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MAS · Masco

50 filings

10-Q

MAS 10-Q Quarterly Reports

Masco - 50 quarterly reports

Filing record · 2016–202610-K1110-Q338-K95

MAS filed 11 annual reports (10-K), 33 quarterly reports (10-Q) and 95 current reports (8-K) between 2016 and 2026.

  1. FY2016 annual report10-K · Feb ’17Feb ’17
  2. Deal closed8-K · Feb ’20Feb ’20
  3. Leadership change8-K · Feb ’22Feb ’22
  4. Leadership change8-K · Jan ’26Jan ’26
  1. 2026-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2026

    Masco Corporation's Form 10-Q for the quarter ended September 30, 2026 shows net sales of $1,966 million for the three months, up from $1,917 million a year earlier, and $5,875 million for the nine months, up from $5,769 million. Net income attributable to Masco Corporation was $230 million for the quarter versus $189 million, and diluted income per common share was $1.17 versus $0.90. Operating profit rose to $338 million from $303 million, with gross margin of 36.6% versus 34.2%. For the nine months, operating profit included a net tariff benefit from IEEPA tariff refunds of approximately $90 million, principally in the Plumbing Products segment. Excluding divestitures and currency translation, quarterly net sales increased four percent, driven mainly by higher net selling prices. Capital allocation was a major focus during the period. The company repurchased and retired approximately 12.3 million shares for about $861 million in the nine months, and it borrowed $300 million under a delayed draw term loan to fund repurchases. The Board authorized up to $2.0 billion of repurchases in February 2026, with approximately $1.2 billion remaining at quarter end, and management anticipates using about $1.0 billion of cash, including term loan funds, for repurchases in 2026. Total shareholders' deficit was $(448) million attributable to Masco, and total equity was $(193) million at September 30, 2026, compared with $76 million total equity at December 31, 2025. Long-term debt increased to $3,245 million from $2,945 million. During the quarter, Masco completed the divestiture of its Bristan Group business for $65 million, net of cash disposed, recognizing a preliminary gain of $13 million. Restructuring charges were approximately $13 million for the quarter and $33 million for the nine months, with about $50 million expected for full-year 2026. Management cites a dynamic geopolitical and macroeconomic environment, elevated commodity and input costs, and tariffs, particularly those related to China, as ongoing pressures.

    Oct 28, 2026
  2. 2026-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2026

    Masco Corporation's second quarter 2026 results show net sales of $1,992 million, down from $2,051 million in the second quarter of 2025, while operating profit rose to $470 million from $412 million and diluted income per common share was $1.60 versus $1.28. Results were inclusive of a net tariff benefit from IEEPA tariff refunds of approximately $95 million, principally in the Plumbing Products segment. For the six months, net sales were $3,910 million and operating profit was $787 million, with diluted income per share of $2.64 compared with $2.15. Gross margin improved to 43.6% in the quarter from 37.6%, though management cites lower North America sales volume, elevated commodity and employee costs, and tariff exposure, particularly related to China, as ongoing pressures. Capital allocation was active during the period. The company repurchased and retired approximately 7.8 million shares for about $596 million in the first six months (excluding incremental shares received in July 2026 under a $300 million accelerated share repurchase), and it anticipates using approximately $1.0 billion of cash, including term loan funds, for share repurchases in 2026. Long-term debt rose to $3,245 million from $2,945 million after a $300 million term loan was drawn to fund buybacks. Total equity turned negative at $(118) million at June 30, 2026, compared with $76 million at year-end 2025, reflecting share repurchases and retained deficit. Cash and cash investments declined to $548 million. A subsequent event occurred on July 28, 2026, when the company completed the divestiture of its Bristan Group business for a purchase price of £49 million ($65 million), net of cash disposed, with up to an additional £6 million ($8 million) contingent on performance measures. Restructuring charges were approximately $20 million for the six months, with about $50 million expected for full-year 2026.

    Jul 29, 2026
  3. 2026-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2026

    Masco Corporation's first-quarter 2026 results show net sales of $1,918 million, up six percent from $1,801 million a year earlier. Excluding currency translation, net sales rose four percent, driven mainly by higher net selling prices across the company, which added five percent, partly offset by lower paint and coatings volume. Gross profit grew seven percent to $686 million with gross margin flat at 35.8 percent. Operating profit rose 10 percent to $316 million, and net income attributable to Masco Corporation increased to $213 million from $186 million, or $1.05 diluted earnings per share versus $0.87. Plumbing Products net sales increased nine percent to $1,364 million, while Decorative Architectural Products was flat at $554 million. Cash flow was weaker. Net cash used for operating activities was $79 million, driven mainly by working capital changes, and cash and cash investments fell to $388 million from $647 million at year-end 2025. Total equity was $27 million at March 31, 2026, down from $76 million, and Masco shareholders' deficit was $(242) million. Share repurchases totaled $203 million in the quarter under a new $2.0 billion authorization approved February 10, 2026, leaving about $1.9 billion remaining. Management anticipates using at least $800 million of cash, including funds from a delayed draw term loan, for share repurchases in 2026. Debt activity included a new $1.0 billion revolving credit agreement dated March 20, 2026, maturing in 2031, which replaced the 2022 facility, and a subsequent up to $500 million delayed draw term loan entered April 21, 2026, due April 21, 2028. Management flagged tariffs, particularly those related to China, as a continuing cost pressure, and noted a possible but unquantified tariff refund following a Supreme Court ruling, with no amounts recognized as of March 31, 2026.

    Apr 22, 2026
  4. 2025-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2025

    Masco Corporation's third-quarter 2025 10-Q reports net sales of $1,917 million for the three months ended September 30, 2025, down from $1,983 million a year earlier, and net sales of $5,769 million for the nine months, down from $6,000 million. Management attributes the decline mainly to lower sales volume across the company, partially offset by higher net selling prices in Plumbing Products. Operating profit was $303 million for the quarter versus $357 million in the prior-year quarter, and gross margin was 34.2% versus 36.6%, with the filing citing higher commodity and tariff costs, particularly related to China, as pressures on costs. Net income attributable to Masco Corporation was $189 million for the quarter, up from $167 million, and diluted income per share was $0.90 versus $0.77; the prior-year quarter included an $81 million preliminary loss on the Kichler Lighting divestiture within other, net. Balance sheet and cash flow data show cash and cash investments of $559 million at September 30, 2025, long-term debt of $2,945 million, and total equity of $168 million, compared with a deficit of $53 million at December 31, 2024. Net cash from operating activities was $604 million for the nine months, versus $668 million a year earlier. Masco repurchased $354 million of common stock and paid $197 million in cash dividends during the nine months, and management anticipates about $500 million of share repurchases in 2025 outside of any acquisitions. The revolving credit agreement of $1.0 billion remained undrawn at quarter end, and the company reported compliance with its financial covenants. Management states that lower market demand, elevated commodity and input costs, employee-related cost inflation, and tariffs are continuing pressures, and that consumer demand could diminish further if confidence erodes. The Decorative Architectural Products segment saw net sales decline 12% in the quarter, largely due to the Kichler divestiture and lower volume, while Plumbing Products net sales rose 2%.

    Oct 29, 2025
  5. 2025-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2025

    Masco Corporation reported second-quarter 2025 net sales of $2,051 million, down two percent from $2,091 million in the prior-year quarter. Excluding divestitures and currency translation, net sales were flat, supported by higher net selling prices of plumbing products, partly offset by lower paint and coatings volume. Operating profit rose four percent to $412 million, and net income attributable to Masco Corporation increased to $270 million, with diluted income per share of $1.28 versus $1.17. For the six months, net sales were $3,852 million, down four percent, and diluted income per share was $2.15, compared with $2.14. The Decorative Architectural Products segment was the main drag, with net sales down 12 percent in the quarter, largely due to the Kichler Lighting divestiture and lower volume. Cash flow and liquidity weakened in the first half. Net cash from operating activities was $148 million, versus $252 million a year earlier, primarily reflecting working capital changes, including higher receivables and inventories. Cash and cash investments were $390 million at June 30, 2025, down from $634 million at December 31, 2024. Masco repurchased shares for $231 million in the six months, paid $132 million in cash dividends, and expects to use at least $450 million for share repurchases in 2025. Management stated that it expects recently enacted and announced tariffs, particularly those related to China, to result in significantly higher costs, mainly in the Plumbing Products segment, and that consumer demand could weaken further. Total equity improved to $150 million at June 30, 2025, from a deficit of $53 million at year-end 2024. The company was in compliance with its credit agreement covenants, with $46 million borrowed at June 30, 2025, which was repaid after the quarter end. Management reported no material changes to risk factors from its 2024 Form 10-K.

    Jul 31, 2025
  6. 2025-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2025

    Masco Corporation's first-quarter 2025 Form 10-Q reports net sales of $1,801 million, down six percent from $1,926 million in the first quarter of 2024. Excluding divestitures and currency translation, net sales decreased three percent, driven mainly by lower sales volume in paints and other coating products and unfavorable sales mix in plumbing products. Operating profit was $286 million, down 10 percent from $318 million, and net income attributable to Masco Corporation was $186 million, or $0.87 per diluted share, compared with $215 million and $0.97 a year earlier. Gross margin rose slightly to 35.8 percent from 35.6 percent. Cash flow was weaker in the period. Net cash used for operating activities was $158 million, compared with $94 million a year earlier, mainly due to working capital changes, including a $225 million increase in receivables. Cash and cash investments fell to $377 million from $634 million at year-end 2024. Masco repurchased about 1.8 million shares for approximately $131 million and paid $66 million in dividends, partly offset by $131 million of net revolving credit borrowings. Long-term debt was unchanged at $2,945 million, and notes payable rose to $133 million from $3 million. Management stated that changing market conditions are reducing demand and that elevated commodity and input costs and tariffs, particularly those related to China, are expected to result in significantly higher costs, principally in the Plumbing Products segment. The company said it is unable to fully estimate the impact of these conditions on its future financial condition. Total equity improved to a deficit of $6 million from a deficit of $53 million at year-end 2024.

