Business & Consumer Services › Disclosure examples
Business & Consumer Services: Non-GAAP measures in MD&A
Verbatim excerpt (330 words), formatting simplified. View full filing on EDGAR →Set forth below is a reconciliation of pro forma and macro adjusted revenue and key performance metric by segment, used to calculate organic revenue growth, to the most directly comparable GAAP measure, revenues, net and key performance metric (in millions):*
Revenues, net Key Performance Metric Three Months Ended March 31, 2026 Three Months Ended March 31, 2026 (Unaudited) 2026 2025 2026 2025 CORPORATE PAYMENTS - SPEND Pro forma and macro adjusted 481.8 416.8 81,850 57,371 Impact of acquisitions/dispositions — (71.7) — (9,525) Impact of fuel prices/spread 0.5 — — — Impact of foreign exchange rates 21.5 — — — As reported 503.9 345.1 81,850 47,846 VEHICLE PAYMENTS - TRANSACTIONS Pro forma and macro adjusted 523.6 477.6 208.4 199.8 Impact of acquisitions/dispositions 1.0 (3.4) 0.6 0.9 Impact of fuel prices/spread 1.3 — — — Impact of foreign exchange rates 38.0 — — — As reported 563.9 474.3 209.0 200.7 LODGING PAYMENTS - ROOM NIGHTS Pro forma and macro adjusted 109.7 110.2 7.4 9.8 Impact of acquisitions/dispositions — — — — Impact of fuel prices/spread — — — — Impact of foreign exchange rates 1.3 — — — As reported 111.0 110.2 7.4 9.8 OTHER 1 - TRANSACTIONS Pro forma and macro adjusted 81.1 76.0 465.0 429.0 Impact of acquisitions/dispositions — — — — Impact of fuel prices/spread — — — —
Verbatim excerpt (396 words), formatting simplified. View full filing on EDGAR →In the accompanying analysis of financial information, we sometimes refer to non-GAAP measures. Refer to the Non-GAAP Measures section of this discussion and analysis for the definitions of, and reasons we use, these non-GAAP measures and the reconciliations to their most directly comparable GAAP measures.
Unless otherwise indicated, all amounts in the following tables are in millions, except per share amounts.
Overview
For a complete overview of our business, refer to Part I, Item 1: Business of our Annual Report on Form 10-K for the year ended December 31, 2025.
The sectors discussed below are organized by asset class and include Automotive, Commercial, Construction and Transportation (“CC&T”), and Other. Automotive includes automobiles, including passenger vehicles and buses. CC&T includes equipment needed for earth moving, lift and material handling, as well as vocational and commercial trucks and trailers. Other primarily includes assets and equipment related to the agricultural, forestry and energy industries, government surplus assets, smaller consumer recreational transportation items and parts sold in our vehicle dismantling business 1 . Each respective sector includes salvage and non-salvage transactions.
Key Operating Metrics
We regularly review a number of metrics, including the following key operating metrics, to evaluate our business, measure our performance, identify trends affecting our business, and make operating decisions. We believe these key operating metrics are useful to investors because management uses these metrics to assess the growth of our business and the effectiveness of our operational strategies.
Gross Transaction Value ("GTV") : Represents total proceeds from all items sold on our auctions and online marketplaces, third-party online marketplaces, private brokerage services and other disposition channels. GTV is not a measure of financial performance, liquidity, or revenue, and is not presented in the Company’s condensed consolidated financial statements.
Inventory return: Inventory sales revenue less cost of inventory sold.
Inventory rate: Inventory return divided by inventory sales revenue.
Total lots sold: A single asset to be sold or a group of assets bundled for sale as one unit.
Financial Highlights
For the first quarter of 2026, as compared to the first quarter of 2025:
• Total GTV increased 13% to $4.3 billion
• Total revenue increased 11% to $1.2 billion
◦ Service revenue increased 5% to $897.7 million
◦ Inventory sales revenue increased 32% to $336.9 million
• Net income increased 20% to $135.6 million
• Net income available to common stockholders increased 21% to $124.6 million
Verbatim excerpt (307 words), formatting simplified. View full filing on EDGAR →(2) Amounts are non-GAAP financial measures. See "Non-GAAP Financial Measures" of this Form 10-Q for a discussion of non-GAAP financial metrics including a reconciliation to the most directly comparable GAAP measure.
ROLLINS, INC. AND SUBSIDIARIES
The following table presents financial information, including our significant expense categories, for the three months ended June 30, 2026 and 2025:
Three Months Ended June 30, 2026 2025 % of Revenue % of Revenue Revenue 1,078,576 100.0 999,527 100.0 Less: Cost of services provided (exclusive of depreciation and amortization below): Employee expenses 328,787 30.5 298,354 29.8 Materials and supplies 66,339 6.2 59,500 6.0 Insurance and claims 21,932 2.0 20,734 2.1 Fleet expenses 46,959 4.4 41,834 4.2 Other cost of services provided (1) 44,613 4.1 41,439 4.1 Total cost of services provided (exclusive of depreciation and amortization below) 508,630 47.2 461,861 46.2 Sales, general and administrative: Selling and marketing expenses 151,967 14.1 140,177 14.0 Administrative employee expenses 95,733 8.9 89,303 8.9 Insurance and claims 13,239 1.2 12,939 1.3 Fleet expenses 11,775 1.1 10,443 1.0 Other sales, general and administrative (2) 62,263 5.8 54,734 5.5 Total sales, general and administrative 334,977 31.1 307,596 30.8 Depreciation and amortization 33,610 3.1 31,737 3.2 Interest expense, net 9,391 0.9 7,380 0.7 Other (income) expense, net 2,214 0.2 (292) — Income tax expense 45,844 4.3 49,756 5.0 Net income 143,910 13.3 141,489 14.2 1) Other cost of services provided includes facilities costs, professional services, maintenance & repairs, software license costs, and other expenses directly related to providing services.
2) Other sales, general and administrative includes facilities costs, professional services, maintenance & repairs, software license costs, bad debt expense, and other administrative expenses.
ROLLINS, INC. AND SUBSIDIARIES
Revenues
The following presents a summary of revenues by service offering for the three months ended June 30, 2026 and June 30, 2025, respectively:
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Templates & resources
- AICPA & CIMA – SEC reporting resources (AICPA & CIMA · Professional body · Free / member)
- BDO Accounting, Reporting & Compliance Hub (ARCH) (BDO · Firm guide · Free)
- Deloitte DART – Roadmap Series (Deloitte · Firm guide · Free)
- Deloitte Roadmap: Non-GAAP Financial Measures and Metrics (Deloitte · Firm guide · Free)
- KPMG Financial Reporting View (KPMG · Firm guide · Free)
- PwC Viewpoint (PwC · Firm guide · Free / paid)
- SEC – EDGAR Full Text Search (SEC · Regulator · Free)
- SEC – Non-GAAP Financial Measures C&DIs (SEC · Regulator · Free)