The company reported second-quarter 2013 operating loss of $564 million, which included pre-tax non-cash impairment charges of $673 million to reduce the carrying value of TruGreen’s goodwill and trade name. The company’s second-quarter 2013 operating performance decreased 28.9 percent to $151 million compared to the same period in 2012. A reconciliation of operating (loss) income to operating performance is set forth below in this press release.
Our second-quarter 2013 results did not meet our expectations,” said Rob Gillette, ServiceMaster’s chief executive officer. “The decline in revenue and operating performance compared to the prior year was largely attributable to TruGreen’s performance. Excluding TruGreen, our other businesses performed about as we expected.”
Gillette, who joined ServiceMaster in June, said the company continues to focus on growing all of its businesses, with particular attention to getting TruGreen back on track.
“As we’ve said, TruGreen is going through some challenges,” said Gillette, “but it’s largely self-inflicted. Right now, we’re focused on stabilizing the business, then getting it back on a path toward growth and improved profitability. When I look at our company overall, we have strong brands, passionate associates and great growth opportunities in all of our businesses. I’m excited to be part of the ServiceMaster team.”