    Apr 23, 2025
  7. 2024-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2024

    Masco Corporation's third-quarter 2024 Form 10-Q shows net sales of $1.98 billion for the three months ended September 30, 2024, flat versus $1.98 billion in the prior-year quarter, and $6.00 billion for the nine months, down from $6.09 billion. Operating profit fell to $357 million from $383 million in the quarter and to $1.07 billion from $1.10 billion for the nine months. Net income attributable to Masco Corporation was $167 million for the quarter, down from $249 million, and diluted income per common share was $0.77 versus $1.10. The filing attributes the quarterly decline mainly to a preliminary $81 million loss on the sale of the Kichler Lighting business, recorded in other, net, along with the non-recurrence of a 2023 insurance settlement, higher marketing costs and commodity costs. Management said lower demand is being experienced and may continue, with elevated commodity and input costs and employee-related cost inflation. Cash flow and capital allocation were central in the period. Net cash from operating activities was $668 million for the nine months, versus $928 million a year earlier. Masco repurchased common stock for $482 million in cash during the nine months and paid $191 million in dividends, and management anticipates about $750 million of share repurchases in 2024 outside any acquisitions. Cash and cash investments were $646 million at September 30, 2024, and the company had $1.2 billion remaining under its 2022 repurchase authorization. Total equity rose to $142 million from $98 million at year-end 2023, while long-term debt was unchanged at $2.95 billion. The 2022 Credit Agreement provides a $1.0 billion revolving facility maturing April 26, 2027, with no borrowings outstanding at quarter-end, and the company stated it was in compliance with its covenants. The Kichler divestiture reduced Decorative Architectural Products net sales and goodwill, and the company disclosed no material changes to risk factors from its 2023 Form 10-K.

    Oct 29, 2024
  8. 2024-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2024

    Masco Corporation's Form 10-Q for the quarter ended June 30, 2024 reports second-quarter net sales of $2,091 million, down from $2,127 million in the prior-year quarter, while net income attributable to Masco Corporation was $258 million versus $263 million. For the first six months, net sales were $4,017 million versus $4,106 million, and net income attributable to Masco Corporation rose to $473 million from $468 million. Diluted income per common share was $1.17 for the quarter (versus $1.16) and $2.14 for the six months (versus $2.07). Management attributes the sales decline mainly to lower sales volume in paints and other coating products and unfavorable sales mix in plumbing products, partly offset by higher net selling prices. Gross profit grew to $785 million for the quarter, supported by cost savings initiatives and lower commodity costs, while SG&A expenses rose to $388 million on higher employee-related costs. Cash and cash investments declined to $398 million at June 30, 2024 from $634 million at December 31, 2023. Net cash from operating activities was $252 million for the six months, down from $448 million a year earlier, reflecting working capital changes. Shareholder returns remained significant: the company repurchased approximately $290 million of common stock in the first half of 2024 and paid $128 million in cash dividends, leaving about $1.4 billion remaining under its 2022 repurchase authorization. Long-term debt was unchanged at $2,945 million, and the company stated it was in compliance with all covenants under its $1.0 billion revolving credit agreement, with no borrowings outstanding. Management stated that it is experiencing, and may continue to experience, lower market demand and elevated commodity and other input costs, and that it aims to offset these pressures through productivity improvements, pricing, and other initiatives. The filing reports no material changes to risk factors from the 2023 Form 10-K.

    Jul 25, 2024
  9. 2024-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2024

    Masco Corporation's first-quarter 2024 Form 10-Q shows net sales of $1,926 million, down from $1,979 million in the first quarter of 2023. The filing attributes the decline primarily to lower sales volume, which decreased sales by four percent, partially offset by higher net selling prices that increased sales by one percent. Operating profit rose to $318 million from $315 million, and gross margin improved to 35.6% from 33.8%, which the company attributes to cost savings initiatives and higher net selling prices. Net income attributable to Masco Corporation was $215 million, or $0.97 per diluted share, compared with $205 million, or $0.90 per diluted share, a year earlier. Cash flow was weaker in the quarter. Net cash used for operating activities was $94 million, compared with $33 million of cash provided a year earlier, driven mainly by working capital changes, including a $258 million increase in receivables. Cash and cash investments declined to $368 million at March 31, 2024 from $634 million at December 31, 2023. Masco repurchased and retired approximately 2.1 million shares for about $148 million and paid $64 million in cash dividends. Long-term debt was unchanged at $2,945 million, and $1.5 billion remained under the 2022 share repurchase authorization. The company stated that it is experiencing lower market demand for its products and elevated commodity, input and employee-related costs, though some costs have recently moderated. Management said its existing cash, operating cash flow and borrowing availability under its $1.0 billion revolving credit agreement are sufficient for near-term needs, and it reported compliance with all covenants.

    Apr 24, 2024
  10. 2023-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2023

    Masco Corporation's Form 10-Q for the quarter ended September 30, 2023 shows net sales of $1,979 million for the third quarter, down from $2,204 million a year earlier, and $6,085 million for the first nine months, down from $6,757 million. Net sales decreased 10 percent for both periods, with lower sales volume (12 percent for the quarter and 13 percent for the nine months) the primary driver, partially offset by higher net selling prices. Despite lower sales, gross margin expanded to 37.6 percent in the quarter from 31.5 percent, and operating profit rose to $383 million from $351 million. Results for the quarter were helped by a $40 million insurance settlement payment, which increased gross profit and operating profit, related to a 2021 Texas weather event that disrupted a resin supplier. Net income attributable to Masco Corporation was $249 million, or $1.10 diluted per share, compared with $218 million, or $0.97, a year earlier. For the nine months, diluted earnings per share were $3.17 versus $3.13. Cash flow and balance sheet items were steady. Net cash from operating activities was $928 million for the nine months, versus $520 million a year earlier. The company spent $126 million repurchasing shares, paid $193 million in common dividends, and completed the $136 million acquisition of Sauna360 Group Oy, a sauna and steam shower maker added to the Plumbing Products segment. Cash and cash investments were $560 million at quarter-end, and the company had no borrowings outstanding under its $1.0 billion revolving credit agreement, though it had €60 million ($63 million) of short-term borrowings at its Hansgrohe SE subsidiary. The company stated it anticipates using approximately $350 million for share repurchases in 2023, and that it was in compliance with all covenants. Management noted that changing market conditions have led to lower market demand, while input costs remain elevated, and that it is unable to fully estimate the impact of those conditions on future financial condition.

    Oct 26, 2023
  11. 2023-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2023

    Masco Corporation's Form 10-Q for the quarter ended June 30, 2023 shows net sales of $2,127 million for the three months ended June 30, 2023, compared with $2,352 million a year earlier, and $4,106 million for the six months, compared with $4,553 million. Net sales decreased 10 percent for both periods. The filing attributes the decline primarily to lower sales volume, which reduced sales by 12 percent for the quarter and 13 percent for the six months, partly offset by higher net selling prices that increased sales by four percent and five percent, respectively. Gross margin improved to 36.2 percent for the quarter from 32.7 percent, while operating profit fell to $403 million from $408 million and net income attributable to Masco Corporation was $263 million versus $278 million. Diluted income per share was $1.16 for the quarter and $2.07 for the six months. Cash and cash investments were $380 million at June 30, 2023, and net cash from operating activities for the six months was $448 million, up from $174 million a year earlier. Capital expenditures were $133 million for the six months. The company repaid a $200 million 364-day term loan at maturity, borrowed €70 million ($77 million) of short-term debt through its Hansgrohe SE subsidiary, and repurchased about $81 million of common stock. Total debt on the balance sheet was $3.0 billion in carrying value, and the company stated it was in compliance with all covenants. Management anticipates using approximately $350 million for share repurchases in 2023. Subsequent to quarter end, Masco agreed to acquire Sauna360 Group Oy for an estimated €125 million, expected to close in the third quarter of 2023.

    Jul 27, 2023
  12. 2023-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2023

    Masco Corporation reported first-quarter 2023 net sales of $1,979 million, down from $2,201 million a year earlier, a decrease of 10 percent. The filing attributes the decline mainly to lower sales volume, which reduced sales by 14 percent, partially offset by higher net selling prices, which increased sales by six percent. Gross margin improved to 33.8 percent from 32.0 percent, reflecting higher net selling prices and cost savings initiatives. Operating profit fell to $315 million from $353 million, and net income attributable to Masco Corporation was $205 million, or $0.90 per diluted share, compared with $233 million, or $0.97 per diluted share, in the prior-year quarter. Cash flow from operations was $33 million, compared with negative $227 million a year earlier, and cash and cash investments rose to $510 million at March 31, 2023. Capital expenditures were $61 million. Shareholders' deficit was $(379) million and total equity was $(140) million, both improved from December 31, 2022. Management states that its present cash balance, cash flows from operations and borrowing availability under its 2022 Credit Agreement are sufficient to fund near-term needs, and that it is unable to fully estimate the extent of the impact of changing market conditions on its future financial condition. Debt included $413 million of notes payable and $2,946 million of long-term debt. Borrowings under the 2022 Credit Agreement were $210 million at March 31, 2023, and the company reported compliance with all covenants. After quarter end, it increased borrowings under the 2022 Credit Agreement to $266 million and repaid the remaining $200 million outstanding under its 364-day term loan. The company also repurchased about 1.1 million shares for approximately $56 million during the quarter, with about $1.9 billion remaining under its 2022 authorization.

    Apr 26, 2023
  13. 2022-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2022

    Masco Corporation's Form 10-Q for the quarter ended September 30, 2022 shows net sales of $2.2 billion for the third quarter, flat with the prior year, and $6.8 billion for the first nine months, up six percent from $6.35 billion. Gross margin narrowed to 31.5% in the quarter from 34.2%, citing higher commodity, other input and transportation costs, and operating profit fell to $351 million from $385 million. Net income attributable to Masco Corporation was $218 million, or $0.97 diluted per share, versus $220 million, or $0.89, a year earlier. For the nine months, net income attributable to Masco was $729 million, or $3.13 diluted per share, compared with $278 million, or $1.07, in 2021, a period that included a $406 million pension settlement loss. Cash flow and capital returns were a focus. Operating cash flow for the nine months was $520 million, and capital expenditures were $137 million. Masco repurchased about 16.6 million shares for approximately $914 million and paid $195 million in cash dividends. To fund these uses, the company entered into a $1.0 billion revolving credit agreement and a 364-day $500 million term loan, of which $100 million had been repaid by quarter-end and a further $65 million afterward. Cash and cash investments declined to $464 million from $926 million, and total equity was a deficit of $436 million, versus positive equity of $56 million at year-end 2021. The company also authorized a new $2.0 billion share repurchase program effective October 20, 2022. The filing states that the company was in compliance with all debt covenants and that no borrowings were outstanding under the revolving facility at quarter-end. Management attributed the lower current ratio of 1.5 to 1, down from 1.8 to 1, primarily to the term loan.

