First Quarter 2025 Earnings
Introduction
John Guthrie, CFO
Doug Black, Chairman and CEO
Financial UpdateJohn Guthrie, CFO
Development UpdateScott Salmon, EVP Strategy & Development
Closing & OutlookDoug Black, Chairman and CEO
Q&A- Largest and only national full product line wholesale distributor of landscape supplies
- $25 billion highly fragmented market(1)
More than three times the size of next competitor and only ~18% market share(1)
Serving residential and commercial
landscape professionals
Complementary value-added services
and product support
Approximately 170,000 SKUs(1)
-
Over 690 branches and four distribution
Control
Balanced by product and end markets (FY24)
Outdoor Lighting
centers covering 45 U.S. states and six
Canadian provinces(2)
Products 4%
8%
Nursery 11%
Irrigation
24%
Repair & Upgrade
30%
Maintenance
35%
Landscape Accessories 13%
Fertilizer & Other 14%
Hardscapes 26%
1.
2.
As of year-end 2024. Source: Management estimates, Company data, independent 3rd party support Branch count as of First Quarter 2025
4
New Construction 35%
Current strategy
-
Leverage strengths of both large and local company
Fully exploit our scale, resources and capabilities
Execute local market growth strategies
Value creation levers
-
Leverage strengths of both large and local company
Organic growth
Margin expansion
Acquisition growth
Deliver superior value to our customers and suppliers
Close and integrate high value-added acquisitions
Entrepreneurial local area teams supported by world-class
functional support
-
Drive commercial and operational performance
Category management
Supply chain
Salesforce performance
Operational excellence
Marketing and Digital
Net Sales Adjusted EBITDA
'16-'24
Growth
32.0%
31.3%
($ in Millions)
$4,301
$4,541
$3,476
$4,015
$2,705
$2,358
$1,862
$2,112
$1,648
32.1%
32.8%
33.3%
34.9%
35.4%
34.7%
34.4%
'16-'24
Growth
Sales $
+176%
GM %
+310bps
Adj. EBITDA $
8.1%
($ in Millions)
$464
$415
$411
$378
$260
$201
$157
$176
$134
8.4%
8.3%
8.5%
9.6%
8.3%
9.5%
11.9%
11.6%
+182%
Adj. EBITDA
% +20 bps
FY 2016
FY 2017 FY 2018 FY 2019
FY 2020
FY 2021
FY 2022
FY 2023
FY 2024
FY 2016
FY 2017
FY 2018
FY 2019
FY 2020
FY 2021
FY 2022
FY 2023
FY 2024
Net Sales Gross Margin %
2016-'17
2018
2019 2020
2021 2022
2023
2024
2025
Initial Public Offering
Building the Foundation
Performance & Growth
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Acquisitions
Bissett
Glen Allen
Village Nurseries
Terrazzo & Stone
Landscape Depot
Fisher's Depot
The Garden Dept
Big Rock
Solstice
Timberwall
Preferred Seed
Across the Pond
Supplies
Adams Wholesale
Wholesale Nursery
Hardscape.com
Loma Vista
Landscaper's Choice ■ Stone & Soil Depot
Alliance Stone
Melrose Irrigation ■ Yard Works
Link Outdoor Lighting
Cohen & Cohen
East Haven
Aspen Valley
Stone Forest
Angelo's
AB Supply
Evergreen Partners
Auto-Rain
All American Stone
Landscape Express
Kirkwood
Stone Center
CentralPro
Voss Materials
Trendset Concrete
Design Outdoor
Dirt Doctors
Daniel Stone
Modern Builders
BURNCO
Hedberg Supply
Alpine Materials
Dirt and Rock
Stone Center of VA
Rock & Block
Green Brothers
Semco Stone
Seffner Rock
Prescott Dirt
A&A Stepping Stone
River Valley Hort
Cape Cod Stone
Linzel Distributing
Jim Stone
Hickory Hill
New England Silica
Timothy's Center for Gardening
Pioneer Landscape Centers
Millican Nurseries
OakStreet Wholesale Nursery
Custom Stone
South Coast Supply ■ C&C Sand and Stone
Stone Plus
Regal Chemical
Marshall Stone
All Around
Kaknes Landscape
JMJ Organics
Harmony Gardens
Madison Block & Stone ■ Newsom Seed
Telluride Natural Stone
Whittlesey Landscape
# of markets(1)
Full Product Line Offering
Missing either Hardscapes or Nursery
Missing both Hardscapes and Nursery
No Presence
~60
SiteOne offers all
product lines in only
~25% of our target markets today…
~70
~60
~50
(1) Target markets as of Fourth Quarter 2024 are represented by metropolitan statistical areas ("MSAs") where either SiteOne
currently has a presence or MSAs with a population above ~210k, which cover ~80% of the total U.S. population.
