PHILADELPHIA, Feb. 10, 2016 /PRNewswire/ -- Aramark, a global leader in food, facilities management and uniforms, today reported first quarter fiscal results.
First quarter sales results
The company experienced solid retention rates, strong new client wins and underlying base business expansion in the quarter. Organic sales growth was broad based across the segments, with notable gains in North America coming from new client onboarding in Education and strong playoff activity in Sports, Leisure and Corrections. FSS International'sorganic growth was driven by strong expansion in Emerging Markets, particularly China. Organic sales in Uniform and Career Apparel continue to benefit from previously announced capacity expansion.
First quarter adjusted operating income (AOI) results
The company continued to drive solid productivity gains from food and labor initiatives in the first quarter, particularly in its FSS North America locations. FSS International'sresults reflect continued positive momentum in revenue and strong productivity trends, particularly in the emerging markets. Consistent with expectations, the Uniform & Career Apparel segment results were adversely impacted by temporary start-up costs associated with capacity expansion.
First quarter summary
Adjusted net income was $123 million or $0.50 per share, versus adjusted net income of $116 million or $0.47 per share in the first quarter of 2015. The significant strengthening of the U.S. dollar versus the prior year period decreased sales by approximately $113 million, operating income by $7 million and earnings per share by $0.01 in the quarter.
On a GAAP basis, sales were $3.7 billion, operating income was $214 million, net income attributable to Aramark stockholders was $93 million and diluted earnings per share were$0.38. This compares to the first quarter of 2015 where on a GAAP basis, sales were $3.7 billion, operating income was $202 million, net income attributable to Aramarkstockholders was $85 million and diluted earnings per share were $0.35. First quarter GAAP diluted earnings per share increased 9% year-over-year. Full report.
