馬斯科 (MAS) 2025 Q2 法說會逐字稿

Good morning, ladies and gentlemen. Welcome to the Masco Corporation second quarter 2025 conference call. My name is Marissa, and I will be your operator for today's call. As a reminder, today's conference call is being recorded for replay purposes. (Operator Instructions)

女士們、先生們，早安。歡迎參加 Masco Corporation 2025 年第二季電話會議。我叫瑪麗莎，今天我將擔任您的電話接線生。提醒一下，今天的電話會議將被錄音以供重播。（操作員指示）

I will now turn the call over to Robin Zondervan, Vice President, Investor Relations and FP&A. You may begin.

現在我將把電話轉給投資者關係和 FP&A 副總裁 Robin Zondervan。你可以開始了。

Thank you, operator, and good morning, everyone. Welcome to Masco Corporation's 2025 second quarter Conference Call. With me today are Jon Nudi, President and CEO of Masco; and Rick Westenberg, Masco's Vice President and Chief Financial Officer.

謝謝接線員，大家早安。歡迎參加 Masco Corporation 2025 年第二季電話會議。今天與我一起出席的還有 Masco 總裁兼執行長 Jon Nudi 和 Masco 副總裁兼財務長 Rick Westenberg。

Our second quarter earnings release and the presentation slides are available on our website under Investor Relations. Following our remarks, we will open the call for analyst questions. (Operator Instructions) If we can't take your question now, please call me directly at (313) 792-5500.

我們的第二季財報和簡報投影片可在我們網站的「投資者關係」部分找到。在我們發言之後，我們將開始分析師提問環節。(操作員指示) 如果我們現在無法回答您的問題，請直接撥打 (313) 792-5500 聯絡我。

Our statements today will include our views about our future performance, which constitute forward-looking statements. These statements are subject to risks and uncertainties that could cause our actual results to differ materially from the forward-looking statements. We describe these risks and uncertainties in our risk factors and other disclosures in our Form 10-K and our Form 10-Q that we filed with the Securities and Exchange Commission.

我們今天的聲明將包括我們對未來業績的看法，這些看法構成前瞻性陳述。這些聲明受風險和不確定性的影響，可能導致我們的實際結果與前瞻性聲明有重大差異。我們在向美國證券交易委員會提交的 10-K 表和 10-Q 表中的風險因素和其他揭露中描述了這些風險和不確定性。

Our statements will also include non-GAAP financial metrics. Our references to operating profit and earnings per share will be as adjusted unless otherwise noted. We reconcile these adjusted metrics to GAAP in our earnings release and presentation slides, which are available on our website under Investor Relations.

我們的報表也將包括非公認會計準則財務指標。除非另有說明，否則我們對營業利潤和每股收益的引用將進行調整。我們在收益報告和簡報幻燈片中將這些調整後的指標與 GAAP 進行協調，這些投影片可在我們網站的「投資者關係」部分找到。

With that, I will now turn the call over to Jon.

說完這些，我現在將電話轉給喬恩。

Thank you, Robin. Good morning, everyone, and thank you for joining us. I want to start today by expressing my gratitude to all of our employees, customers, suppliers and investors who have been so welcoming and supportive as I officially started my role as President and CEO of Masco as of the beginning of this month. I am humbled by the opportunity to lead such an outstanding company, and I intend to build on Masco's successful history of creating exceptional value for all of our stakeholders.

謝謝你，羅賓。大家早安，感謝大家的收看。今天，首先我想向我們所有的員工、客戶、供應商和投資者表示感謝，自從我本月初正式擔任馬斯科總裁兼首席執行官以來，他們一直給我熱烈的歡迎和支持。我很榮幸有機會領導這樣一家傑出的公司，我打算在馬斯科成功的歷史基礎上，為所有利害關係人創造卓越的價值。

During my 2 years serving on our Board of Directors, I came to deeply respect and admire this company. I strongly believe in the power of our brands, the strength of our people and the opportunities ahead. I plan to use my first 100 days to actively engage with internal and external stakeholders to hear their views on Masco, our industry and further opportunities for our business.

在我擔任董事會成員的兩年期間，我對這家公司產生了深深的敬意和欽佩。我堅信我們品牌的力量、員工的實力、未來的機會。我計劃利用我的上任 100 天積極與內部和外部利益相關者接觸，聽取他們對 Masco、我們的行業以及我們業務的進一步機會的看法。

I already have the opportunity to kick off my listening tour at the headquarters of Delta Faucet and one of their manufacturing facilities, a return from that trip energized by the team's passion, share sense of ownership and desire for growth. As I visit our other businesses over the next several weeks, I'm excited to work closely with our entire Masco team to continue to strengthen our portfolio of brands, enhance consumers' lives, drive profitable growth and deliver meaningful shareholder value.

我已經有機會在 Delta Faucet 總部及其一家製造工廠開始我的傾聽之旅，這次旅行讓我感受到團隊的熱情、共同的主人翁意識和對成長的渴望。在接下來的幾周里，當我訪問我們的其他業務時，我很高興與整個 Masco 團隊密切合作，繼續加強我們的品牌組合，改善消費者的生活，推動盈利增長並實現有意義的股東價值。

Now let's turn to our second quarter performance. Please turn to slide 5. As I mentioned, I believe in the power of Masco's brands. During the quarter, our innovative products received several recognitions. Beginning with North America plumbing, we are very pleased with Delta Faucet's performance and their newest product category of water filtration and a $1.2 billion market for undercounter water filtration products. Delta and Brizo's award-winning reverse osmosis systems are the most certified tankless systems based on leading competitors, national sanitation foundation certifications. These products are also the first reverse osmosis systems in the industry to earn the WaterSense certification label from the US Environmental Protection Agency.

現在讓我們來看看第二季的表現。請翻到投影片 5。正如我所提到的，我相信馬斯科品牌的力量。本季度，我們的創新產品獲得了多項認可。從北美管道開始，我們對 Delta Faucet 的表現和他們最新的水過濾產品類別以及 12 億美元的台下水過濾產品市場感到非常滿意。Delta 和 Brizo 屢獲殊榮的逆滲透系統是根據領先競爭對手和國家衛生基金會認證而獲得最多認證的無水箱系統。這些產品也是業界首批獲得美國環保署WaterSense認證標籤的逆滲透系統。

In our international plumbing business, hansgrohe continues to demonstrate their leadership in branding and design. This quarter, hansgrohe won 4 Red Dot Design awards, including the Best of the Best Award for their RainDance Alive showerhead products.

在我們的國際管道業務中，漢斯格雅繼續展示其在品牌和設計方面的領導地位。本季度，漢斯格雅榮獲4項紅點設計大獎，其中包括其RainDance Alive淋浴噴頭產品榮獲的「最佳中的最佳獎」。

In our Decorative Architectural segment, Behr received the #1 rating for interior paint from a leading independent third-party rating agency for the 12th year in a row. This year, we swept the top 3 spots with our Dynasty, MARQUEE and Ultra products. Two of Behr's wood stain products were also rated #1 in the respective categories. These top ratings across multiple product categories show the depth and strength of products across our Behr brand.

在我們的裝飾建築領域，Behr 連續 12 年從領先的獨立第三方評級機構獲得內牆塗料第一名的評級。今年，我們的 Dynasty、MARQUEE 和 Ultra 產品包辦了前三名。Behr 的兩款木材著色劑產品也在相應類別中被評為第一名。這些跨多個產品類別的最高評級顯示了我們 Behr 品牌產品的深度和實力。

Finally, Behr introduced ChatHUE, an innovative AI tool design to make choosing the perfect paint color even easier. I'm incredibly proud of the team at Behr for evolving the way we approach color selection, providing our consumers with a more personalized and enhanced experience.

最後，Behr 推出了 ChatHUE，這是一種創新的 AI 工具設計，可以更輕鬆地選擇完美的油漆顏色。我為 Behr 團隊感到無比自豪，他們改進了我們選擇顏色的方式，為我們的消費者提供了更個人化和增強的體驗。

I'll now shift to discuss our second quarter results and outlook for 2025. Please turn to slide 6. We are very pleased with our operating performance in the second quarter, particularly as we navigated a dynamic geopolitical and macroeconomic environment. We have worked diligently to address the impacts from additional tariffs through various mitigating actions, including cost savings initiatives, ongoing changes to our sourcing footprint and pricing where necessary.

現在我將討論我們的第二季業績和 2025 年展望。請翻到幻燈片 6。我們對第二季的經營業績非常滿意，特別是在我們應對動態的地緣政治和宏觀經濟環境的情況下。我們一直努力透過各種緩解措施來應對額外關稅的影響，包括成本節約措施、在必要時持續改變我們的採購足跡和定價。

For the quarter, our net sales decreased 2%. However, in local currency and excluding the Kichler divestiture, sales were in line with the year prior. Gross margins increased 10 basis points to 37.7%. Operating profit grew $14 million to $413 million and operating profit margin increased 100 basis points to 20.1%. Lastly, we delivered earnings per share growth of 8% in the quarter to $1.30 per share.

本季度，我們的淨銷售額下降了 2%。然而，以當地貨幣計算且不包括 Kichler 資產剝離，銷售額與去年持平。毛利率增加10個基點至37.7%。營業利益成長 1,400 萬美元，達到 4.13 億美元，營業利益率增加 100 個基點，達到 20.1%。最後，本季我們的每股盈餘成長了 8%，達到每股 1.30 美元。

Turning to our segments. Plumbing sales increased 4% in local currency. North American plumbing sales increased 5% in local currency driven by favorable pricing and volume. Delta Faucet continues to deliver strong performance through consumer-driven demand for their innovative products and industry-leading brands. International plumbing sales increased 1% in local currency as we continue to see stability in many European markets while other markets such as China remained challenged. Operating profit for the segment was $276 million and operating margin increased 110 basis points to 21%.

