ServiceMaster Global Holdings (NYSE: SERV) reported Q2 EPS of $0.69, in-line with the analyst estimate of $0.69. Revenue for the quarter came in at $807 million versus the consensus estimate of $797.81 million.

Full-Year 2017 Outlook

The company now anticipates its full-year 2017 revenue to range from $2,900 million to $2,920 million, reflecting higher growth at Terminix and American Home Shield, and resulting in a revenue increase of 6 percent compared to 2016. Full-year 2017 Adjusted EBITDA is now anticipated to range from $675 million to $685 million, reflecting higher investment in sales and service at Terminix, and resulting in an Adjusted EBITDA increase of 1 percent to 3 percent compared to 2016. Our 2017 outlook excludes the impact of potential acquisitions.

A reconciliation of the forward-looking 2017 Adjusted EBITDA outlook to net income is not being provided as the company does not currently have sufficient data to accurately estimate the variables and individual adjustments for such reconciliation.

Second-Quarter 2017 Results

• Revenue increased 8% to $807 million with 15% growth at AHS
• Net income of $85 million, or $0.63 per share, versus $16 million, or $0.11 per share, a year ago
• Adjusted EBITDA(1) increased 3% to $210 million from $203 million a year ago
• Adjusted net income(2) of $93 million, or $0.69 per share, versus $93 million, or $0.67 per share, a year ago
• Continued strong cash flow conversion

Full-Year 2017 Outlook

• Raising revenue outlook to between $2,900 million and $2,920 million to reflect higher growth at Terminix and American Home Shield
• Lowering Adjusted EBITDA outlook to between $675 million and $685 million to reflect increased investment in sales and service at Terminix

GUIDANCE:

ServiceMaster Global Holdings sees Q3 2017 revenue of $2.9-2.92 million, versus the consensus of $2.9 million.

For earnings history and earnings-related data on ServiceMaster Global Holdings (SERV) click here.