Exhibit 99.1

Graphic

NYSE:BLD

A leading installer and specialty distributor of insulation and building material products to the construction industry in the United States and Canada

TopBuild Reports Fourth Quarter and Full Year 2021 Results

4Q Highlights

Sales increase 47.4% to $1.1 billion, same branch revenue increases 12.5%
Net income increases 10.7% to $78.4 million, and 44.9% on an adjusted basis
$2.37 net income per diluted share, $3.12 on an adjusted basis
Adjusted EBITDA margin expands 30 basis points to 17.1%, 19.0% on a same branch basis, up 220 basis points

Provides 2022 Sales, Adjusted EBITDA Guidance and Long-Term Assumptions

Fourth Quarter Financial Highlights

(unless otherwise indicated, comparisons are to the quarter ended December 31, 2020)

3 Months Ended 12/31/21

Reported

Change

Sales

$1,063,398

47.4%

“We are pleased with our fourth quarter results. Our same branch adjusted EBITDA margin was a healthy 19.0% with same branch incremental adjusted margin of 36.0%.

Gross Margin

26.6%

(80) bps

SG&A

$164,718

73.5%

SG&A as % of revenue

15.5%

230 bps

Operating Profit

$118,443

14.9%

“The integration of DI, while in the early stages, is proceeding ahead of expectations and we are even more confident we will achieve the $35 million to $40 million of synergies forecasted when we first announced this transaction.”

ROBERT BUCK, PRESIDENT & CEO, TOPBUILD

Operating Margin

11.1%

(320) bps

Net Income

$78,360

10.7%

Net Income per diluted share

$2.37

11.0%

3 Months Ended 12/31/21

Adjusted

Change

Sales

$1,063,398

47.4%

Gross Margin

28.1%

60 bps

SG&A

$148,268

57.0%

SG&A as % of revenue

13.9%

80 bps

Operating Profit

$150,746

45.0%

Operating Margin

14.2%

(20) bps

Net Income

$103,308

44.9%

Net Income per diluted share

$3.12

45.1%

EBITDA

$182,072

49.9%

EBITDA Margin

17.1%

30 bps

EBITDA Margin, Same Branch

19.0%

220 bps


2

Full Year 2021 Financial Highlights

(unless otherwise indicated, comparisons are to twelve months ended December 31, 2020)

12 Months Ended 12/31/21

Reported

Change

“2021 was a strong year for TopBuild with solid top line growth and margin expansion within our legacy business. Our team did an outstanding job managing multiple material cost increases while also balancing strong demand against persistent supply and labor constraints.

“During the year we also completed 11 acquisitions which are expected to contribute over $1 billion of annual revenue.

“Looking at 2022, we expect demand to remain solid in all three of the end-markets we serve: residential, commercial and industrial. Our focus throughout all areas of our business remains unchanged: driving top line growth, continuing the successful integration of DI, and improving operational efficiencies.”

ROBERT BUCK, PRESIDENT & CEO, TOPBUILD

Sales

$3,486,207

28.3%

Gross Margin

27.9%

40 bps

SG&A

$497,970

27.3%

SG&A as % of revenue

14.3%

(10) bps

Operating Profit

$476,419

34.2%

Operating Margin

13.7%

60 bps

Net Income

$324,016

31.2%

Net Income per diluted share

$9.78

31.8%

12 Months Ended 12/31/21

Adjusted

Change

Sales

$3,486,207

28.3%

Gross Margin

28.4%

90 bps

SG&A

$475,592

22.2%

SG&A as % of revenue

13.6%

70 bps

Operating Profit

$515,242

43.4%

Operating Margin

14.8%

160 bps

Net Income

$359,716

48.3%

Net Income per diluted share

$10.85

49.0%

EBITDA

$605,948

38.7%

EBITDA Margin

17.4%

130 bps

EBITDA Margin, Same Branch

18.1%

200 bps

Operating Segment Highlights ($ in 000s)

(comparisons are to the period ended December 31, 2020)

Installation

3 Months
Ended
12/31/21

12 Months
Ended
12/31/21

Specialty
Distribution

3 Months
Ended
12/31/21

12 Months
Ended
12/31/21

Sales

$627,123

$2,378,401

Sales

$485,813

$1,287,176

Change

 

 

Change

 

 

