UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
May 5, 2017
Date of Report (Date of earliest event reported)
Installed Building Products, Inc.
(Exact name of registrant as specified in its charter)
| Delaware | 001-36307 | 45-3707650 | ||
| (State or other jurisdiction of incorporation) |
(Commission File No.) |
(I.R.S. employer identification number) |
495 South High Street, Suite 50
Columbus, Ohio 43215
(Address of principal executive offices, including zip code)
(614) 221-3399
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions (see General Instructions A.2. below):
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 2.02 | Results of Operations and Financial Condition. |
On May 5, 2017, Installed Building Products, Inc. (the “Company”) issued a press release reporting the financial results for the three months ended March 31, 2017. The full text of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
The information contained in this Item 2.02, including Exhibit 99.1 attached hereto, is being furnished and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. Furthermore, the information contained in this Item 2.02, including Exhibit 99.1 attached hereto, shall not be deemed to be incorporated by reference into any registration statement or other document filed with the Securities and Exchange Commission, except as shall be expressly set forth by specific reference in such filing.
| Item 7.01 | Regulation FD. |
One or more representatives of the Company will meet with certain current and prospective investors during the second quarter of 2017. The materials used in connection with these meetings have been posted on the Company’s website (www.installeduildingproducts.com) under the Investor Relations section.
The information contained in this Item 7.01 is being furnished and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. Furthermore, the information contained in this Item 7.01 shall not be deemed to be incorporated by reference into any registration statement or other document filed with the Securities and Exchange Commission, except as shall be expressly set forth by specific reference in such filing.
| Item 9.01 | Financial Statements and Exhibits. |
(d) Exhibits.
| Exhibit Number |
Description | |
| 99.1 | Press Release, dated May 5, 2017, announcing results for the three months ended March 31, 2017. | |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| INSTALLED BUILDING PRODUCTS, INC. | ||||
| Date: May 5, 2017 | By: | /s/ Michael T. Miller | ||
| Executive Vice President and | ||||
| Chief Financial Officer | ||||
EXHIBIT INDEX
| Exhibit Number |
Description | |
| 99.1 | Press Release, dated May 5, 2017, announcing results for the three months ended March 31, 2017. | |
Exhibit 99.1
INSTALLED BUILDING PRODUCTS REPORTS RESULTS
FOR FIRST QUARTER 2017
Columbus, Ohio, May 5, 2017. Installed Building Products, Inc. (the “Company” or “IBP”) (NYSE:IBP), an industry-leading installer of insulation and complementary building products, announced today results for the first quarter ended March 31, 2017.
First Quarter 2017 Highlights
| • | Net revenue increased 33.4% to $255.7 million |
| • | Net income improved 9.5% to $6.4 million |
| • | Adjusted EBITDA* increased 36.4% to $26.3 million |
| • | Net income per diluted share increased 5.3% to $0.20 |
| • | Adjusted net income per diluted share* increased 34.6% to $0.35 |
| • | In January 2017, closed the acquisition of Trilok Industries, Inc., Alpha Insulation and Waterproofing, Inc., and Alpha Insulation and Waterproofing Company, a provider of waterproofing, insulation, fireproofing, and fire stopping services to commercial contractors with nine locations throughout the southern U.S., and 2016 revenues of approximately $106 million |
| • | In January 2017, acquired Arctic Express Insulation, LLC, an insulation installer located in Corpus Christi, Texas with $1.6 million in trailing twelve month revenue |
| • | In March 2017, acquired Atlanta, Georgia based Custom Glass Atlanta, Inc. and Atlanta Commercial Glazing, Inc. with combined 2016 revenues of $11 million |
Recent Developments
| • | In April 2017, refinanced borrowings and closed a $300 million Term Loan B facility and $100 million ABL Revolving Credit facility |
| • | In April 2017, acquired Minneapolis, Minnesota based Horizon Electric Company with 2016 revenues of $1.2 million |
| • | In May 2017, acquired Sanford, Florida based Legacy & Glass, LLC., with 2016 revenues of $5.4 million |
“The year is off to an excellent start, driven by strong first quarter operating and financial results,” stated Jeff Edwards, Chairman and Chief Executive Officer. “The 2017 first quarter is more in line with historical seasonal trends than we experienced in the first quarter of 2016, as our sales and margins are consistent with our expectations for a typical first quarter. As the year progresses, we expect this normal seasonality to continue, helping drive further improvements in sales and profitability.
