SiteOne(SITE) - 2023 Q3 - Earnings Call Presentation

Acquisitions and Market Expansion - SiteOne closed on July 3rd, expanding its hardscapes presence in the Connecticut market[3,4] - SiteOne closed on August 28th, extending its landscape supplies and nursery presence in Houston[9,29] - SiteOne closed six acquisitions in Q3 2023, including Hickory Hill Farm & Garden, New England Silica, Timothy's Center for Gardening, Pioneer Landscape Centers, Regal Chemical, and JMJ Organics[63] - SiteOne establishes itself as the 1 bulk landscape supplies distributor in Colorado and Arizona, adding 34 branches[116] Financial Performance (Q3 2023) - Net sales increased 4% year-over-year to $1.15 billion[77,97] - Organic Daily Sales decreased 2% due to price deflation for commodity products[63,97] - Acquired sales growth was $64.7 million, contributing 6% to the overall growth rate[97] - Gross profit was largely unchanged at $388.1 million, but gross margin contracted 130 basis points to 33.9%[96,97] - Adjusted EBITDA decreased 12% to $119.8 million, with Adjusted EBITDA margin contracting 180 basis points to 10.5%[96,97] - Net income decreased 22% to $57.3 million[63] Financial Position - Net debt was $446.0 million, compared to $376.6 million in the prior year[98] - Net debt / Adjusted EBITDA was 1.1x, compared to 0.8x in the prior year[98] Market Overview and Strategy - SiteOne operates in a ~$25 billion highly fragmented market[10] - The company estimates it has only ~16% market share[56]