Brianna Kamdoum

Brianna Kamdoum of UBS asked about the expected trajectory of UniFirst's margins in fiscal 2026, specifically if margin expansion is anticipated at any point during the year. She also inquired about the expected impact of softer nuclear results in fiscal 2026 and which quarters are more likely to experience softness.

Answer

President and CEO Steven Sintros indicated that UniFirst does not typically provide quarterly breakdowns but expects margins to generally follow historical patterns, with tariff impacts likely becoming more pronounced in the latter half of the year. EVP and CFO Shane O'Connor added that the second quarter typically sees lower profitability due to specific costs. For the nuclear business, Steven Sintros expects the wind-down of a large project to occur over Q1, making Q1 and Q3 seasonally strong, but Q1 may be more pronounced this year, with normal seasonality otherwise.

Brianna Kamdoum of UBS inquired about the expected trajectory of UniFirst's margins throughout fiscal 2026, specifically asking if any periods of margin expansion are anticipated during the year. She also asked for details on the expected impact of softer nuclear segment results in fiscal 2026 and which quarters are most likely to experience this softness.

Answer

President and CEO Steve Sintros indicated that while quarterly breakdowns are not typically provided, margins are expected to follow historical patterns, with tariff impacts likely becoming more pronounced in the latter half of the year. EVP and CFO Shane O'Connor added that the second quarter historically shows lower profitability due to specific costs. Regarding the nuclear segment, Mr. Sintros explained that the wind-down of a large project is expected over the first quarter, making Q1 2026 potentially 'a little more pronounced' in softness, with Q1 and Q3 typically being the strongest quarters for that business.