    Oct 26, 2022
  14. 2022-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2022

    Masco Corporation's Form 10-Q for the quarter ended June 30, 2022 reports net sales of $2,352 million for the second quarter, up from $2,179 million a year earlier, and $4,553 million for the six months, up from $4,149 million. Operating profit was $408 million in the quarter, down from $437 million, and $761 million for the six months, down from $802 million. Net income attributable to Masco Corporation was $278 million for the quarter, compared with a net loss of $36 million a year earlier, and diluted income per share was $1.18 versus a loss of $0.14. The prior-year quarter was distorted by a $406 million pension settlement loss, so the year-over-year comparison in other income is not representative of operating performance. The filing states that higher net selling prices drove sales growth, while higher commodity, input and transportation costs and unfavorable currency translation weighed on operating profit and gross margin, which fell to 32.7% from 36.3%. Balance sheet and liquidity changed meaningfully. Cash and cash investments fell to $440 million from $926 million at year-end 2021, notes payable rose to $508 million from $10 million, and total equity moved to a deficit of $(563) million from $56 million. The company repurchased approximately 16.6 million shares for about $914 million in the six months, including a $500 million accelerated stock repurchase, and it entered a new $1.0 billion revolving credit agreement and a 364-day $500 million term loan in April 2022. The current ratio declined to 1.4 to 1 from 1.8 to 1, which the filing attributes primarily to the term loan. The company states it was in compliance with all covenants and had no borrowings outstanding under the revolver at June 30, 2022. The filing states that management believes present cash, operating cash flow and revolver availability are sufficient for near-term needs. Net cash from operating activities was $174 million for the six months, down from $239 million, mainly reflecting higher receivables and inventory. The filing states there were no material changes to risk factors from the 2021 Form 10-K.

    Jul 28, 2022
  15. 2022-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2022

    Masco Corporation's first-quarter 2022 results show net sales of $2.20 billion, up from $1.97 billion a year earlier, with the filing stating that net sales rose 12 percent and rose 14 percent excluding acquisitions, divestitures and currency translation. Net income attributable to Masco Corporation was $233 million, or $0.97 per diluted share, compared with $94 million, or $0.34 per diluted share, in the prior-year quarter. Operating profit fell to $353 million from $365 million, and the operating profit margin declined to 16.0 percent from 18.5 percent, as the filing cites higher commodity and transportation costs and increased other expenses, partly offset by favorable net selling prices and higher sales volume. The prior-year quarter included a $168 million loss on debt extinguishment within interest expense, which largely explains the year-over-year improvement in net income. Cash flow was weaker: net cash used for operating activities was $227 million, driven by seasonal increases in receivables and inventories. Masco repurchased and retired 6.1 million shares for about $364 million and paid $67 million in dividends, funded partly by $263 million of revolving credit borrowings. Cash and cash investments declined to $479 million from $926 million at year-end 2021. Total shareholders' deficit attributable to Masco was $(371) million and total equity was $(121) million at March 31, 2022, compared with a total equity of $56 million at December 31, 2021. Subsequent to quarter-end, on April 26, 2022, Masco entered into a $1.0 billion revolving credit agreement maturing in 2027, which replaced its 2019 credit agreement, and a 364-day $500 million senior unsecured term loan. The company anticipates using approximately $900 million of cash for share repurchases during 2022, and the filing states it believes present cash, operating cash flows and borrowing availability are sufficient to fund near-term needs.

    Apr 27, 2022
  16. 2021-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2021

    Masco Corporation's third-quarter 2021 Form 10-Q reports net sales of $2.20 billion for the three months ended September 30, 2021, up 11 percent from $1.98 billion a year earlier, and $6.35 billion for the nine months, up 19 percent from $5.33 billion. Plumbing Products net sales rose 16 percent in the quarter and 32 percent year to date, while Decorative Architectural Products grew 4 percent in the quarter and 3 percent year to date. Gross profit margin fell to 34.2 percent in the quarter from 37.9 percent, which the company attributes to higher commodity and transportation costs. Net income attributable to Masco Corporation was $220 million for the quarter, down from $275 million, and $278 million for the nine months, down from $1.03 billion, which included income from discontinued operations in the prior-year period. Nine-month results were heavily affected by a $406 million pension settlement loss tied to termination of the qualified domestic defined-benefit pension plans, along with a $168 million loss on early debt retirement recorded as interest expense. Diluted income per share from continuing operations was $0.89 for the quarter and $1.07 for the nine months. Balance sheet and cash flow data show cash and cash investments of $854 million, long-term debt of $2.95 billion, and total equity of $101 million at September 30, 2021, down from $421 million at year-end 2020. Operating cash flow was $595 million for the nine months, and the company repurchased $878 million of common stock. At quarter end, $1.3 billion remained under the 2021 repurchase authorization, and the company reported that it was in compliance with its Credit Agreement covenants with no borrowings outstanding.

    Oct 27, 2021
  17. 2021-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2021

    Masco Corporation's second-quarter 2021 Form 10-Q shows net sales rising 24 percent to $2.18 billion for the three months ended June 30, 2021, from $1.76 billion a year earlier, with Plumbing Products sales up 53 percent and Decorative Architectural Products sales down 5 percent. Excluding acquisitions, divestitures and currency translation, net sales increased 18 percent for the quarter. Gross profit margin improved to 36.3 percent from 35.6 percent, but the company posted a net loss attributable to Masco Corporation of $36 million, or $(0.14) per diluted share, versus net income of $224 million a year earlier. The loss was driven primarily by a $406 million settlement loss from terminating the qualified domestic defined-benefit pension plans, which pushed other expense, net to $415 million for the quarter. For the six months, net income attributable to Masco was $58 million, or $0.20 per diluted share, compared with $754 million in the prior-year period, which included $411 million of income from discontinued operations. Interest expense rose to $227 million for the six months, including a $168 million loss on early debt retirement. Operating cash flow was $239 million for the six months, with $750 million used to repurchase common stock and $96 million paid in cash dividends. Total equity fell to $60 million at June 30, 2021 from $421 million at year-end 2020, and the balance sheet shows total Masco shareholders' deficit of $(154) million. Cash and cash investments declined to $769 million from $1.33 billion at December 31, 2020. The company issued $1.5 billion of senior notes in March 2021 and used the proceeds, along with cash on hand, to retire $1.33 billion of higher-coupon notes. Management stated it believes its cash, operating cash flows and undrawn $1.0 billion credit agreement are sufficient for near-term needs, and reported that the company was in compliance with all covenants at June 30, 2021.

    Jul 29, 2021
  18. 2021-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2021

    Masco Corporation's first quarter 2021 results show net sales rising 25% to $1.97 billion from $1.58 billion, with Plumbing Products up 31% and Decorative Architectural Products up 15%. Excluding acquisitions and currency translation, net sales increased 19%. Gross profit margin improved to 35.5% from 34.6%, and operating profit rose to $365 million from $225 million. However, interest expense jumped to $202 million from $35 million, driven primarily by a $168 million loss on debt extinguishment. Net income attributable to Masco fell to $94 million from $530 million, a comparison distorted by the prior-year $397 million gain from discontinued operations (the Cabinetry divestiture). Diluted income per share from continuing operations was $0.34 versus $0.48 a year earlier. The balance sheet and liquidity position shifted during the quarter. In March 2021, Masco issued $1.5 billion of senior notes due 2028, 2031 and 2051 and used the proceeds, together with cash on hand, to retire $1.33 billion of higher-coupon notes. Cash and cash investments declined to $838 million from $1.3 billion, and total equity fell to $217 million from $421 million, with Masco shareholders' equity at a deficit of $17 million. Net cash used for operating activities was $89 million. The company repurchased $303 million of common stock and has $1.85 billion remaining under its February 2021 authorization, and it stated that its cash, operating cash flow and borrowing availability are sufficient for near-term needs. The company also agreed in March 2021 to sell Hüppe GmbH, expected to close in the second quarter of 2021, and completed the acquisition of a 75.1% interest in Easy Sanitary Solutions B.V. in January 2021. Management reported that its COVID-19 response and strong consumer demand continued into the quarter, while noting ongoing supply chain disruptions for plumbing, lighting and builders' hardware products.

    Apr 28, 2021
  19. 2020-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2020

    Masco Corporation's third-quarter 2020 results show strong top-line growth. Net sales were $1.98 billion, up 16 percent from $1.72 billion in the third quarter of 2019, driven mainly by higher sales volume in both the Plumbing Products and Decorative Architectural Products segments. Net income attributable to Masco was $275 million, or $1.05 per diluted share, compared with $126 million, or $0.44 per diluted share, a year earlier. Gross profit margin rose to 37.9 percent from 35.6 percent. For the nine months, net income attributable to Masco was $1.03 billion, or $3.85 per diluted share, but this figure includes a $585 million gain on the divestiture of Cabinetry, which is reported in discontinued operations. Income from continuing operations was $618 million, or $2.31 per diluted share, compared with $481 million and $1.65 a year earlier. The balance sheet strengthened over the period. Cash and cash investments rose to $1.33 billion from $697 million at December 31, 2019, and the current ratio improved to 2.0 to 1 from 1.8 to 1. Management attributes the cash build largely to the temporary suspension of share repurchases in the first quarter of 2020. Masco has since announced plans to resume repurchases, expecting about $100 million in the fourth quarter and about $700 million for full-year 2020. Nine-month operating cash flow was $573 million, and the company issued $300 million of 2.0% notes due 2030 and $100 million of incremental 4.5% notes due 2047 while repaying $400 million of 3.5% notes due 2021. Management says the COVID-19 pandemic did not affect third-quarter performance as much as anticipated, and it expects demand to remain solid given its repair and remodel-oriented product portfolio. It also warns that fourth-quarter 2020 results may be adversely affected by economic contraction, high unemployment, and potential renewed shelter-in-place orders.

