Installed Building Products Q3 profit falls to $59.4M
Commercial same-branch sales rose 10.3%, while residential same-branch sales fell 2.6%, amid a 3.9% increase in quarterly revenue.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
Installed Building Products, Inc. (IBP) reported third-quarter 2026 revenue of $808.4 million, up 3.9% from $778.2 million a year earlier. Net income was $59.4 million, down from $74.4 million, and diluted earnings per share were $2.24 versus $2.74. Adjusted EBITDA was $128.3 million, down 8.3% from $139.9 million; gross profit was $257.4 million, down 2.6%.
Revenue differed by business: Installation revenue rose 2.7% to $740.4 million, and Other revenue, net of eliminations, rose 18.9% to $68.0 million. Commercial same-branch sales increased 10.3%, while residential same-branch sales declined 2.6%. Operating cash flow for the first nine months was $245.9 million, compared with $306.5 million a year earlier.
The board declared a $0.39-per-share fourth-quarter dividend, more than 5% above the prior-year fourth-quarter payment, payable December 31, 2026, to holders of record December 15, 2026. IBP closed a $250 million add-on to its existing Term Loan B. Four third-quarter acquisitions added approximately $22 million in annual revenue; year to date, IBP acquired approximately $67 million in revenue and said it continues to believe it will acquire at least $100 million in revenue in 2026.
2 points · 0 major0 major · 3 points
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointInstallation commercial same-branch sales: increased 10.3%.
- Minor pointFourth-quarter dividend: $0.39 per share, more than 5% above the prior-year payment.
Negative
- Moderate pointNet income: $59.4 million, down from $74.4 million year over year.
- Moderate pointAdjusted EBITDA: $128.3 million, down 8.3% year over year.
- Moderate pointNine-month operating cash flow: $245.9 million versus $306.5 million.
Filing Explained
The September 30 balance sheet predates the October 27 loan closing, so it does not establish post-add-on debt.
For the third quarter, Installed Building Products reported revenue up
At
Sources and calculations
- Form 8-K and attached earnings release (2026-11-05)
- Installed Building Products loan add-on closing headline (2026-10-27)
8-K Event Classification
3 items: 2.02, 7.01, 9.01
3 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Net revenue: $808.4 million
Net income: $59.4 million
Diluted net income per share: $2.24 per share
+5 more
8 metrics
Net revenue
$808.4 million
Three months ended September 30, 2026; up 3.9% from $778.2 million in the prior-year quarter.
Net income
$59.4 million
Three months ended September 30, 2026; $74.4 million in the prior-year quarter.
Diluted net income per share
$2.24 per share
Three months ended September 30, 2026; $2.74 per share in the prior-year quarter.
Adjusted EBITDA
$128.3 million
Third quarter 2026; down 8.3% from $139.9 million in the prior-year quarter.
Net cash provided by operating activities
$245.9 million
Nine months ended September 30, 2026; $306.5 million in the same period of 2025.
Fourth-quarter cash dividend
$0.39 per share
Payable December 31, 2026, to stockholders of record December 15, 2026; more than 5% above the prior-year fourth-quarter payment.
Term Loan B add-on
$250 million
Closed as an add-on to the existing Term Loan B.
Annual revenue added by third-quarter acquisitions
Approximately $22 million
Four acquisitions completed during the third quarter of 2026.
Key Terms
Adjusted EBITDA, same branch basis, price/mix, inter-segment revenue
4 terms
Adjusted EBITDA financial
"Adjusted EBITDA was $128.3 million"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
same branch basis financial
"On a consolidated same branch basis"
A measurement that compares financial results for only those bank or retail locations that were open in both the current and prior reporting periods, excluding new openings, closures or acquisitions. It shows how the underlying, existing branches performed on their own, removing the noise from changes in the number of locations. Investors use it to see organic growth or decline at the established network rather than gains from expanding the footprint.
price/mix financial
"price/mix increased 0.4%"
Price/mix is the portion of revenue change that comes from how much a company charges for goods or services (price) and which products or customers make up sales (mix). Think of it like a grocery store earning more because it raised prices and sold more expensive items: higher price raises each sale, while a different mix shifts sales toward higher- or lower-margin products. Investors watch price/mix to judge whether revenue growth is driven by sustainable pricing power or by short-term shifts in product mix.
inter-segment revenue financial
"Elimination of inter-segment revenue"
Earnings Snapshot
Net revenue: $808.4 million · Guidance included
Third quarter ended September 30, 2026
Net revenue
$808.4 million
Up 3.9% from $778.2 million in the prior-year quarter.
Net income
$59.4 million
Down from $74.4 million in the prior-year quarter.
Diluted net income per share
$2.24 per share
Down from $2.74 per share in the prior-year quarter.
Adjusted EBITDA
$128.3 million
Down 8.3% from the prior-year quarter.
Guidance
IBP said it continues to believe it will acquire at least $100 million in revenue in 2026.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
How did IBP perform in Q3 2026?
Revenue was $808.4 million, up 3.9% from the prior-year quarter. Net income was $59.4 million versus $74.4 million, and Adjusted EBITDA was $128.3 million, down 8.3% year over year.
What dividend did IBP declare for Q4 2026?
IBP declared a $0.39-per-share dividend, more than 5% above the prior-year fourth-quarter payment. It is payable December 31, 2026, to stockholders of record December 15, 2026.
Which companies did IBP acquire in Q3 2026?
IBP completed acquisitions of Harkraft, Inc. and Builders Hardware of South Carolina, Inc., each with approximately $7 million in annual sales; Chesapeake Hearth and Stone, approximately $4 million; and First Oklahoma Insulation, approximately $4 million.
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
___________________________________
FORM 8-K
___________________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (date of earliest event reported)
___________________________________
(Exact name of registrant as specified in its charter)
___________________________________
(State or other jurisdiction of incorporation or organization) | (Commission File Number) | (I.R.S. Employer Identification Number) | ||||||
(Address of principal executive offices and zip code) | ||||||||
( | ||||||||
(Registrant's telephone number, including area code) | ||||||||
495 South High Street, Suite 50, Columbus, Ohio 43215 | ||||||||
(Former name or former address, if changed since last report) | ||||||||
___________________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act: | ||||||||
Title of each class | Trading Symbol | Name of each exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Item 2.02 Results of Operations and Financial Condition.
