Masco Corporation Reports Third Quarter 2022 Results
Masco Corporation reported its third quarter 2022 results, highlighting net sales of $2,204 million, unchanged from the prior year, but reflecting a 3% increase in local currency. Operating profit fell 9% to $351 million, with an operating margin of 15.9%. Earnings per share rose 9% to $0.97, while adjusted EPS dipped 1% to $0.98. Anticipating lower market demand and rising costs, adjusted EPS guidance was revised to $3.70 - $3.80. The Board authorized a $2.0 billion share repurchase program and declared a quarterly dividend of $0.28 per share.
- Earnings per share increased 9% to $0.97.
- Authorized a new $2.0 billion share repurchase program.
- Operating profit decreased 9% to $351 million.
- Operating margin decreased 160 basis points to 15.9%.
- Guidance for adjusted earnings per share lowered to $3.70 - $3.80, down from $4.15 - $4.25.
Highlights
-
Sales of
$2,204 million -
Operating profit was
$351 million -
Earnings per share increased 9 percent to
$0.97 $0.98 -
Board authorized new
$2.0 billion -
Anticipate 2022 earnings per share in the range of
$3.73 $3.83 $3.70 $3.80 $4.15 $4.25
2022 Third Quarter Results
-
On a reported basis, compared to third quarter 2021:
-
Net sales of
$2,204 million - North American sales increased 2 percent and international sales decreased 9 percent; in local currency, North American sales increased 3 percent and international sales increased 5 percent
- Gross margin decreased 270 basis points to 31.5 percent from 34.2 percent
-
Operating profit decreased 9 percent to
$351 million - Operating margin decreased 160 basis points to 15.9 percent from 17.5 percent
-
Net income increased to
$0.97 $0.89
-
Net sales of
-
Compared to third quarter 2021, results for key financial measures, as adjusted for certain items (see Exhibit A) and with a normalized tax rate of 25 percent, were as follows:
- Gross margin decreased 270 basis points to 31.5 percent compared to 34.2 percent
-
Operating profit decreased 9 percent to
$351 million $385 million - Operating margin decreased 160 basis points to 15.9 percent compared to 17.5 percent
-
Net income decreased to
$0.98 $0.99
-
Liquidity as of
September 30, 2022 was$1,464 million - Plumbing Products’ net sales were flat to prior year third quarter; in local currency, sales increased 5 percent
- Decorative Architectural Products’ net sales increased 1 percent
“During the third quarter, our pricing actions helped mitigate the impact of volume declines and persistent supply chain challenges,” said Masco President and CEO,
“As market conditions continue to evolve, we now anticipate lower market demand, elevated operational costs, and additional foreign currency headwinds in the fourth quarter,” continued Allman. “Given these challenges, we have lowered our guidance for full year adjusted earnings per share to
Dividend and Share Repurchase Authorization
Masco’s Board of Directors declared a quarterly dividend of
The Board also authorized a new
“Our dividend and share repurchase program are important pillars of our capital allocation strategy to deliver enhanced value to shareholders. The new
About Masco
Headquartered in
The third quarter 2022 supplemental material, including a presentation in PDF format, is available on Masco’s website at www.masco.com.
Conference Call Detail
A conference call regarding items contained in this release is scheduled for
The conference call will be webcast simultaneously and in its entirety through Masco’s website. Shareholders, media representatives and others interested in Masco may participate in the webcast by registering through the Investor Relations section on Masco’s website.
A replay of the call will be available on Masco’s website or by phone by dialing (866) 813-9403 from the
Safe Harbor Statement
This press release contains statements that reflect our views about our future performance and constitute “forward-looking statements” under the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “outlook,” “believe,” “anticipate,” “appear,” “may,” “will,” “should,” “intend,” “plan,” “estimate,” “expect,” “assume,” “seek,” “forecast,” and similar references to future periods. Our views about future performance involve risks and uncertainties that are difficult to predict and, accordingly, our actual results may differ materially from the results discussed in our forward-looking statements. We caution you against relying on any of these forward-looking statements.
