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Strong Q3 for Installed Building Products

11/12/2019
Installed Building Products (IBP) reported that its third quarter 2019 net revenue increased 13.6% to a company record $396.4 million from a net revenue of $349 million in the third quarter 2018.

The Columbus, Ohio-based company also reported a third quarter net income of $21.2 million, up 36% from a net income of $15.6 million for the same period a year ago.

On a same-branch basis, net revenue improved 9.3% from the prior year quarter. Residential same branch sales growth was 6% in the quarter, attributable to price gains and more favorable customer and product mix.

Same-branch single-family sales grew 4.9% during the third quarter, compared to growth in U.S. single-family housing completions of 3.8%, while the large commercial construction end-market had organic growth of 19.4%.

During the quarter, IBP acquired Northeast Spray Insulation, Inc. and Minnesota Spray-Foam Insulation.

IBP is one of the nation's largest new residential insulation installers of complementary building products, including waterproofing, fire-stopping, fireproofing, garage doors, rain gutters, window blinds, shower doors, closet shelving, mirrors and other products.

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The bottom line: Sales rise 13.6% to $396.4 million while profits soar 36% to $21.2 million.

What the CEO said: “Favorable pricing trends, stable end-market demand, and the benefits of our geographic and product diversification strategies drove record third quarter sales and earnings,” stated Jeff Edwards, chairman and CEO of IBP. “Our third quarter results demonstrate the power of our financial model and our focus on profitability.”

Company info: The full third quarter 2019 report from Installed Building Products can be read here.
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