On this page of StockholderLetter.com we present the latest annual shareholder letter from ADVANCED DRAINAGE SYSTEMS, INC. — ticker symbol WMS. Reading current and past WMS letters to shareholders can bring important insights into the investment thesis.
Fiscal Year 2024
Annual Report
Advanced Drainage Systems, Inc.
www.adspipe.com
ADS_2024_annual_report_2024.5.30.indd 1
6/3/24 9:21 AM
These severe storms, hurricanes, floods, and
droughts have devastating consequences for the
communities affected. It is clear that the existing
stormwater infrastructure has not kept pace
with this climate trend, creating stormwater
management problems for many communities.
A Letter from our CEO
Dear Fellow Shareholders,
In Fiscal 2024, ADS recorded its ninth
consecutive year of record profitability. Adjusted
EBITDA increased 2% to $923 million due
to better-than-expected performance from
the Infiltrator business and Allied products
portfolio, effective management of price/cost,
strong operational execution and the benefit
of previous investments across both ADS and
Infiltrator. In addition, the Adjusted EBITDA
margin increased 270 basis points to 32.1%, the
highest annual profit margin in the Company   s
history, despite a 6% decrease in revenue. End
market demand improved significantly in the
second half of Fiscal 2024, primarily due to
the notable improvements in the residential
and infrastructure end markets. The nonresidential, agriculture and international end
markets also improved in the second half of
the year. We are proud of this year   s financial
results and remain committed to driving
above market performance as we advance
the stormwater and onsite septic wastewater
industries through highly engineered solutions
that ensure successful management of water.
ADS is a pure-play water company that plays
a critical role in developing sustainable water
management solutions to protect and manage
the world   s most precious resource, water.
The last several years have shown a secular
trend of large-scale, water-related climate
events increasing in frequency, duration, and
intensity. As demonstrated in the chart below,
there were 27 of these large-scale events in
2023, with an estimated total cost of over $88
billion. By comparison, if we look back twenty
years, there were just six events in 2003.
Billion Dollar Stormwater Management Related Disasters in the U.S. since 19801
30
25
20
15
10
In Fiscal 2024, we surveyed Americans about
water management and infrastructure
in their communities. Over half of the
respondents indicated concern about
stormwater management infrastructure in their
communities, and one out of five experienced
flooding in their homes. The survey results
also made it clear that Americans are not
just worried about protecting their homes,
but also ensuring stormwater management
practices are environmentally sustainable and
improving quality of life in their communities.
Click here or scan the QR
code for survey results.
These results are further corroborated by the
growing body of evidence concerning the state
of water management practices. In November
2023, the U.S. Global Change Research Program
(USGCRP) completed The Fifth National Climate
Assessment, a report issued at least every four
years that serves as the U.S. Government   s
preeminent report on climate change
impacts, risks, and responses. With respect to
stormwater, the report indicated the following:
5
Climate change will continue to cause profound
changes in the water cycle, increasing the risk
of flooding, drought, and degraded water
19
80
19
81
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82
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0
Severe Storm
1
Tropical Cyclone
Flooding
Drought
Winter Storm
   U.S. Billion-Dollar Weather and Climate Disasters,    NOAA National Centers for Environmental Information (NCEI) (2024).
2 | ADS Annual Report 2024
ADS_2024_annual_report_2024.5.30.indd 2-3
2
supplies for both people and ecosystems.
[   ] While data and tools for water resources
planning are improving, water infrastructure
standards and management policies have
been slow to meet the new challenges.2
As the leading stormwater management
company, we have an important role to
play in highlighting these concerns to
drive awareness and education as well
as engineering solutions to mitigate the
impact of these water-related climate events
for the millions of people affected.
There is also a growing need to capture
and reclaim water, and for over 30 years,
ADS and Infiltrator products have helped
recharge groundwater, returning it to aquifers,
rivers, and watersheds. To help solve these
issues and extend the company   s solution
set, we entered a strategic partnership
with Rainwater Management Solutions, a
provider of cutting-edge rainwater harvesting
and reuse systems. Rainwater harvesting
systems capture, divert and store rainwater
runoff for reuse in applications such as
irrigation, helping to combat water scarcity.