Our future performance may be affected by the levels of residential repair and remodel activity, and to a lesser extent, new home construction, our ability to maintain our strong brands and reputation and to develop innovative products, our ability to maintain our competitive position in our industries, our reliance on key customers, the duration of the ongoing COVID-19 pandemic, including its impact on domestic and international economic activity, consumer discretionary spending, our employees and our supply chain, the cost and availability of materials, our dependence on third-party suppliers and service providers, extreme weather events and changes in climate, risks associated with our international operations and global strategies, our ability to achieve the anticipated benefits of our strategic initiatives, our ability to successfully execute our acquisition strategy and integrate businesses that we have and may acquire, our ability to attract, develop and retain talented and diverse personnel, risks associated with our reliance on information systems and technology, and risks associated with cybersecurity vulnerabilities, threats and attacks. These and other factors are discussed in detail in Item 1A. "Risk Factors" in our most recent Annual Report on Form 10-K, as well as in our Quarterly Reports on Form 10-Q and in other filings we make with the
|
||||||||||||||||
Condensed Consolidated Statements of Operations - Unaudited |
||||||||||||||||
For the Three and Nine Months Ended |
||||||||||||||||
(in millions, except per common share data) |
||||||||||||||||
|
Three Months Ended
|
|
Nine Months Ended
|
|||||||||||||
|
2022 |
|
2021 |
|
2022 |
|
2021 |
|||||||||
Net sales |
$ |
2,204 |
|
|
$ |
2,204 |
|
|
$ |
6,757 |
|
|
$ |
6,353 |
|
|
Cost of sales |
|
1,509 |
|
|
|
1,451 |
|
|
|
4,589 |
|
|
|
4,109 |
|
|
Gross profit |
|
695 |
|
|
|
753 |
|
|
|
2,168 |
|
|
|
2,244 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Selling, general and administrative expenses |
|
344 |
|
|
|
368 |
|
|
|
1,056 |
|
|
|
1,057 |
|
|
Operating profit |
|
351 |
|
|
|
385 |
|
|
|
1,112 |
|
|
|
1,187 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Other income (expense), net: |
|
|
|
|
|
|
|
|||||||||
Interest expense |
|
(29 |
) |
|
|
(26 |
) |
|
|
(82 |
) |
|
|
(253 |
) |
|
Other, net |
|
(12 |
) |
|
|
(17 |
) |
|
|
4 |
|
|
|
(438 |
) |
|
|
|
(41 |
) |
|
|
(43 |
) |
|
|
(78 |
) |
|
|
(691 |
) |
|
Income before income taxes |
|
310 |
|
|
|
342 |
|
|
|
1,034 |
|
|
|
496 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Income tax expense |
|
77 |
|
|
|
103 |
|
|
|
255 |
|
|
|
158 |
|
|
Net income |
|
233 |
|
|
|
239 |
|
|
|
779 |
|
|
|
338 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Less: Net income attributable to noncontrolling interest |
|
15 |
|
|
|
19 |
|
|
|
50 |
|
|
|
60 |
|
|
Net income attributable to |
$ |
218 |
|
|
$ |
220 |
|
|
$ |
729 |
|
|
$ |
278 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Income per common share attributable to |
|
|
|
|
|
|
|
|||||||||
Net income |
$ |
0.97 |
|
|
$ |
0.89 |
|
|
$ |
3.13 |
|
|
$ |
1.07 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Average diluted common shares outstanding |
|
227 |
|
|
|
247 |
|
|
|
233 |
|
|
|
253 |
|
|
Historical information is available on our website.
