Masco Corporation reported its first quarter 2023 results.

On a reported basis, compared to first quarter 2022, net sales decreased 10% to $1,979 million; in local currency, net sales decreased 9%. In local currency, North American sales decreased 10% and international sales decreased 3%. Operating profit was $315 million.

Gross margin increased 180 basis points to 33.8% from 32%, while operating margin decreased 10 basis points to 15.9% from 16.0%.

Plumbing Products’ net sales decreased 10%; in local currency, sales decreased 8%, while Decorative Architectural Products’ net sales also decreased 10%.

“We are pleased with our strong execution in what remains a challenging macro environment,” said Keith Allman, Masco president and CEO. “In the first quarter we improved adjusted gross margin by 150 basis points with pricing actions and operational improvements offsetting lower volume. Additionally, we returned $121 million to shareholders through dividends and share repurchases during the quarter, showcasing the company’s strong financial position and our board’s continued confidence in Masco’s resilient business model.

“While the headwinds we discussed last quarter continue, including softening demand trends, persistent inflation and tighter consumer spending, we have moved quickly to adjust our costs and successfully mitigated margin impact in the first quarter,” added Allman. “We continue to expect adjusted earnings per share to be in the range of $3.10 to $3.40 per share for 2023. We remain confident in our strong business fundamentals and are committed to continued prudent investment in our market leading brands, service levels, and innovative products to best position Masco for long-term shareholder value creation.”

Masco also announced tday that the company’s Board of Directors has appointed David Chaika, Masco’s VP, treasurer and investor relations, to serve as interim CFO, effective June 1, 2023, upon the retirement of John G. Sznewajs. Chaika will serve in this capacity while the company conducts an internal and external search for a permanent CFO.

Chaika was appointed VP, treasurer and investor relations in May 2016. Chaika will continue to serve in this capacity while serving as interim CFO. Prior to 2016, he held roles in the treasury and corporate development groups. Prior to joining Masco, Chaika was a VP in the commercial banking industry and an officer in the U.S. Navy.