Volume

1.2%

4.5%

Volume

-6.8%

3.3%

Price

11.0%

6.5%

Price

22.4%

13.7%

M&A

11.1%

11.4%

M&A

77.6%

22.0%

Total Change

23.3%

22.4%

Total Change

93.1%

39.0%

Operating Margin

16.9%

16.1%

Operating Margin

9.0%

13.2%

Change

90 bps

90 bps

Change

(440) bps

70 bps

Adj. Operating Margin

17.0%

16.2%

Adj. Operating Margin

12.4%

14.4%

Change

90 bps

90 bps

Change

(100) bps

190 bps

Adj. EBITDA Margin

19.4%

18.7%

Adj. EBITDA Margin

15.0%

16.0%

Change

80 bps

80 bps

Change

70 bps

230 bps

NYSE:BLD

February 22, 2022

topbuild.com


3

Capital Allocation

 

TTM Revenue at

Month

 

2021 Acquisitions

Acquisition ($ millions)

Acquired

Business Focus

LCR Contractors (I)

$58.0

January

Heavy Commercial/Fireproofing

Ozark Foam (I)

$7.7

March

Residential, primarily spray foam

American Building Systems (I&D)

$144.0

April

Residential (94%) & Distribution (6%)

Creative Conservation (I)

$7.4

April

Residential insulation

RJ Insulation (I)

$4.0

June

Residential, shower doors/mirrors

Valley Gutter Supply (D)

$10.0

August

Specialty distributor and fabricator

California Building Products (I)

$18.0

October

Residential and light commercial

Distribution International (D)

$747.0

October

Specialty distributor and fabricator

Tonks Insulation (I)

$4.8

November

Residential insulation

Shepherds Insulation (I)

$1.9

November

Residential insulation

Insulating Products (D)

$11.0

December

Residential distributor

Total

$1,013.8

 

 

I = Installation

D = Distribution

Share Repurchases

In 2021, the Company repurchased a total of 183,136 shares of its common stock for approximately $35.6 million.

Sales and Adjusted EBITDA Guidance (1)

“We remain focused on acquiring quality installation and specialty distribution companies that fit within our core insulation businesses. Our pipeline is robust, and our team is focused on expanding our presence in all three end markets we serve.”

ROBERT BUCK, PRESIDENT & CEO, TOPBUILD

($ in millions)

2022

    

Low

    

High

Sales

$

4,500

$

4,650

Adjusted EBITDA*

$

770

$

820

*See table for adjusted EBITDA reconciliation.

Assumptions(1)

($ in millions)

2022

Low

High

Estimated net income

$

423.0

$

470.1

Interest Expense and other, net

$

50.3

$

46.2

Income tax expense

$

148.6

$

165.2

Depreciation and Amortization

$

126.4

$

121.3

Share based compensation

$

13.7

$

11.2

Acquisition related costs

$

8.0

$

6.0

NYSE:BLD

February 22, 2022

topbuild.com


4

Long-Term Assumptions (3-Years) (1)

Metric

    

    

Working Capital (% of LTM Sales)

11.0% to 13.0%

CapEx (% of Sales)

1.5% to 2.0%

Non-Residential Revenue Growth (Organic)

5.0% to 7.5%

Normalized Tax Rate

25.0% to 27.0%

Incremental Adjusted EBITDA (Organic)

22.0% to 27.0%

Incremental Adjusted EBITDA (Acquisitions Year One)

11.0% to 16.0%

Residential Revenue for every 50K houses insulated

$107 million

(1)This guidance and long-term targets reflect management’s current view of present and future market conditions and are based on assumptions such as housing starts, general and administrative expenses, weighted average diluted shares outstanding 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 are also detailed in the Company’s 2020 Annual Report on Form 10-K and subsequent SEC reports.

Additional Information

Quarterly supplemental materials, including a presentation that will be referenced on today’s conference call, are available on the Company’s website at www.topbuild.com.

Conference Call

A conference call to discuss fourth quarter 2021 financial results is scheduled for today, Tuesday, February 22, at 9:00 a.m. Eastern Time.  The call may be accessed by dialing (877) 407-9037.  The conference call will be webcast simultaneously on the Company’s website at www.topbuild.com.

About TopBuild

TopBuild Corp., headquartered in Daytona Beach, Florida, is a leading installer and specialty distributor of insulation and building material products to the construction industry in the United States and Canada.  We provide insulation installation services nationwide through our contractor services business which has approximately 235 branches located across the United States. We distribute building and mechanical insulation, insulation accessories and other building product materials for the residential, commercial, and industrial end markets through our Specialty Distribution business.  Our specialty distribution network encompasses approximately 175 branches.  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.

