Core & Main 2Q Sales Flat YoY, but Sequential Jumps - Modern Distribution Management

Log In

Core & Main 2Q Sales Flat YoY, but Sequential Jumps

The 2Q period follows the company's February-April period, in which sales slid 1.5% YoY and increased 49.2% sequentially.
Core & Main

On Sept. 6, St. Louis-based waterworks and industrial supplies distributor Core & Main reported its fiscal 2023 second-quarter earnings, which spanned three months ending July 30. Net sales for fiscal 2Q 2023 were flat at $1.86 billion, while gross profit margin sustained at 26.9%.

Net income in 2Q decreased 9.9% compared the same quarter last year to $164 million. Adjusted EBITDA decreased 2.5% to $270 million during the quarter.

“Core & Main delivered another quarter of solid results as we maintain our focus on driving operational excellence across the business,” said Steve LeClair, CEO of Core & Main. “Sales of $1.9 billion for the quarter were equal to last years’ record high and up 43% from the second quarter of fiscal 2021. We delivered strong Adjusted EBITDA margins of 14.5% through our disciplined pricing and gross margin execution. Prices have sustained through the first half of the year, in part due to the non-discretionary nature of demand in our industry, coupled with the fact that most of our products are either highly specified or made specific for our sector. Gross margins exceeded our expectations yet again as we execute on our gross margin initiatives and continue to benefit from our prior inventory investments. Our timing of inventory investments and subsequent optimization has positioned us well in very dynamic markets.”

MDM’S SHIFT Conference, Sept. 18-20 in Denver, brings together distribution leaders to learn and network across topics of sales & marketing, digital transformation, data analytics and talent management. Find more info here.

The 2Q period follows the company’s February-April period, in which sales slid 1.5% YoY and increased 49.2% sequentially.

Core & Main completed two acquisitions during 2Q. In May, the company announced it had entered into a definitive agreement to acquire substantially all of the assets of Foster Supply Inc. and R.P. Foster Inc. — collectively Foster Supply — a full-service provider of precast concrete structures, pipe, drainage materials and related geosynthetics products. In July, the company entered into a definitive agreement to acquire Dangelo Co., a full-service provider of fire protection and waterworks products with three locations in Southern California.

In August, the company opened new facilities in Spokane, Washington, and Fontana, California.

For MDM’s 2023 Top Distributors Lists, Core & Main ranks No. 9 among industrial distributors and No. 1 among industrial PVF.

Related Posts

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!


articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events



You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.