GMS Inc reported a solid top-line quarter (Q2 fiscal 2025) with net sales of $1.471 billion, up 3.5% year over year, driven by acquisitions and volume growth in Ceilings, Steel Framing and Complementary Products. Organic sales declined 4.6% as hurricanes Helene and Milton disrupted activity in southern regions and high interest rates weighed on multifamily and commercial demand. Gross margin stood at 31.4%, a 90-basis-point year-over-year decline driven by Wallboard pricing dynamics, mix shift toward lower-margin single-family activity, and onetime operational effects; EBITDA/operating margins compressed versus the prior year as volume softness persisted in core end markets. Management remains focused on four strategic pillars, accelerated Complementary Products growth, ongoing cost-savings initiatives targeting $30 million annualized savings, and a disciplined M&A program that has added Kamco, Yvon and RS Elliott to expand Ceilings and Complementary Products capabilities. The company guided for 3Q fy2025 to deliver modest net sales growth (low single digits), a continued gross margin around 31.5%-31.7%, and Adjusted EBITDA of $113-$118 million (≈9% EBITDA margin). Robust free cash flow generation (FCF ≈60%-65% of Adjusted EBITDA for 2025) supports deleveraging and ongoing buybacks, while a strengthened balance sheet (net debt at ≈$1.70 billion; leverage ≈2.3x) funds acquisitions and shareholder returns. Near-term headwinds include event-driven disruptions (hurricanes) and a soft macro cycle in certain end-markets; long-term drivers remain favorable: housing undersupply, population growth, and infrastructure-related demand supporting Wallboard, Ceilings and Complementary Products.