|
||||||||||||||||
Exhibit A: Reconciliations - Unaudited |
||||||||||||||||
For the Three and Nine Months Ended |
||||||||||||||||
(dollars in millions) |
||||||||||||||||
|
Three Months Ended
|
|
Nine Months Ended
|
|||||||||||||
|
2022 |
|
2021 |
|
2022 |
|
2021 |
|||||||||
Gross Profit, Selling, General and Administrative Expenses, and Operating Profit Reconciliations |
|
|
|
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|||||||||
Net sales |
$ |
2,204 |
|
|
$ |
2,204 |
|
|
$ |
6,757 |
|
|
$ |
6,353 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Gross profit, as reported |
$ |
695 |
|
|
$ |
753 |
|
|
$ |
2,168 |
|
|
$ |
2,244 |
|
|
Rationalization charges |
|
— |
|
|
|
— |
|
|
|
9 |
|
|
|
2 |
|
|
Gross profit, as adjusted |
$ |
695 |
|
|
$ |
753 |
|
|
$ |
2,177 |
|
|
$ |
2,246 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Gross margin, as reported |
|
31.5 |
% |
|
|
34.2 |
% |
|
|
32.1 |
% |
|
|
35.3 |
% |
|
Gross margin, as adjusted |
|
31.5 |
% |
|
|
34.2 |
% |
|
|
32.2 |
% |
|
|
35.4 |
% |
|
|
|
|
|
|
|
|
|
|||||||||
Selling, general and administrative expenses, as reported |
$ |
344 |
|
|
$ |
368 |
|
|
$ |
1,056 |
|
|
$ |
1,057 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Selling, general and administrative expenses as percent of net sales, as reported |
|
15.6 |
% |
|
|
16.7 |
% |
|
|
15.6 |
% |
|
|
16.6 |
% |
|
|
|
|
|
|
|
|
|
|||||||||
Operating profit, as reported |
$ |
351 |
|
|
$ |
385 |
|
|
$ |
1,112 |
|
|
$ |
1,187 |
|
|
Rationalization charges |
|
— |
|
|
|
— |
|
|
|
9 |
|
|
|
2 |
|
|
Operating profit, as adjusted |
$ |
351 |
|
|
$ |
385 |
|
|
$ |
1,121 |
|
|
$ |
1,189 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating margin, as reported |
|
15.9 |
% |
|
|
17.5 |
% |
|
|
16.5 |
% |
|
|
18.7 |
% |
|
Operating margin, as adjusted |
|
15.9 |
% |
|
|
17.5 |
% |
|
|
16.6 |
% |
|
|
18.7 |
% |
|
Historical information is available on our website.
|
||||||||||||||||
Exhibit A: Reconciliations - Unaudited |
||||||||||||||||
For the Three and Nine Months Ended |
||||||||||||||||
(in millions, except per common share data) |
||||||||||||||||
|
Three Months Ended
|
|
Nine Months Ended
|
|||||||||||||
|
2022 |
|
2021 |
|
2022 |
|
2021 |
|||||||||
Income Per Common Share Reconciliations |
|
|
|
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|||||||||
Income before income taxes, as reported |
$ |
310 |
|
|
$ |
342 |
|
|
$ |
1,034 |
|
|
$ |
496 |
|
|
Rationalization charges |
|
— |
|
|
|
— |
|
|
|
9 |
|
|
|
2 |
|
|
Pension costs associated with terminated plans |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
422 |
|
|
Loss (earnings) from equity investments, net |
|
6 |
|
|
|
(5 |
) |
|
|
6 |
|
|
|
(7 |
) |
|
Loss on extinguishment of debt |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
168 |
|
|
Fair value adjustment to contingent earnout obligation (1) |
|
— |
|
|
|
14 |
|
|
|
(24 |
) |
|
|
14 |
|
|
(Gain) loss on sale of business (2) |
|
— |
|
|
|
— |
|
|
|
(2 |
) |
|
|
18 |
|
|
(Gain) on preferred stock redemption |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(14 |
) |
|
Income before income taxes, as adjusted |
|
316 |
|
|
|
351 |
|
|
|
1,023 |
|
|
|
1,099 |
|
|
Tax at |
|
(79 |
) |
|
|
(88 |
) |
|
|
(256 |
) |
|
|
(275 |
) |
|
Less: Net income attributable to noncontrolling interest |
|
15 |
|
|
|
19 |
|
|
|
50 |
|
|
|
60 |
|
|
Net income, as adjusted |
$ |
222 |
|
|
$ |
244 |
|
|
$ |
717 |
|
|
$ |
764 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Net income per common share, as adjusted |
$ |
0.98 |
|
|
$ |
0.99 |
|
|
$ |
3.08 |
|
|
$ |
3.02 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Average diluted common shares outstanding |
|
227 |
|
|
|
247 |
|
|
|
233 |
|
|
|
253 |
||
(1) |
Represents income for the nine months ended |
|
(2) |
Represents a pre-tax post-closing gain related to the finalization of working capital items related to the divestiture of Hüppe |
Outlook for the Twelve Months Ended |
||||||||
|
Twelve Months Ended |
|||||||
|
Low End |
|
High End |
|||||
Income Per Common Share Outlook |
|
|
|
|||||
|
|
|
|
|||||
Net income per common share |
$ |
3.73 |
|
|
$ |
3.83 |
|
|
Rationalization charges |
|
0.03 |
|
|
|
0.03 |
|
|
Fair value adjustment to contingent earnout obligation (1) |
|
(0.08 |
) |
|
|
(0.08 |
) |
|
(Gain) on sale of business (2) |
|
(0.01 |
) |
|
|
(0.01 |
) |
|
Loss from equity investments, net |
|
0.02 |
|
|
|
0.02 |
|
|
Allocation to participating securities per share (3) |
|
0.01 |
|
|
|
0.01 |
|
|
Net income per common share, as adjusted |
$ |
3.70 |
|
|
$ |
3.80 |
|
|
(1) |
Represents income from the revaluation of contingent consideration related to a prior acquisition. |
|
(2) |
Represents a pre-tax post-closing gain related to the finalization of working capital items related to the divestiture of Hüppe. |
|
(3) |
Represents the impact of distributed dividends and undistributed earnings to unvested restricted stock awards as well as an allocation to redeemable noncontrolling interest in accordance with the two-class method of calculating earnings per share. |
Historical information is available on our website.
