Loading...
•
Sep 30, 2021
TopBuild Q3 2021 Earnings Report
TopBuild's Q3 2021 performance was marked by a significant increase in net sales and margin expansion, despite industry-wide challenges.
Key Takeaways
TopBuild reported a strong third quarter in 2021, with a 21.3% increase in net sales to $845.8 million. The company experienced gross margin expansion to 29.6% and an adjusted EBITDA margin improvement to 18.7%. Net income was $95.4 million, or $2.88 per diluted share, compared to $70.0 million, or $2.11 per diluted share in the prior year.
Net sales increased by 21.3% to $845.8 million.
Gross margin expanded by 120 basis points to 29.6%.
Adjusted EBITDA margin improved by 160 basis points to 18.7%.
Net income reached $95.4 million, or $2.88 per diluted share.
Forward Guidance
The company is confident in the fundamentals of its end-markets and its ability to drive profitable growth.
Positive Outlook
- Confident in the overall fundamentals of residential end-market.
- Confident in the overall fundamentals of commercial end-market.
- Confident in the overall fundamentals of industrial end-market.
- Ability to leverage size.
- Ability to leverage scale.
Challenges Ahead
- Challenging environment characterized by supply chain disruptions.
- Challenging environment characterized by labor shortages across the entire construction industry.
- Market imbalances have impacted homebuilders’ ability to meet the continuing strong consumer demand.
- Market imbalances are constraining growth for the entire industry.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...