APi Group Corp (APG) February 17, 2026 Conference Transcript

We're very excited to have API Group with us today. We've got Russ Becker, who is the CEO, president of API Group, and David Giacola, who is the CFO. Russ, as I sort of make my way to you, let me ask you kind of a softball question. You've been CEO of a public company now for about five years, right? Maybe biggest challenges and what you're most proud of so far, and then maybe it's It's a very unique business model, as you and I have talked about many times. So what keeps you ahead of the crowd? What keeps you differentiated?

Oh, what am I most proud of? Survival.

That's why I wouldn't ask you the question, because I knew I'd get a colorful answer.

You know, it's funny, we just were having a conversation. You know, like when we were privately held, everybody talks about, I never want to be a public company CEO, never want to be a public company CEO, never want to be a public company CEO. And I've actually been having a lot of fun as a public company CEO. I think it's actually made me better. At my job, and I feel like I'm a better CEO today than I was, you know, five or six years ago. And, you know, one of the biggest challenges, and this is really not the answer to your question, but one of the biggest challenges is how do you balance delivering a quarterly result, delivering a yearly result, yet also having the ability to take a longer view? You know, like, so like last May, you know, we launched our 10, 16, 60 plus, you know, kind of the next three years of our, where we're going to take the business. And like, you have to be able to look out that far and to make good decisions and choices, yet deliver on a quarterly and yearly result. And that's not always. You know, as easy as certain folks in this room might think, and the pressure that you have to deliver that quarterly result can be tough. I would say that one of the biggest... Challenges, you know, it's just around this whole idea of SOX and compliance. And probably the biggest surprise was actually the lack of SOX compliance inside the international business. And, you know, Chubb was a public company for many years, going back to United Technologies and Carrier. And yet, They were a long ways away from actually being compliant, and so, you know, even, so there was that aspect of it, and then, but as the private company, there was, you know, that's just the, just that whole regulatory environment, and, you know, all the stuff that comes with that was a big lift, you know, for our business. But, you know, like, what am I most proud of? Like, the fact that we've been able to basically grow the company from, you know, $4 billion to pushing $8 billion and yet continue to enhance our culture. You know, and our culture is centered on our purpose of building great leaders. And I think that's, like, something that is unique. To API, and I think probably one of the least talked about aspects of API is the strength of our culture and the quality of our people, and it's because of this investment we make in them as human beings and as leaders.

That's a good answer. And then maybe just to follow up on that, Russ, like, so again, the competitive advantage of the company, like, you leave with inspection, goes to service. Why do you think competitors haven't been more aggressive or can they copy you? And, you know, it seems like you can grow yourself mid to high single digits in that world, inspection service for the foreseeable future. But do you worry about capacity constraints at some point or other market headwinds? You're like the master of seven questions. I ask, like, five questions in one. You know that. Yeah, but you're used to that. You call me out all the time.

You know, it's like I'm trying to keep track of all the seven questions that you just asked. First, differentiation. Well, I mean, the biggest differentiation, you answered the question for me, is this idea of inspections first, and then it's like, why don't people copy you? And I think that... If you really take a step back, yes, there's been private equity enter into our space, but the reality of it is the majority of our competitors remain small family-owned businesses, and for those small family-owned businesses, it's much easier for them to grab a new installation project. Say, a million-dollar installation project versus building up a really robust inspection department, you know, $1,000 at a time. And so we've been at it for an extended period of time now. We've built up the infrastructure that it takes to support, you know, building a robust inspection service and monitoring business. And I think that's something that's played to our advantage. And, you know, we've built out a really, really robust branch network, and that's supportive to having a robust inspection service and monitoring business. So even if you look at, you know, one of our largest competitors in the space, they don't have the same branch footprint that we do. So they're booming around the country doing large install jobs, and that works for them. Thank you. That's where their interest lies, but that's not how we're trying to build our business. We're trying to build our business with, you know, the inspection-first mindset, and I think that's one of the biggest differentiators, and it takes effort to build that out, and we feel like we have the scale to continue to grow it. I don't know if, I think one of your questions in there was around, you know, like, will we run out of runway? The answer is no. If you just take the largest metropolitan areas in the United States of America, I don't think there's a market that we have more than 5% market share. And so for us, and our ability to continue to drive inspection growth, which leads to pull through service work, the opportunity is boundless.

