Home improvement firm Masco misses quarterly sales estimates as demand remains weak
Home improvement firm Masco misses quarterly sales estimates as demand remains weak July 29 (Reuters) - Home improvement firm Masco MAS.N missed Wall Street estimates for second-quarter sales on Wednesday, hurt by softer consumer spending on discretionary renovation projects amid macroeconomic uncertainty, sending its shares down 6% before the bell.
Homeowners are deferring major remodeling and upgrade plans amid concerns around higher living and borrowing costs, coupled with a challenging job market.
Here are some details:
The Livonia, Michigan-based company posted a 3% drop in second-quarter sales to $1.99 billion, missing estimates of $2.08 billion, according to data compiled by LSEG.
Net sales in its plumbing products segment, a major revenue contributor, fell 3% from a year ago.
Masco raised its full-year adjusted earnings forecast range to $4.40 to $4.60 per share, from $4.10 to $4.30 on the back of an expected tariff refund.
CEO Jon Nudi expects IEEPA (International Emergency Economic Powers Act) tariff refunds of about $85 million to drive its 2026 profit outlook, after recording a net benefit of about $95 million in the second quarter.
The company earned a quarterly adjusted profit of $1.64 per share, topping estimates of $1.32.
Masco, the owner of brands such as Delta faucets and Behr paints, sells home-improvement and building products, with demand largely dependent on housing repair and remodeling activity.
(Reporting by Shania S Thomas in Bengaluru; Editing by Maju Samuel)
((shanias.thomas@thomsonreuters.com))
Recent news on Masco
See all newsRBC downgrades building product companies, flags 2027 headwinds
US RESEARCH ROUNDUP-Allstate, Caribou Biosciences, Zscaler
Brief: Masco Corporation Says Chairman Emeritus Richard Manoogian Passes Away At Age 90
U.S. RESEARCH ROUNDUP-Masco, Sherwin-Williams, Vulcan Materials
S&P 500 top and bottom performing stocks at about 03:30 p.m. EDT