Beacon Introduces Value Creation Framework, Financial Targets and $500M Share Repurchase Authorization

Beacon (the “Company”) will hold Day 2 of its Analyst and Investor event today in Houston, Texas, beginning at 8:00 am CST, during which the Company will present a detailed overview of its core business drivers and strategic plan to unlock additional stockholder value. Additionally, the Company announced today that its board of directors has authorized the repurchase of up to $500 million of its common shares.

“The transformative achievements since the beginning of 2020 have set the foundation to advance Beacon into a new chapter of value creation for our stakeholders,” commented Julian Francis, Beacon’s President and CEO. “We are extremely pleased to unveil our Ambition 2025 targets today which emphasize our winning culture, operational excellence, above market growth trajectory and accelerated stockholder value creation.”

Mr. Francis added, “Building on our solid track record of cash generation, the new share repurchase authorization we announced today reflects our significant confidence in our business and strategy. This program provides an additional avenue to return value to stockholders while we continue to invest both organically and strategically as part of our Ambition 2025 growth and margin enhancing initiatives.”

As part of today’s presentation, Beacon leadership will deliver several key messages:

• It’s a new era for Beacon, with a revitalized executive leadership team driving results
• The Company, a leading specialty distribution business, is transforming to unlock its embedded value
• The groundwork for success is in place and the results are evident in Beacon’s acceleration in growth and margin performance since 2019
• The Ambition 2025 framework is poised to create additional value for our customers, employees, stockholders, and other stakeholders

The Company also plans to discuss its new Ambition 2025 financial targets:

• Net Sales CAGR: ~8% to ~$9 billion
• Adjusted EBITDA CAGR: ~10% to ~$1 billion reflecting a double-digit Adjusted EBITDA margin
• Significant cash flow generation and net leverage of ~2.5 times targeted 2025 Adjusted EBITDA resulting in ~$2.8 billion of investment capacity
• Strategic deployment of capital on M&A, growth investments and share repurchases to produce superior returns

A live webcast of the presentation, along with supporting materials, will be accessible on Beacon’s Investor Relations website at https://ir.beaconroofingsupply.com. A replay of the webcast and associated presentation materials will be available under the “Events & Presentations” section of the Company’s Investor Relations website shortly following the conclusion of the event.

Additional Details on the Share Repurchase Authorization

Repurchases under the share repurchase program are subject to the Company’s discretion and may occur in open market purchases (including block trades), privately negotiated transactions, accelerated share repurchase transactions or through a series of forward purchase agreements, option contracts or similar agreements and contracts (including Rule 10b5-1 plans) adopted by the Company, in each case in accordance with the rules and regulations of the Securities and Exchange Commission, including, if applicable, Rule 10b-18 of the Securities Exchange Act of 1934, as amended. The timing and amount of repurchase transactions will depend on a variety of factors, including the Company’s stock price, market and business conditions, constraints specified in any Rule 10b5-1 trading plans, alternative investment opportunities and other considerations. Accordingly, the Company cannot predict when or if it will repurchase any shares of common stock.

About Beacon

Founded in 1928, Beacon is a Fortune 500, publicly traded distributor of roofing materials and complementary building products in North America, operating over 400 branches throughout all 50 states in the U.S. and 6 provinces in Canada. Beacon serves an extensive base of over 80,000 customers, utilizing its vast branch network and diverse service offerings to provide high-quality products and support throughout the entire business lifecycle. Beacon offers its own private label brand, TRI-BUILT, and has a proprietary digital account management suite, Beacon PRO+, which allows customers to manage their business with us online. Beacon’s stock is traded on the Nasdaq Global Select Market under the ticker symbol BECN. To learn more about Beacon, please visit www.becn.com.

Contact:

Jennifer Lewis – Vice President Communications & Corporate Social Responsibility – Jennifer.Lewis@becn.com – (571) 752-1048

Source: Beacon Roofing Supply, Inc.