Vestis Corp (VSTS)

Vestis Corporation is a leading provider of uniform rentals and workplace supplies across the United States and Canada, with fiscal 2025 revenue of approximately $2.7 billion. It has more than 75 years of experience and describes itself as the second largest provider in its industry in the two countries, behind Cintas and ahead of UniFirst. The company was spun off from Aramark on September 30, 2023, and its common stock trades on the NYSE under the symbol "VSTS". In fiscal 2025 it reported operating income of $64.4 million and a net loss of $40.2 million. In the first quarter of fiscal 2026 it began a multi-year business transformation and restructuring plan aimed at improving profitability and cash flow.

Vestis offers a full-service uniform program covering design, sourcing, manufacturing, customization, delivery, laundering, sanitization, repair and replacement. Garments include shirts, pants, outerwear, gowns, scrubs, high-visibility, flame-resistant and particulate-free items, plus shoes and accessories. It also supplies floor mats, towels, linens, restroom supplies, first-aid supplies and safety products. For cleanroom customers, it provides static dissipative and sterile garments, barrier apparel and contamination control supplies. Recurring rental business made up 95% of revenue and direct sales, mainly customized uniforms for large regional or national companies, made up 5%. Products and services are sold through sales representatives, telemarketing, route service representatives, territory managers and digital platforms.

The company serves more than 300,000 customer accounts, from single-location family businesses to large corporations and national franchises. Its customers are in manufacturing, hospitality, retail, food processing, pharmaceuticals, healthcare, automotive and government. The ten largest customers accounted for less than 10% of revenue. Most customers are served weekly under multi-year contracts, and rental customers typically agree to pay exit costs if they terminate early without cause. About 91% of fiscal 2025 revenue came from the United States and 9% from Canada. Vestis serves over 95% of the largest U.S. metropolitan statistical areas and every Canadian province.

Operations run through more than 325 sites, including laundry plants, satellite plants, distribution centers and manufacturing plants, supported by over 3,300 pick-up and delivery routes. About 60% of its uniforms and linens are made in its two manufacturing plants in Mexico. It buys raw materials and finished goods from domestic and international suppliers, and some items rely on a single supplier. The company has about 18,150 teammates, roughly 10,750 of whom are represented by unions. The industry is local, fragmented and highly competitive, with competition on product range, product and service quality, and price. Besides Cintas and UniFirst, Vestis competes with many regional and local providers and with businesses that handle these services in-house. Its corporate headquarters are in Roswell, Georgia.