I knew you could keep track of my questions, so there you go. You're pretty good at it. So this one might be for you, Russ, or for David. Like, you came out today, you served my next question, which is about, you know, update on the quarter because you kind of gave us that. So, like, any sort of highlights that you want to talk about? I think you guided within your algorithm, sort of mid-single-digit plus organic. You know, margins look pretty good, I think, versus the street. Any sort of highlights you talk about? As you left Q4, I think you said you'd be better than the midpoint of your guide for Q4. So any highlights you want to talk about? What drove the business? Any highlights about the guide? Obviously, we'll find out more when you report next week, but we kind of force you into this every year. So sorry about that.

I'll give it a go. The fourth quarter was, as we described it in the press release that came out early this morning. A lot like Q3, there's a lot of great momentum in the business, both on the service inspection and monitoring revenue streams, as well as on the project work, and our business is being propelled by a really strong project environment right now. Fourth quarter was our best quarter of the year from a year-over-year margin expansion perspective. We felt confident that our margins were going to improve the second quarter into third, third, into the fourth, and they did that. And so as we exit 2025, we're going into Q1 in a really good position. The backlog's strong. There's a lot of momentum and nothing really that looks to knock us off the momentum in the business right now.

Got it. And just, you can not answer this question, David, but just seasonality in 26, normal? Normal. Okay. Thank you.

How come he gets the softball?

I'll give you more softballs. So, but to that point, David, and maybe this is for us, like, you've talked about general strength across safety services, but maybe what's driving the organic growth as you transition to 26? Like, I know we don't like to talk about specific projects, but is it all the same areas, data center, advanced manufacturing, semiconductor, any other I'm not mentioning and generally the same things as 25?

Well, I mean, I think for us, critical infrastructure continues to provide opportunities more in the specialty services space. Health care continues to be, you know, robust. You know, you hear more and more people talking about life sciences, which creates opportunities, especially in certain, you know, pockets, you know, in the country. So. It's, you know, there's a lot of opportunity out there if you're in the right end markets.

And I often think to myself, like, I shouldn't ask Russ the question of TAM because each project is different. At the same time, the more complex the project, the more there's a need for inspection and service, right? Like, so, you know, these big data centers have more TAM for you guys, as an example.

Well, for sure. I mean... You know, a new data center that comes on, you know, like I've shared in different investor meetings that we've had this morning, you know, one of the biggest things that's changed, like with the new build size or new build component of data centers, it's just the size of the projects. And, you know, just because the... Data center installation work is worth $50 million. It doesn't mean you're going to have $5 million a year of inspection, service, and monitoring. It's going to be significantly less than that, especially in new facilities, because you're not going to generate the same pull-through service in a brand new facility that you would in an older facility, and that goes for data centers just like it goes for warehouses, just like a medical office building. And so, you know, for us, Like, we want to make sure that we're taking good care of You know, our data center customers that we're doing their inspection service and monitoring today, that leads to, you know, a different environment when you're, you know, proposing on the work, because they're more interested in you because of your ability to get the work done safely with a high degree of quality in the schedule and the timeframes that they've laid out. And that's what's important for us. But we clearly, you know, our priority as a company is to grow the inspection service and monitoring of our business, first and foremost, and the project work is gravy.

Just, is the project work, because maybe two years ago, we started asking about data centers, right? And to your point, you want to leave with inspection service, but given how much demand is there out there, can you find projects that are better than you thought in terms of pricing or install margin or whatever you want to talk about?

Well, the short answer to that is yes. All right. Now, in the same breath, you are committing resources to these large data center projects. So you're taking resources from someplace. So like for us. You know, because we have separate departments for inspections, separate departments for service, we're not taking resources from there. We're taking resources from different project opportunities and putting them on data centers. Yeah. And so if you're going to sacrifice other You know, project opportunities. You need to make sure that you're getting a higher margin, you know, on the work that you're doing. And you should. These data centers, the size and the complexity of them, they're not super complex, but the size makes it complex. And they're in remote locations. You know, more and more often they're in remote locations because they're being sited next to available power. And, you know, like one of our clients has a project in northern Louisiana. And not everybody can man a project in northern Louisiana. We can. You know, and because of our ability to do that, you should be able to price that in.

Yeah, I agree. Is data centers 10% of the business, something like that? What's that? Is data centers 10% of sales, something like that?

So I, well, actually, I thought it was about 10% of sales, but apparently I was correct this morning's 8% revenue in 2025, probably headed towards 10% in 2026. Okay, helpful.

