ROLLINS (ROL) Company Report

CFO Kenneth Krause reported 12% Q3 revenue growth, 20%+ earnings growth, and 30%+ cash flow growth, driven by above-7% organic growth and 35% incremental margins.
The company executed a $1.2 B equity sell-down, completed its first-ever bond offering securing an investment-grade rating, and used its commercial paper program to repurchase $200 M of shares.
Modernization efforts include hiring new finance leadership, implementing CPI+ pricing, shared services, AI-enabled call center training, and back-office system standardization.
M&A strategy targets 2%–3% of annual revenue from acquisitions (2025 expected ~4%), focusing on tuck-ins that outgrow Rollins’ organic growth rate.
The dividend has been increased 82% over three years, including an 11% recent hike, with payout maintained below 50% of operating cash flow.

Nov 13, 2025, 7:45 PM

Transcript

Rollins outlines growth, modernization and capital allocation priorities at Baird conference

ROL

M&A

Share Buyback

Debt Issuance

Q3 results delivered 12% revenue growth, >20% earnings growth and >30% cash flow growth, with organic growth above 7% and 35% incremental margins.
Since 2000, Rollins has achieved a 7% revenue CAGR, 14% EBITDA CAGR, 18% operating cash flow CAGR and >20% average annual TSR.
Executed over $3 billion of equity offerings since 2023—including a $1.2 billion share sale—and completed its first bond issuance to secure an investment-grade rating.
Capital allocation balanced between dividends, buybacks and M&A: dividend up 82% over three years (11% hike recently), $200 million of stock repurchased at a 1.8% discount, and reinvestment in acquisitions.
Targets 2–3% annual revenue from M&A in its highly fragmented market and is driving modernization across pricing (CPI-plus), back office, AI initiatives and route-management systems to boost efficiency and cross-sell.

Nov 13, 2025, 7:45 PM

Transcript

Rollins highlights growth and capital allocation at Baird Conference

ROL

Debt Issuance

Dividends

M&A

Strong operational performance: Q3 saw 12% revenue growth, 20%+ earnings growth, 30%+ cash flow growth, and 7%+ organic growth; since 2000, revenues, EBITDA, and operating cash flow have compounded at 7%, 14%, and 18%, respectively.
Capital markets activity: Completed a $1.2 billion equity sale to its largest shareholder without a discount and has issued over $3 billion of equity since 2023; executed the company’s first-ever bond offering in February, securing an investment-grade rating and establishing a commercial paper program to support share repurchases.
Share repurchase and dividends: Repurchased $200 million of stock via commercial paper on Monday at a 1.8% discount; increased the regular dividend by 11% in the latest raise, bringing the three-year dividend increase to 82% while maintaining a payout ratio below 50% of cash flow.
M&A strategy: Targets 2%–3% annual revenue growth from acquisitions, with 3%–4% M&A-driven growth in the current year; recent tuck-ins include the SALA acquisition in April, which is accretive to overall organic growth.
Modernization efforts: Investing in back-office transformation—shared services, AI tools in call centers, tax optimization initiatives to lower the effective tax rate—and evaluating expansion of proprietary route-optimization software across brands to enhance technician productivity and retention.

Nov 13, 2025, 7:45 PM

Transcript

Rollins closes secondary public offering and repurchases shares

ROL

Share Buyback

17,391,305 shares sold by existing stockholders (including 2,608,695 shares underwriters’ option) at $57.50/share.
Rollins did not issue any shares and received no proceeds from the offering.
The company repurchased 3,478,260 shares for approximately $200 million at $57.50/share.
Selling stockholders entered into 365-day lock-up agreements from the pricing date.

Nov 12, 2025, 9:12 PM

8-K

Rollins closes secondary public offering of common stock

ROL

Share Buyback

17,391,305 shares sold at $57.50 per share by existing stockholders, including 2,608,695 shares from the underwriters’ full option exercise.
Rollins did not sell any shares and received no proceeds from the offering.
Selling stockholders agreed to 365-day lock-up restrictions on their shares.
Rollins repurchased 3,478,260 of the offered shares for approximately $200 million at the same per-share price.
Morgan Stanley served as sole bookrunner; the offering was issued under a shelf registration effective June 22, 2023.

