FirstService Corporation (NASDAQ:FSV) Q1 2024 Earnings Call Transcript

Scott Patterson: Yes. No, I appreciate that question because these large lifestyle communities that we manage and marquee high-rise buildings where we have a particular expertise, they increasingly have expensive and complex amenities. And that’s certainly a focus area for us and event planning around communities and concierge certainly, spas and fitness areas we’re very focused on. It’s the commercial pool side that we’re just tempering, I would say. And there are a number of states that require Lifeguard. And so we’ve been — again, we’ve been in that business for years. But it’s becoming increasingly difficult to staff those pools. And so we’re pivoting towards these other areas, I would say, focusing more.

Tim James: Okay. Thank you. And then just my final question, just a clarification. I just want to make sure I’m understanding the kind of the go-forward cadence, the increased promotional activity that you’ve called out in home services. And correct me if I’m wrong, it sounds like that mostly applies to California Closets. You mentioned that, that could be tempered as we go through the balance of this year. At what point does it sort of reach a steady cadence or just a steady growth rate or not become a headwind on a year-over-year basis? Is it possible to sort of suggest that’s a second-half…

Scott Patterson: Yes, you know what [Multiple Speakers] sort of use the visual hand on the dial. And it is a hand on the dial around different markets strategically driving share and making that decision. And that operating team is very, I would say, strong in this area just in terms of what is in the best interest of the brand long term and making that decision. So there’s nothing — no decisions have been made, I would say, as to the level of spend or promotion, no dates are in the calendar around when to dial it up or down. It’s an evolution or day-to-day decision-making, I would say.

Tim James: Okay. That’s very helpful. Thank you.

Operator: And thank you. And I am showing no further questions. I would now like to turn the call back over to Scott Patterson for closing remarks.

Scott Patterson: Thank you, Justin, and thank you all for joining us today. We look forward to talking again at the end of July. Thank you. Have a great day.

Operator: Ladies and gentlemen, this concludes the first quarter investors conference call. Thank you for your participation, and have a nice day.