. The reported number represents a year-over-year change of +18.9%.

  • Operating Income- United States: $128.56 million compared to the $128.60 million average estimate based on two analysts.

  • Operating Income- Uniform: $66.82 million compared to the $67.34 million average estimate based on two analysts.

  • Operating Income- International: $39.61 million versus the two-analyst average estimate of $47.88 million.

View all Key Company Metrics for Aramark here>>>

Shares of Aramark have returned -10.7% over the past month versus the Zacks S&P 500 composite's +2.8% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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