NYSE:BLD

February 22, 2022

topbuild.com


5

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 a stock repurchase transaction.  These forward-looking statements are distinguished by use of words such as “will,” “would,” “anticipate,” “expect,” “believe,” “designed,” “plan,” 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.

Investor Relations and Media Contact

Tabitha Zane

tabitha.zane@topbuild.com

386-763-8801

(tables follow)

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Consolidated Statements of Operations (Unaudited)

(in thousands, except share and per common share amounts)

Three Months Ended December 31, 

Year Ended December 31, 

2021

2020

2021

2020

Net sales

$

1,063,398

    

$

721,487

    

$

3,486,207

    

$

2,718,038

Cost of sales

780,237

523,467

2,511,818

1,971,677

Gross profit

283,161

198,020

974,389

746,361

Selling, general, and administrative expense

164,718

94,943

497,970

391,315

Operating profit

118,443

103,077

476,419

355,046

Other income (expense), net:

Interest expense

(10,933)

(7,745)

(29,143)

(32,456)

Loss on extinguishment of debt

25

(13,837)

(233)

Other, net

(207)

85

4

733

Other expense, net

(11,115)

(7,660)

(42,976)

(31,956)

Income before income taxes

107,328

95,417

433,443

323,090

Income tax expense

(28,968)

(24,660)

(109,427)

(76,067)

Net income

$

78,360

$

70,757

$

324,016

$

247,023

Net income per common share:

Basic

$

2.39

$

2.16

$

9.88

$

7.50

Diluted

$

2.37

$

2.13

$

9.78

$

7.42

 

Weighted average shares outstanding:

Basic

32,753,719

32,789,911

32,801,906

32,917,971

Diluted

33,117,227

33,189,104

33,146,171

33,299,986

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Consolidated Statements of Comprehensive Income (Unaudited)

(in thousands)

Three Months Ended December 31, 

Year Ended December 31, 

2021

2020

2021

2020

Net income

$

78,360

$

70,757

$

324,016

$

247,023

Other comprehensive income (loss):

Foreign currency translation adjustment

(6,634)

(6,634)

Comprehensive income

$

71,726

$

70,757

$

317,382

$

247,023

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Consolidated Balance Sheets and Other Financial Data (Unaudited)

(dollars in thousands)

As of December 31,

2021

2020

ASSETS

Current assets:

Cash and cash equivalents

$

139,779

$

330,007

Receivables, net of an allowance for credit losses of $8,798 at December 31, 2021, and $6,926 at December 31, 2020

668,419

 

427,340

Inventories, net

352,801

 

161,369

Prepaid expenses and other current assets

26,692

 

17,689

Total current assets

1,187,691

 

936,405

Right of use assets

177,177

 

83,490

Property and equipment, net

244,574

 

180,053

Goodwill

1,949,763

 

1,410,685

Other intangible assets, net

684,209

 

190,605

Deferred tax assets, net

1,905

 

2,728

Other assets

13,211

 

11,317

Total assets

$

4,258,530

$

2,815,283

LIABILITIES

Current liabilities:

Accounts payable

$

461,917

$

331,710

Current portion of long-term debt

38,640

23,326

Accrued liabilities

175,891

 

107,949

Short-term operating lease liabilities

54,591

 

33,492

Short-term finance lease liabilities

2,387

Total current liabilities

733,426

 

496,477

Long-term debt

1,454,483

 

683,396

Deferred tax liabilities, net

248,243

 

168,568

Long-term portion of insurance reserves

51,875

50,657

Long-term operating lease liabilities

125,339

53,749

Long-term finance lease liabilities

7,770

Other liabilities

960

 

13,642

Total liabilities

2,622,096

 

1,466,489

EQUITY

1,636,434

 

1,348,794

Total liabilities and equity

$

4,258,530

$

2,815,283

As of December 31, 

    

2021

2020

Other Financial Data

Receivable days

48

48

Inventory days

43

30

Accounts payable days

65

76

Receivables, net plus inventories, net less accounts payable

$

559,303

$

256,999

Receivables, net plus inventories, net less accounts payable as a percent of sales (TTM) †

13.3

%

9.3

%

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

NYSE:BLD

February 22, 2022

topbuild.com


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

Year Ended December 31, 

2021

2020

Cash Flows Provided by (Used in) Operating Activities:

    

    

    

Net income

$

324,016

$

247,023

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

79,390

62,410

Share-based compensation

11,316

14,752

Loss on extinguishment of debt

13,837

233

Loss (gain) on sale or abandonment of property and equipment

1,356

(88)