First Quarter 2025 highlights (compared to First Quarter 2024):
Net sales increased 4% to $939.4 million and Organic Daily Sales decreased 1%
Gross profit increased 3% to $309.8 million; gross margin contracted 30 basis points to 33.0%
SG&A as a percentage of Net sales increased 30 basis points to 36.5%; Base Business SG&A
decreased 3% on an adjusted basis
Net loss attributable to SiteOne of $27.3 million, compared to Net loss of $19.3 million
Adjusted EBITDA1 increased 6% to $22.4 million; margin improved 10 basis points to 2.4%
Cash used in operating activities increased $30.3 million to $129.6 million
Completed the acquisition of Pacific Nurseries
Recent Developments
Completed the acquisition of Green Trade Nursery
Summary financials Financial highlights (compared to prior-year period)
$939.4
$904.8
+4%
(in millions)
Q1'24 Q1'25
+3%
-
Net sales increased 4% YoY to $939.4 million
Organic Daily Sales decreased 1% due to a later start to the spring selling season, lower prices for commodity products, and a softer repair and remodel end market
Acquired sales were $45.1 million, contributing 5% to the
overall growth rate
Net sales |
Gross profit & margin |
Net loss |
Adjusted EBITDA1 |
33.3%
33.0%
-
Gross profit increased 3% to $309.8 million
$309.8
$301.2
- Gross margin contracted 30 basis points to 33.0%, due to lower price realization and higher freight expense, partially offset by positive contributions from acquisitions
$(27.3)
Q1'24 Q1'25
$(19.3)
$22.4
$21.1
+6%
2.4%
Q1'24 Q1'25
2.3%
Q1'24 Q1'25
-
Net loss attributable to SiteOne of $27.3 million
Reflects higher SG&A expenses, partially offset by higher Net sales
-
Adjusted EBITDA1 increased 6% to $22.4 million
Adjusted EBITDA margin improved 10 basis points to 2.4%
Quarter ended March 30, 2025 Balance sheet & cash flow highlights (compared to prior-year period)
($ in millions)
Working capital |
Cash used in operating activities |
Capital expenditures |
$1,006.2
$129.6
$14.8
-
Working capital increased to $1.0 billion, compared to $910.0 million
Increase attributable to acquisitions and early purchases of inventory ahead of potential tariffs
-
Cash used in operating activities of $129.6 million, compared to
$99.3 million
Reflects early purchases of inventory
-
Capital expenditures increased to $14.8 million compared to
$8.9 million in prior year
Increased investment in branch improvements and branch equipment
-
Net debt1 $580.4 million, compared to $508.0 million
Liquidity of $524.3 million consisting of $56.6 million of cash and
$467.7 million in available ABL borrowing capacity
-
Net debt / Adjusted EBITDA2 of 1.5x, compared to 1.3x
Net debt is calculated as long-term debt plus finance leases, net of cash and cash equivalents
Leverage ratio defined as net debt (including finance leases) to trailing twelve months Adjusted EBITDA
10
In line with target leverage range of 1.0x to 2.0x
2014 -
2019
2020
Wittkopf Landscape Supplies
Empire Supplies
The Garden Dept.