On November 5, 2026, Installed Building Products, Inc. (the “Company”) issued a press release reporting the financial results for the three and nine months ended September 30, 2026. The full text of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
The information contained in this Item 2.02, including Exhibit 99.1 attached hereto, is being furnished and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. Furthermore, the information contained in this Item 2.02, including Exhibit 99.1 attached hereto, shall not be deemed to be incorporated by reference into any registration statement or other document filed with the Securities and Exchange Commission, except as shall be expressly set forth by specific reference in such filing.
Item 7.01 Regulation FD Disclosure
The November 5, 2026 press release also announced that the Board of Directors approved a quarterly cash dividend of $0.39 per share payable on December 31, 2026 to stockholders of record at the close of business on December 15, 2026.
One or more representatives of the Company will meet with prospective investors during the fourth quarter of 2026. The materials used in connection with these meetings have been posted on the Company’s website (www.installedbuildingproducts.com) under the Investor Relations section.
The information contained in this Item 7.01 is being furnished and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. Furthermore, the information contained in this Item 7.01 shall not be deemed to be incorporated by reference into any registration statement or other document filed with the Securities and Exchange Commission, except as shall be expressly set forth by specific reference in such filing.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits:
Exhibit No. | Description | |||||||
99.1 | Press Release, dated November 5, 2026, announcing results for the three and nine months ended September 30, 2026 and quarterly dividend | |||||||
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized on this 5th day of November, 2026.
INSTALLED BUILDING PRODUCTS, INC. | |||||
By: | /s/ Michael T. Miller | ||||
Name: | Michael T. Miller | ||||
Title: | Chief Financial Officer | ||||
INSTALLED BUILDING PRODUCTS REPORTS
THIRD QUARTER 2026 RESULTS;
DECLARES REGULAR QUARTERLY CASH DIVIDEND
Columbus, Ohio, November 5, 2026, Installed Building Products, Inc. (the "Company" or "IBP") (NYSE: IBP), an industry-leading installer of insulation and complementary building products, today announced results for the third quarter ended September 30, 2026.
Third Quarter 2026 Highlights (Comparisons are to Prior Year Period)
•Net revenue increased 3.9% to a record quarter of $808.4 million
◦Installation revenue increased 2.7% to $740.4 million, including sales from IBP's recent acquisitions
◦Other revenue, net of eliminations, which includes IBP’s manufacturing and distribution operations, increased 18.9% to $68.0 million
•Net income of $59.4 million
•Adjusted EBITDA* of $128.3 million
•Net income per diluted share of $2.24
•Adjusted net income* was $73.1 million, or $2.76 per diluted share
•At September 30, 2026, IBP had $415.9 million in cash and cash equivalents
•Declared third quarter dividend of $0.39 per share that was paid to shareholders on September 30, 2026
Recent Developments
•IBP’s Board of Directors declared the fourth quarter regular cash dividend of $0.39 per share, representing more than a 5% increase to the Company's regular dividend in the prior year period
•IBP closed a $250 million Add-On to its existing Term Loan B, further strengthening our ability to execute our acquisition strategy while maintaining substantial liquidity and financial flexibility
“During the third quarter, our team stayed focused on delivering a high level of installation service to our customers. Despite continued softness in residential construction activity, our same branch sales performance continued to outperform underlying market trends reflecting market share gains and the strength of our customer relationships across our branch network. Our third quarter, and year-to-date results reflect the benefits of our diversified operating platform, our continued focus on profitability, and our commitment to delivering value to customers across markets and economic cycles,” stated Jeff Edwards, Chairman and Chief Executive Officer.
“While affordability and consumer confidence remain headwinds for single-family construction, we continue to focus on commercial growth, acquisition integration, operational efficiency initiatives, and disciplined capital allocation. Importantly, our strong balance sheet, continued profitability, and cash flow generation will provide the financial flexibility to continue to execute our growth-oriented capital allocation strategy and create long-term shareholder value,” Mr. Edwards concluded.
Acquisition Update
During the 2026 third quarter, IBP completed the following acquisitions, which added approximately $22 million of annual revenue:
1
Close Date | Acquisition | Core End Market (1) | Primary Product Category | Approximate Annual Sales | ||||||||||
| Jul. 2026 | Harkraft, Inc. | Res. | Shower doors, shelving, mirrors, and accessories | $7 million | ||||||||||
| Jul. 2026 | Builders Hardware of South Carolina, Inc. | Res. | Door, bath, and fencing hardware | $7 million | ||||||||||
| Aug. 2026 | Chesapeake Hearth and Stone | Res. | Fireplaces | $4 million | ||||||||||
| Sep. 2026 | First Oklahoma Insulation | Res. | Insulation, Fireplaces, and Gutters | $4 million | ||||||||||
(1) Res. - Residential end market, which includes single-family and multi-family.
Year to date we have acquired approximately $67 million in revenue and continue to believe we will acquire at least $100 million in revenue in 2026.
2026 Fourth Quarter Regular Cash Dividend
IBP’s Board of Directors has approved the Company’s quarterly cash dividend of $0.39 per share, payable on December 31, 2026, to stockholders of record on December 15, 2026. The fourth quarter regular cash dividend represents an over 5% increase from last year's fourth quarter cash dividend payment.
Third Quarter 2026 Results Overview
For the third quarter of 2026, net revenue was $808.4 million, an increase of 3.9% from $778.2 million for the third quarter of 2025. On a consolidated same branch basis, net revenue increased 0.6% from the prior year quarter. Residential same branch sales within the Company's Installation segment were down 2.6% in the quarter while commercial same branch sales within the Installation segment were up 10.3% from the prior year quarter.
Our price/mix results increased 0.4% during the third quarter and job volumes were down 1.9% relative to the same period last year. It is important to note that the results of our heavy commercial end market and the Other segment results are not included in that price/mix and volume disclosure. Including the heavy commercial installation sales, but still excluding the Other segment results, price/mix increased 2.0% while job volume was down 1.7% during the 2026 third quarter.