Amortization of debt issuance costs

2,036

1,491

Provision for bad debt expense

7,304

6,270

Loss from inventory obsolescence

2,637

2,512

Loss on foreign exchange

255

Deferred income taxes, net

(2,818)

(4,070)

Change in certain assets and liabilities

Receivables, net

(69,042)

2,612

Inventories, net

(46,518)

(11,843)

Prepaid expenses and other current assets

558

(460)

Accounts payable

54,961

16,844

Accrued liabilities

24,816

20,545

Payment of contingent consideration

(22)

(413)

Other, net

(1,057)

66

Net cash provided by operating activities

403,025

357,884

Cash Flows Provided by (Used in) Investing Activities:

Purchases of property and equipment

(55,546)

(40,938)

Acquisition of businesses, net of cash acquired

(1,267,114)

(83,408)

Proceeds from sale of property and equipment

415

2,463

Net cash used in investing activities

(1,322,245)

(121,883)

Cash Flows Provided by (Used in) Financing Activities:

Proceeds from issuance of long-term debt

1,218,750

300,000

Repayment of long-term debt

(433,070)

(324,948)

Payment of debt issuance costs

(14,965)

(2,280)

Taxes withheld and paid on employees' equity awards

(8,805)

(14,932)

Exercise of stock options

3,303

1,438

Repurchase of shares of common stock

(35,556)

(49,151)

Payment of contingent consideration

(650)

(928)

Net cash provided by (used in) financing activities

729,007

(90,801)

Impact of foreign currency on cash

(15)

Net (decrease) increase in cash and cash equivalents

(190,228)

145,200

Cash and cash equivalents- Beginning of period

 

330,007

 

184,807

Cash and cash equivalents- End of period

$

139,779

$

330,007

Supplemental disclosure of cash paid for:

Interest

$

22,144

$

30,896

Income taxes

109,179

77,689

Supplemental disclosure of noncash activities:

Leased assets obtained in exchange for new operating lease liabilities

$

131,909

$

38,646

Leased assets obtained in exchange for new finance lease liabilities

10,469

Accruals for property and equipment

1,060

645

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Segment Data (Unaudited)

(dollars in thousands)

Three Months Ended December 31, 

Year Ended December 31, 

2021

2020

Change

2021

2020

Change

Installation

Sales

$

627,123

$

508,812

23.3

%

$

2,378,401

$

1,943,461

22.4

%

Operating profit, as reported

$

105,975

$

81,657

$

383,722

$

294,793

Operating margin, as reported

16.9

%

16.0

%

16.1

%

15.2

%

Rationalization charges

866

Acquisition related costs

362

1,642

4

COVID-19 pay

363

605

1,278

Operating profit, as adjusted

$

106,337

$

82,020

$

385,969

$

296,941

Operating margin, as adjusted

17.0

%

16.1

%

16.2

%

15.3

%

Share-based compensation

270

298

1,157

1,555

Depreciation and amortization

15,227

12,146

57,815

50,265

EBITDA, as adjusted

$

121,834

$

94,464

29.0

%

$

444,941

$

348,761

27.6

%

EBITDA margin, as adjusted

19.4

%

18.6

%

18.7

%

17.9

%

Specialty Distribution

Sales

$

485,813

$

251,535

93.1

%

$

1,287,176

$

926,207

39.0

%

Operating profit, as reported

$

43,964

$

33,731

$

169,368

$

115,343

Operating margin, as reported

9.0

%

13.4

%

13.2

%

12.5

%

Rationalization charges

783

Acquisition related costs

530

530

Acquisition purchase accounting (inventory step-up)

15,853

15,853

COVID-19 pay

21

54

90

Operating profit, as adjusted

$

60,347

$

33,752

$

185,805

$

116,216

Operating margin, as adjusted

12.4

%

13.4

%

14.4

%

12.5

%

Share-based compensation

304

199

1,032

742

Depreciation and amortization

12,405

2,133

18,743

9,912

EBITDA, as adjusted

$

73,056

$

36,084

102.5

%

$

205,580

$

126,870

62.0

%

EBITDA margin, as adjusted

15.0

%

14.3

%

16.0

%

13.7

%

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Adjusted EBITDA (Unaudited)

(dollars in thousands)

Three Months Ended December 31, 

Year Ended December 31, 

2021

2020

Change

2021

2020

Change

Total net sales

Sales before eliminations

$

1,112,936

$

760,347

$

3,665,577

$

2,869,668

Intercompany eliminations

(49,538)

