Financial Data and Key Metrics Changes - Rollins achieved a milestone of $3.8 billion in revenue for fiscal 2025, reflecting an 11% growth for the year, with organic growth at 6.9% [5][12] - Adjusted EBITDA grew by 10.8% to $854 million, while operating cash flow reached $678 million, and free cash flow was $650 million, up 11.6% and 12.1% respectively [12][13] - Fourth quarter revenue increased by 9.7%, with organic growth at 5.7% compared to the previous year [12][14] Business Line Data and Key Metrics Changes - Revenue from one-time business in the fourth quarter declined by almost 3%, contrasting with a year-to-date growth of 4% [5][14] - Recurring revenue and ancillary services, which represent over 80% of total revenue, grew at over 7% organically for both the quarter and the year [6][14] - In the fourth quarter, residential revenue increased by 9.7%, commercial pest control grew by 8.7%, and termite and ancillary services rose by 11.9% [12][14] Market Data and Key Metrics Changes - Erratic weather patterns negatively impacted demand for one-time projects, particularly in the Midwest and Northeast [5][15] - The company noted that the stability of growth in recurring and ancillary areas provides confidence in the outlook, which is anchored to 7%-8% organic growth [15][22] Company Strategy and Development Direction - Rollins is focused on enhancing customer experience and investing in team development to drive organic growth and acquisitions [10][11] - The company is committed to maintaining healthy staffing levels ahead of peak seasons to optimize customer service [7][9] - A robust M&A pipeline is in place, with expectations of contributing 2%-3% growth from acquisitions in 2026 [10][80] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the health of underlying markets and customer retention rates, despite challenges from weather [6][30] - The company anticipates continued organic growth in the range of 7%-8% and is focused on improving incremental margin profiles while investing in growth opportunities [22][23] - Management acknowledged the impact of weather on business operations but remains optimistic about the team's engagement and ability to deliver results [88] Other Important Information - The company closed the acquisition of Saela and completed 26 additional tuck-in deals, with Saela's performance exceeding expectations [10][78] - Free cash flow conversion was 137% for the quarter, with significant investments in share repurchases and dividends [20][21] Q&A Session Summary Question: Can you expand on the 7% growth in recurring and ancillary business? - Management highlighted strong customer retention and low rollback percentages, indicating a healthy consumer base, and noted that Orkin had its best customer growth performance since the COVID era [30][31] Question: How did weather disruptions impact different segments? - Management explained that the one-time business was significantly affected by weather, particularly in the residential and commercial sectors, while recurring revenue remained strong [38][39] Question: What is the margin profile of the one-time business? - The one-time business typically has a better margin profile than recurring services, contributing positively to overall results despite being a smaller portion of the business [47] Question: What are the expectations for Q1 relative to the rest of the year? - Management expects a slower start to the year due to weather impacts but remains confident in achieving the annual growth target of 7%-8% [50] Question: What are the competitive dynamics in the industry? - Management noted no significant changes in the competitive environment and emphasized ongoing investments to maintain a strong market position [56][58] Question: Can you provide details on Saela's performance and M&A pipeline? - Saela contributed $16 million in revenue for the quarter and $55 million year-to-date, with expectations of continued M&A growth contributing 2%-3% in 2026 [78][80]

Rollins (NYSE:ROL) Q4 2025 Earnings call February 12, 2026 08:30 AM ET Speaker10Greetings. Welcome to Rollins, Inc., fourth quarter 2025 earnings conference call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note, this conference is being recorded. I will now like to turn the conference over to Lyndsey Burt ...

ROLLINS, INC. REPORTS FOURTH QUARTER AND FULL YEAR 2025 FINANCIAL RESULTS [Accessibility Statement] Skip Navigation24th consecutive year of revenue growth; FY 2025 Delivered Double- Digit Revenue, Earnings, and Cash Flow GrowthATLANTA, Feb. 11, 2026 /PRNewswire/ -- Rollins, Inc. (NYSE:ROL) ("Rollins" or the "Company"), a premier global consumer and commercial services company, reported financial results for the fourth quarter and full year of 2025.2025 Fourth Quarter Highlights(All comparisons against the f ...

Company Overview - Rollins, Inc. (ROL) is a global leader in pest control services, operating through well-known brands like Orkin to protect homes and businesses from pests and termites [1] Investment Perspective - The company focuses on identifying undervalued stocks with a promising outlook, emphasizing a balance between risk and reward [1] - The investment philosophy suggests that the best ideas are often the simplest, and a contrarian approach may yield better results [1]

Core Viewpoint - Rollins, Inc. will release its fourth quarter and full year results for the period ended December 31, 2025, on February 11, 2026, after market close, followed by a conference call on February 12, 2026, at 8:30 a.m. Eastern Time to discuss the financial and operating results [1]. Group 1 - Rollins, Inc. is a premier global consumer and commercial services company providing essential pest control services to over 2.8 million customers across multiple continents [3]. - The company operates with approximately 22,000 employees from more than 800 locations worldwide [3]. - Rollins, Inc. is the parent company of various brands, including Orkin, Clark Pest Control, and Critter Control, among others [3]. Group 2 - Individuals wishing to participate in the conference call can do so by calling designated domestic and international numbers, with a conference ID provided [2]. - The conference call will also be available via live internet broadcast, and a replay will be accessible on the company's website for 180 days for those unable to join [2].

