ServiceMaster Global Holdings (NYSE: SERV) reported Q4 EPS of $0.35, $0.01 better than the analyst estimate of $0.34. Revenue for the quarter came in at $666 million versus the consensus estimate of $665.31 million.

Fourth-Quarter and Full-Year 2017 Results

• Revenue increased five percent to $666 million for fourth quarter and six percent to $2,912 million for full year
• Net income of $306 million, or $2.26 per share, in the fourth quarter, versus $31 million, or $0.23 per share, a year ago, and $510 million, or $3.76 per share, for full year, versus $155 million, or $1.13 per share, a year ago, primarily due to the impact of Tax Cuts and Jobs Act
• Net income favorably impacted by $271 million, or $2.00 per share, related to adjustment to deferred income taxes driven by enactment of Tax Cuts and Jobs Act
• Adjusted net income(1) of $48 million, or $0.35 per share, in the fourth quarter, versus $60 million, or $0.44 per share, a year ago, and $286 million, or $2.11 per share, for full year, versus $281 million, or $2.04 per share, a year ago
• Adjusted EBITDA(2) decreased seven percent to $135 million for fourth quarter and increased two percent to $678 million for full year
• Continued strong cash flow conversion in 2017
• ServiceMaster entered into an agreement to purchase and combine its Terminix national account pest control operations with Copesan Services, Inc., one of the largest national providers of commercial pest management in the country

Full-Year 2018 Outlook

• Revenue guidance between $3,015 million and $3,045 million, or growth over prior year between four percent and five percent, and Adjusted EBITDA between $690 million and $705 million, or growth between two percent and four percent over prior year. The 2018 outlook assumes AHS remains with the Company for the full year and excludes the impact of any costs related to the planned separation of AHS in the third-quarter 2018 and any potential acquisitions

GUIDANCE:

ServiceMaster Global Holdings sees FY2018 revenue of $3.015-3.045 billion, versus the consensus of $3.05 billion.

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