This partnership brings together the technology
and solutions built by Rainwater Management
Solutions and ADS    best-in-class go-to-market
sales resources and distribution network,
utilizing the StormTech stormwater chambers
and Infiltrator   s industry leading in-ground
tanks. By utilizing ADS    expertise in managing
the entire lifecycle of a raindrop and RMS   
innovative water harvesting solutions, the
combined reach, knowledge and innovation
resulting from this partnership will enable the
delivery of leading, end-to-end stormwater
treatment systems in the complementary
commercial and residential markets.
   Fifth National Climate Assessment (Chapter 4: Water),    U.S. Global Change Research Program (November 2023), https://nca2023.globalchange.gov/chapter/4/
ADS Annual Report 2024 | 3
6/3/24 9:21 AM
These severe storms, hurricanes, floods, and
droughts have devastating consequences for the
communities affected. It is clear that the existing
stormwater infrastructure has not kept pace
with this climate trend, creating stormwater
management problems for many communities.
A Letter from our CEO
Dear Fellow Shareholders,
In Fiscal 2024, ADS recorded its ninth
consecutive year of record profitability. Adjusted
EBITDA increased 2% to $923 million due
to better-than-expected performance from
the Infiltrator business and Allied products
portfolio, effective management of price/cost,
strong operational execution and the benefit
of previous investments across both ADS and
Infiltrator. In addition, the Adjusted EBITDA
margin increased 270 basis points to 32.1%, the
highest annual profit margin in the Company   s
history, despite a 6% decrease in revenue. End
market demand improved significantly in the
second half of Fiscal 2024, primarily due to
the notable improvements in the residential
and infrastructure end markets. The nonresidential, agriculture and international end
markets also improved in the second half of
the year. We are proud of this year   s financial
results and remain committed to driving
above market performance as we advance
the stormwater and onsite septic wastewater
industries through highly engineered solutions
that ensure successful management of water.
ADS is a pure-play water company that plays
a critical role in developing sustainable water
management solutions to protect and manage
the world   s most precious resource, water.
The last several years have shown a secular
trend of large-scale, water-related climate
events increasing in frequency, duration, and
intensity. As demonstrated in the chart below,
there were 27 of these large-scale events in
2023, with an estimated total cost of over $88
billion. By comparison, if we look back twenty
years, there were just six events in 2003.
Billion Dollar Stormwater Management Related Disasters in the U.S. since 19801
30
25
20
15
10
In Fiscal 2024, we surveyed Americans about
water management and infrastructure
in their communities. Over half of the
respondents indicated concern about
stormwater management infrastructure in their
communities, and one out of five experienced
flooding in their homes. The survey results
also made it clear that Americans are not
just worried about protecting their homes,
but also ensuring stormwater management
practices are environmentally sustainable and
improving quality of life in their communities.
Click here or scan the QR
code for survey results.
These results are further corroborated by the
growing body of evidence concerning the state
of water management practices. In November
2023, the U.S. Global Change Research Program
(USGCRP) completed The Fifth National Climate
Assessment, a report issued at least every four
years that serves as the U.S. Government   s
preeminent report on climate change
impacts, risks, and responses. With respect to
stormwater, the report indicated the following:
5
Climate change will continue to cause profound
changes in the water cycle, increasing the risk
of flooding, drought, and degraded water
19
80
19
81
19
82
19
83
19
84
19
85
19
86
19
87
19
88
19
89
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90
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23
0
Severe Storm
1
Tropical Cyclone
Flooding
Drought
Winter Storm
   U.S. Billion-Dollar Weather and Climate Disasters,    NOAA National Centers for Environmental Information (NCEI) (2024).
2 | ADS Annual Report 2024
ADS_2024_annual_report_2024.5.30.indd 2-3
2
supplies for both people and ecosystems.
