Delivers third quarter sales of $1.4 billion and adjusted EBITDA margin of 19.8%

Raises 2025 outlook to $5.35 to $5.45 billion in sales and $1.01 to $1.06 billion in adjusted EBITDA, to include contribution from SPI and four recent acquisitions

DAYTONA BEACH, Fla., Nov. 04, 2025 (GLOBE NEWSWIRE) -- TopBuild Corp. (NYSE:BLD), a leading installer of insulation and commercial roofing and a specialty distributor of insulation and related building products to the construction industry in the United States and Canada, today reported results for the third quarter ended September 30, 2025.

Robert Buck, President and CEO of TopBuild, said, "Third quarter results were in line with expectations. Sales totaled $1.4 billion in the third quarter, up 1.4% including acquisitions, as our Installation Services segment sales grew 0.2% and Specialty Distribution sales improved 1.4%. Our team's efforts to drive productivity and operational excellence are reflected in the continued strength of our profitability.

Mr. Buck continued, "We have accomplished a lot recently, including acquiring Progressive Roofing in July and SPI in October. On a year-to-date basis, we've completed acquisitions that total approximately $1.2 billion in annual revenue. These acquisitions have strengthened our insulation businesses, established a new platform for growth in commercial roofing, and further expanded our non-cyclical revenue profile. We are raising our 2025 outlook to incorporate SPI and our four recent acquisitions.

"We remain confident in the long-term fundamentals for our business and are firmly committed to delivering shareholder value. Although weak consumer confidence and economic uncertainty are weighing on demand for residential new construction in the near term, the strength in commercial and industrial is very encouraging, and we are well-positioned to capture opportunities in these important and growing end markets," Mr. Buck concluded.

Financial Highlights

(comparisons are to the periods ended September 30, 2024)

Three Months Ended September 30, 2025

Reported

Adjusted

($ in thousands)

2025

2024

2025

2024

Sales

$1,393,158

$1,373,268

$1,393,158

$1,373,268

Gross Profit

$418,920

$421,813

$419,023

$421,813

Gross Margin

30.1%

30.7%

30.1%

30.7%

SG&A

$203,910

$177,820

$190,069

$175,888

SG&A as % of Sales

14.6%

12.9%

13.6%

12.8%

Operating Profit

$215,010

$243,993

$228,954

$245,925

Operating Margin

15.4%

17.8%

16.4%

17.9%

Net Income

$142,226

$168,960

$151,293

$170,075

Net Income per diluted share

$5.04

$5.65

$5.36

$5.68

EBITDA

$275,609

$285,057

EBITDA Margin

19.8%

20.8%

Nine Months Ended September 30, 2025

Reported

Adjusted

($ in thousands)

2025

2024

2025

2024

Sales

$3,923,839

$4,017,597

$3,923,839

$4,017,597

Gross Profit

$1,164,435

$1,232,885

$1,176,941

$1,232,885

Gross Margin

29.7%

30.7%

30.0%

30.7%

SG&A

$552,149

$563,992

$533,191

$534,497

SG&A as % of Sales

14.1%

14.0%

13.6%

13.3%

Operating Profit

$612,286

$668,893

$643,750

$698,388

Operating Margin

15.6%

16.6%

16.4%

17.4%

Net Income

$417,213

$472,064

$437,735

$493,997

Net Income per diluted share

$14.56

$15.19

$15.28

$15.89

EBITDA

$771,669

$816,570

EBITDA Margin

19.7%

20.3%

Sales Drivers

(comparisons are to the periods ended September 30, 2024)

Three Months Ended September 30, 2025

Installation

Services

Specialty

Distribution

TopBuild,

net of

eliminations

Sales($ in millions)

$858

$609

$1,393

Sales Drivers

Volume

(10.4%)

(2.1%)

(6.7%)

Price

(0.5%)

1.2%

0.3%

M&A

11.0%

2.3%

7.9%

Total Sales Change

0.2%

1.4%

Nine Months Ended September 30, 2025

Installation

Services

Specialty

Distribution

TopBuild,

net of

eliminations

Sales($ in millions)

$2,384

$1,768

$3,924

Sales Drivers

Volume

(10.2%)