Gross profit decreased 2.6% to $257.4 million in the third quarter of 2026 from $264.2 million in the prior year quarter. As a percent of net revenue, gross profit was 31.8% and adjusted gross profit* was 31.9%, compared to 34.0% in the same period last year. Adjusted gross profit primarily adjusts for the Company's share-based compensation expense. Gross profit margin was reduced by the higher relative mix of the Other segment compared to the Installation segment. Gross margin in the third quarter of 2026 was 35.0% in the Installation segment and 23.1% in the Other segment. Additionally, there has been significant cost inflation in fuel and aluminum. These factors combined had a notable impact on our third quarter of 2026 gross profit margin when compared with the same period last year.
Selling and administrative expense, as a percent of total revenue, was 19.2% in the third quarter of 2026 and 18.9% in the prior year period. Adjusted selling and administrative expense*, as a percent of net revenue, was 18.2% compared to 18.2% in the prior year quarter.
Net income was $59.4 million, or $2.24 per diluted share, compared to $74.4 million, or $2.74 per diluted share in the prior year quarter. Net profit margin for the third quarter was 7.3% compared to 9.6% in the prior year quarter. Adjusted net income* was $73.1 million, or $2.76 per diluted share, compared to $86.4 million, or $3.18 per diluted share in the prior year quarter. Adjusted net profit margin* for the third quarter was 9.0% compared to 11.1% in the prior year quarter. Adjusted net income accounts for the impact of non-core items in both periods, including an addback for non-cash amortization expense related to acquisitions.
EBITDA* in the third quarter of 2026 was $120.6 million, a 9.9% decrease from $133.8 million in the prior year quarter. Adjusted EBITDA* was $128.3 million, an 8.3% decrease from the prior year quarter, representing an adjusted EBITDA margin* of 15.9%. In the prior year quarter, adjusted EBITDA* was $139.9 million, representing an adjusted EBITDA margin* of 18.0%.
2
Conference Call and Webcast
The Company will host a conference call and webcast on November 5, 2026 at 10:00 a.m. Eastern Time to discuss these results. To participate in the call, please dial 877-407-0792 (domestic) or 201-689-8263 (international). The live webcast will be available at www.installedbuildingproducts.com in the investor relations section. A replay of the conference call will be available through November 19, 2026 by dialing 844-512-2921 (domestic) or 412-317-6671 (international) and entering the passcode 13762274.
Alternatively, participants can register for the call 15 minutes prior to the event by using the call me option for a faster connection to join the conference call. You can enter your phone number and let the system call you right away. Click here for the call me option.
About Installed Building Products
Installed Building Products, Inc. is one of the nation's largest new residential insulation installers and is a diversified installer of complementary building products, including waterproofing, fire-stopping, fireproofing, garage doors, rain gutters, window blinds, shower doors, closet shelving and mirrors and other products for residential and commercial builders located in the continental United States. The Company manages all aspects of the installation process for its customers, from direct purchase and receipt of materials from national manufacturers to its timely supply of materials to job sites and quality installation. The Company offers its portfolio of services for new and existing single-family and multi-family residential and commercial building projects in all 48 continental states and the District of Columbia from its national network of over 250 branch locations.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws, including with respect to the housing market and the commercial market, our operations, industry and economic conditions, our financial and business model, payment of dividends, the demand for our services and product offerings, expansion of our national footprint and end markets, diversification of our products, our ability to grow and strengthen our market position, our ability to pursue and integrate value-enhancing acquisitions and the expected amount of acquired revenue, our ability to improve sales and profitability, and expectations for demand for our services and our earnings. Forward-looking statements may generally be identified by the use of words such as "anticipate," "believe," "expect," "intends," "plan," and "will" or, in each case, their negative, or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Any forward-looking statements that we make herein and in any future reports and statements are not guarantees of future performance, and actual results may differ materially from those expressed in or suggested by such forward-looking statements as a result of various factors, including, without limitation, general economic and industry conditions; increases in mortgage interest rates and rising home prices; inflation and interest rates; the material price and supply environment; increased tariffs; federal government shutdowns and uncertainty regarding the federal government's policy changes; geopolitical conflicts; the timing of increases in our selling prices; timing of acquisitions; the risk that the Company may reduce, suspend or eliminate dividend payments in the future; and the factors discussed in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, as the same may be updated from time to time in our subsequent filings with the Securities and Exchange Commission. In addition, any future declaration of dividends will be subject to the final determination of our Board of Directors. Any forward-looking statement made by the Company in this press release speaks only as of the date hereof. New risks and uncertainties arise from time to time, and it is impossible for the Company to predict these events or how they may affect it. The Company has no obligation, and does not intend, to update any forward-looking statements after the date hereof, except as required by federal securities laws.
3
*Use of Non-GAAP Financial Measures
In addition to the financial measures prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), this press release contains the non-GAAP financial measures of EBITDA, Adjusted EBITDA, Adjusted EBITDA margin (i.e., Adjusted EBITDA divided by net revenue), Adjusted Net Income, Adjusted Net Income per diluted share, Adjusted Gross Profit and Adjusted Selling and Administrative expense. The reasons for the use of these measures, reconciliations of EBITDA, Adjusted EBITDA, Adjusted Net Income, Adjusted Net Income per diluted share, Adjusted Gross Profit, and Adjusted Selling and Administrative expense to the most directly comparable GAAP measures and other information relating to these measures are included below following the unaudited condensed consolidated financial statements. Non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation or as a substitute for IBP’s financial results prepared in accordance with GAAP.