So maybe an update, you mentioned your branches. And so one of the big sort of things that you're doing is branch optimization, as you've talked about many times. And so at your last Investor Day, you said a little less than 10% of your brands in North America were not very profitable. That means under 10% margin. While you had 40% of your brands internationally that were under 10% margin, maybe you could update us on the progress of getting these kinds of branches up. Like, I would assume you're making progress, but you tell me.

So at our investor day last May, we reported that our North American safety branches median margin was 17%. And internationally, I think we said 13%. And, you know, we will improve on that over the course of this year, I would guess that it will be someplace around 100 basis points, you will be able to move that medium to the to the right. We have an established goal that we want every one of our branches to perform at a minimum of 20%. And so, obviously, there's opportunity there for us to continue to work on it. You're always going to have a straggler or two that you're dealing with for a myriad of different reasons, and that's kind of the nature of it when you have as many branches as we do.

Yeah.

But that median will continue to move to the right, and I've got a lot of confidence that we'll be able to do that.

Russ, I mean, I think you've done a good job, especially internationally, versus what most people thought Chubb could do, you know, way back when. So to that point, like, when I see still 40%, you know, that are relatively low margin, how hard is it to get those branches, you know, to back to, like, I think your rate that you want to be at international is 18, right? So how difficult is it? Because it seems like that would be the low-hanging fruit, right, to go after the least profitable branches. But it's easy for me to say as I just sit here. It's a lot harder to do it.

Yeah, I mean, I think the thing that people have to understand is that... A really high-performing branch. It's got nothing to do with the playbook. It's got everything to do with the branch leader. It's got everything to do with the branch leader. We've been on this journey of leadership development since 2003. We have a 20-year jump. You know, in North America on the international business as relates to what does that look like? And in one of our meetings this morning, we actually, somebody asked about, like, where do you branch leaders come from? And almost every one of them is promoted from within, which means that we're growing and developing and, you know, bringing the right people into our branches that ultimately can take on a branch, you know, leadership role. I mean, that's been a 20-plus year journey. And our international business, you know, we're four years into it. And so they're just, they're behind. And, you know, it's like, it never moves as fast as you want it to. But until you can, you know, really ascertain and determine, like, do I have the right leader at this branch? You know, you'll never get there. It's like I joke around all the time. This is my favorite time of year because I get my favorite report of the year, and that's my rolling five-year branch history report. So, and it's revenue and EBITDA. Every branch in the company. And so I can see if it's going like this over five years, this, this. If it's going like this. You know what to do. Well, you have to start asking yourself. The first question you ask yourself is, do I have the right leader?

Yeah.

And then you have to be able to, you know, if you can ask yourself that, then you have to be able to answer yourself objectively, yes or no. Right. And if the answer is yes, then you're going to take a different path. If your answer is no, you're going to take a different path.

Yeah.

And sometimes answering that question objectively is harder than you think it is. Interesting.

It's good color. So specialty services, you know, the growth of the last several quarters has inflected. I think you're waiting for some bigger government projects to start, but maybe what change in your business to allow that inflection? I'll keep it to one question for now and then keep going. Can you say that again? I didn't. The specialty services is inflected, and I think you're waiting for some bigger government projects to start, but what else happened in the business? You're obviously exposed to telecom, utilities, so where is the growth inflection coming from in specialty?

Well, I think you got to take even a step further back. And I'm sure you remember this, but you know, like some of that was purposeful on our part, where we were, you know, had an increased focus on project and customer selection and very specifically and purposefully pruned some of the project work, you know, that we were doing in the segment. And it took us, it took, you know... A little longer, so to speak, for that to kind of turn and get headed back in the right direction. And we feel really good about, you know, the end markets that we're in, in specialty as well. And so... So leadership matters. I think one of the things that we did, you know, we realigned the HVAC piece of our business in specialty. We feel like the leadership there is in a better position to help that piece of the business. I'd also tell you that the leadership inside the HVAC businesses stepped up their game and, you know, are delivering a much better result, you know, on top of it. So, I think there's a combination of things that have happened there that have allowed that business to really get going, you know, in a really, really solid direction. Got it.

So, Russ, just like, so was it more that, you know, you cleared out the, in quotes, lower margin projects, whatever, in 23, 24, and then you kind of allowed the business to grow again in 25? Or did something else happen in the market? So was it more, because you would, to your point, you had controlled projects for a couple of years. So was it more, you got everything out, and then you allow specialty to grill, or did something else improve, like one of the main markets, or maybe a competition?

