ATLANTA - Rollins announced in a press release it recorded second quarter revenues of $821 million, an increase of 14.9% over the second quarter 2022 with organic revenues increasing 7.7%. The stronger dollar versus foreign currencies in countries where we operate reduced revenues by 30 basis points during the quarter.
"The strong growth in revenue in the second quarter provides a sense of optimism to start the second half of 2023," said Jerry Gahlhoff, Jr., president and CEO of Rollins. "The demand environment is healthy and our pipeline for acquisitions remains robust to start the third quarter. We continued to invest in customer acquisition activities in the quarter and we remain very well positioned to continue to drive growth through acquisition. I am encouraged by the improvement in quarterly gross margin, which was above 53%,"
Gahlhoff said that as the company starts the second half of 2023, "we are focused on driving growth while evaluating several initiatives aimed at improving productivity. While we remain very well positioned to continue to deliver strong results in 2023 and beyond, we are focused on executing additional programs that we believe will improve the efficiency of our business model,"
Kenneth Krause, executive vice president and CFO of Rollins, added, "We saw healthy demand for our services in the second quarter and are positioned well to start the third quarter," said Kenneth Krause, Executive Vice President, and CFO. "Cash flow generation was strong, with operating cash flow increasing approximately 16% for the quarter," he added. "While operating margins were pressured on higher insurance and legacy claims activity, the improvement in gross margin and current demand environment provides a sense of optimism to start the second half."