Slide 1: Q1 2024 Earnings Presentation
Q1 2024 Earnings Presentation D AV E R U S H , C E O PETER JACKSON, CFO M AY 7 , 2 0 2 4 Footnote
Slide 2: Safe Harbor & Non-GAAP Financial Measures
Safe Harbor & Non-GAAP Financial Measures Cautionary Notice Statements in this presentation and the schedules hereto that are not purely historical facts or that necessarily depend upon future events, including statements about forecasted financial performance or other statements about anticipations
Slide 3: Clear Strategic Pillars Driving Long-Term Profitable Growth
Clear Strategic Pillars Driving Long-Ter m Profitable Growth Organic Growth with a Drive Continue to Disciplined Focus on Operational Build Our High- Capital Value-Added Excellence & Performing Allocation Products and Invest in Digital Culture Services and Innovation Footnote © C O P Y R I G H T B U
Slide 4: Resilient Q1 2024 Performance
Resilient Q1 2024 Perfor mance $3.9B $1.3B $541M $2.65 Net Sales Gross Profit Adjusted EBITDA1 Adjusted EPS1 0.2% Increase2 5.2% Decrease2 14.4% Decrease2 10.5% Decrease2 Gross Margin Adjusted EBITDA1 of 33.4% Margin of 13.9% Q1 2024 Total Capital Deployed: ~$0.2B (Net CapEx of $90M, M&A of $59M, Sh
Slide 5: Executing Against Our Strategy
Executing Against Our Strategy ▪ ▪ ▪ Value-added product mix was 52% for Q1 2024 driven by organic growth and a disciplined approach to M&A ▪ $40 million in productivity savings in Q1 2024 driven by improved procurement and SG&A efficiencies ▪ Full Digital product launch of myBLDR.com in Q1 2024; dr
Slide 6: Improving Value-Added Mix Through Proven M&A Process
Improving Value-Added Mix Through Proven M&A Process Net Sales Acquisition Date Benefits ▪ Manufactures trusses serving the Northern California Growth in Value- Q1 2024 700 bps Added Product Mix and Western Nevada markets ▪ Expands millwork and installation operations in the Boise Q1 2024 and Idaho
Slide 7: Disciplined Capital Deployment Framework
Disciplined Capital Deployment Framework Successfully Deployed ~$0.2B ~$0.2B in Q1 2024 $90M allocated to ROI- $90M generating growth investments including Digital and automation $59M deployed on 2 $59M acquisitions to expand our footprint into high-growth geographies and enhance $20M our value-adde
Slide 8: Creating a Better Way to Build as Demand for Modern, Digital Solutions Continues to Grow
Creating a Better Way to Build as Demand for Moder n, Digital Solutions Continues to Grow Addressing industry …with industry-leading …to become the premier partner pain points… digital solutions… for builders and suppliers ▪ Lengthy design cycle remains Streamlined design in a Increase Wallet Shar
Slide 9: Full Launch of Our Digital Offering
Full Launch of Our Digital Offering ▪ myBLDR.com is the access point for delivering our Digital Tools in a collaborative customer experience ▪ The industry’s first integrated Digital platform for homebuilders ✓ Plan intake and mark-up ✓ Ability to make structural and finish selections ✓ Review frame
Slide 10: Q1 2024 Financial Update
Q1 2024 Financial Update Core Organic Sales Highlights Net Sales ($M) Bridge (Q1 2023 vs. Q1 2024) ▪ Single-Family: +4.3% led by higher sales of early stage homebuilding products $74 ($66) ▪ Multi-Family: -13.4% against strong prior year comps +0.0% Core Organic +1.9% Acquisitions -1.7% Deflation $3
Slide 11: Q1 2024 Financial Update
Q1 2024 Financial Update Q1 2024 Net Sales Mix by Product Category Q1 2024 Core Organic Sales1 Highlights Q1 2024 Value-Added ▪ Value-Added Core Organic Sales1 decreased 4% due to a decline Product Mix: ~52% in Multi-Family truss and lapping higher completion levels 23% 25% • Manufactured Products d
Slide 12: Strong Balance Sheet and Ample Liquidity Provide Financial Flexibility
Strong Balance Sheet and Ample Liquidity Provide Financial Flexibility Consistent Capital Allocation Priorities Low Net Leverage Profile 1 Maintain a Strong Balance Sheet ▪ Target Base Business leverage ratio of 1.0x to 2.0x 3.1x 2 Organic Growth 2.5x 1.2x ▪ Drive productivity and growth with growth
Slide 13: 2024 Outlook
2024 Outlook 2024 Full Year Outlook Metrics Current Guidance Prior Guidance 2023 Actual Base Business Sales1 $17.6 billion $17.6 billion $16.5 billion Base Business Adjusted EBITDA1 $2.4 billion $2.4 billion $2.3 billion Base Business Adjusted EBITDA Margin1 13.5% 13.5% 14.0% Total Net Sales2,3 $17.
