After posting record-breaking financial performances over the past three years, San Francisco–based Building Materials Holding Corp. (BMHC) landed in the No. 41 spot on Fortune magazine's 2006 list of the “100 Fastest Growing Companies” in America. According to Fortune's Web site, the rankings are based on the company's revenue growth rate, its EPS (earnings per share) growth rate, and its three-year annualized total return to investors for the period ended June 30, 2006. BMHC posted growth of 39%, 130%, and 57% in those categories, respectively. BMHC bested companies like United States Steel (44th on the list), Sunoco (65th), and Urban Outfitters (67th) while outpacing other residential construction firms on the list, including home builders Toll Bros. (98th) and Meritage Homes (99th).
“This is a huge achievement for us, and I think people are starting to notice that we're getting traction. I certainly believe the builders and our peers recognize that,” says BMHC chairman, president, and CEO Rob Mellor. “I think it is a testament to the strategy that we embarked on since the KBI acquisition that has become SelectBuild, and everyone that has been a part of that.”
A publicly traded company, BMHC operates through two subsidiaries: SelectBuild provides turnkey construction services to high-volume production home builders across the country, and BMC West distributes building materials and manufactures building components for contractors across the Western and Southern states.
“Obviously we are delighted,” vice president, treasurer, and investor relations officer Mark Kailer says of the Fortune kudos. He adds that BMHC also has picked up additional analyst coverage on Wall Street from firms including SunTrust Robinson Humphrey and Clear Asset Management. “It's great to begin to get that recognition.”