Slide 1: Investor Overview March 2024
Investor Overview March 2024
Slide 2: Safe Harbor and Basis of Presentation
2 Safe Harbor and B asis of Presentation Forward - Looking Statement Safe Harbor — This presentation includes “forward - looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You can generally identify forward - looking statements by the Company’s use of for
Slide 3: GMS at a Glance (LTM Q3 FY24)
3 Fiscal 2022 Net Sales 53 yrs LTM Q3 FY24 Net Sales $ 5.4 B 300+ Distribution yards GMS at a Glance (LTM Q3 FY24) 7,000+ GMS Team Members NYSE Ticker Symbol GMS & 100+ Tool Sales, Rentals & Service Centers 1. For a reconciliation of Adjusted EBITDA to the most directly comparable GAAP metrics, see
Slide 4: Diversified and Balanced End Market Exposure
4 Diversified and Balanced End Market Exposure Diversified exposure across commercial and residential new and repair and remodel construction markets continues to be an advantage Residential • Single - Family New • Multi - Family New • Repair & Remodel ~45% Commercial • New Construction • Repair & R
Slide 5: Providing Value to Contractors and Builders
5 Providing Value to Contractors and Builders GMS provides a complementary and complete product offering with value - added service delivery to the contractor s who install wallboard, ceilings, steel framing and ancillary products needed to complete the job Note: LTM Q3 FY24 refers to the twelve mon
Slide 6: Local Go-To-Market Strategy with Scale Benefits
6 Local Go - To - Market Strategy with Scale Benefits GMS distribution locations USA and Canada GMS’s model provides for the intimacy of a local business, exceptional customized service and an entrepreneurial culture while leveraging North American economy of scale • Combines the benefits of a local
Slide 7: Strategic Growth Priorities – Q3 FY24 Update
7 Drive Improved Productivity & Profitability Strategic Growth Priorities – Q3 FY24 Update Capitalize on existing fixed investments in locations & equipment where we are underpenetrated or below expected share Grow Complementary Product opportunities to diversify and profitably expand our product of
Slide 8: Continuing to Diversify and Profitably Expand Offerings
8 20% 19% 16% 45% 30% 12% 17% 41% Continuing to Diversify and Profitably Expand Offerings Successfully Growing Complementary Products Complementary Products 2014 Net Sales: $1.4B NET SALES BREAKDOWN (FISCAL 2014) LTM Q324 Net Sales: $5.4B NET SALES BREAKDOWN (FISCAL 2023) Complementary Products Ceil
Slide 9: Opportunities for Further Platform Expansion
9 Opportunities for Further Platform Expansion • Opportunity to expand our geographic footprint in under - served and under - penetrated markets through accretive greenfield locations and acquisitions • Current footprint comprises over 300 distribution yard locations covering 47 U.S. States and 6 Ca
Slide 10: GMS + Kamco NY: A Highly Strategic Transaction
10 Expands share in core product categories Adds notable cross - selling opportunities and broader suite of top - tier product offerings Creates significant entry into underpenetrated NYC metro area GMS + Kamco NY A Highly Strategic Transaction Represents strong cultural alignment to GMS’ core value
Slide 11: Attractive Capital Structure Supports Strategic Priorities
11 Attractive Capital Structure Supports Strategic Priorities • Repurchased 370K shares for $24.8 million during Q324 • $216.5 million of repurchase authorization remaining at 01/31/24 1.6x 1.4x 1.5x 1.5x 1.5x 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 $12 $48 $41 $36 $58 $844 FY24 FY25 FY26
Slide 12: GMS – Solid Track Record of Results & Profitability
12 GMS – Solid Track Record of Results & Profitability *For a reconciliation of Adjusted EBITDA or Free Cash Flow to the most directly comparable GAAP metrics, see Appendix Comparisons shown are to FY22.. $1,858 $2,319 $2,511 $3,116 $3,241 $3,299 $4,635 $5,329 7.4% 8.1% 7.9% 9.5% 9.2% 9.7% 12.2% 12.
