Revenue growth has decelerated into a 3.5% contraction in 2026Q1, while operating margins have compressed significantly from a 14.6% peak in 2025Q4 to 8.9% in the most recent quarter.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 |
|---|
| Sales/Revenue | 2.95B | 2.97B | 2.94B | 2.78B | 2.67B | 1.97B | 1.65B | 1.51B | 1.34B | 1.13B | 862.98M | 662.72M | 518.02M | 431.93M | 301.25M | 238.45M |
| Revenue Growth % | 0.45% | 1% | 5.86% | 4.07% | 35.62% | 19.08% | 9.37% | 13.11% | 17.96% | 31.28% | 30.22% | 27.93% | 19.93% | 43.38% | 26.34% | - |
| Cost of Goods Sold | 1.96B | 1.96B | 1.95B | 1.85B | 1.84B | 1.38B | 1.14B | 1.08B | 964.84M | 808.9M | 610.53M | 474.43M | 377.97M | 322.24M | 227.21M | 181.22M |
| COGS % of Revenue | - | 66.03% | 66.19% | 66.5% | 68.99% | 70.06% | 69.15% | 71.23% | 72.2% | 71.4% | 70.75% | 71.59% | 72.96% | 74.61% | 75.42% | 76% |
| Gross Profit | 987.4M | 1.01B | 994.5M | 930.7M | 827.78M | 589.45M | 509.97M | 434.82M | 371.59M | 324.03M | 252.45M | 188.29M | 140.05M | 109.69M | 74.04M | 57.23M |
| Gross Margin % | 33.51% | 33.97% | 33.81% | 33.5% | 31% | 29.94% | 30.85% | 28.77% | 27.8% | 28.6% | 29.25% | 28.41% | 27.04% | 25.39% | 24.58% | 24% |
| Gross Profit Growth % | - | 1.49% | 6.86% | 12.43% | 40.43% | 15.58% | 17.28% | 17.02% | 14.68% | 28.35% | 34.07% | 34.45% | 27.68% | 48.14% | 29.39% | - |
| Operating Expenses | 612.2M | 622.9M | 612M | 561.6M | 482.4M | 401.6M | 348.11M | 313.66M | 278.37M | 249.76M | 186.4M | 143.34M | 114.47M | 96.61M | 75.94M | 74.36M |
| OpEx % of Revenue | - | 20.97% | 20.81% | 20.21% | 18.07% | 20.4% | 21.06% | 20.75% | 20.83% | 22.05% | 21.6% | 21.63% | 22.1% | 22.37% | 25.21% | 31.18% |
| Selling, General & Admin | 365.5M | 474.5M | 564.6M | 515M | 454.7M | 364.38M | 319.57M | 289.15M | 250.25M | 219M | 175.14M | 137.08M | 111.63M | 92.7M | 80.44M | 68.88M |
| SG&A % of Revenue | - | 15.97% | 19.2% | 18.53% | 17.03% | 18.51% | 19.33% | 19.13% | 18.73% | 19.33% | 20.29% | 20.68% | 21.55% | 21.46% | 26.7% | 28.89% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 3M | 148.4M | 47.4M | 46.6M | 27.7M | 37.22M | 28.54M | 24.51M | 28.12M | 30.76M | 13.56M | 7.36M | 2.84M | 3.91M | -4.5M | 5.47M |
| Operating Income | 375.2M | 386.4M | 382.5M | 369.1M | 345.41M | 187.9M | 161.87M | 121.16M | 93.22M | 74.27M | 66.05M | 44.95M | 25.59M | 13.08M | -1.9M | -17.13M |
| Operating Margin % | 12.73% | 13.01% | 13% | 13.28% | 12.94% | 9.54% | 9.79% | 8.02% | 6.98% | 6.56% | 7.65% | 6.78% | 4.94% | 3.03% | -0.63% | -7.18% |
| Operating Income Growth % | - | 1.02% | 3.63% | 6.86% | 83.83% | 16.08% | 33.6% | 29.98% | 25.52% | 12.44% | 46.93% | 75.69% | 95.64% | 789.77% | 88.93% | - |
| EBITDA | 694.6M | 490.2M | 517M | 494.8M | 463.11M | 290.8M | 249.86M | 200.22M | 151.94M | 129.41M | 100.88M | 68.19M | 40.6M | 24.51M | 5.82M | -8.74M |
| EBITDA Margin % | 23.57% | 16.5% | 17.58% | 17.81% | 17.35% | 14.77% | 15.11% | 13.25% | 11.37% | 11.42% | 11.69% | 10.29% | 7.84% | 5.67% | 1.93% | -3.67% |
| EBITDA Growth % | 38.26% | -5.18% | 4.49% | 6.84% | 59.25% | 16.38% | 24.79% | 31.78% | 17.41% | 28.28% | 47.94% | 67.97% | 65.64% | 320.9% | 166.63% | - |
| D&A (Non-Cash Add-back) | 319.4M | 103.8M | 134.5M | 125.7M | 117.7M | 102.9M | 88M | 79.06M | 58.73M | 55.14M | 34.83M | 23.24M | 15.01M | 11.43M | 7.72M | 8.39M |
