02.11.25
Masco Corporation reported its fourth quarter and full-year 2024 results.
On a reported basis, compared to the fourth quarter 2023, fourth quarter 2024 net sales decreased 3% to $1,828 million; in local currency and excluding divestitures, net sales increased 1%.
Plumbing Products’ net sales decreased 1%; in local currency net sales decreased 1%. Decorative Architectural Products’ net sales decreased 6%; in local currency and excluding divestitures, net sales increased 5%. In local currency, North American sales decreased 4% and International sales increased 2%.
Gross margin was flat at 34.7%. Operating profit increased 17% to $290 million from $247 million. Operating margin increased 280 basis points to 15.9% from 13.1%. Net income was flat at $0.85 per share.
For full year 2024, compared to full year 2023, net sales decreased 2% to $7,828 million; in local currency and excluding acquisitions and divestitures, net sales decreased 1%. In local currency, North American sales decreased 2% and international sales were flat.
Gross margin increased 60 basis points to 36.2% from 35.6%. Operating profit increased 1% to $1,363 million from $1,348 million. Operating margin increased 50 basis points to 17.4% from 16.9%. Net income decreased to $3.76 per share, compared to $4.02 per share.
“We delivered another quarter of strong operating results,” said Keith Allman, Masco’s president and CEO. “Our fourth quarter adjusted operating profit margin expanded 140 basis points, marking the seventh consecutive quarter of year-over-year margin expansion, and our adjusted earnings per share grew by 7%. Additionally, we executed on our capital allocation strategy by returning $331 million to shareholders in the quarter through dividends and share repurchases.
“For the full year 2024, we expanded adjusted operating margin by 70 basis points to 17.5% through our focus on cost savings initiatives and operational efficiencies,” continued Allman. “With this strong execution, we delivered adjusted earnings per share growth of 6% despite a challenging demand environment. Our strong cash flow also enabled us to return $1.0 billion to shareholders through dividends and share repurchases.
“In 2025, we believe demand across the global repair and remodel markets will be flat to down low single digits. We expect our sales to be approximately flat to up low-single digits when adjusted for divestitures and currency, as we expect to continue to outperform the market in 2025,” said Allman.
“Based on the market outlook, our expected operating performance, and our capital deployment actions, we anticipate full year adjusted earnings per share to be in the range of $4.20 to $4.45 per share,” Allman concluded. “With our industry leading repair and remodel-oriented product portfolio, strong balance sheet, and disciplined capital allocation, we believe Masco is well positioned to continue to deliver long-term shareholder value.”
On a reported basis, compared to the fourth quarter 2023, fourth quarter 2024 net sales decreased 3% to $1,828 million; in local currency and excluding divestitures, net sales increased 1%.
Plumbing Products’ net sales decreased 1%; in local currency net sales decreased 1%. Decorative Architectural Products’ net sales decreased 6%; in local currency and excluding divestitures, net sales increased 5%. In local currency, North American sales decreased 4% and International sales increased 2%.
Gross margin was flat at 34.7%. Operating profit increased 17% to $290 million from $247 million. Operating margin increased 280 basis points to 15.9% from 13.1%. Net income was flat at $0.85 per share.
For full year 2024, compared to full year 2023, net sales decreased 2% to $7,828 million; in local currency and excluding acquisitions and divestitures, net sales decreased 1%. In local currency, North American sales decreased 2% and international sales were flat.
Gross margin increased 60 basis points to 36.2% from 35.6%. Operating profit increased 1% to $1,363 million from $1,348 million. Operating margin increased 50 basis points to 17.4% from 16.9%. Net income decreased to $3.76 per share, compared to $4.02 per share.
“We delivered another quarter of strong operating results,” said Keith Allman, Masco’s president and CEO. “Our fourth quarter adjusted operating profit margin expanded 140 basis points, marking the seventh consecutive quarter of year-over-year margin expansion, and our adjusted earnings per share grew by 7%. Additionally, we executed on our capital allocation strategy by returning $331 million to shareholders in the quarter through dividends and share repurchases.
“For the full year 2024, we expanded adjusted operating margin by 70 basis points to 17.5% through our focus on cost savings initiatives and operational efficiencies,” continued Allman. “With this strong execution, we delivered adjusted earnings per share growth of 6% despite a challenging demand environment. Our strong cash flow also enabled us to return $1.0 billion to shareholders through dividends and share repurchases.
“In 2025, we believe demand across the global repair and remodel markets will be flat to down low single digits. We expect our sales to be approximately flat to up low-single digits when adjusted for divestitures and currency, as we expect to continue to outperform the market in 2025,” said Allman.
“Based on the market outlook, our expected operating performance, and our capital deployment actions, we anticipate full year adjusted earnings per share to be in the range of $4.20 to $4.45 per share,” Allman concluded. “With our industry leading repair and remodel-oriented product portfolio, strong balance sheet, and disciplined capital allocation, we believe Masco is well positioned to continue to deliver long-term shareholder value.”
