olivLaw · US equity research
Vestis Corporation VSTS
Wholesale-Miscellaneous Nondurable Goods · SIC 5190 · Vertical: Wholesale — nondurable goods (SIC 51xx)
Vestis is one of the largest providers of uniform rentals and workplace supplies in the United States and Canada, with revenue of about $2.7 billion in fiscal 2025. The company is running a multi-year transformation program aimed at improving margins and cash flow, which shows early signs of progress but still faces a flat demand backdrop and energy cost pressure.
At the close of 04 Nov 2026, Vestis Corporation (VSTS) stock was 14.80 USD (+1.44% on the day), with market capitalisation 2.0 bn USD, dividend yield 0.24%, beta 1.26, 52-week range 5.18–16.50 USD. Latest reported quarter (Q3 2026): revenue of 661.7 m USD (−1.8% YoY), net income of 11.0 m USD, diluted EPS 0.08 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 56.5
- strong (55–70)
- Bollinger (20, 2)
- 13.75 – 15.37
- in the upper half of the band · %B 0.65 · band width 11.1%
- SMA 50 / 200
- 13.85 / 11.56
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 0.27 / 0.30
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +5.6% | −1.1% | +6.7 pp | — |
| 3 months | +6.2% | −0.5% | +6.7 pp | — |
| 6 months | +60.5% | +4.4% | +56.1 pp | — |
| Year to date | +121.9% | +12.3% | +109.6 pp | — |
| 1 year | +196.6% | +13.5% | +183.1 pp | −1.2% |
| 3 years | −11.7% | +76.4% | −88.1 pp | +6.6% |
| 5 years | unavailable | +63.7% | unavailable | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 03 Jul 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 684.3 m | 683.8 m | 665.2 m | 673.8 m | 712.0 m | 663.4 m | 659.4 m | 661.7 m |
| Cost of revenue | 487.3 m | 495.3 m | 490.0 m | 491.7 m | 533.2 m | 492.2 m | 485.8 m | 476.3 m |
| SG&A | 131.9 m | 121.2 m | 147.9 m | 122.3 m | 125.9 m | 120.3 m | 112.3 m | 114.9 m |
| Operating income | 29.8 m | 30.4 m | -8.6 m | 25.0 m | 17.6 m | 16.6 m | 26.8 m | 37.2 m |
| Depreciation & amortisation | 35.3 m | 36.9 m | 35.9 m | 34.9 m | 35.3 m | 34.3 m | 34.6 m | 33.3 m |
| Pre-tax income | -1.3 m | 1.5 m | -34.2 m | -749.0 k | -10.9 m | -8.6 m | 2.5 m | 14.3 m |
| Income tax | 1.0 m | 708.0 k | -6.4 m | -73.0 k | 1.6 m | -2.2 m | -85.0 k | 3.3 m |
| Net income | -2.3 m | 832.0 k | -27.8 m | -676.0 k | -12.5 m | -6.4 m | 2.6 m | 11.0 m |
| Diluted EPS | -0.02 ≈ | 0.01 | -0.21 | -0.01 | -0.10 ≈ | -0.05 | 0.02 | 0.08 |
| Operating cash flow | 295.6 m | 3.8 m | 6.7 m ≈ | 22.9 m ≈ | 30.9 m | 37.7 m | 58.3 m ≈ | 64.9 m ≈ |
| Capex | 28.1 m | 14.7 m | 13.5 m ≈ | 14.9 m ≈ | 15.4 m | 9.4 m | 12.7 m ≈ | 18.0 m ≈ |
| Dividends paid | 4.6 m | 4.6 m | 9.2 m ≈ | 0 ≈ | 0 | 0 | 0 ≈ | 0 ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | 2.7 bn | 2.8 bn | 2.8 bn | 2.7 bn |
| Revenue YoY | unavailable | +5.1% | −0.7% | −2.5% |
| Net income | 141.7 m | 213.2 m | 21.0 m | -40.2 m |
| Net income YoY | unavailable | +50.5% | −90.2% | −291.8% |