“The 2017 first quarter also represents the first quarter contribution of the Alpha Insulation and Waterproofing acquisition, which we successfully closed and began integrating into our operations in January. Alpha has exceeded our initial expectations helping drive a significant increase in acquired revenues, while improving the company’s margins from acquired businesses. I am encouraged by the strong start to the year and expect 2017 will be another record year as we are positioned to achieve over $1.0 billion in revenues,” concluded Mr. Edwards.
1
First Quarter 2017 Results Overview
For the first quarter of 2017, net revenue was $255.7 million, an increase of 33.4% from $191.7 million in the first quarter of 2016. On a same branch basis, net revenue improved 8.7% from the prior year quarter, with approximately 54% of the increase attributable to growth in the number of completed jobs, and the remainder achieved through price gains and more favorable customer and product mix. During the last twelve months, same branch new residential sales have increased 11.4% compared to growth in U.S. housing completions of 7.7%.
Gross profit improved 32.2% to $72.2 million from $54.6 million in the prior year quarter. Gross margin was 28.2% versus 28.5% in the prior year as a result of a return to a more normal seasonal mix of installation services. Selling, general and administrative expense, as a percentage of net revenue, was 20.8% compared to 21.7% in the prior year.
Net income was $6.4 million, or $0.20 per diluted share, compared to $5.8 million, or $0.19 per diluted share in the prior year quarter. Adjusted net income was $11.1 million, or $0.35 per diluted share, compared to $8.1 million, or $0.26 per diluted share in the prior year quarter. Adjusted net income adjusts for the impact of non-core items in both periods, and includes an addback for non-cash amortization expense related to acquisitions.
Adjusted EBITDA was $26.3 million, a 36.4% increase from $19.3 million in the prior year quarter, largely due to higher sales and operating leverage. Adjusted EBITDA, as a percentage of net revenue, increased 20 basis points to 10.3%, compared to 10.1% in the prior year quarter.
Conference Call and Webcast
The Company will host a conference call and webcast on Friday May 5, 2017 at 10:00 a.m. Eastern Time to discuss these results. To participate in the call, please dial 877-407-0792 (domestic) or 201-689-8263 (international). The live webcast will be available at www.installedbuildingproducts.com in the investor relations section. A replay of the conference call will be available through June 5, 2017, by dialing 844-512-2921 (domestic) or 412-317-6671 (international).
About Installed Building Products
Installed Building Products, Inc. is the nation’s second largest insulation installer for the residential new construction market and also a diversified installer of complementary building products, including waterproofing, fire-stopping and fireproofing, garage doors, rain gutters, shower doors, closet shelving and mirrors, throughout the United States. The Company manages all aspects of the installation process for its customers, including direct purchases of materials from national manufacturers, supply of materials to job sites and quality installation. The Company offers its diverse portfolio of services for new and existing single-family and multifamily residential, and commercial building projects from its national network of branch locations.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws, including with respect to our financial model and seasonality, demand for our services, expansion of our national footprint, our ability to capitalize on the new home construction recovery, our ability to strengthen our market position, our ability to pursue and integrate value-enhancing acquisitions, the impact of Alpha on our revenue and profitability, our ability to improve sales and profitability, and expectations for demand for our services for the remainder of 2017. Forward-looking statements may generally be identified by the
2
use of words such as “anticipate,” “believe,” “expect,” “intends,” “plan,” and “will” or, in each case, their negative, or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Any forward-looking statements that we make herein and in any future reports and statements are not guarantees of future performance, and actual results may differ materially from those expressed in or suggested by such forward-looking statements as a result of various factors, including, without limitation, the factors discussed in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2016, as the same may be updated from time to time in our subsequent filings with the Securities and Exchange Commission. Any forward-looking statement made by the Company in this press release speaks only as of the date hereof. New risks and uncertainties arise from time to time, and it is impossible for the Company to predict these events or how they may affect it. The Company has no obligation, and does not intend, to update any forward-looking statements after the date hereof, except as required by federal securities laws.