[   ] While data and tools for water resources
planning are improving, water infrastructure
standards and management policies have
been slow to meet the new challenges.2
As the leading stormwater management
company, we have an important role to
play in highlighting these concerns to
drive awareness and education as well
as engineering solutions to mitigate the
impact of these water-related climate events
for the millions of people affected.
There is also a growing need to capture
and reclaim water, and for over 30 years,
ADS and Infiltrator products have helped
recharge groundwater, returning it to aquifers,
rivers, and watersheds. To help solve these
issues and extend the company   s solution
set, we entered a strategic partnership
with Rainwater Management Solutions, a
provider of cutting-edge rainwater harvesting
and reuse systems. Rainwater harvesting
systems capture, divert and store rainwater
runoff for reuse in applications such as
irrigation, helping to combat water scarcity.
This partnership brings together the technology
and solutions built by Rainwater Management
Solutions and ADS    best-in-class go-to-market
sales resources and distribution network,
utilizing the StormTech stormwater chambers
and Infiltrator   s industry leading in-ground
tanks. By utilizing ADS    expertise in managing
the entire lifecycle of a raindrop and RMS   
innovative water harvesting solutions, the
combined reach, knowledge and innovation
resulting from this partnership will enable the
delivery of leading, end-to-end stormwater
treatment systems in the complementary
commercial and residential markets.
   Fifth National Climate Assessment (Chapter 4: Water),    U.S. Global Change Research Program (November 2023), https://nca2023.globalchange.gov/chapter/4/
ADS Annual Report 2024 | 3
6/3/24 9:21 AM
To further our leading position in the
onsite septic wastewater market, Infiltrator
launched the ECOPOD-NX in January 2024, an
advanced treatment solution for onsite septic
wastewater management. This product is
the next generation of advanced wastewater
treatment technology designed to meet new
regulations that require higher levels of nitrogen
reduction to protect watersheds and the
environment. With this new product, Infiltrator
will leverage its leading market knowledge and
distribution network to penetrate new areas
of the growing advanced treatment market.
These partnerships and product launches
demonstrate our strategic commitment to
improving the environment and communities
through innovative water management
solutions. Our premier cash generation
ability, scale, and market position enable
us to organically invest in these programs,
bringing more effective solutions to market
that address the need for better water
management solutions in North America. As
demonstrated by the investments highlighted
on the following page, we   re investing from
end-to-end, building an engineering and
technology center, expanding pipe production
and recycling capacity, and investing in
technology to improve customer service and
order execution among other initiatives.
As we continue to grow the company, we also
continue to focus on sustainability initiatives
and have several important updates from Fiscal
2024. In August, we signed the UN Global
Compact, another step in our commitment to
operate the business responsibly, align with
universal sustainability principles and take
actions to support society. Additionally, we
introduced two important policies this year,
a Biodiversity Policy and a Supplier Code of
Conduct, to ensure we are interacting with
4 | ADS Annual Report 2024
ADS_2024_annual_report_2024.5.30.indd 4-5
Investing in Leadership and Advancement
What would the world look
like without stormwater
management? Click here
to learn more about the
lifecycle of a raindrop.
the environment and suppliers responsibly.
Look for more information in our Fiscal 2024
Sustainability Report, to be issued later this year.
Finally, as we look forward to Fiscal 2025, we
expect to repeat this year   s record Adjusted
EBITDA margin performance. Notably, this is
after a 770-basis point increase over the last 2
years. We expect a better demand environment
to lead to volume growth and fixed cost
absorption as well as operational efficiency, as
we reap the benefit from capital investments we
have made in manufacturing and transportation
over the last several years. On behalf of the
ADS leadership team and Board of Directors,
I would like to thank the employees for their
hard work throughout the past year, as well as
their commitment to the future of ADS. We look
forward to another strong year in Fiscal 2025.
Thank you for your continued support.
Sincerely,
D. Scott Barbour
President and CEO
ADS advancements and highly engineered
solutions help ensure we can successfully
manage our most precious resource    
water     for generations to come.
See below for some of the major
facility investments we   re making.
Recycling Facility Expansion
Georgia
    Expansion to be complete in 2025
    Increases recycled material supply in Southeast U.S.