(2.1%)

(7.3%)

Price

0.5%

1.1%

0.8%

M&A

4.8%

2.7%

4.2%

Total Sales Change

(4.9%)

1.7%

(2.3%)

Segment Profitability

(comparisons are to the periods ended September 30, 2024)

Three Months Ended September 30, 2025

Nine Months Ended September 30, 2025

($ in thousands)

Installation

Services

Specialty

Distribution

Installation

Services

Specialty

Distribution

Operating Profit

$166,762

$87,114

$451,819

$243,655

Change

(3.2%)

(8.2%)

(9.6%)

(7.0%)

Operating Margin

19.4%

14.3%

18.9%

13.8%

Adj. Operating Profit

$167,065

$87,456

$459,646

$250,849

Change

(3.0%)

(8.0%)

(8.1%)

(4.0%)

Adj. Operating Margin

19.5%

14.4%

19.3%

14.2%

Adj. EBITDA

$193,060

$102,976

$524,678

$297,289

Change

0.9%

(6.9%)

(5.8%)

(3.3%)

Adj. EBITDA Margin

22.5%

16.9%

22.0%

16.8%

Capital Allocation

2025 Acquisitions

TopBuild continues to prioritize acquisitions for capital allocation and as of September 30, 2025, spent approximately $851.2 million on acquisitions year-to-date.

In the fourth quarter, the Company completed the acquisitions of Specialty Products and Insulation (SPI), Diamond Door Products, and Performance Insulation Fabricators. The acquisition of L&L Insulation is expected to close in November. Following this, the Company will have spent approximately $1.08 billion for acquisitions in the fourth quarter.


2025 Acquisitions
Company	Annual Revenue		Month Closed
	($ in millions)
Seal-Rite Insulation (I)		15.2	April
Progressive Roofing (I)		438.0	July
Insulation Fabrics (D)		6.1	September
Specialty Products and Insulation (D)		698.8	October
Diamond Door Products (D)		30.4	October
Performance Insulation Fabricators (D)		8.9	October
L&L Insulation (I)		7.2	November¹
Total	$	1,204.6
I = Installation Services, D = Specialty Distribution
¹ Expected Closing

Share Repurchases

During the third quarter, TopBuild repurchased 177,983 shares totaling $65.5 million. On a year-to-date basis, the Company bought back 1,326,666 shares for $417.1 million. The remaining availability for share repurchases at the end of the third quarter totaled $770.9 million.

2025 Outlook¹

TopBuild updated its full year outlook to include the contribution of its recent acquisitions: Insulation Fabrics, SPI, Diamond Door Products, Performance Insulation Fabricators, and L&L Insulation. The guidance does not contemplate additional transactions that it expects to complete during the remainder of the year.


($ in millions)
	Low		Mid		High
Sales	$	5,350	$	5,400	$	5,450
EBITDA, as adjusted		1,010		1,035		1,060
Depreciation and amortization		171		169		166
Share-based compensation		19		19		18
EBIT, as adjusted		820		848		876
Interest expense and other, net		91		90		88
Adjusted profit before tax		729		758		788
Adjusted income tax expense		190		197		205
Income, as adjusted	$	539	$	561	$	583

¹ This outlook reflects management's current view of present and future market conditions and is based on assumptions such as housing starts, economic conditions, and interest rates. These targets do not include any effects related to potential acquisitions or divestitures that may occur after the date of this press release. A reconciliation of non-GAAP targets to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty regarding, and the potential variability of, the costs and expenses that may be incurred in the future and therefore cannot be reasonably predicted. The effect of these excluded items may be significant. Factors that could cause actual long-term results to differ materially from TopBuild's current expectations are discussed below and detailed in the Company's most recent Annual Report on Form 10-K and subsequent SEC reports.

Conference Call

A conference call to discuss the third quarter 2025 financial results is scheduled for today, Tuesday, November 4^th, at 9:00 a.m. Eastern Time. The call can be accessed by dialing (877) 407-9037. A simultaneous webcast of the call, along with management's formal remarks and a presentation, will be available on the Company's website at www.topbuild.com shortly before the call begins.