Slide 13: Outlook for Q4 FY2024
13 Outlook for Q4 FY2024
Slide 14: End Market & Product-Level Expectations for Q4 FY2024
14 End Market & Product - Level Expectations for Q4 FY2024 Product Category Q4 FY24 YOY Per Day Volume Expectations Q4 FY24 YOY Price/Mix Per Day Expectations Wallboard • Multi - family: Up low single - digits • Single - family: Up low single - digits • Commercial: Up mid to high single - digits • T
Slide 15: Consolidated GMS Expectations for Q4 FY24 and Full Year Fiscal 2024
15 Consolidated GMS Expectations for Q4 FY24 and Full Year Fiscal 2024 Metric for Q4 FY24 Q4 FY24 Expectation (on a Per Day Basis) Net Sales Up mid single - digits Gross Margin Approximately 32.2% Net Income $66 million - $69 million Adjusted EBITDA 1 $145 million - $150 million Metric for Full Year
Slide 16: Appendix
16 Appendix
Slide 17: Summary Quarterly Financials
17 Summary Quarterly Financials (In millions) 1Q23 2Q23 3Q23 4Q23 FY23 1Q24 2Q24 3Q24 (Unaudited) Wallboard Volume (MSF) 1,191 1,232 1,058 1,130 4,611 1,204 1,231 1,101 Wallboard Price ($ / '000 Sq. Ft.) 438$ 474$ 473$ 481$ 467$ 475$ 476$ 473$ Wallboard 522$ 585$ 501$ 545$ 2,152$ 571$ 585$ 521$ Ceil
Slide 18: Quarterly Cash Flows
18 Quarterly Cash Flows (1) Free cash flow is a non - GAAP financial measure defined as net cash provided by (used in) operations less capital expenditures. D ifferences may occur due to rounding. ($ in millions) (Unaudited) 1Q23 2Q23 3Q23 4Q23 FY23 1Q24 2Q24 3Q24 Net income $ 89.5 $ 103.2 $ 64.8 $
Slide 19: Net Sales
19 Net Sales (1) Organic net sales growth calculation excludes net sales of acquired businesses until first anniversary of acquisition date an d i mpact of foreign currency translation. ($ in millions) (Unaudited) FY24 FY23 Reported Organic (1) Organic (1) 1,231.8$ 1,234.6$ Acquisitions 27.2 - Fx Im
Slide 20: Quarterly Net Income to Adjusted EBITDA Reconciliation
20 Quarterly Net Income to Adjusted EBITDA Reconciliation Commentary A. Represents changes in the fair value of stock appreciation rights B. Represents changes in the fair value of noncontrolling interests C. Represents non - cash equity - based compensation expense related to the issuance of share
Slide 21: Net Income to Pro Forma Adjusted EBITDA Reconciliation
21 Net Income to Pro Forma Adjusted EBITDA Reconciliation Commentary A. Represents changes in the fair value of stock appreciation rights B. Represents changes in the fair value of noncontrolling interests C. Represents non - cash equity - based compensation expense related to the issuance of share
Slide 22: Income Before Taxes to Adjusted Net Income Reconciliation
22 Income Before Taxes to Adjusted Net Income Reconciliation Commentary A. Depreciation and amortization from the increase in value of certain long - term assets associated with the April 1, 2014 acquisition of the predecessor company and amortization of intangible assets from the acquisitions of Ti
Slide 23: Reported SG&A to Adjusted SG&A Reconciliation
23 Reported SG&A to Adjusted SG&A Reconciliation Commentary A. Represents changes in the fair value of stock appreciation rights B. Represents changes in the fair value of noncontrolling interests C. Represents non - cash equity - based compensation expense related to the issuance of share - based a
Slide 24: Leverage Summary
24 Leverage Summary (1) Net of unamortized discount of $0.3mm, $0.3mm, $2.5mm, $2.4mm and $2.3mm as of January 31, 2023, April 30, 2023, July 31, 20 23, October 31, 2023 and January 31, 2024 respectively. (2) Net of deferred financing costs of $2.4mm, $2.1mm, $4.1mm, $3.9mm and $3.8mm as of January
Slide 25: Net Income to Adjusted EBITDA Outlook Reconciliation
25 Net Income to Adjusted EBITDA Outlook Reconciliation Q4 FY24 Net Income $66 - $69 Interest expense, net 15.6 - 16.3 Provision for income taxes 23.0 - 23.9 Depreciation and amortization expense 32.0 - 33.3 Other Adjustments 7.0 Adjusted EBITDA $145 - $150 $ in millions Note: There will be 64 selli