    Expanding existing building to increase blending and pelletizing capabilities
Engineering and Technology Center
Hilliard, OH
    Opening June 2024
    World   s most advanced stormwater
engineering, research and development facility
    Brings product design, material science and
manufacturing under one roof to increase pace
of innovation and incorporating more recycled
content into products
Pipe Manufacturing Facility
Florida
    Complete in 2025
    Enables growth in key regions of Florida and
Southeast U.S.
    Designed to promote safety, efficient flow of
materials and traffic, and incorporates ADS   
most advanced automation technology
ADS Annual Report 2024 | 5
6/3/24 9:21 AM
To further our leading position in the
onsite septic wastewater market, Infiltrator
launched the ECOPOD-NX in January 2024, an
advanced treatment solution for onsite septic
wastewater management. This product is
the next generation of advanced wastewater
treatment technology designed to meet new
regulations that require higher levels of nitrogen
reduction to protect watersheds and the
environment. With this new product, Infiltrator
will leverage its leading market knowledge and
distribution network to penetrate new areas
of the growing advanced treatment market.
These partnerships and product launches
demonstrate our strategic commitment to
improving the environment and communities
through innovative water management
solutions. Our premier cash generation
ability, scale, and market position enable
us to organically invest in these programs,
bringing more effective solutions to market
that address the need for better water
management solutions in North America. As
demonstrated by the investments highlighted
on the following page, we   re investing from
end-to-end, building an engineering and
technology center, expanding pipe production
and recycling capacity, and investing in
technology to improve customer service and
order execution among other initiatives.
As we continue to grow the company, we also
continue to focus on sustainability initiatives
and have several important updates from Fiscal
2024. In August, we signed the UN Global
Compact, another step in our commitment to
operate the business responsibly, align with
universal sustainability principles and take
actions to support society. Additionally, we
introduced two important policies this year,
a Biodiversity Policy and a Supplier Code of
Conduct, to ensure we are interacting with
4 | ADS Annual Report 2024
ADS_2024_annual_report_2024.5.30.indd 4-5
Investing in Leadership and Advancement
What would the world look
like without stormwater
management? Click here
to learn more about the
lifecycle of a raindrop.
the environment and suppliers responsibly.
Look for more information in our Fiscal 2024
Sustainability Report, to be issued later this year.
Finally, as we look forward to Fiscal 2025, we
expect to repeat this year   s record Adjusted
EBITDA margin performance. Notably, this is
after a 770-basis point increase over the last 2
years. We expect a better demand environment
to lead to volume growth and fixed cost
absorption as well as operational efficiency, as
we reap the benefit from capital investments we
have made in manufacturing and transportation
over the last several years. On behalf of the
ADS leadership team and Board of Directors,
I would like to thank the employees for their
hard work throughout the past year, as well as
their commitment to the future of ADS. We look
forward to another strong year in Fiscal 2025.
Thank you for your continued support.
Sincerely,
D. Scott Barbour
President and CEO
ADS advancements and highly engineered
solutions help ensure we can successfully
manage our most precious resource    
water     for generations to come.
See below for some of the major
facility investments we   re making.
Recycling Facility Expansion
Georgia
    Expansion to be complete in 2025
    Increases recycled material supply in Southeast U.S.
    Expanding existing building to increase blending and pelletizing capabilities
Engineering and Technology Center
Hilliard, OH
    Opening June 2024
    World   s most advanced stormwater
engineering, research and development facility
    Brings product design, material science and
manufacturing under one roof to increase pace
of innovation and incorporating more recycled
content into products
Pipe Manufacturing Facility
Florida
    Complete in 2025
    Enables growth in key regions of Florida and
Southeast U.S.