Slide 14: 2024 Full Year Assumptions
2024 Full Year Assumptions 2024 Full Year Assumptions Metrics Current Assumptions Prior Assumptions Single-Family Starts Growth (BLDR geographies) Up Mid-Single Digits Up Mid-Single Digits Multi-Family Starts Growth (BLDR geographies) Down 20% to 30% Down 20% to 30% Repair & Remodel Growth (BLDR geo
Slide 15: Overview of Base Business Framework
Over view of Base Business Framework ~66% of BFS’s Base Business1 Underlying Base Business Assumptions is Non-Commodity Windows, Doors & Millwork Lumber & Lumber Sheet Goods ▪ Assumes $400/mbf lumber and lumber sheet goods Manufactured Products Specialized Products & Other pricing (in line with 25-y
Slide 16: Base Business Performance Aligned with Long Term Plan
Base Business 1 Perfor mance Aligned with Long Ter m Plan Sales ($B) Adjusted EBITDA2 ($B) $22.7 $4.4 $19.9 $5.0 $17.1 $18.0 ~7% ~17% $4.2 $3.1 $2.1 $2.9 $12.8 $0.6 $0.4 $2.6 $1.3 $0.6 $0.2 $0.3 $15.7 $17.7 $16.5 $17.6 $12.5 $1.1 $2.3 $2.3 $2.4 $1.8 $1.1 2020PF 2021 2022 2023 2024E 2020PF 2021 2022
Slide 17: Strong Operating Model Creates Value for Our Customers and Shareholders
Strong Operating Model Creates Value for Our Customers and Shareholders 1 Creating opportunity by 3 Leveraging robust FCF addressing builder problems generation from resilient and delivering value-added business model and broad products and solutions across product portfolio to fuel cycles; strong t
Slide 18: Appendix
Appendix Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D .
Slide 19: Summary Financial Information & Reconciliations
Summar y Financial Infor mation & Reconciliations Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D . 19 19
Slide 20: Summary Financial Information & Reconciliations
Summar y Financial Infor mation & Reconciliations Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D . 20 20
Slide 21: Summary Financial Information & Reconciliations
Summar y Financial Infor mation & Reconciliations Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D . 21 21
Slide 22: Summary Financial Information & Reconciliations
Summar y Financial Infor mation & Reconciliations Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D . 22 22
Slide 23: Summary Financial Information & Reconciliations
Summar y Financial Infor mation & Reconciliations Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D . 23 23
Slide 24: Summary Financial Information & Reconciliations
Summar y Financial Infor mation & Reconciliations Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D . 24 24
Slide 25: Summary Financial Information & Reconciliations
Summar y Financial Infor mation & Reconciliations Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D . 25 25
Slide 26: Summary Financial Information & Reconciliations
Summar y Financial Infor mation & Reconciliations Footnote © C O P Y R I G H T B U I L D E R S F I R S T S O U R C E . A L L R I G H T S R E S E R V E D . 26 26