CNM

Core & Main’s fourth quarter saw the company navigate a challenging demand landscape, with end market softness particularly evident in residential and certain nonresidential segments. Management credited steady municipal demand and robust execution in specialty categories such as meters and treatment plant solutions for partially offsetting these pressures. CEO Mark Witkowski highlighted, “Municipal volumes were up low to mid-single digits and continue to be a source of strength supported by steady repair and replacement activity.” The company’s ability to expand gross margins, driven by increased private label penetration and disciplined pricing, was also key to sustaining profitability as overall sales declined year on year. Is now the time to buy CNM? Find out in our full research report (it’s free). Revenue: $1.91 billion vs analyst estimates of $1.90 billion (flat year on year, 0.8% beat) Adjusted EPS: $0.56 vs analyst estimates of $0.57 (in line) Adjusted EBITDA: $226 million vs analyst estimates of $220.7 million (11.8% margin, 2.4% beat) The company reconfirmed its revenue guidance for the full year of $7.85 billion at the midpoint EBITDA guidance for the full year is $965 million at the midpoint, in line with analyst expectations Operating Margin: 9.3%, in line with the same quarter last year Market Capitalization: $9.37 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. David Manthey (Baird) asked about the growth disconnect between Core & Main and its largest competitors. CEO Mark Witkowski attributed differences to end market mix and highlighted growing share in data centers and treatment plant projects. David Manthey (Baird) also pushed for clarity on cost-out program benefits. CFO Robyn Bradbury confirmed that most savings will be realized in the first three quarters of next year, supporting incremental margin improvement. Matthew Bouley (Barclays) questioned exposure to commodity inflation and price setting strategies. Witkowski said rising resin and fuel costs are embedded in guidance, with positive signs for price stability in certain product categories. Joseph Ritchie (Goldman Sachs) inquired a...

Wrapping up Q1 earnings, we look at the numbers and key takeaways for the industrial distributors stocks, including Core & Main (NYSE:CNM) and its peers. Supply chain and inventory management are themes that grew in focus after COVID wreaked havoc on the global movement of raw materials and components. Distributors that boast a reliable selection of products–everything from hardhats and fasteners for jet engines to ceiling systems–and quickly deliver goods to customers can benefit from this theme. While e-commerce hasn’t disrupted industrial distribution as much as consumer retail, it is still a real threat, forcing investment in omnichannel capabilities to better interact with customers. Additionally, distributors are at the whim of economic cycles that impact the capital spending and construction projects that can juice demand. The 24 industrial distributors stocks we track reported a satisfactory Q1. As a group, revenues beat analysts’ consensus estimates by 2.1% while next quarter’s revenue guidance was in line. In light of this news, share prices of the companies have held steady as they are up 3.8% on average since the latest earnings results. Formerly a division of industrial distributor HD Supply, Core & Main (NYSE:CNM) is a provider of water, wastewater, and fire protection products and services. Core & Main reported revenues of $1.91 billion, flat year on year. This print exceeded analysts’ expectations by 0.8%. Despite the top-line beat, it was still a mixed quarter for the company with a decent beat of analysts’ EBITDA estimates but full-year EBITDA guidance meeting analysts’ expectations. “I want to thank our teams across the country for their disciplined execution, which continues to advance our strategic priorities and strengthen our position with our customers,” said Mark Witkowski, CEO of Core & Main. The market seems disappointed with the results as the stock is down 4.2% since reporting and currently trades at $50.43. Is now the time to buy Core & Main? Access our full analysis of the earnings results here, it’s free. Founded in 1947, Richardson Electronics (NASDAQ:RELL) is a distributor of power grid and microwave tubes as well as consumables related to those products. Richardson Electronics reported revenues of $55.47 million, up 3.1% year on year, outperforming analysts’ expectations by 4.4%. The business had an incredible quarter with...

