Core & Main Inc (NYSE:CNM) stock fell 1.02% (As on September 5, 11:22:49 AM UTC-4, Source: Google Finance) after the company reported second-quarter earnings that fell short of analyst expectations and lowered its full-year guidance, citing weather disruptions and softer end market volumes. The company has acquired five new businesses during and shortly after the quarter, each of which offers expansion into new geographies, access to new product lines or the addition of key talent. The company is particularly excited by the acquisition of HM Pipe Products, which will allow the company to tap into to a new multi-billion-dollar addressable market opportunity in Canada. Gross profit for the three months ended July 28, 2024 increased $17 million, or 3.4%, to $518 million compared with $501 million for the three months ended July 30, 2023. Gross profit as a percentage of net sales for the three months ended July 28, 2024 was 26.4% compared with 26.9% for the three months ended July 30, 2023. Net income for the three months ended July 28, 2024 decreased $38 million, or 23.2%, to $126 million compared with $164 million for the three months ended July 30, 2023.

CNM in the second quarter of FY 24 has reported the adjusted earnings per share of 61 cents, missing the analysts’ estimates for the adjusted earnings per share of 74 cents. The company had reported the adjusted revenue growth of 5.5 percent to $1.96 billion in the second quarter of FY 24, missing the analysts’ estimates for revenue of $2.06 billion. Net sales increased primarily due to acquisitions partially offset by project delays from wet weather conditions, comparably lower end-market volumes and slightly lower selling prices. Net sales increased for pipes, valves & fittings and storm drainage products primarily due to acquisitions partially offset by project delays from wet weather conditions and comparably lower end-market volumes. Net sales for fire protection products declined due to lower selling prices and comparably lower end-market volumes partially offset by acquisitions. Net sales of meter products benefited from the ability to drive the adoption of smart meter technology through municipalities, increased product availability and acquisitions.

Looking ahead, Core & Main cut its fiscal 2024 outlook, now expecting full-year net sales of $7.3 billion to $7.4 billion, down from its prior range of $7.4 billion to $7.6 billion. The company also reduced its adjusted EBITDA forecast to $900 million to $930 million from $940 million to $990 million previously.