Description

Installed Building’s $395 Million Cash Position — Can M&A Accelerate From Here?

Installed Building Products reported consolidated net revenue growth of 2% to $778 million in the second quarter of 2026 compared to the prior year, supported by contributions from recent acquisitions and growth within commercial installation, manufacturing, and distribution segments. Same-branch sales declined slightly by less than 1%, with new residential installation sales decreasing due to ongoing affordability pressures and subdued consumer confidence, while commercial installation sales grew by 10%, and heavy commercial sales increased over 15%. Multifamily end market backlog expanded, indicating stability in that segment despite overall softening in single-family housing starts, which decreased 4% year-over-year, while multifamily starts increased 10%. Profitability measures experienced mixed results. Adjusted gross margin for the quarter was 33.3%, down from 34.2% in the previous year, influenced by a relative increase in revenue from the lower-margin distribution and manufacturing (“other”) segment, which grew 50% net of eliminations.