| EBIT | 377.7M | 388.7M | 383.3M | 370.1M | 344.9M | 185.12M | 161.47M | 120.71M | 92.68M | 73.2M | 65.79M | 45.67M | 25.75M | 13.11M | -1.76M | 1.25M |
| Net Interest Income | -33.7M | -31.7M | -36.9M | -37M | -41.6M | -32.8M | -30.29M | -28.1M | -20.5M | -17.38M | -6.18M | -3.74M | -3.17M | -2.26M | -1.98M | -6.99M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 33.7M | 31.7M | 36.9M | 37M | 41.6M | 32.8M | 30.29M | 28.1M | 20.5M | 17.38M | 6.18M | 3.74M | 3.17M | 2.26M | 1.98M | 6.99M |
| Other Income/Expense | -32.4M | -29.4M | -36.1M | -36M | -42.1M | -32.42M | -30.69M | -28.55M | -21.03M | -18.45M | -6.44M | -3.02M | -3M | -2.22M | -1.84M | 11.39M |
| Pretax Income | 342.8M | 357M | 346.4M | 333.1M | 303.31M | 155.47M | 131.18M | 92.61M | 72.19M | 55.82M | 59.61M | 41.93M | 22.59M | 10.85M | -3.74M | -5.74M |
| Pretax Margin % | 11.63% | 12.02% | 11.78% | 11.99% | 11.36% | 7.9% | 7.93% | 6.13% | 5.4% | 4.93% | 6.91% | 6.33% | 4.36% | 2.51% | -1.24% | -2.41% |
| Income Tax | 88M | 91.6M | 89.8M | 89.4M | 79.88M | 36.71M | 33.94M | 24.45M | 17.44M | 14.68M | 21.17M | 15.41M | 8.61M | 4.22M | 555K | 1.45M |
| Effective Tax Rate % | 25.67% | 25.66% | 25.92% | 26.84% | 26.34% | 23.61% | 25.87% | 26.4% | 24.16% | 26.3% | 35.52% | 36.76% | 38.11% | 38.84% | -14.84% | -25.24% |
| Net Income | 254.8M | 265.4M | 256.6M | 243.7M | 223.4M | 118.8M | 97.24M | 68.16M | 54.75M | 41.14M | 38.44M | 26.52M | 13.93M | 6.04M | -1.91M | -8.98M |
| Net Margin % | 8.65% | 8.93% | 8.72% | 8.77% | 8.37% | 6.03% | 5.88% | 4.51% | 4.1% | 3.63% | 4.45% | 4% | 2.69% | 1.4% | -0.63% | -3.77% |
| Net Income Growth % | 3.54% | 3.43% | 5.29% | 9.09% | 88.05% | 22.17% | 42.66% | 24.5% | 33.08% | 7.04% | 44.95% | 90.33% | 130.66% | 416.89% | 78.79% | - |
| Net Income (Continuing) | 254.8M | 265.4M | 256.6M | 243.7M | 223.4M | 118.8M | 97.24M | 68.16M | 54.75M | 41.14M | 38.44M | 26.52M | 13.98M | 6.64M | -4.29M | -7.19M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -48K | -598K | 0 | -1.79M |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 9.45 | 9.71 | 9.10 | 8.61 | 7.74 | 4.01 | 3.27 | 2.28 | 1.75 | 1.30 | 1.23 | 0.85 | -0.20 | -0.01 | -0.26 | 2.56 |
| EPS Growth % | 6.96% | 6.7% | 5.69% | 11.24% | 93.02% | 22.63% | 43.42% | 30.29% | 34.62% | 5.69% | 44.71% | 525% | - | 97.62% | -110.16% | - |
| EPS (Basic) | - | 9.76 | 9.15 | 8.65 | 7.78 | 4.04 | 3.30 | 2.29 | 1.76 | 1.30 | 1.23 | 0.85 | -0.20 | -0.01 | -0.26 | 2.56 |
| Diluted Shares Outstanding | 26.97M | 27.05M | 28.19M | 28.31M | 28.87M | 29.63M | 29.72M | 29.87M | 31.23M | 31.76M | 31.36M | 31.33M | 30.11M | 22.03M | 30.6M | 28.78M |
| Basic Shares Outstanding | 26.8M | 26.9M | 28.03M | 28.16M | 28.71M | 29.37M | 29.5M | 29.75M | 31.11M | 31.64M | 31.3M | 31.3M | 30.11M | 29.48M | 30.6M | 28.78M |
| Dividend Payout Ratio | - | 33.01% | 33.01% | 25.89% | 28.05% | 29.71% | - | - | - | - | - | - | - | - | - | - |
Cyclical housing demand sensitivity
As reported in recent financial statements, IBP's revenue growth has decelerated significantly, culminating in a 3.5% year-over-year contraction in 2026Q1, which suggests that the company's historical reliance on acquisition-led expansion is struggling to offset the broader cooling of US residential housing construction activity.