    Designed to promote safety, efficient flow of
materials and traffic, and incorporates ADS   
most advanced automation technology
ADS Annual Report 2024 | 5
6/3/24 9:21 AM
 • shareholder letter icon 6/5/2024 Letter Continued (Full PDF)
 • stockholder letter icon More "Rubber & Plastics" Category Stockholder Letters
 • Benford's Law Stocks icon WMS Benford's Law Stock Score = 89


WMS Shareholder/Stockholder Letter Transcript:

Fiscal Year 2024
Annual Report
Advanced Drainage Systems, Inc.
www.adspipe.com
ADS_2024_annual_report_2024.5.30.indd 1
6/3/24 9:21 AM

These severe storms, hurricanes, floods, and
droughts have devastating consequences for the
communities affected. It is clear that the existing
stormwater infrastructure has not kept pace
with this climate trend, creating stormwater
management problems for many communities.
A Letter from our CEO
Dear Fellow Shareholders,
In Fiscal 2024, ADS recorded its ninth
consecutive year of record profitability. Adjusted
EBITDA increased 2% to $923 million due
to better-than-expected performance from
the Infiltrator business and Allied products
portfolio, effective management of price/cost,
strong operational execution and the benefit
of previous investments across both ADS and
Infiltrator. In addition, the Adjusted EBITDA
margin increased 270 basis points to 32.1%, the
highest annual profit margin in the Company   s
history, despite a 6% decrease in revenue. End
market demand improved significantly in the
second half of Fiscal 2024, primarily due to
the notable improvements in the residential
and infrastructure end markets. The nonresidential, agriculture and international end
markets also improved in the second half of
the year. We are proud of this year   s financial
results and remain committed to driving
above market performance as we advance
the stormwater and onsite septic wastewater
industries through highly engineered solutions
that ensure successful management of water.
ADS is a pure-play water company that plays
a critical role in developing sustainable water
management solutions to protect and manage
the world   s most precious resource, water.
The last several years have shown a secular
trend of large-scale, water-related climate
events increasing in frequency, duration, and
intensity. As demonstrated in the chart below,
there were 27 of these large-scale events in
2023, with an estimated total cost of over $88
billion. By comparison, if we look back twenty
years, there were just six events in 2003.
Billion Dollar Stormwater Management Related Disasters in the U.S. since 19801
30
25
20
15
10
In Fiscal 2024, we surveyed Americans about
water management and infrastructure
in their communities. Over half of the
respondents indicated concern about
stormwater management infrastructure in their
communities, and one out of five experienced
flooding in their homes. The survey results
also made it clear that Americans are not
just worried about protecting their homes,
but also ensuring stormwater management
practices are environmentally sustainable and
improving quality of life in their communities.
Click here or scan the QR
code for survey results.
These results are further corroborated by the
growing body of evidence concerning the state
of water management practices. In November
2023, the U.S. Global Change Research Program
(USGCRP) completed The Fifth National Climate
Assessment, a report issued at least every four
years that serves as the U.S. Government   s
preeminent report on climate change
impacts, risks, and responses. With respect to
stormwater, the report indicated the following:
5
Climate change will continue to cause profound
changes in the water cycle, increasing the risk
of flooding, drought, and degraded water
19
80
19
81
19
82
19
83
19
84
19
85
19
86
19
87
19
88
19
89
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90
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91
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15
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17
20
18
20
19
20
20
20
21
20
22
20
23
0
Severe Storm
1
Tropical Cyclone
Flooding
Drought
Winter Storm
   U.S. Billion-Dollar Weather and Climate Disasters,    NOAA National Centers for Environmental Information (NCEI) (2024).
2 | ADS Annual Report 2024
ADS_2024_annual_report_2024.5.30.indd 2-3
2
supplies for both people and ecosystems.
[   ] While data and tools for water resources
planning are improving, water infrastructure
standards and management policies have
been slow to meet the new challenges.2
As the leading stormwater management
company, we have an important role to
play in highlighting these concerns to
drive awareness and education as well
as engineering solutions to mitigate the
impact of these water-related climate events
for the millions of people affected.
There is also a growing need to capture
and reclaim water, and for over 30 years,
ADS and Infiltrator products have helped
recharge groundwater, returning it to aquifers,
rivers, and watersheds. To help solve these
issues and extend the company   s solution
set, we entered a strategic partnership
with Rainwater Management Solutions, a
provider of cutting-edge rainwater harvesting
and reuse systems. Rainwater harvesting
systems capture, divert and store rainwater
runoff for reuse in applications such as
irrigation, helping to combat water scarcity.