|
|||||||
Condensed Consolidated Balance Sheets and Other Financial Data - Unaudited |
|||||||
|
|||||||
(dollars in millions) |
|||||||
|
|
|
|
||||
Balance Sheet |
|
|
|
||||
Assets |
|
|
|
||||
Current Assets: |
|
|
|
||||
Cash and cash investments |
$ |
464 |
|
|
$ |
926 |
|
Receivables |
|
1,330 |
|
|
|
1,171 |
|
Prepaid expenses and other |
|
131 |
|
|
|
109 |
|
Inventories |
|
1,339 |
|
|
|
1,216 |
|
Total Current Assets |
|
3,264 |
|
|
|
3,422 |
|
|
|
|
|
||||
Property and equipment, net |
|
902 |
|
|
|
896 |
|
|
|
544 |
|
|
|
568 |
|
Other intangible assets, net |
|
359 |
|
|
|
388 |
|
Operating lease right-of-use assets |
|
263 |
|
|
|
187 |
|
Other assets |
|
85 |
|
|
|
114 |
|
Total Assets |
$ |
5,417 |
|
|
$ |
5,575 |
|
|
|
|
|
||||
Liabilities |
|
|
|
||||
Current Liabilities: |
|
|
|
||||
Accounts payable |
$ |
1,048 |
|
|
$ |
1,045 |
|
Notes payable |
|
405 |
|
|
|
10 |
|
Accrued liabilities |
|
771 |
|
|
|
884 |
|
Total Current Liabilities |
|
2,224 |
|
|
|
1,939 |
|
|
|
|
|
||||
Long-term debt |
|
2,946 |
|
|
|
2,949 |
|
Noncurrent operating lease liabilities |
|
253 |
|
|
|
172 |
|
Other liabilities |
|
410 |
|
|
|
437 |
|
Total Liabilities |
|
5,833 |
|
|
|
5,497 |
|
|
|
|
|
||||
Redeemable noncontrolling interest |
|
20 |
|
|
|
22 |
|
|
|
|
|
||||
Equity |
|
(436 |
) |
|
|
56 |
|
Total Liabilities and Equity |
$ |
5,417 |
|
|
$ |
5,575 |
|
|
As of |
||||||
|
2022 |
|
2021 |
||||
Other Financial Data |
|
|
|
||||
Working Capital Days |
|
|
|
||||
Receivable days |
|
51 |
|
|
|
51 |
|
Inventory days |
|
87 |
|
|
|
80 |
|
Payable days |
|
66 |
|
|
|
65 |
|
Working capital |
$ |
1,621 |
|
|
$ |
1,400 |
|
Working capital as a % of sales (LTM) |
|
18.5 |
% |
|
|
17.0 |
% |
Historical information is available on our website.