Well, I mean, there's an element there, too, Andy, like. We learned as we went through this, you know, you kind of alluded to it, but like we took on a government, you know, a government program that, you know, as we built into kind of our projections and our forecast, government work ramping like a scale like this.

Yeah.

Like that's a mistake. Anything government related, you know what I mean? Like, and so our people learned a hard lesson on top of it. So, you know, in the project side of your business, Thank you. And this is one of the reasons that, you know, we're building our business to be inspections first and service first, is that when you dedicate resources to a project and a project slips, you still have those resources. So what are you going to do with those resources? So like in this government program that I alluded to... You know, it slipped dramatically, you know, out to the right, and you still have those resources, and it has, it's going to have an impact on your business. So you, you have to plan accordingly. And I think that was a valuable lesson that our, that our business leaders learned. Yeah. It's like plan accordingly and budget and forecast accordingly. And discount when you need to. Discount where you need to. And, you know, the reality is we could have taken other programs because we had available resources, but we didn't think we had available resources. Got it. It's helpful.

I'm going to open up the audience in a second, but let me ask you one more question about specialty here around margins. So, like, margins may be a little more sluggish to turn than growth. I mean, it does seem like margins turned positively recently, but do you see sort of more consistent positive inflection now? And I think you've talked about a lot of initiatives, right? You've talked about project execution, fleet optimization, G&A efficiency. Do they begin to kick in now more? Significantly.

Yeah, we expect, you know, going all the way back, I think, to the second quarter of last year, we said that we would see sequential margin improvement across specialty as we worked our way through the year, and you saw that. Well, you'll see that, I guess, when we release next week. Maybe I'm giving you some foreshadowing. You know, you already reported this morning, so you're fine. You know what I mean? But I'm not worried about it, actually. Yeah. And, um... But so, you know, that we expect to see margin improvement in that business as we continue throughout 2026 as well. And we have the same high expectations from margin in specialty as we do in, you know, in safety. Maybe they'll never quite get there or they'll always be chasing it, but the expectations for margin improvement are there.

Any questions from the audience? Anyone want to ask a question? I'm going to get a question from the audience one of these days. Okay, so price versus cost. I think you've said many times that margin of creative pricing is very important to the business. So maybe has that evolved as you've been a public company? Like you've changed at all how you price projects?

Project specific or just pricing in general?

Or inspection and service, pricing in general. I shouldn't have said projects. I should have said pricing in general.

Well, I mean... Actually, they're kind of two different animals, you know what I mean? Because your project work, you're pricing it in real time. And you have to make a decision as you price to work on what your margin expectations are. And so, you know, but you should be taking that price and you should be, so to speak, maximizing the pricing opportunity in every one of your projects. You know, I think inspection and service and monitoring, you have to be more disciplined in how you look at price on a year-in and year-out basis and making sure that you have escalators built into, you know, into your agreements. If you're taking on, say, five-year inspection contracts, you need to make sure you have adequate price built into those agreements. I would say that we have, for sure, We've gotten better and more sophisticated at how we look at price, I won't even say since we've become a public company, but since we acquired Chubb. And David can speak to this because he lived it. For the two and a half years he was over there, but they did a, leading Leading up to our acquisition, they did a poor job. of taking price on a on a regular basis, if at all. And, and so we inherited a number of, you know, poorly priced contracts that we had to be very aggressive on. And I think that provided actually a wake up call to the North American safety business saying, Oh, maybe we need to be thinking about price a little bit about a little bit differently. And I think we've gotten better because of that. And I think, really, it's more because of how poorly Chubb had done it, had been a lesson learned for the entire organization. I don't know.

No, I think that's spot on. Delivering price year over year is really about having a mindset that the services that you're providing in the marketplace command value and that we owe it to our shareholders, to our teammates, and to our field leaders to be getting that value for every work that we do. And just getting that mindset into our teammates is really the discipline that it took.

I mean, the reality of it is, Andy, when you think about like an inspection, you know, your average inspection is a thousand bucks. So when you think about whatever facility it is, the budget, annual budget for that facility, if it's a thousand bucks or two thousand bucks, it's like really nothing. No, yeah. It's really important. So, like, if you're doing a kick-ass job, You know, taking care of that facility and that property manager and that building owner, whether you're priced at $1,000 or $1,100 or $1,200, it doesn't matter because their time is worth the $200. You know, and I think sometimes folks lose track of this idea like how much of a team sport the inspections are, you know, because you're going into these facilities and, you know, you're interacting If you're connecting with the property manager or the building owner, you're tripping fire alarms, you might be running water, which means you're flowing water out into the parking lot, which means you have to maybe cordon off part of the parking lot so people's cars aren't in the way, and all of that stuff. These property managers, I shouldn't say they don't care about $200, because I'm sure they do care about $200, but they also recognize the fact that their time. You know, is worth $200, you know, so.

