NEW YORK, NY - 
(NewMediaWire) - May 7, 2024 - Kaplan Fox & Kilsheimer LLP (www.kaplanfox.com) is investigating claims on behalf of investors of Vestis Corporation (“Vestis” or the “Company”) (NYSE: VSTS). Click here to join the investigation.
Vestis provides uniform and workplace supplies and is the result of the September 30, 2023 spin-off of Aramark’s workplace supplies and uniform business.
On May 2, 2024, Vestis issued a press release reporting its earnings for the second-quarter ended March 29, 2024. The Company’s press release acknowledged a “revenue shortfall” and stated “[o]ur results in the quarter and outlook for the year are not in line with expectations . . .” In connection with its second quarter results, the Company lowered its fiscal 2024 revenue growth guidance from the previous range of 4.0 to 4.5% to growth in the range of negative 1% to 0%. During the conference call that followed, the Company explained that “[c]ustomer losses reduced second quarter revenues by 9% year-over-year, more than offsetting our new business growth.” Further, the Company’s President and CEO, Kim Scott, explained that Vestis needed to improve its processes and procedures to “do a better job on being on time, being complete, being fully loaded and putting metrics around that, so that we’re delivering consistently the expectations that our customers have for us.”
Following this news, the price of Vestis shares fell by $8.31 per share, about 45%, to close at $10.16 per share on May 2, 2024.
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If you have any questions about this investigation, please contact:
Pamela A. Mayer
KAPLAN FOX & KILSHEIMER LLP
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(646) 315-9003
E-mail: pmayer@kaplanfox.com
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KAPLAN FOX & KILSHEIMER LLP
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(415) 772-4704
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E-mail: lking@kaplanfox.com