Core & Main, Inc. CNM used its first-quarter fiscal 2026 call to make a consistent point: municipal water infrastructure demand remains durable even as residential construction stays weak. Management paired that message with margin expansion, steady bidding activity and an unchanged full-year outlook.The setup mattered because investors were looking for signs that softer private construction or funding concerns could dent the year. Instead, executives emphasized stable demand, pricing discipline and a growing pipeline in smart utility, treatment plant and data center-related work. Chief executive officer Mark Witkowski said municipal demand remained the company’s most stable growth engine, supported by repair-and-replace work, aging infrastructure and the fact that most water infrastructure funding comes from state and local sources rather than a single federal cycle. He said that the foundation helped offset continued weakness in residential lot development.Management described nonresidential demand as mixed but stable, with healthy activity in data centers and manufacturing helping balance softer traditional commercial construction. Witkowski also pointed to fire protection as a standout category, supported by data center and multifamily activity as well as higher steel prices.The company reported first-quarter adjusted earnings of 72 cents, which topped the Zacks Consensus Estimate of 70 cents, delivering a surprise of 2.9%. CNM reported revenues of $1.91 billion, which came above the Zacks Consensus Estimate of $1.90 billion by 0.3%. Gross margin improved 50 basis points to 27.2%. Core & Main, Inc. price-consensus-eps-surprise-chart | Core & Main, Inc. Quote President Bradford Cowles spent much of the call on smart utility and treatment plant solutions, two categories that management called important municipal growth drivers. He said customers increasingly want full-project partners that can handle hardware, software, analytics, installation, project management and ongoing service.Cowles said Core & Main has been winning larger and more complex smart utility contracts, including multiyear programs, because it can integrate offerings from multiple technology partners and support the full project life cycle. He said that capability is helping the company gain share across municipalities of different sizes.Treatment plant work drew similar emphasis. Cowles...

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Municipal demand remains the core growth engine, driven by the nondiscretionary nature of aging water infrastructure repair and replacement cycles. Data center and manufacturing projects are providing a significant offset to traditional commercial softness, requiring complex water infrastructure for cooling and fire protection. Residential lot development remains stabilized at lower levels following a pullback in late fiscal 2025, with near-term activity constrained by interest rates and affordability. Gross margin expansion of 50 basis points was achieved through structural improvements in private label penetration, sourcing optimization, and disciplined pricing execution. The company is successfully transitioning from a product distributor to an integrated solutions provider, particularly in smart utility and treatment plant categories. National scale is being leveraged to support local relationship-driven service models, allowing the company to capture larger, multi-phase infrastructure projects. Strategic investments in technology and AI-enabled tools are being deployed to enhance customer experience and simplify complex supply chain workflows. Full-year guidance assumes flat overall end-market volumes, with municipal strength balancing a cautious outlook for private construction sectors. Management expects a record 8 to 10 greenfield location openings in fiscal 2026 to deepen penetration in high-growth geographic markets. Recent supplier price increases in PVC are expected to provide a modest revenue tailwind in the second half of the year as new bids flow through. The M&A pipeline has seen a notable uptick in activity, with several opportunities in late-stage processing across core and specialized product categories. Seasonality expectations point to slight growth in the second quarter, followed by low-to-mid single-digit growth in the second half as year-over-year comparisons ease. Geopolitical uncertainty and macroeconomic factors are identified as potential headwinds that could impact consumer confidence and interest rate trajectories. The Infrastructure Investment and Jobs Act (IIJA) funding is still largely at the state level, with less than one-third reaching municipalities, suggesting a long-ter...

Core & Main (CNM) came out with quarterly earnings of $0.72 per share, beating the Zacks Consensus Estimate of $0.7 per share. This compares to earnings of $0.52 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +3.60%. A quarter ago, it was expected that this distributor of water and fire protection products would post earnings of $0.48 per share when it actually produced earnings of $0.52, delivering a surprise of +8.33%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Core & Main, which belongs to the Zacks Manufacturing - Tools & Related Products industry, posted revenues of $1.91 billion for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 0.32%. This compares to year-ago revenues of $1.91 billion. The company has topped consensus revenue estimates just once over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Core & Main shares have added about 1.3% since the beginning of the year versus the S&P 500's gain of 7.9%. While Core & Main has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Core & Main was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see th...

