Masco Corporation reported its third quarter 2023 results. Its 2023 third quarter results (on a reported basis, compared to third quarter 2022) were:

• Net sales decreased 10% to $1,979 million; in local currency and excluding acquisitions, net sales decreased 11%. In local currency, North American sales decreased 11% and international sales decreased 11%.
• Gross margin increased 610 basis points to 37.6% from 31.5%.
• Operating profit increased 9% to $383 million from $351 million.
• Operating margin increased 350 basis points to 19.4% from 15.9%.
• Net income increased to $1.10 per share, compared to $0.97 per share.

Plumbing Products’ net sales decreased 10%; in local currency and excluding acquisitions, net sales decreased 11%. Decorative Architectural Products’ net sales decreased 10%; in local currency, net sales decreased 11%.

“Our continued ability to successfully execute in a challenging demand environment, along with our continued focus on driving productivity improvements led to strong margin performance and earnings per share growth in the third quarter,” said Keith Allman, Masco president and CEO. “Consistent with our focus on disciplined capital allocation, we returned $109 million to shareholders through dividends and share repurchases and completed our bolt-on acquisition of Sauna360 Group Oy for approximately €124 million.

“With our strong operational performance, we now anticipate our 2023 adjusted earnings per share to be in the range of $3.65 to $3.75 per share, increased from our previous expectation of $3.50 to $3.65 per share,” Allman added. “While the near-term demand environment for repair and remodel products remains uncertain, we are executing well and demonstrating the earnings power of our business model. We remain committed to investing in our brands and capabilities to drive strong growth when market conditions improve and are well-positioned to create long-term shareholder value.”