    Oct 28, 2020
  20. 2020-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2020

    Masco Corporation's Form 10-Q for the quarter ended June 30, 2020 reports second-quarter net sales of $1.764 billion, down from $1.839 billion a year earlier, while six-month net sales were flat at $3.345 billion versus $3.352 billion. Net income attributable to Masco Corporation was $224 million for the quarter, compared with $240 million in the prior-year quarter, and $754 million for the six months, compared with $356 million. The six-month result was driven largely by a $585 million gain on the divestiture of Masco Cabinetry LLC, which the filing includes in income from discontinued operations. Income from continuing operations attributable to Masco was $210 million for the quarter and $343 million for the six months, versus $211 million and $318 million a year earlier. Diluted income per share from continuing operations was $0.80 for the quarter and $1.27 for the six months. The balance sheet strengthened over the period. Cash and cash investments rose to $1.089 billion from $697 million at year-end 2019, and total equity moved to $37 million from a deficit of $56 million. Long-term debt fell to $2.372 billion from $2.771 billion, although notes payable increased to $407 million because the $400 million 3.50% Notes due April 2021 were reclassified to short-term. The current ratio declined to 1.5 to 1 from 1.8 to 1 for that reason. Masco repurchased $602 million of common stock in the first half of 2020 and had $900 million remaining under its 2019 authorization at June 30, 2020. The filing states that the COVID-19 pandemic affected operations, including facility closures, reduced demand, and supply chain disruptions. Management expects continued adverse impact on 2020 results but anticipates solid demand for its lower-ticket, repair and remodel-oriented products. Management also said it could not fully estimate the pandemic's ultimate impact on its future financial condition.

    Jul 30, 2020
  21. 2020-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2020

    Masco Corporation's Form 10-Q for the quarter ended March 31, 2020 reports net sales of $1,581 million, up from $1,513 million in the first quarter of 2019, with operating profit of $225 million versus $197 million. Income from continuing operations attributable to Masco Corporation was $133 million, compared with $107 million a year earlier, and diluted income per share from continuing operations was $0.48 versus $0.36. Net income attributable to Masco Corporation was $530 million, which includes $397 million from discontinued operations, largely driven by a $585 million pre-tax gain on the February 2020 sale of the Cabinetry business for approximately $989 million in total proceeds ($853 million net of cash disposed). Cash flow from operations was negative $92 million, reflecting seasonal receivables growth and $179 million of income tax expense tied to the Cabinetry gain, with $189 million of taxes payable from the sale; the company plans to defer eligible federal and state tax payments normally due in April 2020 to July 2020 under IRS guidance. Masco used $602 million to repurchase 14.2 million shares in the quarter and had $900 million remaining under its 2019 repurchase authorization at March 31, 2020. Cash and cash investments were $767 million, and the company reported total equity of negative $165 million, with total liabilities of $5,005 million against total assets of $4,840 million. Management stated that COVID-19 did not significantly affect first-quarter results but that the pandemic may significantly and adversely affect results in each segment in the second quarter and potentially later quarters, citing expected lower consumer demand, facility closures, and supply chain disruptions. The company said its current cash, operating cash flows, and Credit Agreement availability are sufficient for near-term needs, while noting it cannot fully estimate the pandemic's ultimate impact.

    Apr 29, 2020
  22. 2019-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2019

    Masco Corporation reported third-quarter 2019 net sales of $1.95 billion, up 2% from $1.90 billion a year earlier, and nine-month net sales of $5.79 billion, up 1%. Operating profit rose to $316 million in the quarter from $286 million, and gross profit margin was 34.2% compared with 32.7% in the prior-year quarter. Net income attributable to Masco was $126 million, down from $180 million, because of a $70 million loss on the disposal of the UK Window Group and a loss from discontinued operations. Income from continuing operations attributable to Masco was $184 million, compared with $170 million, and diluted income per share from continuing operations was $0.64, compared with $0.55. The company is exiting its window businesses and pursuing a sale of its Cabinetry business. On September 29, 2019, Masco agreed to sell Milgard Manufacturing Incorporated for approximately $725 million, with closing expected in the fourth quarter of 2019 and an expected gain of approximately $395 million. Both Milgard and UK Window Group are presented as discontinued operations. The filing states that management expects the Milgard and Cabinetry sales to conclude in the next three to six months, assuming acceptable terms. Capital returns and liquidity were significant during the period. Masco repurchased and retired shares for approximately $440 million in the first nine months and, in September 2019, its Board authorized up to $2.0 billion of new repurchases, with $1.96 billion remaining at quarter-end. Operating cash flow was $605 million for the nine months, and cash and cash investments were $475 million. The company had no borrowings outstanding under its $1.0 billion Credit Agreement and reported total equity of $23 million, including a Masco shareholders' deficit of $143 million.

    Oct 30, 2019
  23. 2019-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2019

    Masco Corporation reported modestly lower second-quarter 2019 net sales of $2.28 billion, compared with $2.30 billion in the second quarter of 2018, and first-half net sales of $4.18 billion, compared with $4.22 billion. Net sales decreased one percent for both the three-month and six-month periods. Operating profit rose to $392 million from $358 million in the quarter, and net income attributable to Masco Corporation was $240 million, up from $211 million. Diluted income per share was $.82, compared with $.68 a year earlier. For the six months, net income attributable to Masco Corporation was $356 million, compared with $360 million. Gross profit margins were 34.4 percent for the quarter and 33.0 percent for the six months, versus 32.7 percent and 32.5 percent in the prior-year periods. The company attributed the margin gains to increased net selling prices and cost savings initiatives, partly offset by lower sales volume and higher commodity costs, including tariffs. Cash flow and balance sheet items were weaker. Cash and cash investments fell to $325 million from $559 million at December 31, 2018. Net cash from operating activities was $213 million for the six months, compared with $293 million a year earlier. The company repurchased and retired shares for approximately $289 million in the first half, and $347 million remained under its 2017 repurchase authorization at June 30, 2019. Notes payable rose to $231 million, reflecting the reclassification of $201 million of 7.125% Notes due March 15, 2020 to short-term. The company also entered into a $1.0 billion Credit Agreement in March 2019, which matures March 13, 2024, and reported no borrowings outstanding at June 30, 2019. Management stated that it is pursuing the sale of its Cabinetry and Windows businesses and expects these sales to conclude in the next six to nine months, subject to acceptable terms.

    Jul 25, 2019
  24. 2019-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2019

    Masco Corporation reported first-quarter 2019 net sales of $1.91 billion, down from $1.92 billion a year earlier. Net sales fell one percent overall and two percent excluding acquisitions and currency translation. The Kichler acquisition added to sales, while lower volume in Windows and Other Specialty Products, which fell 16 percent, and in Plumbing Products, which fell 3 percent, weighed on results. Operating profit declined to $211 million from $244 million, and net income attributable to Masco fell to $116 million from $149 million. Diluted income per share was $0.39 versus $0.47. Gross profit margin contracted to 31.4 percent from 32.2 percent, and the company recorded $16 million of impairment charges for goodwill and other intangible assets. Cash flow and liquidity were weaker in the quarter. Net cash used for operating activities was $131 million compared with $55 million a year earlier, driven by a seasonal increase in receivables and inventories. Cash and cash investments fell to $316 million from $559 million at year-end 2018. Masco repurchased $116 million of common stock in cash and paid $35 million in dividends. It also entered a new $1.0 billion Credit Agreement in March 2019, under which $87 million was borrowed. Total equity declined to $42 million from $69 million, and the current ratio fell to 1.4 to 1 from 1.6 to 1, largely because $201 million of 7.125% notes due March 2020 were reclassified to short-term notes payable. The filing states that management expects to reach a decision on its review of strategic alternatives for the Cabinetry and Windows businesses by the end of June 2019. Management described the first quarter as a challenging start to 2019 while expressing confidence in the company's fundamentals.

    Apr 25, 2019
  25. 2018-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2018

    Masco Corporation reported third-quarter 2018 net sales of $2.10 billion, up 8% from $1.95 billion a year earlier, and nine-month net sales of $6.32 billion, up 9%. Net income attributable to Masco was $180 million for the quarter ($.58 diluted per share) versus $152 million ($.48) in the prior-year quarter, and $540 million for the nine months ($1.73 diluted) versus $453 million ($1.41). Growth was driven mainly by the March 2018 acquisition of The L.D. Kichler Co., which contributed $104 million of quarterly net sales, and by volume and pricing gains in North America. Excluding acquisitions, divestitures and currency translation, net sales rose 4% for the quarter and 5% for the nine months. Margins came under pressure. Gross profit margin was 31.7% for the quarter compared with 33.8% a year earlier, and 32.2% for the nine months compared with 34.7%. The filing cites the Kichler inventory step-up, commodity and logistics cost increases, and unfavorable sales mix. Operating profit fell to $300 million from $309 million in the quarter, and the operating profit margin was 14.3% versus 15.9%. The filing also estimates roughly $150 million of potential annual direct cost increases if tariffs on Chinese imports rise to 25% on January 1, 2019. The balance sheet and cash flow remained solid, though cash declined. Cash and cash investments fell to $569 million from $1,194 million at year-end 2017, mainly because $549 million was paid for the Kichler acquisition and $354 million went to share repurchases. Net cash from operating activities was $654 million for the nine months. Long-term debt was $2,971 million, no borrowings were outstanding under the Amended Credit Agreement, and the company stated it was in compliance with its covenants. About $936 million remained under the 2017 share repurchase authorization at quarter end.

