Question · Q3 2025
Matthew Hettwer asked about the expected lag effects of lower interest rates on the Building Adhesive Solutions (BAS) business and which specific business lines might benefit most. He also inquired about the size and impact of the data center business on segment results.
Answer
Celeste Mastin, President and Chief Executive Officer, indicated a 15-18 month lag for interest rate impacts on the architectural billing index, but anticipated more immediate indirect benefits for HHC and BAS (e.g., woodworking/furniture) from increased mobility and household formation. John Corkrean, Executive Vice President and Chief Financial Officer, added that data center solutions, while growing quickly, are less than half of the roofing business (which is 5-10% of total revenue), but represent a high-margin, strategic focus area.
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