*Use of Non-GAAP Financial Measures
In addition to the financial measures prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), this press release contains the non-GAAP financial measures of Adjusted EBITDA, Adjusted EBITDA margin (i.e., Adjusted EBITDA divided by net revenue), Adjusted Net Income and Adjusted Net Income per diluted share. The reasons for the use of these measures of Adjusted EBITDA and Adjusted Net Income, reconciliations of Adjusted EBITDA, Adjusted Net Income and Adjusted Net Income per diluted share to the most directly comparable GAAP measures and other information relating to these measures are included below following the unaudited condensed consolidated financial statements. Non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation or as a substitute for IBP’s financial results prepared in accordance with GAAP.
Contact Information:
Investor Relations:
614-221-9944
investorrelations@installed.net
3
INSTALLED BUILDING PRODUCTS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited, in thousands, except share and per share amounts)
| Three months ended March 31, | ||||||||
| 2017 | 2016 | |||||||
| Net revenue |
$ | 255,669 | $ | 191,698 | ||||
| Cost of sales |
183,497 | 137,107 | ||||||
|
|
|
|
|
|||||
| Gross profit |
72,172 | 54,591 | ||||||
| Operating expenses |
||||||||
| Selling |
14,026 | 11,251 | ||||||
| Administrative |
39,261 | 30,283 | ||||||
| Amortization |
6,416 | 2,479 | ||||||
|
|
|
|
|
|||||
| Operating income |
12,469 | 10,578 | ||||||
| Other expense |
||||||||
| Interest expense |
2,170 | 1,553 | ||||||
| Other |
152 | 104 | ||||||
|
|
|
|
|
|||||
| Income before income taxes |
10,147 | 8,921 | ||||||
| Income tax provision |
3,783 | 3,108 | ||||||
|
|
|
|
|
|||||
| Net income |
$ | 6,364 | $ | 5,813 | ||||
|
|
|
|
|
|||||
| Basic and diluted net income per share |
$ | 0.20 | $ | 0.19 | ||||
|
|
|
|
|
|||||
| Weighted average shares outstanding: |
||||||||
| Basic |
31,590,478 | 31,242,237 | ||||||
| Diluted |
31,687,056 | 31,330,971 | ||||||
4
INSTALLED BUILDING PRODUCTS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited, in thousands, except share and per share amounts)
| March 31, | December 31, | |||||||
| 2017 | 2016 | |||||||
| ASSETS |
||||||||
| Current assets |
||||||||
| Cash |
$ | 24,607 | $ | 14,482 | ||||
| Accounts receivable (less allowance for doubtful accounts of $4,512 and $3,397 at March 31, 2017 and December 31, 2016, respectively) |
161,936 | 128,466 | ||||||
| Inventories |
43,661 | 40,229 | ||||||
| Other current assets |
15,868 | 9,214 | ||||||
|
|
|
|
|
|||||
| Total current assets |
246,072 | 192,391 | ||||||
| Property and equipment, net |
71,530 | 67,788 | ||||||
| Non-current assets |
||||||||
| Goodwill |
144,244 | 107,086 | ||||||
| Intangibles, net |
139,197 | 86,317 | ||||||
| Other non-current assets |
8,955 | 8,513 | ||||||
|
|
|
|
|
|||||
| Total non-current assets |
292,396 | 201,916 | ||||||
|
|
|
|
|
|||||
| Total assets |
$ | 609,998 | $ | 462,095 | ||||
|
|
|
|
|
|||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY |
||||||||
| Current liabilities |
||||||||
| Current maturities of long-term debt |
$ | 27,350 | $ | 17,192 | ||||
| Current maturities of capital lease obligations |
6,484 | 6,929 | ||||||
| Accounts payable |
76,223 | 67,921 | ||||||
| Accrued compensation |
17,879 | 18,212 | ||||||
| Other current liabilities |
26,866 | 19,851 | ||||||
|
|
|
|
|
|||||
| Total current liabilities |
154,802 | 130,105 | ||||||
| Long-term debt |
236,827 | 134,235 | ||||||
| Capital lease obligations, less current maturities |
7,671 | 8,364 | ||||||
| Deferred income taxes |
14,007 | 14,239 | ||||||
| Other long-term liabilities |
25,065 | 21,175 | ||||||
|
|
|
|
|
|||||
| Total liabilities |
438,372 | 308,118 | ||||||
| Commitments and contingencies |
||||||||
| Stockholders’ equity |
||||||||
| Preferred Stock; $0.01 par value: 5,000,000 authorized and 0 shares issued and outstanding at March 31, 2017 and December 31, 2016, respectively |
— | — | ||||||
| Common Stock; $0.01 par value: 100,000,000 authorized, 32,417,753 and 32,135,176 issued and 31,765,959 and 31,484,774 shares outstanding at March 31, 2017 and December 31, 2016, respectively |
324 | 321 | ||||||
| Additional paid in capital |
169,917 | 158,581 | ||||||
| Retained earnings |
13,658 | 7,294 | ||||||
| Treasury Stock; at cost: 651,794 and 650,402 shares at March 31, 2017 and December 31, 2016, respectively |
(12,273 | ) | (12,219 | ) | ||||
|
|
|
|
|
|||||
| Total stockholders’ equity |
171,626 | 153,977 | ||||||
|
|
|
|
|
|||||
