Operating margins remain highly sensitive to volume, peaking at 20.1% in 2025Q2 before retreating, reflecting the company's vulnerability to cyclical demand shifts in the home improvement sector.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 7.68B | 7.56B | 7.83B | 7.97B | 8.68B | 8.38B | 7.19B | 6.71B | 6.65B | 7.64B | 7.36B | 7.14B | 8.52B | 8.17B | 7.75B | 7.47B | 7.59B | 7.79B | 9.6B | 11.77B | 12.78B | 12.64B | 12.07B | 10.94B | 9.42B | 8.36B | 7.24B | 6.31B | 4.34B | 3.76B | 3.24B |
| Revenue Growth % | -0.31% | -3.4% | -1.74% | -8.21% | 3.64% | 16.51% | 7.17% | 0.8% | -12.95% | 3.9% | 3.01% | -16.18% | 4.26% | 5.53% | 3.72% | -1.65% | -2.57% | -18.83% | -18.44% | -7.89% | 1.08% | 4.7% | 10.41% | 16.1% | 12.7% | 15.39% | 14.84% | 45.16% | 15.56% | 16.16% | 10.59% |
| Cost of Goods Sold | 4.96B | 4.88B | 4.99B | 5.16B | 5.97B | 5.51B | 4.6B | 4.35B | 4.35B | 5.05B | 4.93B | 4.93B | 4.96B | 5.92B | 5.53B | 5.7B | 5.69B | 5.82B | 7.17B | 8.61B | 9.31B | 8.98B | 8.19B | 7.59B | 6.45B | 5.81B | 4.73B | 3.86B | 2.69B | 2.28B | 1.96B |
| COGS % of Revenue | - | 64.47% | 63.75% | 64.79% | 68.74% | 65.81% | 64.04% | 64.83% | 65.34% | 66.13% | 67% | 68.97% | 58.17% | 72.4% | 71.45% | 76.34% | 74.99% | 74.67% | 74.67% | 73.11% | 72.89% | 71.07% | 67.81% | 69.37% | 68.48% | 69.48% | 65.25% | 61.19% | 61.82% | 60.66% | 60.57% |
| Gross Profit | 2.72B | 2.69B | 2.84B | 2.81B | 2.71B | 2.86B | 2.58B | 2.36B | 2.31B | 2.59B | 2.43B | 2.22B | 2.05B | 2.26B | 1.96B | 1.77B | 1.79B | 1.97B | 2.32B | 3.17B | 3.46B | 3.58B | 3.66B | 3.35B | 2.97B | 2.55B | 2.52B | 2.45B | 1.66B | 1.48B | 1.28B |
| Gross Margin % | 35.41% | 35.53% | 36.25% | 35.21% | 31.26% | 34.19% | 35.96% | 35.17% | 34.66% | 33.84% | 33.06% | 31.03% | 24.05% | 27.6% | 25.32% | 23.66% | 23.62% | 25.33% | 24.13% | 26.89% | 27.11% | 28.35% | 30.34% | 30.63% | 31.52% | 30.52% | 34.75% | 38.81% | 38.18% | 39.34% | 39.43% |
| Gross Profit Growth % | - | -5.32% | 1.18% | 3.39% | -5.24% | 10.75% | 9.58% | 2.3% | -10.86% | 6.37% | 9.75% | 8.15% | -9.18% | 15.04% | 10.98% | -1.45% | -9.17% | -14.77% | -26.82% | -8.63% | -3.35% | -2.16% | 9.34% | 12.84% | 16.37% | 1.36% | 2.82% | 47.57% | 12.15% | 15.87% | 9.03% |
| Operating Expenses | 1.43B | 1.42B | 1.47B | 1.47B | 1.39B | 1.41B | 1.29B | 1.26B | 1.23B | 1.39B | 1.33B | 1.29B | 1.24B | 1.56B | 1.48B | 1.55B | 1.56B | 1.65B | 1.75B | 1.99B | 2.01B | 1.95B | 1.99B | 1.74B | 1.52B | 1.51B | 1.46B | 1.54B | 1.19B | 1.09B | 796M |
| OpEx % of Revenue | - | 18.71% | 18.73% | 18.44% | 16.01% | 16.87% | 17.95% | 18.82% | 18.47% | 18.17% | 18.05% | 18.05% | 14.56% | 19.12% | 19.1% | 20.78% | 20.61% | 21.15% | 18.23% | 16.88% | 15.71% | 15.46% | 16.47% | 15.87% | 16.18% | 18.08% | 20.16% | 24.36% | 27.47% | 28.97% | 24.59% |