4
INSTALLED BUILDING PRODUCTS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(unaudited, in millions, except share and per share amounts)
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net revenue | $ | 808.4 | $ | 778.2 | $ | 2,246.7 | $ | 2,223.3 | |||||||||||||||
| Cost of sales | 551.0 | 514.0 | 1,518.1 | 1,475.5 | |||||||||||||||||||
| Gross profit | 257.4 | 264.2 | 728.6 | 747.8 | |||||||||||||||||||
| Operating expenses | |||||||||||||||||||||||
| Selling | 37.3 | 36.2 | 107.9 | 107.3 | |||||||||||||||||||
| Administrative | 117.6 | 111.1 | 345.0 | 332.6 | |||||||||||||||||||
| Amortization | 10.8 | 10.1 | 31.8 | 30.3 | |||||||||||||||||||
| Operating income | 91.7 | 106.8 | 243.9 | 277.6 | |||||||||||||||||||
| Other expense, net | |||||||||||||||||||||||
| Interest expense, net | 10.4 | 6.9 | 31.2 | 23.5 | |||||||||||||||||||
| Other expense (income) | 0.1 | (0.4) | (0.7) | (0.9) | |||||||||||||||||||
| Income before income taxes | 81.2 | 100.3 | 213.4 | 255.0 | |||||||||||||||||||
| Income tax provision | 21.8 | 25.9 | 54.3 | 66.2 | |||||||||||||||||||
| Net income | $ | 59.4 | $ | 74.4 | $ | 159.1 | $ | 188.8 | |||||||||||||||
| Other comprehensive income (loss), net of tax: | |||||||||||||||||||||||
| Net change on cash flow hedges, net of tax (provision) benefit of $(0.9) and $0.7 for the three months ended September 30, 2026 and 2025, respectively, $(1.4) and $3.9 for the nine months ended September 30, 2026 and 2025, respectively. | 2.7 | (2.2) | 4.0 | (11.6) | |||||||||||||||||||
| Comprehensive income | $ | 62.1 | $ | 72.2 | $ | 163.1 | $ | 177.2 | |||||||||||||||
| Earnings Per Share: | |||||||||||||||||||||||
| Basic | $ | 2.25 | $ | 2.75 | $ | 5.98 | $ | 6.92 | |||||||||||||||
| Diluted | $ | 2.24 | $ | 2.74 | $ | 5.95 | $ | 6.89 | |||||||||||||||
| Weighted average shares outstanding: | |||||||||||||||||||||||
| Basic | 26,445,605 | 27,070,368 | 26,624,984 | 27,302,784 | |||||||||||||||||||
| Diluted | 26,505,382 | 27,171,749 | 26,726,085 | 27,422,926 | |||||||||||||||||||
| Cash dividends declared per share | $ | 0.39 | $ | 0.37 | $ | 2.97 | $ | 2.81 | |||||||||||||||
5
INSTALLED BUILDING PRODUCTS, INC.
CONSOLIDATED BALANCE SHEETS
(unaudited, in millions, except share and per share amounts)
| September 30, | December 31, | ||||||||||
| 2026 | 2025 | ||||||||||
| ASSETS | |||||||||||
| Current assets | |||||||||||
| Cash and cash equivalents | $ | 415.9 | $ | 321.9 | |||||||
| Accounts receivable (less allowance for credit losses of $16.4 and $13.9 at September 30, 2026 and December 31, 2025, respectively) | 485.2 | 444.1 | |||||||||
| Inventories | 223.9 | 203.0 | |||||||||
| Prepaid expenses and other current assets | 69.3 | 73.6 | |||||||||
| Total current assets | 1,194.3 | 1,042.6 | |||||||||
| Property and equipment, net | 196.0 | 183.3 | |||||||||
| Operating lease right-of-use assets | 120.0 | 98.7 | |||||||||
| Goodwill | 475.6 | 450.4 | |||||||||
| Customer relationships, net | 174.8 | 172.2 | |||||||||
| Other intangibles, net | 92.6 | 89.3 | |||||||||
| Other non-current assets | 47.6 | 31.5 | |||||||||
| Total assets | $ | 2,300.9 | $ | 2,068.0 | |||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||||
| Current liabilities | |||||||||||
| Current maturities of long-term debt | $ | 33.7 | $ | 36.6 | |||||||
| Current maturities of operating lease obligations | 39.7 | 37.0 | |||||||||
| Current maturities of finance lease obligations | 4.0 | 2.7 | |||||||||
| Accounts payable | 141.3 | 119.0 | |||||||||
| Accrued compensation | 78.2 | 69.5 | |||||||||
| Other current liabilities | 85.8 | 79.4 | |||||||||
| Total current liabilities | 382.7 | 344.2 | |||||||||
| Long-term debt | 1,019.7 | 850.0 | |||||||||
| Operating lease obligations | 84.9 | 61.4 | |||||||||
| Finance lease obligations | 6.8 | 4.0 | |||||||||
| Deferred income taxes | 25.5 | 24.7 | |||||||||
| Other long-term liabilities | 85.0 | 73.8 | |||||||||
| Total liabilities | 1,604.6 | 1,358.1 | |||||||||
| Commitments and contingencies | |||||||||||
| Stockholders’ equity | |||||||||||
| Preferred Stock; $0.01 par value: 5,000,000 authorized and 0 shares issued and outstanding at September 30, 2026 and December 31, 2025, respectively | — | — | |||||||||
| Common stock; $0.01 par value: 100,000,000 authorized, 33,942,327 and 33,837,379 issued and 26,578,484 and 26,975,227 shares outstanding at September 30, 2026 and December 31, 2025, respectively | 0.3 | 0.3 | |||||||||
| Additional paid in capital | 303.2 | 284.1 | |||||||||
| Retained earnings | 1,122.6 | 1,043.4 | |||||||||
| Treasury stock; at cost: 7,363,843 and 6,862,152 shares at September 30, 2026 and December 31, 2025, respectively | (755.9) | (640.0) | |||||||||
| Accumulated other comprehensive income | 26.1 | 22.1 | |||||||||
| Total stockholders’ equity | 696.3 | 709.9 | |||||||||
| Total liabilities and stockholders’ equity | $ | 2,300.9 | $ | 2,068.0 | |||||||
6
INSTALLED BUILDING PRODUCTS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited, in millions)
| Nine months ended September 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Cash flows from operating activities | |||||||||||
| Net income | $ | 159.1 | $ | 188.8 | |||||||
| Adjustments to reconcile net income to net cash provided by operating activities | |||||||||||
| Depreciation and amortization of property and equipment | 53.6 | 49.2 | |||||||||
| Amortization of operating lease right-of-use assets | 29.9 | 27.2 | |||||||||
| Amortization of intangibles | 31.8 | 30.3 | |||||||||
| Amortization of deferred financing costs and debt discount | 1.4 | 1.2 | |||||||||
| Provision for credit losses | 6.4 | 6.1 | |||||||||
| Write-off of debt issuance costs | 1.2 | — | |||||||||
| Gain on sale of property and equipment | (0.2) | (1.1) | |||||||||
| Non-cash stock compensation | 17.5 | 16.5 | |||||||||
| Other, net | (5.3) | (9.0) | |||||||||
| Changes in assets and liabilities, excluding effects of acquisitions | |||||||||||
| Accounts receivable | (42.3) | (17.5) | |||||||||
| Inventories | (18.2) | 8.5 | |||||||||
