Valvoline Inc delivered a solid QQ1 2025 performance, underscoring the durability of its consumer automotive services model in a fragmented market. Key highlights include a 11% year-over-year increase in net sales to $414.3 million, 14% growth in adjusted EBITDA to $103 million, and system-wide store sales rising 14% to $820 million. The quarter featured 35 net new stores and the closure of a refranchising transaction in Central/West Texas, contributing to faster market development and enhanced shareholder value over the longer term. Management reaffirmed full-year guidance: 5-7% same-store sales (SSS) growth, 160-185 net store openings, and adjusted EBITDA of $450-470 million, with a front-loaded margin profile (roughly 40-45% in H1, 55-60% in H2) due to seasonal dynamics. Net income, including a $71 million pretax refranchising gain, rose materially, while adjusted net income increased 9% to $42 million and adjusted EPS to $0.32. Leverage stood at approximately 3.3x on a rating-agency basis, and free cash flow was negative $12 million for the quarter, reflecting ongoing investments in technology and refranchising timing. In aggregate, Valvoline remains well positioned to execute its three strategic priorities: drive full potential of existing business, accelerate network growth, and expand customer and service offerings. The near-term catalysts include continued NOCR penetration, stronger franchise development, and an expanding premium oil mix that supports ticket growth and higher mix shift. Key risks include the front-end EBITDA cadence from refranchising, weather-driven volatility in quarterly volume, and the usual inflationary pressures on operating costs. Overall, the QQ1 result aligns with the updated framework, and management has signaled willingness to pursue upside in the mid-to-high end of guidance contingent on market execution and franchise development momentum.