| Selling, General & Admin | 1.43B | 1.42B | 1.47B | 1.47B | 1.39B | 1.41B | 1.29B | 1.26B | 1.23B | 1.39B | 1.33B | 1.29B | 1.24B | 1.56B | 1.48B | 1.55B | 1.56B | 1.65B | 1.75B | 1.99B | 2.01B | 1.95B | 1.99B | 1.75B | 1.39B | 1.42B | 1.22B | 1.35B | 1.04B | 957.8M | 696.3M |
| SG&A % of Revenue | - | 18.71% | 18.73% | 18.44% | 16.01% | 16.87% | 17.95% | 18.82% | 18.47% | 18.17% | 18.05% | 18.05% | 14.56% | 19.12% | 19.1% | 20.78% | 20.61% | 21.15% | 18.23% | 16.88% | 15.71% | 15.46% | 16.47% | 16.04% | 14.79% | 16.97% | 16.87% | 21.48% | 23.86% | 25.47% | 21.51% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 1000K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -19M | 131M | 93.2M | 238.33M | 181.8M | 156.7M | 131.5M | 99.7M |
| Operating Income | 1.29B | 1.27B | 1.37B | 1.34B | 1.32B | 1.45B | 1.29B | 1.1B | 1.08B | 1.2B | 1.1B | 927M | 808M | 693M | 482M | 215M | 228M | 326M | 566M | 1.18B | 1.46B | 1.63B | 1.67B | 1.45B | 1.27B | 1.04B | 1.06B | 911.5M | 866.4M | 705.9M | 480.5M |
| Operating Margin % | 16.79% | 16.82% | 17.53% | 16.77% | 15.24% | 17.31% | 18.02% | 16.36% | 16.19% | 15.67% | 15.01% | 12.98% | 9.48% | 8.48% | 6.22% | 2.88% | 3% | 4.18% | 5.9% | 10.01% | 11.39% | 12.89% | 13.86% | 13.25% | 13.45% | 12.44% | 14.59% | 14.45% | 19.94% | 18.77% | 14.84% |
| Operating Income Growth % | - | -7.29% | 2.69% | 0.98% | -8.76% | 11.97% | 18.05% | 1.86% | -10.1% | 8.51% | 19.09% | 14.73% | 16.59% | 43.78% | 124.19% | -5.7% | -30.06% | -42.4% | -51.95% | -19.09% | -10.67% | -2.63% | 15.53% | 14.36% | 21.85% | -1.6% | 15.93% | 5.21% | 22.74% | 46.91% | 19.41% |
| EBITDA | 1.4B | 1.42B | 1.52B | 1.49B | 1.47B | 1.6B | 1.43B | 1.27B | 1.25B | 1.35B | 1.26B | 1.08B | 964M | 885M | 673M | 502M | 540M | 618M | 845M | 1.47B | 1.75B | 1.87B | 1.91B | 1.69B | 1.49B | 1.31B | 1.3B | 1.09B | 1.02B | 837.4M | 580.2M |
| EBITDA Margin % | 18.26% | 18.78% | 19.44% | 18.64% | 16.91% | 19.12% | 19.89% | 18.91% | 18.85% | 17.66% | 17.17% | 15.12% | 11.31% | 10.83% | 8.69% | 6.72% | 7.11% | 7.93% | 8.8% | 12.45% | 13.73% | 14.8% | 15.83% | 15.48% | 15.79% | 15.67% | 17.88% | 17.33% | 23.55% | 22.27% | 17.92% |
| EBITDA Growth % | -5.21% | -6.7% | 2.49% | 1.16% | -8.31% | 11.96% | 12.78% | 1.12% | -7.11% | 6.89% | 16.94% | 12.03% | 8.93% | 31.5% | 34.06% | -7.04% | -12.62% | -26.86% | -42.32% | -16.52% | -6.2% | -2.09% | 12.88% | 13.85% | 13.57% | 1.1% | 18.45% | 6.86% | 22.18% | 44.33% | 17.81% |
| D&A (Non-Cash Add-back) | 113M | 148M | 150M | 149M | 145M | 151M | 135M | 171M | 177M | 152M | 159M | 153M | 156M | 192M | 191M | 287M | 312M | 292M | 279M | 287M | 299M | 241M | 237M | 244M | 220M | 269.49M | 238.33M | 181.8M | 156.7M | 131.5M | 99.7M |
| EBIT | 1.27B | 1.24B | 1.26B | 1.34B | 1.3B | 800M | 1.27B | 1.07B | 1.06B | 1.16B | 1.06B | 914M | 730M | 683M | 325M | -218M | -490M | 74M | 35M | 1.03B | 1.14B | 1.65B | 1.76B | 1.45B | 1.25B | 1.04B | 1.06B | 911.5M | 866.4M | 705.9M | 480.5M |