轉向我們的部分。以當地貨幣計算，管道銷售額成長了 4%。受有利的價格和銷量推動，北美管道銷售額以當地貨幣計算增長了 5%。Delta Faucet 繼續透過消費者對其創新產品和行業領先品牌的需求實現強勁業績。由於我們繼續看到許多歐洲市場保持穩定，而中國等其他市場仍然面臨挑戰，國際管道銷售額以當地貨幣計算增長了 1%。該部門的營業利潤為 2.76 億美元，營業利潤率增加 110 個基點，達到 21%。

Turning to our Decorative Architectural segment. Sales decreased 12% in the quarter or 4% excluding our divestiture of Kichler. Overall, paint sales decreased mid-single digits. DIY paint sales decreased high single digits. Demand for DIY paint remains soft across the industry driven by low existing home turnover and the dampened macroeconomic environment, and we expect this pressure to continue throughout the remainder of this year.

轉向我們的裝飾建築部分。本季銷售額下降了 12%，若不計剝離 Kichler 業務，則下降了 4%。總體而言，油漆銷售額下降了中等個位數。DIY塗料銷量下降了個位數。由於現有房屋週轉率低和宏觀經濟環境低迷，整個行業對 DIY 塗料的需求仍然疲軟，我們預計這種壓力將在今年剩餘時間內持續下去。

In PRO paint, sales increased mid-single digits. Our strategic investments in this category and our close partnership with the Home Depot continue to result in growth with PRO customers. The strength of our Behr brand and the quality of our products resonates with PRO customers and allows us to capitalize on the sizable growth opportunity in the PRO paint market. Operating profit for the segment was $157 million and operating margin was 21.3%.

在 PRO 塗料中，銷售額成長了中等個位數。我們在此類別中的策略性投資以及與家得寶的密切合作繼續推動 PRO 客戶的成長。Behr 品牌的實力和產品的品質與 PRO 客戶產生共鳴，使我們能夠利用 PRO 塗料市場的巨大成長機會。該部門的營業利潤為 1.57 億美元，營業利潤率為 21.3%。

We are proud of the work of our teams across our business during the first half of the year as they mobilized quickly to implement various mitigation actions in response to increased tariffs, higher commodity costs and the macroeconomic uncertainty. Our teams are able to deliver strong financial results through focused execution and responding rapidly to the changing environment.

我們為整個業務團隊在今年上半年所做的工作感到自豪，他們迅速動員起來，實施各種緩解措施，以應對關稅上調、商品成本上漲和宏觀經濟的不確定性。我們的團隊能夠透過專注的執行和對不斷變化的環境的快速反應來實現強勁的財務表現。

Now turning to our expectations for the full year. While some uncertainty surrounding near-term market conditions persist, we are restoring financial guidance for 2025. Rick will provide more detail into the components of our guidance. However, given the overall macroeconomic environment, we now anticipate the global repair and remodel market to be down low single digits. We expect to continue to outperform the market. We anticipate our sales to be roughly flat, excluding the impacts of divestiture and currency with lower volumes largely offset with pricing.

現在談談我們對全年的預期。儘管近期市場狀況仍存在一些不確定性，但我們正在恢復 2025 年的財務指引。里克將更詳細地介紹我們指導的各個組成部分。然而，考慮到整體宏觀經濟環境，我們現在預計全球維修和改造市場將下降個位數。我們預計其表現將持續優於市場。我們預計銷售額將基本持平，不包括資產剝離和貨幣的影響，而銷售的下降在很大程度上被定價所抵消。

Based on our expected operating performance and capital deployment actions, we anticipate adjusted earnings per share for 2025 to be in the range of $3.90 to $4.10 per share. It is important to note that the 2025 estimates we are providing today include the impact from inactive tariffs that are currently in effect net of our various mitigation actions. These estimates do not include impacts from any potential future tariffs or changes in existing tariffs.

根據我們預期的經營業績和資本配置行動，我們預計 2025 年調整後每股盈餘將在 3.90 美元至 4.10 美元之間。值得注意的是，我們今天提供的 2025 年估算包括了目前已扣除我們各種緩解措施後的非活躍關稅的影響。這些估計不包括任何潛在未來關稅或現有關稅變化的影響。

While some market uncertainty remains for the near term, the structural factors for repair and remodel activity over the mid- to long term are strong, namely the growing age of the housing stock and home equity levels. Nearly 1.7 million more homes will reach the prime remodeling ages of 20 to 39 years old by 2027. Homeowners are staying in their homes longer and home equity levels are near record highs.

雖然短期內市場仍存在一些不確定性，但中長期內維修和改造活動的結構性因素強勁，即房屋存量的使用年限不斷增加以及房屋淨值水平不斷提高。到 2027 年，將有近 170 萬套房屋達到 20 至 39 歲的最佳改造年齡。房主在自己家中居住的時間更長，房屋淨值水平接近歷史最高水平。

We continue to be focused on achieving additional growth, and we are structured to achieve favorable incremental benefits from volume growth due to our available capacity, high levels of productivity and disciplined cost structures. We believe we are well positioned to grow faster than our competition to evolve and lead while remaining true to the values that have been foundational throughout our nearly 100-year history. It is an absolute privilege for me to join such a high-performing company built on iconic brands that are part of people's daily lives, and I'm honored to help write the next chapter.

我們將繼續致力於實現額外的成長，並憑藉我們現有的產能、高水準的生產力和嚴格的成本結構，從產量成長中獲得有利的增量效益。我們相信，我們有能力比競爭對手更快發展、進化和領先，同時始終秉持我們近 100 年歷史中的基本價值。我很榮幸能夠加入這樣一家以人們日常生活中標誌性品牌為基礎的高績效公司，我很榮幸能夠幫助書寫新的篇章。

With that, I'll turn the call over to Rick to go over our second quarter results and our 2025 outlook in more detail. Rick?

說完這些，我將把電話交給里克，讓他更詳細地介紹我們的第二季業績和 2025 年展望。瑞克？

Thank you, Jon, and good morning, everyone. Thank you for joining. As Robin mentioned, my comments today will focus on adjusted performance excluding the impact of rationalization charges and other onetime items.

謝謝你，喬恩，大家早安。感謝您的加入。正如羅賓所提到的，我今天的評論將集中在調整後的業績，不包括合理化費用和其他一次性項目的影響。

Turning to slide 8. Sales in the second quarter decreased 2% but were in line with the prior year, excluding the impact of our divestiture of Kichler and favorable currency. Our divestiture of Kichler in the third quarter of 2024 decreased sales by 3% year-over-year in the second quarter of 2025 while currency represented a 1% increase in sales. In local currency, North American sales decreased 3% but were in line with the prior year excluding the divestiture impact. International sales increased 1% in local currency.

翻到第 8 張投影片。第二季銷售額下降了 2%，但與去年持平，不包括剝離 Kichler 和有利貨幣的影響。我們於 2024 年第三季剝離了 Kichler 業務，導致 2025 年第二季的銷售額年減 3%，而貨幣因素則帶來了 1% 的銷售額成長。以當地貨幣計算，北美銷售額下降了 3%，但不包括資產剝離的影響，與去年持平。以當地貨幣計算，國際銷售額成長了 1%。

Gross margin increased 10 basis points in the quarter to 37.7%. SG&A decreased $27 million driven by our divestiture and lower employee-related expenses. SG&A as a percent of sales improved 90 basis points to 17.6% in the quarter. Operating profit increased 4% to $413 million in the quarter, and our margin expanded 100 basis points to 20.1%. Operating profit was driven by cost productivity initiatives, favorable SG&A and a positive price/cost relationship, partially offset by lower volume. Lastly, our EPS increased 8% to $1.30 per share.

本季毛利率增加 10 個基點，達到 37.7%。由於資產剝離和員工相關費用降低，銷售、一般及行政費用減少了 2,700 萬美元。本季銷售、一般及行政費用佔銷售額的百分比提高了 90 個基點，達到 17.6%。本季營業利潤成長 4% 至 4.13 億美元，利潤率擴大 100 個基點至 20.1%。營業利潤的推動因素包括成本生產力措施、有利的銷售、一般及行政開支以及積極的價格/成本關係，但銷量下降部分抵消了這一影響。最後，我們的每股盈餘成長 8%，達到每股 1.30 美元。

Turning to slide 9. Plumbing sales increased 5% in the second quarter or 4% excluding the favorable impact of currency largely driven by pricing, which increased sales by 3%. In local currency, North American plumbing sales increased 5% in the quarter. This performance was primarily driven by Delta Faucet, which delivered strong growth in both the trade and e-commerce channels. In local currency, international plumbing sales increased 1%, driven by pricing actions. hansgrohe achieved growth in many of its European markets, including its key market of Germany. This was largely offset by softness in other markets, particularly China.

翻到第 9 張投影片。第二季管道銷售額成長了 5%，若不計受定價影響的貨幣的有利影響，則成長了 4%，而定價導致銷售額成長了 3%。以當地貨幣計算，本季北美管道銷售額成長了 5%。這項業績主要得益於 Delta Faucet，該公司在貿易和電子商務通路均實現了強勁成長。以當地貨幣計算，受定價措施的推動，國際水暖銷售量成長了 1%。漢斯格雅在其許多歐洲市場都實現了成長，其中包括其主要市場德國。這在很大程度上被其他市場（尤其是中國）的疲軟所抵消。

Segment operating profit in the second quarter increased 11% and to $276 million and operating margin expanded 110 basis points to 21%. Operating performance was driven by cost savings initiatives and a favorable price/cost relationship.

第二季分部營業利潤成長 11%，達到 2.76 億美元，營業利益率擴大 110 個基點，達到 21%。經營績效的推動力來自於成本節約措施和良好的價格/成本關係。

Turning to slide 10. Decorative Architectural sales decreased 12% in the second quarter. The divestiture of Kichler reduced sales by 8%. In the quarter, total paint sales decreased mid-single digits due to lower volume. PRO paint sales were up mid-single digits and DIY paint sales decreased high single digits.

翻到第 10 張投影片。第二季裝飾建築銷售額下降了 12%。剝離 Kichler 業務導致銷售額下降了 8%。本季度，由於銷量下降，油漆總銷量下降了中等個位數。PRO 塗料銷售額成長了中個位數，而 DIY 塗料銷售額則下降了高個位數。

Given the continued softness in the overall DIY market and the unfavorable impact of inventory timing this year versus 2024, as discussed on prior earnings calls, we anticipate our total paint sales for the full year to decrease mid-single digits. We anticipate our full year DIY paint business to decrease high single digits. In our PRO paint business, we expect sales to increase mid-single digits for the full year.