Big Rock
Alliance Stone
Modern Builders
BURNCO
Landscape Centres
Hedberg Supply
Alpine Materials
Dirt and Rock
Stone Center of VA
2021
Lucky Landscape
Arizona Stone & Solstice
Timberwall
Melrose Irrigation Supply
Rock & Block
Green Brothers
Semco Stone
Seffner Rock & Gravel
2022
JK Enterprise
BellStone Masonry
Preferred Seed
Across the Pond
Yard Works
Prescott Dirt
A&A Stepping Stone
River Valley Horticultural
Cape Cod Stone
Linzel Distributing
Jim Stone
Stone Plus
Kaknes Landscape
Madison Block & Stone
Telluride Stone
Whittlesey Landscape
2023
J&J Materials
Triangle Landscape Supplies
Adams Wholesale Supply
Link Outdoor Lighting
Hickory Hill Farm & Garden
New England Silica
Timothy's Center for Gardening
Pioneer Landscape Centers
Regal Chemical
JMJ Organics
Newsom Seed
2024
Eggemeyer
Devil Mountain Wholesale Nursery*
Hardscape.com
Cohen & Cohen Natural Stone
Millican Nurseries
OakStreet Wholesale Nursery
Custom Stone
2025
Pacific Nurseries
Green Trade Nursery
Total
# Acquisitions 45 11 8
16 11 7
2 100
Annualized net sales1
# branches added
~$880M
222
~$190M
30
~$155M
28
~$240M
48
~$320M
61
~$200M
28
~$20M
2
~$2,005M
419
Trailing twelve months (TTM) revenues in the year acquired
* Acquired 75% interest in Devil Mountain Wholesale Nursery; annualized net sales includes 100% of Devil Mountain's TTM net sales 11
Devil Mountain Pacific Nurseries
Pacific Nurseries
Closed on January 2nd
Acquired by our Devil Mountain joint venture partner
Expands our leading wholesale nursery presence in the Bay Area
Purchasing synergies
Cross-selling synergies
SiteOne Green Trade
Green Trade Nursery
Closed on March 31st
Wholesale nursery distributor in the
north Atlanta market
Purchasing synergies
Cross-selling synergies
SiteOne is the leading industry consolidator
Significant sourcing advantage with 80+ leaders scouting new growth opportunities
Our pipeline is deep and expanding
Experienced M&A team driving strong acquisition growth
18%
82% ~$25bn market1Acquisitions are expected to be accretive and present significant profit growth potential
Uncertainty in tariffs, inflation, and interest rates could negatively affect end market demand
Demand expected to be flat to slightly down with solid maintenance growth, continued soft repair and upgrade demand, and resilient but uncertain demand in residential and commercial new construction
Pricing flat to up 1% with deflation in select commodity products more than offset by other product price increases
Key commercial and operational initiatives expected to support market share gains and low single digit Organic Daily Sales growth
Actions taken in 2024 and ongoing tight SG&A management to yield improved leverage
Adjusted EBITDA margin is expected to be higher than prior year
Continued prudent M&A activity in the current uncertain environment
Full year Adjusted EBITDA expected to be $400 million to $430 million
Uniquely attractive industry
Clear market leader
Proven management team
Compelling and sustainable growth strategy
Value-creating
acquisitions
Operational and commercial excellence
Appendix
Non-GAAP Reconciliations
Adjusted EBITDA Reconciliation
Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 | Q2'23 | |||
Reported Net income (loss) | $(27.5) | $(21.5) | $44.6 | $120.6 | $(19.3) | $(3.4) | $57.3 | $124.0 | ||
Income tax expense (benefit) | (9.4) | (10.1) | 15.8 | 40.0 | (9.7) | (5.0) | 17.5 | 40.0 | ||
Interest expense, net | 7.4 | 6.7 | 9.5 | 9.0 | 6.7 | 6.5 | 6.4 | 7.3 | ||
Depreciation & amortization | 35.4 | 35.6 | 35.9 | 34.6 | 32.9 | 34.6 | 31.3 | 31.0 | ||
EBITDA | $5.9 | $10.7 | $105.8 | $204.2 | $10.6 | $32.7 | $112.5 | $202.3 | ||
A Stock-based compensation | 13.6 | 5.5 | 5.2 | 3.8 | 10.5 | 5.0 | 5.0 | 7.1 | ||
B (Gain) loss on sale of assets | (0.2) | 1.5 | 0.3 | (0.3) | (1.0) | (0.1) | (0.2) | 0.2 | ||
C Financing fees | -- | -- | 0.5 | -- | -- | -- | 0.4 | 0.1 | ||
D Acquisitions & other | 3.1 | 14.1 | 3.0 | 2.8 | 1.0 | 2.3 | 2.1 | 1.5 | ||
E Adjusted EBITDA | $22.4 | $31.8 | $114.8 | $210.5 | $21.1 | $39.9 | $119.8 | $211.2 |
($ in millions) 2025 2024 2023
A Represents stock-based compensation expense recorded during the period.
B
C
D
Represents any gain or loss associated with the sale of assets and termination of finance leases not in the ordinary course of business. Represents fees associated with our debt refinancing and debt amendments.
Represents professional fees and settlement of litigation, performance bonuses, and retention and severance payments related to historical acquisitions. Also included is the cost of inventory that was stepped up to fair value during the second quarter of 2024 related to the purchase accounting of Devil Mountain and charges during the fourth quarter of 2024 for consolidating or closing certain Pioneer locations. We cannot predict the timing or amount of any such fees or payments. These amounts are recorded in Cost of goods sold and Selling, general and administrative expenses in the Consolidated Statements of Operations.
E
Adjusted EBITDA excludes any earnings or loss of acquisitions prior to their respective acquisition dates for all periods presented. Adjusted EBITDA includes Adjusted EBITDA attributable to non-controlling interest of $0.3 million for the first quarter of 2025, and $0.8 million, $0.8 million, and $0.9 million for the fourth, third, and second quarter of 2024, respectively.