| Diluted EPS | 1.08 | 1.63 | 0.16 | -0.31 |
| Diluted EPS YoY | unavailable | +50.9% | −90.2% | −293.8% |
| net % | 5.3% | 7.5% | 0.7% | -1.5% |
| Free cash flow | 156.4 m | 179.1 m | 392.9 m | 5.8 m |
Reported results vs expectations
Loading…
Balance sheet & financial health
Fiscal year 2025 · 03 Oct 2025
- Cash
- 29.7 m USD
- Financial debt
- 1.2 bn USD
- Net debt
- 1.1 bn USD
- Equity
- 865.6 m USD
- Total assets
- 2.9 bn USD
- Debt / equity
- 1.33x
- Current ratio
- 2.08x
- ROE
- -4.5%
- ROA
- -1.4%
- FCF margin
- 0.2%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Revenue | 2.7 bn | 2.8 bn | 2.8 bn | 2.7 bn | SEC (XBRL)· 02 Dec 2025verified |
| Cost of revenue | 1.9 bn | 2.0 bn | 2.0 bn | 2.0 bn | SEC (XBRL)· 02 Dec 2025verified |
| Gross profit | 777.3 m ≈ | 855.1 m ≈ | 815.9 m ≈ | 724.8 m ≈ | SEC (XBRL)· 02 Dec 2025derived |
| SG&A | 450.7 m | 500.7 m | 517.2 m | 517.3 m | SEC (XBRL)· 02 Dec 2025verified |
| Operating income | 192.2 m | 217.9 m | 158.0 m | 64.4 m | SEC (XBRL)· 02 Dec 2025verified |
| Depreciation & amortisation | 134.4 m | 136.5 m | 140.8 m | 143.0 m | SEC (XBRL)· 02 Dec 2025verified |
| EBITDA | 326.6 m ≈ | 354.4 m ≈ | 298.7 m ≈ | 207.4 m ≈ | SEC (XBRL)· 02 Dec 2025derived |
| Interest expense | 4.5 m | 2.1 m | 126.6 m | 93.6 m | SEC (XBRL)· 02 Dec 2025verified |
| Pre-tax income | 190.0 m | 269.7 m | 32.0 m | -44.3 m | SEC (XBRL)· 02 Dec 2025verified |
| Income tax | 48.3 m | 56.6 m | 11.1 m | -4.1 m | SEC (XBRL)· 02 Dec 2025verified |
| Net income | 141.7 m | 213.2 m | 21.0 m | -40.2 m | SEC (XBRL)· 02 Dec 2025verified |
| Diluted EPS | 1.08 | 1.63 | 0.16 | -0.31 | SEC (XBRL)· 02 Dec 2025verified |
| Weighted average diluted shares | 130.7 m | 130.7 m | 131.8 m | 131.8 m | SEC (XBRL)· 02 Dec 2025verified |
| Dividend per share | — | — | 0.04 | 0.04 | SEC (XBRL)· 02 Dec 2025verified |
≈ computed by olivLaw from the reported lines of the same year: Revenue − Cost of revenue; Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Cash | 23.7 m | 36.1 m | 31.0 m | 29.7 m | SEC (XBRL)· 02 Dec 2025verified |
| Receivables | — | 392.9 m | 177.3 m | 162.3 m | SEC (XBRL)· 02 Dec 2025verified |
| Inventories | — | 174.7 m | 164.9 m | 179.0 m | SEC (XBRL)· 02 Dec 2025verified |
| Current assets | — | 1.0 bn | 813.3 m | 850.0 m | SEC (XBRL)· 02 Dec 2025verified |
| Property, plant & equipment, net | — | 664.5 m | 670.9 m | — | SEC (XBRL)· 22 Nov 2024verified |
| Goodwill | 963.4 m | 963.5 m | 963.8 m | 961.7 m | SEC (XBRL)· 02 Dec 2025verified |
| Intangibles (excl. goodwill) | 238.6 m | 238.6 m | 212.8 m | 188.8 m | SEC (XBRL)· 02 Dec 2025verified |
| Total assets | — | 3.2 bn | 2.9 bn | 2.9 bn | SEC (XBRL)· 02 Dec 2025verified |
| Accounts payable | — | 134.5 m | 163.1 m | 158.4 m | SEC (XBRL)· 02 Dec 2025verified |
| Short-term debt | — | 26.3 m | 0 | 0 | SEC (XBRL)· 02 Dec 2025verified |