The transition from mid-single-digit growth in 2024 to negative territory in early 2026 indicates that the company's organic volume is likely under pressure from high interest rates. Investors should monitor whether this trend reflects a permanent shift in housing demand or merely a temporary pause in the company's ability to integrate new acquisitions effectively.
Based on the provided income statement data, IBP maintained a gross margin of 30.6% in 2026Q1, demonstrating a notable compression from the 34.1% levels observed in 2024, which implies that the company is finding it increasingly difficult to pass through inflationary material costs to price-sensitive residential builders.
While the company has historically leveraged its scale to protect margins, the recent decline suggests that the pricing power inherent in its 'last-mile' installation model may be reaching a cyclical ceiling. The inability to sustain margins above 33% warrants further investigation into whether competitive pricing from peers is forcing IBP to sacrifice profitability to maintain market share.
According to the quarterly income statement, IBP's operating margin contracted to 8.9% in 2026Q1 from a peak of 14.6% in 2025Q4, suggesting that the company's fixed cost structure is struggling to scale efficiently during periods of declining revenue and reduced installation volume.
The sharp drop in operating income highlights the high-variable nature of the business, where fleet and administrative overhead cannot be easily shed in response to short-term revenue volatility. This lack of operating leverage during downturns implies that profitability will remain highly sensitive to the timing and magnitude of housing market recovery.
As evidenced by the 2025Q4 financial data, IBP recorded $38.6 million in stock-based compensation, a significant outlier compared to other quarters, which suggests that reported net income figures may be periodically distorted by non-cash equity awards rather than purely operational performance improvements.
The fluctuation in EPS, which dropped from $2.83 in 2025Q4 to $1.29 in 2026Q1, appears to be heavily influenced by these non-operating items and seasonal revenue shifts. Analysts should focus on adjusted earnings metrics to better understand the underlying cash-generating capability of the installation business, stripping away the noise of equity-based accounting.
Based on the provided figures, the company's reliance on inorganic growth appears increasingly fragile, as the 2026Q1 performance suggests that the historical strategy of rolling up smaller installers may be failing to provide the necessary scale to offset current macroeconomic headwinds in the residential sector.
Short-sellers may focus on the potential for goodwill impairment if the acquired entities fail to meet performance targets in a high-interest-rate environment. The current trajectory suggests that IBP's valuation may be at risk if the market begins to discount the company as a mature, cyclical distributor rather than a high-growth service provider.
Quick answers to the most common questions about buying IBP stock.
For fiscal year 2025, Installed Building Products, Inc. (IBP) reported total revenue of $2.97B. This represents a 1145.9% increase compared to $238.4M in 2011.
Installed Building Products, Inc. (IBP) is profitable, generating $265.4M in net income for the fiscal year ending 2025 with a net profit margin of 8.9%.
Installed Building Products, Inc. (IBP) reported an operating income of $386.4M, resulting in an operating profit margin of 13.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Installed Building Products, Inc. (IBP) generated $1.01B in gross profit for the year, representing a gross profit margin of 34.0%. This demonstrates the company's core pricing power and production efficiency.