NYSE$CNM

Core & Main Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Achieved record net sales with nearly 36% growth and outperformed end markets, delivering core market share gains.

Core & Main reported strong second-quarter results, with net sales increasing by 35.7% to $1,297.6 million. The company benefited from strong end market demand, driven by municipal water infrastructure spending and robust housing demand.

  • Net sales increased 35.7% to $1,297.6 million.
  • Gross profit margin increased 100 basis points to 25.1%.
  • Net income decreased 47.5% to $9.5 million.
  • Adjusted EBITDA increased 56.8% to $155.2 million.

Headline financials

Total Revenue

$1.3B

Previous: $956M+35.7%
EPS (adj)

$0.13

Previous: $0.08+72.9%
Free Cash Flow

$26.5M

No prior period
Net Income

$26.5M

Previous: $18.1M+46.4%
Operating Income

$99.8M

Previous: $59.5M+67.7%
Gross Profit

$325M

Previous: $231M+41.0%
Cash & Equivalents

$66.6M

No prior period
Total Assets

$4.05B

No prior period

Revenue & EPS history

Core & Main · Revenue · Quarterly

$1.3B

Q2 2021+35.7%vs Q2 2020
Beat estimate in 9 of 11 quarters(82%)
ActualEstimate

Forward guidance

The company expects demand and pricing trends to continue into the second half of the fiscal year, with full-year fiscal 2021 Adjusted EBITDA expected to be in the range of $470 million to $510 million.

Tailwinds

  • Demand and pricing trends are expected to continue.
  • Each end market appears poised for continued growth based on bidding activity and order flow.
  • Execution of growth initiatives is expected to continue driving core market share gains.
  • Adjusted EBITDA is expected to be in the range of $470 million to $510 million.
  • Represents a year-over-year Adjusted EBITDA increase of 37% to 49%.

Headwinds

  • Tempered against tougher prior year comps.
  • Anticipated supply chain constraints.
  • Potential declines in U.S. residential and non-residential construction markets.
  • Slowdowns in municipal infrastructure spending and delays in appropriations of federal funds.
  • Price fluctuations in product costs.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 17 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-0.2%

Avg return

Earnings day

-1.3%

Avg return

5 days after

+1.3%

Avg return

30 days after

68%

13 / 19 earnings

Positive

+14.4%

Q3 2024

Best reaction

-25.4%

Q2 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027+0.9%-7.6%
Q4 2025+2.5%+6.0%
Q3 2025+2.1%+11.0%+9.1%
Q2 2025-25.4%-26.9%-23.4%
Q1 2025+1.0%+4.9%+11.5%
Q4 2024-0.2%-2.3%+5.6%
Q3 2024+14.4%+11.5%+6.3%
Q2 2024-18.8%-18.1%-8.1%
Q1 2024-11.6%-15.3%-12.8%
Q4 2023+9.5%+14.8%+7.7%
Q3 2023+3.1%+5.4%+8.3%
Q2 2023-5.7%-4.3%-3.9%
Q1 2023+5.8%+2.9%+11.8%
Q4 2022+5.5%+8.3%+22.2%
Q3 2022-3.5%-3.4%+4.2%
Q2 2022+1.0%-5.0%-6.7%
Q1 2022+3.7%-4.3%-2.0%
Q3 2021+7.5%+1.1%-2.8%
Q2 2021+3.7%-3.7%-5.1%
Q1 2021
Q4 2020
Q3 2020
Q2 2020
Q1 2020

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