鑑於整體 DIY 市場持續疲軟，以及今年與 2024 年相比庫存時機的不利影響（如之前的收益電話會議中所討論的），我們預計全年油漆總銷售額將下降中等個位數。我們預計全年 DIY 塗料業務將出現高個位數的下降。在我們的 PRO 塗料業務中，我們預計全年銷售額將實現中等個位數成長。

Operating profit in the second quarter was $157 million impacted by lower volume and an unfavorable price/cost relationship, partially offset by cost savings initiatives. Operating profit margin was 21.3% and was favorably impacted by the divestiture of Kichler.

第二季營業利潤為 1.57 億美元，受銷售下降和不利的價格/成本關係的影響，但成本節約措施部分抵銷了這一影響。營業利潤率為 21.3%，並受到 Kichler 資產剝離的正面影響。

Turning to slide 11. Our balance sheet remains strong with gross debt-to-EBITDA at 2x at quarter end. We ended the quarter with $1.3 billion of liquidity including cash and availability under our revolving credit facility. Working capital was 20.1% of sales at quarter end. Working capital was impacted by tariff-related dynamics including higher material costs and pricing, increasing our working capital balances. As a result of these tariff-related impacts, we anticipate that our working capital as a percent of sales will be approximately 17.5% at year-end.

翻到第 11 張投影片。我們的資產負債表依然強勁，季末總負債與 EBITDA 比率為 2 倍。本季末，我們擁有 13 億美元的流動資金，包括現金和循環信貸額度下的可用資金。季度末營運資本佔銷售額的 20.1%。營運資金受到關稅相關動態的影響，包括更高的材料成本和定價，增加了我們的營運資金餘額。由於這些與關稅相關的影響，我們預計到年底我們的營運資本佔銷售額的百分比將約為 17.5%。

Given our strong cash generation, we returned $167 million to shareholders in the second quarter through dividends and share repurchases, including the repurchase of $101 million in stock. As it relates to capital allocation, we expect to invest approximately $175 million through capital expenditures to pay a dividend of $1.24 per share and currently anticipate deploying at least $450 million towards share repurchases or acquisitions in 2025.

鑑於我們強勁的現金創造能力，我們在第二季度透過股息和股票回購向股東返還了 1.67 億美元，其中包括回購價值 1.01 億美元的股票。至於資本配置，我們預計透過資本支出投資約 1.75 億美元，以支付每股 1.24 美元的股息，目前預計在 2025 年部署至少 4.5 億美元用於股票回購或收購。

Now let's turn to slide 12 and review our outlook for the full year. The market environment remains volatile and uncertain, particularly related to tariffs. That said, there has been some improved visibility since our Q1 earnings. Based on this visibility, we are reinstating our 2025 guidance. Please note that the guidance being provided today includes the impact of currently enacted tariffs in effect in July. We estimate the total annualized cost impact of these incremental tariffs to be approximately $210 million before mitigation, down from $675 million as of our Q1 earnings call.

現在讓我們翻到第 12 張投影片，回顧一下我們對全年的展望。市場環境依然動盪且不確定，尤其是與關稅相關的環境。也就是說，自從我們第一季獲利以來，知名度有所提高。基於此可見性，我們將恢復 2025 年指導。請注意，今天提供的指導包括 7 月生效的現行關稅的影響。我們估計，這些增量關稅的年度總成本影響在緩解之前約為 2.1 億美元，低於我們第一季財報電話會議上的 6.75 億美元。

Of the $210 million annualized cost impact, approximately $140 million relates to the incremental 30% China tariffs, while the remaining $70 million is driven by the 10% global reciprocal tariffs and 50% tariff on steel and aluminum. Of this approximately $210 million total annual cost, we expect a 2025 in-year impact of approximately $140 million before mitigation, with the impact largely occurring in the second half of the year.

在 2.1 億美元的年化成本影響中，約有 1.4 億美元與中國增加的 30% 關稅有關，其餘 7,000 萬美元則受到 10% 的全球互惠關稅和 50% 的鋼鐵和鋁關稅的影響。在這約 2.1 億美元的年度總成本中，我們預計 2025 年在緩解之前的影響約為 1.4 億美元，而影響主要發生在下半年。

Our teams continue to actively work to mitigate these additional costs through a combination of levers. These include cost reductions, continued efforts to change our sourcing footprint and pricing where necessary. We anticipate that these mitigation actions will largely offset the direct cost impact of the currently enacted tariffs in 2025. It is important to note that our guidance does not attempt to estimate the impact of potential future tariffs, including on copper, or any changes in existing tariffs.

我們的團隊將繼續積極努力，透過多種手段來降低這些額外成本。這些措施包括降低成本、在必要時繼續努力改變我們的採購足跡和定價。我們預計，這些緩解措施將在很大程度上抵消 2025 年現行關稅的直接成本影響。值得注意的是，我們的指導並未試圖估計未來潛在關稅（包括對銅的關稅）或現有關稅的任何變化的影響。

Turning to the overall market. Our expectation is that the US and international repair and remodel markets will decrease low single digits in 2025. For Masco, we expect our sales in 2025 to decrease low single digits, impacted by the 2024 divestiture of Kichler, which will reduce sales by approximately 2% year-over-year.

轉向整體市場。我們預計，到 2025 年，美國和國際維修和改造市場將出現低個位數的下降。對於 Masco，我們預計 2025 年的銷售額將下降個位數，這受到 2024 年 Kichler 資產剝離的影響，這將導致銷售額同比下降約 2%。

We anticipate currency will have a favorable impact of approximately 1%, similar to the favorable impact experienced in the second quarter. Excluding the impacts of divestiture and currency, we anticipate Masco's overall sales to be roughly flat year-over-year with lower volumes largely offset with pricing.

我們預計貨幣將產生約 1% 的有利影響，類似於第二季的有利影響。排除資產剝離和貨幣的影響，我們預計 Masco 的整體銷售額將與去年同期基本持平，銷售下降將在很大程度上被定價所抵消。

We will continue to invest in our business for future growth while also maintaining cost discipline. As a result, we expect SG&A as a percent of sales to be in line with 2024. As always, we will take appropriate actions to address our cost as the year develops based on market conditions. We anticipate total company operating margin to be approximately 17% in 2025, including the impacts of tariffs and lower volume.

我們將繼續投資我們的業務以實現未來成長，同時保持成本控制。因此，我們預期銷售、一般及行政費用佔銷售額的百分比將與 2024 年持平。像往常一樣，我們將根據市場情況採取適當的措施來解決成本問題。我們預計，包括關稅和銷售下降的影響在內，2025 年公司總營業利潤率將達到約 17%。

As we think about our results in the first half of the year versus our expected second half performance, we anticipate there to be some headwinds in the second half, particularly as it relates to tariff costs and commodity inflation. In addition, we experienced some favorability in certain cost items in the second quarter such as lower employee-related costs that are not expected to repeat in the second half of the year.

當我們將上半年的業績與下半年的預期表現進行比較時，我們預計下半年將面臨一些阻力，特別是與關稅成本和商品通膨相關的阻力。此外，我們在第二季的某些成本項目方面獲得了一些有利的回報，例如較低的員工相關成本，預計下半年不會重複這種情況。

Finally, as a reminder, fourth quarter sales will face a challenging year-over-year comparison due to the favorable inventory timing impact we experienced in our paint business in the fourth quarter of last year. In our plumbing segment, we expect 2025 full year sales to be up low single digits. We anticipate the full year plumbing margin will be approximately 18.5%. In our Decorative Architectural segment, we expect 2025 sales to decrease low double digit or mid-single digits excluding the impacts of our divestiture. We anticipate the full year Decorative Architectural margin to be approximately 18%.

最後，需要提醒的是，由於去年第四季我們的塗料業務經歷了有利的庫存時機影響，第四季的銷售額將面臨同比挑戰。在我們的管道領域，我們預計 2025 年全年銷售額將實現低個位數成長。我們預計全年管道利潤率約為 18.5%。在我們的裝飾建築領域，我們預計 2025 年的銷售額將下降低兩位數或中個位數（不包括資產剝離的影響）。我們預計全年裝飾建築利潤率約為 18%。

Finally, as Jon mentioned earlier, our 2025 EPS estimate is $3.90 to $4.10 per share. This assumes a $211 million average diluted share count for the year and a 24.5% effective tax rate, which is consistent with our 2024 effective tax rate.

最後，正如喬恩之前提到的，我們對 2025 年每股收益的預測為每股 3.90 美元至 4.10 美元。假設當年平均稀釋股數為 2.11 億美元，有效稅率為 24.5%，與我們 2024 年的有效稅率一致。

With that, I would like to open up the call for questions. Operator?

現在，我想開始提問。操作員？

(Operator Instructions)

（操作員指示）

John Lovallo, UBS.

瑞銀的約翰·洛瓦洛。

Morning guys. Thanks for taking my questions. The first one is on the expectation to allocate $450 million to repos and acquisitions. I guess maybe two parts here. One, I mean, would you expect any acquisitions to be pretty close to core, in other words, not adding an additional leg? And then more importantly, I mean, what does the landscape look like out there? And would you expect the majority of this $450 million be allocated to share repos this year?

大家早安。感謝您回答我的問題。第一個是預計將分配 4.5 億美元用於回購和收購。我想這裡可能有兩個部分。首先，我的意思是，您是否認為任何收購都會非常接近核心，換句話說，不會增加額外的支柱？然後更重要的是，那裡的風景是什麼樣的？您是否預計這 4.5 億美元中的大部分將在今年分配給股票回購？

Hi John, it's Jon Nudi. Maybe I'll take the first part of the question, and I'll let Rick give a little bit more color as well. We feel really good about where we are from a portfolio standpoint. Keith and the management team over the last decade have done a terrific job really being focused on R&R, low-ticket items, and we really like where we play today. So I would say M&A is going to be bolt-on in nature. We'll stay committed to the strategy that we have in place. As you know, I've been on the Board for the last couple of years. So I saw from the rest of the Board that have been actively involved in the strategy and I believe in it. Maybe over to Rick for a little bit more detail.

