Builders Firstsource, Inc. · NYSE:BLDR

Builders Firstsource — Q1 2025 Earnings Presentation

27 slides from Builders Firstsource's earnings presentation, May 1, 2025

  1. Slide 1: Q1 2025 Earnings Presentation

    Q1 2025 Earnings Presentation PETER JACKSON, CEO PETE BECKMANN, CFO M AY 1 , 2 0 2 5 Footnote

  2. 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

  3. 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

  4. Slide 4: Q1 2025 Performance

    Q1 2025 Perfor mance $3.7B $1.1B $369M $1.51 Net Sales Gross Profit Adjusted EBITDA1 Adjusted Diluted EPS1 6.0% Decrease2 14.2% Decrease2 31.7% Decrease2 43.0% Decrease2 30.5% Gross Margin 10.1% Adj. EBITDA Margin1 Generated $45M in Free Cash Flow During Q1 2025 1) Adjusted EBITDA, Adjusted EBITDA M

  5. Slide 5: Continued Execution of Our Strategy in Q1

    Continued Execution of Our Strategy in Q1  Upgraded one truss plant in Q1; opened a new millwork plant and completed one millwork expansion  ~48% value-added product mix in Q1 driven by continued Multi-Family normalization  Delivered $17 million in productivity savings in Q1 primarily through mor

  6. Slide 6: Increasing Value-Added Mix and Expanding to Desirable Geographies Through M&A

    Increasing Value-Added Mix and Expanding to Desirable Geographies Through M&A Net Sales Acquisition Date Benefits  Leading supplier of lumber, building materials, and 340 bps Growth in Value- Q1 2025 installation services with locations in Pennsylvania, Maryland, and West Virginia Added Product Mix

  7. Slide 7: Disciplined Capital Deployment Framework

    Disciplined Capital Deployment Framework $928M Q1 2025 Highlights $87M $87M allocated to sustaining the business and investing in value- added capacity and our digital solutions $828M $828M deployed on 2 acquisitions to expand our footprint into high-growth geographies and enhance our value-added of

  8. 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

  9. Slide 9: Q1 2025 Financial Update

    Q1 2025 Financial Update Core Organic Sales1 Core Organic Sales1 Highlights by End Market Highlights by Product  Single-Family: -5.9% attributable  Value-Added Core Organic Sales1 to lower starts activity, value per decreased 12.3% against the prior start, and weather year due to a decline in Mult

  10. Slide 10: Q1 2025 Financial Update

    Q1 2025 Financial Update Net Sales Mix by Product Category Net Sales Mix by End Market Value-Added Product Mix: 48.4% Repair & Remodel / Other 18% 25% 23% Manufactured Products Multi-Family2 10% $3.7B Windows, Doors & Millwork $3.7B Specialty Building Products & Services 27% 25% 72% Single-Family Lu

  11. Slide 11: Q1 2025 Financial Update

    Q1 2025 Financial Update Net Sales ($M) Bridge ($196) ($38) $3,891 -8.1% Core Organic +4.7% Acquisitions -1.0% Deflation $3,657 -1.6% Day Adjustment Q1 2024 Non-Commodity1 Commodity Q1 2025 Adjusted EBITDA2 ($M) Bridge ($144) $541 ($28) $369 Q1 2024 Non-Commodity1 Commodity Q1 2025 1) Non-Commodity

  12. Slide 12: Strong Balance Sheet and Liquidity Provide Financial Flexibility

    Strong Balance Sheet and Liquidity Provide Financial Flexibility Consistent Capital Allocation Priorities Low Net Leverage1 Profile 1 Maintain a Strong Balance Sheet  Target leverage ratio of 1.0x to 2.0x at year-end 2 Organic Growth  Drive productivity and growth with investments 3 Inorganic Grow

  13. Slide 13: 2025 Outlook

    2025 Outlook 2025 Full Year Outlook Metrics Current Guidance Prior Guidance 2024 Actual Total Net Sales1 $16.05 to $17.05 billion $16.5 to $17.5 billion $16.4 billion Gross Profit Margin1 29.0% to 31.0% 30.0% to 32.0% 32.8% Total Adjusted EBITDA1,4 $1.7 to $2.1 billion $1.9 to $2.3 billion $2.3 bill

  14. Slide 14: 2025 Full Year Assumptions

    2025 Full Year Assumptions 2025 Full Year Assumptions Metrics Current Assumptions Prior Assumptions Single-Family Starts Growth (BLDR geographies) Down Mid-Single Digits Flat (Down LSD to Up LSD) Multi-Family Starts Growth (BLDR geographies)1 Down Mid-Teens Down Mid-Teens Repair & Remodel Growth (BL

  15. 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

  16. 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 $3.1 $4.2 $16.4 $16.6 ~1% $2.1 $2.9 $0.6 $0.0 $0.2 $2.3 ~1% $1.3 $0.6 $0.0 $1.9 $15.7 $17.7 $16.5 $16.4 $16.4 $0.1 $2.3 $2.3 $2.3 $1.8 $1.8 2021 2022 2023 2024 2025E 2021 2022 2023

  17. Slide 17: 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 .

  18. Slide 18: Strategic Execution Has Driven Sustainable Gross Margin Improvement

    Strategic Execution Has Driven Sustainable Gross Margin Improvement Strategic Initiatives Lead to Higher Gross Margins ~35-45 bps  Investment in Value- Added Products: VAP ~210-230 bps made up ~50% of net sales in 2024 vs. ~42% in 2019 ~180-200 bps  Operational Excellence: ~$360M in COGS 31.0% ~31

  19. 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

  20. 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

  21. 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

  22. 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

  23. 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

  24. 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

  25. 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

  26. 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

  27. Slide 27: 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 . 27 27

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