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TopBuild NYSE : BLD A leading installer and distributor of insulation and building material products to the U.S. construction industry TopBuild Reports First Quarter 2021 Results • Net sales increased 13.7 % • Gross margin expanded 30 basis points • 12.9 % operating margin , 13.1 % on an adjusted basis , up 230 basis points • Adjusted EBITDA increased 31.1 % , adjusted EBITDA margin up 210 basis points • $ 1.80 net income per diluted share , $ 2.02 on an adjusted basis First Quarter 2021 Financial Highlights ( unless otherwise indicated , comparisons are to the quarter ended March 31 , 2020 ) Net Sales increased 13.7 % to $ 742.8 million , 9.5 % on a same branch basis . The increase was primarily driven by increased sales volume , contributions from acquisitions and price . Gross margin increased 30 basis points to 26.6 % . On an adjusted basis , gross margin increased 40 basis points to 26.7 % . Operating profit was $ 95.9 million , compared to $ 70.0 million , a 37.0 % increase . On an adjusted basis , operating profit was $ 97.2 million , compared to $ 70.3 million , a 38.3 % improvement . Operating margin was 12.9 % compared to 10.7 % . Adjusted operating margin improved 230 basis points to 13.1 % . Net income was $ 59.8 million , or $ 1.80 per diluted share , compared to net income of $ 50.8 million or $ 1.51 per diluted share . Adjusted net income was $ 67.1 million , or $ 2.02 per diluted share , compared to $ 45.9 million , or $ 1.37 per diluted share . " TopBuild reported another solid quarter with sales benefitting from the strong growth in both our residential and commercial businesses . Adjusted operating margins expanded at both TruTeam and Service Partners , despite the impact of severe weather in February , most notably in Texas where we have significant operations . " Our team is executing well and remains focused on profitable growth , which includes successfully managing the multiple material cost increases announced this year , leveraging our fixed cost base and continuing to focus on operational efficiency . " ROBERT BUCK , PRESIDENT & CEO , TOPBUILD Adjusted EBITDA was $ 115.8 million , compared to $ 88.4 million , a 31.1 % increase and adjusted EBITDA margin improved 210 basis points to 15.6 % . Incremental adjusted EBITDA margin was 30.6 % , 39.9 % on a same branch basis . At March 31 , 2021 , the Company had cash and cash equivalents of $ 319.6 million and availability under the revolving credit facility of approximately $ 389.6 million for total liquidity of $ 709.2 million . NYSE : BLD May 6 , 2021 topbuild.com