Sales and profit fell sharply in the fourth quarter and for the full year for Builders FirstSource as residential construction remained weak and prices for some building materials declined.
The nation’s largest supplier of building materials to professional homebuilders reported fourth-quarter sales of $3.36 billion, down from $3.82 billion a year earlier, a 12.1% decline.
Net income fell to $31.5 million, compared with $190.2 million in the fourth quarter of 2024, a drop of 83.4%.
For the full year, the company reported sales of $15.19 billion, down from $16.40 billion in 2024, a 7.4% decrease.
Net income for 2025 totaled $435.2 million, compared with $1.08 billion in 2024, a decline of 59.6%.
CEO Peter Jackson said the company operated through “housing affordability challenges, weak consumer confidence, and depressed commodity prices” during 2025.
The company attributed the sales decline to a “below-normal starts environment,” referring to reduced new-home construction. Core sales fell across its major end markets in the fourth quarter, including single-family and multifamily construction, as well as repair and remodeling.
By product category, fourth-quarter sales declined 17.6% in manufactured products, 12.6% in windows, doors, and millwork, and 16.1% in lumber and sheet goods. Sales in specialty building products and services slipped 2.1%.
For the full year, manufactured products sales declined 14.4%, windows, doors and millwork fell 9.5%, and lumber and sheet goods dropped 9.2%. Specialty building products and services rose 4.1%.
Chief financial officer Pete Beckmann said the company is focused on managing costs and advancing growth initiatives while investing in technology.
Looking ahead, Builders FirstSource expects 2026 sales to range between $14.8 billion and $15.8 billion. The company said its outlook assumes flat single-family and multifamily housing starts in its markets and a modest 1% increase in repair-and-remodel activity.
Builders FirstSource, based in Irving, Texas, operates approximately 585 locations across 43 states, supplying lumber, manufactured components, millwork, and installation services to professional builders.
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