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Companies · BLDR

BLDR Reported this cycle

Builders FirstSource

Irving, TX Founded 1998 Residential Construction & PropTech

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Latest analysis

Updated Jul 30, 2026

Builders FirstSource cuts full-year guidance as July demand fails to seasonal-peak, signaling deeper housing cycle trough than previously modeled

Builders FirstSource entered Q3 2026 with demand running below seasonal expectations — July failed to reach its normal peak, prompting a guidance reduction to $14.0B-$14.8B net sales and $1.0B-$1.2B adjusted EBITDA for full-year 2026. The company held market share in Q2 despite a 9% net sales decline and 260 bps gross margin compression, while expanding cost actions from $100M to $115M annualized run-rate. M&A appetite remains intact with 42 acquisitions completed since the 2021 BMC merger representing nearly $2.3B in annual sales, but near-term capital deployment is constrained by a 3.6x net debt-to-adjusted EBITDA ratio above the long-term target.

Tone: defensive

Revenue

$15.2B

BLDR 10-K · FY 2025

Employees

28,000

Revenue FY2024

$16.4B

Founded

1998

Profile

BLDR 10-K Item 1 · Feb 17, 2026

Builders FirstSource is the leading U.S. distributor and manufacturer of structural building products and services for professional homebuilders, operating approximately 585 locations across 43 states. The company manufactures trusses, wall panels, engineered wood, windows, millwork, and modular homes, and also distributes lumber, doors, and specialty building products. It offers integrated services including professional installation, turnkey framing, and digital homebuilding solutions through its Paradigm subsidiary.

Read filing description ↓

We are a leading provider of building materials for professional builders in new residential construction and repair and remodeling. We deliver integrated homebuilding solutions by manufacturing, supplying, and installing a full range of structural and related building products. The Company operates approximately 585 locations in 43 states across the United States, which are internally organized into geographic operating divisions. Due to the similar economic characteristics, categories of products, distribution methods and customers, our operating divisions are aggregated into one reportable segment. Our leading network of strategically located manufacturing facilities produces factory-built roof and floor trusses, wall panels, vinyl windows, custom millwork and trim, manufactured and semi-custom modular homes, as well as engineered wood that we design and cut specifically for each home. We also assemble interior and exterior doors into pre-hung units for easy installation. Additionally, we distribute a wide range of building products, including lumber, sheet goods, windows, doors, millwork, and specialty items. Our services, which vary by market, include professional installation, turnkey framing, and shell construction. Supported by the latest construction innovations and digital solutions, we help drive greater efficiency across homebuilding. We operate in the professional segment of the U.S. residential building products supply market. Customers in the Pro Segment primarily include production and custom homebuilders, remodeling contractors, and multi-family builders. The industry remains highly fragmented with competition from large national dealers, specialty dealers, large building supply retailers, regional and local material distributors and smaller privately owned suppliers, truss manufacturers and lumberyards.

Primary products

  • Manufactured Products
  • Windows, Doors and Millwork
  • Specialty Building Products and Services
  • Lumber and Lumber Sheet Goods
  • Ready-Frame framing system
  • Pine Grove Homes

Business segments

East Central West

End markets

new residential construction repair and remodeling multi-family light commercial

Geographies

United States

Named customers

D.R. Horton, Inc. Lennar Corporation Pulte Homes, Inc. Toll Brothers Inc Meritage Homes

For the year ended December 31, 2025, our top 10 customers accounted for 14% of net sales, with our largest customer accounting for 4% of net sales.

Named competitors

U.S. LBM 84 Lumber Carter Lumber UFP Construction Stark Truss American Cedar and Millwork Western Pacific The Home Depot, Inc.
“We believe that we have competitive advantages over our competitors due to our subject matter expertise, long-standing customer relationships, local market knowledge, competitive pricing, superior service, broad product offering, and large-scale procurement capabilities.” Competitive position, as stated in the filing

Revenue commentary · FY 2025

Net sales declined from $16.4 billion in 2024 to $15.2 billion in 2025, reflecting continued softness in the residential new construction market.

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Analysis, signals, diligence answers, M&A activity and every quote, each citing the filing it came from.

SeventhBiz analysis 6 signals 9 diligence answers 2 M&A transactions SWOT