Core & Main Q2 Profit Rises 6.6%, Cuts Full-Year Outlook

Core & Main, Inc. reported strong second-quarter fiscal 2025 results with earnings of $134 million, or $0.70 per share, surpassing last year's $119 million, and adjusted earnings of $0.87 per share beating analyst expectations. Revenue rose 6.6% to $2.093 billion, driven by growth in municipal demand and stability in non-residential markets, although softness in residential lot development tempered overall performance. Despite this growth, the company lowered its full-year adjusted EBITDA outlook to $920 million to $940 million from $950 million to $1 billion, and trimmed its revenue forecast to $7.6 billion to $7.7 billion due to higher operating expenses and weaker residential demand. CEO Mark Witkowski highlighted targeted productivity and margin improvement initiatives alongside successful private label and sourcing strategies that helped offset macroeconomic challenges. Core & Main also reported increased sales in key product categories such as pipes, valves, fittings, and storm drainage, while meter product sales declined due to project delays. The company continues to invest in organic growth, acquisitions, and expansion, including opening new locations and acquiring Canada Waterworks, aiming for 4% to 5% sales growth in fiscal 2025.