| Long-term debt | — | 1.5 bn | 1.1 bn | 1.2 bn | SEC (XBRL)· 02 Dec 2025verified |
| Current liabilities | — | 395.5 m | 456.1 m | 409.0 m | SEC (XBRL)· 02 Dec 2025verified |
| Total liabilities | — | 2.3 bn | 2.0 bn | 2.0 bn | SEC (XBRL)· 02 Dec 2025verified |
| Equity | 2.3 bn † | 877.4 m † | 903.1 m † | 865.6 m † | SEC (XBRL)· 02 Dec 2025verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|
| Operating cash flow | 232.8 m | 257.0 m | 471.8 m | 64.2 m | SEC (XBRL)· 02 Dec 2025verified |
| Capex | 76.4 m | 77.9 m | 78.9 m | 58.5 m | SEC (XBRL)· 02 Dec 2025verified |
| Free cash flow | 156.4 m ≈ | 179.1 m ≈ | 392.9 m ≈ | 5.8 m ≈ | SEC (XBRL)· 02 Dec 2025derived |
| Investing cash flow | -86.1 m | -14.7 m | -73.6 m | -19.8 m | SEC (XBRL)· 02 Dec 2025verified |
| Financing cash flow | -162.5 m | -230.3 m | -403.0 m | -46.1 m | SEC (XBRL)· 02 Dec 2025verified |
| Dividends paid | 0 | 0 | 13.8 m | 13.8 m | SEC (XBRL)· 02 Dec 2025verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 40 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 2.0 bn USD
Key indicators
Coverage and freshness
Score by group
- Valuation65
- Returns40
- Quality48
- Balance sheet26
- Growth5
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 0.46 – 33.65 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)16.15 – 33.65 (Mid 22.43)WACC 7.8% · starting FCFF 215.0 m USD · terminal value share of EV 78%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): -11.3%
- Peers: EV/EBITDA4.35 – 21.18 (Mid 12.73)17 companies used · median multiple 11.5x · quartiles 6.8x – 16.2xASH, CAH, CAPL, CHEF, COR, DIT, DPZ, HLF, HWKN, MCK, MMLP, NUS, SEB, SYY, UNFI, USFD, UVV
- Peers: P/Eunavailable · the base of the ratio is not positive
- Dividend discount (DDM)0.46 – 0.62 (Mid 0.53)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 40/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 4.2% | 55 (vs peers) | 14% |
| Net margin · Quality | -0.2% | 36 (vs peers) | 8% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | 0.6% | 5 (on a fixed band) | 11% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | 4.4x | 11 (vs peers) | 14% |
| Interest coverage · Balance sheet | 1.0x | 0 (on a fixed band) | 8% |
| Current ratio · Balance sheet | 2.2x | 100 (on a fixed band) | 6% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | 12.7x | 47 (vs peers) | 14% |
| FCF yield · Valuation | 7.0% | 87 (on a fixed band) | 11% |
| Shareholder yield (distributions) · Returns | 0.0% | 0 (on a fixed band) | 8% |
| Payout ratio (FCF) · Returns | 0.0% | 100 (on a fixed band) | 6% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet26/100 · 3/3 factors with a value
- Growth· partial5/100 · 1/2 factors with a value
- Quality48/100 · 2/3 factors with a value
- Returns40/100 · 2/2 factors with a value
- Valuation65/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
Vestis Corp (VSTS). Latest full fiscal year: 2025; data up to 2026-07-03.