|
||||||||
Condensed Consolidated Statements of Cash Flows and Other Financial Data - Unaudited |
||||||||
For the Nine Months Ended |
||||||||
(dollars in millions) |
||||||||
|
Nine Months Ended |
|||||||
|
2022 |
|
2021 |
|||||
Cash Flows From (For) Operating Activities: |
|
|
|
|||||
Cash provided by operating activities |
$ |
954 |
|
|
$ |
904 |
|
|
Working capital changes |
|
(434 |
) |
|
|
(309 |
) |
|
Net cash from operating activities |
|
520 |
|
|
|
595 |
|
|
|
|
|
|
|||||
Cash Flows From (For) Financing Activities: |
|
|
|
|||||
Retirement of notes |
|
— |
|
|
|
(1,326 |
) |
|
Purchase of Company common stock |
|
(914 |
) |
|
|
(878 |
) |
|
Cash dividends paid |
|
(195 |
) |
|
|
(154 |
) |
|
Dividends paid to noncontrolling interest |
|
(68 |
) |
|
|
(43 |
) |
|
Issuance of notes, net of issuance costs |
|
— |
|
|
|
1,481 |
|
|
Proceeds from term loan |
|
500 |
|
|
|
— |
|
|
Payment of term loan |
|
(100 |
) |
|
|
— |
|
|
Debt extinguishment costs |
|
— |
|
|
|
(160 |
) |
|
Proceeds from the exercise of stock options |
|
1 |
|
|
|
1 |
|
|
Employee withholding taxes paid on stock-based compensation |
|
(17 |
) |
|
|
(14 |
) |
|
Decrease in debt, net |
|
(9 |
) |
|
|
(2 |
) |
|
Net cash for financing activities |
|
(802 |
) |
|
|
(1,095 |
) |
|
|
|
|
|
|||||
Cash Flows From (For) Investing Activities: |
|
|
|
|||||
Capital expenditures |
|
(137 |
) |
|
|
(82 |
) |
|
Acquisition of businesses, net of cash acquired |
|
— |
|
|
|
(57 |
) |
|
Proceeds from disposition of businesses, net of cash disposed |
|
— |
|
|
|
5 |
|
|
Proceeds from disposition of other financial investments |
|
1 |
|
|
|
170 |
|
|
Other, net |
|
(8 |
) |
|
|
7 |
|
|
Net cash (for) from investing activities |
|
(144 |
) |
|
|
43 |
|
|
|
|
|
|
|||||
Effect of exchange rate changes on cash and cash investments |
|
(36 |
) |
|
|
(15 |
) |
|
|
|
|
|
|||||
Cash and Cash Investments: |
|
|
|
|||||
Decrease for the period |
|
(462 |
) |
|
|
(472 |
) |
|
At |
|
926 |
|
|
|
1,326 |
|
|
At |
$ |
464 |
|
|
$ |
854 |
|
|
|
As of |
|||||||
|
2022 |
|
2021 |
|||||
Liquidity |
|
|
|
|||||
Cash and cash investments |
$ |
464 |
|
$ |
854 |
|||
Revolver availability |
|
1,000 |
|
|
1,000 |
|||
Total Liquidity |
$ |
1,464 |
|
$ |
1,854 |
|||
Historical information is available on our website.
|
||||||||||||||||||||||
Segment Data - Unaudited |
||||||||||||||||||||||
For the Three and Nine Months Ended |
||||||||||||||||||||||
(dollars in millions) |
||||||||||||||||||||||
|
Three Months Ended
|
|
|
|
Nine Months Ended
|
|
|
|||||||||||||||
|
2022 |
|
2021 |
|
Change |
|
2022 |
|
2021 |
|
Change |
|||||||||||
Plumbing Products |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net sales |
$ |
1,324 |
|
|
$ |
1,329 |
|
|
— |
% |
|
$ |
4,056 |
|
|
$ |
3,907 |
|
|
4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Operating profit, as reported |
$ |
220 |
|
|
$ |
248 |
|
|
|
|
$ |
686 |
|
|
$ |
773 |
|
|
|
|||
Operating margin, as reported |
|
16.6 |
% |
|
|
18.7 |
% |
|
|
|
|
16.9 |
% |
|
|
19.8 |
% |
