Specialty building products distributor Gypsum Management & Supply (GMS) reported its 2024 fiscal fourth quarter and full year results on June 20, showing a strong finish to its year that ended April 30.

GMS was No. 9 on MDM’s 2024 Top Building Materials/Construction Distributors List.

4Q

The Tucker, GA-based company posted total 4Q sales of $1.41 billion, up 8.4% year-over-year as volume growth across major product lines was partially offset by steel price deflation. The company’s 4Q organic net sales increased 4.0% year-over-year. On a per-day basis, 4Q sales were up 6.7% and organic sales increased 2.4%.

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Those figures were a healthy sequential improvement from 3Q sales that were up 1.9% year-over-year overall, with organic sales down 0.2%. 

GMS’ 4Q adjusted EBITDA of $147 million trailed the $154 million of a year earlier, with margin of 10.4% likewise down from 11.8%. The company’s 4Q net profit of $56 million was down from the $76 million of a year earlier.

By product category during 4Q:

• Wallboard sales of $586 million increased 7.6% year-over-year (+6.0% organic)
• Ceilings sales of $189 million increased 21.7% year-over-year (+11.4% organic)
• Steel framing sales of $221 million decreased 1.5% year-over-year (-5.1% organic)
• Complementary product sales of $418 million increased 9.8% year-over-year (+3.5% organic)

During the quarter, GMS completed the acquisition of Kamco Supply Corp., which the company noted considerably expands its presence in the New York City metro area. Terms of the deal weren’t shared, but GMS said Kamco has annual revenues of about $235 million.

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Full Year

For its full fiscal 2024, GMS posted total sales of $5.50 billion, up 3.2% vs. 2023, with organic net sales up 0.3%. On a per-day basis, total sales were up 2.4% and organic sales were down 0.5%.

The company’s 2024 net profit of $276 million was down 17.1% vs. 2023, while adjusted EBITDA of $616 million fell 7.5%. Meanwhile, adjusted EBITDA margin fell 130 basis points to 11.2%.

During the year, GMS completed three strategic acquisitions and opened five greenfield yard locations.

GMS President and CEO John Turner. Jr. provided the following comments in GMS’ fiscal report:

“We were pleased to deliver solid results for our fourth quarter and full year fiscal 2024, including record levels of net sales for the year. Versus prior year, despite lower single-family full year demand, we delivered volume growth across all our major product categories, which helped offset significant Steel price deflation that occurred at levels beyond our prior expectations. Solid levels of multi-family construction remained in backlog and commercial project activity continued through the end of our fiscal year. Plus, single-family year-over-year Wallboard volume growth for the fourth quarter turned positive for the first time since the fall of 2022. We believe this indicates the start of a mild recovery in an end market that, with considerable pent-up demand, remains poised for a more robust recovery with the expected eventual relief in mortgage rates.”