你好，約翰，我是喬恩‧努迪。也許我會回答問題的第一部分，然後讓 Rick 再多解釋。從投資組合的角度來看，我們對目前的狀況感到非常滿意。過去十年來，Keith 和管理團隊一直致力於 R&R 和低價項目，做得非常出色，我們非常喜歡現在的經營狀況。所以我認為併購本質上是附加性的。我們將繼續堅持現有的戰略。如您所知，過去幾年我一直擔任董事會成員。因此，我看到董事會的其他成員都積極參與該策略，並且我對此充滿信心。也許可以向 Rick 詢問更多細節。

Yeah, John, with regards to the $450 million estimate for the year, we've repurchased about $230 million of shares through the first half of the year. And absent any M&A transaction, you'd expect us to deploy the remaining amount to share repurchases.

是的，約翰，關於今年 4.5 億美元的預期，我們在上半年已經回購了約 2.3 億美元的股票。如果沒有任何併購交易，您會期望我們將剩餘金額用於股票回購。

Okay. Yes, that's really helpful. And then in terms of PRO paint, it's been growing really nicely at sort of mid-single digits each quarter over, I think, the past five quarters. I mean how are you sort of thinking about the sustainability of this growth as we move through the back half of this year and into next year?

好的。是的，這確實很有幫助。就 PRO 塗料而言，我認為在過去五個季度中，它一直以每個季度中等個位數的速度成長。我的意思是，當我們進入今年下半年和明年時，您如何看待這種成長的可持續性？

John, our PRO paint business has grown nicely. Between 2020 and 2024, it's grown 70% and obviously taking share through that period. We think there's a lot more room to run. As you know, our partner, the Home Depot, is very focused on the PRO. We're very committed to working with them and putting strategies in place to grow into the future. So we think it can continue to grow at an outsized rate for us as we move into the future.

約翰，我們的 PRO 油漆業務發展得很好。2020 年至 2024 年間，它增長了 70%，並且顯然在此期間佔據了市場份額。我們認為還有很大的發展空間。如您所知，我們的合作夥伴家得寶 (Home Depot) 非常注重 PRO。我們非常致力於與他們合作並制定未來發展的策略。因此我們認為，隨著我們邁向未來，它將繼續以超快的速度成長。

Okay. Thank you, guys.

好的。謝謝你們。

Stephen Kim, Evercore ISI.

史蒂芬金 (Stephen Kim)，Evercore ISI。

Yeah, thanks very much guys, appreciate it. Yeah, Obviously strong results here particularly domestically. And I guess in the plumbing business in particular, I was curious if you felt like there was maybe any pre-buy activity maybe ahead of some anticipated price increases. I think you said e-commerce was strong. Maybe you could give us a sense for -- did you see what you might consider to be some element of prebuy in some of your channels?

是的，非常感謝大家，感激不盡。是的，顯然我們取得了強勁的成績，特別是在國內。我想，特別是在管道行業，我很好奇您是否覺得在預期的價格上漲之前可能存在任何預購活動。我認為您說過電子商務很強大。也許您可以讓我們了解一下—您是否看到了您認為在某些管道中預購的一些元素？

Yeah, Steve, it's Rick. So we did see a little bit of prebuy really on the plumbing side. It wasn't significant so we didn't call it out in our prepared remarks, but we did see a bit on the plumbing side as it pertains to getting ahead a little bit of the tariff prices. But I would say from an overall channel inventory standpoint, channel inventories are reasonably healthy really across the plumbing segment. So for this time of the year, everything looks pretty normal.

是的，史蒂夫，我是瑞克。因此，我們確實看到管道方面的一些預購。由於影響不大，所以我們沒有在準備好的發言中提及，但我們確實在管道方面看到了一些影響，因為它與關稅價格略有上漲有關。但我想說，從整體通路庫存的角度來看，整個管道領域的通路庫存確實相當健康。因此，對於一年中的這個時候來說，一切看起來都很正常。

Our Delta business is really firing on all cylinders right now. We really like our brand building. We like the innovation that they're putting to the market. We know they're growing share overall and they're growing quite a bit of share when it comes to e-commerce. So really like the performance of our biggest plumbing business in North America.

我們的達美航空業務目前正全速發展。我們非常喜歡我們的品牌建立。我們喜歡他們向市場推出的創新。我們知道他們的整體份額正在增長，尤其是在電子商務方面，他們的份額增長相當大。真的很喜歡我們在北美最大的管道業務的表現。

Encouraging. Appreciate that. wanted to switch gears to paint and particularly DIY. I think you've done a good job laying out the dynamics between DIY and PRO. So my question is a little bit of a broader one. I'm curious about the handoff from Baby Boomers to Millennials. I think you've said in the past that the -- as Baby Boomers sort of age out of the DIY kind of age bracket, that the backfilling by Millennials isn't quite sufficient to take up the slack.

令人鼓舞。非常感謝。想轉而從事繪畫，尤其是 DIY。我認為您很好地闡述了 DIY 和 PRO 之間的動態。所以我的問題有點廣泛。我對嬰兒潮世代和千禧世代之間的交接感到好奇。我想您過去曾說過，隨著嬰兒潮世代逐漸脫離 DIY 年齡段，千禧世代的填補不足以彌補這一空缺。

And so I was wondering if you could expand on that. And in particular, do you have any data or any research would suggest how Millennial paint consumption looks compared to Baby Boomers when they were at a similar age? I'm thinking particularly on a gallon basis. So I was curious if you have any insight into that.

所以我想知道您是否可以詳細說明這一點。特別是，您是否有任何數據或研究表明千禧世代的油漆消費量與嬰兒潮世代在相似年齡時的消費量相比如何？我特別以加侖為單位來思考。所以我很好奇您是否對此有任何見解。

Stephen, this is Jon. We won't get into that specific data. Right now we can continue to look and talk about that as we move forward. I think the biggest thing that's affecting DIY right now is really existing home sales, which we know is highly correlated to DIY sales. And if you look at existing home sales, they're down dramatically certainly during the COVID period. They're down pretty significantly since the pre-COVID period as well. In fact, existing home sales are at a 3-decade low right now.

史蒂芬，這是喬恩。我們不會深入討論那些具體數據。現在我們可以繼續觀察並討論這個問題。我認為目前對 DIY 影響最大的因素實際上是現有房屋銷售，我們知道這與 DIY 銷售高度相關。如果你看看現有的房屋銷售情況，你會發現在新冠疫情期間，房屋銷售量肯定大幅下降。自新冠疫情爆發之前以來，這一數字也大幅下降。事實上，目前現有房屋銷售量處於三十年來的最低水準。

So we would say that's the major driver of the softness in DIY. And as the consumer confidence improves, as interest rates get a bit better, we expect that to pick up. We continue to look hard at Millennials. They're forming households now and their behaviors are certainly different than other generations.

所以我們認為這是 DIY 疲軟的主要原因。隨著消費者信心的增強，利率的改善，我們預期這一趨勢將會回升。我們繼續密切關注千禧世代。他們現在正在組建家庭，他們的行為肯定與其他世代不同。

At the same time, we are seeing DIY behaviors being exhibited by them. But we'll continue to look at that. We can continue to talk about that as we go into the future as well.

同時，我們也看到他們表現出DIY行為。但我們會繼續關注這一點。展望未來，我們也可以繼續討論這個問題。

Okay, thanks a lot, guys.

好的，非常感謝大家。

Anthony Pettinari with Citi.

花旗銀行的 Anthony Pettinari。

Good morning. In plumbing, given some of the consumer trends that you called out, I'm wondering how the brands are performing between good, better, best, so Peerless, Delta, Brizo. And then for the full year sales guidance of up low single digits, I'm sorry if I missed this, but in terms of price versus volume, what would you expect that would break out as?

早安.在管道方面，考慮到您提到的一些消費趨勢，我想知道這些品牌在好、更好、最好（例如 Peerless、Delta、Brizo）方面的表現如何。然後對於全年銷售預期的低個位數成長，如果我錯過了這一點，我很抱歉，但就價格與銷量而言，您預計會出現什麼情況？

Yes, So Anthony, this is Jon. I'll take the first part and turn it over to Rick for the second part. We really like the performance of our brands. When we look at what's holding up best, it's really our upper premium and luxury brands. That consumer continues to spend and continues to invest in remodeling. I would say some of our mid-tier brands, we're seeing a bit of trade down but nothing overly concerning at this point. But our luxury brands and our upper premium is really performing quite strongly right now. I'll turn it over to Rick for the second part.

是的，安東尼，這是喬恩。我將負責第一部分，然後把第二部分交給 Rick。我們真的很喜歡我們品牌的表現。當我們觀察哪些產品表現最佳時，我們發現真正表現最好的是我們的高端和豪華品牌。消費者會繼續消費並繼續投資改造。我想說，我們的一些中階品牌的銷量有所下滑，但目前還沒有什麼特別令人擔憂的。但我們的奢侈品牌和高端品牌目前的表現確實相當強勁。我將把第二部分交給 Rick。

Yes, sure, Anthony. With regards to our expectations on sales in the plumbing segment. So we had -- we indicated in our guidance that we would expect plumbing sales to be up low single digits. The composition of that is really pricing partially offset by lower volumes. So we do expect a bit lower volume as we move through the course of the year, but more than offset by pricing.

是的，當然，安東尼。關於我們對管道領域銷售的預期。因此，我們在指導中指出，我們預計管道銷售額將成長個位數。其組成實際上是定價，部分被較低的銷售所抵消。因此，我們確實預計，隨著年內銷量會略有下降，但價格足以抵消這一下降。

Okay. That, that's helpful. I'll turn it over.

好的。這很有幫助。我把它翻過來。

Michael Rehaut from JPMorgan.

