Masco Corp. (NYSE: MAS) reported Q4 EPS of $0.56, $0.04 better than the analyst estimate of $0.52. Revenue for the quarter came in at $1.64 billion versus the consensus estimate of $1.65 billion.

2019 Fourth Quarter Key Results

• Sales for the fourth quarter matched prior year at $1.6 billion; in local currency, sales increased 1 percent
• Earnings per share from continuing operations for the quarter decreased 2 percent to $0.56 per share; adjusted earnings per share from continuing operations matched prior year at $0.54 per share
• Returned $495 million to shareholders through share repurchases and dividends in the quarter
• Anticipate 2020 earnings per share from continuing operations to be in the range of $2.25 - $2.45 per share, and on an adjusted basis to be in the range of $2.35 - $2.55 per share
• Windows and Cabinetry businesses accounted for as discontinued operations

“We finished the year on plan, with solid growth in both North American plumbing and paints and other coating products,” said Keith Allman, Masco’s President and CEO. “We also closed the sale of our Milgard Windows and Doors business, signed an agreement to sell our Masco Cabinetry business, and returned $495 million to shareholders through share repurchases and dividends during the quarter.”

“2019 was a transformative year for Masco,” said Allman. “We executed on our strategy to become more focused on our higher margin, lower ticket, and less cyclical Plumbing and Decorative Architectural Products segments. We also delivered on our commitments, achieving sales growth of 2 percent in local currencies and adjusted earnings per share growth from continuing operations of 6 percent, despite slower overall end markets and higher input costs for many of our products. Lastly, we continued our balanced capital allocation strategy by repurchasing 20.1 million shares for $896 million, increasing our dividend for the sixth year in a row, and reducing our debt by $201 million.”

GUIDANCE:

Masco Corp. sees FY2020 EPS of $2.35-$2.55, versus the consensus of $2.58.

“The fundamentals of the repair and remodel industry, which now represents approximately 90% of our business, remain strong,” continued Allman. “We believe our markets and our performance will improve throughout the year as we work through higher input costs in the first half of 2020, and we anticipate our adjusted earnings per share to be in the range of $2.35 to $2.55 per share for 2020.”

For earnings history and earnings-related data on Masco Corp. (MAS) click here.