糖心vlog官网

TopBuild Reports Strong Second Quarter 2018 Results

Net Sales Increased 27.7%
$0.76 Income Per Diluted Share
$1.03 Income Per Diluted Share on an Adjusted Basis听听

Completed Acquisition of USI on May 1
~$410 million of expected annual incremental revenue from companies acquired in 2018

DAYTONA BEACH, Fla., Aug. 07, 2018 (GLOBE NEWSWIRE) -- 糖心vlog官网. (NYSE:BLD), the leading purchaser, installer and distributor of insulation products to the United States construction industry, today reported results for the second quarter ended June 30, 2018.听

Jerry Volas, Chief Executive Officer, stated, 鈥�We had another strong quarter with sales benefitting from the continued growth in residential and commercial construction. Our team remains focused on profitable growth which includes successfully managing the multiple supplier cost increases announced this year.听听

鈥淎s a result of the USI acquisition, our national footprint is even stronger, particularly in many of the fastest growing markets.听 With over 10,000 employees, including almost 7,000 installers, we are well-positioned to take advantage of the continued strength in residential new construction.鈥�

Second Quarter Financial Highlights

(unless otherwise indicated, comparisons are to the quarter ended June 30, 2017)

• Net sales increased 27.7% to $606.0 million, primarily driven by acquisitions, sales volume growth and increased selling prices in both operating segments. 听Of the 27.7% revenue growth, same branch contributed 10.5%.
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• Gross margin, impacted by higher material cost, declined 70 basis points to 23.9%.听 On an adjusted basis, gross margin declined 60 basis points to 24.0%.
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• Operating profit was $43.7 million, compared to operating profit of $40.8 million.听 On an adjusted basis, operating profit was $57.8 million, compared to $42.2 million, a 37.0% improvement.
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• Operating margin was 7.2%, down 140 basis points.听 Adjusted operating margin improved 60 basis points to 9.5%.
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• Adjusted EBITDA was $70.6 million, compared to $48.2 million, a 46.4% increase, and adjusted EBITDA margin improved 140 basis points to 11.6%.听 Incremental EBITDA margin was 17.0%.听听 On a same branch basis, adjusted EBITDA was $59.9 million, a 31.4% increase, and incremental EBITDA margin was 23.6%.听
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• Net income was $27.2 million, or $0.76 per diluted share, compared to $23.5 million, or $0.63 per diluted share. Adjusted income was $36.9 million, or $1.03 per diluted share, compared to $25.0 million, or $0.67 per diluted share.听
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• The five acquisitions completed over the past 12 months contributed $81.9 million of revenue.听 Incremental EBITDA related to acquisitions was 13.0%.
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• At June 30, 2018, the Company had cash and cash equivalents of $65.7 million and availability under its revolving credit facility of $190.7 million for total liquidity of $256.4 million.

Six Month Financial Highlights

(unless otherwise indicated, comparisons are to six months ended June 30, 2017)

• Net sales increased 19.8% to $1,097.4 million. On a same branch basis, revenue increased 12.1% to $994.9 million.听
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• On both a reported and adjusted basis, gross margin declined 50 basis points to 23.3%.
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• Operating profit was $77.6 million, compared to operating profit of $37.3 million.听听 On an adjusted basis, operating profit was $96.0 million, compared to $70.8 million, a 35.6% improvement.
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• Operating margin was 7.1%.听 On an adjusted basis, operating margin improved 100 basis points to 8.7%.听
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• Net income was $53.5 million, or $1.49 per diluted share, compared to $21.7 million, or $0.58 per diluted share.听 Adjusted income was $63.1 million, or $1.76 per diluted share, compared to $42.0 million, or $1.12 per diluted share.听
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• Adjusted EBITDA was $116.6 million, compared to $82.1 million, a 42.0% increase.听 Adjusted EBITDA margin was 10.6%, a 160-basis point improvement, and incremental EBITDA margin was 19.0%. 听On a same branch basis, adjusted EBITDA grew 32.4% to $104.7 million and incremental EBITDA margin was 28.6%.听

Operating Segment Highlights ($ in 000s)
(comparisons are to the period ended June 30, 2017)

Capital Allocation
Acquisitions
In the second quarter, the Company acquired USI, a leading provider of insulation installation and distribution services to the residential and commercial construction markets, for a purchase price of $475 million.听 The transaction was financed with proceeds from a $400 million 5.625% Senior Notes offering which closed on April 25^th and a $100 million delayed-draw term loan that was available under the Company鈥檚 existing secured credit facility.

