Installed Building Products Q4 2022 Earnings Report
Key Takeaways
Installed Building Products reported a strong fourth quarter and fiscal year 2022, achieving record revenue, net income, and adjusted EBITDA. The company focused on supporting residential and commercial customers, managing market demand, and aligning selling prices. IBP completed eight acquisitions during 2022, contributing to its growth.
Net revenue increased 28.6% to a record $686.5 million.
Installation revenue increased 22.7% to $641.0 million, driven by strong growth in residential new construction markets.
Net income increased 134.0% to $68.7 million.
Adjusted EBITDA increased 54.3% to a record $115.4 million.
Installed Building Products
Installed Building Products
Forward Guidance
IBP expects to acquire at least $100 million of annual revenue in 2023 and is well-positioned to navigate the cyclicality of the U.S. housing market.
Positive Outlook
- Strong customer relationships
- Experienced leadership team
- National scale
- Diverse product categories
- Roughly $230 million in cash and cash equivalents
Challenges Ahead
- Cyclicality of the U.S. housing market
- Rising home prices
- Inflation and interest rates
- Material price and supply environment
- The risk that the Company may reduce, suspend or eliminate dividend payments in the future