TopBuild Reports First Quarter 2026 Results

DAYTONA BEACH, Fla., May 05, 2026 (GLOBE NEWSWIRE) -- TopBuild Corp. (NYSE:BLD), a leading installer of insulation and commercial roofing and a specialty distributor of insulation and related building products to the construction industry in the United States and Canada, today reported results for the first quarter ended March 31, 2026.

"Our first quarter performance was in line with our expectations as we continue our focus on delivering compounding shareholder returns, driving operational excellence, and executing our long-term strategy," said Robert Buck, CEO of TopBuild.

"In the first quarter, sales grew 17.2%, driven by the 2025 acquisitions of SPI and Progressive Roofing, offsetting the macro challenges in residential and light commercial new construction. While the residential market faces ongoing uncertainty, the heavy commercial and industrial end markets are healthy and our results are solid. We are also making excellent progress on the SPI integration and are on track to meet or exceed our original synergy targets," Mr. Buck continued.

"M&A continues to be a priority given our strong free cash flow and robust pipeline of acquisitions across our installation and specialty distribution segments. To date in 2026, we're pleased to have completed four acquisitions which together add more than $80 million in annual revenue, further diversify our end-market exposure and continue to position us for long-term growth.

"We are excited about our future in joining QXO, as was announced on April 19. By combining the TopBuild business with QXO, we are confident in our opportunities to accelerate our cross-selling initiatives, capitalize on procurement opportunities and leverage digital technology in a manner that will benefit our customers, employees and all stakeholders," Mr. Buck concluded.

Financial Highlights

(comparisons are to the three months ended March 31, 2025)

		Reported							Adjusted
	($ in thousands)		2026			2025				2026			2025
	Sales	$	1,445,860		$	1,233,278			$	1,445,860		$	1,233,278
	Gross Profit	$	400,253		$	351,473			$	400,273		$	364,976
	Gross Margin		27.7	%		28.5	%			27.7	%		29.6	%
	SG&A	$	225,210		$	173,984			$	222,578		$	170,829
	SG&A as % of Sales		15.6	%		14.1	%			15.4	%		13.9	%
	Operating Profit	$	175,043		$	177,489			$	177,695		$	194,147
	Operating Margin		12.1	%		14.4	%			12.3	%		15.7	%
	Net Income	$	104,813		$	123,385			$	105,375		$	135,147
	Net Income per diluted share	$	3.73		$	4.23			$	3.75		$	4.63
	EBITDA								$	238,619		$	234,759
	EBITDA Margin									16.5	%		19.0	%

Sales Drivers

(comparisons are to the three months ended March 31, 2025)

		Three Months Ended March 31, 2026
		Installation Services				Specialty Distribution				TopBuild, net of  eliminations
Sales (in millions)		$	777			$	737			$	1,446
Sales Drivers
Volume			(9.8	%)			0.3	%			(5.5	%)
Price			(2.9	%)			0.3	%			(1.6	%)
M&A			16.9	%			31.1	%			24.3	%
Total Sales Change			4.3	%			31.7	%			17.2	%

Segment Profitability        

(comparisons are to the three months ended March 31, 2025)

	Three Months Ended March 31, 2026
($ in thousands)	Installation Services			Specialty Distribution
Operating Profit	$	119,191		$	80,008
Change		(8.0	%)		15.9	%
Operating Margin		15.3	%		10.9	%
Adj. Operating Profit	$	119,549		$	80,265
Change		(13.4	%)		5.7	%
Adj. Operating Margin		15.4	%		10.9	%
Adj. EBITDA	$	149,168		$	106,528
Change		(5.3	%)		16.6	%
Adj. EBITDA Margin		19.2	%		14.5	%

Capital Allocation

2026 Acquisitions

Company	Annual Revenue			Month Closed
	($ in millions)
Upstate Spray Foam Insulation and Applied Coatings (I)	$	19.6		February
Johnson Roofing (I)		29.2		April
Energy Pros (I)		4.0		May
Claremont (D)		31.0		May
Total	$	83.8
I = Installation Services, D = Specialty Distribution

In addition to the acquisitions completed as listed above, TopBuild has signed a definitive agreement to acquire Comfort Pro, an insulation installation company based in Little Suamico, Wisc. with approximately $6 million in annual sales. The transaction is expected to close in the second quarter.

