G&K Services Tuesday posted a 48 percent gain in adjusted quarterly earnings, beating Wall Street profit and revenue estimates.
The Minnetonka-based supplier of uniforms and other work clothes recorded fiscal fourth earnings of $9 million, or 49 cents per share, up from $6.6 million, or 36 cents per share a year ago. G&K beat analysts’ consensus profit estimates by two cents per share.
The company’s earnings growth was driven by solid gains in revenue combined with improved productivity.
G&K had sales of $214 million, up 8 percent over a year ago after adjusting for an extra week of revenue and an accounting charge in 2010’s fourth quarter. Analysts had been expecting revenue of $208 million.
G&K’s fourth quarter net income, adjusted for a one-time charge in 2011 and non-recurring benefits and charges a year ago, was 41 cents per share, down from 61 cents per share a year ago.