About TopBuild

TopBuild Corp., headquartered in Daytona Beach, Florida, is a leading installer of insulation and commercial roofing and is also a specialty distributor of insulation and related building products to the construction industry in the United States and Canada. We provide insulation and commercial roofing installation services nationwide through our Installation Services segment which has over 200 branches located across the United States. We distribute building and mechanical insulation, insulation accessories, and other building products for the residential, commercial, and industrial end markets through our Specialty Distribution business. Our Specialty Distribution network encompasses more than 250 branches across the United States and Canada. To learn more about TopBuild please visit our website at www.topbuild.com.

Use of Non-GAAP Financial Measures

Adjusted EBITDA, incremental EBITDA margin, adjusted EBITDA margin, the "adjusted" financial measures presented above, and figures presented on a "same branch basis" are not calculated in accordance with U.S. generally accepted accounting principles ("GAAP"). 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. We define same branch sales as sales from branches in operation for at least 12 full calendar months. Such non-GAAP financial measures are reconciled to their closest GAAP financial measures in tables contained in this press release. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the Company's reported results under GAAP. Additional information may be found in the Company's filings with the Securities and Exchange Commission which are available on TopBuild's website under "SEC Filings" at www.topbuild.com.

Safe Harbor Statement

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act. These forward-looking statements may address, among other things, our expected financial and operational results, the related assumptions underlying our expected results, and our plan to repurchase our common stock under stock repurchase transactions. These forward-looking statements can be identified by words such as "will," "would," "anticipate," "expect," "believe," "designed," "plan," "may," "project," "estimate" or "intend," the negative of these terms, and similar references to future periods. 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. Our forward-looking statements contained herein speak only as of the date of this press release. 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. 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 any forward-looking statements as a result of new information, future events, or otherwise, except as required by applicable law.

(tables follow)

TopBuild Corp.
Condensed Consolidated Statements of Operations (Unaudited)
(in thousands, except share and per common share amounts)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2025			2024			2025			2024
Net sales	$	1,393,158		$	1,373,268		$	3,923,839		$	4,017,597
Cost of sales		974,238			951,455			2,759,404			2,784,712
Gross profit		418,920			421,813			1,164,435			1,232,885

Selling, general, and administrative expense		203,910			177,820			552,149			563,992
Operating profit		215,010			243,993			612,286			668,893

Other income (expense), net:
Interest expense		(28,415	)		(18,449	)		(65,561	)		(55,811	)
Other, net		3,911			2,355			13,345			24,987
Other expense, net		(24,504	)		(16,094	)		(52,216	)		(30,824	)
Income before income taxes		190,506			227,899			560,070			638,069

Income tax expense		(48,280	)		(58,939	)		(142,857	)		(166,005	)
Net income	$	142,226		$	168,960		$	417,213		$	472,064

Net income per common share:
Basic	$	5.08		$	5.68		$	14.65		$	15.28
Diluted	$	5.04		$	5.65		$	14.56		$	15.19

Weighted average shares outstanding:
Basic		28,019,746			29,751,713			28,469,514			30,901,788
Diluted		28,204,354			29,925,400			28,653,031			31,083,857

TopBuild Corp.
Condensed Consolidated Statements of Comprehensive Income (Unaudited)
(in thousands)

	Three Months Ended September 30,					Nine Months Ended September 30,
	2025			2024		2025		2024
Net income	$	142,226		$	168,960	$	417,213	$	472,064
Other comprehensive (loss) income:
Foreign currency translation adjustment		(3,880	)		2,463		6,217		(3,464	)
Comprehensive income	$	138,346		$	171,423	$	423,430	$	468,600

TopBuild Corp.
Condensed Consolidated Balance Sheets and Other Financial Data (Unaudited)
(dollars in thousands)
	As of
	September 30, 2025			December 31, 2024
ASSETS
Current assets:
Cash and cash equivalents	$	1,142,403		$	400,318
Receivables, net of an allowance for credit losses of $28,119 at September 30, 2025, and $18,541 at December 31, 2024		874,308			751,612
Inventories		385,642			406,662
Prepaid expenses and other current assets		44,563			40,382
Total current assets		2,446,916			1,598,974