摩根大通的 Michael Rehaut。

Thanks. Good morning, everyone. Thanks for taking my questions. I wanted to first try and dive in a little bit to demand trends during the second quarter. We've heard so far this earning season from other companies that there's been some disruption probably more on the inventory and retail side as opposed to the end user perhaps. But would love to get a sense across both plumbing and decorative, how that progressed throughout the quarter, if there were any kind of unusual movements from a channel perspective or from an end customer perspective.

謝謝。大家早安。感謝您回答我的問題。我想先試著深入了解第二季的需求趨勢。到目前為止，我們從其他公司聽說，在這個財報季，庫存和零售方面可能出現了一些混亂，而不是最終用戶方面。但很想了解管道和裝飾兩個領域在整個季度的進展情況，從管道角度或最終客戶角度來看是否存在任何異常動向。

Yes, So Mike, this is Jon. I would say in plumbing, we didn't see anything all that unusual. Rick mentioned earlier, again, we've seen with tariffs and pricing maybe a little bit of pull forward but nothing too concerning. And again, across our different channels we have seasonal movements and other things, but nothing as a surprise there.

是的，麥克，這是喬恩。我想說，在管道方面，我們沒有看到任何不尋常的事情。里克之前提到過，我們再次看到關稅和定價可能略有提前，但並不太令人擔憂。再說一次，我們在不同的管道上看到了季節性變動和其他事情，但這並不令人意外。

In paint, it's really the dynamic between DIY and PRO. And again, our DIY business is soft. I think that's consistent across the rest of industry. We believe that we are holding share in DIY. At the same time, PRO is growing nicely for us, and we believe that we absolutely are taking share. We think there's a lot more room to run there. Again, if you look at our overall share levels in PRO, they're much lower than they are in DIY. So again, that's an area that we believe that we can continue to focus on with our retail partner in the Home Depot and continue to get some nice sized gains as we move forward.

在繪畫中，它實際上是 DIY 和 PRO 之間的動態。再說一次，我們的 DIY 業務並不景氣。我認為這與其他行業的情況一致。我們相信我們在DIY領域佔有一席之地。同時，PRO 對我們來說發展良好，我們相信我們絕對會佔據市場份額。我們認為那裡還有更大的發展空間。再說一次，如果你看看我們在 PRO 中的整體份額水平，它們比在 DIY 中的要低得多。因此，我們相信，我們可以與家得寶 (Home Depot) 的零售合作夥伴繼續關注這個領域，並在前進的過程中繼續獲得一些可觀的收益。

Great. Secondly, on the mitigation actions against the tariffs, I was wondering if you can give a little more detail there in terms of maybe unpacking how those actions would fall out. If you think about the $140 million, how that would roughly be offset between supply chain, cost control and price, and if it would be kind of evenly matched in 3Q or 4Q or if there'd be a kind of a greater hit in 3Q maybe before some of the actions fully come to bear.

偉大的。其次，關於關稅的緩解措施，我想知道您是否可以提供更多細節，說明這些措施將如何實施。如果你考慮 1.4 億美元，那麼它將如何在供應鏈、成本控制和價格之間大致抵消，以及它是否會在第三季度或第四季度均衡匹配，或者在某些行動完全發揮作用之前，在第三季度是否會受到更大的打擊。

And if I could just throw in a small third question. if you're able to quantify the second quarter nonrepeating cost benefits that helped the margins in 2Q, that would be helpful as well. Thanks.

如果我可以提出第三個小問題，如果您能夠量化第二季度非重複性成本效益，從而幫助提高第二季度的利潤率，那也會有所幫助。謝謝。

Yeah, Sure, Mike. It's Rick. I'll answer your third question first. With regards to the cost benefits that we experienced in Q2, so just to mention it, our SG&A costs were down favorably about $27 million. About half of that related to the divestiture of Kichler, so those costs going away. And then the other half of that, roughly speaking, was favorable cost performance, some timing but mostly favorable items that we don't expect to repeat in the second half of the year. So hopefully that dimensions the magnitude of the favorability we saw in cost in Q2.

是的，當然，麥克。是瑞克。我先回答你的第三個問題。關於我們在第二季度經歷的成本效益，順便提一下，我們的銷售、一般及行政費用 (SG&A) 成本下降了約 2700 萬美元。其中約有一半與 Kichler 的剝離有關，因此這些成本將會消失。粗略地說，另一半是有利的成本表現，一些時機，但大多數是有利的項目，我們預計這些不會在下半年重複出現。因此，希望這能反映出我們在第二季度看到的成本有利程度。

As it pertains to your second question on the tariff cadence and the mitigation actions, what we've said is with regards -- and it's important to note that we are talking about currently enacted tariffs, so not tariffs are may or expected to go into effect here in August but tariffs that are in effect here in July. Our in-year impact of those tariffs is approximately $140 million and largely in the second half of the year.

至於您關於關稅節奏和緩解措施的第二個問題，我們所說的是關於——重要的是要注意，我們談論的是當前頒布的關稅，因此不是可能或預計在 8 月份生效的關稅，而是 7 月份生效的關稅。這些關稅對我們今年的影響約為 1.4 億美元，並且主要集中在下半年。

In terms of our mitigation, we really are pointing on all three levers, and there's many other elements to our mitigation activity, but the three main levers are pricing, cost reductions and sourcing footprint. Really, the drivers of the mitigation this year are going to be the cost reduction and pricing activities.

就我們的緩解措施而言，我們確實針對所有三個槓桿，而我們的緩解活動還有許多其他要素，但三個主要槓桿是定價、成本降低和採購足跡。實際上，今年緩解措施的驅動力將是降低成本和定價活動。

As we mentioned before, the resourcing activity that we've been doing, primarily moving imports from China to other markets, is going to be something that we've accelerated and we continue to build on momentum in that regard. But that's largely going to be a 2026 mitigation impact.

正如我們之前提到的，我們一直在進行的資源配置活動，主要是將進口產品從中國轉移到其他市場，這將是我們加速推進的事情，我們將繼續在這方面保持勢頭。但這很大程度上將是2026年的緩解影響。

But we're not going to get into the dimension or the split between price and cost. Suffice it to say that they're both significant contributors in terms of our mitigation. I think in terms of cadence during the course of the year, again, mostly largely in the second half of the year both in terms of tariff impact as well as well as our mitigation activities, I think the one thing to note that we will highlight, it wasn't mentioned in the prepared remarks is, as you may recall -- well, first of all, china tariffs, as we all know, are currently sitting at an incremental 30%. But as you recall, for about a month period of time, from about April 10 and May 12, there was incremental tariffs of 145% imposed on imports from China.

但我們不會深入探討價格和成本之間的差異。可以說，他們都是我們的緩解措施的重要貢獻者。我認為就今年的節奏而言，主要是在下半年，無論是在關稅影響方面還是我們的緩解活動方面，我認為我們要強調的一點是，準備好的評論中沒有提到，你可能還記得——首先，眾所周知，中國的關稅目前正以 30% 的增量遞增。但大家還記得，從 4 月 10 日到 5 月 12 日大約一個月的時間裡，美國對從中國進口的商品徵收了 145% 的增量關稅。

Although we did manage our import activity during that window of time, we did still import products into the US during that window of time and were impacted by the increased tariffs at 145%. That really is flowing through our inventory and that will be an impact that we'll experience in the first half of the second half of the year, so really on a Q3 basis. So that's the one kind of timing element that I would call out.

儘管我們確實在那段時間內管理了我們的進口活動，但我們在那段時間內仍將產品進口到美國，並受到 145% 關稅上調的影響。這確實會影響我們的庫存，並且會對我們在上半年和下半年，也就是第三季產生影響。這就是我要強調的時間因素。

Great, thank you.

太好了，謝謝。

Matthew Bouley with Barclays.

巴克萊銀行的馬修‧布萊 (Matthew Bouley)。

Good morning, everyone. Thanks for taking the question. Welcome, Jon, to the call. Questions for you. Obviously, you've only been in the seat here for just a few weeks. But curious, as you've kind of delved deeper into the company, obviously you're not new to the company having been previously on the Board, but as you've dealt deeper, as you've spoken to the Board under the new role, any just kind of high-level thoughts on your early priorities? What might you look to kind of tweak from a strategic perspective? And what might be some of the goals and, I guess, milestones we can look for from you?

大家早安。感謝您回答這個問題。歡迎喬恩參加電話會議。給你的問題。顯然，你才坐在這裡的幾個星期。但令人好奇的是，隨著您對公司的了解越來越深入，顯然您對公司並不是新人，因為之前您曾擔任過董事會成員，但是隨著您與董事會的深入交流，隨著您在新職位下與董事會交談，您對早期的優先事項有什麼高層想法嗎？從策略角度來看，您希望做出哪些調整？我想，我們可以從您那裡期待哪些目標和里程碑呢？

Thank you.

謝謝。

Yeah, You're welcome, absolutely. So I am spending my first 100 days just really listening and learning. I've been active in getting out with our teams. I was again with our Delta team. I'm heading to Germany next week. I'll be on the West Coast for the Behr team a Watkins a week after that. And time with customers, I really value that, have been -- met all of our major customers and several of them twice since I was announced and we'll continue to focus on that.

是的，完全不用客氣。所以我的前 100 天都在認真傾聽和學習。我一直積極地與我們的團隊一起出去。我再次與達美航空團隊在一起。我下週要去德國。一週後，我將前往西海岸的沃特金斯，為 Behr 團隊服務。我非常珍惜與客戶相處的時間，自從我宣布上任以來，我已經與我們所有的主要客戶見過面，其中有幾個客戶見過兩次面，我們將繼續關注這一點。

And what I see and what I continue to hear is that Masco is an incredibly strong company. Again, I knew that being on the Board and coming in, with teams that really know our business, know how to innovate. We have strong brands which is great. And our strategy, I think, is spot on with repair, remodel and low ticket items. I think the one thing, and this won't surprise anyone likely, is that we would like to grow a bit faster on top line standpoint and to do that profitably.