| Total liabilities and stockholders’ equity |
$ | 609,998 | $ | 462,095 | ||||
|
|
|
|
|
|||||
5
INSTALLED BUILDING PRODUCTS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited, in thousands)
| Three Months Ended March 31, | ||||||||
| 2017 | 2016 | |||||||
| Cash flows from operating activities |
||||||||
| Net income |
$ | 6,364 | $ | 5,813 | ||||
| Adjustments to reconcile net income to net cash provided by operating activities |
||||||||
| Depreciation and amortization of property and equipment |
6,552 | 5,443 | ||||||
| Amortization of intangibles |
6,416 | 2,479 | ||||||
| Amortization of deferred financing costs and debt discount |
102 | 77 | ||||||
| Provision for doubtful accounts |
1,231 | 521 | ||||||
| Write-off of debt issuance costs |
— | 286 | ||||||
| Gain on sale of property and equipment |
(107 | ) | (79 | ) | ||||
| Noncash stock compensation |
480 | 536 | ||||||
| Deferred income taxes |
— | 708 | ||||||
| Changes in assets and liabilities, excluding effects of acquisitions |
||||||||
| Accounts receivable |
(3,200 | ) | (3,045 | ) | ||||
| Inventories |
(894 | ) | (1,364 | ) | ||||
| Other assets |
(722 | ) | 1,619 | |||||
| Accounts payable |
(1,781 | ) | 3,557 | |||||
| Income taxes payable/receivable |
3,106 | 284 | ||||||
| Other liabilities |
(1,873 | ) | 2,992 | |||||
|
|
|
|
|
|||||
| Net cash provided by operating activities |
15,674 | 19,827 | ||||||
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|
|||||
| Cash flows from investing activities |
||||||||
| Purchases of property and equipment |
(7,776 | ) | (6,503 | ) | ||||
| Acquisitions of businesses, net of cash acquired of $247 and $0, respectively |
(106,873 | ) | (8,797 | ) | ||||
| Proceeds from sale of property and equipment |
203 | 190 | ||||||
| Other |
(550 | ) | — | |||||
|
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|
|
|
|||||
| Net cash used in investing activities |
(114,996 | ) | (15,110 | ) | ||||
|
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|
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| Cash flows from financing activities |
||||||||
| Proceeds from term loan under credit agreement applicable to respective period |
— | 100,000 | ||||||
| Payments on term loan under credit agreement applicable to respective period |
(1,250 | ) | (48,125 | ) | ||||
| Proceeds from delayed draw term loan under credit agreement applicable to respective period |
112,500 | — | ||||||
| Payments on delayed draw term loan under credit agreement applicable to respective period |
— | (50,000 | ) | |||||
| Proceeds from vehicle and equipment notes payable |
4,331 | 4,933 | ||||||
| Debt issuance costs |
(833 | ) | (1,228 | ) | ||||
| Principal payments on long term debt |
(2,117 | ) | (1,119 | ) | ||||
| Principal payments on capital lease obligations |
(1,882 | ) | (2,348 | ) | ||||
| Acquisition-related obligations |
(1,248 | ) | (1,112 | ) | ||||
| Surrender of common stock awards by employees |
(54 | ) | (836 | ) | ||||
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|
|
|||||
| Net cash provided by financing activities |
109,447 | 165 | ||||||
|
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|
|
|
|||||
| Net change in cash |
10,125 | 4,882 | ||||||
| Cash at beginning of period |
14,482 | 6,818 | ||||||
|
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|
|
|||||
| Cash at end of period |
$ | 24,607 | $ | 11,700 | ||||
|
|
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|
|
|||||
| Supplemental disclosures of cash flow information |
||||||||
| Net cash paid during the period for: |
||||||||
| Interest |
$ | 2,044 | $ | 1,155 | ||||
| Income taxes, net of refunds |
650 | 2,398 | ||||||
| Supplemental disclosure of noncash investing and financing activities |
||||||||
| Common stock issued for acquisition of business |
10,859 | — | ||||||
| Vehicles capitalized under capital leases and related lease obligations |
816 | 1,247 | ||||||
| Seller obligations in connection with acquisition of businesses |
2,503 | 1,052 | ||||||
| Unpaid purchases of property and equipment included in accounts payable |
609 | — | ||||||
6
Non-GAAP Financial Measures
Adjusted EBITDA, Adjusted EBITDA margin and Adjusted Net Income measure performance by adjusting EBITDA and GAAP net income, respectively, for certain income or expense items that are not considered part of our core operations. We believe that the presentation of these measures provides useful information to investors regarding our results of operations because it assists both investors and us in analyzing and benchmarking the performance and value of our business.
