EarningsQ1 2026 Earnings Report
MX:CNM Q1 2026 EPS Results
Actual EPS$13.08
Consensus EPS$9.70
Beat/MissBeat by +$3.38
One Year Ago EPS$9.44
MX:CNM Q1 2026 Revenue Results
Actual Revenue$34.69B
Expected Revenue$34.41B
Beat/MissBeat by +$275.84M
YoY Revenue Growth-0.05%
Earnings Announcement Details
QuarterQ1 2026
Date06/10/2026
TimeBefore Open
Conference CallWednesday, June 10, 2026
MX:CNM Upcoming Earnings
Core & Main's next earnings date is estimated for December 8, 2026, based on past reporting schedules.
Q1 2026 Earnings Call Audio
MX:CNM Q1 2026 Earnings Call
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Q1 2026 Earnings Slide Deck
Q1 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call presents a fundamentally positive picture driven by municipal strength, margin improvement, robust cash generation, active share repurchases, accelerating secular growth in smart utility and treatment plant solutions, and an improving M&A pipeline. Offsetting items include soft residential demand, modest organic volume declines, PVC-related headwinds, and some near-term timing and macro uncertainty. On balance, the highlights (margin expansion, cash returns, strategic growth initiatives and reaffirmed guidance) outweigh the lowlights.Company Guidance
Strong Top-line and Profitability Metrics
Net sales of $1.9 billion in Q1 FY2026, adjusted EBITDA of $226 million (up ~1% YoY) and adjusted diluted EPS of $0.72 (up ~6% YoY from $0.68), demonstrating resilient demand and execution.
Gross Margin Expansion
Gross margin improved to 27.2%, expanding ~50 basis points year-over-year, driven by private label growth, sourcing optimization and disciplined pricing.
Operating Cash Flow and Capital Returns
Operating cash flow of $82 million (+$5 million YoY) and strong capital return activity: $88 million of share repurchases in Q1 (1.8 million shares) and $125 million repurchased fiscal year-to-date (~80% of FY2025 level). Free cash flow yield over the last 12 months was 6.4% of market cap.
Balance Sheet and Liquidity Position
Net debt of $2.0 billion with net leverage of 2.2x (within target range) and liquidity of nearly $1.4 billion (including $150 million cash), providing flexibility for buybacks, investments and M&A.
Municipal End Market Strength & Durable Demand
Municipal demand remained strong, supported by essential repair/replacement and local funding (approx. 95% state/local), with sustained project pipeline and market share gains in smart utility and treatment plant solutions.
Smart Utility & Treatment Plant Growth
Smart utility delivered double-digit growth in the quarter and treatment plant also delivered double-digit growth; multiyear CAGRs of ~15% for smart utility and ~25% for treatment plant over the past five years, reflecting strong secular demand and differentiated turnkey capabilities.
Data Center & Fire Protection Momentum
Healthy momentum in data centers and manufacturing projects driving downstream demand; fire protection sales up ~17% YoY, supported by data center and multifamily activity and higher steel prices.
Organic and Geographic Expansion
Opened 5 greenfield locations in the quarter and remain on track to open a record 8-10 in FY2026, supporting local service model and addressable market expansion.
Active M&A Pipeline and Strategic Talent Additions
Management reports a robust pipeline of acquisition opportunities aimed at expanding capabilities (notably in treatment plants), and added Susan Hardwick (former American Water CEO) to the Board to strengthen customer and regulatory insight.
Reaffirmed Full-Year Guidance
Company reaffirmed FY2026 guidance: net sales $7.8-7.9 billion, adjusted EBITDA $950-980 million, and operating cash flow conversion expected at 60%-70% of adjusted EBITDA.
MX:CNM Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed