Building Materials/Construction
TopBuild Buys Fellow Insulation Distributor SPI for $1B
October 8, 2025
Building Materials/Construction
Combined, they represent about $53 million in annual revenue for the distributor and installer, and follow its much larger purchases of SPI and Progressive Roofing.
Insulation, commercial roofing and related building materials distributor and installer TopBuild announced three newly completed acquisitions and one pending on Nov. 3, alongside reporting the company’s 2025 third quarter financial results.
The three completed deals are for Insulation Fabrics, Diamond Door Products and Performance Insulation Fabricators, while the pending one is for L&L Insulation.
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Combined, those four companies represent approximately $53 million in annual revenue. They are on the heels of TopBuild’s much bigger $1 billion purchase of insulation distributor SPI that completed in October $810 million purchase of Progressive Roofing that completed in July.
Commenting on the additions, TopBuild President and CEO Robert Buck said in a news release: “For our Specialty Distribution segment, Insulation Fabrics and Performance Insulation Fabricators expand our insulation accessory and mechanical insulation product offerings, while Diamond Door Products better enables us to meet our commercial and industrial customers’ metal building needs and bundle value-added solutions for them. For our Installation Services segment, L&L Insulation expands our geographic reach in the mountain states.”
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Here’s a look at each of the four bolt-on deals:
AS of Sept. 30, TopBuild had spent approximately $851 million on acquisitions year-to-date. But that would be before the SPI deal completion.
Daytona Beach, FL-based TopBuild now has over 250 distribution branches across the U.S. and Canada alongside over 200 installation services branches in the U.S.
A day before the acquisition news, TopBuild reported 3Q total sales of $1.4 billion that increased 1.4% year-over-year, with Specialty Distribution sales of $609 million up 1.4% and Installation Services sales of $858 million up 0.2%.
Gross margin of 30.1% fell 60 basis points (reported and adjusted); operating profit of $215 million fell 11.9% as margin fell 240 bps (reported); net profit of $142 million fell 16.0%; and adjusted EBITDA margin of 19.8% fell 100 bps.
TopBuild said that the 1.4% overall sales gain was impacted by +7.9 percentage points from M&A; -6.7 points from lower volume; and +0.3 points from price. Specifically in Specialty Distribution, it’s 1.4% gain broke down to +2.3 points from M&A; -2.1 points from lower volume; and +0.3 points from price.
In TopBuild’s earnings statement, Buck described the results as in line with company expectations.
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