Right of use assets		200,870			189,146
Property and equipment, net		271,765			266,992
Goodwill		2,573,475			2,112,259
Other intangible assets, net		907,395			557,689
Other assets		9,879			10,366
Total assets	$	6,410,300		$	4,735,426

LIABILITIES
Current liabilities:
Accounts payable	$	463,798		$	456,446
Current portion of long-term debt		62,500			48,750
Accrued liabilities		242,931			191,786
Short-term operating lease liabilities		68,762			68,713
Short-term finance lease liabilities		4,713			1,487
Total current liabilities		842,704			767,182

Long-term debt		2,798,678			1,327,159
Deferred tax liabilities, net		331,425			240,343
Long-term portion of insurance reserves		58,120			57,700
Long-term operating lease liabilities		147,272			129,360
Long-term finance lease liabilities		6,510			2,618
Other liabilities		2,343			1,446
Total liabilities		4,187,052			2,525,808

EQUITY		2,223,248			2,209,618
Total liabilities and equity	$	6,410,300		$	4,735,426

	As of September 30,
	2025			2024
Other Financial Data
Receivables, net plus inventories less accounts payable	$	796,152		$	758,506
Net sales, acquisition adjusted †	$	5,597,753		$	5,366,716
Receivables, net plus inventories less accounts payable as a percent of sales (TTM) †		14.2	%		14.1	%

† Trailing 12 months sales have been adjusted for the pro forma effect of acquired branches

TopBuild Corp.
Condensed Consolidated Statement of Cash Flows (Unaudited)
(in thousands)

	Nine Months Ended September 30,
	2025			2024
Cash Flows Provided by (Used in) Operating Activities:
Net income	$	417,213		$	472,064
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		114,018			104,777
Share-based compensation		14,121			13,405
Loss on sale of assets		927			672
Amortization of debt issuance costs		2,438			2,161
Provision for bad debt expense		12,769			13,730
Provision for inventory obsolescence		6,714			6,713
Impairment losses		9,442			—
Deferred income taxes, net		(1,989	)		(622	)
Change in certain assets and liabilities, net of effects of businesses acquired:
Receivables, net		(10,648	)		(30,294	)
Inventories		23,495			(30,916	)
Prepaid expenses and other current assets		(2,407	)		(6,849	)
Accounts payable		(14,783	)		(17,441	)
Accrued liabilities		12,369			(15,695	)
Other, net		(4,091	)		(1,907	)
Net cash provided by operating activities		579,588			509,798

Cash Flows Provided by (Used in) Investing Activities:
Purchases of property and equipment		(42,064	)		(56,794	)
Acquisition of businesses, net of cash acquired		(851,181	)		(88,460	)
Proceeds from sale of assets		982			2,336
Net cash used in investing activities		(892,263	)		(142,918	)

Cash Flows Provided by (Used in) Financing Activities:
Proceeds from issuance of long-term debt		2,000,000			—
Repayment of long-term debt		(500,000	)		(35,651	)
Excise taxes paid on share repurchases		(9,444	)		—
Payment of debt issuance costs		(17,395	)		—
Taxes withheld and paid on employees' equity awards		(5,374	)		(6,088	)
Exercise of stock options		2,771			3,224
Repurchase of shares of common stock		(417,148	)		(919,186	)
Net cash provided by (used in) financing activities		1,053,410			(957,701	)
Impact of exchange rate changes on cash		1,350			(402	)
Net increase (decrease) in cash and cash equivalents		742,085			(591,223	)
Cash and cash equivalents - Beginning of period		400,318			848,565
Cash and cash equivalents - End of period	$	1,142,403		$	257,342

Supplemental disclosure of noncash activities:
Leased assets obtained in exchange for new operating lease liabilities	$	58,662		$	35,718
Leased assets obtained in exchange for new finance lease liabilities		465			—
Accruals for property and equipment		1,713			227
Excise taxes capitalized to treasury stock		4,171			9,342

TopBuild Corp.
Segment Data (Unaudited)
(dollars in thousands)

	Three Months Ended September 30,											Nine Months Ended September 30,
		2025				2024		Change					2025			2024			Change
Installation Services
Sales	$	858,264			$	856,350			0.2		%	$	2,384,475		$	2,506,076				(4.9	)	%