Core & Main, Inc. (NYSE:CNM) delivered first-quarter results ahead of market expectations, prompting shares to rise about 0.7% in premarket trading. Adjusted earnings per share reached $0.72, surpassing analyst forecasts of $0.54 by $0.18. Revenue totaled $1.91 billion, slightly ahead of the $1.90 billion consensus estimate and broadly unchanged from the same period a year earlier. Gross profit increased 2.0% year-on-year to $520 million, while gross margin improved by 50 basis points to 27.2%, reflecting the company’s continued focus on profitability and operational efficiency. The specialty infrastructure distributor reaffirmed its fiscal 2026 guidance, continuing to forecast net sales of between $7.80 billion and $7.90 billion, representing anticipated growth of 2% to 3%. Core & Main also maintained its adjusted EBITDA outlook of $950 million to $980 million, with an expected adjusted EBITDA margin ranging from 12.2% to 12.4%. Net income rose 7.6% to $113 million during the quarter, while adjusted EBITDA increased 0.9% to $226 million. Management highlighted ongoing strength in municipal markets, supported by infrastructure spending and maintenance activity. “In the first quarter, we delivered solid results despite a dynamic macroeconomic environment and strong prior-year comparison,” said Mark Witkowski, CEO of Core & Main. “Municipal demand remained healthy, supported by ongoing repair-and-replace activity and infrastructure investment.” The company reported double-digit growth in its treatment plant solutions business and high-single-digit growth across smart utility product categories. Core & Main continued to invest in its network, opening five new greenfield locations during the quarter to support future growth. The company also remained active in returning capital to shareholders, spending $88 million to repurchase 1.8 million shares during the quarter. Following quarter-end, it deployed an additional $37 million to buy back approximately 0.8 million shares. Operating cash flow improved to $82 million from $77 million in the prior-year period. Core & Main ended the quarter with lower leverage, as net debt declined to $2.01 billion as of 3 May 2026, compared with $2.28 billion a year earlier. The reduction in debt, combined with steady cash generation and continued investment in expansion initiatives, leaves the company well positioned to pursue gro...

Core & Main (CNM) reported fiscal first-quarter results above Wall Street's estimates on Wednesday,

Core & Main (CNM) reported fiscal Q1 adjusted earnings Wednesday of $0.72 per diluted share, up from

Interested in Core & Main, Inc.? Here are five stocks we like better. Core & Main reaffirmed fiscal 2026 guidance after a first quarter that showed steady sales and modest profit growth. Net sales were $1.9 billion, adjusted EBITDA rose to $226 million, and adjusted EPS increased 6% to $0.72. Municipal demand remained the company’s main growth engine, driven by aging water infrastructure, repair and replacement activity, and non-discretionary spending. Management said it does not expect a federal funding “cliff” from infrastructure programs because state and local funding remains the dominant source. Residential markets stayed weak, but non-residential and specialty areas were more resilient. Data centers, manufacturing, fire protection, smart utility, and treatment plant projects helped offset softness in traditional residential and commercial construction. Med-tech stock Conmed dips ahead of big Q4 report...opportunity? Core & Main (NYSE:CNM) reaffirmed its fiscal 2026 outlook after reporting first-quarter results that management said reflected resilient municipal demand, disciplined pricing and margin initiatives, despite continued pressure in residential lot development. The water, wastewater, storm drainage and fire protection products distributor reported first-quarter net sales of $1.9 billion, roughly in line with the prior year. Adjusted EBITDA was $226 million, up 1% year over year, while adjusted diluted earnings per share rose about 6% to $0.72 from $0.68 a year earlier. → Meta Unveils Subscriptions: A New Offering With Real Growth Potential Chief Executive Officer Mark Witkowski said the company delivered “a solid start to fiscal 2026,” citing “disciplined execution and the underlying resilience” of the business. He said the results support the full-year outlook Core & Main issued in March. Witkowski said municipal demand remained strong during the quarter and continues to be a “core source of growth” for Core & Main. He pointed to aging water infrastructure, repair and replacement activity, and the largely non-discretionary nature of municipal spending as key drivers. → Cybersecurity Earnings: 1 AI Standout and 2 Stocks Under Pressure Management emphasized that municipal water infrastructure funding is largely local. Witkowski said approximately 95% of water infrastructure funding is supported by state and local sources, reinforcing what he des...

Investing.com -- Core & Main, Inc. (NYSE: CNM) reported first-quarter results that exceeded analyst expectations, with shares edging up around 0.7% premarket following the announcement. Adjusted earnings per share of $0.72 beat the consensus estimate of $0.54 by $0.18. Revenue for the quarter came in at $1.91 billion, slightly above the consensus estimate of $1.90 billion. Revenue was essentially flat compared to $1.91 billion in the same quarter last year. The specialty distributor reaffirmed its full-year fiscal 2026 outlook, projecting net sales of $7.80 billion to $7.90 billion, reflecting growth of 2% to 3%. The company expects adjusted EBITDA of $950 million to $980 million, with an adjusted EBITDA margin of 12.2% to 12.4%. Gross profit increased 2.0% to $520 million, with gross profit margin expanding 50 basis points to 27.2%. Net income rose 7.6% to $113 million, while adjusted EBITDA increased 0.9% to $226 million. The company deployed $88 million to repurchase 1.8 million shares during the quarter, with an additional $37 million used to repurchase 0.8 million shares after quarter end. "In the first quarter, we delivered solid results despite a dynamic macroeconomic environment and strong prior-year comparison," said Mark Witkowski, CEO of Core & Main. "Municipal demand remained healthy, supported by ongoing repair-and-replace activity and infrastructure investment." The company reported strong performance in treatment plant solutions with double-digit growth and high-single-digit growth in smart utility categories. Core & Main opened five new greenfield locations during the quarter and generated $82 million in operating cash flow, up from $77 million in the prior year period. Net debt decreased to $2.01 billion as of May 3, 2026, compared with $2.28 billion in the prior year period. Related articles Core & Main beats first quarter estimates, reaffirms outlook As Claude disrupts stock market, Anthropic researcher warns ’world is in peril’ This sector is 'poised for a big, beautiful year': Truist