So I don't worry about price versus cost for you guys, really, but, you know, commodities are volatile. Sometimes you have exposure to metal piping, things like that. You guys feel good about price versus cost right now?

100%. I mean, we watch it. Every Monday, we get kind of an update on what's happening in certain commodity prices. The one that I focus, I suppose I focus on too, but I primarily focus on hot rolled coil because that's an indicator of what's going to happen with pipe prices. And we've seen, I would say, a slow. Increase, which I'm going to say I'm going to put in the manageable category. I also watch Copper, too, but primarily I watch Hot Rolled Coil. We talk about it all the time. We have what we call monthly leaders' calls, where we probably have, I don't know, David, 250 people from around the country or around the world participate in these leaders' calls. Um, probably every other month we'll have a procurement update, you know what I mean, where they're providing updates on what's going on inside procurement, but also, um, what's happening with commodity prices. If we start to witness any sort of, say, rapid, you know, escalation in commodity prices, you know, we're talking about, like, protect yourself, you know, at the time of your proposals, when your proposals are going in. And so, like, You know, even before President Trump won the election, in his previous administration, he used tariffs as a hammer. He ran on tariffs. So if you didn't know he was going to use tariffs as a hammer, then shame on you. And so we feel like we have been out in front of that wave. Since day one, you know, in protecting ourselves and everything else. So I feel like we've done a pretty good job on that front.

It's helpful. And then, obviously, M&A is an important part of your overall strategy. I know you committed $250 million of bolt-on M&A per year. I think you've talked about taking a step forward, adding to elevator service platform to get closer to that billion in revenue, and then adding maybe to international business this year. So can you give us more color in your M&A pipeline? Can you find deals at reasonably attractive valuations?

Yeah, so like we've been sharing, you know, through the course of this morning, the pipeline remains really robust for bolt-on M&A. And I would tell you that the pipeline is maybe opening a little bit because we've opened up the aperture to the international business. And so we've got some really good stuff going on in the international business for really the first time since we've owned Chubb, which is exciting for us. So I feel like we're still able to buy. Boltons for five times, six times, maybe seven times, but what you'd consider reasonable multiples to acquire these companies. Companies that are in that $20 million to $30 million or maybe $40 million of EBITDA, especially in the fire and security space, continue to attract a lot of PE interest, and they drive up the multiples, and they're paying, you know, very, very high multiples for these businesses. You know, we recently announced the acquisition of Certisite. We're really excited about this business. It's not a huge company. You know, it's plus or minus $90 million in revenue. We paid a healthier margin for this or multiple for this business, but 90% plus of their revenue is inspection and service work. That's what you like. And so it's like straight down the fairway, you know, so from a strategic fit, it's not like we just bought more and overpaid for it. This is a great strategic play for us. So we're excited and we're really excited to welcome, you know, the CertiSite team, you know, into the API family. But you're still seeing a lot of pressure in that 20 to $30 million EBITDA kind of range from private equity. As it relates to the elevator space. Like, we're really, really excited. We did one deal last year. It was more of a tweener. So it's a standalone business that sits next to Elevated underneath API Elevator. We have a number of real live bolt-ons that we're working on right now in the elevator space that I suspect that, you know, will get done in relatively short order. We're taking a walk-before-you-run approach in the elevator space. Let's get one done, get it integrated, see how it goes, learn our lessons, and then we'll go do another one. But we 100% see the opportunity to take that business to a billion dollars plus in revenue. It's good to hear.

And, Russ, I mean, you did, as you know, because you showed us scribble on a napkin, you know, the one to two deals to get to $10 billion. So we're expecting that at some point over the next few years. I think, David, you were at a competitor conference talking about fire alarms, electronic security, fire suppression, elevator service, all areas where you already had a leg, but you could add to it with a larger deal. So it seems like from what you're saying, Russ, on the 20 to 40 million, that it's harder to do larger deals right now. But you tell me. I don't want to put words in your mouth.

So, you know, a bigger transformational deal.

When? It's probably not if.

