Overview

* MasterBrand ( MBC ) Q2 net sales up 8%, beating analyst expectations

* Adjusted EPS for Q2 beats estimates, despite net income decline

* Co announces merger with American Woodmark, aiming for cost synergies

Outlook

* Company expects full-year adjusted EBITDA between $315 mln and $365 mln

* MasterBrand ( MBC ) anticipates adjusted EPS of $1.03 to $1.32 for 2025

* Company forecasts low single-digit decrease in 2025 net sales

* MasterBrand ( MBC ) sees mid-single-digit organic net sales decline in 2025

Result Drivers

* SUPREME ACQUISITION - Net sales growth driven by Supreme acquisition, contributing 10% to overall increase

* PRICE ACTIONS - 3% growth from anticipated net average selling price improvements

* VOLUME DECLINE - 5% volume decline in base business, particularly in repair and remodel market

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Beat $730.90 $683.30

mln mln (1

Analyst)

Q2 Beat $0.4 $0.34 (1

Adjusted Analyst)

EPS

Q2 Net $37.30

Income mln

Q2 Gross 32.8%

Margin

Q2 $67.30

Operatin mln

g Income

Q2 $49 mln

Pretax

Profit

Analyst Coverage

* The one available analyst rating on the shares is "buy"

* The average consensus recommendation for the construction supplies & fixtures peer group is "buy"

* Wall Street's median 12-month price target for Masterbrand Inc ( MBC ) is $15.00, about 24.5% above its August 5 closing price of $11.33

* The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)