LIVONIA—Masco Corp. (NYSE: MAS), the manufacturer of home improvement and building products, reported a 4 percent increase in revenue to $1.58 billion in the first quarter of 2020 compared to $1.51 billion in the first quarter of 2019.
Net income was $530 million or $1.92 a share, up from $116 million or 39 cents a share in the first quarter of 2019. The sharp increase was attributable to $397 million in one-time income from discontinued operations, vs. just $9 million last year. Income from continuing operations was $133 million or 48 cents a share in the first quarter of 2020, up from $107 million or 36 cents a share a year earlier.
“We delivered strong top and bottom-line growth and expanded margins in the quarter while managing through the initial challenges we faced in addressing the COVID-19 pandemic,” said Masco President and CEO Keith Allman. “I am extremely proud of how our people have responded and adapted to this rapidly changing environment. The entire organization has united to protect the safety of our employees and support our customers and communities, while still successfully running the business. Our focus remains on the health and safety of our employees, maintaining business operations, and executing on our plans to ensure continued long-term success for Masco.”
“We are taking actions to reduce our expenses and preserve our strong liquidity by reducing our variable costs, implementing a hiring and wage freeze, delaying non-critical capital expenditures, and temporarily suspending our share repurchase activity,” continued Allman. “While our near-term results will be impacted, with our portfolio of lower ticket, repair and remodel-oriented products, we expect demand for our products will be solid as we recover from the pandemic. We believe our work over the past few years to improve our portfolio and strengthen our balance sheet has positioned Masco very well to weather this storm and create long-term shareholder value.”
Masco’s brands include Behr paint; Delta and Hansgrohe faucets, bath and shower fixtures; Kichler decorative and outdoor lighting; and HotSpring spas. More, including a presentation on these results, at www.masco.com. To listen to a replay of a conference all discussing these results, call (855) 859-2056 in the United States or (404) 537-3406 elsewhere, using the conference identification number 2137448, or visit the website.