This partnership brings together the technology
and solutions built by Rainwater Management
Solutions and ADS    best-in-class go-to-market
sales resources and distribution network,
utilizing the StormTech stormwater chambers
and Infiltrator   s industry leading in-ground
tanks. By utilizing ADS    expertise in managing
the entire lifecycle of a raindrop and RMS   
innovative water harvesting solutions, the
combined reach, knowledge and innovation
resulting from this partnership will enable the
delivery of leading, end-to-end stormwater
treatment systems in the complementary
commercial and residential markets.
   Fifth National Climate Assessment (Chapter 4: Water),    U.S. Global Change Research Program (November 2023), https://nca2023.globalchange.gov/chapter/4/
ADS Annual Report 2024 | 3
6/3/24 9:21 AM

These severe storms, hurricanes, floods, and
droughts have devastating consequences for the
communities affected. It is clear that the existing
stormwater infrastructure has not kept pace
with this climate trend, creating stormwater
management problems for many communities.
A Letter from our CEO
Dear Fellow Shareholders,
In Fiscal 2024, ADS recorded its ninth
consecutive year of record profitability. Adjusted
EBITDA increased 2% to $923 million due
to better-than-expected performance from
the Infiltrator business and Allied products
portfolio, effective management of price/cost,
strong operational execution and the benefit
of previous investments across both ADS and
Infiltrator. In addition, the Adjusted EBITDA
margin increased 270 basis points to 32.1%, the
highest annual profit margin in the Company   s
history, despite a 6% decrease in revenue. End
market demand improved significantly in the
second half of Fiscal 2024, primarily due to
the notable improvements in the residential
and infrastructure end markets. The nonresidential, agriculture and international end
markets also improved in the second half of
the year. We are proud of this year   s financial
results and remain committed to driving
above market performance as we advance
the stormwater and onsite septic wastewater
industries through highly engineered solutions
that ensure successful management of water.
ADS is a pure-play water company that plays
a critical role in developing sustainable water
management solutions to protect and manage
the world   s most precious resource, water.
The last several years have shown a secular
trend of large-scale, water-related climate
events increasing in frequency, duration, and
intensity. As demonstrated in the chart below,
there were 27 of these large-scale events in
2023, with an estimated total cost of over $88
billion. By comparison, if we look back twenty
years, there were just six events in 2003.
Billion Dollar Stormwater Management Related Disasters in the U.S. since 19801
30
25
20
15
10
In Fiscal 2024, we surveyed Americans about
water management and infrastructure
in their communities. Over half of the
respondents indicated concern about
stormwater management infrastructure in their
communities, and one out of five experienced
flooding in their homes. The survey results
also made it clear that Americans are not
just worried about protecting their homes,
but also ensuring stormwater management
practices are environmentally sustainable and
improving quality of life in their communities.
Click here or scan the QR
code for survey results.
These results are further corroborated by the
growing body of evidence concerning the state
of water management practices. In November
2023, the U.S. Global Change Research Program
(USGCRP) completed The Fifth National Climate
Assessment, a report issued at least every four
years that serves as the U.S. Government   s
preeminent report on climate change
impacts, risks, and responses. With respect to
stormwater, the report indicated the following:
5
Climate change will continue to cause profound
changes in the water cycle, increasing the risk
of flooding, drought, and degraded water
19
80
19
81
19
82
19
83
19
84
19
85
19
86
19
87
19
88
19
89
19
90
19
91
19
92
19
93
19
94
19
95
19
96
19
97
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19
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20
00
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20
15
20
16
20
17
20
18
20
19
20
20
20
21
20
22
20
23
0
Severe Storm
1
Tropical Cyclone
Flooding
Drought
Winter Storm
   U.S. Billion-Dollar Weather and Climate Disasters,    NOAA National Centers for Environmental Information (NCEI) (2024).
2 | ADS Annual Report 2024
ADS_2024_annual_report_2024.5.30.indd 2-3
2
supplies for both people and ecosystems.
