Net earnings also benefited from lower interest expense. Interest expense in the current quarter was $1.3 million, down from $2.2 million in the prior-year period, primarily due to a lower effective interest rate, partially offset by increased debt levels.
Balance Sheet and Cash Flow The company ended the fiscal year with total debt, net of cash, of $198.6 million and a debt to total capital ratio of 35.1 percent. Total debt, net of cash, increased by $85.7 million compared to the prior year, due to increased borrowings used to fund the $6.00 per share special dividend payment made during the quarter. Total stockholders’ equity at the end of the fourth quarter was $403.1 million.
The company delivered another year of strong cash flow. Cash provided by operating activities during the fiscal year improved to $73.0 million, an increase of $6.0 million compared to $67.0 million in the prior year. Capital expenditures for the year were $34.0 million, up from $20.7 million in the prior year period, due to increased investments to enhance productivity and support profitable revenue growth.
Outlook The company expects to drive continued performance gains in fiscal year 2013, despite slow employment growth and persistent weakness in the economy. The company expects fiscal 2013 revenue to be in the range of $890 million to $910 million, with earnings per diluted share between $2.20 and $2.40.Conference Call Information The company will host a conference call today at 10:00 a.m. Central Time to discuss its financial results and outlook. The call will be webcast and is available in the Investor Relations section of the company’s web site at www.gkservices.com. A replay of the call will be available on the company’s web site through September 16, 2012. Safe Harbor for Forward-Looking Statements Statements made in this press release concerning the company’s intentions, expectations or predictions about future results or events are “forward-looking statements” within the meaning of The Private Securities Litigation Reform Act of 1995. These statements reflect the company’s current expectations or beliefs, and are subject to risks and uncertainties that could cause actual results or events to vary from stated expectations, which could be material and adverse. You are cautioned not to place undue reliance on these statements, and the company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Information concerning potential factors that could affect future financial results is included in the company’s Annual Report on Form 10-K for the fiscal year ended July 2, 2011.