Slide 1: Second Quarter 2020 Earnings Presentation
Second Quarter 2020 Earnings Presentation July 31, 2020 www.bldr.com
Slide 2: Safe Harbor & Non-GAAP Financial Measures
Safe Harbor & Non-GAAP Financial Measures Cautionary Notice Statements in this news release and the schedules hereto that are not purely historical facts or that necessarily depend upon future events, including statements about expected market share gains, forecasted financial performance or other s
Slide 3: Successful Actions to Address the Impact of COVID-19
Successful Actions to Address the Impact of COVID-19 Health and Safety Business Preparedness Managed business with a safety-first emphasis across Reacted quickly to right size business in locations that were nationwide footprint impacted Dedicated team in place to monitor daily best practices, Red
Slide 4: YTD 2020 Financial & Operational Update
YTD 2020 Financial & Operational Update Outstanding Sales Performance Net sales $3.7b Higher sales in a challenging environment has demonstrated the strength of our platform +5.6% YoY Sales volume grew across all three customer end markets2 (+0.6% Core Organic)1 Strategic acquisitions completed over
Slide 5: Q2 2020 Outperformance in a Challenging Environment
Q2 2020 Outperformance in a Challenging Environment Demand showed resiliency as quarter progressed; June Core Organic sales Net sales $1.9b growth up low-single digits percent compared to the prior year period +2.2% YoY Core Organic -2.1% due to the geographic mix impact of shelter-in-place orders (
Slide 6: Q2 2020 Broad Portfolio Supported Sales Growth
Q2 2020 Broad Portfolio Supported Sales Growth Q2 2020 sales by product category ($ in millions / % change) Specialized Products: Lumber & Lumber Value-Added Products: Sheet Goods Manufactured Window, Doors & Siding, Metal & Gypsum, Roofing & $811.2 Products Millwork Concrete Insulation $375.5 $391.
Slide 7: Q2 2020 Core Organic Better Than Expected in All End Markets
Q2 2020 Core Organic Better Than Expected in All End Markets Net sales bridge Commodity ($ in millions) Q2 2019 Single Family Multi-Family R&R / Other Acquistions Inflation Q2 2020 48 34 16 (55) (2) 1,905 -2.1% 1,946 Core Organic Sales Sales mix by end market (% of total) Repair & Core Organic perfo
Slide 8: Ample Ability to Invest in Strategic Growth Through the Cycle
Ample Ability to Invest in Strategic Growth Through the Cycle Net Leverage1 Improvement Ample Liquidity Clear Capital Allocation Priorities Available $818m undrawn Balance sheet strength committed credit lines Generate cash flow and preserve liquidity 4.5X $1.2b 2.7X 2.3X $385m Reinvestments in the
Slide 9: Resilient Business Positioned to Win
Resilient Business Positioned to Win Outlook Adjusted EBITDA expected to be flat year over year at ~$160 million - Safety-first emphasis in all aspects of business - Expect core organic growth to be up mid-single digits year over year (excluding commodity inflation and acquisitions) Q3 2020 - Gross
Slide 10: Differentiated Market Leader Positioned for Above Market Growth and Expanding Profitability
Differentiated Market Leader Positioned for Above Market Growth and Expanding Profitability Leadership in a highly fragmented industry Exceptional geographic, customer and end market diversity Strategic investment in value-added capacity and growth, driving market share gains and margin expansion Fo
Slide 11: Appendix – Financial Schedules
Appendix – Financial Schedules www.bldr.com
Slide 12: Reconciliation from Net Income to Adjusted EBITDA
Reconciliation from Net Income to Adjusted EBITDA Three months ended Six months ended Twelve months ended June 30, June 30, June 30, 2020 2019 2020 2019 2020 (in millions) (in millions) Reconciliation to Adjusted EBITDA: GAAP Net Income $ 78.9 $ 66.6 $ 87.7 $ 102.3 $ 207.2 Acquisition and Integratio
Slide 13: Debt, Interest and Free Cash Flow Reconciliation
Debt, Interest and Free Cash Flow Reconciliation Three months ended Six months ended June 30, June 30, 2020 2020 Interest Expense Interest Expense Net Debt Outstanding (in millions) (in millions) 2030 Secured Notes @ 5% $ 6.9 $ 10.6 $ 550.0 2027 Secured Notes @ 6.75% 11.6 19.3 777.5 2024 Secured Not
Slide 14: GAAP Financial Schedules – Income Statement
GAAP Financial Schedules – Income Statement1 Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 (Unaudited) (In thousands, except per share amounts) Net sales $ 1,945,643 $ 1,904,523 $ 3,732,664 $ 3,535,823 Cost of sales 1,428,311 1,387,367 2,749,919 2,576,692 Gross margin 517
Slide 15: GAAP Financial Schedules – Balance Sheet
GAAP Financial Schedules – Balance Sheet1 June 30, December 31, 2020 2019 (Unaudited) (In thousands, except per share amounts) ASSETS Current assets: Cash and cash equivalents $ 385,461 $ 14,096 Accounts receivable, less allowances of $16,834 and $13,492 at June 30, 2020 and December 31, 2019, respe
Slide 16: GAAP Financial Schedules – Cash Flow
GAAP Financial Schedules – Cash Flow1 Six Months Ended June 30, 2020 2019 (Unaudited) (In thousands) Cash flows from operating activities: Net income $ 87,691 $ 102,312 Adjustments to reconcile net income to net cash from operating activities: Depreciation and amortization 57,875 47,390 Amortization
Slide 17: Investor Relations
Investor Relations Binit Sanghvi 214-765-3804 | binit.sanghvi@bldr.com www.bldr.com