[   ] While data and tools for water resources
planning are improving, water infrastructure
standards and management policies have
been slow to meet the new challenges.2
As the leading stormwater management
company, we have an important role to
play in highlighting these concerns to
drive awareness and education as well
as engineering solutions to mitigate the
impact of these water-related climate events
for the millions of people affected.
There is also a growing need to capture
and reclaim water, and for over 30 years,
ADS and Infiltrator products have helped
recharge groundwater, returning it to aquifers,
rivers, and watersheds. To help solve these
issues and extend the company   s solution
set, we entered a strategic partnership
with Rainwater Management Solutions, a
provider of cutting-edge rainwater harvesting
and reuse systems. Rainwater harvesting
systems capture, divert and store rainwater
runoff for reuse in applications such as
irrigation, helping to combat water scarcity.
This partnership brings together the technology
and solutions built by Rainwater Management
Solutions and ADS    best-in-class go-to-market
sales resources and distribution network,
utilizing the StormTech stormwater chambers
and Infiltrator   s industry leading in-ground
tanks. By utilizing ADS    expertise in managing
the entire lifecycle of a raindrop and RMS   
innovative water harvesting solutions, the
combined reach, knowledge and innovation
resulting from this partnership will enable the
delivery of leading, end-to-end stormwater
treatment systems in the complementary
commercial and residential markets.
   Fifth National Climate Assessment (Chapter 4: Water),    U.S. Global Change Research Program (November 2023), https://nca2023.globalchange.gov/chapter/4/
ADS Annual Report 2024 | 3
6/3/24 9:21 AM

To further our leading position in the
onsite septic wastewater market, Infiltrator
launched the ECOPOD-NX in January 2024, an
advanced treatment solution for onsite septic
wastewater management. This product is
the next generation of advanced wastewater
treatment technology designed to meet new
regulations that require higher levels of nitrogen
reduction to protect watersheds and the
environment. With this new product, Infiltrator
will leverage its leading market knowledge and
distribution network to penetrate new areas
of the growing advanced treatment market.
These partnerships and product launches
demonstrate our strategic commitment to
improving the environment and communities
through innovative water management
solutions. Our premier cash generation
ability, scale, and market position enable
us to organically invest in these programs,
bringing more effective solutions to market
that address the need for better water
management solutions in North America. As
demonstrated by the investments highlighted
on the following page, we   re investing from
end-to-end, building an engineering and
technology center, expanding pipe production
and recycling capacity, and investing in
technology to improve customer service and
order execution among other initiatives.
As we continue to grow the company, we also
continue to focus on sustainability initiatives
and have several important updates from Fiscal
2024. In August, we signed the UN Global
Compact, another step in our commitment to
operate the business responsibly, align with
universal sustainability principles and take
actions to support society. Additionally, we
introduced two important policies this year,
a Biodiversity Policy and a Supplier Code of
Conduct, to ensure we are interacting with
4 | ADS Annual Report 2024
ADS_2024_annual_report_2024.5.30.indd 4-5
Investing in Leadership and Advancement
What would the world look
like without stormwater
management? Click here
to learn more about the
lifecycle of a raindrop.
the environment and suppliers responsibly.
Look for more information in our Fiscal 2024
Sustainability Report, to be issued later this year.
Finally, as we look forward to Fiscal 2025, we
expect to repeat this year   s record Adjusted
EBITDA margin performance. Notably, this is
after a 770-basis point increase over the last 2
years. We expect a better demand environment
to lead to volume growth and fixed cost
absorption as well as operational efficiency, as
we reap the benefit from capital investments we
have made in manufacturing and transportation
over the last several years. On behalf of the
ADS leadership team and Board of Directors,
I would like to thank the employees for their
hard work throughout the past year, as well as
their commitment to the future of ADS. We look
forward to another strong year in Fiscal 2025.
Thank you for your continued support.
Sincerely,
D. Scott Barbour
President and CEO
ADS advancements and highly engineered
solutions help ensure we can successfully
manage our most precious resource    
water     for generations to come.
