Scott Schneeberger

Matt clarified closures were split across portfolio, largely from holding Ahern and other acquisition facilities longer than needed. 17 cold starts in Q1, targeting around 40 for the year. Pipeline continues; execution depends on real estate and talent availability.

Matt said smaller customers feel good about end markets. Few markets with negative growth or fleet pullback needed. Stable local market is consistent with full year expectations.

Ted confirmed technology spend increasing in 2026. Investments span fleet efficiency, delivery cost mitigation, and mandatory areas like cyber. Excited about ROI on elective investments.

Matt acknowledged Q1 could see some matting lumpiness depending on project mobilization timing. Full year fleet productivity still expected positive. Focus remains on annual rather than quarterly fleet productivity.

Matt wouldn't share specifics on OEM negotiations. URI's scale and consistent spending gives leverage. Partners have recovered from supply chain disruptions.

Matt evaluating insourcing vs outsourcing for delivery efficiency. M&A pipeline remains robust in both GenRent and Specialty. Only completed $20M in deals this year. Don't budget M&A to avoid bad behavior.

Ted walked through capital allocation cascade: balance sheet → growth → M&A → dividends → buybacks. Tax reform cash flows through residual to buybacks unless attractive M&A emerges.

Matt kept specifics proprietary but confirmed focus on value-added services that improve customer safety and productivity. Not all need to be high-margin or capital-intense.

Matt confirmed they evaluate insourcing for efficiency and use a mix of in-house and third-party for services like fueling. No specific targets disclosed.

Matt confirmed growth is broad across all platforms. Newer ones with more white space grow faster. Power, one of the most mature, remains among the growth leaders.

Ted noted ~$300B from IIJA yet to be allocated with only a fraction of allocated funds actually spent. Expects continued good opportunity from bipartisan infrastructure spending.

Matt confirmed focus will be on absorbing H&E and reducing leverage to midpoint. Pipeline remains consistently strong but priority is integration. Tuck-ins still possible for new product lines.

CFO expects freight costs roughly flat and is turning to pricing/surcharges to recoup incremental inbound cost.

Arvan described chemical strength as flowing through both pro channel (foot traffic into branches) and independent retail (private label shelf placement). Encouraged by Q1 results and expects the momentum to carry as a tailwind through the season.

Hart confirmed Q1 had an incremental 1% from prior year tariff pricing. Q2 will partially lap that benefit. For the remainder of the year, pricing normalizes to 1-2% from current year vendor cost increases only.

Hart confirmed tariff price increases fully flushed through with no competitive differential. Arvan described supply chain gains as structural, driven by better technology and AI tools, and expected to be sustaining.

Arvan dismissed concerns about inventory build, calling it routine new product additions. Expressed confidence in inventory management and year-end positioning.

Hart noted slight corporate tax benefit from accelerated depreciation changes. No expectation of near-term consumer spending impact from the legislation.

Hart confirmed no additional supplier tariff increases are assumed in guidance beyond what's been announced. Would update as new increases materialize.

Arvan said permits are one piece of the puzzle alongside dealer feedback and weather. Florida performing well but Texas notably weak.

Hart explained PE-backed consolidation of national accounts creating larger customers with better reputations, which POOL can serve well.

Buybacks remain opportunistic, not programmatic. Won't simply lever up for aggressive buybacks. Approach consistent with 5-, 10-, 20-year history. Balanced capital allocation unchanged.

Wide breadth of customers by geography and industry. No specific callout on large vs small. Customer base pretty stable with slight improvement overall.

Corrected premise that M&A was quiet, best year in 20 years ex-G&K. International relationships cultivated but don't need to expand internationally. 1 million of 16-17 million businesses served. myCintas competitive advantage, declined to share metrics.

SmartTruck improving time with customers. Sourcing organization working overtime on tariff positioning. CapEx expected at 3.5-4% of revenue.

FCF conversion target 90-100% of net income sustainable going forward. Inventory may increase near-term to get ahead of tariffs.

Hitch was a multigenerational family business acquired after founder passed. Brought great people, customers, and market capacity.

Management declined to discuss specific deal sizes or multiples. Emphasized quality businesses with good customer bases and employee partners.

myCintas portal delivering efficiencies via electronic billing (no cash application needed) and reduced call volume. Improving customer satisfaction.

Beck said Ecolab exited Q2 at 5% pricing, underpinning the 5% to 6% second-half range, and that the historic cost-recovery cycle was compressed into three months.

Beck highlighted automotive paint, solar panel manufacturing, and institutional water management as Light Water growth areas. Shifting from unit-by-unit to large real estate partnerships.

Beck confirmed Life Sciences will be a great growth story starting Q1 2026. Bioprocessing at forefront of biotech innovation. Objective is 30% OI margin long-term but won't reduce investment to get there faster. Focused on gaining share to build scale for future margin leverage.

Kirkland expects BBB Act net positive, encouraging US investment. No material tax rate impact but possible short-term cash tax timing. Beck confirmed tariffs more impactful in H2 but Ecolab well-prepared with 92% local production, supply chain optimization, and trade surcharge.

Beck said pest intelligence will take a few years to fully deploy across millions of devices. Largest retailer in the world is key partner. Cross-sell via OneEcolab driving F&B improvement.

Sasan noted disrupting $35 billion category with better experience, price, and speed. Sandeep added marketing spend was not outsized but earlier timing (30% of assisted customers decide before December).

Sasan noted AI-driven personalized lineups mean customers see different offerings. PRS of 84 for Full Service. Both LA fires and 1099-K viewed as immaterial impacts.

Sasan shared early marketing for assisted tax disruption showed positive engagement. Key learning: focus on new way and better experience/price without disparaging traditional expert channel.

Sandeep framed Q2 EPS pressure as strategic spend timing: earlier consumer marketing, Credit Karma investment, and mid-market sales force ramp. Full-year margin expansion on track.

Kevin said inventories are in a good spot and expects no significant change to the profile entering calendar 2026.

Bill detailed ~250-300 new trainees, ~650 counter conversions and continued digital investment, while delivering SG&A leverage from earlier cost actions.