就我所見以及不斷聽到的消息，馬斯科是一家非常強大的公司。再說一次，我知道，加入董事會並與真正了解我們業務的團隊一起，知道如何創新。我們擁有強大的品牌，這很好。我認為，我們的策略是修復、改造和低價商品。我認為有一件事，這可能不會讓任何人感到驚訝，那就是我們希望在營收方面成長得更快一些，並且獲利。

So that's what I'm really focused on, is understanding what are some levers for us to continue to drive strong margins and profit like we have historically but, at the same time, accelerate our top line. And some of the opportunities we're talking about internally are leveraging digital a bit more aggressively in things like e-commerce and digital marketing, even strategic revenue management.

因此，我真正關注的是了解有哪些槓桿可以讓我們像過去一樣繼續推動強勁的利潤率和利潤，同時加速我們的營收成長。我們內部討論的一些機會是在電子商務、數位行銷甚至策略收入管理等領域更積極地利用數位技術。

But again it's early days, but just know that, that is the area that I will be focused on with the rest of the team to continue to do all the great things that we do here at Masco, but we'll probably do it with a bit more top line and it's profitable top line on that.

但現在還為時過早，但要知道，這是我將與團隊其他成員重點關注的領域，繼續在 Masco 做所有偉大的事情，但我們可能會在這方面多做一些營收，這會帶來盈利。

Excellent. Great. Well, we'll certainly look forward to the news on that front. Second question, I guess, for Rick. You had mentioned that -- this is on the tariffs, of course. So you're not including what may change from a tariff perspective in August, perhaps even tomorrow. So if I'm thinking about Vietnam, perhaps even the copper announcement yesterday, I'm not sure if what you source from a brass components perspective would or would not be included in that.

出色的。偉大的。好吧，我們當然期待這方面的消息。我想，第二個問題是針對 Rick 的。您曾提到—這當然是關於關稅的問題。因此，您沒有包括八月、甚至明天可能從關稅角度發生的變化。因此，如果我考慮越南，甚至考慮昨天的銅公告，我不確定從黃銅零件角度來看，你採購的東西是否會包括在內。

So I would just kind of love to hear your thoughts on as some of these things go into effect, any potential framework, dollar framework you can give us and how you would be thinking about mitigating those new tariffs coming?

因此，我很想聽聽您對這些措施生效的看法，您能為我們提供任何潛在的框架、美元框架，以及您如何考慮減輕這些新關稅的影響？

Thank you. Yeah, Sure, Matt. And I appreciate the question. Obviously it's a very dynamic environment. It remains uncertain, as you mentioned. There was a proclamation yesterday as it pertains to the 232 tariffs on copper that are effective August 1. What I would say is we're pretty focused on providing our outlook and guidance based off of tariffs that are in place and enacted, and that's informed us with regards to our guidance that we shared here this morning.

謝謝。是的，當然，馬特。我很感謝你提出這個問題。顯然這是一個非常活躍的環境。正如您所說，這仍然不確定。昨天發布了有關 8 月 1 日起生效的 232 項銅關稅的公告。我想說的是，我們非常注重根據已經實施和頒布的關稅提供我們的展望和指導，這為我們今天上午在這裡分享的指導提供了資訊。

As it pertains to dimensioning the future tariffs, whether that's copper or, in the case of other countries, the reciprocal tariffs changing, it's premature for us to really dimension that. Obviously, we've run different scenarios and the like internally.

至於未來關稅的規模，無論是銅還是其他國家的互惠關稅變化，我們現在真正確定這一規模還為時過早。顯然，我們在內部已經運行了不同的場景等等。

But as it pertains to influencing our outlook, at the end of the day, it really will depend on what the ultimate rates are, the timing of those and some of the specific regulations. So with regards to copper, we know the timing and the rate but we don't know the composition and the HTS code. So it's premature for us to estimate what the impact is for Masco specifically.

但就其對我們前景的影響而言，歸根結底，這實際上取決於最終利率是多少、利率的時機以及一些具體的規定。因此，就銅而言，我們知道時間和速率，但我們不知道其成分和 HTS 代碼。因此，我們現在還無法評估這對 Masco 的具體影響。

It does impact our sourcing. It will also have an impact on commodities. As you've seen lately, the commodity costs have been fairly volatile. So at this point, it would be premature for us to share estimates just because we don't have full visibility in terms of the implications of where they may settle.

它確實影響了我們的採購。這也會為商品帶來影響。正如您最近看到的，商品成本相當不穩定。因此，目前我們分享估算數據還為時過早，因為我們還不完全清楚這些估算數據可能產生的影響。

That said, as we've demonstrated in the past, we'll be transparent with regards to what those impacts are once they're known, and we'll provide an updated outlook. We'll update the Street as it pertains to those impacts again when we have those known, and we'll provide an updated outlook.

話雖如此，正如我們過去所表明的那樣，一旦這些影響被知曉，我們將透明地告知大家，並提供最新的展望。當我們了解到這些影響時，我們會再次向華爾街通報，並提供最新的展望。

All right, understood. Thanks again and good luck, guys. Thanks, Matt.

好的，明白了。再次感謝大家，祝大家好運。謝謝，馬特。

Sam Reid with Wells Fargo.

富國銀行的 Sam Reid。

And Jon, also, welcome aboard. I believe you took anywhere from, I want to say, a 7% to 9% price in May and plumbing based on the letter you sent out to some of your customers if I was reading it correctly. Just wanted to talk through the reception on that price. Perhaps by channel, give us a sense as to what realization on that pricing could look like, especially as we move into the second half.

喬恩，也歡迎你的加入。根據您發給部分客戶的信件，如果我沒有看錯的話，我相信您在 5 月份採取了 7% 到 9% 的價格上漲，而且管道價格也有所上漲。只是想透過接待處討論一下這個價格。也許透過管道，讓我們了解定價的實現情況，特別是當我們進入下半年時。

And then just digging a little bit deeper. It does sound like plumbing volumes are going to slow a little bit in the second half, if I'm listening to your commentary correctly. Is that just a function of elasticity? Or are you embedding something kind of more market specific like a slowdown? I just want to unpack those dynamics.

然後再深入挖掘一下。如果我沒聽錯的話，聽起來下半年的管線流量確實會稍微放緩。這僅僅是彈性函數嗎？還是您嵌入了更針對市場的東西，例如經濟放緩？我只是想解開這些動態。

Hey Sam, it's Rick. With regards to pricing actions, we're not going to disclose specific pricing actions, certainly not by channel. We provided an outlook as it pertains to pricing impacts on plumbing segment overall. And we indicated it was a low single-digit 3% benefit here in Q2 and we're expecting a mid-single-digit benefit for the full year.

嘿，山姆，我是瑞克。關於定價行動，我們不會透露具體的定價行動，當然也不會按管道透露。我們提供了有關定價對整個管道行業的影響的展望。我們表示，第二季的利潤為 3% 的低個位數，預計全年利潤將達到中等個位數。

And so you can kind of read into that what you can as it pertains to the magnitude of the pricing. And it continues to be something that we continue to look at and it's really something that we work with our channel partners on, in addition to our cost in sourcing mitigation actions.

因此，您可以根據其與定價幅度相關的內容進行解讀。這是我們持續關注的事情，除了採購緩解措施的成本之外，這也是我們與通路夥伴共同努力的。

As it pertains to the cadence -- yes, in regards to your second question, Sam, in terms of cadence, I would say that what we're seeing, as we mentioned before, we did see some pull forward in terms of sales into Q2. It wasn't significant, but that is somewhat impacting our expectations in the second half of the year. And just as a general matter, we're just seeing some headwinds from a macroeconomic perspective that's impacting the overall industry.

至於節奏——是的，關於你的第二個問題，山姆，就節奏而言，我想說，正如我們之前提到的，我們看到第二季的銷售有所回升。雖然影響不大，但對我們對下半年的預期有一定影響。總的來說，從宏觀經濟角度來看，我們看到一些不利因素正在影響整個產業。

And so as I mentioned earlier, we're expecting plumbing volume to be down low single digits but to be more than offset by pricing. So our expectation is for the plumbing segment overall to be up low single digits for the year.

正如我之前提到的，我們預計管道量將下降個位數，但價格將足以抵消這一下降。因此，我們預計今年管道產業整體將實現個位數成長。

Very helpful, Rick. And then you've talked about adjustments to strategic sourcing since a lot of this tariff noise started to enter the narrative. And I realize it's kind of early days, but could you contextualize any early wins, perhaps steps you've taken to reorient your footprint to more tariff-favorable geographies like Mexico, for instance?

非常有幫助，里克。然後您談到了對策略採購的調整，因為許多關稅噪音開始進入敘述。我知道現在還為時過早，但您能否介紹一下早期取得的成就，例如您已採取哪些措施將您的業務範圍重新定位到墨西哥等關稅更優惠的地區？

And then just to quickly follow up on the commodity piece, can you remind us what the lag typically is between spot and impact to your P&L?

然後，為了快速跟進商品部分，您能否提醒我們現貨和對您的損益的影響之間的滯後通常是多少？

Sure, Sam. So with regards to the -- yes, sorry about that, Sam. So with regards from a sourcing perspective, as we've articulated in the past, we've really focused on reducing our exposure to China. We've effectively reduced our exposure to China by about 45% since 2018 and that continues to be a focus. Really, we're focused overall in terms of building a resilient and cost-effective supply chain, and so that entails sourcing for multiple countries. Obviously, the tariff environment is dynamic, as we've talked about before. And so we want to be dynamic as well and flexible.

當然，薩姆。所以關於——是的，很抱歉，山姆。因此，從採購的角度來看，正如我們過去所表達的那樣，我們確實致力於減少對中國的依賴。自 2018 年以來，我們已有效減少了對中國業務的約 45%，而這仍然是我們關注的重點。實際上，我們總體上專注於建立具有彈性且具有成本效益的供應鏈，因此這需要為多個國家進行採購。顯然，正如我們之前談到的，關稅環境是動態的。因此，我們也希望保持活力和靈活性。

So in terms of what we've done, we've largely moved some sourcing out of China to other markets, and we'll continue to do that. We expect to accelerate those efforts this year and have much more of an impact in terms of next year. And the team has done an excellent job just in terms of overall managing the tariff exposure as well as mitigating our cost overall, and we'll continue to do that.