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Rationalization charges |
|
— |
|
|
|
— |
|
|
|
|
|
— |
|
|
|
2 |
|
|
|
|||
Operating profit, as adjusted |
|
220 |
|
|
|
248 |
|
|
|
|
|
686 |
|
|
|
775 |
|
|
|
|||
Operating margin, as adjusted |
|
16.6 |
% |
|
|
18.7 |
% |
|
|
|
|
16.9 |
% |
|
|
19.8 |
% |
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Depreciation and amortization |
|
24 |
|
|
|
26 |
|
|
|
|
|
73 |
|
|
|
76 |
|
|
|
|||
EBITDA, as adjusted |
$ |
244 |
|
|
$ |
274 |
|
|
|
|
$ |
759 |
|
|
$ |
851 |
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Decorative Architectural Products |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net sales |
$ |
880 |
|
|
$ |
875 |
|
|
1 |
% |
|
$ |
2,701 |
|
|
$ |
2,446 |
|
|
10 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Operating profit, as reported |
$ |
151 |
|
|
$ |
166 |
|
|
|
|
$ |
498 |
|
|
$ |
496 |
|
|
|
|||
Operating margin, as reported |
|
17.2 |
% |
|
|
19.0 |
% |
|
|
|
|
18.4 |
% |
|
|
20.3 |
% |
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Rationalization charges |
|
— |
|
|
|
— |
|
|
|
|
|
8 |
|
|
|
— |
|
|
|
|||
Accelerated depreciation related to rationalization activity - segment |
|
— |
|
|
|
— |
|
|
|
|
|
1 |
|
|
|
— |
|
|
|
|||
Operating profit, as adjusted |
|
151 |
|
|
|
166 |
|
|
|
|
|
507 |
|
|
|
496 |
|
|
|
|||
Operating margin, as adjusted |
|
17.2 |
% |
|
|
19.0 |
% |
|
|
|
|
18.8 |
% |
|
|
20.3 |
% |
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Depreciation and amortization |
|
8 |
|
|
|
8 |
|
|
|
|
|
25 |
|
|
|
27 |
|
|
|
|||
EBITDA, as adjusted |
$ |
159 |
|
|
$ |
174 |
|
|
|
|
$ |
532 |
|
|
$ |
523 |
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net sales |
$ |
2,204 |
|
|
$ |
2,204 |
|
|
— |
% |
|
$ |
6,757 |
|
|
$ |
6,353 |
|
|
6 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Operating profit, as reported - segment |
$ |
371 |
|
|
$ |
414 |
|
|
|
|
$ |
1,184 |
|
|
$ |
1,269 |
|
|
|
|||
General corporate expense, net |
|
(20 |
) |
|
|
(29 |
) |
|
|
|
|
(72 |
) |
|
|
(82 |
) |
|
|
|||
Operating profit, as reported |
|
351 |
|
|
|
385 |
|
|
|
|
|
1,112 |
|
|
|
1,187 |
|
|
|
|||
Operating margin, as reported |
|
15.9 |
% |
|
|
17.5 |
% |
|
|
|
|
16.5 |
% |
|
|
18.7 |
% |
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Rationalization charges - segment |
|
— |
|
|
|
— |
|
|
|
|
|
8 |
|
|
|
2 |
|
|
|
|||
Accelerated depreciation related to rationalization activity - segment |
|
— |
|
|
|
— |
|
|
|
|
|
1 |
|
|
|
— |
|
|
|
|||
Operating profit, as adjusted |
|
351 |
|
|
|
385 |
|
|
|
|
|
1,121 |
|
|
|
1,189 |
|
|
|
|||
Operating margin, as adjusted |
|
15.9 |
% |
|
|
17.5 |
% |
|
|
|
|
16.6 |
% |
|
|
18.7 |
% |
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Depreciation and amortization - segment |
|
32 |
|
|
|
34 |
|
|
|
|
|
98 |
|
|
|
103 |
|
|
|
|||
Depreciation and amortization - other |
|
2 |
|
|
|
2 |
|
|
|
|
|
6 |
|
|
|
11 |
|
|
|
|||
EBITDA, as adjusted |
$ |
385 |
|
|
$ |
421 |
|
|
|
|
$ |
1,225 |
|
|
$ |
1,303 |
|
|
|
|||
Historical information is available on our website.
