BLD earnings analysis
What we found in BLD's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
TopBuild Corp. reported a solid increase in Q1 2026 revenue of $1.45 billion, climbing 17.2% year-over-year, while diluted EPS was $3.73, slightly above expectations of $3.64. However, the gross profit margin declined to 27.7%, primarily due to reduced sales volume and customer pricing pressures. Notably, the company experienced strong segment growth in Specialty Distribution, which increased 31.7%, while Installation Services saw modest growth of 4.3%.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Significant Revenue Growth
- Q1 2026 revenue reached $1.45B, a 17.2% increase from $1.23B in Q1 2025.
- Solid Operating Cash Flow
- Net cash provided by operating activities was $160.7M, up from $152.6M YoY.
- Increase in Specialty Distribution Sales
- Specialty Distribution net sales rose to $737.1M, an increase of 31.7% compared to $559.8M.
- Improvement in Cash Position
- Cash and cash equivalents increased to $268.8M from $184.7M at year-end 2025.
- Resilient Demand in Commercial Market
- Ongoing strong demand in the commercial and industrial backlog supports positive segment outlook.
- Positive Free Cash Flow
- Free cash flow was $139M for the period, consistent with prior year.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Declining Profit Margins
- Gross profit margin fell to 27.7%, down from 28.5% a year prior due to pricing pressures.
- Increased SG&A Expenses
- Selling, general, and administrative expenses as a percentage of sales grew to 15.6%, up from 14.1%.
- Dependence on Residential Market
- Market demand is uneven, influenced by high borrowing costs impacting residential construction.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $3.73
- Gross margin
- 27.7%
- Operating margin
- 12.1%
- Segment
- Installation Services: $777.3M (+4.3%)
- Segment
- Specialty Distribution: $737.1M (+31.7%)
What they said about what is next.
Outlook deferred to earnings press release / call.
The filing reads about the same as the one before it.
What came before.
- 10-K · February 26, 2026
- TopBuild presents a two-segment business (Installation Services ~59% of sales; Specialty Distribution ~41% of sales) with national scale (more than 200 installation branches and over 250 distribution centers) and…
- 10-Q · November 4, 2025
- TopBuild reported Q3 net sales of $1,393,158,000 (up $19,890,000 vs. Q3 2024) and GAAP diluted EPS of $5.04 (down from $5.65 a year ago). Gross margin held near 30.1% while operating profit declined to $215,010,000;…
- 10-Q · August 3, 2023
- TopBuild reported Q2 net sales of $1,317,262,000, up from $1,274,285,000 in Q2 2022, with expanding gross and operating margins and higher EPS. Cash and liquidity strengthened (cash $526,327,000) while inventories…
- 10-K · February 23, 2023
- TopBuild positions itself as a vertically integrated leader in insulation installation and specialty distribution in the U.S. and Canada, running two complementary segments (Installation ~59% of sales; Specialty…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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