    Oct 30, 2018
  26. 2018-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2018

    Masco Corporation reported second-quarter 2018 net sales of $2.30 billion, up 11 percent from $2.07 billion a year earlier, and net sales of $4.22 billion for the first six months, up 10 percent. Excluding acquisitions, divestitures and currency translation, net sales rose 6 percent in the quarter and 5 percent for the six months. Net income attributable to Masco Corporation was $211 million for the quarter, compared with $163 million in 2017, and diluted income per share was $0.68, compared with $0.51. Operating profit fell to $358 million from $372 million, and the operating profit margin declined to 15.6 percent from 18.0 percent. Gross profit margin was 32.7 percent versus 36.1 percent, which the company attributed to partial recognition of the Kichler inventory step-up, unfavorable selling price versus commodity cost relationships, and unfavorable sales mix. Lower interest expense, which was $38 million versus $153 million, helped earnings. Interest expense in 2017 included $107 million of debt extinguishment costs. The balance sheet shows cash and cash investments of $384 million, down from $1.194 billion at December 31, 2017, mainly because of the $548 million cash purchase of The L.D. Kichler Co. in March 2018. Total assets were $5.565 billion, long-term debt was $2.970 billion, and total equity was $126 million. During the first six months, the company repurchased $265 million of its common stock and had $1.0 billion remaining under its 2017 repurchase authorization at June 30, 2018. The company stated that no borrowings were outstanding under its Amended Credit Agreement at June 30, 2018, and that it was in compliance with all covenants. Management stated that its disclosure controls and procedures were effective as of June 30, 2018. During the second quarter, Masco implemented a new Enterprise Resource Planning system at Delta Faucet Company, which the company said modified certain internal controls at Delta.

    Jul 31, 2018
  27. 2018-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2018

    Masco Corporation's first-quarter 2018 results show net sales rising eight percent to $1.92 billion from $1.78 billion, with operating profit of $244 million compared with $257 million a year earlier. Net income attributable to Masco Corporation was $149 million, or $.47 per diluted share, versus $138 million, or $.43 per diluted share, in the prior-year period. Gross profit margin fell to 32.2 percent from 34.0 percent, and operating profit margin declined to 12.7 percent from 14.5 percent, as the filing cites an unfavorable relationship between net selling prices and commodity costs and increased strategic growth investments. Growth was driven in part by the March 9, 2018 acquisition of The L.D. Kichler Co. for $548 million paid in cash, which contributed $27 million of net sales in the quarter. Excluding acquisitions, divestitures and currency translation, net sales rose five percent. Cash flow was weaker: net cash used for operating activities was $55 million, compared with $149 million used in the first quarter of 2017, and cash and cash investments fell to $370 million from $1,194 million at December 31, 2017. Masco repurchased $150 million of common stock, including an accelerated repurchase of 2.8 million shares, and paid $33 million in dividends. The company had $1.1 billion remaining under its 2017 repurchase authorization at March 31, 2018. Total debt was approximately $3.1 billion in carrying value, and the Amended Credit Agreement of $750 million was undrawn with the company in compliance with its covenants. Management stated that its present cash balance, cash flows from operations and the Amended Credit Agreement are sufficient to fund near-term working capital and investment needs. The company also adopted ASU 2018-02 early, reclassifying $59 million of disproportionate tax effects from accumulated other comprehensive loss to retained deficit. Its effective tax rate fell to 20 percent from 30 percent, aided by stock-based compensation tax benefits.

    Apr 24, 2018
  28. 2017-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2017

    Masco Corporation's third-quarter 2017 Form 10-Q reports net sales of $1.936 billion, up 3% from $1.877 billion in the third quarter of 2016, and nine-month net sales of $5.770 billion, up 3% from $5.598 billion. Net income attributable to Masco Corporation rose to $148 million for the quarter (from $134 million) and to $446 million for the nine months (from $393 million). Diluted earnings per share were $0.46 for the quarter and $1.38 for the nine months, compared with $0.40 and $1.17 a year earlier. Gross margin was 33.6% for the quarter and 34.6% for the nine months, with the company citing higher sales volume, cost savings initiatives and the absence of 2016 warranty adjustments. Management attributed the unfavorable effect of severe hurricanes on several businesses, and the Cabinetry Products segment's sales declined 4% in the quarter. Interest expense rose to $239 million for the nine months from $186 million, mainly because of a $107 million loss on debt extinguishment tied to the early retirement of several notes in the second quarter. The company issued two $300 million notes in June 2017, due 2027 and 2047, with net proceeds of $599 million, and used them with cash on hand to retire $535 million of higher-coupon debt. Cash from operating activities was $467 million for the nine months. Masco repurchased $312 million of common stock in the first nine months, leaving $1.3 billion remaining under its $1.5 billion May 2017 authorization. Total equity turned positive at $60 million, compared with a deficit of $103 million at December 31, 2016. Cash, cash investments and short-term bank deposits totaled $1.2 billion, and the company reported no borrowings under its $750 million revolving credit agreement. The company sold Arrow Fastener Co., LLC in the second quarter for $128 million, recognizing a $51 million gain for the nine months. Management stated that its present cash balance and operating cash flows are sufficient to fund near-term working capital and investment needs. The company also reported that its disclosure controls were effective as of September 30, 2017, and that there were no material changes to its risk factors from the 2016 Form 10-K.

    Oct 24, 2017
  29. 2017-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2017

    Masco Corporation reported second-quarter 2017 net sales of $2.06 billion, up 3% from $2.00 billion a year earlier, and first-half net sales of $3.83 billion, also up 3%. Excluding the effect of currency translation, net sales rose 4% in both periods. Operating profit increased to $357 million in the quarter from $335 million, and gross profit margin improved to 35.8% from 35.0%, which the company attributed mainly to higher sales volume, cost savings and the absence of a $10 million warranty adjustment recorded in the second quarter of 2016. Net income attributable to Masco Corporation was $158 million in the quarter versus $150 million a year earlier, and diluted earnings per share were $0.49 compared with $0.45. The second-quarter gain on the sale of Arrow Fastener Co., LLC for $126 million contributed $49 million to other, net. Interest expense rose sharply to $153 million in the quarter from $87 million, mainly because of a $107 million loss on debt extinguishment recorded as interest expense. In June 2017 the company issued $600 million of senior notes due 2027 and 2047 ($599 million net proceeds) and used the proceeds, together with cash on hand, to retire $535 million of higher-coupon notes. Cash and cash investments were $992 million at June 30, 2017, and total cash, cash investments and short-term bank deposits were $1.1 billion. The company had no borrowings under its $750 million revolving credit facility, which matures in May 2020, and it was in compliance with its covenants. For the first six months, net cash from operating activities was $155 million, compared with $190 million a year earlier, reflecting higher increases in receivables and inventories. Masco repurchased $134 million of common stock during the first half and, in May 2017, its board authorized a new repurchase program of up to $1.5 billion, of which $1.486 billion remained at June 30, 2017. Total equity was $70 million at June 30, 2017, compared with a deficit of $103 million at December 31, 2016.

    Jul 27, 2017
  30. 2017-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2017

    Masco Corporation reported first-quarter 2017 net sales of $1,777 million, up from $1,720 million a year earlier. The filing states that net sales increased three percent overall and five percent excluding acquisitions and the unfavorable effect of currency translation. Plumbing Products net sales rose to $863 million from $813 million, while Cabinetry Products declined to $231 million from $236 million and Windows and Other Specialty Products was flat at $178 million. Gross profit margin was 34.2 percent, compared with 33.1 percent a year earlier, and operating profit was $253 million versus $234 million, or 14.2 percent versus 13.6 percent of sales. Net income attributable to Masco Corporation was $140 million, or $0.43 per diluted share, compared with $109 million, or $0.32 per diluted share, in the prior-year quarter. Interest expense fell to $43 million from $56 million. Cash flow and balance sheet items reflect the first-quarter seasonal pattern described in the filing. Net cash used by operating activities was $149 million, compared with $70 million used a year earlier, driven by an expected seasonal increase in receivables and inventories. Cash, cash investments and short-term bank deposits totaled $0.9 billion at March 31, 2017, down from $1.2 billion at December 31, 2016. Long-term debt carried at $2,996 million, and the $750 million revolving credit facility had no borrowings outstanding; the company stated it was in compliance with its covenants. Total equity was a deficit of $59 million, compared with a deficit of $103 million at year-end 2016. During the quarter, Masco repurchased 2.8 million shares for approximately $92 million, of which $87 million was paid in cash, leaving 10.1 million shares under the existing authorization. Management stated that it believes strong demand for its products will continue, citing positive fundamentals in repair and remodel and new home construction. The filing also notes that the adoption of ASU 2016-09 will increase volatility in the effective tax rate, which was 30 percent for the quarter compared with 33 percent a year earlier. The filing does not provide numerical guidance for future periods.

    Apr 25, 2017
  31. 2016-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2016

    Masco Corporation's third-quarter 2016 Form 10-Q shows net sales of $1,877 million for the three months ended September 30, 2016, up from $1,839 million a year earlier, and $5,598 million for the nine months, up from $5,427 million. Operating profit rose to $269 million for the quarter from $258 million, and net income attributable to Masco Corporation was $134 million, compared with $111 million in the prior-year quarter. Diluted earnings per share were $0.40 for the quarter versus $0.32 a year earlier, and $1.17 for the nine months versus $0.81. The filing attributes the sales growth to higher volumes in plumbing products, paints and coatings, and builders' hardware, partly offset by weaker cabinetry sales, and reports that Windows and Other Specialty Products posted a quarterly operating loss of $10 million, reflecting a $31 million warranty charge. The balance sheet strengthened over the period. Total debt-related items moved meaningfully: notes payable fell to $3 million from $1,004 million and long-term debt rose to $2,993 million from $2,403 million, reflecting the March 2016 issuance of $400 million of 3.5% Notes due 2021 and $500 million of 4.375% Notes due 2026, which funded early retirement of a $1 billion 6.125% note and a $300 million 5.85% note. Total equity increased to $103 million from $58 million, and the current ratio rose to 2.1 to 1 from 1.4 to 1. Cash and cash investments were $1,041 million at quarter end, and the company repurchased 2.3 million shares in the third quarter for about $79 million of activity at an average price of $33.65 per share as part of a 50 million share authorization, with 19.4 million shares remaining. Management stated that it expects continued strong demand driven by repair and remodel and new home construction, and the Board announced a quarterly dividend increase of $0.02 to $0.40 per share annualized, beginning in the fourth quarter of 2016. The company also disclosed a remediation-free phased deployment of a new ERP system at its Milgard business, with management concluding disclosure controls were effective as of September 30, 2016.