(38,860)

(179,370)

(151,630)

Net sales after eliminations

$

1,063,398

$

721,487

47.4

%

$

3,486,207

$

2,718,038

28.3

%

Operating profit, as reported - segments

$

149,939

$

115,388

$

553,090

$

410,136

General corporate expense, net

(22,893)

(6,174)

(47,018)

(30,785)

Intercompany eliminations

(8,603)

(6,137)

(29,653)

(24,305)

Operating profit, as reported

$

118,443

$

103,077

$

476,419

$

355,046

Operating margin, as reported

11.1

%

14.3

%

13.7

%

13.1

%

Rationalization charges

(4)

16

2,097

Acquisition related costs †

16,262

518

22,107

855

Acquisition purchase accounting (inventory step-up)

15,853

15,853

Refinancing costs

188

188

57

COVID-19 pay

384

659

1,368

Operating profit, as adjusted

$

150,746

$

103,975

$

515,242

$

359,423

Operating margin, as adjusted

14.2

%

14.4

%

14.8

%

13.2

%

Share-based compensation

2,941

2,593

11,316

14,910

Depreciation and amortization

28,385

14,883

79,390

62,410

EBITDA, as adjusted

$

182,072

$

121,451

49.9

%

$

605,948

$

436,743

38.7

%

EBITDA margin, as adjusted

17.1

%

16.8

%

17.4

%

16.1

%

Sales change period over period

341,911

768,169

EBITDA, as adjusted, change period over period

60,621

169,205

Incremental EBITDA, as adjusted, as a percentage of change in sales

17.7

%

22.0

%

† Acquisition related costs include corporate level adjustments as well as segment operating adjustments.

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Non-GAAP Reconciliations (Unaudited)

(in thousands, except share and per common share amounts)

Three Months Ended December 31, 

Year Ended December 31, 

2021

2020

2021

2020

Gross Profit Reconciliation

Net sales

$

1,063,398

$

721,487

$

3,486,207

$

2,718,038

Gross profit, as reported

$

283,161

$

198,020

$

974,389

$

746,361

Acquisition purchase accounting (inventory step-up)

15,853

15,853

Rationalization charges

1,016

COVID-19 pay

380

592

1,135

Gross profit, as adjusted

$

299,014

$

198,400

$

990,834

$

748,512

Gross margin, as reported

26.6

%

27.4

%

27.9

%

27.5

%

Gross margin, as adjusted

28.1

%

27.5

%

28.4

%

27.5

%

Sellling, General and Administrative Expense Reconciliation

Selling, general, and administrative expense, as reported

$

164,718

$

94,943

$

497,970

$

391,315

Rationalization charges

(4)

16

1,081

Acquisition related costs

16,262

518

22,107

855

Refinancing costs

188

188

57

COVID-19 pay

4

67

233

Selling, general, and administrative expense, as adjusted

$

148,268

$

94,425

$

475,592

$

389,089

Operating Profit Reconciliation

Operating profit, as reported

$

118,443

$

103,077

$

476,419

$

355,046

Rationalization charges

(4)

16

2,097

Acquisition related costs

16,262

518

22,107

855

Acquisition purchase accounting (inventory step-up)

15,853

15,853

Refinancing costs

188

188

57

COVID-19 pay

384

659

1,368

Operating profit, as adjusted

$

150,746

$

103,975

$

515,242

$

359,423

Operating margin, as reported

11.1

%

14.3

%

13.7

%

13.1

%

Operating margin, as adjusted

14.2

%

14.4

%

14.8

%

13.2

%

Income Per Common Share Reconciliation

Income before income taxes, as reported

$

107,328

$

95,417

$

433,443

$

323,090

Rationalization charges

(4)

16

2,097

Acquisition related costs

16,262

518

22,107

855

Acquisition purchase accounting (inventory step-up)

15,853

15,853

Refinancing costs and loss on extinguishment of debt

163

14,025

290

COVID-19 pay

384

659

1,368

Income before income taxes, as adjusted

139,606

96,315

486,103

327,700

Tax rate at 26.0%

(36,298)

(25,042)

(126,387)

(85,202)

Income, as adjusted

$

103,308

$

71,273

$

359,716

$

242,498

Income per common share, as adjusted

$

3.12

$

2.15

$

10.85

$

7.28

Weighted average diluted common shares outstanding

33,117,227

33,189,104

33,146,171

33,299,986

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Same Branch and Acquisition Metrics (Unaudited)