We believe the Adjusted EBITDA measure is useful to investors and us as a measure of comparative operating performance from period to period as it measures our changes in pricing decisions, cost controls and other factors that impact operating performance, and removes the effect of our capital structure (primarily interest expense), asset base (primarily depreciation and amortization), items outside our control (primarily income taxes) and the volatility related to the timing and extent of other activities such as asset impairments and non-core income and expenses. Accordingly, we believe that this measure is useful for comparing general operating performance from period to period. In addition, we use various EBITDA-based measures in determining the achievement of awards under certain of our incentive compensation programs. Other companies may define Adjusted EBITDA differently and, as a result, our measure may not be directly comparable to measures of other companies. In addition, Adjusted EBITDA may be defined differently for purposes of covenants contained in our revolving credit facility or any future facility.
Although we use the Adjusted EBITDA measure to assess the performance of our business, the use of the measure is limited because it does not include certain material expenses, such as interest and taxes, necessary to operate our business. Adjusted EBITDA should be considered in addition to, and not as a substitute for, GAAP net (loss) income as a measure of performance. Our presentation of this measure should not be construed as an indication that our future results will be unaffected by unusual or non-recurring items. This measure has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of our results as reported under GAAP. Because of these limitations, this measure is not intended as an alternative to net (loss) income as an indicator of our operating performance, as an alternative to any other measure of performance in conformity with GAAP or as an alternative to cash flow (used in) provided by operating activities as a measure of liquidity. You should therefore not place undue reliance on this measure or ratios calculated using this measure.
We also believe the Adjusted Net Income measure is useful to investors and us as a measure of comparative operating performance from period to period as it measures our changes in pricing decisions, cost controls and other factors that impact operating performance, and removes the effect of certain non-core items such as discontinued operations, acquisition related expenses, amortization expense, the tax impact of these certain non-core items, and the volatility related to the timing and extent of other activities such as asset impairments and non-core income and expenses. To make the financial presentation more consistent with other public building products companies, beginning in the fourth quarter 2016 we included an addback for non-cash amortization expense related to acquisitions. Accordingly, we believe that this measure is useful for comparing general operating performance from period to period. Other companies may define Adjusted Net Income differently and, as a result, our measure may not be directly comparable to measures of other companies. In addition, Adjusted Net Income may be defined differently for purposes of covenants contained in our revolving credit facility or any future facility.
7
INSTALLED BUILDING PRODUCTS, INC.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
ADJUSTED NET INCOME CALCULATIONS
(unaudited, in thousands, except share and per share amounts)
The table below reconciles Adjusted Net Income to the most directly comparable GAAP financial measure, net income, for the periods presented therein.
Per share figures may reflect rounding adjustments and consequently totals may not appear to sum.
