The DivGro Weekly—03.07.26

220 Consecutive dividend increases

Weekly Dividend Progress

This week we received further real-time, tangible evidence of outstanding business progress when we became entitled to our quarterly dividends from FirstService, Stryker and Heico, all meaningfully higher than this time last year.

How We Are Tracking

Since DivGro's inception we have predicted and benefited from 220 consecutive dividend increases across our portfolio companies, with no decreases. The average rate of these dividend increases is 13.9%.

FirstService

FirstService, founded in 1972, is the North American market leader in essential property management services (akin to strata management) and a leading provider of affiliated maintenance services and restoration. While milder weather i.e. fewer major storms has subdued restoration, and new construction and renovation activity has temporarily lulled, both typically normalise back to trend — which has grown consistently for decades. Accordingly, FirstService is focused on widening its breadth of services, exemplified by establishing and expanding its roofing platform, while simultaneously leaning on its privileged scaled leadership to expand housing units under its management, taking meaningful market share. As the dominant player, FirstService can offer equal or superior service, mostly at lower cost, than its small and fragmented competitors. This advantageous dynamic positions FirstService to grow at the pace it chooses. As a dominant leader with just 8% market share, FirstService faces a long and expansive growth horizon — facilitating compelling reinvestment opportunities which should dovetail an extension of its strong dividend growth credentials.