UniFirst
UniFirst Corporation is a North American provider of uniform rental, laundering, and protective apparel services for businesses, headquartered in Wilmington, Massachusetts.[1][2]
Founded in 1936 by Aldo Croatti as a dry cleaning business in Boston serving industrial workers, the company expanded into uniform leasing and sales, becoming a publicly traded entity on the New York Stock Exchange under the ticker UNF.[1][3]
UniFirst operates over 225 locations across the United States, Canada, and Europe, offering services including workwear management, facility maintenance products, and first aid supplies, with a focus on industries such as manufacturing, automotive, and healthcare.[4][2]
In fiscal year 2025, ending August 30, the company reported consolidated revenues of $2.43 billion, positioning it as one of the largest players in the $19 billion uniform and textile services market, with steady growth driven by recurring rental contracts and operational efficiencies.[5][6][2]
UniFirst has maintained a family-influenced leadership structure post-founding, emphasizing service to essential workers, and has been recognized for employee satisfaction and business reliability without notable public controversies in its operations.[1][7]
History
Founding and Early Development
UniFirst Corporation traces its origins to 1936, when Aldo Croatti established the National Overall Dry Cleaning Company in Boston, Massachusetts, operating out of a converted horse barn equipped with a single washing machine and a delivery truck.[1] The initial focus was on providing cleaning services for factory workers' coveralls and other work clothing, serving a modest customer base in the industrial sector.[1] [3] In 1937, the company began offering uniform rentals as a supplementary service, which gradually evolved into its core business model by incorporating weekly fees that covered cleaning, repairs, and delivery.[1] Following the death of Croatti's father-in-law in 1940, Aldo assumed the role of general manager, with annual revenues reaching approximately $250,000 that year.[1] He became president in 1941 and secured majority ownership, steering the family-owned enterprise through its formative expansion amid wartime demands for industrial laundry services.[1] [3] The post-World War II period marked significant operational advancements, including the modernization and re-engineering of the Boston laundry plant between 1947 and 1949 to enhance efficiency.[1] This era also saw the introduction of standardized uniform rental packages, such as a set featuring an Eisenhower jacket, shirt, and pants, priced at a low weekly rate that bundled maintenance services, capitalizing on the economic boom and growing demand for protective workwear.[1] The company was formally incorporated in 1950 as the National Overall Dry Cleaning Company, solidifying its structure for further growth while remaining under Aldo Croatti's leadership.[3]Expansion and Acquisitions
UniFirst began its geographic expansion in the mid-20th century through a combination of organic branch openings and targeted acquisitions. In 1951, the company acquired Interstate Uniform Service Company in Springfield, Massachusetts, marking an early consolidation move within New England.[1] Between 1956 and 1966, UniFirst established new branches across New England, Pittsburgh, Pennsylvania, and plants in New York, New Hampshire, and Connecticut, while also developing specialized nuclear decontamination facilities in Santa Fe, New Mexico, and Pleasanton, California.[1] This period laid the groundwork for diversification into protective services, with further plant openings and acquisitions in Pennsylvania, Florida, and Maryland from 1969 to 1982, extending operations beyond the Northeast.[1] The 1980s initiated a more aggressive acquisition strategy to accelerate national reach. In 1984, following its rebranding to UniFirst Corporation, the company acquired 12 smaller competitors over the subsequent eight years, enabling entry into West Coast markets and fueling growth beyond regional confines.[1] A pivotal deal in 1986 involved the acquisition of Texas Industrial Services and Unitog of Canada, Ltd., which added 32 facilities across Texas, New Mexico, Oklahoma, and Canada, significantly broadening its footprint in the South and internationally.[1] Between 1985 and 1993, these acquisitions collectively strengthened UniFirst's position in uniform rental and related services by integrating local operators.[8] Expansion continued into the 1990s with further acquisitions and organic additions. From 1995 to 1997, UniFirst acquired businesses in California, Michigan, Calgary, Vancouver, and Ottawa, alongside opening sales offices in Pennsylvania, North Carolina, Louisiana, Ontario, and Edmonton, enhancing presence in the U.S. Midwest, West, and Canada.[1] In 1994, the company entered the European market via Euro Nuclear Services in the Netherlands, later expanding to Germany and the United Kingdom.[1] By 1997-1999, it acquired Green Guard First Aid and Safety, diversifying into ancillary safety products.[1] Subsequent decades featured selective larger-scale acquisitions to bolster core operations. In 2003, UniFirst completed the acquisition of Textilease Corporation's business and assets, integrating additional uniform rental capabilities.[9] In July 2015, it acquired McGuire Uniforms, uniting two major Canadian suppliers of customized workwear programs.[10] The following year, in September 2016, UniFirst purchased Arrow Uniform for approximately $122 million in an asset deal, expected to add $62-65 million in annual revenue while being initially dilutive to earnings.[11] Most recently, in February 2023, UniFirst agreed to acquire Clean Uniform for $300 million (net purchase price of about $260 million), incorporating a firm with roughly $90 million in annual revenue into its operations by December 2023.[12] These moves have consistently supported revenue growth, with acquisitions contributing to approximately 14.7% of total revenue increase in some historical periods alongside organic expansion.[13]Business Model and Operations