| Other assets | 0.6 | 16.0 | |||||||||
| Accounts payable | 19.9 | (9.1) | |||||||||
| Income taxes receivable/payable | 3.9 | 4.8 | |||||||||
| Other liabilities | (13.4) | (5.4) | |||||||||
| Net cash provided by operating activities | 245.9 | 306.5 | |||||||||
| Cash flows from investing activities | |||||||||||
| Purchases of property and equipment | (50.0) | (55.0) | |||||||||
Acquisitions of businesses, net of cash acquired of $- in 2026 and 2025, respectively | (63.2) | (32.3) | |||||||||
| Proceeds from sale of property and equipment | 1.6 | 1.9 | |||||||||
| Settlements with interest rate swap counterparties | — | 10.4 | |||||||||
| Other | (2.6) | (5.4) | |||||||||
| Net cash used in investing activities | $ | (114.2) | $ | (80.4) | |||||||
7
INSTALLED BUILDING PRODUCTS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)
(unaudited, in millions)
| Nine months ended September 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Cash flows from financing activities | |||||||||||
| Proceeds from Senior Notes | $ | 500.0 | $ | — | |||||||
| Payments on Senior Notes | (300.0) | — | |||||||||
| Payments on Term Loan | (3.8) | (3.8) | |||||||||
| Proceeds from vehicle and equipment notes payable | — | 31.6 | |||||||||
| Debt issuance costs | (9.1) | — | |||||||||
| Principal payments on long-term debt | (24.5) | (22.7) | |||||||||
| Principal payments on finance lease obligations | (3.1) | (2.2) | |||||||||
| Dividends paid | (80.1) | (77.7) | |||||||||
| Acquisition-related obligations | (1.9) | (1.6) | |||||||||
| Repurchase of common stock | (101.7) | (134.9) | |||||||||
| Surrender of common stock awards by employees | (13.5) | (9.1) | |||||||||
| Net cash used in financing activities | (37.7) | (220.4) | |||||||||
| Net change in cash and cash equivalents | 94.0 | 5.7 | |||||||||
| Cash and cash equivalents at beginning of period | 321.9 | 327.6 | |||||||||
| Cash and cash equivalents at end of period | $ | 415.9 | $ | 333.3 | |||||||
| Supplemental disclosures of cash flow information | |||||||||||
| Net cash paid during the period for: | |||||||||||
| Interest | $ | 47.1 | $ | 34.9 | |||||||
Income taxes, net of refunds (1) | 50.7 | 57.7 | |||||||||
| Supplemental disclosures of non-cash activities | |||||||||||
| Right-of-use assets and leasehold improvements obtained in exchange for operating lease obligations | $ | 56.1 | $ | 29.8 | |||||||
| Property and equipment obtained in exchange for finance lease obligations | 7.1 | 0.6 | |||||||||
| Seller obligations in connection with acquisition of businesses | 7.2 | 3.7 | |||||||||
| Unpaid purchases of property and equipment included in accounts payable | 3.0 | 4.7 | |||||||||
| Accrued excise tax on common stock repurchases | 0.8 | 1.2 | |||||||||
(1) For the nine months ended September 30, 2026, the amount includes cash paid for federal tax credits of $7.0 million.
8
INSTALLED BUILDING PRODUCTS, INC.
SEGMENT INFORMATION
(unaudited, in millions)
Information on Segments
Our Company has three operating segments consisting of Installation, Distribution and Manufacturing. The Other category reported below reflects the operations of our Distribution and Manufacturing operating segments. The following tables represent our segment information for the three and nine months ended September 30, 2026 and 2025 (in millions):
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Installation segment revenue | $ | 740.4 | $ | 721.1 | $ | 2,060.9 | $ | 2,083.9 | |||||||||||||||
Installation segment cost of sales (1) | 481.1 | 455.2 | 1,325.8 | 1,323.0 | |||||||||||||||||||
| Installation segment gross profit | $ | 259.3 | $ | 265.9 | $ | 735.1 | $ | 760.9 | |||||||||||||||
| Installation segment gross profit percentage | 35.0 | % | 36.9 | % | 35.7 | % | 36.5 | % | |||||||||||||||
| Other gross profit percentage | 23.1 | % | 25.2 | % | 24.5 | % | 24.6 | % | |||||||||||||||
| Total consolidated gross profit percentage, as reported | 31.8 | % | 34.0 | % | 32.4 | % | 33.6 | % | |||||||||||||||
(1) Cost of sales included in the Installation segment gross profit is exclusive of depreciation and amortization for the three and nine months ended September 30, 2026 and 2025.
The reconciliation of Installation revenue and segment gross profit for each period as shown in the table above to consolidated net revenue and income before income taxes is as follows (in millions):
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Reconciliation of revenue: | |||||||||||||||||||||||
| Installation segment revenue | $ | 740.4 | $ | 721.1 | $ | 2,060.9 | $ | 2,083.9 | |||||||||||||||
Other revenue (1) | 92.5 | 73.3 | 251.1 | 173.9 | |||||||||||||||||||
| Elimination of inter-segment revenue | (24.5) | (16.2) | (65.3) | (34.5) | |||||||||||||||||||
| Total consolidated net revenue | $ | 808.4 | $ | 778.2 | $ | 2,246.7 | $ | 2,223.3 | |||||||||||||||
| Reconciliation of segment gross profit: | |||||||||||||||||||||||
| Installation segment gross profit | $ | 259.3 | $ | 265.9 | $ | 735.1 | $ | 760.9 | |||||||||||||||
Other gross profit (1) | 21.5 | 18.4 | 61.5 | 42.7 | |||||||||||||||||||
| Elimination of inter-segment gross profit | (6.6) | (4.8) | (18.4) | (10.1) | |||||||||||||||||||
| Less: | |||||||||||||||||||||||
| Depreciation and amortization | 16.8 | 15.3 | 49.6 | 45.7 | |||||||||||||||||||
| Total consolidated gross profit, as reported | 257.4 | 264.2 | 728.6 | 747.8 | |||||||||||||||||||
| Operating expenses | 165.7 | 157.4 | 484.7 | 470.2 | |||||||||||||||||||
| Operating income | 91.7 | 106.8 | 243.9 | 277.6 | |||||||||||||||||||
| Other expense, net | 10.5 | 6.5 | 30.5 | 22.6 | |||||||||||||||||||
| Income before income taxes | $ | 81.2 | $ | 100.3 | $ | 213.4 | $ | 255.0 | |||||||||||||||
(1) Other revenue and other gross profit include the remaining two operating segments, Distribution and Manufacturing before inter-segment eliminations. These operating segments are each below the quantitative thresholds for being reported as a reportable segment for the three and nine months ended September 30, 2026 and 2025.
