Installed Building Products, Inc. · NYSE:IBP

Installed Building Products — Q2 2025 Earnings Presentation

27 slides from Installed Building Products's earnings presentation, Aug 7, 2025

  1. Slide 1: Installed Building Products Investor Presentation Q2 2025

    NYSE: IBP AUG 7, 2025 Q2 2025 INSTALLED BUILDING PRODUCTS INVESTOR PRESENTATION

  2. Slide 2: Safe Harbor

    Safe Harbor This presentation contains "forward-looking statements" as defined under U.S. federal securities laws. Forward -looking statements are generally identified by the use of the words "will," "may," "believes," "expects," "forecast," "intends," "anticipates," "projects," "outlook," "target,"

  3. Slide 3: Non-GAAP Financial Measures

    Non-GAAP Financial Measures This presentation includes the following non-GAAP financial measures: (1) EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin, (2) Adjusted Net Income and Adjusted Net Profit Margins (3) Adjusted Net Income per diluted share, (4) Adjusted Selling Administrative (S&A), (5)

  4. Slide 4: Company Overview

    COMPAN ben Bos: hi af hil | Lie, Jie PUL

  5. Slide 5: National Scale

    National Scale STRONG LOCAL PRESENCE + NATIONAL SCALE = HIGH QUALITY SERVICE WITH OPERATING LEVERAGE • One of the nation’s largest1 new residential insulation installers • Installer of diversified mix of complementary building products for residential and commercial projects • National platform of o

  6. Slide 6: Benefits of a Unique Value Chain Structure

    Benefits of a Unique Value Chain Structure SCALE ALLOWS IBP TO BE THE DIRECT LINK BETWEEN MANUFACTURERS AND BUILDERS, AN EFFICIENT VALUE CHAIN UNIQUE STREAMLINED VALUE CHAIN Purchasing, Logistics, Installation Building Products Manufacturer Homebuilder TYPICAL MULTI-STEP VALUE CHAIN Finished Home Wh

  7. Slide 7: Increasing Product & End Market Diversification

    Increasing Product & End Market Diversification 2015 2024 Areas for Growth Other Building Other, 6% Products, 6% Other Building Rain Gutters, 5% Products, 6% • Accretive acquisitions Shower Doors, Shelving, & Window Blinds, 3% in residential end Revenue Mirrors, 5% Fireproofing, 3% market by Rain Gu

  8. Slide 8: Diverse Service and Product Offering

    Diverse Service and Product Offering FRAGMENTED NON-INSULATION PRODUCT MARKET ALLOWS FOR REVENUE DIVERSIFICATION AND ACQUISITIONS SHOWER DOORS, WINDOW COMMERCIAL OTHER BUILDING INSULATION SHELVING, MIRRORS GARAGE DOORS RAIN GUTTERS OTHER (1) BLINDS PRODUCTS PRODUCTS Single Digit ~30% ~7% ~2% ~6% ~5%

  9. Slide 9: Diversification Growth Opportunity

    Diversification Growth Opportunity FURTHER DIVERSIFICATION ENHANCES SAME BRANCH REVENUE OPPORTUNITY Top 50 IBP Metropolitan Statistical Areas (MSAs) End Products End Markets Core Installed End Products Core End Markets • Fiberglass insulation • New single-family • Spray foam insulation • New multi-f

  10. Slide 10: Business Model Generates Substantial Cash Flow

    Business Model Generates Substantial Cash Flow OVER $1 BILLION IN FREE CASH FLOW IN FIVE YEARS Free Cash Flow * Cumulative Free Cash Flow * $1,000 $900 $800 Asset-Light Model Generates Substantial Free Cash Flow $700 • Working capital is largest use of operating cash $600 • Capital expenditures and

  11. Slide 11: Growth Focused Capital Allocation Strategy

    Growth Focused Capital Allocation Strategy CAPITAL ALLOCATION PRIORITIES 5 YEAR CAPITAL ALLOCATION (in millions) 1 Acquisitions • Contribute to profitability and revenue diversification $246 21% 2 Quarterly Dividends • Quarterly dividend of $0.37 per share 2020 - 2024 $579 $1.15B 50% 3 Share Repurch

  12. Slide 12: Successful Acquisition Strategy

    Successful Acquisition Strategy CONSISTENT ACQUISITION 'PLAYBOOK' EXECUTED FOR OVER 30 YEARS • Keys to our value-creating acquisition approach Deploying Capital Across Nearly Three Decades, Driving Growth and Market Expansion Note: In Q2 2022, we ‒ Consistent processes and discipline led by CEO, Gre

  13. Slide 13: Annual Operating Framework

    Annual Operating Framework COMPELLING FINANCIAL MODEL CREATES LONG-TERM VALUE 2020-2024 Long-Term Outlook Acquisition Growth Assumptions Outperform U.S. Target >$100M of acquired revenue Organic Revenue 0-25% Residential Completions Growth annually Growth Material purchasing power + Product Gross Pr