Core Products and Services
UniFirst Corporation primarily offers rental, lease, and sale programs for work clothing, uniforms, protective apparel, and careerwear, serving businesses across various industries through weekly laundering and maintenance services.[2] These programs include custom work uniforms such as polos, shirts, high-visibility apparel, pants, jeans, coveralls, scrub tops and pants, outerwear like jackets and vests, and specialized items for trades and contracting.[14] The company emphasizes durability and compliance with standards like OSHA for safety-related garments.[15] In addition to apparel, UniFirst provides facility services encompassing floor mats, mops, restroom supplies including soaps, hand towels, and dispensers, aimed at maintaining workplace sanitation and efficiency.[16] These services are integrated into managed programs that handle inventory, cleaning, and replenishment to reduce operational burdens for clients.[17] The company also supplies first aid products, personal protective equipment (PPE), and safety supplies through dedicated subsidiaries, extending beyond core uniforms to comprehensive workplace protection solutions.[18] Overall, these offerings support over 2 million workers at more than 300,000 customer locations, with a focus on subscription-based rental models for predictable service delivery.[17][19]Facility Services and Innovations
UniFirst provides a range of facility services focused on maintaining clean and efficient workplaces, including the rental, laundering, and delivery of products such as floor mats, mops, towels, wiping cloths, soaps, restroom dispensers, paper goods, and janitorial supplies.[20] These services emphasize weekly professional cleaning and replenishment to ensure hygienic conditions, with products manufactured in-house at ISO-9001 certified facilities in the United States.[20] A key component is the managed inventory program, which establishes customized par levels for supplies based on client usage, automatically adjusts to fluctuating demands, and bills only for consumed items to minimize waste and overstocking.[21] This proactive approach differs from automated subscription models by incorporating route service representatives who monitor and optimize stock during regular visits, reducing administrative burden and maintenance costs for clients.[21] Innovations in these services include eco-friendly, reusable textiles like the Great Impressions® 2.0 Walk-Off Mat, designed to trap dirt and moisture while lowering water and energy consumption compared to disposable alternatives.[20] UniFirst's vertical integration allows for performance-oriented facility products tailored to specific industries, with rapid customization in materials and designs, supported by extensive in-stock inventory for quick fulfillment.[22] These features enhance operational efficiency and sustainability without relying on third-party suppliers.[22]Subsidiaries and Segment Structure
UniFirst Corporation restructured its segment reporting effective for the fourth quarter and fiscal year ended August 30, 2025, consolidating its operations into three primary segments: Uniform & Facility Service Solutions, First Aid & Safety Solutions, and Other.[23] This change, announced on October 17, 2025, combines previous core laundry operations (U.S. and Canadian Rental and Cleaning, Manufacturing, and Corporate) with cleanroom solutions, while separating nuclear activities and renaming the first aid segment to more accurately reflect oversight, performance evaluation, and resource allocation.[23] The Uniform & Facility Service Solutions segment represents the company's core business, providing uniform rental and cleaning, protective clothing, non-garment facility services, and cleanroom garment processing primarily in the United States and Canada.[23] It includes manufacturing of branded workwear and floorcare products, as well as services for industries requiring specialized garments.[6] This segment incorporates UniClean, a division focused on cleanroom services for medical device, biotechnology, and pharmaceutical sectors, including laundering, inspection, and packaging of sterile garments.[24] The First Aid & Safety Solutions segment offers first aid cabinet stocking, non-prescription medications, safety supplies, and related training programs to businesses across various industries.[23] It encompasses subsidiaries such as UniFirst First Aid Corporation, which manages cabinet replenishment and safety product distribution; Green Guard, specializing in first aid equipment supply; and Medique Products, involved in manufacturing and packaging of first aid items.[25][18] The Other segment handles niche operations, primarily nuclear protective clothing decontamination and related services through UniTech Services Group, Inc., which operates specialized facilities across the U.S. and Canada for handling radioactive garments.[23] UniTech, established in 1957 and acquired by UniFirst, focuses on compliance with nuclear industry standards for decontamination.[2] Additional subsidiaries like Quick Aid and Prestige Packaging support packaging and distribution within these segments but are not standalone reporting units.[18]Corporate Structure and Leadership