| Three months ended March 31, | ||||||||
| 2017 | 2016 | |||||||
| Net income, as reported |
$ | 6,364 | $ | 5,813 | ||||
| Adjustments for adjusted net income: |
||||||||
| Write-off of capitalized loan costs |
— | 286 | ||||||
| Share based compensation expense |
480 | 536 | ||||||
| Acquisition related expenses |
553 | 363 | ||||||
| Amortization expense 1 |
6,416 | 2,479 | ||||||
| Tax impact of adjusted items at normalized tax rate 2 |
(2,756 | ) | (1,356 | ) | ||||
|
|
|
|
|
|||||
| Adjusted net income |
$ | 11,057 | $ | 8,121 | ||||
|
|
|
|
|
|||||
| Weighted average shares outstanding (diluted) |
31,687,056 | 31,330,971 | ||||||
| Diluted net income per share, as reported |
$ | 0.20 | $ | 0.19 | ||||
| Adjustments for adjusted net income, net of tax impact, per diluted share 3 |
0.15 | 0.07 | ||||||
|
|
|
|
|
|||||
| Diluted adjusted net income per share |
$ | 0.35 | $ | 0.26 | ||||
|
|
|
|
|
|||||
| 1 | Addback of all non-cash amortization resulting from business combinations |
| 2 | Normalized tax rate of 37.0% applied to each period in 2017 and 2016 |
| 3 | Includes adjustments related to the items noted above, net of tax |
8
The table below reconciles Adjusted EBITDA to the most directly comparable GAAP financial measure, net income, for the periods presented therein.
Reconciliation of GAAP to Non-GAAP Measures
Adjusted EBITDA Calculations
(unaudited, in thousands)
| Three months ended March 31, | ||||||||
| 2017 | 2016 | |||||||
| Adjusted EBITDA: |
||||||||
| Net income (GAAP) |
$ | 6,364 | $ | 5,813 | ||||
| Interest expense |
2,170 | 1,553 | ||||||
| Provision for income taxes |
3,783 | 3,108 | ||||||
| Depreciation and amortization |
12,968 | 7,921 | ||||||
|
|
|
|
|
|||||
| EBITDA |
25,285 | 18,395 | ||||||
|
|
|
|
|
|||||
| Acquisition related expenses |
553 | 363 | ||||||
| Share based compensation expense |
480 | 536 | ||||||
|
|
|
|
|
|||||
| Adjusted EBITDA |
$ | 26,318 | $ | 19,294 | ||||
|
|
|
|
|
|||||
| Adjusted EBITDA margin |
10.3 | % | 10.1 | % | ||||
Installed Building Products, Inc.
Supplementary Table
(unaudited)
| Three months ended March 31, | ||||||||
| 2017 | 2016 | |||||||
| Period-over-period Growth |
||||||||
| Sales Growth |
33.4 | % | 47.5 | % | ||||
| Same Branch Sales Growth |
8.7 | % | 26.1 | % | ||||
| Single-Family Sales Growth |
14.4 | % | 47.9 | % | ||||
| Single-Family Same Branch Sales Growth |
4.4 | % | 27.8 | % | ||||
| Residential Sales Growth |
23.5 | % | 48.2 | % | ||||
| Residential Same Branch Sales Growth |
8.0 | % | 26.6 | % | ||||
| U.S. Housing Market 1 |
||||||||
| Total Completions Growth |
10.7 | % | 20.3 | % | ||||
| Single-Family Completions Growth |
10.9 | % | 16.5 | % | ||||
| Same Branch Sales Growth |
||||||||
| Volume Growth |
4.7 | % | 13.8 | % | ||||
| Price/Mix Growth |
4.0 | % | 12.3 | % | ||||
| 1 | U.S. Census Bureau data, as revised |
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Installed Building Products, Inc.
Components of Increase in Revenue and Adjusted EBITDA
(unaudited, in thousands)
| Three months ended March 31, | ||||||||||||||||
| 2017 | % Total | 2016 | % Total | |||||||||||||
| Revenue Increase |
||||||||||||||||
| Same Branch |
$ | 16,683 | 26.1 | % | $ | 33,949 | 55.0 | % | ||||||||
| Acquired |
47,288 | 73.9 | % | 27,801 | 45.0 | % | ||||||||||
|
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|
|
|
|
|
|||||||||
| Total |
$ | 63,971 | 100.0 | % | $ | 61,750 | 100.0 | % | ||||||||
| Adj EBITDA Contribution |
Adj EBITDA Contribution |
|||||||||||||||
| Adjusted EBITDA |
||||||||||||||||
| Same Branch |
$ | 196 | 1.2 | % | $ | 8,617 | 25.4 | % | ||||||||
| Acquired |
6,828 | 14.4 | % | 3,104 | 11.2 | % | ||||||||||
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|
|
|
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|
|
|||||||||
| Total |
$ | 7,024 | 11.0 | % | $ | 11,721 | 19.0 | % | ||||||||
Source: Installed Building Products, Inc.
Contact Information:
Investor Relations:
614-221-9944
investorrelations@installed.net
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