Figures computed from the financial statements: revenue 2.7 bn USD in 2025; YoY growth -2.5%; net margin -0.2%; ROE -0.6%; net debt/EBITDA 4.4x.
The estimated value range is 4.35–21.18 USD per share (median of 3 methods, agreement: low); assumptions are illustrative. Against the central value of 12.73 USD, the price of 14.80 USD leaves a potential of -14.0% (value / price − 1) and a margin of safety of -16.2% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 40/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: growth. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Current ratio: 2.2x
- FCF yield: 7.0%
- Payout ratio (FCF): 0.0%
What contradicts it
- Revenue CAGR 3Y: 0.6%
- Net debt / EBITDA: 4.4x
- Interest coverage: 1.0x
- Shareholder yield (distributions): 0.0%
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): FCF conversion, EPS CAGR 3Y, P/E (TTM).
Versus the vertical median
Wholesale — nondurable goods (SIC 51xx) · same major group (2-digit SIC) · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| MCKMcKESSON CORPORATION | 123.5 bn | 27.5 | — | 1.1% | +12.4% | +21% / +127% |
| CORCencora, Inc. | 67.6 bn | 26.3 | 104.3% | 0.8% | +9.3% | −4% / +74% |
| CAHCardinal Health, Inc. | 60.9 bn | 36.2 | — | 0.7% | +14.2% | +23% / +145% |
| SYYSysco Corporation | 37.9 bn | 20.5 | 59.1% | 2.1% | +3.9% | +1% / +7% |
| USFDUs Foods Holding Corp. | 23.8 bn | 33.8 | 16.4% | 1.8% | +4.1% | +40% / +151% |
| PFGCPerformance Food Group Company | 17.3 bn | 43.7 | 8.2% | 0.6% | +7.2% | +13% / +68% |
| DPZDomino’s Pizza, Inc. | 11.2 bn | 19.3 | — | 11.9% | +5.0% | −19% / −13% |
| CHEFChefs’ Warehouse, Inc. | 4.6 bn | 46.5 | 16.2% | 2.3% | +9.4% | +74% / +297% |
| ASHAshland Inc. | 3.5 bn | 126.3 | 2.8% | 2.8% | −13.7% | +44% / −4% |
| SEBSeaboard Corporation | 3.3 bn | 5.9 | 10.7% | 5.3% | +7.1% | −26% / −2% |
| HWKNHawkins, Inc. | 3.2 bn | 37.9 | 16.0% | 7.5% | +11.2% | +20% / +154% |
| UNFIUnited Natural Foods, Inc. | 2.9 bn | 36.0 | 5.3% | 0.3% | −2.0% | +29% / +232% |
| VSTSVestis Corp | 2.0 bn | — | -0.6% | -0.2% | −2.5% | +197% / −12% |
| ANDEAndersons, Inc. | 1.9 bn | 9.3 | 16.1% | 1.8% | −2.2% | +7% / +11% |
| HLFHerbalife Ltd. | 1.6 bn | 9.1 | — | 3.4% | +0.9% | +20% / +19% |
| GLPGlobal Partners LP | 1.5 bn | 7.6 | — | 0.9% | +8.1% | −1% / +19% |
| UVVUniversal Corporation | 990.8 m | — | -0.2% | -0.1% | −1.3% | −25% / −29% |
| CAPLCrossamerica Partners LP | 773.8 m | 16.1 | — | 1.2% | −10.6% | −1% / −15% |
| WEYSWeyco Group, Inc. | 616.9 m | 17.8 | 13.8% | 12.4% | −4.9% | +116% / +119% |
| MGPIMgp Ingredients, Inc. | 364.2 m | — | -34.5% | -51.4% | −23.8% | −25% / −80% |
| NUSNu Skin Enterprises, Inc. | 242.9 m | — | -32.5% | -15.7% | −14.3% | −50% / −71% |
| PTLEPTL Limited | 121.4 m | — | -24.8% | -1.6% | −27.0% | −30% / unavailable |
| BANLCbl International Limited | 80.0 m | — | -14.0% | -0.6% | −9.1% | −48% / −86% |
| MMLPMartin Midstream Partners L.P. | 77.1 m | — | — | -1.4% | +1.2% | −25% / −24% |
| DITAmcon Distributing Co | 59.4 m | 33.1 | 1.6% | 0.1% | +3.9% | −19% / −48% |
1- and 3-year price returns: for VSTS from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Vestis is one of the largest providers of uniform rentals and workplace supplies in the United States and Canada, with revenue of about $2.7 billion in fiscal 2025 1. The company is running a multi-year transformation program aimed at improving margins and cash flow, which shows early signs of progress but still faces a flat demand backdrop and energy cost pressure 23.