Ownership and Governance
UniFirst Corporation features a dual-class common stock structure, with Class A shares entitled to one vote per share and non-voting economic rights, and Class B shares entitled to ten votes per share.[26] As of November 13, 2023, 15,127,118 Class A shares and 3,590,295 Class B shares were outstanding, comprising total shares of 18,717,413.[26] Class B shares are primarily held by the founding Croatti family and are convertible to Class A on a one-for-one basis, but upon transfer to non-family members, they automatically convert, preserving family voting influence.[26] [27] The Croatti family exercises effective control through ownership of a majority of Class B shares, accounting for over 70% of total voting power as of October 2024.[28] [29] This structure enables family members to influence key decisions, including resistance to acquisition offers, such as those from Cintas Corporation in 2024 and 2025.[30] [31] Institutional investors hold substantial economic stakes in Class A shares, with BlackRock, Inc. owning 2,385,947 shares (12.7% of Class A, 4.7% voting power) and The Vanguard Group, Inc. owning 1,689,223 shares (9.0% of Class A, 3.3% voting power) as of November 2023.[26] The Ronald D. Croatti Trust—1993 held 1,035,734 Class B shares, representing 20.3% of voting power at that time.[26] The board of directors comprises six members, classified into three groups of two with staggered three-year terms, requiring annual election of one class by plurality vote.[26] Cynthia Croatti, a family member and executive vice president, serves as a director; other members include President and CEO Steven S. Sintros and independent directors such as Michael Iandoli, Cecilia McKenney, Joseph M. Nowicki, and Raymond C. Zemlin.[32] [33] The board operates through standing committees, including Audit (chaired by Iandoli), Compensation, and Nominating and Corporate Governance (responsible for director nominations and governance oversight), with most members qualifying as independent under NYSE standards.[32] [26] UniFirst's corporate governance guidelines, adopted by the board, address director qualifications, independence, ethical standards, and annual self-evaluations, while prohibiting interlocking directorships and mandating separation of CEO and board chair roles currently held by distinct individuals.[34] The Nominating and Corporate Governance Committee reviews director candidates from various sources, prioritizing skills in finance, operations, and industry expertise.[35] This framework supports oversight amid family control, though the dual-class structure limits external shareholder influence on board composition.[29]Executive Leadership
Steven S. Sintros has served as President and Chief Executive Officer of UniFirst Corporation since July 2017.[36] He joined the company in 2004, progressing through roles including Finance Manager, Corporate Controller, and Senior Vice President and Chief Financial Officer.[36] Prior to UniFirst, Sintros worked as an Audit Manager at Ernst & Young and Arthur Andersen.[36] Kelly Rooney was appointed Chief Operating Officer in September 2024.[37] She joined UniFirst that year, bringing over 25 years of experience in B2B route-based operations, including a prior role as Chief Human Resources Officer at Waste Management.[36] Rooney oversees efforts in growth, customer service, and operational excellence.[36] Shane F. O'Connor has been Executive Vice President and Chief Financial Officer since 2018.[36] He joined UniFirst in 2005, holding positions such as Finance Manager and Corporate Controller, and served briefly as CFO at Unidine Corporation from 2016 to 2017.[36] O'Connor manages finance and information technology functions.[36] David A. DiFillippo serves as Executive Vice President of Operations, a role he has held since 2002 after joining UniFirst in 1979.[36] His career includes positions as Service Manager, General Manager, and Regional Vice President, and he currently oversees U.S. and Canadian laundry operations as well as product management.[36] William M. Ross is Executive Vice President of Operations since 2016, having joined the company in 1990.[36] He advanced through sales and operations management roles, becoming Regional Vice President in 2002, and directs production and service activities in the East, Midwest, and Southeast U.S. regions.[36] David M. Katz has been Executive Vice President of Sales and Marketing since joining UniFirst in 2009.[36] Previously, he held senior positions at DHL Express, including Northeast Vice President and General Manager roles.[36] In November 2024, Michael Croatti transitioned from his role as Executive Vice President.[37] Cynthia Croatti, formerly Executive Vice President and Treasurer, now serves as a Special Consultant and Advisor to the CEO and senior leadership.[38]Financial Performance
Historical Revenue and Profitability
