Masco Corp

XMUN:MSQ

Results: Masco said first-half results were strong and in line with expectations, with Q2 operating profit up 17% to $482 million and EPS up 26% to $1.64.

Tariff Refunds: The company booked a net $95 million IEEPA tariff refund benefit in Q2 and now estimates an $85 million full-year net benefit, which helped lift guidance.

Guidance: Full-year 2026 EPS guidance was raised to $4.40 to $4.60 from $4.10 to $4.30, while sales are still expected to be up low single digits.

Investments: Masco said it made targeted, opportunistic growth investments in Plumbing during Q2, largely a one-time action tied to the tariff refund opportunity, and expects those investments to support future growth.

Demand Mix: Plumbing held up better than the headline sales number suggests, with North American sales up low single digits in the first half excluding investments, while International Plumbing grew on strength in Europe and weakness in China.

Paint: Decorative Architectural remained challenged, with PRO paint growing mid-single digits but DIY paint falling high single digits; full-year DIY sales are still expected to be down mid-single digits.

Cash Use: The company returned $454 million to shareholders in Q2 and increased its 2026 capital deployment expectation to about $1 billion for buybacks or acquisitions.