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Sep 30
TopBuild Q3 2025 Earnings Report
TopBuild posted Q3 2025 results with modest sales growth and solid profitability amid ongoing acquisition activity.
Key Takeaways
TopBuild delivered $1.39 billion in revenue and maintained strong margins despite headwinds in residential construction, with growth driven by acquisitions and commercial demand.
Revenue reached $1.393 billion, up 1.4% from Q3 2024, driven primarily by M&A activity.
Adjusted EBITDA margin stood at 19.8%, reflecting continued operational efficiency.
Net Income for the quarter was $142.2 million, or $5.04 per diluted share; Adjusted EPS was $5.36.
Commercial/Industrial segment grew 22% to $589 million, offsetting weakness in Residential.
TopBuild
TopBuild
TopBuild Revenue by Segment
TopBuild Revenue by Geographic Location
Revenue by Segment
Installation Services Revenue
CapyFin.comSpecialty Distribution Revenue
CapyFin.comRevenue by Geographic Location
Residential Revenue
CapyFin.comCommercial/Industrial Revenue
CapyFin.com Forward Guidance
TopBuild raised its full-year 2025 guidance to reflect contributions from recent acquisitions including SPI, with improved revenue and EBITDA expectations.
Positive Outlook
- Raised sales outlook to $5.35–$5.45 billion.
- Raised adjusted EBITDA guidance to $1.01–$1.06 billion.
- Acquisitions expected to contribute over $1.2 billion in annualized revenue.
- Strong commercial and industrial demand anticipated to continue.
- Continued execution on acquisition strategy including Progressive Roofing and SPI.
Challenges Ahead
- Residential new construction demand impacted by weak consumer confidence.
- Ongoing economic uncertainty could limit near-term growth.
- Slight decline in gross and operating margins vs. prior year.
- Adjusted EBITDA margin declined from 20.8% to 19.8%.
- Volume declines in Installation Services (-10.4%) and Specialty Distribution (-2.1%).
Revenue & Expenses
Visualization of income flow from segment revenue to net income