About TopBuild

TopBuild Corp., headquartered in Daytona Beach, Florida, is a leading installer of insulation and commercial roofing and is also a specialty distributor of insulation and related building products to the construction industry in the United States and Canada. We provide insulation and commercial roofing installation services nationwide through our Installation Services segment which has over 200 branches located across the United States. We distribute building and mechanical insulation, insulation accessories, and other building products for the residential, commercial, and industrial end markets through our Specialty Distribution business. Our Specialty Distribution network encompasses more than 250 branches across the United States and Canada. To learn more about TopBuild please visit our website at www.topbuild.com.

Use of Non-GAAP Financial Measures

Adjusted EBITDA, incremental EBITDA margin, adjusted EBITDA margin, the "adjusted" financial measures presented above, and figures presented on a "same branch basis" are not calculated in accordance with U.S. generally accepted accounting principles ("GAAP"). The Company believes that these non-GAAP financial measures, which are used in managing the business, may provide users of this financial information with additional meaningful comparisons between current results and results in prior periods. We define same branch sales as sales from branches in operation for at least 12 full calendar months. Such non-GAAP financial measures are reconciled to their closest GAAP financial measures in tables contained in this press release. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the Company's reported results under GAAP. Additional information may be found in the Company's filings with the Securities and Exchange Commission which are available on TopBuild's website under "SEC Filings" at www.topbuild.com.

Safe Harbor Statement

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act. These forward-looking statements may address, among other things, our expected financial and operational results, the related assumptions underlying our expected results, and our plan to repurchase our common stock under stock repurchase transactions. These forward-looking statements can be identified by words such as "will," "would," "anticipate," "expect," "believe," "designed," "plan," "may," "project," "estimate" or "intend," the negative of these terms, and similar references to future periods. These views involve risks and uncertainties that are difficult to predict and, accordingly, our actual results may differ materially from the results discussed in our forward-looking statements. Our forward-looking statements contained herein speak only as of the date of this press release. Factors or events that we cannot predict, including those described in the risk factors contained in our filings with the Securities and Exchange Commission, may cause our actual results to differ from those expressed in forward-looking statements. Although TopBuild believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, the Company can give no assurance that its expectations will be achieved and it undertakes no obligation to update any forward-looking statements as a result of new information, future events, or otherwise, except as required by applicable law.

(tables follow)

TopBuild Corp.
Condensed Consolidated Statements of Operations (Unaudited)
(in thousands, except share and per common share amounts)
		Three Months Ended March 31,
		2026				2025
Net sales		$	1,445,860			$	1,233,278
Cost of sales			1,045,607				881,805
Gross profit			400,253				351,473
Selling, general, and administrative expense			225,210				173,984
Operating profit			175,043				177,489
Other income (expense), net:
Interest expense			(36,623	)			(16,602	)
Other, net			1,327				5,086
Other expense, net			(35,296	)			(11,516	)
Income before income taxes			139,747				165,973
Income tax expense			(34,934	)			(42,588	)
Net income		$	104,813			$	123,385
Net income per common share:
Basic		$	3.75			$	4.25
Diluted		$	3.73			$	4.23
Weighted average shares outstanding:
Basic			27,976,514				29,028,234
Diluted			28,130,208				29,174,892

TopBuild Corp.
Condensed Consolidated Statements of Comprehensive Income (Unaudited)
(in thousands)
		Three Months Ended March 31,
		2026				2025
Net income		$	104,813			$	123,385
Other comprehensive (loss) income:
Foreign currency translation adjustment			(4,342	)			229
Comprehensive income		$	100,471			$	123,614

