Leslies Inc (LESL)

History and Background

Founded in 1963, Leslie's, Inc. (LSPD) has grown to become the largest direct-to-consumer brand in the U.S. pool and spa care industry. Originally a mail-order business, Leslie's expanded through retail stores, online sales, and service centers.

Core Business Areas

• Retail: Offers a wide range of pool and spa supplies, equipment, and services through a network of retail stores across the United States.
• e-Commerce: Sells products online through its website, lesliespool.com.
• Commercial: Supplies products and services to commercial pool operators, such as hotels, community pools, and water parks.

Leadership and Structure

The leadership team includes the CEO, CFO, and other executive officers. The organizational structure includes retail operations, e-commerce, marketing, finance, and supply chain management.

Key Offerings

• Pool Chemicals: Includes chlorine, algaecides, and pH balancers. Leslie's holds a significant market share in this segment. Competitors include BioGuard, Clorox Pool&Spa, and other private label brands.
• Pool Equipment: Includes pumps, filters, heaters, cleaners, and covers. Competitors include Hayward, Pentair, and Zodiac. Revenue is significant but no market share data available.
• Pool Accessories: Includes toys, games, floats, and maintenance tools. No market share available. Competitors are varied.
• Pool Maintenance Services: Includes pool opening, closing, cleaning, and repair services. No market share data available, but provides recurring revenue. Competitors include local service providers and national chains.

Industry Overview

The pool and spa care industry is characterized by seasonal demand, fragmented competition, and technological advancements in automation and energy efficiency.

Positioning

Leslie's holds a leading position in the direct-to-consumer market, leveraging its brand recognition, extensive retail network, and online presence. Its competitive advantages include scale, service, and loyalty programs.

Total Addressable Market (TAM)

The US pool and spa care market is estimated to be over $15 billion. Leslie's is positioned to capture a significant share of this TAM through its retail network, e-commerce platform, and commercial business.

Key Competitors

• MPX (Fluidra)
• HAYW (Hayward Holdings Inc.)
• PNT (Pentair PLC)

Competitive Landscape

Leslie's benefits from strong brand recognition and a retail presence. Online retailers present a competitive threat. Hayward and Pentair are major equipment manufacturers.

CPS Pool & Spa

• Year: 2021
• Acquisition Price (USD millions):
• Strategic Rationale: Expanded geographic footprint and increased penetration in the commercial pool market. Price data not publicly available.

Historical Growth: Leslie's has experienced steady growth over the past years, driven by expansion of its retail network, e-commerce initiatives, and acquisitions.

Future Projections: Analyst estimates project continued growth for Leslie's, driven by the expansion of the pool market, renovation activity, and increased demand for pool services.

Recent Initiatives: Recent initiatives include expanding its e-commerce platform, enhancing its loyalty program, and acquiring smaller pool supply companies.

Leslie's is a leading player in the US pool and spa care market, leveraging its strong brand and extensive retail network. The company is performing well but faces challenges from online competition and seasonality. Growth is projected to continue through strategic initiatives and acquisitions. Continued focus on customer service and adaptation to digital trends will be critical.

Data Sources:

• Company SEC Filings
• Industry Reports
• Analyst Estimates
• Company Website

Disclaimers:

This analysis is based on publicly available information and is not financial advice. Market share data is approximate and may vary depending on the source. All financial data must be pulled from recent statements.