See below for some of the major
facility investments we   re making.
Recycling Facility Expansion
Georgia
    Expansion to be complete in 2025
    Increases recycled material supply in Southeast U.S.
    Expanding existing building to increase blending and pelletizing capabilities
Engineering and Technology Center
Hilliard, OH
    Opening June 2024
    World   s most advanced stormwater
engineering, research and development facility
    Brings product design, material science and
manufacturing under one roof to increase pace
of innovation and incorporating more recycled
content into products
Pipe Manufacturing Facility
Florida
    Complete in 2025
    Enables growth in key regions of Florida and
Southeast U.S.
    Designed to promote safety, efficient flow of
materials and traffic, and incorporates ADS   
most advanced automation technology
ADS Annual Report 2024 | 5
6/3/24 9:21 AM

To further our leading position in the
onsite septic wastewater market, Infiltrator
launched the ECOPOD-NX in January 2024, an
advanced treatment solution for onsite septic
wastewater management. This product is
the next generation of advanced wastewater
treatment technology designed to meet new
regulations that require higher levels of nitrogen
reduction to protect watersheds and the
environment. With this new product, Infiltrator
will leverage its leading market knowledge and
distribution network to penetrate new areas
of the growing advanced treatment market.
These partnerships and product launches
demonstrate our strategic commitment to
improving the environment and communities
through innovative water management
solutions. Our premier cash generation
ability, scale, and market position enable
us to organically invest in these programs,
bringing more effective solutions to market
that address the need for better water
management solutions in North America. As
demonstrated by the investments highlighted
on the following page, we   re investing from
end-to-end, building an engineering and
technology center, expanding pipe production
and recycling capacity, and investing in
technology to improve customer service and
order execution among other initiatives.
As we continue to grow the company, we also
continue to focus on sustainability initiatives
and have several important updates from Fiscal
2024. In August, we signed the UN Global
Compact, another step in our commitment to
operate the business responsibly, align with
universal sustainability principles and take
actions to support society. Additionally, we
introduced two important policies this year,
a Biodiversity Policy and a Supplier Code of
Conduct, to ensure we are interacting with
4 | ADS Annual Report 2024
ADS_2024_annual_report_2024.5.30.indd 4-5
Investing in Leadership and Advancement
What would the world look
like without stormwater
management? Click here
to learn more about the
lifecycle of a raindrop.
the environment and suppliers responsibly.
Look for more information in our Fiscal 2024
Sustainability Report, to be issued later this year.
Finally, as we look forward to Fiscal 2025, we
expect to repeat this year   s record Adjusted
EBITDA margin performance. Notably, this is
after a 770-basis point increase over the last 2
years. We expect a better demand environment
to lead to volume growth and fixed cost
absorption as well as operational efficiency, as
we reap the benefit from capital investments we
have made in manufacturing and transportation
over the last several years. On behalf of the
ADS leadership team and Board of Directors,
I would like to thank the employees for their
hard work throughout the past year, as well as
their commitment to the future of ADS. We look
forward to another strong year in Fiscal 2025.
Thank you for your continued support.
Sincerely,
D. Scott Barbour
President and CEO
ADS advancements and highly engineered
solutions help ensure we can successfully
manage our most precious resource    
water     for generations to come.
See below for some of the major
facility investments we   re making.
Recycling Facility Expansion
Georgia
    Expansion to be complete in 2025
    Increases recycled material supply in Southeast U.S.
    Expanding existing building to increase blending and pelletizing capabilities
Engineering and Technology Center
Hilliard, OH
    Opening June 2024
    World   s most advanced stormwater
engineering, research and development facility
    Brings product design, material science and
manufacturing under one roof to increase pace
of innovation and incorporating more recycled
content into products
Pipe Manufacturing Facility
Florida
    Complete in 2025
    Enables growth in key regions of Florida and
Southeast U.S.
    Designed to promote safety, efficient flow of
materials and traffic, and incorporates ADS   
most advanced automation technology
ADS Annual Report 2024 | 5
6/3/24 9:21 AM



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