Segments (Tables)

12 Months Ended

Apr. 30, 2025

The following table presents segment results:


	Year Ended April 30,
	2025		2024		2023
	(in thousands)
Geographic Divisions Segment
Net sales	$	5,402,691	$	5,374,474	$	5,200,268
Less expenses (income):
Cost of sales (exclusive of depreciation and amortization)	3,740,627		3,665,881		3,548,689
Operating expenses	1,179,379		1,118,784		1,023,789
Other income(a)	(7,274)		(8,731)		(7,625)
Segment Adjusted EBITDA	$	489,959	$	598,540	$	635,415

__________________________________________

(a)Includes customer finance charges, credit card surcharges and other miscellaneous income items.

The following tables present reconciliations of net sales and segment Adjusted EBITDA:


	Year Ended April 30,
	2025		2024		2023
	(in thousands)
Reconciliation of net sales
Segment net sales	$	5,402,691	$	5,374,474	$	5,200,268
Other net sales(a)	111,047		127,433		128,984
Consolidated net sales	$	5,513,738	$	5,501,907	$	5,329,252

Reconciliation of Adjusted EBITDA
Segment Adjusted EBITDA	$	489,959	$	598,540	$	635,415
Other Adjusted EBITDA(a)	10,963		16,914		30,281
Consolidated Adjusted EBITDA	500,922		615,454		665,696
Interest expense	(89,080)		(75,461)		(65,843)
Write-off of debt discount and deferred financing fees	—		(2,075)		—
Interest income	919		1,754		1,287
Depreciation	(83,007)		(69,206)		(61,177)
Amortization	(81,141)		(64,156)		(65,730)
Impairment of goodwill	(42,454)		—		—
Stock appreciation expense(b)	(2,296)		(5,391)		(7,703)
Redeemable noncontrolling interests and deferred compensation(c)	(1,260)		(1,427)		(1,178)
Equity-based compensation(d)	(15,646)		(15,618)		(13,217)
Severance and other permitted costs(e)	(11,851)		(2,628)		(2,788)
Transaction costs (acquisitions and other)(f)	(3,920)		(4,856)		(1,961)
Gain on disposal of assets(g)	5,476		729		1,413
Effects of fair value adjustments to inventory(h)	(485)		(1,633)		(1,123)
Change in fair value of contingent consideration(i)	(1,882)		—		—
Debt transaction costs(j)	—		(1,320)		(173)
Income before taxes	$	174,295	$	374,166	$	447,503

__________________________________________

(a)Represents the Company’s non-reportable Ames and Tool Source businesses.

(b)Represents changes in the fair value of stock appreciation rights.

(c)Represents changes in the fair values of noncontrolling interests and deferred compensation agreements.

(d)Represents non-cash equity-based compensation expense related to the issuance of share-based awards.

(e)Represents severance expenses and other costs permitted in the calculation of Adjusted EBITDA under the ABL Facility and the Term Loan Facility.

(f)Represents costs related to acquisitions paid to third parties.

(g)Includes gains from the sale of assets and the sale of the Company’s Michigan-based installed insulation contracting business, net of losses and impairments.

(h)Represents the non-cash cost of sales impact of acquisition accounting adjustments to increase inventory to its estimated fair value.

(i)Represents the change in fair value of contingent consideration arrangements.

(j)Represents costs paid to third-party advisors related to debt refinancing activities.

Schedule of Net Sales to External Customers by Main Product Lines

The following table presents the Company’s net sales to external customers by main product line:


	Year Ended April 30,
	2025		2024		2023
	(in thousands)
Wallboard	$	2,198,363	$	2,263,337	$	2,151,505
Complementary products	1,725,908		1,650,689		1,537,617
Steel framing	796,155		892,730		1,011,309
Ceilings	793,312		695,151		628,821
Total net sales	$	5,513,738	$	5,501,907	$	5,329,252

The following table presents additional detail on the Company’s net sales of complementary products:


	Year Ended April 30,
	2025		2024		2023
	(in thousands)
Tools and fasteners	$	345,023	$	346,482	$	319,466
Insulation	362,175		320,209		293,755
Joint treatment	289,823		265,086		240,988
Lumber	159,675		151,457		147,507
EIFS/stucco	209,668		178,948		145,517
Other	359,544		388,507		390,384
Complementary products	$	1,725,908	$	1,650,689	$	1,537,617

Schedule of Net Sales by Major Geographic Area

The following table presents the Company’s net sales by major geographic area:


	Year Ended April 30,
	2025		2024		2023
	(in thousands)
United States	$	4,736,710	$	4,815,044	$	4,676,558
Canada	777,028		686,863		652,694
Total net sales	$	5,513,738	$	5,501,907	$	5,329,252

Schedule of Property and Equipment by Major Geographic Area

The following table presents the Company’s property and equipment by major geographic area:


	April 30, 2025		April 30, 2024
	(in thousands)
United States	$	459,608	$	425,429
Canada	64,400		46,828
Total property and equipment, net	$	524,008	$	472,257

GMS Inc. 10-K