This article first appeared on GuruFocus. Net Sales: $1.9 billion, in line with the prior year. Adjusted EBITDA: $226 million, 1% above the prior year. Adjusted Diluted EPS: $0.72, a 6% increase from $0.68 last year. Gross Margin: 27.2%, up 50 basis points year-over-year. SG&A Expenses: Increased 2% to $299 million. Operating Cash Flow: $82 million, an increase of $5 million from the prior year quarter. Net Debt: $2 billion with a net debt leverage of 2.2 times. Liquidity: Nearly $1.4 billion, including $150 million of cash. Share Repurchases: $88 million returned to shareholders, reducing share count by roughly 1.8 million shares. Greenfield Locations: Opened five new locations, on track to open 8 to 10 in fiscal 2026. Full Year Guidance: Net sales of $7.8 billion to $7.9 billion, adjusted EBITDA of $950 million to $980 million. Warning! GuruFocus has detected 7 Warning Signs with NNWWF. Is CNM fairly valued? Test your thesis with our free DCF calculator. Release Date: June 10, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Core & Main Inc (NYSE:CNM) reported strong first quarter results with net sales of $1.9 billion, adjusted EBITDA of $226 million, and adjusted diluted EPS of $0.72, reflecting disciplined execution and business resilience. The company is experiencing strong municipal demand, driven by aging water infrastructure and essential repair and replacement work, supported by state and local funding. Core & Main Inc (NYSE:CNM) is capitalizing on growth opportunities in data centers and manufacturing facilities, with fire protection sales benefiting from increased activity and higher steel prices. The company is expanding its geographic footprint with the opening of five new greenfield locations and plans to open a record eight to ten locations in fiscal 2026. Core & Main Inc (NYSE:CNM) is actively pursuing acquisition opportunities to expand capabilities, extend geographic reach, and add strong local talent and customer relationships, with a robust pipeline of potential deals. Residential markets remain challenged with year-over-year declines, influenced by interest rates and affordability, with no meaningful improvement seen since the end of fiscal 2025. Non-residential demand is mixed, with softness in traditional commercial construction, particularly retail and office-related activity....

Image source: The Motley Fool. Tuesday, December 9, 2025 at 7:30 a.m. ET Chief Financial Officer — Robyn Bradbury President and Chief Executive Officer — Mark Witkowski Need a quote from a Motley Fool analyst? Email [email protected] Mark Witkowski: Thanks, Glenn, and good morning, everyone. Before we dive into our results, I want to start by reminding everyone of Core & Main's value proposition. Core & Main is a leading specialty distributor of water infrastructure products and services in North America, supporting the repair, upgrade and expansion of our nation's critical water systems. Our competitive advantages, including national scale and resources, local market expertise backed by the best trained sales force, industry-specific technology and comprehensive product solutions position us to lead an attractive secular growth market, driven by aging infrastructure, increasing water demand and ongoing investment needs. Our business model is built for resilience. Today, municipal projects represent over 40% of our sales, providing steady, predictable demand, supported by reliable funding sources. Our nonresidential end market, which represents roughly 40% of sales, benefits from a diverse project mix across commercial, industrial and infrastructure applications, many of which are poised for growth. Residential activity represents less than 20% of our sales. And while near-term dynamics in this market remain challenged, we continue to view the long-term outlook as attractive, supported by population growth and a structural undersupply of housing. This diversification, combined with emerging growth drivers like data centers and treatment plant modernization provides a strong foundation for our business. Core & Main consistently produces strong free cash flow and compelling returns on invested capital, giving us the flexibility to reinvest in the business, pursue strategic growth opportunities and return capital to shareholders. We continue to control our own destiny through disciplined execution on multiple fronts. For example, expanding into high-growth geographies, broadening our product offering in areas like treatment plants, smart meters and fusible HDPE, and deploying our strong balance sheet to pursue accretive M&A opportunities, including our recent expansion into the $5 billion Canadian market. These strategic investments are expanding our addressable mark...