Masco posts 9.4% 2Q sales increase
By Janice Chamberlain -- Furniture Today, August 7, 2005
Taylor, Mich. — Building on a North American sales increase of 10%, home products giant Masco said total sales in the second quarter rose 9.4% to $3.3 billion from $3.1 billion in the comparable 2004 period.
International sales in the latest quarter were up 6%, or 2% in local currencies, for the parent of ready-to-assemble furniture makers d-Scan, Mill's Pride and Tvilum-Scanbirk.
Net income in the second quarter came to $274 million, a 5% increase over profits of $261 million in the year-earlier quarter.
In the six months, Masco reported sales of $6.3 billion, up 7.7% over year-earlier sales of $5.9 billion. First-half profits surged 17.7% to $505 million from $429 million.
In a conference call with analysts, Chairman and CEO Richard Manoogian said the North American sales increase in the latest quarter was virtually all due to same-location sales growth. He noted that earnings per share from continuing operations in the 2005 quarter were 64 cents, above the company's previous guidance of 58 cents to 62 cents.
Excluding discontinued operations, earnings per share in the comparable 2004 quarter were 65 cents.
Manoogian said first-half results were "adversely affected by increases in commodity, energy and freight costs" which have not been fully recovered.
Based on current business trends, Masco anticipates third-quarter earnings from continuing operations will be 60 cents to 64 cents, compared with 64 cents in the comparable 2004 period.
| Masco Corp. | |||
|---|---|---|---|
| Owns d-Scan, Mill's Pride and Tvilum-Scanbirk | |||
| Earnings per share are fully diluted, and all figures in parentheses are losses or declines. | |||
| Quarter ended 6/30 | 2005 | 2004 | Change |
| (a) Includes pretax litigation settlement income of $3 million in the 2005 quarter and $5 million in the 2005 six months. The 2005 six months also includes $19 million in net income from discontinued operations. (b) Includes pretax litigation settlement income of $7 million in the 2004 quarter and $28 million in the 2004 six months and net losses from discontinued operations of $33 million in the 2004 quarter and $106 million in the 2004 six months. (c) Based on average shares outstanding of 430 million in the 2005 quarter, 453 million in the 2004 quarter, 437 million in the 2005 six months and 460 million in the 2004 six months. |
|||
| Sales | $3,348,000,000 | $3,061,000,000 | 9.4% |
| Operating income | 470,000,000 | 470,000,000 | 0.0% |
| Net income | (a)274,000,000 | (b)261,000,000 | 5.0% |
| Earnings per share (c) | 0.64 | 0.58 | 10.3% |
| 6 months ended 6/30 | 2005 | 2004 | Change |
| Sales | $6,317,000,000 | $5,867,000,000 | 7.7% |
| Operating income | 811,000,000 | 836,000,000 | (3.0%) |
| Net income | (a)505,000,000 | (b)429,000,000 | 17.7% |
| Earnings per share (c) | 1.16 | 0.93 | 24.7% |
-
Masco profits surge 37.5% in 1st qtr.
May 22, 2005 -
Masco's 3Q earnings take hit
Nov 20, 2005 -
Masco 1Q sales increase 19.3%
May 9, 2004 -
Masco sales, profits up in 4Q, yr.
Mar 13, 2005 -
Masco sales rise 1%, but profit slips 4% in quarter
Nov 19, 2006
VIEW ALL GALLERIES