TopBuild Corp.
Condensed Consolidated Balance Sheets and Other Financial Data (Unaudited)
(dollars in thousands)
		As of
		March 31,			December 31,
		2026			2025
ASSETS
Current assets:
Cash and cash equivalents		$	268,847		$	184,742
Receivables, net of an allowance for credit losses of $29,680 at March 31, 2026, and $29,081 at December 31, 2025			930,521			894,408
Inventories			515,143			505,167
Prepaid expenses and other current assets			42,148			50,478
Total current assets			1,756,659			1,634,795
Right of use assets			261,536			271,396
Property and equipment, net			286,525			291,556
Goodwill			3,070,940			3,045,227
Other intangible assets, net			1,325,038			1,351,612
Other assets			10,465			10,726
Total assets		$	6,711,163		$	6,605,312
LIABILITIES
Current liabilities:
Accounts payable		$	471,217		$	440,214
Current portion of long-term debt			62,500			62,500
Accrued liabilities			251,991			249,361
Short-term operating lease liabilities			87,302			86,170
Short-term finance lease liabilities			6,611			6,571
Total current liabilities			879,621			844,816
Long-term debt			2,769,888			2,784,197
Deferred tax liabilities, net			395,765			387,594
Long-term portion of insurance reserves			58,645			58,681
Long-term operating lease liabilities			190,086			200,729
Long-term finance lease liabilities			11,014			11,020
Other liabilities			1,782			2,115
Total liabilities			4,306,801			4,289,152
EQUITY			2,404,362			2,316,160
Total liabilities and equity		$	6,711,163		$	6,605,312
		As of March 31,
		2026			2025
Other Financial Data
Receivables, net plus inventories less accounts payable		$	974,447		$	731,997
Net sales, acquisition adjusted †		$	6,154,730		$	5,329,105
Receivables, net plus inventories less accounts payable as a percent of sales (TTM) †			15.8	%		13.7	%
† Trailing 12 months sales have been adjusted for the pro forma effect of acquired branches

TopBuild Corp.
Condensed Consolidated Statement of Cash Flows (Unaudited)
(in thousands)
		Three Months Ended March 31,
		2026				2025
Cash Flows Provided by (Used in) Operating Activities:
Net income		$	104,813			$	123,385
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			56,295				35,791
Share-based compensation			4,629				5,042
Loss on sale of assets			327				829
Amortization of debt issuance costs			1,216				720
Provision for bad debt expense			3,412				3,666
Provision for inventory obsolescence			2,284				2,820
Impairment losses			—				9,868
Deferred income taxes, net			(20	)			(1,822	)
Change in certain assets and liabilities, net of effects of businesses acquired:
Receivables, net			(38,542	)			(1,118	)
Inventories			(18,336	)			(2,215	)
Prepaid expenses and other current assets			8,198				9,646
Accounts payable			31,464				(32,342	)
Accrued liabilities			4,739				(1,050	)
Other, net			257				(631	)
Net cash provided by operating activities			160,736				152,589
Cash Flows Provided by (Used in) Investing Activities:
Purchases of property and equipment			(13,999	)			(13,395	)
Acquisition of businesses, net of cash acquired			(27,888	)			294
Proceeds from sale of assets			394				248
Net cash used in investing activities			(41,493	)			(12,853	)
Cash Flows Provided by (Used in) Financing Activities:
Repayment of long-term debt			(15,625	)			(11,250	)
Proceeds from revolving credit facility			65,000				—
Repayment of revolving credit facility			(65,000	)			—
Principal payments on finance lease obligations			(1,861	)			—
Taxes withheld and paid on employees' equity awards			(18,293	)			(4,466	)
Exercise of stock options			1,394				—
Repurchase of shares of common stock			—				(215,628	)
Net cash used in financing activities			(34,385	)			(231,344	)
Impact of exchange rate changes on cash			(753	)			101
Net increase (decrease) in cash and cash equivalents			84,105				(91,507	)
Cash and cash equivalents - Beginning of period			184,742				400,318
Cash and cash equivalents - End of period		$	268,847			$	308,811
Supplemental disclosure of noncash activities:
Leased assets obtained in exchange for new operating lease liabilities		$	12,987			$	17,547
Leased assets obtained in exchange for new finance lease liabilities			1,831				—
Accruals for property and equipment			685				444
Excise taxes capitalized to treasury stock			—				2,156