9
INSTALLED BUILDING PRODUCTS, INC.
REVENUE BY END MARKET
(unaudited, in millions)
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||||||||||||||||||||||||
| Installation | |||||||||||||||||||||||||||||||||||||||||||||||
| Residential new construction | $ | 535.5 | 67 | % | $ | 540.3 | 70 | % | $ | 1,501.4 | 67 | % | $ | 1,583.5 | 71 | % | |||||||||||||||||||||||||||||||
| Repair and remodel | 48.4 | 6 | % | 46.1 | 6 | % | 136.6 | 6 | % | 131.7 | 6 | % | |||||||||||||||||||||||||||||||||||
| Commercial | 156.5 | 19 | % | 134.7 | 17 | % | 422.9 | 19 | % | 368.7 | 17 | % | |||||||||||||||||||||||||||||||||||
| Net revenue - Installation | $ | 740.4 | 92 | % | $ | 721.1 | 93 | % | $ | 2,060.9 | 92 | % | $ | 2,083.9 | 94 | % | |||||||||||||||||||||||||||||||
| Other | 68.0 | 8 | % | 57.1 | 7 | % | 185.8 | 8 | % | 139.4 | 6 | % | |||||||||||||||||||||||||||||||||||
| Net revenue, as reported | $ | 808.4 | 100 | % | $ | 778.2 | 100 | % | $ | 2,246.7 | 100 | % | $ | 2,223.3 | 100 | % | |||||||||||||||||||||||||||||||
10
Reconciliation of Non-GAAP Financial Measures
EBITDA, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, Adjusted Gross Profit and Adjusted Selling and Administrative Expense measure performance by adjusting GAAP net income, EBITDA, gross profit and selling and administrative expense, respectively, for certain income or expense items that are not considered part of our core operations. We believe that the presentation of these measures provides useful information to investors regarding our results of operations because it assists both investors and us in analyzing and benchmarking the performance and value of our business.
We believe the Adjusted EBITDA measure is useful to investors and us as a measure of comparative operating performance from period to period as it measures our changes in pricing decisions, cost controls and other factors that impact operating performance, and removes the effect of our capital structure (primarily interest expense), asset base (primarily depreciation and amortization), items outside our control (primarily income taxes) and the volatility related to the timing and extent of other activities such as asset impairments and non-core income and expenses. Accordingly, we believe that this measure is useful for comparing general operating performance from period to period. In addition, we use various EBITDA-based measures in determining the achievement of awards under certain of our incentive compensation programs. Other companies may define Adjusted EBITDA differently and, as a result, our measure may not be directly comparable to measures of other companies. In addition, Adjusted EBITDA may be defined differently for purposes of covenants contained in our revolving credit facility or any future facility.
Although we use the Adjusted EBITDA measure to assess the performance of our business, the use of the measure is limited because it does not include certain material expenses, such as interest and taxes, necessary to operate our business. Adjusted EBITDA should be considered in addition to, and not as a substitute for, GAAP net income as a measure of performance. Our presentation of this measure should not be construed as an indication that our future results will be unaffected by unusual or non-recurring items. This measure has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of our results as reported under GAAP. Because of these limitations, this measure is not intended as an alternative to net income as an indicator of our operating performance, as an alternative to any other measure of performance in conformity with GAAP or as an alternative to cash flow provided by operating activities as a measure of liquidity. You should therefore not place undue reliance on this measure or ratios calculated using this measure.
We also believe the Adjusted Net Income measure is useful to investors and us as a measure of comparative operating performance from period to period as it measures our changes in pricing decisions, cost controls and other factors that impact operating performance, and removes the effect of certain non-core items such as discontinued operations, acquisition related expenses, amortization expense, the tax impact of these certain non-core items, and the volatility related to the timing and extent of other activities such as asset impairments and non-core income and expenses. To make the financial presentation more consistent with other public building products companies, beginning in the fourth quarter 2016 we included an addback for non-cash amortization expense related to acquisitions. Accordingly, we believe that this measure is useful for comparing general operating performance from period to period. Other companies may define Adjusted Net Income differently and, as a result, our measure may not be directly comparable to measures of other companies. In addition, Adjusted Net Income may be defined differently for purposes of covenants contained in our revolving credit facility or any future facility.
11
INSTALLED BUILDING PRODUCTS, INC.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
ADJUSTED NET INCOME CALCULATIONS
(unaudited, in millions, except share and per share amounts)
The tables below reconcile Adjusted Net Income to the most directly comparable GAAP financial measure, net income, for the periods presented therein. We have included Adjusted Net Income in this press release because it is a key measure used by our management team to understand the operating performance and profitability of our business.
Per share figures may reflect rounding adjustments and consequently totals may not appear to sum.