因此，就我們所做的事情而言，我們基本上將一些採購從中國轉移到其他市場，我們將繼續這樣做。我們希望今年能夠加快這些努力，並在明年產生更大的影響。團隊在整體管理關稅風險以及降低整體成本方面做得非常出色，我們將繼續這樣做。

Maybe just want to add and that's we have a significant manufacturing presence in the US today. We'll continue to build on that. We have 29 manufacturing facilities, 21 distribution centers. So again, we have a significant footprint in the US as well.

也許只是想補充一下，我們今天在美國擁有重要的製造業影響力。我們將繼續在此基礎上努力。我們有 29 個製造工廠和 21 個配送中心。所以，我們在美國也佔有重要地位。

Thanks, Jon. As it pertains to commodity cadence, generally speaking, it's about a 2-quarter impact. So you'd expect the inflation -- commodity inflation in copper and other raws that we saw in Q2 to really impact us in Q4 on a cadence perspective.

謝謝，喬恩。就商品節奏而言，一般來說，影響約為 2 個季度。因此，您可以預期通貨膨脹——我們在第二季度看到的銅和其他原材料的商品通貨膨脹將從節奏角度在第四季度對我們產生真正影響。

All helpful color. Guys, thanks so much, I'll pass it on.

所有有用的顏色。夥計們，非常感謝，我會傳達的。

Trevor Allison with Wolfe Research.

沃爾夫研究公司的 Trevor Allison。

Hi, good morning. Thank you for taking my questions and Welcome to the call, Jon. Rick, I wanted to follow up on some of the comments you just made in answering that last question, specifically on your China exposure. You've made a lot of progress over the last several years reducing that exposure. How significantly do you expect to reduce it from here moving forward as you look out over the next 12 to 18 months?

嗨，早安。感謝您回答我的問題，歡迎喬恩參加電話會議。里克，我想跟進一下你剛才回答最後一個問題時所發表的一些評論，特別是關於你對中國的了解。在過去的幾年裡，你們在減少這種曝光方面已經取得了很大進展。從現在開始，展望未來 12 到 18 個月，您預計這一數字將減少多少？

And then previously, the expectation was China tariff rate is going to be 145%. Clearly, that's come down a lot since then. Does that change the rapidity in which you are shifting your supply chain or your views on the ultimate end state?

此前，預計中國的關稅稅率將達到 145%。顯然，自那時起，這一數字已大幅下降。這是否會改變您轉變供應鏈的速度或您對最終狀態的看法？

Sure, Trevor. So with regards to our sourcing footprint out of China, as we've articulated in the past, we reduced our China exposure by 45% since 2018 and we've articulated and shared in the past that our exposure to China import tariffs is about $450 million currently. We're not going to quantify in terms of what that end state looks like. Needless to say, we're continuing to focus on reducing the exposure to China.

當然，特雷弗。因此，關於我們在中國以外的採購足跡，正如我們過去所表達的那樣，自 2018 年以來，我們將在中國的業務敞口減少了 45%，並且我們過去曾表達和分享過，我們目前對中國進口關稅的敞口約為 4.5 億美元。我們不會量化最終狀態是什麼樣的。不用說，我們將繼續致力於減少對中國的依賴。

In terms of the dynamics with tariffs, yes, there has been a volatile dynamic with regards to China tariffs. They increased it all the way up to 145%, which we've mentioned. They are now sitting at an incremental 30%. But keep in mind, that's on top of the initial tariffs from 2018, 2019. So the all-in tariff rate for imports from China is roughly 55%. So it still makes economic sense for us be aggressively looking at diversifying our sourcing footprint. And just from an overall geopolitical mitigation standpoint, it seems to be the prudent thing to do.

就關稅動態而言，是的，中國關稅的動態一直很不穩定。他們將其一直提高到 145%，正如我們所提到的。目前，他們的增幅為 30%。但請記住，這是在 2018 年、2019 年初始關稅的基礎上徵收的。因此，從中國進口的商品總關稅稅率約為55%。因此，積極尋求多元化採購足跡對我們來說仍然具有經濟意義。僅從整體地緣政治緩解的角度來看，這似乎是明智之舉。

So we're going to continue to do that. But our focus is to really develop a resilient and flexible sourcing footprint, not to be overly exposed to any particular country. And so as we're looking at our various levers, we're looking at diversifying from a country perspective overall from a sourcing standpoint.

因此我們將繼續這樣做。但我們的重點是真正發展有彈性和靈活的採購足跡，而不是過度暴露於任何特定國家。因此，當我們檢視各種槓桿時，我們會從國家角度、從採購角度來考慮多元化。

Okay. Makes a lot of sense. And then second question on working capital, 17.5%. Clearly above the 16% Historically we pegged you guys that. Is that purely just inflation? Or are you also holding -- intentionally holding some more inventory with the expectation that perhaps you have higher cost to come in the future?

好的。很有道理。第二個問題是關於營運資金，17.5%。顯然高於 16% 從歷史上看，我們給你們定下了這個數字。這純粹是通膨嗎？或者您也持有——故意持有更多庫存，預計未來成本可能會更高？

Yeah, Sure, Trevor. It's driven largely by tariffs. What I would say is both with regards to material cost inflation as well as the impact on pricing, so material costs impacting the nominal value of our inventory as well as pricing impacting the nominal value of our receivables.

是的，當然，特雷弗。這主要是受關稅影響。我想說的是，這既涉及材料成本通膨，也涉及對定價的影響，即材料成本影響我們庫存的名義價值，而定價影響我們應收帳款的名義價值。

What I didn't mention in the opening comments but is also a driver is the payment terms with regards to the tariff invoices. They're roughly 30 days, which is shorter than our average payment terms. And so the combination of inflation on our receivables and inventory as well as payment terms on our payables are the main drivers.

我在開場白中沒有提到但也是一個驅動因素的是有關關稅發票的付款條件。大約為 30 天，比我們的平均付款期限短。因此，應收帳款和庫存的通貨膨脹以及應付帳款的付款條件是主要驅動因素。

We really are focused on lean inventory. We do prudently build inventory whether it's for tariff mitigation or other activities as we continue to look at resourcing alternatives, et cetera. So that is a small contributing factor. But the large driver is really the tariff -- the direct tariff impact on our working capital balances. Very helpful.

我們確實專注於精益庫存。我們確實會謹慎地建立庫存，無論是為了降低關稅還是其他活動，同時我們也會繼續尋找資源替代方案等等。所以這是一個很小的促成因素。但真正的主要驅動因素是關稅——關稅對我們的營運資金餘額的直接影響。非常有幫助。

Thanks for all the color and good luck moving forward.

感謝所有的色彩並祝你未來好運。

Sure, thanks, Trevor.

當然，謝謝，特雷弗。

Susan Maklari with Goldman Sachs.

高盛的蘇珊馬克拉里 (Susan Maklari)。

Thank you. Good morning, everyone.

謝謝。大家早安。

Morning.

早晨。

Thinking about the elasticity of demand, you mentioned you are seeing strength in plumbing at that upper premium and the luxury price points. I guess how are you thinking about the state of the consumer today and how that mix is impacting the business? And any thoughts on how that may come together over the upcoming quarters?

考慮到需求的彈性，您提到您看到管道在較高溢價和奢侈品價格點上表現強勁。我想您如何看待當今消費者的狀況以及這種組合對業務有何影響？您對於未來幾季內如何實現這一目標有何想法？

Yes, So Susan, confidence is obviously lower than what we'd like to see with consumers today, and obviously, that's putting pressure on everyone's business. I guess the upper premium and luxury segment has pulled in better than some of the other segments as that consumer continues to spend, they continue to remodel.

是的，蘇珊，消費者信心顯然低於我們希望看到的水平，這顯然給每個人的業務帶來了壓力。我認為高端和豪華細分市場的吸引力大於其他細分市場，因為消費者會繼續消費，並繼續進行改造。

I think, for us, we're going to keep playing our game, and that's about building our brands and then marketing our brands. That's all of them, whether it's a luxury brand or a mid-tier brand like Delta. That's the biggest brand, plumbing brand in the US and continue to perform well.

我認為，對我們來說，我們將繼續玩我們的遊戲，那就是建立我們的品牌，然後行銷我們的品牌。這就是所有品牌，無論是豪華品牌還是像達美航空這樣的中階品牌。這是美國最大的管道品牌，並且持續表現良好。

And then innovation. Consumers are still looking for innovation. They're still looking for unique benefits. So we're doubling down on that. And in fact, if you look at our vitality index, it's at a 25% rate, meaning that 25% of all of our sales are coming from products introduced in the last three years, and that's up pretty dramatically over the last several years.

然後是創新。消費者仍在尋求創新。他們仍在尋找獨特的優勢。因此，我們正在加倍努力。事實上，如果你看看我們的活力指數，你會發現它的比率是 25%，這意味著我們所有銷售額的 25% 來自過去三年推出的產品，而且這一數字在過去幾年中增長相當顯著。

So we'll continue to play our game. We think for the long term, all the fundamentals are looking quite bright in terms of the housing stock, the age of the housing stock.

因此我們會繼續進行我們的遊戲。我們認為，從長期來看，無論是房屋存量還是房屋存量的年限，所有基本面看起來都相當光明。

Interest rates, we think when they start hitting a bit lower, will really unlock some things as well. So I think that we will see some choppiness over the near term here. We're going to keep playing our game and keep serving our consumers and then be really well set up for when the market gets back to historical growth rates, whenever that might be.

我們認為，當利率開始稍微下降時，確實也會釋放出一些潛力。因此我認為短期內我們會看到一些波動。我們將繼續我們的遊戲，繼續服務我們的消費者，然後為市場恢復歷史成長率做好準備，無論何時發生。

Okay. That's helpful color. And turning to the cost side. Aside from the tariffs, can you talk about where you are in terms of the lean initiatives and the cost saving efforts that you've been focused on in the last couple of years and how you're thinking about where the most opportunity lies to see further improvement?

