Qxo, Inc. · NYSE:QXO
Qxo — Investor Presentation (May 2025)
19 slides from Qxo's investor presentation, May 20, 2025
Slide 1: Investor presentation May 2025
Investor presentation Confidential May 2025
Slide 2: Disclaimer
2 This presentation has been prepared by QXO, Inc. (the “Company” or “QXO”) solely for informational purposes and does not constitute or form part of, and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or acquire securities of the Company, nor shall ther
Slide 3: Cautionary Statement Regarding Forward-Looking Statements
3 This presentation contains forward-looking statements. Statements that are not historical facts, including statements about beliefs, expectations, targets or goals, such as statements regarding net sales and EBITDA goals, are forward-looking statements. These statements are based on plans, estimat
Slide 4: Cautionary Statement Regarding Forward-Looking Statements (continued)
4 ▪ unexpected costs, charges or expenses resulting from the Beacon Acquisition or any future acquisition or difficulties in integrating and operating acquired companies; ▪ the risk that the Company is or becomes highly dependent on the continued leadership of Brad Jacobs as chairman and chief execu
Slide 5: QXO is the largest publicly traded distributor of roofing and building products
5 QXO is the largest publicly traded distributor of roofing, waterproofing, and complementary building products in the United States. The company plans to become the tech-enabled leader in the $800 billion building products distribution industry and generate outsized value for shareholders. QXO is t
Slide 6: Investment highlights
6 Investment highlights Building products distribution—immense TAM supported by attractive long-term demand drivers Beacon is a smart first move Extensive opportunity for additional M&A Exemplary track record of creating outsized shareholder value Well-defined plan to at least double legacy Beacon E
Slide 7: Building a $50 billion revenue company
7 Forward-looking revenue, EBITDA, leverage and organic growth goals are not guarantees or management projections of future performance. These goals are based on various assumptions that may prove to be incorrect and are subject to significant risks and uncertainties, including those described on th
Slide 8: Building products distribution: large TAM with attractive long-term demand drivers
8 Sources: U.S. Federal Reserve Economic Data, U.S. Census Bureau as of April 30, 2024, National Association of Homebuilders as of February 12, 2024 1 Includes North America and Europe. ▪ ~$800 billion building products distribution industry1 ▪ Highly fragmented; ~7,000 distributors across North Ame
Slide 9: Highly-experienced management team with strong track record
9 Brad Jacobs Chairman and Chief Executive Officer ▪ Founder of five multibillion-dollar public companies, including United Waste, United Rentals, XPO, and XPO spin-offs GXO and RXO ▪ Serves as Executive Chairman of XPO Matt Fassler Chief Strategy Officer ▪ Former Chief Strategy Officer of XPO ▪ Pre
Slide 10: Highly-experienced management team (cont'd)
10 Chris Signorello Chief Legal Officer ▪ Former Deputy General Counsel and Chief Compliance Officer at XPO ▪ Previously at Henkel Corporation and Goodwin Procter Sean Smith Chief Accounting Officer and Deputy Chief Financial Officer ▪ Most recently served as corporate controller for Chewy ▪ Previou
Slide 11: We've done this before: Track record of successful transformations
11 ▪ Brad Jacobs founded and led three highly successful consolidators ▪ United Waste: Created fifth largest solid waste business in North America ▪ United Rentals: Built world’s largest equipment rental company ▪ XPO: Grew XPO into one of the world’s largest logistics companies ▪ Jacobs has raised
Slide 12: Beacon: Leader in attractive verticals, primed for transformation
12 Complementary ~20% Commercial roofing ~30% Residential roofing ~50% Beacon: Leader in attractive verticals, primed for transformation 1 As of December 31, 2024. Commercial Roofing is reported as Non-Residential in financial statements. Diversified net sales mix1 8,000+ Employees ~600 Branches $9.
Slide 13: Beacon is a smart first move
13 Beacon is a smart first move ▪ Attractive demand drivers for the roofing sector: ~80% driven by non-discretionary repair & remodel activity ▪ Resilient performance through cycles: Beacon generated organic revenue growth in 18 of the 21 years since its 2004 IPO ▪ Limited tariff exposure: Vast majo
Slide 14: Target to more than double Beacon's EBITDA organically within five years
14 Our assessment of earnings upside at Beacon has materially increased since signing Target to more than double Beacon’s EBITDA organically within five years Key levers for above-market revenue growth and >500 bps of EBITDA margin expansion Note: The forward-looking goals are not guarantees of futu
Slide 15: We've hit the ground running on the Beacon transformation
15 We’ve hit the ground running on the Beacon transformation Immediate integration and operational uplift ▪ Rebranded to QXO on Day 1, including e-commerce site and mobile app; customer communications executed seamlessly ▪ Completed first phase of talent assessment ▪ Launched transformation efforts
Slide 16: Strong Alignment Between Management and Shareholders
16 Strong Alignment Between Management and Shareholders ▪ CEO Brad Jacobs, through Jacobs Private Equity LLC, invested $900 million into QXO, accounting for 90% of the founders’ round ▪ Today, Jacobs owns approximately 28% of QXO’s equity ▪ Meaningful portion of each senior leader’s net worth is tie
Slide 17: Appendix
17 Appendix
Slide 18: Plan to double EBITDA at legacy Beacon organically: Driving above-market revenue growth
18 Pricing ▪ Align salesforce incentive compensation with optimized price parameters ▪ Increase capture rate of indicated price ▪ Leverage data analysis to determine price elasticity by SKU Sales excellence ▪ Recruit additional growth-oriented salespeople, including for national accounts ▪ Strengthe
Slide 19: Plan to double EBITDA at legacy Beacon organically: Targeting >500 bps of margin expansion
19 Procurement ▪ Improve buying power through centralized procurement and inventory management; drive collaborative programs with key vendors to leverage QXO’s scale and market reach Org chart ▪ Optimize organizational chart to increase spans of control and drive agility; fine-tune branch operating