Operating profit, as reported	$	166,762			$	172,243						$	451,819		$	499,717
Operating margin, as reported		19.4		%		20.1	%						18.9	%		19.9		%

Rationalization charges		(125	)			—							7,223			—
Acquisition related costs		428				31							604			364
Operating profit, as adjusted	$	167,065			$	172,274						$	459,646		$	500,081
Operating margin, as adjusted		19.5		%		20.1	%						19.3	%		20.0		%

Share-based compensation		310				71							933			719
Depreciation and amortization		25,685				19,037							64,099			56,016
EBITDA, as adjusted	$	193,060			$	191,382			0.9		%	$	524,678		$	556,816				(5.8	)	%
EBITDA margin, as adjusted		22.5		%		22.3	%						22.0	%		22.2		%

Specialty Distribution
Sales	$	608,892			$	600,387			1.4		%	$	1,767,879		$	1,739,007				1.7		%

Operating profit, as reported	$	87,114			$	94,911						$	243,655		$	261,862
Operating margin, as reported		14.3		%		15.8	%						13.8	%		15.1		%

Rationalization charges		342				194							7,143			(556	)
Acquisition related costs		—				4							51			14
Operating profit, as adjusted	$	87,456			$	95,109						$	250,849		$	261,320
Operating margin, as adjusted		14.4		%		15.8	%						14.2	%		15.0		%

Share-based compensation		398				374							1,282			1,187
Depreciation and amortization		15,122				15,117							45,158			45,000
EBITDA, as adjusted	$	102,976			$	110,600			(6.9	)	%	$	297,289		$	307,507				(3.3	)	%
EBITDA margin, as adjusted		16.9		%		18.4	%						16.8	%		17.7		%

TopBuild Corp.
Adjusted EBITDA (Unaudited)
(dollars in thousands)

	Three Months Ended September 30,											Nine Months Ended September 30,
	2025				2024				Change			2025				2024				Change
Total net sales
Sales before eliminations	$	1,467,156			$	1,456,737						$	4,152,354			$	4,245,083
Intercompany eliminations		(73,998	)			(83,469	)						(228,515	)			(227,486	)
Net sales after eliminations	$	1,393,158			$	1,373,268			1.4		%	$	3,923,839			$	4,017,597			(2.3	)	%

Operating profit, as reported - segments	$	253,876			$	267,154						$	695,474			$	761,579
General corporate expense, net		(24,152	)			(9,685	)						(42,914	)			(55,610	)
Intercompany eliminations		(14,714	)			(13,476	)						(40,274	)			(37,076	)
Operating profit, as reported	$	215,010			$	243,993						$	612,286			$	668,893
Operating margin, as reported		15.4		%		17.8		%					15.6		%		16.6		%

Rationalization charges		218				485							14,556				(7	)
Refinancing costs		—				—							226				—
Acquisition related costs †		13,726				1,447							16,682				6,502
Acquisition termination fee		—				—							—				23,000
Operating profit, as adjusted	$	228,954			$	245,925						$	643,750			$	698,388
Operating margin, as adjusted		16.4		%		17.9		%					16.4		%		17.4		%

Share-based compensation		4,314				3,646							14,121				13,405
Depreciation and amortization		42,341				35,486							113,798				104,777
EBITDA, as adjusted	$	275,609			$	285,057			(3.3	)	%	$	771,669			$	816,570			(5.5	)	%
EBITDA margin, as adjusted		19.8		%		20.8		%					19.7		%		20.3		%

Sales change period over period		19,890											(93,758	)
EBITDA, as adjusted, change period over period		(9,448	)										(44,901	)
Decremental EBITDA, as adjusted, as a percentage of change in sales		NM											(47.9	)	%

† Acquisition related costs include corporate level adjustments as well as segment operating adjustments
NM Not meaningful

TopBuild Corp.
Same Branch and Acquisition Metrics (Unaudited)
(dollars in thousands)