SWOT
Strengths
- Recurring revenue from long-term contracts, with a diversified customer base and only a small share of revenue from the ten largest customers 1.
- An extensive network of facilities and routes covering most large metropolitan areas in the United States and every Canadian province 1.
- A transformation program with quantified savings and reported progress on productivity and on-time delivery 3.
Weaknesses
- A net loss in fiscal 2025 weighed on profitability measures 1.
- Volume processed declined in the fiscal third quarter of 2026, and customer losses have at times exceeded new business 13.
- Reliance on a small number of plants in Mexico and on single suppliers for certain materials creates vulnerabilities 1.
Opportunities
- Cross-selling restroom and first-aid services to existing customers, who use only part of the full offering 1.
- Higher route density and network optimization could lower the cost to serve each route 3.
- If outsourcing continues, new customers in regulated industries and cleanroom segments could be won 1.
Risks
- Customer retentionhigh
Losing customers or failing to renew contracts on comparable terms could hit revenue, especially in periods when new business does not offset losses 1.
- Transformation executionhigh
If planned savings do not materialize or restructuring costs exceed estimates, financial results could fall short of expectations 13.
- Energy and labor costsmedium
Higher fuel, energy and wage costs could compress margins, particularly if they cannot be reflected in prices 12.
- Tariffs and supply chainsmedium
New tariffs and reliance on foreign suppliers and a single production hub in Mexico could raise costs or disrupt deliveries 1.
- Goodwill impairmentmedium
Goodwill makes up a substantial part of assets, and a deterioration in performance could lead to significant impairment charges 12.
Investment thesis
What would need to be true (bull case)
- If the transformation program delivers the announced savings and revenue per pound keeps rising, margins could gradually recover, with a favorable effect on cash flow 23.
- The recurring revenue model, diversified customer base and wide network provide a stable base that could support profitability even in uncertain periods 1.
- Solid liquidity and debt reduction could give the company flexibility to invest in its higher-return areas 3.
What would break the thesis
- Volume processed has declined, and revenue growth depends on pricing, which could prove hard to sustain if customers push back 3.
- Competition from larger and better-funded players could limit the ability to raise prices or keep retention rates high 1.
- Restrictions in the credit agreement on dividends and buybacks could limit options for returning capital to shareholders in the near term 2.
What to watch
- Realization of transformation savings and their paceQ4 2026
- Trend in revenue per pound and volume processedQ4 2026
- Debt reduction and the leverage threshold that would allow dividends or buybacks to resume2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Vestis rents uniforms, mats, towels, linens, restroom supplies, first-aid supplies and safety products, delivered weekly over its own routes. The company serves more than 300000 customer accounts, from small family businesses to national corporations, and about 95% of its revenue comes from recurring rental contracts 1. Vestis was spun off from Aramark on September 30, 2023 and trades on the NYSE under the symbol VSTS 1.
