Hillman Solutions (HLMN) Investor Day 2026 summary

Vision and strategy

• Outlined a five-year plan to grow revenue from $1.6B to $2.5B, focusing on expanding both core and pro markets, with a blueprint centered on owning and expanding the core, winning the Pro, and disciplined ROIC-driven growth.

• Focused on three strategic pillars: Own the Core, Expand Categories, and Win the Pro, underpinned by disciplined capital allocation and ROIC focus.

• Targeting an expanded TAM from $6.5B to $18B by growing in retail, pro distribution, and industrial MRO, with growth in both core retail and largely untapped Pro and industrial channels.

• Strategic M&A and innovation in adjacent categories are key levers for incremental growth.

• Leadership team strengthened with new roles dedicated to pro and LBM channels, positioned to execute the value creation strategy.

Financial performance and guidance

• Achieved 600 bps gross margin expansion and 300 bps EBITDA improvement over five years, with margin expansion driven by operational efficiencies, supply chain optimization, and category mix.

• Reduced net debt by over $250M and leverage by more than 2x, maintaining target leverage at or below 2.5x.

• Five-year objectives: 8–12% revenue CAGR, low double-digit EBITDA growth, high-teens ROIC, and $2.5B in net sales by 2030.

• Free cash flow conversion expected to remain at or above 100%, supporting ongoing investments and share buybacks.

• New business wins target increased from 2%+ to 4%+ annually, driven by pro channel momentum.

Core business and category expansion

• Core defined as existing categories sold to current customers, with a differentiated solution and deep customer relationships.

• Over 111,000 SKUs managed, sold in 29,000 retail locations, with innovation and category management as key strengths.

• Organic growth through category expansion and new product innovation, leveraging customer-driven and market-driven launches.

• Scaling the Power Pro product line to double revenue to $200M by 2030 through deeper Pro channel penetration.

• Recent wins include displacing competitors in key categories and launching Power Pro 4.0, a flagship innovation.