| Net Interest Income | -101M | -101M | -99M | -97M | -106M | -277M | -141M | -156M | -151M | -275M | -225M | -222M | -222M | -232M | -247M | -245M | -244M | -225M | -228M | -258M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 9M | 2M | 1M | 3M | 3M | 5M | 3M | 4M | 3M | 1M | 2M | 7M | 1M | 1M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 101M | 101M | 99M | 106M | 108M | 278M | 144M | 159M | 156M | 278M | 229M | 225M | 225M | 235M | 254M | 254M | 251M | 225M | 228M | 258M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -117M | -137M | -211M | -98M | -130M | -762M | -164M | -183M | -170M | -314M | -272M | -238M | -301M | -243M | -409M | -687M | -969M | -477M | -759M | -408M | -556M | -228M | -132M | -202M | -301M | -739.1M | -163.3M | -7.4M | 39.1M | 27.9M | 22.2M |
| Pretax Income | 1.17B | 1.14B | 1.16B | 1.24B | 1.19B | 688M | 1.13B | 914M | 907M | 884M | 832M | 689M | 507M | 450M | 73M | -472M | -741M | -151M | -193M | 770M | 900M | 1.4B | 1.54B | 1.22B | 1.03B | 300.7M | 893.4M | 904.1M | 755M | 630.9M | 502.7M |
| Pretax Margin % | 15.26% | 15.01% | 14.83% | 15.54% | 13.74% | 8.21% | 15.73% | 13.63% | 13.63% | 11.56% | 11.31% | 9.65% | 5.95% | 5.51% | 0.94% | -6.32% | -9.76% | -1.94% | -2.01% | 6.54% | 7.04% | 11.09% | 12.77% | 11.12% | 10.95% | 3.6% | 12.33% | 14.33% | 17.38% | 16.78% | 15.53% |
| Income Tax | 285M | 277M | 287M | 278M | 288M | 210M | 269M | 230M | 221M | 304M | 296M | 293M | -361M | 111M | 91M | -49M | 240M | -49M | 134M | 336M | 412M | 514M | 574M | 463M | 348.9M | 102.2M | 301.7M | 334.5M | 279M | 248.5M | 207.5M |
| Effective Tax Rate % | 24.32% | 24.41% | 24.72% | 22.46% | 24.14% | 30.52% | 23.78% | 25.16% | 24.37% | 34.39% | 35.58% | 42.53% | -71.2% | 24.67% | 124.66% | 10.38% | -32.39% | 32.45% | -69.43% | 43.64% | 45.78% | 36.66% | 37.22% | 38.08% | 33.84% | 33.99% | 33.77% | 37% | 36.95% | 39.39% | 41.28% |
| Net Income | 837M | 810M | 822M | 908M | 842M | 406M | 613M | 631M | 727M | 528M | 487M | 351M | 845M | 291M | -110M | -578M | -1.05B | -186M | -398M | 386M | 491M | 866M | 949M | 806M | 589.7M | 198.5M | 591.7M | 569.6M | 476M | 382.4M | 295.2M |
| Net Margin % | 10.9% | 10.71% | 10.5% | 11.4% | 9.7% | 4.85% | 8.53% | 9.41% | 10.93% | 6.91% | 6.62% | 4.91% | 9.92% | 3.56% | -1.42% | -7.74% | -13.78% | -2.39% | -4.15% | 3.28% | 3.84% | 6.85% | 7.86% | 7.37% | 6.26% | 2.38% | 8.17% | 9.03% | 10.96% | 10.17% | 9.12% |
| Net Income Growth % | 5.55% | -1.46% | -9.47% | 7.84% | 107.39% | -33.77% | -2.85% | -13.21% | 37.69% | 8.42% | 38.75% | -58.46% | 190.38% | 364.55% | 80.97% | 44.74% | -462.37% | 53.27% | -203.11% | -21.38% | -43.3% | -8.75% | 17.74% | 36.68% | 197.08% | -66.45% | 3.88% | 19.66% | 24.48% | 29.54% | 166.85% |
