As RC’s research partners surveyed roofing contractors across the country for the annual State of the Roofing Industry Report, editors solicited questions from some of the leading companies in manufacturing, distribution and technology to help provide a more complete picture of the roofing industry in the New Year.

Here’s a compilation of what they had to say about the economic climate for roofing in North America, expectations for 2026, and some of the biggest challenges — and opportunities — ahead.

How would you assess the state of the roofing industry in 2026?

Rich Thompson (RT): In 2026, we believe the industry will remain similar to 2025. Reroofing is still the backbone of demand, keeping contractors busy even when new builds slow down. Sustainability is taking center stage, with cool roofs, solar options and storm-ready materials increasing in popularity. Material costs and labor shortages remain challenges for the industry, and we’re focused on making it easier for contractors to navigate them with our expanding tech tools and dedicated teams. Ultimately, businesses that adapt with and embrace new technology, products and trends will lead the way, and we’ll be there to help them do it.

Vishal Laddha (VL): The roofing industry is entering 2026 with continued resilience and renewed discipline. Rising material and labor costs have forced many to reassess their business models, but instead of pulling back, contractors are sharpening their focus on profitability and operational efficiency, including investing in data-driven tools to protect margins and sustain growth. We’re also seeing the industry adopt a more measured optimism. Insurance-related work and continued service activity are keeping pipelines strong, even as new construction slows slightly. Contractors recognize that long-term success will hinge on cost control, customer experience, and technology adoption. The businesses best positioned for 2026 will be those that combine sound fundamentals with smart innovation, including using connected platforms, AI, and automation to do better work with greater accuracy and at scale.

Richy Nelson (RN): As I’m sure much of the industry would attest, 2025 wasn’t exactly a joyride for the roofing industry. Storm activity was light, the macro environment tightened customer’s pockets, and roofers were watching their margins like a hawk. But going into 2026, I’m actually feeling good about where things are headed. Roofers are adopting technology faster than I’ve ever seen. People who used to run jobs with clipboards, file cabinets, sticky notes, and group texts are suddenly demanding automation and better workflows because they know it puts money back in their pockets. The companies that leaned into tech last year are coming out stronger.

Derrick Hutchinson (DH): We’re expecting commercial roofing to see single-digit growth going into 2026. In 2025, new construction remained soft and reroofing made up the majority of activity. We expect this trend to continue into 2026. Reroofing projects, particularly for high-performance buildings and essential infrastructure like hospitals, government facilities, and schools, are expected to maintain steady demand. One area we see as promising for new builds in 2026 is data centers. We’re going to need a lot of them, and they cannot afford to have low-quality roofs.

Bottom line is that we expect demand for commercial roofing to be driven largely by the ongoing need to update and maintain existing structures, rather than a surge in new builds.

Do you share contractors’ optimism about sales growth in 2026?

RT: Absolutely. We’re seeing strong demand across both residential and commercial roofing, and that’s not slowing down anytime soon. Roofs are essential, so even with some economic uncertainty, the fundamentals of our industry are solid. Contractors are also leaning into technology and efficiency, which gives us confidence in their ability to grow.

VL: Roofing is a needs-based industry. Even amid broader economic uncertainty, material price swings and other headwinds, the sector remains resilient. Roofs age, weather events continue to occur, making property owners need reliable contractors. We expect strong residential demand as well as the commercial sector to anchor the industry during broader volatility.

RN: Yes, I do. Roofing demand doesn’t magically disappear. It might slow down when storms are light or the economy gets shaky, but roofs keep aging, leaking, and causing problems, no matter

what. With interest rates coming down and the overall economy showing signs of life again, homeowners are finally moving on projects they’ve held back on.

DH: There are definitely a few things we’re optimistic about — first of all the easing of interest rates will make it easier for building owners to finance reroofing projects, which supports a positive outlook. And we do see a bright future in some spaces where new construction is ramping up, like data centers, EV battery plants, and more. Most roofing contractors appear to have healthy backlogs, which is probably the strongest indicator of ongoing strength in the market segments where USG is most active.

What economic factors will play the biggest role in a roofing contractor’s success in the coming year?

RT: Contractors are facing numerous challenges, and they vary by company. Skilled crews are hard to find, and that impacts timelines and costs. Material pricing and inflation will continue to influence margins, even if things have stabilized compared to the past couple of years. Insurance costs and interest rates are also factors, especially for homeowners financing big projects. Contractors who build strong supplier relationships and use technology to streamline operations will be in the best position to succeed in the coming year.

RN: I’d say the biggest economic factors with that matter most are: Insurance friction, labor shortages, material volatility, and the interest rate environment. None of these are new problems, but they’re getting harder to ignore. The contractors who use tech to run leaner and sell/build/collect faster are the ones who will power through it.

DH: Interest rates would probably be the biggest one, followed by labor quality and availability. Our labor force is getting younger, crews are getting smaller, and many of the front-line workers are coming in with less experience than they used to. That’s something roofers must grapple with.

What are the biggest concerns moving forward?

VL: The roofing and exteriors industry is moving faster than ever before. ServiceTitan has had the perspective for a long time that we must invest heavily in the future so that no contractor is ever left behind. With private equity entering the industry, AI, economic pressures, and more, roofers, now more than ever, need a trustworthy partner they can rely on. What keeps me up is knowing that some contractors may not know how to future-proof their businesses or may not be taking it seriously to the degree that’s needed.

RN: The weather is always unpredictable, and margins might continue to feel tight going into 2026, given the macro environment. But, I’m not losing sleep over the future of the industry. Roofers are tough and resourceful. And the ones who embrace the changes happening right now are about to have the best years of their careers.

Kim Eckerman (KE): Labor availability remains one of the most significant pressures for contractors. Crews are expected to install more advanced systems while meeting tighter timelines, which increases the need for dependable products and clear technical support that help keep projects moving. Weather volatility also drives interest in stronger assemblies that can perform reliably across diverse conditions.

What are you proudest of about your organization as 2026 begins?

RT: We’re proud of how our teams continue to deliver for customers, no matter what the market throws at them. This past year, we’ve expanded training programs, improved technology tools and strengthened our distribution network all with one goal: helping contractors succeed. Seeing that commitment in action every day is what makes us proud heading into the new year.

VL: Our north star continues to be the long-term success of our customers. This year, we took bold steps forward with advancements in AI and our Pro products, and with the launch of Atlas, putting AI capabilities directly into the hands of our customers. This AI-driven expert brings their data to life, delivering the insights they need, exactly when and where they need them to succeed.

KE: I am proud of the consistency our teams deliver. Across Elevate, GenFlex, Malarkey, OX, Duro-Last, Gaco, and Enverge, the focus remains on dependable service and practical innovation grounded in real jobsite experience. Every day, our people work to deliver systems that contractors can count on.

DH: This 20-year milestone of USG being in the roofing business shows how durable and high-quality our products are, and the trust our customers have in us. I am proud to think about the fact that we will be here for decades to come, continuing to lead the way in innovation and customer service. The thing we’re most proud of is the dedication and resilience of our team. It’s a privilege to work alongside the best in the business!

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