ADI is introducing the following medium term financial targets:

  • Revenue CAGR of 4% - 6% to target approximately $6 billion in revenue by 2030
  • Gross profit margin expansion of 40 - 50 basis points by 2030
  • Adjusted EBITDA CAGR of over 10% by 2030 with Adjusted EBITDA margin improving to more than 8% by 2030
  • Cumulative cash flow from operations of more than $1 billion by 2030

ADI Global Distribution Inc. ("ADI" or the "Company") will host its inaugural Investor Day at the New York Stock Exchange in New York City today, ahead of its planned spin-off from Resideo Technologies, Inc. ("Resideo").

"ADI has been a leader in specialty distribution with the best talent in the industry and we are looking forward to showcasing our tremendous growth potential as a standalone company," said Rob Aarnes, incoming President and Chief Executive Officer of ADI. "As a pure-play specialty distribution company, our category-leading positions, trusted customer relationships, differentiated omnichannel platform and strong growth profile will serve as the backbone for further market penetration and robust financial performance. The ADI team is energized and ready to begin this next chapter."

Well Positioned To Drive Long-Term Value Creation as a Standalone Company

As a standalone company, ADI is well-positioned to build on its foundation as a differentiated leader in specialty distribution and execute clear financial priorities to deliver long-term shareholder value:

Category-Leading Positions: As an industry leader across Security, Residential AV and Fire/Life Safety, ADI is poised to continue winning in a large and growing approximately $65 billion total addressable industry in North America. ADI will leverage its vast brand portfolio – including its increasingly profitable exclusive brands offerings – extensive and loyal customer base and global distribution scale and speed to deliver enhanced value to customers.
Preeminent Omnichannel Platform: Growing its industry leading omnichannel platform will further differentiate ADI in the marketplace and digital will remain a core contributor to the Company's revenue growth profile, with targeted high-single-digit to low-double-digit digital revenue compound annual growth rate ("CAGR") in the near term.
Multiple Levers for Above Market Growth: Growing revenue above market with multiple products, strategies and investments– including digital platform, exclusive brands, expansion into the ProAV and DataComm high-growth verticals and value-added services – ongoing operating efficiency and strategic tuck-in M&A. ADI is streamlining operations and has identified over $80 million in run-rate operating savings targeted to be achieved by the end of 2027.
Attractive Margin Upside and Cash Flow Generation: Targeting accelerated margin expansion, building revenue growth and increasing cash flow generation, while maintaining a disciplined capital allocation approach to unlock long-term shareholder value.