Shares of Servicemaster Global Holdings (TMX 0.63%) closed Thursday's trading 10.6% higher thanks to a bullish update of the company's second-quarter guidance targets.
The company behind household-name service brands such as Terminix pest control, Merry Maids cleaning services, and AmeriSpec home inspections now sees second-quarter sales from continuing operations landing near $518 million. Adjusted EBITDA profits should stop in the neighborhood of $110 million. The analyst consensus had been pointing to sales in the vicinity of $476 million.
Management had declined to offer any firm guidance targets in May's first-quarter report, and Servicemaster also withdrew its full-year targets at that point.
Most of the company's diverse operations are headed downward year over year, with a couple of important exceptions. An unseasonably warm spring coupled with a new monthly payment program combined to drive termite treatments and home services approximately 4% higher. Residential pest control sales should be nearly flat compared to the year-ago period.
Full second-quarter results will follow on Aug. 6.