0001856525-26-000031
SEC filingCore & Main, Inc., a leading specialty distributor of water, wastewater, storm drainage, and fire protection products, reported net sales of $7.65 billion for the fiscal year ended February 1, 2026 (FY 2023). Gross profit was $2.06 billion, driven by cost of sales at $5.59 billion, reflecting the company's broad portfolio of over 225,000 products serving municipal (44% of net sales), non-residential (38%), and residential (18%) end markets. Operating income reached $722.0 million after total operating expenses of $1.34 billion, including selling, general, and administrative expenses of $1.15 billion and depreciation and amortization of $183.0 million. Income before taxes was $607.0 million, with provision for income taxes at $145.0 million, resulting in net income of $462.0 million and net income attributable to Core & Main, Inc. of $441.0 million, or $2 per basic and diluted share (197.9 million diluted shares). The balance sheet showed total assets of $6.08 billion, including $2.30 billion in current assets (cash $220.0 million, receivables $1.05 billion, inventories $986.0 million) and $1.92 billion in goodwill. Total liabilities were $4.01 billion, with long-term debt of $2.12 billion. Stockholders' equity totaled $2.07 billion. Cash flow from operations was robust at $650.0 million, funding $145.0 million in investing activities (including $46.0 million capex and $61.0 million acquisitions) and $293.0 million net outflow in financing (including $155.0 million equity repurchases). With over 370 branches and 60,000 customers, Core & Main benefits from fragmented markets estimated at $44 billion, though faces risks from construction volatility and supply chain issues.
Core & Main, Inc. delivered solid financial results for FY 2023 ended February 1, 2026. Net sales were $7.65 billion, with cost of sales $5.59 billion yielding gross profit of $2.06 billion. Operating expenses totaled $1.34 billion, comprising selling, general, and administrative expenses of $1.15 billion and depreciation and amortization of $183.0 million, resulting in operating income of $722.0 million. Interest expense was $120.0 million, offset by other income of $5.0 million, leading to income before taxes of $607.0 million. Provision for income taxes was $145.0 million, producing net income of $462.0 million, less $21.0 million attributable to non-controlling interests, for net income attributable to Core & Main of $441.0 million. Earnings per share were $2 basic (189.7 million shares) and $2 diluted (197.9 million shares). No prior-year comparisons are provided in the filing. The company operates as a holding company with primary assets in Core & Main Holdings, LP.
Net sales of $7.65 billion were balanced across end markets, with approximately 44% from municipal, 38% from non-residential, and 18% from residential sectors for fiscal 2025 (aligned with FY 2023 period). Sales mix includes near-equal contributions from new construction and repair/replacement projects. The company serves over 60,000 customers through a network of over 370 branch locations in the U.S. and Canada, connecting more than 5,000 suppliers. It estimates addressing a $44 billion fragmented market, holding about 17% share. Products include pipes, valves, fittings, storm drainage, fire protection, and smart metering, meeting municipal and federal standards. No geographic revenue breakdown beyond U.S./Canada presence is detailed.
Gross profit of $2.06 billion followed net sales of $7.65 billion. Total operating expenses of $1.34 billion included $1.15 billion in selling, general, and administrative costs and $183.0 million in depreciation and amortization, yielding operating income of $722.0 million. Interest expense of $120.0 million reduced pre-tax income to $607.0 million. No explicit margin percentages are disclosed. Profitability reflects a comprehensive portfolio and local expertise, with top supplier at 7% and top ten at 45% of product expenditures. Equity-based compensation was $17.0 million.
Net cash provided by operating activities was $650.0 million, starting from net income of $462.0 million, plus depreciation and amortization of $192.0 million, equity-based compensation of $17.0 million, loss on debt modification of -$28.0 million, and working capital changes including $70.0 million decrease in inventories and -$59.0 million increase in accounts payable. Investing activities used $145.0 million, including capital expenditures of $46.0 million and acquisitions of $61.0 million. Financing activities used $293.0 million net, driven by $155.0 million repurchase of equity, $243.0 million repayments on revolving credit, offset by $150.0 million borrowings. Cash increased $212.0 million, with ending cash equivalents at $177.0 million (balance sheet shows $220.0 million cash). Total assets $6.08 billion, current assets $2.30 billion (receivables $1.05 billion net of $22 million allowance, inventories $986.0 million). Current liabilities $874.0 million. Long-term debt $2.12 billion, total liabilities $4.01 billion. Stockholders' equity attributable $2.00 billion (retained earnings $755.0 million), total equity $2.07 billion.
No specific numerical guidance is provided. Strategic priorities include growth through acquisitions, organic expansion, and maintaining supplier relationships with exclusive distribution rights. The company completed an IPO in 2021 and secondary offerings. Key risks include volatility in residential/non-residential construction (56% of sales), municipal spending slowdowns (44% of sales), supply chain disruptions, price fluctuations, inventory management, competition in fragmented markets, indebtedness restrictions, interest rate increases, and Tax Receivable Agreements ($680.0 million liability). Benefits from IIJA funding potential, though delays and BABA compliance noted. Focus on ESG, personnel retention, and IT/cybersecurity.