| Net Income (Continuing) | 887M | 858M | 874M | 960M | 905M | 478M | 862M | 684M | 686M | 580M | 536M | 396M | 868M | 339M | -18M | -423M | -981M | -102M | -327M | 434M | 488M | 888M | 968M | 769M | 639M | 198.5M | 591.7M | 569.6M | 565.1M | 444.1M | 295.2M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 414M | 0 | 98M | 107M | 0 | 0 | 35M | 29M | -59M | -178M | -18M | -40M | -18M | 0 | 0 | 1M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 269M | 261M | 227M | 242M | 238M | 257M | 226M | 179M | 180M | 236M | 195M | 193M | 204M | 228M | 212M | 215M | 198M | 188M | 160M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 4.13 | 3.86 | 3.76 | 4.02 | 3.63 | 1.62 | 3.03 | 2.20 | 2.39 | 1.66 | 1.47 | 1.02 | 2.38 | 0.76 | -0.33 | -1.65 | -2.99 | -0.52 | -1.11 | 1.03 | 1.22 | 2.19 | 1.96 | 1.65 | 1.01 | 0.35 | 1.31 | 1.28 | 1.26 | 1.02 | 0.92 |
| EPS Growth % | 10.11% | 2.66% | -6.47% | 10.74% | 124.07% | -46.53% | 37.73% | -7.95% | 43.98% | 12.93% | 44.12% | -57.14% | 213.16% | 330.3% | 80% | 44.82% | -475% | 53.15% | -207.77% | -15.57% | -44.29% | 11.73% | 18.79% | 63.37% | 188.57% | -73.28% | 2.34% | 1.59% | 23.53% | 10.87% | 166.19% |
| EPS (Basic) | - | 3.88 | 3.77 | 4.04 | 3.65 | 1.63 | 3.03 | 2.21 | 2.50 | 1.72 | 1.54 | 1.03 | 2.40 | 0.78 | -0.33 | -1.65 | -2.99 | -0.52 | -1.11 | 1.05 | 1.23 | 2.23 | 2.01 | 1.69 | 1.07 | 0.37 | 1.34 | 1.31 | 1.30 | 1.05 | 0.92 |
| Diluted Shares Outstanding | 202.86M | 210M | 219M | 226M | 232M | 251M | 264M | 288M | 307M | 318M | 330M | 341M | 352M | 352M | 349M | 348M | 349M | 351M | 353M | 373M | 400M | 430M | 456M | 488.48M | 584.16M | 567.14M | 451.68M | 445M | 434.69M | 422.95M | 320.87M |
| Basic Shares Outstanding | 202.86M | 209M | 218M | 225M | 231M | 249M | 258.2M | 287M | 293.9M | 310.4M | 318M | 338M | 349M | 349.5M | 343.75M | 347.9M | 348.6M | 351M | 352.25M | 369M | 394M | 422M | 445M | 476.92M | 551.4M | 536.49M | 441.57M | 434.81M | 434.69M | 422.95M | 320.87M |
| Dividend Payout Ratio | - | 32.22% | 30.9% | 28.3% | 30.64% | 51.97% | 23.65% | 22.82% | 18.43% | 24.43% | 26.28% | 35.9% | 13.85% | 36.77% | - | - | - | - | - | 89.9% | 71.08% | 39.15% | 31.82% | 35.48% | 45.45% | 122.83% | 36.96% | 28.97% | 30.53% | 34.44% | 41.84% |
Retail channel concentration risk
As reported in recent financial statements, MAS experienced a 6.5% revenue expansion in 2026Q1 following a prolonged period of contraction, suggesting that the company's reliance on the repair and remodel cycle remains highly sensitive to broader macroeconomic conditions and consumer spending patterns within the housing market.
The recent return to positive growth in 2026Q1 appears to be a potential inflection point, though it follows several quarters of negative year-over-year performance. Investors should monitor whether this growth is driven by sustainable volume recovery or merely reflects easier year-over-year comparisons in the home improvement sector.
