Builders FirstSource Q2 Earnings: EPS $1.66, Revenue $4.2B, Misses Expectations
ByAinvest
Thursday, Jul 31, 2025 7:07 am ET1min read
BLDR--
The company's gross profit margin decreased by 210 basis points to 30.7%, driven by Single- and Multi-Family margin normalization and a below-normal starts environment. Adjusted EBITDA decreased 24.4% to $506.1 million, and the adjusted EBITDA margin declined by 300 basis points to 12.0%. Cash provided by operating activities was $341.0 million, a decrease of $111.0 million compared to the prior year period. Free cash flow was $255.0 million, a decrease of 30.5% compared to $366.7 million in the prior year period [2].
Builders FirstSource repurchased 3.3 million shares of common stock at an average price of $118.27 for $390.9 million, inclusive of applicable fees and taxes. The company's CEO, Peter Jackson, commented on the results, highlighting the company's commitment to execution and investments in value-added solutions, digital capabilities, and operational efficiency. The CFO, Pete Beckmann, emphasized the company's strong free cash flow and disciplined capital deployment [3].
For the full year 2025, Builders FirstSource expects net sales to be in a range of $14.8 billion to $15.6 billion, with an adjusted EBITDA margin of 10.1% to 10.9%. The company also expects free cash flow in the range of $0.8 billion to $1.0 billion, assuming average commodity prices in the range of $375 to $425 per thousand board foot (mbf) [1].
References:
[1] https://seekingalpha.com/news/4475385-builders-firstsource-gaap-eps-of-1_66-misses-by-0_26-revenue-of-4_2b-misses-by-80m
[2] https://seekingalpha.com/news/4474711-builders-firstsource-q2-2025-earnings-preview
[3] https://www.stocktitan.net/news/BLDR/builders-first-source-reports-second-quarter-2025-ig18n2f03tbu.html
Builders FirstSource reported Q2 GAAP EPS of $1.66, missing estimates by $0.26. Revenue of $4.2B was down 6.7% Y/Y and missed estimates by $80M. Net sales decreased 5.0% due to lower core organic sales and commodity deflation, partially offset by growth from acquisitions.
Builders FirstSource, Inc. (NYSE: BLDR) reported its second-quarter (Q2) 2025 financial results on July 31, 2025. The company's GAAP EPS of $1.66 missed estimates by $0.26, while revenue of $4.2 billion fell 6.7% year-over-year (Y/Y) and missed estimates by $80 million. Net sales decreased 5.0% due to lower core organic sales and commodity deflation, partially offset by growth from acquisitions [1].The company's gross profit margin decreased by 210 basis points to 30.7%, driven by Single- and Multi-Family margin normalization and a below-normal starts environment. Adjusted EBITDA decreased 24.4% to $506.1 million, and the adjusted EBITDA margin declined by 300 basis points to 12.0%. Cash provided by operating activities was $341.0 million, a decrease of $111.0 million compared to the prior year period. Free cash flow was $255.0 million, a decrease of 30.5% compared to $366.7 million in the prior year period [2].
Builders FirstSource repurchased 3.3 million shares of common stock at an average price of $118.27 for $390.9 million, inclusive of applicable fees and taxes. The company's CEO, Peter Jackson, commented on the results, highlighting the company's commitment to execution and investments in value-added solutions, digital capabilities, and operational efficiency. The CFO, Pete Beckmann, emphasized the company's strong free cash flow and disciplined capital deployment [3].
For the full year 2025, Builders FirstSource expects net sales to be in a range of $14.8 billion to $15.6 billion, with an adjusted EBITDA margin of 10.1% to 10.9%. The company also expects free cash flow in the range of $0.8 billion to $1.0 billion, assuming average commodity prices in the range of $375 to $425 per thousand board foot (mbf) [1].
References:
[1] https://seekingalpha.com/news/4475385-builders-firstsource-gaap-eps-of-1_66-misses-by-0_26-revenue-of-4_2b-misses-by-80m
[2] https://seekingalpha.com/news/4474711-builders-firstsource-q2-2025-earnings-preview
[3] https://www.stocktitan.net/news/BLDR/builders-first-source-reports-second-quarter-2025-ig18n2f03tbu.html
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