Installed Building Products, Inc. has recently released its 10-Q report, providing a detailed look into its financial performance and operations. The company, founded in 1977 and based in Columbus, Ohio, is one of the nation's largest insulation installers for residential new construction and also offers a diverse range of complementary building products across the United States. It operates through three segments: Installation, Distribution, and Manufacturing Operations, serving both residential and commercial builders.
In the third quarter of 2025, Installed Building Products reported a 2.3% increase in net revenue to $778.2 million, with a gross profit increase of 2.9% to $264.2 million compared to the same period in 2024. The rise in net revenue was primarily driven by an 11.7% increase in commercial end market same branch sales growth and contributions from recent acquisitions, partially offset by a decline in installation job volume and sales decreases in the residential end markets. The company's gross profit outpaced sales growth due to higher selling prices and improved material costs.
As of September 30, 2025, Installed Building Products had $333.3 million in cash and cash equivalents and had not drawn on its revolving line of credit. The company returned capital to shareholders by increasing its regular quarterly dividend by 6% over the third quarter of 2024 to $0.37 per share, totaling $10.1 million, and repurchased $51.5 million of its outstanding common stock during the same period, resulting in a total capital return to shareholders of $61.6 million.
Installed Building Products utilizes various key performance metrics to evaluate its results, including total sales growth, same branch growth metrics, and sales growth by end market. The company closely monitors its gross profit percentage to evaluate labor efficiency and success in passing increasing material costs to customers.
The report also delves into the company's operating expenses, interest expense, income tax provision, and other comprehensive loss, providing a comprehensive overview of its financial condition and results of operations.
The market has reacted to these announcements by moving the company's shares 5.5% to a price of $251.115. For the full picture, make sure to review Installed Building Products's 10-Q report.