    Oct 25, 2016
  32. 2016-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2016

    Masco Corporation's second-quarter 2016 Form 10-Q reports net sales of $2.001 billion for the three months ended June 30, 2016, up from $1.929 billion a year earlier, and $3.721 billion for the six months, up from $3.588 billion. Operating profit rose to $335 million for the quarter from $279 million, and net income attributable to Masco Corporation was $150 million, compared with $105 million in the prior-year quarter. Diluted earnings per share from net income were $.45 for the quarter versus $.30 in the prior-year period, and $.77 for the six months versus $.48. Management attributed the gains to higher sales volume, a more favorable relationship between net selling prices and commodity costs, and cost savings initiatives, while gross profit margin improved to 35.0 percent for the quarter from 33.0 percent. The balance sheet shows meaningful deleveraging during the first half. Notes payable fell to $3 million from $1.004 billion, and long-term debt rose to $2.993 billion from $2.403 billion, reflecting the issuance of $400 million of 3.5% Notes due 2021 and $500 million of 4.375% Notes due 2026 and the early retirement of $1 billion of 6.125% Notes and $300 million of 5.85% Notes. Those retirements produced $40 million of debt extinguishment costs recorded in interest expense, which lifted quarterly interest expense to $87 million from $61 million. Cash and cash investments declined to $956 million from $1.468 billion, and total equity was $70 million, up from $58 million. Net cash from operating activities for the six months was $114 million, compared with $139 million a year earlier. The company repurchased 6.0 million shares for approximately $174 million in the first half and had 21.8 million shares remaining under its authorization at June 30, 2016. Management said it expects steady demand, citing improving repair and remodel and new home construction trends. The company reported that its disclosure controls were effective and disclosed an ongoing phased ERP system implementation at its Milgard business that modified certain internal controls.

    Jul 26, 2016
  33. 2016-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2016

    Masco Corporation reported first-quarter 2016 net sales of $1.72 billion, up four percent from $1.66 billion a year earlier. Excluding acquisitions and currency translation, net sales rose five percent. Operating profit increased to $234 million from $165 million, and the operating profit margin for the total company was 13.6 percent compared with 9.9 percent. Net income attributable to Masco Corporation was $109 million, or $.32 diluted per share, versus $64 million, or $.18 per share, in the prior-year quarter. The filing attributes the margin gains to higher sales volume, a more favorable relationship between net selling prices and commodity costs, and cost savings initiatives. Gross profit margin was 33.1 percent compared with 29.8 percent. The balance sheet and liquidity position changed significantly during the quarter. In March 2016, Masco issued $400 million of 3.5% notes due 2021 and $500 million of 4.375% notes due 2026, receiving $896 million in net proceeds. On April 15, 2016, the company used these proceeds and cash on hand to retire its $1 billion 6.125% notes due October 2016 and its $300 million 5.85% notes due March 2017, which the filing says will result in $40 million of additional interest expense in April 2016. Cash, cash investments and short-term bank deposits totaled $2.4 billion at March 31, 2016, compared with $1.7 billion at year-end 2015. Total equity was $84 million, and Masco Corporation's shareholders' deficit was $(126) million. Net cash used for operating activities was $100 million, compared with $152 million a year earlier, reflecting the filing's description of a seasonal first-quarter increase in receivables and inventories. Management stated it believes steady demand will continue as repair and remodel and new home construction trends improve. The company repurchased 3,193,300 shares for $86 million during the quarter, and it reported compliance with all covenants under its amended $750 million revolving credit agreement, with no borrowings outstanding at March 31, 2016.

    Apr 26, 2016
  34. 2015-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2015

    Masco Corporation's third-quarter 2015 Form 10-Q shows net sales of $1.839 billion for the three months ended September 30, 2015, flat versus $1.834 billion in the prior-year quarter, and $5.427 billion for the nine months, up from $5.340 billion. Excluding acquisitions and the unfavorable effect of currency translation, net sales increased three percent in the quarter and five percent for the nine months. Operating profit rose to $258 million in the quarter from $181 million, and to $702 million for the nine months from $555 million, with the company citing higher sales volume, a more favorable relationship between selling prices and commodity costs, and lower business rationalization expenses. Net income attributable to Masco Corporation fell to $111 million for the quarter from $543 million, and to $280 million for the nine months from $756 million, largely because the prior-year period included a $517 million valuation allowance release that produced a tax benefit. Diluted earnings per share from continuing operations were $.32 for the quarter versus $1.48 a year earlier. The quarter followed the June 30, 2015 spin-off of TopBuild Corp., which the company accounted for as a discontinued operation. The spin-off reduced the company's exposure to new home construction and increased its reliance on home improvement spending and on its two largest customers, and a greater share of sales now comes from outside the U.S. Total debt-related activity included retirement of $500 million of 4.8% notes and issuance of $500 million of 4.45% notes due 2025. Cash, cash investments and short-term bank deposits were $1.5 billion at September 30, 2015, and the company repurchased 7.6 million shares in the quarter for $200 million under an accelerated stock repurchase, with 29.5 million shares remaining under the September 2014 authorization. Balance sheet figures show total assets of $5.727 billion and total equity of $28 million, reflecting the TopBuild separation charge to retained earnings, and a current ratio of 2.3 to 1. Management stated it was in compliance with all covenants under its Amended Credit Agreement, which was reduced to $750 million and extended to May 2020, and that it had no borrowings outstanding at September 30, 2015. Management expressed confidence in steady demand for its branded products as repair and remodel and new home construction continue to improve.

    Oct 27, 2015
  35. 2015-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2015

    Masco Corporation's 10-Q for the quarter ended June 30, 2015 shows net sales of $1,929 million for the three months, up from $1,876 million, and $3,588 million for the six months, up from $3,506 million. The filing states that net sales increased three percent and two percent for the three-month and six-month periods, and six percent for both periods excluding acquisitions and currency translation. Operating profit rose to $279 million for the quarter from $221 million, and net income attributable to Masco Corporation was $105 million, compared with $139 million a year earlier. Diluted earnings per share from continuing operations were $.31 for the quarter versus $.35 in 2014, reflecting an $18 million non-cash valuation allowance on TopBuild deferred tax assets. The most significant event in the period was the June 30, 2015 completion of the spin-off of TopBuild Corp., which housed the Installation and Other Services businesses. The spin-off is accounted for as a discontinued operation. Masco's balance sheet changed materially: total assets fell to $5,869 million from $7,233 million at year-end 2014, and total equity dropped to $131 million from $1,128 million, with Masco shareholders' equity at a deficit of $(47) million. Long-term debt rose to $3,419 million from $2,919 million after the company issued $500 million of 4.45% Notes due 2025 and retired $500 million of 4.8% Notes in June 2015. Cash, cash investments and short-term bank deposits totaled $1.5 billion, of which $605 million was held in foreign subsidiaries. Cash flow from operations was $139 million for the six months, versus $61 million a year earlier. The company repurchased $207 million of common stock during the first half and paid $62 million in cash dividends. The company also reduced its Amended Credit Agreement commitment to $750 million, with a maturity extended to May 29, 2020, and reported that it was in compliance with its covenants and had no borrowings at June 30, 2015. Management stated it expects repair and remodel activity and new home construction to show continued growth in 2015.

    Jul 28, 2015
  36. 2015-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2015

    Masco Corporation's first-quarter 2015 results show net sales of $2,018 million, up from $1,965 million in the first quarter of 2014, and net income attributable to Masco Corporation of $64 million, down from $74 million. Diluted earnings per share from continuing operations were $.18, compared with $.21 a year earlier. Operating profit rose to $171 million from $152 million, with the operating profit margin at 8.5 percent versus 7.7 percent. Management states that excluding acquisitions and the effect of currency translation, net sales increased seven percent. The effective tax rate was 37 percent, compared with five percent in the prior-year period, due primarily to anticipated non-deductible transaction costs related to the proposed spin-off of the Installation and Other Services businesses. Cash used for operating activities was $152 million in the quarter, reflecting the seasonal increase in receivables and inventories. Financing activities provided $362 million, primarily from the issuance of $500 million of 4.45% notes due 2025 (net proceeds of $497 million). Cash, cash investments and short-term bank deposits totaled $1.8 billion at March 31, 2015, of which $564 million was held in foreign subsidiaries. Total debt rose, with long-term debt at $3,418 million compared with $2,919 million at year-end 2014. The company repurchased 4.1 million shares for approximately $106 million and retains 40.9 million shares under its September 2014 repurchase authorization. The company plans to spin off its Installation and Other Services businesses as TopBuild Corp. through a tax-free distribution to shareholders, with completion expected in mid-2015. Management believes new home construction and repair and remodel activity will show continued growth in 2015, and it reported $4 million of costs related to the spin-off in the quarter.

    Apr 28, 2015
  37. 2014-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2014

    Masco Corporation's Form 10-Q for the quarter ended September 30, 2014 shows third-quarter net sales of $2,232 million, up from $2,150 million a year earlier, and nine-month net sales of $6,457 million versus $6,175 million. Net income attributable to Masco Corporation was $543 million for the quarter (diluted EPS $1.51) and $756 million for the nine months (diluted EPS $2.10). Results were heavily influenced by a $517 million tax benefit from releasing the valuation allowance against U.S. Federal and certain state deferred tax assets, which the company offset partly with an additional $51 million tax expense. Excluding the release, the company's effective tax rate was 75 percent for the three months and 36 percent for the nine months ended September 30, 2014. Operating profit was $202 million in the quarter versus $212 million a year earlier, and $594 million for the nine months versus $532 million. Rationalization costs rose, with the company now estimating full-year 2014 charges of approximately $58 million compared with its previous estimate of $10 million. The Cabinets and Related Products segment recorded an operating loss in the quarter tied to the planned sale of two manufacturing facilities. Total debt carrying value was $3.4 billion, with $505 million of notes payable, including $500 million of 4.8% Notes due June 2015 reclassified to short-term, which lowered the current ratio to 1.7 to 1 from 1.9 to 1. The company announced on September 30, 2014 a plan to spin off 100 percent of its Installation and Other Services businesses through a tax-free stock distribution to shareholders, expected to be completed in mid-2015. The filing also notes a new board authorization to repurchase up to 50 million shares and a quarterly cash dividend of $.090 per share. Risk factors added in this filing focus on execution, cost, and tax risks associated with the spin-off.

