Rollins, Inc. Q1 FY2026 earnings call

• Jerry reported strong first quarter results with sequential acceleration, total revenue growth 10.2% and organic growth 6.6%. Demand was slow at start due to weather but March had over 8% organic growth. • Announced acquisition of Romex Pest Control, a top 40 pest management company, which provides entry into new markets and has a strong culture. • Commercial side saw solid growth, with strategic addition of resources to Orkin Commercial delivering new customer wins. • Focus on operational efficiency and continuous improvement, with considerations of staffing levels to avoid negative impacts on customer experience. • Teams are well staffed for sales, technicians, and customer support.

Total revenue growth was 10.2% and organic growth was 6.6%. Resi revenues increased 9.3%, commercial pest control rose 9.6%, and termite and ancillary increased by 13.5%. Organic growth was 4.2% in residential, 7.7% in commercial, and almost 10% in termite and ancillary.

• Expect fuel costs to continue to track below 2% of sales in 2026. • Expect price to contribute 3% to 4% of growth for the year ahead of CPI and be positive on price costs at that level. • Expect M&A to contribute 2% to 3% of revenue growth for 2026. • Expect effective tax rate to come in under 25% for the year, down approximately 100 basis points from historical levels.

• Actual results may differ materially from any statement made on the call due to a number of risks and uncertainties. • Please refer to yesterday's press release and the company's SEC filings, including the risk factors section of our Form 10-K for the year ended December 31st, 2025.