Waterworks distributor Core & Main beats Q3 adjusted profit estimates, reaffirms 2025 sales forecast

Core & Main

09/12/2025 11:39

Overview

Core & Main fiscal Q3 net sales slightly missed analyst expectations

Adjusted EPS for fiscal Q3 beats consensus, increasing 3.5% yr/yr

Company completed acquisition of Canada Waterworks and expanded share repurchase authorization

Outlook

Core & Main reaffirms full-year net sales of $7.6 bln to $7.7 bln

Company expects full-year adjusted EBITDA of $920 mln to $940 mln

Core & Main anticipates operating cash flow of $550 mln to $610 mln

Result Drivers

ACQUISITIONS - Net sales growth primarily driven by acquisitions, including Canada Waterworks

PRODUCT LINE GROWTH - Double-digit growth in fusible high-density polyethylene and geosynthetics products

GROSS MARGIN IMPROVEMENT - Driven by private label initiatives and disciplined purchasing and pricing

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Slight Miss*
$2.06 bln
$2.07 bln (13 Analysts)
Q3 Adjusted EPS
Beat
$0.89
$0.76 (10 Analysts)
Q3 Net Income
$143 mln
Q3 Adjusted EBITDA
Slight Beat*
$274 mln
$272.71 mln (13 Analysts)

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

Wall Street's median 12-month price target for Core & Main Inc is $61.00, about 20.7% above its December 8 closing price of $50.52

The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 24 three months ago

Press Release: ID:nBwbCRFp6a

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)