Rollins, Inc.

Greetings and welcome to the Rollins fourth quarter 2024 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, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce Lindsay Burton, Vice President of Investor Relations. Thank you. You may begin.

Thank you. In addition to the earnings release that we issued yesterday, the company has also prepared a supporting slide presentation. The earnings release and presentation are available on our website at www.rollins.com. We have included certain non-GAAP financial measures as part of our discussion this morning. The non-GAAP reconciliations are available in the appendix of today's presentation as well as in our earnings release. The company's earnings release discusses the business outlook and contains certain forward-looking statements. These particular forward-looking statements and all other statements that have been made on this call, including historical facts, are subject to a number of risks and uncertainties, and actual results may differ materially from any statement we make today. Please refer to yesterday's press release and the company's SEC filings, including the risk factor section of our Form 10-K for the year ended December 31st, 2024, which will be filed later today. On the line with me today and speaking are Jerry Galoff, President and Chief Executive Officer, and Ken Krause, Executive Vice President and Chief Financial Officer. Management will make some opening remarks and then we'll open the line for your questions. Jerry, would you like to begin?

Thank you, Lindsay. Good morning, everyone. Fiscal 2024 was another solid year for Rollins as we achieved a milestone of $3.4 billion in revenue. Our business remains healthy on all fronts as demand remains strong throughout the year across all major service offerings. As full year revenue increased 10.3% versus last year, we grew earnings by 7.9% and adjusted earnings per share by 11.2%. Organic growth for the year of 7.9% was bolstered by strong execution of our operating strategies and continued investment in people and staffing to meet the continued demand in our markets. We strategically allocated resources to the commercial side of our business as we opened a dedicated commercial division within Orkin. Through this focus, we grew our sales force by more than 15% in the last year and invested in support, training, and tools to help new sales professionals get up to speed quickly and effectively. As Kim will discuss, these investments have been in the second half of the year. But we are confident in our ability to yield a strong return on these investments as we head into 2025. Our service quality is high, our offerings are customized, and we believe that we are well positioned to capitalize on growth opportunities within a multi-billion dollar B2B market. Investments to drive organic growth are complemented by strategic M&A. And in 2024, we closed 44 tuck-in deals. We have a robust M&A pipeline with a number of opportunities that we are actively evaluating to drive additional growth. Operationally, we remain committed to hiring and developing top talent. The hiring environment was healthy in 2024 as we put significant energy into onboarding the right people in both support functions as well as the customer-facing side of our business. Effective sales and service staffing levels helped us capitalize on continued demand and deliver solid results for the year. We're proud of the tenure and experience of our team, as well as their engagement level and commitment to both our company and our customers. While overall teammate retention has been consistently healthy, there's opportunity for improved retention of our newer teammates, specifically those who are with us for six months or less. We made positive strides in this area throughout 2024 by updating our training and onboarding programs to better address key milestones in the early days that a new team member is with us. Another important part of our culture is our dedication to continuous improvement, and our focus on safety is a key element of this. There's nothing more important than ensuring our teammates make it home safely at the end of the day. And in 2024, we implemented several new programs to continue building our safety culture here at Rollins. Our newly revamped onboarding program also includes enhanced safety training intended to equip our drivers with the technical skills, awareness, and courtesy needed to uphold the driver safety standards we expect. While we are proud of the progress we have made, there is a long tail associated with safety claims that we continue to work through. This is evidenced by our insurance and claims experience in the fourth quarter, which Ken will discuss in more detail. Improving a safety culture isn't something that's done overnight, but we are committed to reducing our claims pipeline over time through ongoing safety efforts. As we look ahead to 2025, we're encouraged by the opportunities that are in front of us across all aspects of our business. Momentum is strong as we finish 2024 with the highest quarterly organic growth rate that we saw all year. Our residential business also had its best quarter of the year, growing 6.5% organically. We have meaningfully grown our commercial sales force under the banner of a new work and commercial division to better align the management of these resources and drive results. Our modernization efforts are progressing well. but we are still early in our journey and see a multitude of areas to drive incremental change. As Ken will discuss, Fitch and S&P have recently announced investment-grade corporate credit ratings for our company that will provide us with another important access point to the capital markets as we execute our growth strategy. Most importantly, We remain committed to providing our customers with the best customer experience and investing meaningfully in our team to drive growth, both organically as well as through disciplined acquisitions. We're pleased with where our business stands today and what lies ahead of us in 2025. And I want to thank each of our 20,000 plus teammates around the world for their efforts and contribution to our success in 2024. I'll now turn the call over to Ken. Ken?