NYSE$MAS

Masco Corp · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Masco's Q4 2020 earnings were reported, revealing a strong finish to the year with significant sales and earnings growth.

Masco Corporation reported a 13% increase in sales for the fourth quarter, reaching $1,860 million. Operating profit increased by 20% to $307 million, and earnings per share from continuing operations rose by 30% to $0.73. The company anticipates continued strong demand and expects 2021 adjusted earnings per share to be in the range of $3.25 to $3.45.

  • Sales for the fourth quarter increased 13% to $1,860 million.
  • Operating profit for the quarter increased 20% to $307 million.
  • Earnings per share from continuing operations for the quarter increased 30% to $0.73 per share.
  • The board announced its intent to increase the annual dividend by 68% to $0.94 per share and authorized a new $2.0 billion share repurchase program.

Headline financials

Total Revenue

$1.86B

Previous: $1.64B+13.5%
EPS (adj)

$0.75

Previous: $0.54+38.9%
Gross Margin

35.5%

Previous: 34.5%+2.9%
Operating Margin

16.5%

Previous: 15.6%+5.8%
Share Repurchase Program

$2B

No prior period
Net Income

$211M

Previous: $453M-53.4%
Operating Income

$307M

Previous: $255M+20.4%
Gross Profit

$660M

Previous: $565M+16.8%
Cash & Equivalents

$1.33B

Previous: $697M+90.2%
Total Assets

$5.78B

Previous: $5.03B+14.9%
Stock-Based Comp

$45M

Previous: $35M+28.6%

Revenue & EPS history

Masco · Revenue · Quarterly

$1.86B

Q4 2020+13.5%vs Q4 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Masco · $1.86B total across 2 segments · Q4 2020

  • Plumbing Products Net Sales
    $1.17B+14.2%
  • Decorative Architectural Products Net Sales
    $688M+12.2%

Forward guidance

Masco anticipates the demand for its products will remain strong in 2021 and expects adjusted earnings per share to range from $3.25 to $3.45.

Tailwinds

  • Demand for products expected to remain strong in 2021.
  • Key housing fundamentals that drive the business improved during the second half of 2020.
  • Consumers are viewing the value of their homes more favorably.
  • New share repurchase authorization underscores strong financial position.
  • Anticipated dividend increase increases shareholder value.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+0.9%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+0.4%

Avg return

30 days after

58%

42 / 72 earnings

Positive

+14.0%

Q2 2015

Best reaction

-9.5%

Q2 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.6%+11.2%+0.8%
Q4 2025+8.7%+6.4%-15.3%
Q3 2025-4.6%-6.9%-5.2%
Q1 2025-3.4%-1.5%+0.6%
Q4 2024+1.4%+1.0%-10.8%
Q3 2024-1.6%-1.8%-1.5%
Q2 2024+9.7%+11.0%+14.3%
Q1 2024-4.3%-4.0%-5.4%
Q4 2023+3.1%+2.9%+9.1%
Q3 2023+5.6%+7.8%+22.5%
Q2 2023-0.6%-0.3%-8.0%
Q1 2023+5.3%+6.2%+1.1%
Q4 2022+1.7%+2.4%-7.4%
Q3 2022-4.8%-4.3%+5.4%
Q2 2022+2.7%-1.3%-5.4%
Q1 2022+4.4%+0.4%+9.7%
Q4 2021+0.4%-4.3%-10.7%
Q3 2021+7.2%+5.8%+9.8%
Q2 2021+0.1%+1.1%+3.9%
Q1 2021+2.2%+2.5%-5.1%
Q4 2020-3.6%-4.2%-0.5%
Q3 2020+0.7%+2.2%+1.3%
Q2 2020+1.5%+1.6%+3.9%
Q1 2020-1.6%-4.5%+11.8%
Q4 2019-5.2%-8.1%-24.7%
Q3 2019+3.6%+3.4%+4.3%
Q2 2019+5.9%+6.0%-1.4%
Q1 2019-3.8%-2.3%-6.8%
Q4 2018+8.0%+10.6%+18.0%
Q3 2018+9.3%+14.1%+14.0%
Q2 2018+1.3%+0.1%-3.3%
Q1 2018-5.8%-3.6%-4.9%
Q4 2017-1.3%+0.2%-0.5%
Q3 2017-1.1%+0.1%-0.4%
Q2 2017+2.5%+1.8%-3.5%
Q1 2017+6.9%+5.7%+6.0%
Q4 2016-0.1%-2.0%+0.4%
Q3 2016-8.8%-8.5%-3.5%
Q2 2016+6.5%+6.6%+3.0%
Q1 2016-1.7%
Q4 2015+8.7%
Q3 2015+6.0%
Q2 2015+14.0%
Q1 2015+1.9%
Q4 2014+1.0%
Q3 2014-4.0%
Q2 2014+3.9%
Q1 2014-6.2%
Q4 2013+2.0%
Q3 2013+2.3%
Q2 2013+4.9%
Q1 2013-5.7%
Q4 2012+12.5%
Q3 2012+3.3%
Q2 2012-9.5%
Q1 2012+2.0%
Q4 2011-1.9%
Q3 2011-6.1%
Q2 2011-3.3%
Q1 2011+0.4%
Q4 2010-1.1%
Q3 2010-0.1%
Q2 2010+1.7%
Q1 2010-1.3%
Q1 2009-1.3%
Q4 2007+1.0%
Q4 2009+1.0%
Q3 2008-3.2%
Q3 2009-3.2%
Q4 2008+0.5%
Q2 2009+0.5%
Q2 2008+0.5%

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