  14. Slide 14: Financial Performance

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  15. Slide 15: Summary Financial Results

    Summary Financial Results Twelve months ended December 31, ($ in millions) 2021 2022 2023 2024 LTM 6/30/25 Net revenue $ 1,968.7 $ 2,669.8 $ 2,778.6 $ 2,941.3 $ 2,955.9 % Net revenue growth1 19.1% 35.6% 4.1% 5.9% 3.4% Same branch consolidated sales growth 9.7% 24.6% 0.2% 3.5% 0.7% Adjusted cost of s

  16. Slide 16: Multi-Year Financial Improvement

    Multi-Year Financial Improvement ADDITIONAL VALUE DRIVEN BY OPERATING LEVERAGE AND NATIONAL SCALE Adjusted Gross Profit1 Adjusted Selling & Administrative2 1 Adjusted Gross Profit is a non- GAAP financial measure. A reconciliation to the most $544 $557 comparable measure prepared in $932 $996 $993 $

  17. Slide 17: Conservative Capital Structure

    Conservative Capital Structure Twelve months ended December 31, ($ in millions) 2021 2022 2023 2024 LTM 6/30/25 1 Cash and Investments $ 333.5 $ 229.6 $ 386.5 $ 327.6 $ 305.2 Net debt is a non-GAAP financial measure and is calculated by Total Debt 868.1 870.1 876.6 883.0 883.2 subtracting cash from

  18. Slide 18: Debt Maturities and Credit Ratings

    Debt Maturities and Credit Ratings Matures $600 3/28/2031 Ba1 / BB+ Current Corporate $500 Credit Ratings Matures $400 2/01/2028 Moody's: Ba1 Ba2 / B+ TERM LOAN B $300 S&P: BB- 5.75% SENIOR NOTES $200 $100 NO SIGNIFICANT NO SIGNIFICANT MATURITIES MATURITIES $— 2024 2025 2026 2027 2028 2029 2030 2031

  19. Slide 19: ESG Highlights

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  20. Slide 20: Environmental, Social & Governance

    Environmental, Social & Governance OUR BUSINESS IS COMMITTED TO MAKING AN IMPACT WITH OUR PRODUCTS, OUR PEOPLE, AND COMMUNITIES WE SERVE Environmental • Committed to sustainability, insulation is the best way to prevent energy waste • Reducing our carbon footprint Social Governance & Responsibility

  21. Slide 21: Appendix

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  22. Slide 22: EBITDA and Adjusted EBITDA Reconciliation

    EBITDA and Adjusted EBITDA Reconciliation Twelve months ended December 31, ($ in millions) 2021 2022 2023 2024 LTM 6/30/25 1 Net income, as reported $ 118.8 $ 223.4 $ 243.7 $ 256.6 $ 249.9 Addback of employee pay, employee medical expenses Interest expense 32.8 41.6 37.0 36.9 33.4 and legal fees dir

  23. Slide 23: Adjusted Selling & Administrative Expense

    Adjusted Selling & Administrative Expense Twelve months ended December 31, ($ in millions) 2021 2022 2023 2024 LTM 6/30/25 1 Selling & administrative $ 364.6 $ 438.6 $ 517.1 $ 564.6 $ 580.1 Addback of employee pay, employee medical expenses Acquisition related expenses 3.8 3.0 1.9 2.2 2.1 and legal

  24. Slide 24: Net Income and Adjusted Net Income Reconciliation

    Net Income and Adjusted Net Income Reconciliation Twelve months ended December 31, ($ in millions) 2021 2022 2023 2024 LTM 6/30/25 1 Net income, as reported $ 118.8 $ 223.4 $ 243.7 $ 256.6 $ 249.9 Addback of employee pay, employee medical expenses, and legal fees Adjustments for adjusted net income

  25. Slide 25: Adjusted Cost of Sales and Gross Profit Reconciliation

    Adjusted Cost of Sales and Gross Profit Reconciliation Twelve months ended December 31, ($ in millions) 2021 2022 2023 2024 LTM 6/30/25 1 Net revenue $ 1,968.6 $ 2,669.8 $ 2,778.6 $ 2,941.3 $ 2,955.9 Addback of employee pay, employee medical expenses, Cost of sales 1,379.1 1,842.1 1,847.9 1,946.8 1,

  26. Slide 26: Free Cash Flow Reconciliation

    Free Cash Flow Reconciliation Twelve months ended December 31, ($ in millions) 2021 2022 2023 2024 LTM 6/30/25 Net cash provided by operating activities $ 138.3 $ 277.9 $ 340.2 $ 340.0 $ 358.6 Purchases of property and equipment (37.0) (45.6) (61.6) (88.6) (81.8) Free cash flow $ 101.3 $ 232.3 $ 278

  27. Slide 27: Investor Relations

    INVESTOR RELATIONS 614-221-9944 investorrelations@installed.net

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