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||||||||||||
| Net income, as reported | $ | 59.4 | $ | 74.4 | $ | 159.1 | $ | 188.8 | ||||||||||||||||||
| Adjustments for adjusted net income | ||||||||||||||||||||||||||
| Share-based compensation expense | 5.6 | 5.3 | 17.5 | 16.5 | ||||||||||||||||||||||
| Acquisition related expenses | 2.1 | 0.8 | 3.8 | 1.8 | ||||||||||||||||||||||
Amortization expense (1) | 10.8 | 10.1 | 31.8 | 30.3 | ||||||||||||||||||||||
Loan refinancing expenses (2) | — | — | 1.2 | — | ||||||||||||||||||||||
Tax impact of adjusted items at a normalized tax rate (3) | (4.8) | (4.2) | (14.1) | (12.6) | ||||||||||||||||||||||
| Adjusted net income | $ | 73.1 | $ | 86.4 | $ | 199.3 | $ | 224.8 | ||||||||||||||||||
| Weighted average shares outstanding (diluted) | 26,505,382 | 27,171,749 | 26,726,085 | 27,422,926 | ||||||||||||||||||||||
| Diluted net income per share, as reported | $ | 2.24 | $ | 2.74 | $ | 5.95 | $ | 6.89 | ||||||||||||||||||
Adjustments for diluted adjusted net income, net of tax impact, per share (4) | 0.52 | 0.44 | 1.51 | 1.31 | ||||||||||||||||||||||
| Diluted adjusted net income per share | $ | 2.76 | $ | 3.18 | $ | 7.46 | $ | 8.20 | ||||||||||||||||||
(1) Addback of all non-cash amortization resulting from business combinations.
(2) Includes $1.2 million of non-cash write-off of capitalized loan expense in connection with loan refinancing for the nine months ended September 30, 2026.
(3) Normalized effective tax rate of 26.0% applied to periods presented.
(4) Includes adjustments related to the items noted above, net of tax.
12
INSTALLED BUILDING PRODUCTS, INC.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
ADJUSTED GROSS PROFIT CALCULATIONS
(unaudited, in millions)
The table below reconciles Adjusted Gross Profit to the most directly comparable GAAP financial measure, gross profit, for the periods presented therein.
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||||||
| Gross profit | $ | 257.4 | $ | 264.2 | $ | 728.6 | $ | 747.8 | |||||||||||||||||||||
| Share-based compensation expense | 0.4 | 0.2 | 1.0 | 0.8 | |||||||||||||||||||||||||
| Adjusted gross profit | $ | 257.8 | $ | 264.4 | $ | 729.6 | $ | 748.6 | |||||||||||||||||||||
| Gross profit margin | 31.8% | 34.0% | 32.4% | 33.6% | |||||||||||||||||||||||||
| Adjusted gross profit margin | 31.9% | 34.0% | 32.5% | 33.7% | |||||||||||||||||||||||||
INSTALLED BUILDING PRODUCTS, INC.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
ADJUSTED SELLING AND ADMINISTRATIVE EXPENSE CALCULATIONS
(unaudited, in millions)
The table below reconciles Adjusted Selling and Administrative expense to the most directly comparable GAAP financial measure, selling and administrative expense, for the periods presented therein.
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||||||||||||
| Selling expense | $ | 37.3 | $ | 36.2 | $ | 107.9 | $ | 107.3 | ||||||||||||||||||
| Administrative expense | 117.6 | 111.1 | 345.0 | 332.6 | ||||||||||||||||||||||
| Selling and Administrative expense, as reported | 154.9 | 147.3 | 452.9 | 439.9 | ||||||||||||||||||||||
| Share-based compensation expense | 5.3 | 5.1 | 16.6 | 15.7 | ||||||||||||||||||||||
| Acquisition related expenses | 2.1 | 0.8 | 3.8 | 1.8 | ||||||||||||||||||||||
| Adjusted Selling and Administrative expense | $ | 147.5 | $ | 141.4 | $ | 432.5 | $ | 422.4 | ||||||||||||||||||
| Selling and Administrative expense - % Net revenue | 19.2% | 18.9% | 20.2% | 19.8% | ||||||||||||||||||||||
| Adjusted Selling and Administrative expense - % Net revenue | 18.2% | 18.2% | 19.3% | 19.0% | ||||||||||||||||||||||
13
INSTALLED BUILDING PRODUCTS, INC.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
EBITDA AND ADJUSTED EBITDA CALCULATIONS
(unaudited, in millions)
The tables below reconcile EBITDA and Adjusted EBITDA to the most directly comparable GAAP financial measure, net income, for the periods presented therein.
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||||||||||||
| Net income, as reported | $ | 59.4 | $ | 74.4 | $ | 159.1 | $ | 188.8 | ||||||||||||||||||
| Interest expense | 10.4 | 6.9 | 31.2 | 23.5 | ||||||||||||||||||||||
| Provision for income tax | 21.8 | 25.9 | 54.3 | 66.2 | ||||||||||||||||||||||
| Depreciation and amortization | 29.0 | 26.6 | 85.4 | 79.5 | ||||||||||||||||||||||
| EBITDA | 120.6 | 133.8 | 330.0 | 358.0 | ||||||||||||||||||||||
| Acquisition related expenses | 2.1 | 0.8 | 3.8 | 1.8 | ||||||||||||||||||||||
| Share-based compensation expense | 5.6 | 5.3 | 17.5 | 16.5 | ||||||||||||||||||||||
| Adjusted EBITDA | $ | 128.3 | $ | 139.9 | $ | 351.3 | $ | 376.3 | ||||||||||||||||||
| Net profit margin | 7.3 | % | 9.6 | % | 7.1 | % | 8.5 | % | ||||||||||||||||||
| EBITDA margin | 14.9 | % | 17.2 | % | 14.7 | % | 16.1 | % | ||||||||||||||||||
| Adjusted EBITDA margin | 15.9 | % | 18.0 | % | 15.6 | % | 16.9 | % | ||||||||||||||||||
14
INSTALLED BUILDING PRODUCTS, INC.