UniFirst Corporation's revenue has exhibited steady growth over the past decade, driven primarily by organic expansion in its core uniform and facility services segments, supplemented by selective acquisitions and contributions from ancillary businesses such as first aid and safety products. From fiscal year 2020, when revenues totaled $1,803.5 million, to fiscal 2025 ending in late August 2025, annual revenues reached $2,432 million, reflecting a compound annual growth rate of approximately 6.1%.[39][6] Profitability, as measured by net income attributable to UniFirst, has remained relatively stable with net margins typically in the 5-7% range, though subject to variability from factors including cost inflation, investment in technology initiatives like the Key Initiative, and fluctuations in operating expenses. Net income dipped to $103.7 million in fiscal 2023 amid elevated expenses from strategic programs and supply chain pressures, representing a net margin of 4.6%, before recovering to $145.5 million in fiscal 2024 (6.0% margin) and $148.3 million in fiscal 2025 (6.1% margin).[40][41][6] The table below presents key historical data for fiscal years 2020-2025 (fiscal years end on the last Saturday in August):| Fiscal Year | Revenue ($ millions) | Net Income ($ millions) | Net Margin (%) |
|---|---|---|---|
| 2020 | 1,803.5 | 124.4 | 6.9 |
| 2021 | 1,871.3 | 134.7 | 7.2 |
| 2022 | 2,012.9 | 146.0 | 7.2 |
| 2023 | 2,233.0 | 103.7 | 4.6 |
| 2024 | 2,427.4 | 145.5 | 6.0 |
| 2025 | 2,432.0 | 148.3 | 6.1 |
Recent Fiscal Results and Trends
For fiscal year 2025, ending August 31, 2025, UniFirst Corporation reported consolidated revenues of $2.432 billion, reflecting a 0.2% increase from $2.427 billion in fiscal 2024; adjusted for an extra week of operations in the prior year, growth was 2.1%.[44] Operating income rose modestly by 0.5% to $184.5 million, while net income increased to $148.3 million from $145.5 million, yielding diluted earnings per share of $7.98, up from $7.77.[44] Adjusted EBITDA margin improved slightly to 13.8% from 13.7%, supported by organic growth in core segments despite elevated costs from technology implementations.[44] In the fourth quarter of fiscal 2025, revenues totaled $614.4 million, a decline from $639.9 million in the year-ago quarter due to the absence of the extra week, but represented approximately 3.4% growth on an adjusted basis.[44] Operating income fell to $49.6 million (8.1% of revenues) from the prior-year level, with net income at $41.0 million and diluted EPS at $2.23, compared to $44.6 million and $2.39, respectively; these declines were partly attributed to $1.4 million in higher implementation costs for customer relationship management and enterprise resource planning systems.[44]| Metric | Q4 FY2025 | Q4 FY2024 | FY2025 | FY2024 |
|---|---|---|---|---|
| Revenues ($ millions) | 614.4 | 639.9 | 2,432 | 2,427 |
| Operating Income ($ millions) | 49.6 | N/A | 184.5 | 183.6 |
| Net Income ($ millions) | 41.0 | 44.6 | 148.3 | 145.5 |
| Diluted EPS ($) | 2.23 | 2.39 | 7.98 | 7.77 |
Market Position and Competitors
UniFirst maintains a prominent position in the fragmented North American uniform rental and facility services market, which encompasses workplace uniforms, protective clothing, and related services for industries including manufacturing, healthcare, and hospitality. The company reported consolidated revenues of $2.432 billion for fiscal year 2025, reflecting a modest 0.2% increase from the prior year and underscoring its scale relative to smaller regional providers.[6] This revenue positions UniFirst as one of the top three players by size in the U.S. segment, where the overall uniform and textile services industry is valued at approximately $19 billion, with leading firms accounting for over 40% of volume collectively.[2] The market's fragmentation, characterized by numerous local operators alongside national giants, allows UniFirst to leverage its extensive network of over 300 facilities and 16,000 employees for competitive differentiation through service reliability and customization.[45] Primary competitors include Cintas Corporation, the dominant market leader with fiscal 2025 revenues of $10.34 billion, driven by its broader portfolio in uniforms, facility maintenance, and safety products. Vestis Corporation, formed from Aramark's 2023 spin-off of its uniform operations, represents another key rival, posting quarterly revenues around $670 million in fiscal 2025, annualizing to roughly $2.6-2.7 billion focused exclusively on uniform rentals and workplace supplies.[46] Private entities like Alsco Inc. also compete, particularly in linen and uniform rentals, though with less transparent financials. Together, Cintas, Vestis, UniFirst, and Alsco control an estimated 28% of the U.S. uniform services market as of 2024, highlighting the oligopolistic tendencies among top-tier providers amid broader industry consolidation.[47] UniFirst differentiates through its emphasis on core uniform rental (comprising the bulk of its revenue) and targeted facility services, though it faces pressure from Cintas' scale advantages in pricing and cross-selling.[48]| Company | Fiscal 2025 Revenue (USD Billion) | Primary Focus |
|---|---|---|
| Cintas Corporation | 10.34 | Uniforms, facilities, safety products |
| UniFirst Corporation | 2.43[6] | Uniform rentals, facility services |
| Vestis Corporation | ~2.6 (annualized from Q3)[46] | Uniform rentals, workplace supplies |