It's probably when. I would say that when the time is right. Okay. How's that? I mean, it's succinct. I mean, well, I think the beautiful thing about where we're at today is we don't have to do anything. And that's a great place. You shouldn't let me push you into something. I'm not going to. So that's one thing nobody here has to worry about. But we don't have to do anything. And we constantly look and take a peek under the covers at larger transactions. And it's got to be the right fit. I feel like we've demonstrated our capability of doing larger transactions with Chubb, but we still have to be disciplined in how we look at these larger deals and make sure that it's the right fit for the business. I mean, everybody, you have our word on that, that we're going to be disciplined that way.

And then I have to ask you the obligatory safety and specialty together question. So any changes in the thought process? I mean, you obviously have a good strategy to make them both better, you know, but maybe you can talk about are there synergies these days between the two businesses? Like, how do you feel about them? And if someone came and offered you a bag, would you take it? You know, all of those.

Well, the old adage that everything's for sale, everything technically is for sale, so nothing changes on that front. There's more synergies there than I think most people think about. When we talk about data centers, I think most people actually think that we're talking 100% only fire life safety and security, and that's not true. We actually, as a percentage of total revenues, I think our specialty business had more data center work as a percentage of their overarching revenues than our safety business did. And so, you know, like leveraging customer relationships with some of these hyperscalers, like it's happening every single day, and we're taking advantage of those relationships that are swinging both ways.

Interesting. And then I think at the investor day, you talked about needing to build systems and applications to, you know, make that $10 billion sales platform. So maybe just an update on how you're going, what you're doing with these systems application, and are you using AI at all to help you to build a stronger API?

I'll talk a little bit about AEI, and then I'll turn it over to David to talk about the system stuff. At API, we view AI as an opportunity, not as a threat, and we've actually stood up an AI team inside the organization, and we took a really, really smart leader of ours, and he's got five people on his team, and his mandate is to focus kind of his early work on our field leaders, the men and the women that work in the field, And how can we develop some tools that will make their jobs easier, make their jobs more efficient, more productive, you know, as they can see more of our customers. But, like, you know, just to give you a simple example, like, you can see a day. We're AI. Designs the fire alarm system for a new tenant improvement project. And your designer is basically, AI is taking it, say, from 0% to 85%, and our designer is taking it from 85% to 100%. Like, you can see that day coming. You know, same thing on the suppression side, same thing on the security side. And so we're investing the resources. To make sure that we're, I don't want to say we're on the front end of it, but we're out in front of it, and we're taking advantage of some of those, some of the capabilities and tools that are already present today.

Go ahead.

The system project. So the system project has won a lot of hard work, but we're where we want to be on that project. So we've done the data cleansing work that you need to make a successful system implementation. The system itself is designed and built. Our teams are actively testing the system as it is, and we'll roll it out or deploy it in our pilot company sometime in the first half of this year. So a lot of hard work where we want it to be. But the added benefit, I think, is to really maximize your AI investment as well as to get a new system, a new business system working as it should. It really does require putting a lot of time, energy, and attention on your data. And so the clean data that we're getting as a result of this system work, I think, is really going to enable us to do a lot more with AI once that system is providing the solid foundation for our business.

Got it. So we're running out of time. So let me ask you this last question, Russ. So what are the top two or three innovations and structural changes affecting your company over the next five years? Are there any emerging industry trends that are perhaps being overlooked in the current discourse?

Well, you talk so fast, sir. I don't know that I really even caught the first part of your question.

Talk two or three innovations that you're focused on, or structural changes.

Well, I think one of the things that is a little bit unique about us, I mean, probably... You know, AI and technology enablement would be the way I'd answer those questions, but I think that, you know, if you go back to the investor day and you go back to 10, 16, 60 plus, you know, we've said that basically the drums that we need to beat to achieve those goals. Aren't changing. And I think if you think about, you know, organizational discipline, and about really good companies, there's no flavor of the day, they don't feel they don't like, like, we don't need technology to, to necessarily enable us to achieve our goals. Technology will help us achieve our goals. But it's not an it's not an excuse to not achieve our goals. Does that make sense? It totally does. And so we just wanted to help us be more efficient. It's going to help us grow our business because it's going to free up people. And to me, like, what we're doing and being consistent in our behaviors and our ability to execute is what's going to deliver 10, 16, 60 plus. And that's exciting to me. Awesome. Thank you very much, Russ and David. Appreciate it. Thank you, everybody. Appreciate you being here.