PRODUCTION PROFITS
VentBoard™ has a tremendous market potential – it’s strength and integral ventilation fill and unserved need.
The available gross profit is significant: a conservative estimate based on a modest market penetration and share over the next few years for roofing only indicates an additional gross profit exceeding $300,000,000 in just a few years. Add additional applications in walls and flooring, the commercial market and the renovation market and VentBoard ™ could be a significant source of revenue and profits.
The analysis that follows is conservatively restricted to just the residential roofing market. Production forecasts are taken from the 2012 APA Yearbook which is based on the Harvard Joint Center for Housing Starts.
Panel production for North America for 2011 was 26,077 million SF, 3/8″ basis.
Assumptions:
- Analysis for roofing sheathing only
- Anticipated market share of 5% increasing 5% annually to 25%
- Gross Profit per sheet starts at $5 per sheet and increases to $8 per sheet
BUILDER SAVINGS
Additional Savings for the builder from savings in structure (trusses or rafters): The profit potential is significant since the use of VentBoard™ will save approximately $2,500 per typical house in materials and labor. The value to the homeowner is better energy efficiency and longer life of exterior materials. The $2,500 equates to $50 a sheet– allowing significant profit to the manufacturer, distributor, retailer with plenty left over to offer significant savings and incentive to the builder.
HOMEOWNER SAVINGS
The homeowner saves through reduced energy costs both in heating and cooling. Additionally, roofing materilas have an extended lifespan because the roofing stays at a more reasonable temperature.