APi Group Corporation

Good morning, ladies and gentlemen, and welcome to API Group's first quarter 2026 financial results conference call. All participants are now in a listen-only mode and until the question and answer session. We ask that all participants limit themselves to one question and one follow-up during the question and answer session. Please note, this call is being recorded. I will be standing by should you need any assistance. I will now turn the call over to Adam Walters, Senior Director of Investor Relations at API Group. Please go ahead.

Thank you. Good morning, everyone. And thank you for joining our first quarter 2026 earnings conference call. Joining me on the call today are Russ Becker, our President and CEO, and David Jackla, our Executive Vice President and CFO. Before we begin, I would like to remind you that certain statements in the company's earnings press release and on this call are forward-looking statements which are based on expectations, intentions, and projections regarding the company's future performance, anticipated events or trends, and other matters that are not historical facts. These statements are not a guarantee of future performance and are subject to known and unknown risks, uncertainties, and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. In our press release and filings with the FCC, we detail material risks that may cause our future results to differ from our expectations. Our statements are as of today, April 30th, and we undertake no obligation to update any forward-looking statement we may make, except as required by law. As a reminder, we have posted a presentation detailing our first quarter financial performance on the investor relations page of our website. Our comments today will also include non-GAAP financial measures and other key operating metrics. The reconciliation of and other information regarding these items can be found in our press release and our presentation. It is now my pleasure to turn the call over to Russ.

Thank you, Adam. Good morning, everyone. Thank you for taking the time to join our call this morning. I want to start by thanking our 29,000 teammates for their dedication to API. The safety, health, and well-being of each of our leaders is our number one value. We remain deeply committed to investing in their growth and development. This is at the heart of our purpose, building great leaders. Our people are what set this company apart, and I'm truly grateful for everything they do. In 2026, API is celebrating its 100-year anniversary by embracing the theme of gratitude. API was founded in 1926 as a small plumbing business in St. Paul, Minnesota. Today, we are a global market-leading business services company with more than 500 locations around the world. When I think about that journey, where we started and where we are today, I am truly humbled. We have so much to be grateful for. We are honoring this milestone by giving back to the communities that we serve and by celebrating with our teammates, customers, and communities that helped us along this journey. We are off to a strong start in 2026. Before we get into the financial results, I wanted to touch on a few first quarter highlights. From an M&A perspective, we closed the acquisition of CertiCite in February, an inspection first provider of comprehensive fire and life safety services across the Midwest. Earlier this month, we announced an agreement to acquire Ireland-based WTEC Fire Group, which adds to our fire sprinkler and suppression capabilities across Europe, a key strategic growth area for our international business. And just last week, we announced an agreement to acquire Onyx Fire Protection Services, a leading provider of fire and life safety services in Canada, with an inspection-first mindset and a strong recurring revenue base. This acquisition positions us well in Canada, which we view as an attractive fire and life safety and electronic security market. We expect Onyx Fire to close in the second quarter and WTech Fire to close in the third quarter of this year. We will update our full year guidance on future earnings calls after these transactions close. In total, these three acquisitions represent an investment of more than $1 billion to further build out our safety services segment across the U.S., Europe, and Canada. Each of these acquisitions is accretive to our 10, 16, 60-plus financial targets, And equally important, these businesses are all excellent cultural fits, and we are excited to welcome our new teammates to the API family. We also completed four bolt-on acquisitions during the quarter, and we remain on track to deploy approximately $250 million in bolt-on M&A at attractive multiples this year, including opportunities within the international business and the elevator and escalator services businesses. Our systems and business enablement program continues to advance well earlier this month, our first pilot company went live on our new business our new business systems. Our teams have done a tremendous amount of work to get to this point, and while there is still work ahead of us, we are tracking in line with our expectations. Now turning to our strong first quarter results. the business continues to build momentum, delivering robust top-line growth while expanding margins. We continue to deliver solid growth in inspection, service, and monitoring revenues while capitalizing on the robust project environment. We expanded our adjusted EBITDA margins. And as I mentioned earlier, we continue to drive our M&A strategy to further strengthen and expand our global platform. For the quarter, net revenues increased by 15%, approximately 10% organically, with strong growth across both segments. In our safety services segment, revenues grew organically by approximately 5%, while expanding segment earnings margins by 60 basis points. Our specialty services segment continued its momentum, delivering approximately 25% organic growth, while expanding segment earnings margins by 50 basis points. Importantly, we continue to see solid growth in inspection revenues, and we remain confident in our ability to sustain that momentum. Our team continued to focus on margin expansion, with adjusted EBITDA margins expanding 70 basis points year over year. We expect to see continued margin expansion for the year, largely driven by the same initiatives that we have been executing. These include the following. First, consistent organic growth. Improved inspection service and monitoring revenue mix. Discipline customer and project selection. Pricing. Branch and field optimization. Procurement systems and scale. Accretive M&A and selective business pruning. And as I always like to say, we can always just be better. The first quarter was another strong quarter for cash flow, as the business generated $125 million in adjusted free cash flow. In addition, we ended the quarter with a net leverage ratio of approximately 1.8 times, well below our long-term target. Our consistent free cash flow generation and strong balance sheet continue to provide us flexibility to pursue a range of value-enhancing capital deployment opportunities to support our 10, 16, 60-plus financial targets. As a reminder, these targets are the following. $10 billion in net revenues by 2028, supported by consistent mid-single-digit organic growth and accretive M&A. 16%-plus adjusted EBITDA margin by 2028. 60% plus of our revenues from inspection, service and monitoring over the long term. And $3 billion of cumulative adjusted free cash flow through 2028. I'm proud of our team for the strong momentum we have built to start the year. Our inspection, service and monitoring business continues to expand. Our backlog is robust and healthy. and our balance sheet provides us with the flexibility to continue executing on our capital deployment priorities. I would now like to hand the call over to David to discuss our first quarter financial results and guidance in more detail. David?