Plumbing, PVF, HVAC, infrastructure and industrial supplies distributor Ferguson Enterprises reported its 2025 fourth quarter and full year financial results on Sept. 16, which showed a strong finish to the year and a new company record for annual sales.

MDM Case Study: Ferguson (Premium access here) 

Fourth Quarter

For its 4Q that ended July 31, the Newport News, VA-based company reported 4Q25 sales of $8.5 billion — up 6.9% year-over-year. Organic revenue grew 5.8%, while acquisitions contributed 1.1% to growth. 4Q price inflation was approximately 2%.

4Q U.S. sales increased 7.1%, with organic revenue up 6.1%. Canada sales grew 4.8%, with organic growth of 0.3% as acquisitions contributed 4.9%.

Gross margin of 31.7% grew 70 basis points from a year earlier, while operating profit of $925 million on 10.9% margin jumped 14.1% and 70 bps. Net profit of $700 million soared 55.2%, while adjusted EBITDA of $1.03 billion improved 13.9%.

On Aug. 5, Ferguson announced that it closed on four acquisitions during its fourth quarter.

In the Store: MDM’s 2025 Economic Outlook Report (Premium access) 

Full Year

For its total fiscal 2025, Ferguson posted sales of $30.8 billion — a new annual high — and an increase of 3.8% vs. 2024. Organic revenue improved by 3.2%, while acquisitions contributed 1.0% to growth. Pricing during the year was slightly down.

Gross margin of 30.7% improved 20 bps, while operating profit of $2.61 billion on 8.5% margin dipped 1.7% and 40 bps. Net profit of $1.86 billion increased 7.0% vs. 2024, and adjusted EBITDA of $3.06 billion increased 1.5%. 

The company’s 2025 net debt-to-adjusted EBITDA ratio was 1.1x.

Fiscal Year Change

Ferguson is changing its fiscal year-end from July 31 to Dec. 31, following a five-month transition period that began Aug. 1. The company will begin reporting on a calendar year basis effective Jan. 1, 2026.

Ferguson decorated MDM’s 2025 Top Distributors Lists, including No. 1 for Plumbing, No. 2 for HVACR, No. 2 for Industrial PVF, No. 11 for Building Materials/Construction and No. 12 for Industrial Supplies. The company was also named one of MDM’s 2025 Industry Titans.