Adjusted EBITDA Reconciliation
($ in millions) 2024 2023 2022 2021 2020 2019 2018 2017 2016
Reported Net income | $124.4 | $173.4 | $245.4 | $238.4 | $121.3 | $77.7 | $73.9 | $54.6 | $30.6 | |||||||
Income tax expense | 36.0 | 49.8 | 67.7 | 56.1 | 27.5 | 13.8 | 1.3 | 18.0 | 21.3 | |||||||
Interest expense, net | 31.9 | 27.1 | 20.0 | 19.2 | 31.0 | 33.4 | 32.1 | 25.2 | 22.1 | |||||||
Depreciation & amortization | 139.0 | 127.7 | 103.8 | 83.0 | 67.2 | 59.5 | 52.3 | 43.1 | 37.0 | |||||||
EBITDA | $331.3 | $378.0 | $436.9 | $396.7 | $247.0 | $184.4 | $159.6 | $140.9 | $111.0 | |||||||
A | Stock-based compensation | 25.0 | 25.7 | 18.3 | 14.3 | 10.6 | 11.7 | 7.9 | 5.9 | 5.3 | ||||||
B | (Gain) Loss on sale of assets | 0.5 | (0.5) | (0.8) | (0.1) | (0.4) | 0.3 | (0.4) | 0.6 | -- | ||||||
C | Advisory fees | -- | -- | -- | -- | -- | -- | -- | -- | 8.5 | ||||||
D | Financing fees | 0.5 | 0.5 | 0.3 | 0.7 | -- | -- | 0.8 | 1.7 | 4.6 | ||||||
E | Acquisitions, rebranding & | 20.9 | 7.0 | 9.6 | 3.5 | 3.0 | 4.7 | 8.1 | 8.1 | 4.9 | ||||||
other | ||||||||||||||||
F | Adjusted EBITDA | $378.2 | $410.7 | $464.3 | $415.1 | $260.2 | $201.1 | $176.0 | $157.2 | $134.3 |
A
B
C
Represents stock-based compensation expense recorded during the period.
Represents any gain or loss associated with the sale of assets and termination of finance leases not in the ordinary course of business.
Represents fees paid to CD&R and Deere for consulting services. In connection with the IPO, we entered into termination agreements with CD&R and Deere
pursuant to which the parties agreed to terminate the related consulting agreements.
D
Represents fees associated with our debt refinancing and debt amendments, as well as fees incurred in connection with our initial public offering and secondary offerings.
E
Represents professional fees and settlement of litigation, performance bonuses, and retention and severance payments related to historical acquisitions. Also included is the cost of inventory that was stepped up to fair value related to the purchase accounting of Devil Mountain and charges for consolidating or closing certain Pioneer locations during the 2024 Fiscal Year. We cannot predict the timing or amount of any such fees or payments. These amounts are recorded in Cost of goods sold and Selling, general and administrative expenses in the Consolidated Statements of Operations.
F
Adjusted EBITDA excludes any earnings or loss of acquisitions prior to their respective acquisition dates for all periods presented. Adjusted EBITDA includes Adjusted EBITDA attributable to non-controlling interest of $2.5 million for the 2024 Fiscal Year.
2025 Organic Daily Sales Reconciliation | ||||||||||
2025 | 2024 | |||||||||
($ in millions) | FY'25 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | FY'24 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
Reported Net Sales | -- | -- | -- | -- | $939.4 | $4,540.6 | $1,013.1 | $1,208.8 | $1,413.9 | $904.8 |
Organic Sales | -- | -- | -- | -- | 894.3 | 4,430.8 | 971.9 | 1,166.9 | 1,387.2 | 904.8 |
Acquisition contribution | -- | -- | -- | -- | 45.1 | 109.8 | 41.2 | 41.9 | 26.7 | -- |
Selling Days | 252 | 61 | 63 | 64 | 64 | 252 | 61 | 63 | 64 | 64 |
Organic Daily Sales | -- | -- | -- | -- | $14.0 | $17.6 | $15.9 | $18.5 | $21.7 | $14.1 |
B
A
A
Organic Sales equals reported Net sales less Net sales from branches acquired in 2025 and 2024.
B
Represents Net sales from acquired branches that have not been under our ownership for at least four full fiscal quarters at the start of the 2025 fiscal year. Includes Net sales from branches acquired in 2025 and 2024.
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SiteOne Landscape Supply Inc. published this content on April 30, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 30, 2025 at 12:33 UTC.