TopBuild Corp.
Segment Data (Unaudited)
(dollars in thousands)
		Three Months Ended March 31,
			2026			2025		Change
Installation Services
Sales		$	777,329		$	745,533			4.3	%
Operating profit, as reported		$	119,191		$	129,616
Operating margin, as reported			15.3	%		17.4	%
Rationalization charges			—			8,281
Acquisition related costs			358			143
Operating profit, as adjusted		$	119,549		$	138,040
Operating margin, as adjusted			15.4	%		18.5	%
Share-based compensation			428			349
Depreciation and amortization			29,191			19,167
EBITDA, as adjusted		$	149,168		$	157,556			(5.3	)%
EBITDA margin, as adjusted			19.2	%		21.1	%
Specialty Distribution
Sales		$	737,080		$	559,804			31.7	%
Operating profit, as reported		$	80,008		$	69,059
Operating margin, as reported			10.9	%		12.3	%
Rationalization charges			—			6,868
Acquisition related costs			257			37
Operating profit, as adjusted		$	80,265		$	75,964
Operating margin, as adjusted			10.9	%		13.6	%
Share-based compensation			843			463
Depreciation and amortization			25,420			14,939
EBITDA, as adjusted		$	106,528		$	91,366			16.6	%
EBITDA margin, as adjusted			14.5	%		16.3	%

TopBuild Corp.
Adjusted EBITDA (Unaudited)
(dollars in thousands)
		Three Months Ended March 31,
		2026					2025		Change
Total net sales
Sales before eliminations		$	1,514,409			$	1,305,337
Intercompany eliminations			(68,549	)			(72,059	)
Net sales after eliminations		$	1,445,860			$	1,233,278			17.2	%
Operating profit, as reported - segments		$	199,199			$	198,675
General corporate expense, net			(10,674	)			(9,259	)
Intercompany eliminations			(13,482	)			(11,927	)
Operating profit, as reported		$	175,043			$	177,489
Operating margin, as reported			12.1	%			14.4	%
Rationalization charges			—				15,358
Acquisition related costs †			2,652				1,300
Operating profit, as adjusted		$	177,695			$	194,147
Operating margin, as adjusted			12.3	%			15.7	%
Share-based compensation			4,629				5,042
Depreciation and amortization			56,295				35,570
EBITDA, as adjusted		$	238,619			$	234,759			1.6	%
EBITDA margin, as adjusted			16.5	%			19.0	%
Sales change period over period			212,582
EBITDA, as adjusted, change period over period			3,860
Incremental EBITDA, as adjusted, as a percentage of change in sales			1.8	%
† Acquisition related costs include corporate level adjustments as well as segment operating adjustments.

TopBuild Corp.
Same Branch and Acquisition Metrics (Unaudited)
(dollars in thousands)
		Three Months Ended March 31,
		2026				2025
Net sales
Same branch:
Installation Services		$	651,097			$	745,533
Specialty Distribution			562,934				559,804
Eliminations			(68,315	)			(72,059	)
Total same branch		$	1,145,716			$	1,233,278
Acquisitions (a):
Installation Services		$	126,232			$	—
Specialty Distribution			174,146				—
Eliminations			(234	)			—
Total acquisitions			300,144				—
Total net sales		$	1,445,860			$	1,233,278
EBITDA, as adjusted
Same branch:
Installation Services		$	126,695			$	157,557
Specialty Distribution			86,071				91,367
Eliminations			(17,077	)			(14,165	)
Total same branch		$	195,689			$	234,759
Acquisitions (a):
Installation Services		$	22,473			$	—
Specialty Distribution			20,457				—
Total acquisitions			42,930				—
Total EBITDA, as adjusted		$	238,619			$	234,759
EBITDA, as adjusted, as a percentage of sales
Same branch (b)			17.1	%
Acquisitions (c)			14.3	%
Total (d)			16.5	%			19.0
As Adjusted (Decremental)/Incremental EBITDA, as a percentage of change in sales
Same branch (e)			(44.6	)%
Acquisitions (c)			14.3	%
Total (f)			1.8	%
(a) Represents current year impact of acquisitions in their first twelve months
(b) Same branch metric, as adjusted, as a percentage of same branch sales
(c) Acquired metric, as adjusted, as a percentage of acquired sales
(d) Total EBITDA, as adjusted, as a percentage of total sales
(e) Change in same branch EBITDA, as adjusted, as a percentage of change in same branch sales
(f) Change in total EBITDA, as adjusted, as a percentage of change in total sales