Nov 12, 2025, 9:05 PM

Press Release

Rollins, Inc. prices secondary public offering

ROL

Share Buyback

Rollins, Inc. announced the pricing of a secondary public offering of 17,391,305 shares by existing stockholders at $57.50 per share, expected to close on November 12, 2025.
The underwriter has a 30-day option to purchase up to 2,608,695 additional shares, with Rollins not selling any shares or receiving proceeds from the offering.
Subject to closing of the offering, Rollins will repurchase 3,478,260 shares for approximately $200 million at the same per-share price, with both transactions expected to close concurrently.
Morgan Stanley is acting as sole bookrunner for the offering.

Nov 11, 2025, 12:51 AM

8-K

Rollins announces $1B secondary share offering

ROL

Share Buyback

Rollins Inc. is conducting a secondary offering of 17.39 million shares by existing holders at $57.50 per share, with no new shares or proceeds to the company and plans to repurchase $200 million of the offered shares upon close.
Morgan Stanley serves as sole bookrunner, with a 30-day option to buy up to 2.61 million additional shares.
The selling shareholders—LOR, Inc. and Rollins Holding Company—are controlled by Gary Rollins and a trust of the late Randall Rollins.
Rollins operates globally (Americas, EMEA, Australia) under brands like Orkin, HomeTeam Pest Defense, and Western Pest Services.
The company reports 12.4% three-year revenue growth, 19.47% operating margin, 14.02% net margin, and analyst Buy rating with a $66 price target, noting a premium P/E valuation.

Nov 11, 2025, 12:48 AM

Bloomberg

Rollins prices secondary public offering of common stock

ROL

Share Buyback

Rollins announced the pricing of a secondary public offering by existing shareholders of 17,391,305 shares at $57.50 per share, with a 30-day option for up to 2,608,695 additional shares, expected to close on November 12, 2025.
Rollins will not sell any shares in the offering and will not receive any proceeds.
Subject to closing, Rollins will repurchase 3,478,260 shares for approximately $200 million at the same per-share price, expected to occur concurrently with the offering’s close.
Morgan Stanley is acting as the sole bookrunner for the offering.

Nov 11, 2025, 12:39 AM

Press Release

Rollins announces $1 billion secondary offering and $200 million repurchase

ROL

Share Buyback

Rollins, Inc. launched a $1.0 billion secondary public offering of its common stock by existing shareholders LOR, Inc. and Rollins Holding Company, with Morgan Stanley as sole bookrunner and a 30-day option for up to $150 million additional shares.
The company will not issue shares in the offering and will receive no proceeds.
Subject to closing, Rollins plans to concurrently repurchase approximately $200 million of the shares at the same price paid by the underwriter.
The selling stockholders will enter into a 365-day lock-up restricting share transactions post-pricing.

Nov 10, 2025, 9:31 PM

8-K

Rollins launches proposed $1 billion secondary stock offering

ROL

Share Buyback

Existing shareholders LOR, Inc. and Rollins Holding Company have filed to sell $1.0 billion of common stock, with Morgan Stanley as sole bookrunner and a 30-day over-allotment option for up to $150 million.
Rollins will not receive any proceeds; instead, it plans a concurrent $200 million share repurchase at the same per-share price, closing contingent on the Offering.
Selling Stockholders will be subject to a 365-day lock-up post-pricing, restricting certain share transactions.

Nov 10, 2025, 9:27 PM

Press Release

Earnings Transcripts

Quarterly earnings call transcripts for ROLLINS.

Q3 2025

Oct 30, 2025

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Q2 2025

Jul 24, 2025

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Q1 2025

Apr 24, 2025

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ROLLINS (ROL)

Analyst Earnings Quarterly Reports

Q3 2025

Q2 2025

Q1 2025

Q4 2024

Executives

Jerry E. Gahlhoff, Jr.

Elizabeth B. Chandler

Gary W. Rollins

John F. Wilson

Kenneth D. Krause

Thomas D. Tesh

Board Members

Dale E. Jones

Donald P. Carson

Gregory B. Morrison

Louise S. Sams

P. Russell Hardin

Pamela R. Rollins

Patrick J. Gunning

Paul D. Donahue

Susan R. Bell

Analyst Coverage

Timothy Mulrooney

George Tong

Jason Haas

Joshua Chan

Stephanie Moore

Ronan Kennedy

Toni Kaplan

Aadit Shrestha

Ashish Sabadra

Brian McNamara

Peter Keith

Ananya Das

David Paige

David Paige Papadogonas

Harold Antor

Jenny Lee

Keen Fai Tong

Madison Callinan

Manav Patnaik

Oliver Davies

Tomohiko Sano

Yehuda Selberman

Yehuda Silverman

Latest news

Earnings Transcripts

Q3 2025

Q2 2025

Q1 2025

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