    Oct 28, 2014
  38. 2014-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2014

    Masco Corporation reported higher second-quarter 2014 results, with net sales of $2.26 billion, up five percent from $2.15 billion in the second quarter of 2013. Excluding the positive effect of currency translation, net sales rose four percent. Gross profit margin was 29.2 percent for the quarter, compared with 28.3 percent a year earlier. Operating profit increased to $240 million from $188 million, and net income attributable to Masco Corporation was $139 million, versus $78 million. Diluted earnings per share from continuing operations were $.39, compared with $.23. For the first six months, net sales were $4.23 billion and net income attributable to Masco was $213 million. North American net sales increased four percent for the six months, and International net sales, principally Europe, increased ten percent, aided by a weaker U.S. dollar. The balance sheet shows cash, cash investments and short-term bank deposits of $1.4 billion at June 30, 2014, down from $1.5 billion at December 31, 2013. Notes payable rose to $507 million from $6 million, and the current ratio fell to 1.5 to 1 from 1.9 to 1 because $500 million of 4.8% Notes due June 2015 were classified as short-term notes payable. Long-term debt was $2.92 billion. Management stated that the Company was in compliance with its credit agreement covenants, had no borrowings under its $1.25 billion Credit Agreement, and had additional borrowing capacity of up to $1.2 billion. Management expects continued growth in new home construction in 2014 and modest growth in repair and remodel activity. It also noted that the effective tax rate was reduced by a valuation allowance decrease, and that a reversal of all or part of a valuation allowance of up to approximately $550 million could occur as early as the second half of 2014. The full-year 2014 business rationalization charge estimate was raised to approximately $18 million from $10 million, reflecting corporate office actions taken in the second quarter.

    Jul 29, 2014
  39. 2014-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2014

    Masco Corporation reported first-quarter 2014 net sales of $1.97 billion (1,965 million), up from $1.88 billion in the prior-year quarter, with the filing stating that sales increased five percent. Excluding acquisitions and currency translation, net sales rose four percent. Operating profit increased to $152 million from $132 million, and net income attributable to Masco Corporation was $74 million, compared with $53 million. Diluted earnings per share from continuing operations were $.21, versus $.17. The effective tax rate was five percent, reflecting a decrease in the valuation allowance from partial use of the U.S. federal net operating loss carryforward. Gross profit margin was 27.8 percent, compared with 27.1 percent a year earlier. Cash used for operating activities was $244 million, compared with $210 million in the prior-year quarter, which the company attributed to an expected, annually recurring seasonal first-quarter build in receivables and inventories. Cash, cash investments and short-term bank deposits totaled $1.2 billion at March 31, 2014, down from $1.5 billion at year-end 2013. The company had no borrowings under its $1.25 billion credit agreement and was in compliance with all covenants. Long-term debt was $3.421 billion, and the filing states that the company was in compliance with its debt covenants. Management said it expects new home construction to continue growing in 2014 and repair and remodel activity to grow modestly. The filing also reports revisions to previously issued financial statements. Certain private equity fund investments were moved from the cost basis to the equity method, and short-term foreign bank deposits were reclassified out of cash and cash investments. The company described both errors as not material to any prior period.

    Apr 30, 2014
  40. 2013-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2013

    Masco Corporation's third-quarter 2013 Form 10-Q reports net sales of $2.15 billion for the three months ended September 30, 2013, up from $1.913 billion a year earlier, and $6.175 billion for the nine months, up from $5.664 billion. Operating profit rose to $212 million for the quarter from $108 million, and net income attributable to Masco Corporation was $103 million for the quarter versus $15 million. For the nine months, net income attributable to Masco was $227 million compared with a loss of $27 million in the prior-year period. Management attributes the sales growth to higher sales volume, including in Installation and Other Services and Cabinets, and to net selling price increases, with the company citing a higher level of new home construction activity. Balance sheet and cash flow items show total assets of $7.059 billion and long-term debt of $3.421 billion at September 30, 2013. The company retired its $200 million 7.125% Notes on August 15, 2013, which raised the current ratio to 1.9 to 1 from 1.7 to 1. Net cash from operating activities was $350 million for the nine months. Masco entered into a $1.25 billion revolving Credit Agreement maturing in March 2018, under which it had no borrowings and was in compliance with its covenants at quarter end. The filing also details a revision of previously reported cash balances, where foreign short-term bank deposits were reclassified out of cash and cash investments; this had no effect on results of operations. The company expects full-year 2013 business rationalization charges of approximately $55 million, up from a prior estimate of $40 million. Its U.S. Federal deferred tax valuation allowance remains in place, with a possible reversal of up to approximately $600 million as early as the fourth quarter of 2014.

    Oct 29, 2013
  41. 2013-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2013

    Masco Corporation's Form 10-Q for the quarter ended June 30, 2013 reports second-quarter net sales of $2,149 million, up from $1,945 million a year earlier, and six-month net sales of $4,025 million versus $3,751 million. Gross profit rose to $609 million from $521 million in the quarter, and operating profit was $188 million compared with $54 million in the prior-year quarter, which included a $75 million litigation settlement charge. Net income attributable to Masco Corporation was $77 million for the quarter ($.21 diluted EPS including discontinued operations) versus a loss of $75 million a year earlier. For the first six months, net income attributable to Masco Corporation was $124 million, compared with a loss of $42 million in the prior-year period. Management cites continued strength in new home construction, with North American net sales up 11% in the quarter and International net sales up 7%. The company recorded $18 million of business rationalization costs in the quarter and now expects full-year 2013 rationalization charges of approximately $55 million, up from a prior estimate of $40 million. Tvilum, its Danish cabinet business, is being treated as discontinued operations as the company pursues its disposition. Balance sheet and liquidity remained solid: cash and cash investments were $1.2 billion at June 30, 2013, and total debt carrying value was $3.6 billion. The company entered a new $1.25 billion revolving credit agreement maturing March 2018, with no borrowings outstanding and the company in compliance with covenants. It plans to use available cash to retire $200 million of 7.125% Notes due August 15, 2013. A full U.S. Federal deferred tax asset valuation allowance remains in place, with a possible reversal as early as the fourth quarter of 2014.

    Jul 31, 2013
  42. 2013-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2013

    Masco Corporation's first quarter 2013 Form 10-Q reports net sales of $1.876 billion, up from $1.806 billion in the first quarter of 2012, with operating profit of $132 million versus $109 million a year earlier. Net income attributable to Masco Corporation was $47 million, compared with $33 million, and diluted earnings per share from continuing operations were $.16, compared with $.12. The company attributes the sales increase to higher volume in cabinets, installation and other services, plumbing products and windows, along with selling price increases in North America. International net sales declined two percent in local currencies and in U.S. dollars. Cash used for operating activities was $210 million in the quarter, driven by a seasonal first-quarter build in receivables and inventories, and cash and cash investments fell to $1.032 billion from $1.351 billion at year-end 2012. On March 28, 2013, Masco entered into a new $1.25 billion unsecured revolving credit agreement maturing March 28, 2018, replacing its June 2010 facility of the same size. No borrowings had been made under the new facility at March 31, 2013, and the company stated it was in compliance with all covenants. The company also plans to use available cash to retire $200 million of 7.125% Notes due August 15, 2013. In the first quarter, Masco classified its Danish ready-to-assemble cabinet business, Tvilum, as discontinued operations after determining it was no longer core to long-term growth, and recorded a $10 million impairment on assets held for sale. Loss from discontinued operations was $9 million in both periods. Management described continued strength in new home construction and said it expects demand for new homes to continue over the next several years.

    May 2, 2013
  43. 2012-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2012

    Masco Corporation's Form 10-Q for the quarter ended September 30, 2012 shows essentially flat third-quarter net sales of $1,976 million (compared with $1,978 million in the third quarter of 2011) and a nine-month increase to $5,855 million from $5,729 million. Third-quarter operating profit fell to $101 million from $114 million, and net income attributable to Masco Corporation was $15 million, versus $36 million a year earlier. For the nine months, Masco recorded a net loss attributable to the company of $27 million, compared with a $2 million loss in the prior-year period. The nine-month results were weighed down by a $74 million charge for litigation settlements, including a $75 million settlement in the Columbus Drywall antitrust case, and by business rationalization costs, which the company now expects to total approximately $65 million for full-year 2012 versus a prior estimate of $30 million. The balance sheet and cash flow picture is mixed. Cash and cash investments declined to $1,166 million from $1,656 million at December 31, 2011, and net cash from operating activities for the nine months was $90 million. Masco issued $400 million of 5.95% Notes due 2022 and retired $791 million of 5.875% Notes during the period. Total debt-related figures include notes payable of $207 million and long-term debt of $3,422 million, and total Masco shareholders' equity was $467 million. Management stated that it was in compliance with all covenants under its credit agreement, had no borrowings outstanding, and believes its cash, operating cash flows and available financing are sufficient to fund working capital and investment needs. Management highlighted continued strength in new home construction activity and described its strategy of investing in leadership brands, reducing costs, improving the Installation and Cabinets segments and strengthening the balance sheet. Investors should weigh the improved North American sales and gross margins against the nine-month loss, the higher rationalization costs, and the litigation charges reflected in these results.

    Oct 31, 2012
  44. 2012-Q2-A

    Masco Quarterly Report (Amendment) for Q2 Ended Jun 30, 2012

    Masco Corporation filed Amendment No. 1 on Form 10-Q/A on August 1, 2012, to its Quarterly Report for the period ended June 30, 2012, which was originally filed with the SEC on July 31, 2012. The amendment states that it is filed solely to revise the disclosure in Part II, Item 1, Legal Proceedings, and that no other changes are made to the Form 10-Q. It speaks as of the July 31, 2012 filing date and should be read together with the original report. The registrant, headquartered in Taylor, Michigan and incorporated in Delaware, is a large accelerated filer and not a shell company. It reported 357,100,000 shares of common stock, par value $1.00 per share, outstanding as of July 26, 2012. The amended Item 1 states that information on legal proceedings is set forth in Note N to the condensed consolidated financial statements in Part I, Item 1 of the original report, and is incorporated by reference. Readers seeking the substance of the legal disclosures should therefore refer to Note N of the Form 10-Q. The amendment's exhibit index lists Certifications by the Chief Executive Officer (Exhibit 31a) and Chief Financial Officer (Exhibit 31b) under Rule 13a-14(a) or 15d-14(a), and a Certification under Rule 13a-14(b) and Section 1350 of Title 18 (Exhibit 32).