	Three Months Ended September 30,								Nine Months Ended September 30,
	2025				2024				2025				2024
Net sales
Same branch:
Installation Services	$	763,729			$	856,350			$	2,263,271			$	2,506,076
Specialty Distribution		594,921				600,387				1,721,789				1,739,007
Eliminations		(73,998	)			(83,469	)			(228,515	)			(227,486	)
Total same branch	$	1,284,652			$	1,373,268			$	3,756,545			$	4,017,597

Acquisitions (a):
Installation Services	$	94,535			$	—			$	121,204			$	—
Specialty Distribution		13,971				—				46,090				—
Total acquisitions		108,506				—				167,294				—
Total net sales	$	1,393,158			$	1,373,268			$	3,923,839			$	4,017,597

EBITDA, as adjusted
Same branch	$	256,601			$	285,057			$	742,460			$	816,570
Acquisitions (a)		19,008				—				29,209				—
Total	$	275,609			$	285,057			$	771,669			$	816,570

EBITDA, as adjusted, as a percentage of sales
Same branch (b)		20.0		%						19.8		%
Acquisitions (c)		17.5		%						17.5		%
Total (d)		19.8		%		20.8		%		19.7		%		20.3		%

As Adjusted (Decremental)/Incremental EBITDA, as a percentage of change in sales
Same branch (e)		(32.1	)	%						(28.4	)	%
Acquisitions (c)		17.5		%						17.5		%
Total (f)		NM								(47.9	)	%

(a) Represents current year impact of acquisitions in their first twelve months
(b) Same branch metric, as adjusted, as a percentage of same branch sales
(c) Acquired metric, as adjusted, as a percentage of acquired sales
(d) Total EBITDA, as adjusted, as a percentage of total sales
(e) Change in same branch EBITDA, as adjusted, as a percentage of change in same branch sales
(f) Change in total EBITDA, as adjusted, as a percentage of change in total sales
NM Not meaningful

TopBuild Corp.
Same Branch Revenue by Line of Business (Unaudited)
(dollars in thousands)

	Three Months Ended September 30,								Nine Months Ended September 30,
	2025		2024		Change				2025		2024		Change
Residential:
Same branch (a)	$	800,987	$	890,356		(10.0	)	%	$	2,356,843	$	2,609,299		(9.7	)	%
Acquisitions		3,157		—						26,553		—
Total Residential sales		804,144		890,356		(9.7	)	%		2,383,396		2,609,299		(8.7	)	%

Commercial/Industrial:
Same branch (a)	$	483,669	$	482,912		0.2		%	$	1,399,706	$	1,408,298		(0.6	)	%
Acquisitions		105,345		—						140,737		—
Total Commercial/Industrial sales		589,014		482,912		22.0		%		1,540,443		1,408,298		9.4		%
Total net sales	$	1,393,158	$	1,373,268		1.4		%	$	3,923,839	$	4,017,597		(2.3	)	%

(a) Represents current year impact of acquisitions in their first twelve months

TopBuild Corp.
Non-GAAP Reconciliations (Unaudited)
(in thousands, except share and per common share amounts)

	Three Months Ended September 30,								Nine Months Ended September 30,
	2025				2024				2025				2024
Gross Profit Reconciliation

Net sales	$	1,393,158			$	1,373,268			$	3,923,839			$	4,017,597

Gross profit, as reported	$	418,920			$	421,813			$	1,164,435			$	1,232,885

Rationalization charges		103				—				12,506				—
Gross profit, as adjusted	$	419,023			$	421,813			$	1,176,941			$	1,232,885

Gross margin, as reported		30.1		%		30.7		%		29.7		%		30.7		%
Gross margin, as adjusted		30.1		%		30.7		%		30.0		%		30.7		%

Selling, General and Administrative Expense Reconciliation

Selling, general, and administrative expense, as reported	$	203,910			$	177,820			$	552,149			$	563,992

Rationalization charges		115				485				2,050				(7	)
Refinancing costs		—				—				226				—
Acquisition related costs		13,726				1,447				16,682				6,502
Acquisition termination fee		—				—				—				23,000
Selling, general, and administrative expense, as adjusted	$	190,069			$	175,888			$	533,191			$	534,497

