Rollins (ROL) Investor presentation summary

Long-term financial performance

• Achieved a 7% CAGR in revenue, 14% in operating cash flow, 18% in adjusted EBITDA, and 21% in average annual TSR from 2000 to the latest period.

• Maintained consistent revenue and EBITDA growth through economic cycles, including the Great Financial Crisis and COVID pandemic.

• Adjusted EBITDA margins improved from 5% in 2000 to 23% in recent years, with free cash flow conversion consistently above 100% since 2002.

Business model and growth strategy

• Compounds revenue, earnings, and cash flow by acquiring and growing market-leading pest control businesses.

• Employs a multi-brand, multi-channel approach to customer acquisition, reducing reliance on any single channel.

• Operates in a fragmented market, providing significant runway for disciplined M&A and expansion.

• Preserves acquired brands to support customer and employee retention, leveraging scale for revenue and cost synergies.

Capital allocation and modernization

• Allocated $2.6B from 2022 to Q3 2025 across dividends, M&A, share repurchases, and capex.

• Increased regular dividend by 80% since 2022 and executed opportunistic share repurchases, including $500M in 2023 and 2025.

• Upsized revolver to $1B, achieved investment grade credit ratings, and issued $500M in bonds.

• Transitioned to non-controlled status with family ownership below 50% and expanded board and analyst coverage.