IBPNYSEGeneral Bldg Contractors - Residential BldgsUS GAAP · USD

Installed Building Products, Inc.

Installed Building Products, Inc. installs insulation and a range of complementary building products for residential and commercial construction projects across the continental United States. The company operates through a national branch network and also runs regional distribution businesses and cellulose manufacturing facilities, with growth shaped by acquisitions and cross-selling across end markets.

Revenue2,971m USD
+1.0 %y/y
Operating profit (EBIT)386m USD
+1.0 %y/y
EBIT margin13.0%
+0.0 ppy/y
Net income265m USD
+3.4 %y/y
Free cash flow301m USD
+19.6 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

01,0002,0003,000m USD2020: 1,653 m USD2020: EBIT 162 m USD20202021: 1,969 m USD2021: EBIT 188 m USD20212022: 2,670 m USD2022: EBIT 345 m USD20222023: 2,779 m USD2023: EBIT 369 m USD20232024: 2,941 m USD2024: EBIT 383 m USD20242025: 2,971 m USD2025: EBIT 386 m USD20252,971386
RevenueOperating profit (EBIT)

Business

Share of revenue
Installation services93 %

Service-based installation of insulation and complementary building products across residential, multi-family and commercial projects.

Distribution4 %

Regional distribution of building products serving selected U.S. regions and supporting the installation network.

Manufacturing3 %

Cellulose insulation manufacturing that supplies internal operations and external customers.

Products

Reported · share of revenue
57.5%16.1%FY2025100 %
  • Insulation57.5 %
  • Shower Doors Shelving and Mirrors7.4 %
  • Other Product Installation7.0 %
  • Other Building Products6.2 %
  • Garage Doors5.8 %
  • Other16.1 %

Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

IBP sells primarily to homebuilders, including national, regional and local single-family builders, as well as multi-family developers and commercial contractors. It also serves repair and remodeling contractors and, indirectly, homeowners through those channels, with repeat business driven by installation quality, timeliness and local relationships.

Single-family homebuilders

They buy insulation and related installation services for new homes because IBP can deliver at scale across many local markets.

Multi-family developers

They buy installation services for apartment and condo projects, often as a counterbalance to softer single-family demand.

Commercial builders and owners

They buy fire-stopping, fireproofing, insulation and other installed products for longer-duration projects.

Repair and remodel contractors

They buy complementary products and installation services for existing-home projects and smaller jobs.

National and regional builder accounts

They buy across multiple branches and product lines because IBP can service them nationally with one vendor relationship.

Strategy

IBP’s strategy is to use its national branch network, acquisition platform and cross-selling capabilities to grow beyond insulation into a broader installed-products platform. Management is also prioritizing profitability over volume, using pricing, product mix and cost control to protect margins when residential volumes soften.

Acquire and integrate local installersMedium term

Acquisitions have been a core growth engine and expand market coverage and product breadth.

Increase cross-selling of complementary productsShort term

Selling multiple products to the same customer improves revenue per branch and reduces dependence on insulation volumes.

Grow commercial and repair/remodel exposureMedium term

These end markets diversify the business away from single-family housing cycles and can improve revenue visibility.

Geography

IBP operates across all 48 continental U.S. states and the District of Columbia from more than 250 branch locations, so its business is broadly diversified rather than concentrated in one state or metro area. It also has regional distribution operations in the Midwest, Mountain West, Northeast and Mid-Atlantic, which helps support local service density and logistics efficiency.

Risks

IBP is highly exposed to housing starts, interest rates, affordability and local construction cycles, so demand can weaken quickly when residential activity slows. The company also faces supplier concentration, labor availability, seasonality and cybersecurity risks, while its acquisition-led model adds integration and execution risk.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Residential housing cycle exposure1Supplier concentration and material shortages2Labor availability and productivity3Cybersecurity and systems disruption4Acquisition integration risk5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Residential housing cycle exposureImpact: HighLikelihood: Medium

    A large portion of revenue comes from new residential construction, which is cyclical and rate-sensitive.

    ExposureNew home startsAffordabilityMortgage ratesHousing inventory
  2. Supplier concentration and material shortagesImpact: HighLikelihood: Low

    IBP buys most materials directly from manufacturers and may face allocations or price spikes if supply tightens.

    Exposure: Fiberglass and other insulation inputs

  3. Labor availability and productivityImpact: MediumLikelihood: High

    The business depends on installers and branch labor to complete jobs on time and at acceptable cost.

    ExposureInstaller hiringRetentionWage inflation
  4. Cybersecurity and systems disruptionImpact: MediumLikelihood: Medium

    Operational systems support scheduling, payroll, fleet management and finance, so a breach could interrupt service delivery.

    ExposureJobCOREEmailPayrollCloud-based systems
  5. Acquisition integration riskImpact: MediumLikelihood: Medium

    Growth has relied on frequent acquisitions, which can create execution, retention and systems integration issues.

    Exposure: Branch integration and cross-selling realization

Accounting

Judgemental items
Revenue recognition for installation services

Installation work spans many jobs and end markets, so timing of completion and acceptance affects reported revenue.

Impact: Quarterly revenue and margin can shift with job timing and mix

Critical estimates in job costing and material pricing

Management must estimate costs and manage supplier price changes to determine gross profit.

Impact: Gross margin and operating income sensitivity

Goodwill and acquired intangibles

The acquisition strategy creates goodwill that could be impaired if acquired businesses underperform.

Impact: Potential non-cash impairment charges

Bonds, letters of credit and collateral

The company uses performance bonds and insurance letters of credit to support operations and risk transfer.

Impact: Liquidity and contingent obligation monitoring

Publicly listed companies with a comparable business focus.

Last updated: 24/09/2026