Operating Profit Reconciliation

Operating profit, as reported	$	215,010			$	243,993			$	612,286			$	668,893

Rationalization charges		218				485				14,556				(7	)
Refinancing costs		—				—				226				—
Acquisition related costs		13,726				1,447				16,682				6,502
Acquisition termination fee		—				—				—				23,000
Operating profit, as adjusted	$	228,954			$	245,925			$	643,750			$	698,388

Operating margin, as reported		15.4		%		17.8		%		15.6		%		16.6		%
Operating margin, as adjusted		16.4		%		17.9		%		16.4		%		17.4		%

Income Per Common Share Reconciliation

Income before income taxes, as reported	$	190,506			$	227,899			$	560,070			$	638,069

Rationalization charges		218				485				14,556				(7	)
Refinancing costs		—				—				226				—
Acquisition related costs		13,726				1,447				16,682				6,502
Acquisition termination fee		—				—				—				23,000
Income before income taxes, as adjusted		204,450				229,831				591,534				667,564

Tax rate at 26.0%		(53,157	)			(59,756	)			(153,799	)			(173,567	)
Income, as adjusted	$	151,293			$	170,075			$	437,735			$	493,997

Income per common share, as adjusted	$	5.36			$	5.68			$	15.28			$	15.89

Weighted average diluted common shares outstanding		28,204,354				29,925,400				28,653,031				31,083,857

TopBuild Corp.
Reconciliation of Adjusted EBITDA to Net Income (Unaudited)
(in thousands)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2025		2024		2025		2024
Net income, as reported	$	142,226	$	168,960	$	417,213	$	472,064
Adjustments to arrive at EBITDA, as adjusted:
Interest expense and other, net		24,504		16,094		52,216		30,824
Income tax expense		48,280		58,939		142,857		166,005
Depreciation and amortization		42,341		35,486		113,798		104,777
Share-based compensation		4,314		3,646		14,121		13,405
Rationalization charges		218		485		14,556		(7	)
Refinancing costs		—		—		226		—
Acquisition related costs		13,726		1,447		16,682		6,502
Acquisition termination fee		—		—		—		23,000
EBITDA, as adjusted	$	275,609	$	285,057	$	771,669	$	816,570

TopBuild Corp.
Acquisition Adjusted Net Sales (Unaudited)
(in thousands)
	2024		2025						Trailing Twelve Months Ended
	Q4		Q1		Q2		Q3		September 30, 2025
Net sales	$	1,312,206	$	1,233,278	$	1,297,403	$	1,393,158	$	5,236,045
Acquisitions proforma adjustment †		115,966		114,778		115,841		15,123		361,708
Net sales, acquisition adjusted	$	1,428,172	$	1,348,056	$	1,413,244	$	1,408,281	$	5,597,753


† Trailing 12 months sales have been adjusted for the pro forma effect of acquired branches

TopBuild Corp.
2025 Estimated Guidance Ranges (Unaudited)
(in millions)

	Twelve Months Ending December 31, 2025
		Low			Mid			High
Estimated net income	$	497.0		$	519.9		$	542.0
Adjustments to arrive at estimated adjusted measures:
Interest expense and other, net		91.0			89.5			88.0
Income tax expense		175.0			182.6			191.0
Rationalization charges		15.0			15.0			15.0
Acquisition related costs		42.0			41.0			40.0
Estimated EBIT, as adjusted		820.0			848.0			876.0
Share-based compensation		19.0			18.5			18.0
Depreciation and amortization		171.0			168.5			166.0
Estimated EBITDA, as adjusted	$	1,010.0		$	1,035.0		$	1,060.0

	Twelve Months Ending December 31, 2025
		Low			Mid			High
Estimated net income	$	497.0		$	519.9		$	542.0
Adjustments to arrive at estimated income, as adjusted:
Rationalization charges		15.0			15.0			15.0
Acquisition related costs		42.0			41.0			40.0
Normalized income tax impact of rationalization charges and acquisition related costs (26%)		(14.8	)		(14.6	)		(14.3	)
Estimated income, as adjusted	$	539.2		$	561.3		$	582.7

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Investor Relations and Media Contact

PI Aquino
pi.aquino@topbuild.com 
386-763-8801

TopBuild Reports Third Quarter 2025 Results; Raises Guidance to Include Recent Acquisitions