ST. LOUIS - Core & Main Inc. (NYSE: CNM) shares jumped 6.85% after the specialty infrastructure distributor reported better-than-expected third quarter results and raised its full-year outlook.
Core & Main posted adjusted earnings of $0.69 per share for the third quarter, up 6.2% year-over-year and beating analyst estimates of $0.65. Revenue rose 11.5% to $2.04 billion, also surpassing expectations of $1.99B.
The company said net sales increased primarily due to acquisitions and higher end-market volumes, partially offset by slightly lower selling prices. Gross profit margin was 26.6%, up 20 basis points sequentially from Q2.
"We delivered strong performance in the third quarter, including record quarterly sales and Adjusted EBITDA, demonstrating that Core & Main can grow in any environment," said Steve LeClair, chair and CEO of Core & Main.
For the full fiscal year 2024, Core & Main now expects net sales of $7.35 billion to $7.45 billion and adjusted EBITDA of $915 million to $935 million, up from its previous guidance.
The company completed five acquisitions during and after the quarter to expand its geographic presence and product lines. It also repurchased $100 million of shares during Q3.
"Our teams are executing our strategy, outperforming the market with organic volume growth, and advancing our initiatives to support growth and margin expansion in 2025 and beyond," LeClair added.
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