(dollars in thousands)

Three Months Ended December 31, 

Year Ended December 31, 

2021

2020

2021

2020

Net sales

Same branch:

Installation

$

570,675

$

508,812

$

2,157,011

$

1,943,461

Specialty Distribution

290,662

251,535

1,083,497

926,207

Eliminations

(49,391)

(38,860)

(177,904)

(151,630)

Total same branch

811,946

721,487

3,062,604

2,718,038

Acquisitions (a):

Installation

$

56,448

$

$

221,390

$

Specialty Distribution

195,151

203,679

Eliminations

(147)

(1,466)

Total acquisitions

251,452

423,603

Total

$

1,063,398

$

721,487

$

3,486,207

$

2,718,038

Gross profit, as adjusted

Same branch

$

238,840

$

198,400

$

889,252

$

748,512

Acquisitions (a)

60,174

101,582

Total

$

299,014

$

198,400

$

990,834

$

748,512

Gross margin, as adjusted

Same branch (b)

29.4

%

27.5

%

29.0

%

27.5

%

Acquisitions (c)

23.9

%

24.0

%

Operating profit, as adjusted

Same branch

$

135,595

$

103,975

$

484,085

$

359,423

Acquisitions (a)

15,151

31,157

Total

$

150,746

$

103,975

$

515,242

$

359,423

Operating margin, as adjusted

Same branch (b)

16.7

%

14.4

%

15.8

%

13.2

%

Acquisitions (c)

6.0

%

7.4

%

EBITDA, as adjusted

Same branch

$

154,051

$

121,451

$

554,379

$

436,743

Acquisitions (a)

28,021

51,569

Total

$

182,072

$

121,451

$

605,948

$

436,743

EBITDA, as adjusted, as a percentage of sales

Same branch (b)

19.0

%

18.1

%

Acquisitions (c)

11.1

%

12.2

%

Total (d)

17.1

%

16.8

%

17.4

%

16.1

%

As Adjusted Incremental EBITDA, as a percentage of change in sales

Same branch (e)

36.0

%

34.1

%

Acquisitions (c)

11.1

%

12.2

%

Total (f)

17.7

%

22.0

%


(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

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Reconciliation of Adjusted EBITDA to Net Income (Unaudited)

(in thousands)

Three Months Ended December 31, 

Year Ended December 31, 

2021

2020

2021

2020

Net income, as reported

$

78,360

$

70,757

$

324,016

$

247,023

Adjustments to arrive at EBITDA, as adjusted:

Interest expense and other, net

11,140

7,660

29,139

31,723

Income tax expense

28,968

24,660

109,427

76,067

Depreciation and amortization

28,385

14,883

79,390

62,410

Share-based compensation

2,941

2,593

11,316

14,910

Rationalization charges

(4)

16

2,097

Acquisition related costs

16,262

518

22,107

855

Acquisition purchase accounting (inventory step-up)

15,853

15,853

Refinancing costs and loss on extinguishment of debt

163

14,025

290

COVID-19 pay

384

659

1,368

EBITDA, as adjusted

$

182,072

$

121,451

$

605,948

$

436,743

Proforma acquisition EBITDA (a)

73,898

Proforma TTM EBITDA, as adjusted

$

679,846

(a) Represents the trailing twelve months proforma impact of acquisitions completed in 2021.

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

Acquisition Adjusted Net Sales (Unaudited)

(in thousands)

2021

Year Ended

Q1

    

Q2

    

Q3

    

Q4

    

December 31, 2021

Net Sales

$

742,798

$

834,255

$

845,757

$

1,063,398

$

3,486,207

Acquisitions proforma adjustment †

230,581

218,855

227,621

45,291

722,348

Net sales, acquisition adjusted

$

973,379

$

1,053,110

$

1,073,378

$

1,108,688

$

4,208,555

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

NYSE:BLD

February 22, 2022

topbuild.com


TopBuild Corp.

2022 Estimated Adjusted EBITDA Range (Unaudited)
(in millions)

Twelve Months Ending December 31, 2022

Low

High

Estimated net income

$

423.0

470.1

Adjustments to arrive at estimated EBITDA, as adjusted:

Interest expense and other, net

50.3

46.2

Income tax expense

148.6

165.2

Depreciation and amortization

126.4

121.3

Share-based compensation

13.7

11.2

Acquisition related costs

8.0

6.0

Estimated EBITDA, as adjusted

$

770.0

$

820.0

NYSE:BLD

February 22, 2022

topbuild.com