Since the start of fiscal 2026, the company has been in a transformation phase focused on operational efficiency, commercial discipline and asset and network optimization, with the aim of lowering costs and raising margins 23.
Segments
United States
The US segment is the dominant part of the business, at about 91% of fiscal 2025 revenue 1. Most of the plant network and delivery routes sit here 1.
Canada
The Canadian segment is smaller, but in the fiscal third quarter of 2026 it reported year-over-year revenue growth, pointing to a positive dynamic there 3.
Linens and workplace supplies
Floor mats, towels, linens and restroom services complement the uniform offering and are usually delivered on the same weekly visits, which supports cross-selling to existing customers 1.
Market context
The uniform and workplace supply market in the United States and Canada is fragmented and locally oriented, and demand depends on macroeconomic conditions, employment levels and standards for workplace hygiene and safety 1. The trend toward outsourcing non-core operations remains the main structural driver, though the company warns that outsourcing is not assured over the long term 1.
Demand is relatively diversified across industries, which reduces exposure to any single sector cycle, but sensitivity to headcount and work volumes among the company's customers remains high 12.
Trends
- Transformation and cost reductiontailwind
The transformation plan targets annualized operating cost savings of at least 75 million dollars, and in the fiscal third quarter of 2026 the company reported gains in plant productivity and on-time delivery 3. If the savings materialize in full, margins could improve meaningfully 23.
- Higher energy and fuel pricesheadwind
Tensions in the Middle East have raised energy and fuel costs, and the company introduced an energy surcharge to partly offset the impact 2. If prices stay high, operating costs could rise faster than revenue 2.
- Trade policy and tariffsheadwind
New tariffs and trade measures can raise the cost of imported materials and finished goods, especially for garments made abroad 1. The company could be forced to raise prices, which might weaken its competitiveness 1.
- More favorable pricing and product mixmixed
In the fiscal third quarter of 2026, revenue per pound rose while cost per pound stayed flat, a sign that pricing and customer segmentation are starting to work 3. However, volume processed fell, which shows the benefit is partly offset 3.
Competitive position
The market is highly competitive, with national players that have large financial resources and regional and local suppliers that enjoy strong customer loyalty 1. Competition runs on price, design, product quality and service quality, and rental uniforms are a price-sensitive service 1.
Vestis considers itself the second largest provider in the industry in the United States and Canada, behind the market leader, thanks to scale, route density and access to talent 1. Many businesses, however, produce uniforms or supplies in-house, which limits the outsourcing opportunity 1.
- Cintas CorporationCTAS
The main competitor of comparable size, named explicitly by the company in uniforms and workplace supplies 1.
- UniFirst CorporationUNF
The second notable competitor of significant size, active in the same North American market 1.
- Regional and local suppliers
Numerous smaller players that benefit from local loyalty and can compete on price 1.
- In-house providers
Customers that manage their own uniforms and supplies represent an indirect form of competition 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
Loading the links…
News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Current report28 Sept 2026Departure or appointment of officers · Regulation FD disclosure · Financial statements and exhibits
- Quarterly report11 Aug 2026
- Current report11 Aug 2026Results of operations · Financial statements and exhibits
- Current report15 Jun 2026Departure or appointment of officers · Financial statements and exhibits
- Quarterly report12 May 2026
- Current report12 May 2026Results of operations · Financial statements and exhibits
- Current report24 Feb 2026Shareholder vote
- Quarterly report10 Feb 2026
- Current report10 Feb 2026Results of operations · Financial statements and exhibits
- Proxy statement08 Jan 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-10-03 · SEC / Vestis Corporation · 02 Dec 2025
- [2] Form 10-Q, quarter ended 2026-07-03 · SEC / Vestis Corporation · 11 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Vestis Corporation · 11 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.