Core & Main Reports 9.8% Revenue Growth to $1.911 Billion in Latest Quarter

Core & Main, Inc. reported a notable increase in financial performance for the three months ended May 4, 2025, with net sales reaching $1.911 billion, a 9.8% rise from $1.741 billion in the same period last year. The growth was primarily driven by higher volumes and acquisitions, particularly in the pipes, valves, and fittings segment, which saw a 10.9% increase in sales. Gross profit also rose to $510 million, up 9.0% from $468 million, although the gross profit margin slightly decreased to 26.7% from 26.9% due to higher inventory costs.

The company’s operating expenses increased by 14.0% to $293 million, attributed to higher personnel costs and inflationary pressures. Despite this, operating income grew by 1.8% to $171 million. Interest expenses decreased to $30 million from $34 million, contributing to a net income of $105 million, a 4.0% increase from $101 million in the prior year. Net income attributable to Core & Main, Inc. was $100 million, reflecting a 5.3% increase, while earnings per share rose to $0.53 from $0.49.

In terms of operational metrics, Core & Main maintained a strong customer base, serving over 60,000 clients across various sectors, including municipalities and private water companies. The company operates approximately 370 branches across 49 states, which supports its extensive distribution network. The filing did not report any new acquisitions during the latest quarter, following significant acquisitions in the previous fiscal year, which included companies like NW Geosynthetics and DKC Group Holdings.

Looking ahead, Core & Main anticipates continued growth driven by infrastructure investments, particularly in water-related projects, supported by federal funding initiatives. However, the company remains cautious about potential market volatility, including fluctuations in construction spending and supply chain disruptions. The management emphasized the importance of strategic pricing and inventory management to navigate these challenges effectively. The company also plans to utilize its remaining $285 million share repurchase authorization to enhance shareholder value while maintaining sufficient liquidity for future growth initiatives.