Based on the company's reported figures, gross margins have fluctuated between 33.7% and 37.7% over the last ten quarters, indicating that MAS maintains a degree of pricing power despite the significant bargaining leverage held by its primary retail partners in the home improvement space.
The ability to sustain gross margins above 35% in most periods suggests that the Behr brand and plumbing portfolio possess sufficient brand equity to mitigate commodity cost volatility. However, the compression observed in late 2025 warrants caution regarding the company's long-term ability to pass through inflationary pressures.
According to the income statement data, operating margins reached a peak of 20.1% in 2025Q2 before retreating, which highlights the company's inherent operational leverage and its vulnerability to volume deleverage when demand in the repair and remodel segment experiences even minor cyclical downturns.
The fluctuation in operating income relative to gross profit suggests that SG&A expenses are not fully variable, creating a drag on profitability during periods of revenue contraction. This sensitivity implies that management's cost-control initiatives may be insufficient to offset significant revenue declines without impacting long-term operational capacity.
As indicated by the company's reliance on the Home Depot channel, the structural dependency on a single retail partner poses a material risk to future earnings, particularly if competitive pricing pressures from peers like Sherwin-Williams force a defensive shift in MAS's promotional and pricing strategies.
The lack of diversification in the decorative segment's distribution channel may limit the company's ability to defend market share without sacrificing margin integrity. Investors should consider whether the current valuation adequately prices in the potential for long-term margin compression resulting from this concentrated retail relationship.
Quick answers to the most common questions about buying MAS stock.
For fiscal year 2025, Masco Corporation (MAS) reported total revenue of $7.56B. This represents a 133.6% increase compared to $3.24B in 1996.
Masco Corporation (MAS) is profitable, generating $810.0M in net income for the fiscal year ending 2025 with a net profit margin of 10.7%.
Masco Corporation (MAS) reported an operating income of $1.27B, resulting in an operating profit margin of 16.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Masco Corporation (MAS) generated $2.69B in gross profit for the year, representing a gross profit margin of 35.5%. This demonstrates the company's core pricing power and production efficiency.