Installed Building Products Announces Ratings Upgrade from Moody’s

Rhea-AI Summary

Installed Building Products, Inc. (IBP) (NYSE: IBP) receives an upgrade in its corporate family rating and senior secured first lien term loan rating by Moody's. The company's speculative grade liquidity rating remains SGL-1, with a stable outlook. Moody's expects IBP to continue performing well and maintain low financial leverage, attributing the upgrade to the company's good liquidity profile and commitment to conservative financial policies.

COLUMBUS, Ohio--(BUSINESS WIRE)-- Installed Building Products, Inc. (the “Company” or “IBP”) (NYSE: IBP), an industry-leading installer of insulation and complementary building products, today announced that Moody's Investors Service, Inc. ("Moody's") has upgraded IBP’s corporate family rating to Ba1 from Ba2, probability of default rating to Ba1-PD from Ba2-PD. Moody's also upgraded the rating on the Company's existing senior secured first lien term loan due 2028 to Ba1 from Ba2 and senior unsecured notes due 2028 to Ba2 from B1. The Company's speculative grade liquidity rating remains SGL-1. The outlook is maintained at stable.

Moody's noted that the upgrades reflect Moody's expectations that IBP will continue to perform well and maintain low financial leverage. Moody’s also noted that IBP has a very good liquidity profile characterized by the Company's ability to generate cash flow, as well as IBP's commitment to conservative financial policies.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws, including with respect to our financial and business model, the demand for our services and product offerings, our ability to grow and strengthen our market position, our ability to improve sales and profitability, and expectations for demand for our services and our earnings. Forward-looking statements may generally be identified by the use of words such as “anticipate,” “believe,” “expect,” “intends,” “plan,” and “will” or, in each case, their negative, or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Any forward-looking statements that we make herein and in any future reports and statements are not guarantees of future performance, and actual results may differ materially from those expressed in or suggested by such forward-looking statements as a result of various factors, including, without limitation, the adverse impact of the ongoing COVID-19 pandemic; general economic and industry conditions; increases in mortgage interest rates and rising home prices; inflation and interest rates; the material price and supply environment; the timing of increases in our selling prices; and the factors discussed in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, as the same may be updated from time to time in our subsequent filings with the Securities and Exchange Commission. Any forward-looking statement made by the Company in this press release speaks only as of the date hereof. New risks and uncertainties arise from time to time, and it is impossible for the Company to predict these events or how they may affect it. The Company has no obligation, and does not intend, to update any forward-looking statements after the date hereof, except as required by federal securities laws.

About Installed Building Products

Installed Building Products, Inc. is one of the nation's largest new residential insulation installers and is a diversified installer of complementary building products, including waterproofing, fire-stopping, fireproofing, garage doors, rain gutters, window blinds, shower doors, closet shelving and mirrors and other products for residential and commercial builders located in the continental United States. The Company manages all aspects of the installation process for its customers, from direct purchase and receipt of materials from national manufacturers to its timely supply of materials to job sites and quality installation. The Company offers its portfolio of services for new and existing single-family and multi-family residential and commercial building projects in all 48 continental states and the District of Columbia from its national network of over 240 branch locations.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231207192017/en/

Investor Relations:

614-221-9944

investorrelations@installed.net

Source: Installed Building Products, Inc.

FAQ

What is the recent announcement about Installed Building Products, Inc. (IBP) (NYSE: IBP)?

Moody's has upgraded IBP’s corporate family rating to Ba1 from Ba2, probability of default rating to Ba1-PD from Ba2-PD, and the rating on the Company's existing senior secured first lien term loan due 2028 to Ba1 from Ba2, and senior unsecured notes due 2028 to Ba2 from B1.

What is the outlook for IBP after the rating upgrades by Moody's?

The outlook for IBP is maintained at stable, indicating stability in the company's performance and financial position.

What are the reasons behind the rating upgrades for IBP by Moody's?

Moody's expects IBP to continue performing well and maintain low financial leverage, attributing the upgrade to the company's good liquidity profile and commitment to conservative financial policies.