Builders FirstSource Guides to Flat 2026 Starts, Rolls Out $100 Million Cost Actions, Expects Back‑Half Lift

Overview

• 2026 outlook assumes single‑family and multifamily starts hold roughly flat, with a heavier contribution expected later in the year as builder inventories normalize.
• Planned $100 million of cost actions include $75 million in reductions and $25 million in cost avoidance, following 25 facility consolidations in 2025 and $48 million in productivity savings.
• Free cash flow is projected at about $500 million for 2026 after planning a $300 million working‑capital build to support a faster sales pace exiting the year.
• Severe winter weather in January caused an estimated $30 million to $40 million sales hit, concentrated in Texas and the Carolinas.
• Management expects OSB to remain below long‑term averages at $365 to $385 per thousand board foot and is advancing a refined 2026 SAP rollout, stronger digital adoption with quotes up over 130% to nearly $7 billion, and modular expansion through Pleasant Valley Homes.