TopBuild Corp.
Same Branch Revenue by Line of Business (Unaudited)
(dollars in thousands)
		Three Months Ended March 31,
		2026			2025			Change
Residential:
Same branch		$	685,972		$	769,751			(10.9	)%
Acquisitions (a)			23,127			—
Total Residential sales			709,099			769,751			(7.9	)%
Commercial/Industrial:
Same branch		$	459,744		$	463,527			(0.8	)%
Acquisitions (a)			277,017			—
Total Commercial/Industrial sales			736,761			463,527			58.9	%
Total net sales		$	1,445,860		$	1,233,278			17.2	%
(a) Represents current year impact of acquisitions in their first twelve months

TopBuild Corp.
Non-GAAP Reconciliations (Unaudited)
(in thousands, except share and per common share amounts)
		Three Months Ended March 31,
		2026				2025
Gross Profit Reconciliation
Net Sales		$	1,445,860			$	1,233,278
Gross profit, as reported		$	400,253			$	351,473
Acquisition related costs			20				—
Rationalization charges			—				13,503
Gross profit, as adjusted		$	400,273			$	364,976
Gross margin, as reported			27.7	%			28.5	%
Gross margin, as adjusted			27.7	%			29.6	%
Selling, General and Administrative Expense Reconciliation
Selling, general, and administrative expense, as reported		$	225,210			$	173,984
Rationalization charges			—				1,855
Acquisition related costs			2,632				1,300
Selling, general, and administrative expense, as adjusted		$	222,578			$	170,829
Operating Profit Reconciliation
Operating profit, as reported		$	175,043			$	177,489
Rationalization charges			—				15,358
Acquisition related costs			2,652				1,300
Operating profit, as adjusted		$	177,695			$	194,147
Operating margin, as reported			12.1	%			14.4	%
Operating margin, as adjusted			12.3	%			15.7	%
Income Per Common Share Reconciliation
Income before income taxes, as reported		$	139,747			$	165,973
Rationalization charges			—				15,358
Acquisition related costs			2,652				1,300
Income before income taxes, as adjusted			142,399				182,631
Tax rate at 26.0%			(37,024	)			(47,484	)
Income, as adjusted		$	105,375			$	135,147
Income per common share, as adjusted		$	3.75			$	4.63
Weighted average diluted common shares outstanding			28,130,208				29,174,892

TopBuild Corp.
Reconciliation of Adjusted EBITDA to Net Income (Unaudited)
(in thousands)
		Three Months Ended March 31,
		2026			2025
Net income, as reported		$	104,813		$	123,385
Adjustments to arrive at EBITDA, as adjusted:
Interest expense and other, net			35,296			11,516
Income tax expense			34,934			42,588
Depreciation and amortization			56,295			35,570
Share-based compensation			4,629			5,042
Rationalization charges			—			15,358
Acquisition related costs			2,652			1,300
EBITDA, as adjusted		$	238,619		$	234,759

TopBuild Corp.
Acquisition Adjusted Net Sales (Unaudited)
(in thousands)
	2025									2026			Trailing Twelve Months Ended
	Q2			Q3			Q4			Q1			March 31, 2026
Net sales	$	1,297,403		$	1,393,158		$	1,485,247		$	1,445,860		$	5,621,668
Acquisitions pro forma adjustment †		313,828			199,550			18,046			1,638			533,062
Net sales, acquisition adjusted	$	1,611,231		$	1,592,708		$	1,503,293		$	1,447,498		$	6,154,730
† Sales have been adjusted for the pro forma effect of acquired branches

Investor Relations and Media Contact

PI Aquino        
pi.aquino@topbuild.com 
386-763-8801