    Aug 1, 2012
  45. 2012-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2012

    Masco Corporation's Form 10-Q for the quarter ended June 30, 2012 shows second-quarter net sales of $2.004 billion, roughly flat from $1.998 billion a year earlier, and six-month net sales of $3.879 billion, up from $3.751 billion. The company reported a second-quarter net loss attributable to Masco of $75 million, compared with net income of $8 million in the prior-year quarter, driven largely by a $75 million charge for litigation settlements related to the Columbus Drywall case. Operating profit fell to $47 million in the quarter from $96 million, and diluted loss per share from continuing operations was $(.17). The balance sheet strengthened on a cash basis: cash and cash investments rose to $1.853 billion from $1.656 billion at December 31, 2011, after the company issued $400 million of 5.95% notes due 2022. Long-term debt increased to $3.622 billion from $3.222 billion, and total equity declined to $619 million from $742 million. Operating cash flow was negative $4 million for the first six months, reflecting seasonal increases in receivables and inventories. Management said it expects the second half of 2012 to be less robust than previously anticipated, while stating that major restructuring in its Installation and Other Services segment and North American cabinet operations has been completed. The company also disclosed that it retired $745 million of 5.875% notes on July 16, 2012, and that it had no borrowings under its credit agreement at June 30, 2012. Income tax expense in the quarter was $30 million on a pre-tax loss, reflecting losses in jurisdictions providing no tax benefit and the litigation charge. Pending antitrust suits, the Wilson and Von Der Werth cases, remain unresolved, and the company said it cannot reliably estimate any potential liability from them.

    Jul 31, 2012
  46. 2012-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2012

    Masco Corporation's first-quarter 2012 Form 10-Q shows net sales of $1,875 million, up from $1,753 million in the first quarter of 2011, with operating profit rising to $102 million from $26 million. Net income attributable to Masco Corporation was $33 million, compared with a net loss of $46 million a year earlier. Diluted earnings per share from continuing operations were $.11, versus $(.12) in the prior-year period. The filing attributes the improvement to higher sales volume, more favorable pricing relative to commodity costs, lower business rationalization costs ($12 million versus $32 million), and a $21 million state income tax benefit from the reduction of uncertain tax positions. Management states it remains cautiously optimistic about 2012 economic trends. The balance sheet and cash flow picture shows a shift toward longer-term debt. Long-term debt rose to $3,622 million from $3,222 million after the company issued $400 million of 5.95% Notes due 2022 in March 2012, and it retired $46 million of 5.875% Notes in January. Cash and cash investments increased to $1,788 million. Operating cash flow was negative $167 million, which the company describes as an expected seasonal first-quarter build in receivables and inventories. Financing activities provided $290 million, including the note proceeds net of the $25 million settlement of interest rate swaps and $26 million in dividends. The company reported no borrowings under its credit agreement at March 31, 2012, and stated it was in compliance with all covenants. Additional borrowing capacity was $783 million. A pending antitrust lawsuit, the Columbus Drywall case, is scheduled for trial in July 2012. Management states it believes the conduct at issue did not violate antitrust laws, and it says it cannot reliably estimate potential liability from an adverse judgment.

    May 2, 2012
  47. 2011-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2011

    Masco Corporation's third-quarter 2011 Form 10-Q reports net sales of $2,006 million, up three percent from $1,957 million in the third quarter of 2010. For the first nine months, net sales were $5,800 million, down one percent from $5,857 million. Net income attributable to Masco Corporation was $36 million for the quarter, compared with a loss of $5 million a year earlier, and a $2 million loss for the nine months, compared with a $9 million loss. Diluted earnings per share were $.10 for the quarter and $(.01) for the nine months. Gross margin declined to 24.7 percent in the quarter from 25.2 percent, and to 25.0 percent for the nine months from 26.2 percent, reflecting a less favorable relationship between selling prices and commodity costs, higher litigation settlement expenses and growth-initiative spending. The company reported cash and cash investments of $1,610 million at September 30, 2011, versus $1,715 million at year-end 2010, and long-term debt of $3,224 million, down from $4,032 million. Current liabilities rose to $2,485 million from $1,487 million because $791 million of 5.875% notes due July 15, 2012 were reclassified to short-term notes payable, reducing the current ratio to 1.5 to 1 from 2.3 to 1. Net cash from operating activities was $95 million for the nine months. The company said it was in compliance with all credit agreement covenants and had no borrowings under its credit agreement, with additional borrowing capacity of up to $979 million. Management expects full-year 2011 rationalization charges of approximately $100 million, including about $30 million tied to Milgard Window plant closures announced in October 2011. In October 2011 Masco also decided to dispose of several commercial installation businesses (drywall, millwork and framing) with 2010 net sales of about $100 million and operating losses of $10 million, expecting proceeds below their net book value. The filing also discloses a pending antitrust suit (Columbus Drywall case) against the company and its insulation installation subsidiaries, which management is vigorously defending and for which it cannot reliably estimate potential liability.

    Oct 28, 2011
  48. 2011-Q2

    Masco Quarterly Report for Q2 Ended Jun 30, 2011

    Masco Corporation reported lower second-quarter and first-half 2011 results. Net sales were $2,022 million for the three months ended June 30, 2011, down from $2,048 million, and $3,794 million for the six months, down from $3,900 million. Net sales decreased four percent for both periods excluding the positive effect of currency translation. The company attributed the declines to lower volume in North American installation and other services, cabinets, paints and stains, and builders' hardware, and to the planned exit of certain cabinet product lines. Gross profit margins fell to 26.3% in the quarter from 26.7% and to 25.2% for the six months from 26.6%, and SG&A rose to 21.8% and 22.2% of sales from 20.8% and 21.6%. Net income attributable to Masco was $8 million for the quarter, versus $3 million a year earlier, but the six-month result was a loss of $(38) million compared with a loss of $(4) million. Diluted loss per share for the six months was $(.11). The balance sheet remained liquid. Cash and cash investments were $1,611 million at June 30, 2011, down from $1,715 million at December 31, 2010, and the current ratio was 2.1 to 1 compared with 2.3 to 1. Operating activities used $31 million in the first six months, and the company had no borrowings under its credit agreement, with additional borrowing capacity of up to $987 million. Management said the lack of job creation, high energy costs and declining consumer confidence made the timing and strength of the recovery difficult to forecast, that housing starts are now flat compared with 2010, and that growth in the second half of 2011 will be challenged. Other items for investors include $47 million of rationalization costs in the first six months, with full-year 2011 charges expected to total approximately $65 million, and holders of $107.7 million principal amount at maturity of Zero Coupon Convertible Senior Notes requesting repurchase for cash as of July 25, 2011. The company also disclosed an antitrust lawsuit (the Columbus Drywall case) that it is vigorously defending and for which it cannot reliably estimate potential liability.

    Jul 28, 2011
  49. 2011-Q1

    Masco Quarterly Report for Q1 Ended Mar 31, 2011

    Masco Corporation reported a first-quarter 2011 net loss attributable to Masco of $46 million, or $.13 per diluted share, compared with a net loss of $7 million, or $.02 per share, in the first quarter of 2010. Net sales fell four percent to $1,772 million from $1,852 million. The company attributed the decline mainly to lower volume in installation and other services, cabinets, and paints and stains, partly offset by selling price increases. Gross profit margin declined to 24.0 percent from 26.6 percent, and operating profit included $32 million of business rationalization costs and other charges. The balance sheet remained liquid. Cash and cash investments were $1.5 billion at March 31, 2011, down from $1.7 billion at December 31, 2010, and the current ratio was 2.2 to 1. The company used $160 million in operating activities, paid $27 million in dividends, and repurchased $30 million of common stock to offset dilution from long-term stock awards. It had no borrowings under its credit agreement, was in compliance with all covenants, and reported additional borrowing capacity of up to $984 million. The company expects full-year 2011 rationalization charges of approximately $65 million and capital expenditures of approximately $190 million, excluding potential acquisitions. Management stated that it still expects the second half of 2011 to be stronger than the first half, but its enthusiasm has been tempered by modest job growth, higher energy costs, and reduced economist forecasts for 2011, including for housing starts. The company said it will focus on controllable execution and brand strengthening while remaining confident in the long-term fundamentals of the new home construction and home improvement markets.

    Apr 28, 2011
  50. 2010-Q3

    Masco Quarterly Report for Q3 Ended Sep 30, 2010

    Masco Corporation reported a third-quarter 2010 net loss attributable to Masco of $(5) million, or $(.02) per diluted share from continuing operations, compared with income of $28 million in the third quarter of 2009. Net sales fell to $1,957 million from $2,084 million, which the filing describes as a 6% decrease. Operating profit was $102 million versus $138 million, and the operating profit margin was 5.2% versus 6.6%. For the first nine months, net sales were $5,857 million, down 1% from $5,894 million, while operating profit rose to $299 million from $252 million. The nine-month net loss attributable to Masco was $(9) million, compared with $2 million a year earlier. Management attributed the weaker quarter to lower sales volume, an unfavorable relationship between selling prices and commodity costs, and $39 million of business rationalization costs in the quarter ($104 million year to date). Balance sheet and liquidity improved during the period. Cash and cash investments rose to $1,537 million from $1,413 million at year-end 2009, and the current ratio was 2.4 to 1 versus 1.9 to 1. Long-term debt increased to $4,036 million from $3,604 million after the company issued $500 million of 7.125% notes due 2020, retired $300 million of floating-rate notes at maturity, and repurchased $59 million of 5.875% notes due 2012. Nine-month net cash from operating activities was $236 million, compared with $415 million in the prior-year period. The company entered into a $1.25 billion revolving credit agreement maturing January 10, 2014, had no borrowings under it at September 30, 2010, and reported approximately $1.2 billion of additional borrowing capacity under its debt-to-capitalization covenant. The filing also highlights several items that affect earnings quality. The company recognized $33 million of impairment charges on financial investments in the first nine months, including $28 million on Asahi Tec preferred stock. Its effective tax rate was 82% for the quarter and 70% for the nine months, which the company attributed to plant closure costs and other losses that provide no tax benefit in certain jurisdictions. Management expects full-year 2010 rationalization charges of about $130 million and continues to expect total housing starts of 575,000 to 625,000 units, compared with 554,000 in 2009. The company is also defending an antitrust class action related to its insulation installation businesses and states it cannot reliably estimate any potential liability.

    Oct 28, 2010