Sorry, there are no results matching your search.
Autocomplete suggestions are available. Use up and down arrows to review and enter to select.
Sorry, there are no results matching your search.
Autocomplete suggestions are available. Use up and down arrows to review and enter to select.

Roofing Contracting Industry Update Q3 2024

Read more about M&A activity and trends in this sector

Roofing Contracting Market Update

Download PDF
Market and Industry Dynamics

Roofing Contracting Industry and M&A Perspectives

Market Commentary

  • Roofing Contracting is a highly fragmented industry, with the top two largest companies only representing approximately 5% market share in the U.S.
  • M&A activity in the sector has increased in recent years, as small and mid-sized independent operators seek succession strategies and financial partners to facilitate growth opportunities
  • A variety of fundamental industry characteristics contribute to a compelling investment thesis for institutional capital and strategic acquirors, including:
    • Non-discretionary nature of roof repairs mitigates economic cyclicality risk
    • Recurring and re-occurring revenue produced by service and maintenance and re-roofing work creates a durable revenue profile
    • Aging stock of commercial and residential facilities drives the need for roof repairs and maintenance
    • Highly fragmented competitive landscape presents an opportunity for accretive M&A growth strategies

Robust M&A Activity in Recent Periods…

Note: Represents count of select U.S. transactions based on KPMG research Source: Pitchbook, Capital IQ, IBISWorld

…While Remaining a Highly Fragmented Competitive Landscape

Source: https://www.roofingcontractor.com/RC-List-Top-150-2024

M&A Value Drivers and Key Considerations

1

Project Composition: Mix of re-roofing and service offerings vs. new construction; exposure to seasonality and economic cycles

2

Geography and Scale: Localized to a specific geographic region vs. broader coverage area; scalability of operating model

3

Labor and Employment Profile: Self-perform vs. subcontractor mix; union vs. non-union workforce

4

Customer and Project Concentration: Diversification of revenue vs. concentration among a few projects and/or customers 

5

Systems and Accounting: Percentage of completion accounting; whether the existing systems and infrastructure are equipped to support growth

6

Strategic Alignment: How the operations, culture, and shareholder goals align with those of the acquiror

Download the document

Roofing Contracting Market Update

Download PDF

Explore more

Insight
Webcast Replay Webcast Upcoming Listen Now From The Web

Building Products Distribution Industry Update Q3 2023

Read more about M&A activity and trends in this sector

Read more

Meet our team

Image of Robert White
Robert White
Managing Director, KPMG Corporate Finance LLC
Read bio
Image of Robert White
Robert White
Managing Director, KPMG Corporate Finance LLC
Read bio

Corporate finance services, including Financing, Debt Advisory, and Valuation Services, are not performed by all KPMG member firms and are not offered by member firms in certain jurisdictions due to legal or regulatory constraints. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation. 

The information contained in this communication may not be representative of the experience of other clients and does not constitute a recommendation, offer, or solicitation to buy, sell or hold any security of any issuer. Past performance does not guarantee future results.

©2025 KPMG Corporate Finance LLC, a Delaware limited liability company. Member FINRA/SIPC. KPMG Corporate Finance LLC is a subsidiary of KPMG LLP, a Delaware limited liability partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. KPMG Corporate Finance LLC is not engaged in the practice of public accountancy. All rights reserved. The KPMG name and logo are registered trademarks or trademarks of KPMG International.

Thank you!

Thank you for contacting KPMG. We will respond to you as soon as possible.

Contact KPMG

Use this form to submit general inquiries to KPMG. We will respond to you as soon as possible.

By submitting, you agree that KPMG LLP may process any personal information you provide pursuant to KPMG LLP\'s . Privacy Statement

An error occurred. Please contact customer support.

Job seekers

Visit our careers section or search our jobs database.

Search now!

Submit RFP

Use the RFP submission form to detail the services KPMG can help assist you with.

Submit

Office locations

View locations

International hotline

You can confidentially report concerns to the KPMG International hotline

Learn more

Press contacts

Do you need to speak with our Press Office? Here's how to get in touch.

Contact

Headline