Masco profits soar in Q4

Home improvement products manufacturer Masco reported fourth quarter 2023 sales slipped 2% to $1.88 billion from fourth quarter 2022 sales of $1.92 billion.

Both North American and international sales decreased 3% for the period. Plumbing product sales increased 1% in the third quarter as sales of decorative architectural products decreased 7%.

But Masco posted a net income of $191 million in the fourth quarter, marking a 66% increase from a net income of $115 million the fourth quarter 2022.

Sales for the year declined 8% to $7.97 billion from 2022 sales of $8.68 billion. North American sales decreased by 9% for the full year while international sales fell 6%. 

Masco’s net income for the full year (2023) rose 7.6% to $908 million from $844 million in the prior year.

Based in Livonia, Michigan, Masco’s portfolio of products includes Behr paint; Delta and Hansgrohe faucets, bath and shower fixtures; Kichler decorative and outdoor lighting; Liberty branded decorative and functional hardware; and HotSpring spas, among other brands.

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The Bottom Line: As sales slide 2% in the fourth quarter, profits jump by 66% to $191 million.

What the CEO said: “In 2024, we believe demand is stabilizing and expect our sales to be approximately flat for the full year in a market that is flat to down low single digits,” said Masco President and CEO Keith Allman. “Based on this market outlook and our expected operating performance and capital deployment actions, we anticipate full year adjusted earnings per share to be in the range of $4.00 to $4.25 per share. With our industry-leading repair and remodel-oriented products in diverse channels, strong balance sheet, and disciplined capital allocation, we believe Masco is well positioned to deliver long-term shareholder value.”

Company info: Click here to read the full fourth quarter 2023 financial report from Masco.