Volas stated, 鈥淭he integration of USI is proceeding very well and their operating performance was consistent with our initial expectations.听 Our team is focused on making the transition as seamless as possible for our customers, employees and suppliers.听 We continue to expect at least $15 million in cost saving synergies and have begun exploring cross selling opportunities.听

鈥淎cquisitions remain our number one capital allocation priority and we continue to look for opportunities that will enhance our customer value proposition, market share and earnings growth.鈥澨�听听

Year-to-date, the Company has closed three acquisitions which, combined, are expected to generate approximately $410 million of incremental annual revenue.听

2018 Revenue and Adjusted EBITDA Outlook

Assumptions:

• 2018 housing starts between 1.260k and 1.280k
• Eight months of revenue from USI with $2M to $4M of cost savings synergies
• $75 million of incremental revenue for every 50,000 increase in new housing starts

This outlook reflects management鈥檚 current view of present and future market conditions and is based on assumptions such as housing starts, general and administrative expenses, weighted average diluted shares outstanding and interest rates.听 This outlook does not include any effects related to potential acquisitions or divestitures that may occur after the date of this press release.听 Factors that could cause actual 2018 results to differ materially from TopBuild鈥檚 current expectations are discussed below and are also detailed in the Company鈥檚 2017 Annual Report on Form 10-K and subsequent SEC reports.听

Additional Information
Quarterly supplemental materials, including a presentation that will be referenced on today鈥檚 conference call, are available on the 鈥淚nvestors鈥� section of the Company鈥檚 website at .

Conference Call
A conference call to discuss second quarter 2018 financial results is scheduled for today, Tuesday,
August 7, at 9:00 a.m. Eastern Time.听 The call may be accessed by dialing (800) 920-2997.听 The conference call will be webcast simultaneously on the 鈥淚nvestors鈥� section of the Company鈥檚 website at www.topbuild.com. 听

About TopBuild

糖心vlog官网., headquartered in Daytona Beach, Florida, is the leading purchaser, installer and distributor of insulation products to the U.S. construction industry. We provide insulation services nationwide through TruTeam^庐, which has over 205 branches, and through Service Partners^庐 which distributes insulation from over 75 branches.听 We leverage our national footprint to gain economies of scale while capitalizing on our local market presence to forge strong relationships with our customers.听 To learn more about TopBuild please visit our website at .

Use of Non-GAAP Financial Measures
EBITDA, incremental EBITDA margin, the 鈥渁djusted鈥� financial measures presented above, and figures presented on a 鈥渟ame branch basis鈥� are not calculated in accordance with U.S. generally accepted accounting principles (鈥淕AAP鈥�).听 The Company believes that these non-GAAP financial measures, which are used in managing the business, may provide users of this financial information with additional meaningful comparisons between current results and results in prior periods.听 听We define same branch sales as sales from branches in operation for at least 12 full calendar months.听 Such non-GAAP financial measures are reconciled to their closest GAAP financial measures in tables contained in this press release.听 Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the Company鈥檚 reported results under GAAP.听 Additional information may be found in the Company鈥檚 filings with the Securities and Exchange Commission which are available on TopBuild鈥檚 website under 鈥淚nvestors鈥� at .

Safe Harbor Statement

This press release contains 鈥渇orward-looking statements鈥� within the meaning of the Private Securities Litigation Reform Act.听 These forward-looking statements may address, among other things, our expected financial and operational results and the related assumptions underlying our expected results.听 These forward-looking statements are distinguished by use of words such as 鈥渨ill,鈥� 鈥渨ould,鈥� 鈥渁nticipate,鈥� 鈥渆xpect,鈥� 鈥渂elieve,鈥� 鈥渄esigned,鈥� 鈥減lan鈥� or 鈥渋ntend,鈥� the negative of these terms, and similar references to future periods.听 These views involve risks and uncertainties that are difficult to predict and, accordingly, our actual results may differ materially from the results discussed in our forward-looking statements.听 Our forward-looking statements contained herein speak only as of the date of this press release.听 Factors or events that we cannot predict, including those described in the risk factors contained in our filings with the Securities and Exchange Commission, may cause our actual results to differ from those expressed in forward-looking statements.听 Although TopBuild believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, the Company can give no assurance that its expectations will be achieved and it undertakes no obligation to update publicly any forward-looking statements as a result of new information, future events, or otherwise, except as required by applicable law.

糖心vlog官网 and Media Contact
Tabitha Zane

386-763-8801

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Released August 7, 2018