Executive Vice President and company veteran Dave Rush has been named interim CEO.
Builders FirstSource surprisingly announced this morning that President and CEO Dave Flitman has stepped down to accept another opportunity outside of the industry.
Flitman was also a member of the company’s board of directors. The company did not say where Flitman is headed.
In the meantime, the board has appointed Dave Rush, executive vice president, to serve as interim CEO, effective immediately, until a permanent successor is named.
A special committee, led by Builders FirstSource Chairman Paul Levy, has also been formed to search for a new CEO.
Rush, 60, has spent 23 years with Builders FirstSource. In his current role as EVP, Strategic Management Office (SMO), Rush oversees the execution of enterprise-wide initiatives to advance the Company’s long-term strategy and provide enhanced value to stakeholders, the company said.
Prior, Rush led the integration and synergy efforts for our acquisitions of BMC and ProBuild.
“With deep operational, financial and business development capabilities, we are confident in Dave’s ability to lead Builders FirstSource as interim CEO,” Levy said. “Heading into the new year, we are well-positioned to continue to outperform the market, owing to a deep and experienced leadership team, fundamental strengths and advantages, a clear strategy and a strong balance sheet.”
Rush started his career at Builders FirstSource in 1999, serving in operational roles of increasing responsibility including as Chief Operating Officer of the company’s eastern division and EVP, Integration Management Office, responsible for the integration of Builders FirstSource and BMC.
“I’m honored and excited to serve as interim CEO during such an important time for the company," Rush said. "Despite a challenging macroeconomic environment, Builders FirstSource has an advantaged geographic footprint, industry-leading market position, and a strong culture, which position us well for continued success.”
Based in Dallas, Texas, Builders FirstSource is the largest U.S. supplier of building products, prefabricated components, and value-added services to the professional market segment for new residential construction and repair and remodeling. The company operates about 575 locations in 42 states.
“The board is grateful for Dave Flitman’s many contributions,” Levy said. “Under his leadership, the Company successfully merged with BMC, increased its share in value-added products, and accelerated its profitable growth strategy. On behalf of all Builders FirstSource team members, we wish him the best in his next role.”
The company has been in good hands under Flitman's guidance as it ramped up a collection of acquisitions over the past two year and saw third quarter sales rise 4.5% to $5.8 billion. During the quarter, core organic sales increased by 6.9% and acquisitions contributed net sales growth of 5.2%.
“It has been an honor to work with our great team, stakeholders, and board of directors," Flitman said in a statement issued by the company. "Builders FirstSource is stronger than ever and I am confident the company is poised to outperform the market over the next several years as it transforms the homebuilding industry. I am truly grateful to have had the opportunity to lead this incredible company.”
Profits have also surged at the super dealer as it reported a third quarter net income of $738 million, growing more than 20% from a net income of $631.1 million for the same period a year ago.
Looking ahead, Builders FirstSource has not deviated from its forecast for the year and expects full-year sales to grow to a range of $22.5 billion to $23 billion, or approximately 13% to 16%, over 2021 sales of $19.9 billion.