SUPPLEMENTARY TABLE
(unaudited)
| Three months ended September 30, | Nine months ended September 30, | |||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||||||||||||
| Period-over-period Growth | ||||||||||||||||||||||||||
| Consolidated Sales Growth | 3.9 | % | 2.3 | % | 1.1 | % | 1.5 | % | ||||||||||||||||||
Consolidated Same Branch Sales Growth (1) | 0.6 | % | 0.4 | % | (1.8) | % | (0.9) | % | ||||||||||||||||||
Installation Segment Sales Growth (2) | ||||||||||||||||||||||||||
| Sales Growth | 2.7 | % | 1.0 | % | (1.1) | % | 0.8 | % | ||||||||||||||||||
| Residential Sales Growth | (0.9) | % | (1.5) | % | (5.2) | % | (0.7) | % | ||||||||||||||||||
| Single-Family Sales Growth | (2.9) | % | (0.3) | % | (6.1) | % | 0.4 | % | ||||||||||||||||||
| Multi-Family Sales Growth | 7.7 | % | (6.4) | % | (1.6) | % | (4.8) | % | ||||||||||||||||||
| Commercial Sales Growth | 16.2 | % | 12.2 | % | 14.7 | % | 6.8 | % | ||||||||||||||||||
Installation Segment Same Branch Sales Growth (1)(2) | ||||||||||||||||||||||||||
| Same Branch Sales Growth | 0.3 | % | (0.1) | % | (2.9) | % | (1.0) | % | ||||||||||||||||||
Volume Growth, Including Heavy Commercial (3)(4) | (1.7) | % | (4.5) | % | (5.3) | % | (4.4) | % | ||||||||||||||||||
Price/Mix Growth, Including Heavy Commercial (3)(5) | 2.0 | % | 4.4 | % | 2.5 | % | 3.4 | % | ||||||||||||||||||
Volume Growth, Excluding Heavy Commercial (3)(4) | (1.9) | % | (4.8) | % | (5.6) | % | (4.5) | % | ||||||||||||||||||
Price/Mix Growth, Excluding Heavy Commercial (3)(5) | 0.4 | % | 1.5 | % | 0.3 | % | 1.6 | % | ||||||||||||||||||
| Residential Same Branch Sales Growth | (2.6) | % | (2.8) | % | (6.5) | % | (2.8) | % | ||||||||||||||||||
| Single-Family Same Branch Sales Growth | (4.9) | % | (1.9) | % | (7.7) | % | (2.2) | % | ||||||||||||||||||
| Multi-Family Same Branch Sales Growth | 7.5 | % | (6.5) | % | (1.8) | % | (5.1) | % | ||||||||||||||||||
| Commercial Same Branch Sales Growth | 10.3 | % | 11.7 | % | 10.4 | % | 6.2 | % | ||||||||||||||||||
Other Sales Growth (Net of Eliminations) (6)(7) | ||||||||||||||||||||||||||
| Sales Growth | 18.9 | % | 21.9 | % | 33.2 | % | 12.3 | % | ||||||||||||||||||
Same Branch Sales Growth (1) | 4.6 | % | 8.5 | % | 14.4 | % | (0.1) | % | ||||||||||||||||||
U.S. Housing Market Growth (8) | ||||||||||||||||||||||||||
| Total Completions Growth | (17.2) | % | (9.7) | % | (12.6) | % | (6.7) | % | ||||||||||||||||||
| Single-Family Completions Growth | (12.4) | % | 0.7 | % | (10.8) | % | (1.9) | % | ||||||||||||||||||
| Multi-Family Completions Growth | (27.3) | % | (25.4) | % | (16.3) | % | (15.2) | % | ||||||||||||||||||
(1) Same-branch basis represents period-over-period change in sales for branch locations owned greater than 12 months as of each financial statement date.
(2) Calculated based on period-over-period change in sales within our Installation segment and its end markets.
(3) The heavy commercial end market, a subset of our total commercial end market, comprises projects that are much larger than our average installation job. As such, per-job revenue is much larger than the average job in all other end markets.
(4) Calculated as period-over-period change in the number of completed same-branch jobs within our Installation segment for all markets.
(5) Defined as change in the mix of products sold and related pricing changes and calculated as the change in period-over-period average selling price per same-branch jobs within our Installation segment for all markets we serve, multiplied by total current year jobs. The mix of end customer and product would have an impact on the year-over-year price per job.
(6) Calculated based on period-over-period gross sales change, excluding intercompany transactions, in our Other category which consists of our Manufacturing and Distribution operating segments.
(7) We revised this calculation to exclude certain intercompany sales. Percentages in all periods presented conform to this revised method.
(8) U.S. Census Bureau data, as revised.
15
INSTALLED BUILDING PRODUCTS, INC.
INCREMENTAL REVENUE AND ADJUSTED EBITDA MARGINS
(unaudited, in millions)
INCREMENTAL REVENUE AND ADJUSTED EBITDA MARGINS
(unaudited, in millions)
| Revenue Increase | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2026 | % Total | 2025 | % Total | 2026 | % Total | 2025 | % Total | ||||||||||||||||||||||||||||||||||||||||||||||
| Same Branch | $ | 4.8 | 15.9 | % | $ | 3.4 | 19.2 | % | $ | (39.8) | (170.1) | % | $ | (20.6) | (63.6) | % | |||||||||||||||||||||||||||||||||||||
| Acquired | 25.4 | 84.1 | % | 14.3 | 80.8 | % | 63.2 | 270.1 | % | 53.0 | 163.6 | % | |||||||||||||||||||||||||||||||||||||||||
| Total | $ | 30.2 | 100.0 | % | $ | 17.7 | 100.0 | % | $ | 23.4 | 100.0 | % | $ | 32.4 | 100.0 | % | |||||||||||||||||||||||||||||||||||||
Adjusted EBITDA Margin Contributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2026 | % Margin | 2025 | % Margin | 2026 | % Margin* | 2025 | % Margin | ||||||||||||||||||||||||||||||||||||||||||||||
Same Branch (1) | $ | (15.4) | NMF | $ | 5.0 | 147.1 | % | $ | (34.0) | (85.4) | % | $ | (12.4) | (60.2) | % | ||||||||||||||||||||||||||||||||||||||
| Acquired | 3.8 | 15.0 | % | 2.7 | 18.9 | % | 9.0 | 14.2 | % | 9.4 | 17.7 | % | |||||||||||||||||||||||||||||||||||||||||
| Total | $ | (11.6) | NMF | $ | 7.7 | 43.5 | % | $ | (25.0) | NMF | $ | (3.0) | NMF | ||||||||||||||||||||||||||||||||||||||||
(1) Same branch adjusted EBITDA margin contribution percentage is a percentage of same branch revenue increase.
* During the nine months ended September 30, 2026 and the nine months ended September 30, 2025, same branch revenue decreased and same branch and total adjusted EBITDA decreased. The negative same branch % margin result reflects a decremental margin. NMF - Not meaningful figure.
Source: Installed Building Products, Inc.
Contact Information:
Investor Relations:
614-221-9944
investorrelations@installed.net
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