Core & Main (CNM) Q3 2025 Financial Results Summary
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Core & Main (CNM) Q3 2025 Financial Results Summary
Release Date: December 9, 2025
Core & Main, Inc. (NYSE: CNM) has announced its financial results for the third quarter ended November 2, 2025. Here’s a summary comparing the fiscal third quarter results with the same quarter from the previous year (Q3 FY 2024):
Financial Highlights:
- Net Sales:
-
Increased by 1.2%, reaching $2,062 million (up from $2,038 million).
-
Gross Profit:
- Increased by 3.3%, totaling $561 million (up from $543 million).
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Gross profit margin improved to 27.2%, up from 26.6% the previous year.
-
Net Income:
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Increased by 2.1% to $143 million (from $140 million).
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Earnings per Share (EPS):
- Diluted EPS rose by 4.3%, from $0.69 to $0.72.
-
Adjusted Diluted EPS increased by 3.5%, from $0.86 to $0.89.
-
Adjusted EBITDA:
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Decreased by 1.1% to $274 million (down from $277 million).
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Operating Income:
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Decreased by 1.3% to $220 million (previously $223 million).
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Cash Flow:
- Net cash provided by operating activities was $271 million.
Share Repurchase and Acquisition:
- Core & Main repurchased $50 million of its shares during this quarter.
- The acquisition of Canada Waterworks was completed on September 30, 2025.
- After the quarter, the share repurchase authorization was increased by $500 million.
Nine-Month Summary (for Context):
- Net Sales: Increased by 5.6% to $6,066 million (from $5,743 million).
- Gross Profit: Increased by 6.7% to $1,631 million (up from $1,529 million).
- Net Income: Rose by 6.0% to $389 million (up from $367 million).
- EBITDA: Increased by 1.7% to $764 million (up from $751 million).
- Adjusted Diluted EPS for the nine months increased by 7.5% to $2.45 (up from $2.28).
Operating Metrics:
- Selling, General and Administrative (SG&A) Expenses:
- Increased by 7.7% to $295 million (up from $274 million).
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SG&A as a percentage of net sales rose to 14.3%, from 13.4%.
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Interest Expense:
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Decreased to $30 million, down from $36 million.
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Working Capital:
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There was a slight decrease in cash provided by operating activities over the nine-month period, with cash at $382 million compared to $386 million the previous year.
-
Net Debt:
- Decreased from $2,420 million to $2,083 million primarily due to lower borrowings.
Q3 Highlights:
- Core & Main experienced positive net sales growth despite facing soft residential demand.
- The company capitalized on acquisitions and exhibited robust performance in sales initiatives, particularly in products addressing aging water infrastructure.
- New locations were opened in Houston, Texas and Denver, Colorado to accelerate geographic expansion.
Outlook:
- Core & Main reaffirms its outlook for fiscal 2025, projecting:
- Net Sales between $7,600 million and $7,700 million, reflecting a growth of 2% to 3%.
- Adjusted EBITDA set at $920 million to $940 million.
- Operating Cash Flow anticipated between $550 million and $610 million.
Core & Main emphasizes its commitment to both strong operational execution and strategic growth, affirming its objective to enhance shareholder value through profitable growth and effective cash flow generation.
| Three Months Ended | Nine Months Ended | |||
|---|---|---|---|---|
| November 2, 2025 | November 2, 2025 | |||
| Net sales | $ 2,062 | $ 6,066 | ||
| Cost of sales | 1,501 | 4,435 | ||
| Gross profit | 561 | 1,631 | ||
| Operating expenses: | ||||
| Selling, general and administrative | 295 | 890 | ||
| Depreciation and amortization | 46 | 137 | ||
| Total operating expenses | 341 | 1,027 | ||
| Operating income | 220 | 604 | ||
| Interest expense | 30 | 91 | ||
| Income before provision for income taxes | 190 | 513 | ||
| Provision for income taxes | 47 | 124 | ||
| Net income | 143 | 389 | ||
| Less: net income attributable to | 6 | 18 | ||
| non-controlling interests | ||||
| Net income attributable to Core & Main, Inc. | $ 137 | $ 371 | ||
| Earnings per share (“EPS”) | ||||
| Basic | $ 0.72 | $ 1.95 | ||
| Diluted | $ 0.72 | $ 1.94 | ||
| Number of shares used in computing EPS | ||||
| Basic | 190,214,298 | 189,973,574 | ||
| Diluted | 197,905,484 | 198,302,805 |
| Assets | November 2, 2025 | February 2, 2025 |
|---|---|---|
| Current assets: | ||
| Cash and cash equivalents | $ 89 | $ 8 |
| Receivables, net of allowance for credit losses of $22 and $18, respectively | 1,342 | 1,066 |
| Inventories | 1,016 | 908 |
| Prepaid expenses and other current assets | 60 | 43 |
| Total current assets | 2,507 | 2,025 |
| Property, plant and equipment, net | 175 | 168 |
| Operating lease right-of-use assets | 280 | 244 |
| Intangible assets, net | 847 | 935 |
| Goodwill | 1,918 | 1,898 |
| Deferred income taxes | 571 | 558 |
| Other assets | 2 | 42 |
| Total assets | $ 6,300 | $ 5,870 |
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
| Current liabilities: | ||
| Current maturities of long-term debt | $ 24 | $ 24 |
| Accounts payable | 734 | 562 |
| Accrued compensation and benefits | 107 | 123 |
| Current operating lease liabilities | 74 | 67 |
| Other current liabilities | 168 | 90 |
| Total current liabilities | 1,107 | 866 |
| Long-term debt | 2,129 | 2,237 |
| Non-current operating lease liabilities | 207 | 178 |
| Deferred income taxes | 89 | 87 |
| Tax receivable agreement liabilities | 682 | 706 |
| Other liabilities | 31 | 22 |
| Total liabilities | 4,245 | 4,096 |
| Commitments and contingencies | ||
| Class A common stock, par value $0.01 per share, 1,000,000,000 shares authorized, 189,736,004 and 189,815,899 shares issued and outstanding as of November 2, 2025 and February 2, 2025, respectively | 2 | 2 |
| Class B common stock, par value $0.01 per share, 500,000,000 shares authorized, 6,709,636 and 7,936,061 shares issued and outstanding as of November 2, 2025 and February 2, 2025, respectively | — | — |
| Additional paid-in capital | 1,245 | 1,220 |
| Retained earnings | 736 | 449 |
| Accumulated other comprehensive (loss) income | -6 | 27 |
| Total stockholders’ equity attributable to Core & Main, Inc. | 1,977 | 1,698 |
| Non-controlling interests | 78 | 76 |
| Total stockholders’ equity | 2,055 | 1,774 |
| Total liabilities and stockholders’ equity | $ 6,300 | $ 5,870 |