North American and |
|||||||||||||||||||||
For the Three and Nine Months Ended |
|||||||||||||||||||||
(dollars in millions) |
|||||||||||||||||||||
|
Three Months Ended
|
|
|
|
Nine Months Ended
|
|
|
||||||||||||||
|
2022 |
|
2021 |
|
Change |
|
2022 |
|
2021 |
|
Change |
||||||||||
North American |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net sales |
$ |
1,792 |
|
|
$ |
1,753 |
|
|
2 |
% |
|
$ |
5,431 |
|
|
$ |
4,999 |
|
|
9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit, as reported |
$ |
305 |
|
|
$ |
332 |
|
|
|
|
$ |
961 |
|
|
$ |
1,010 |
|
|
|
||
Operating margin, as reported |
|
17.0 |
% |
|
|
18.9 |
% |
|
|
|
|
17.7 |
% |
|
|
20.2 |
% |
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Rationalization charges |
|
— |
|
|
|
— |
|
|
|
|
|
8 |
|
|
|
2 |
|
|
|
||
Accelerated depreciation related to rationalization activity |
|
— |
|
|
|
— |
|
|
|
|
|
1 |
|
|
|
— |
|
|
|
||
Operating profit, as adjusted |
|
305 |
|
|
|
332 |
|
|
|
|
|
970 |
|
|
|
1,012 |
|
|
|
||
Operating margin, as adjusted |
|
17.0 |
% |
|
|
18.9 |
% |
|
|
|
|
17.9 |
% |
|
|
20.2 |
% |
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization |
|
21 |
|
|
|
22 |
|
|
|
|
|
64 |
|
|
|
66 |
|
|
|
||
EBITDA, as adjusted |
$ |
326 |
|
|
$ |
354 |
|
|
|
|
$ |
1,034 |
|
|
$ |
1,078 |
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
International |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net sales |
$ |
412 |
|
|
$ |
451 |
|
|
(9 |
)% |
|
$ |
1,326 |
|
|
$ |
1,354 |
|
|
(2 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit, as reported |
$ |
66 |
|
|
$ |
82 |
|
|
|
|
$ |
223 |
|
|
$ |
259 |
|
|
|
||
Operating margin, as reported |
|
16.0 |
% |
|
|
18.2 |
% |
|
|
|
|
16.8 |
% |
|
|
19.1 |
% |
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization |
|
11 |
|
|
|
12 |
|
|
|
|
|
34 |
|
|
|
37 |
|
|
|
||
EBITDA |
$ |
77 |
|
|
$ |
94 |
|
|
|
|
$ |
257 |
|
|
$ |
296 |
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net sales |
$ |
2,204 |
|
|
$ |
2,204 |
|
|
— |
% |
|
$ |
6,757 |
|
|
$ |
6,353 |
|
|
6 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating profit, as reported - segment |
$ |
371 |
|
|
$ |
414 |
|
|
|
|
$ |
1,184 |
|
|
$ |
1,269 |
|
|
|
||
General corporate expense, net |
|
(20 |
) |
|
|
(29 |
) |
|
|
|
|
(72 |
) |
|
|
(82 |
) |
|
|
||
Operating profit, as reported |
|
351 |
|
|
|
385 |
|
|
|
|
|
1,112 |
|
|
|
1,187 |
|
|
|
||
Operating margin, as reported |
|
15.9 |
% |
|
|
17.5 |
% |
|
|
|
|
16.5 |
% |
|
|
18.7 |
% |
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Rationalization charges - segment |
|
— |
|
|
|
— |
|
|
|
|
|
8 |
|
|
|
2 |
|
|
|
||
Accelerated depreciation related to rationalization activity - segment |
|
— |
|
|
|
— |
|
|
|
|
|
1 |
|
|
|
— |
|
|
|
||
Operating profit, as adjusted |
|
351 |
|
|
|
385 |
|
|
|
|
|
1,121 |
|
|
|
1,189 |
|
|
|
||
Operating margin, as adjusted |
|
15.9 |
% |
|
|
17.5 |
% |
|
|
|
|
16.6 |
% |
|
|
18.7 |
% |
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization - segment |
|
32 |
|
|
|
34 |
|
|
|
|
|
98 |
|
|
|
103 |
|
|
|
||
Depreciation and amortization - other |
|
2 |
|
|
|
2 |
|
|
|
|
|
6 |
|
|
|
11 |
|
|
|
||
EBITDA, as adjusted |
$ |
385 |
|
|
$ |
421 |
|
|
|
|
$ |
1,225 |
|
|
$ |
1,303 |
|
|
|
||
Historical information is available on our website.
View source version on businesswire.com: https://www.businesswire.com/news/home/20221026005247/en/
Investor Contact
Vice President, Treasurer and Investor Relations
313.792.5500
david_chaika@mascohq.com
Source:
FAQ
What were Masco Corporation's third quarter 2022 earnings per share?
How did Masco's sales perform in the third quarter of 2022?
What changes did Masco make to its earnings guidance for 2022?
What is the amount of Masco's new share repurchase program?
When is Masco's quarterly dividend payment scheduled for 2022?