Core Insights - Rollins, Inc. will hold a 2025 Sell-Side Analyst Conference on December 9, 2025, at 9 a.m. Eastern Time, where key strategic initiatives and future value creation opportunities will be discussed by the leadership team [1][2]. Company Overview - Rollins, Inc. is a premier global consumer and commercial services company providing essential pest control services to over 2.8 million customers across multiple continents, employing more than 20,000 individuals from over 800 locations [3][4]. - The company operates under various leading brands, including Orkin, Aardwolf Pestkare, and Clark Pest Control, among others [3].

Core Viewpoint - Rollins reported strong Q3 2025 earnings, with both earnings and revenues exceeding estimates, indicating a positive demand environment for its services [2][3]. Financial Performance - Adjusted earnings were 35 cents per share, surpassing the consensus estimate by 9.4% and reflecting a year-over-year increase of 20.7% [3]. - Revenues reached $1 billion, slightly beating the consensus mark and showing a 12% year-over-year improvement [3]. - Organic revenues amounted to $982.1 million, marking a 7.2% increase year over year [3]. Segment Performance - Residential revenues grew by 11.2% year over year to $476.3 million, exceeding estimates [4]. - Commercial revenues increased by 11.8% year over year to $335 million, also surpassing estimates [4]. - Termite and ancillary revenues rose by 15.2% year over year to $204.7 million, though this fell short of estimates [4]. Profitability Metrics - Adjusted EBITDA was $258.3 million, a 17.7% increase year over year, exceeding expectations [5]. - Adjusted EBITDA margin improved to 25.2%, up 120 basis points year over year [5]. Cash Flow and Financial Position - Cash and cash equivalents at the end of the quarter were $127.4 million, up from $123 million in the prior quarter [6]. - Long-term debt slightly increased to $485.7 million [6]. - The company generated $175.1 million in cash from operating activities, with free cash flow at $168 million [6]. - Dividends paid during the quarter totaled $79 million [6]. Market Sentiment and Outlook - There has been an upward trend in estimates revisions for Rollins, indicating positive market sentiment [7]. - Rollins holds a Zacks Rank 2 (Buy), suggesting expectations for above-average returns in the coming months [9].

Core Points - Rollins, Inc. announced the closing of a secondary public offering of 17,391,305 shares of its common stock at a price of $57.50 per share [1][10] - The offering included 2,608,695 shares sold due to the underwriters' full exercise of an option [1] - Rollins did not sell any shares and did not receive any proceeds from the offering [2] Offering Details - The company repurchased 3,478,260 shares for approximately $200 million at the same price as the offering [3] - The offering was conducted under a shelf registration statement filed with the SEC, which was declared effective on June 22, 2023 [4] Company Overview - Rollins, Inc. is a global consumer and commercial services company providing pest control services to over 2.8 million customers across multiple continents [6]

Core Viewpoint - Rollins, Inc. announced a secondary public offering of 17,391,305 shares at a price of $57.50 per share, expected to close on November 12, 2025 [1][2]. Offering Details - The underwriter has a 30-day option to purchase an additional 2,608,695 shares from the Selling Stockholders [2]. - Rollins will not sell any shares and will not receive any proceeds from the offering [2]. - Selling Stockholders have entered into lock-up agreements for 365 days, restricting certain transactions regarding their shares [3]. Share Repurchase - Rollins has agreed to repurchase 3,478,260 shares for approximately $200 million at the same price as the offering, with the completion expected to close concurrently with the offering [4]. Underwriter Information - Morgan Stanley is acting as the sole bookrunner for the offering [5]. Regulatory Compliance - The offering is made under a shelf registration statement previously filed with the SEC, effective since June 22, 2023 [6].

Core Viewpoint - Rollins, Inc. has announced a proposed secondary public offering of $1.0 billion of its common stock by existing stockholders LOR, Inc. and Rollins Holding Company, Inc. [1][2] Offering Details - The underwriter has a 30-day option to purchase an additional $150 million of shares from the Selling Stockholders [2] - Rollins will not sell any shares and will not receive any proceeds from the offering [2] - Each Selling Stockholder is expected to enter into a 365-day lock-up agreement from the pricing date of the offering [3] Share Repurchase - The company intends to repurchase approximately $200 million of the shares being offered at the same per share price paid by the underwriter [4] - The completion of the share repurchase is conditioned on the closing of the offering [4] Underwriter Information - Morgan Stanley is acting as the sole bookrunner for the offering [5] Regulatory Compliance - The offering is made pursuant to a shelf registration statement on Form S-3 previously filed with the SEC [6] - A preliminary prospectus supplement will be filed with the SEC, and copies can be obtained from the SEC or Morgan Stanley [6]