好的。這是很有幫助的顏色。再來看看成本方面。除了關稅之外，您能否談談過去幾年來您在精益計劃和成本節約方面的進展情況，以及您認為哪些方面最有可能實現進一步的改進？

Sure, Sue. It's Rick. So as you've heard us talk about in the past and you're pretty well familiar with, we really leverage our Masco Operating System, and that has allowed us to drive efficiencies, productivities and, ultimately, cost reductions really through our enterprise.

當然，蘇。是瑞克。正如您過去聽到我們談論的並且您非常熟悉的那樣，我們真正利用了我們的 Masco 作業系統，這使我們能夠透過我們的企業提高效率、生產力，並最終降低成本。

And it's been a really important driver and contributor to our margin expansion over the last couple of years even despite a challenging environment. And we're continuing to leverage the Masco Operating System. So there's really no change in terms of our approach in terms of really continuous improvement in cost reduction.

儘管面臨嚴峻的市場環境，但過去幾年來，它一直是我們利潤率擴張的重要驅動力和貢獻者。我們將繼續利用 Masco 作業系統。因此，就真正持續改善降低成本而言，我們的方法實際上並沒有改變。

We're seeing that really from a supply chain, logistics, manufacturing efficiencies, productivity, et cetera, and we're going to continue to do that. I think in the near term, what you'll see more of, and it did grow itself a bit in Q2, is with regards to just given the current climate we're faced with regards to tariffs and commodity inflation. We're taking a little bit more significant actions with regards to things such as hiring, travel, discretionary spend.

我們確實從供應鏈、物流、製造效率、生產力等方面看到了這一點，我們將繼續這樣做。我認為在短期內，你會看到更多，而且它在第二季度確實有所增長，這是因為我們目前面臨的關稅和商品通膨環境。我們在招募、旅行、可自由支配的開支等方面採取了更重大的行動。

But important to note that we're really protecting investments in our key growth areas to make sure that we're really well positioned to continue to outperform the market as well as to leverage the growth opportunities when the R&R market does return to growth here in the foreseeable future.

但值得注意的是，我們確實在保護我們在關鍵成長領域的投資，以確保我們真正處於有利地位，能夠繼續超越市場，並在可預見的未來 R&R 市場恢復成長時利用成長機會。

Okay. Thank you.

好的。謝謝。

Both and good luck with.

祝你們好運。

The quarter.

本季。

Great, thanks Susan.

太好了，謝謝蘇珊。

Phil Ng with Jefferies.

傑富瑞 (Jefferies) 的 Phil Ng。

Hey, good morning. It's Maggie on for Phil. I wanted to go back to some of your commentary around pricing. Obviously, it's been a really dynamic backdrop with tariffs and some of your price increases were announced when tariffs were at a much higher rate. So just how are you thinking about adjusting those increases in response to changing tariff policy versus holding on to the initial headline increase? Are you getting more pushback as tariffs get negotiated down? And then how the future tariff policy implications may play into that pricing strategy.

嘿，早安。瑪姬代替菲爾上場。我想回顧一下您關於定價的一些評論。顯然，關稅的背景確實非常動態，你們的一些價格上漲是在關稅稅率高得多的時候宣布的。那麼，您是如何考慮根據關稅政策的變化來調整這些增幅，而不是維持最初的整體增幅？隨著關稅談判的進行，你們是否面臨更多阻力？那麼未來的關稅政策將如何影響定價策略。

Hi Maggie, it's Jon. I guess maybe I'd start by saying just reminder that pricing is just one of the mitigation levers that we're pulling, and it really starts with the footprint moves that we've been taking for quite some time, really looking at costs both within our walls as well as negotiating with suppliers to make sure that we're getting the best cost that we can. And then finally, disciplined pricing, and really that's the last lever that we pull.

嗨，瑪吉，我是喬恩。我想也許我首先要提醒的是，定價只是我們正在採取的緩解措施之一，它實際上始於我們已經採取了相當長一段時間的足跡舉措，真正考慮我們內部的成本以及與供應商的談判，以確保我們獲得盡可能好的成本。最後，嚴格的定價，這實際上是我們採取的最後一個手段。

As you mentioned, we did take some pricing earlier this year, and I can tell you, we're not going to get into channel specifics or customer specifics, but generally we've been able to handle that pricing with our customers. It's a dynamic environment, as you mentioned. We'll continue to be cognizant of what's happening in the world around us. We want to make sure that we are protecting our margins but, at the same time, that we're continuing to hold and grow share. And I think that's the balancing act.

正如您所提到的，我們在今年早些時候確實進行了一些定價，我可以告訴您，我們不會涉及渠道細節或客戶細節，但通常我們能夠與客戶商定定價。正如您所說，這是一個動態的環境。我們將繼續關注周圍世界正在發生的事情。我們希望確保保護我們的利潤率，但同時繼續保持和增加市場份額。我認為這就是平衡行為。

But at this point, I feel really good about the disciplined fashion in which we've taken pricing. I think our teams are thinking about it the right way. They've got a lot of experience over the years in doing this. And again, I think we'll continue to monitor the environment to stay agile and continue to pull all of those levers as needed as we move forward.

但目前，我對我們制定定價的規範方式感到非常滿意。我認為我們的團隊正在以正確的方式思考這個問題。多年來，他們在這方面累積了豐富的經驗。而且，我認為我們將繼續監控環境以保持敏捷，並在前進的過程中根據需要繼續利用所有這些槓桿。

All right, thanks so much for the color. I'll turn it over.

好的，非常感謝你提供的顏色。我把它翻過來。

Mike Dahl with RBC.

加拿大皇家銀行的 Mike Dahl。

Hi thanks for taking my questions. Maybe just one last cleanup on tariffs. When you talked about largely offsetting the $140 million of in-year costs, is that dollar for dollar? Or does that include offsetting the $140 million plus your normal margin?

你好，謝謝你回答我的問題。或許只是最後一次關稅清理。當您談到在很大程度上抵消 1.4 億美元的年度成本時，這是一美元對一美元嗎？或者這是否包括抵消 1.4 億美元加上您的正常利潤？

Yeah, Mike, it's Rick. So when we talk about largely offsetting, it's really on a nominal basis. So that's what we're endeavoring to do. Ultimately, we do focus on margins and we look to drive margin improvement over time. But as it pertains to our mitigation actions in 2025 in terms of currently enacted tariffs, we're talking on a dollar-for-dollar basis.

是的，麥克，我是瑞克。因此，當我們談論大量抵消時，這實際上是名義上的。這就是我們正在努力做的事情。最終，我們確實關注利潤率，並希望隨著時間的推移推動利潤率的提高。但就我們 2025 年根據目前實施的關稅採取的緩解行動而言，我們是按照一美元對一美元的原則進行談判的。

Okay, got it. Second question, just the comments about e-comm outperformance, Jon, I think you made it at the start of the Q&A or some of your comments. I think that's been something that's kind of inconsistent across the peers. And if we look at one of your large distributors, I think the e-comm results have been under some pressure for most of the last kind of 1.5 years or so.

好的，明白了。第二個問題，只是關於電子商務優異表現的評論，喬恩，我想你在問答開始時或在你的一些評論中已經提到了這一點。我認為這是同行之間不一致的事情。如果我們看一下你們的一家大型經銷商，我認為在過去一年半左右的時間裡，其電子商務業績一直承受著一定的壓力。

So I guess maybe just a question on what you think is driving the strength for you against what still seems to be kind of a choppier, broader backdrop there?

所以我想也許我只是想問一下，在目前看來仍然更加動盪、更加廣闊的背景下，您認為是什麼推動了您的力量？

Yeah, Mike, this is Jon. So again, week four, so I'm probably not as versed as I will be the next time we talk at the end of Q3. What I can tell you, like I mentioned, I spent quite a bit of time with our Delta team and they're our largest plumbing business, and I've been really, really impressed with their e-commerce capabilities and really the talent that they've built to drive our business there. So I think over time, Delta has been a leader in e-commerce and I think they continue to outpace the competition.

是的，麥克，這是喬恩。所以，再說一遍，第四週了，所以我可能不像下次我們在第三季末談話時那麼熟悉。我可以告訴你的是，就像我提到的那樣，我花了相當多的時間與我們的 Delta 團隊在一起，他們是我們最大的管道業務，我對他們的電子商務能力以及他們為推動我們在那裡的業務而培養的人才印象非常深刻。因此我認為，隨著時間的推移，達美航空已成為電子商務領域的領導者，我認為他們將繼續領先競爭對手。

So clearly e-commerce is going to continue to grow. It continues to evolve and change as well. I mean if you think about search for many years drove e-commerce. Now we've got AI coming in which requires different capabilities. But staying ahead of the curve here, I think, is going to be really important. I think the team has done a great job to date.

因此，電子商務顯然將繼續成長。它也在不斷發展和變化。我的意思是，如果你想想多年來搜尋推動了電子商務的發展。現在我們有了人工智慧，它需要不同的能力。但我認為，保持領先地位非常重要。我認為該團隊迄今為止表現非常出色。

And with my background, I'll be spending a lot of time to make sure that we continue to evolve and continue to lead the e-commerce space.

憑藉我的背景，我將花費大量時間來確保我們繼續發展並繼續引領電子商務領域。

Okay, great.

好的，太好了。

Thank you.

謝謝。

Rafe Jadrosich with Bank of America.

美國銀行的 Rafe Jadrosich。

Hi, good morning. Thanks for taking my question. Mar On the $70 million of non-China exposure or impact from tariffs, can you just give some more color on like what the exposure there is by country? I understand that we still don't know how those tariffs are going to shake out, but could you just give a little bit more color on what is actually included in that?

嗨，早安。感謝您回答我的問題。3 月關於 7000 萬美元的非中國風險敞口或關稅影響，您能否詳細說明一下各國的風險敞口？我知道我們仍然不知道這些關稅將如何實施，但您能否詳細說明其中具體包含哪些內容？

Morning Rafe, it's Rick. So the only exposure dimensionality that we're really providing at this point in time is our exposure to China, the $450 million that we've mentioned previously. We're not providing our exposure by country. Obviously it's a very dynamic environment, not only in terms of the tariff rates but also our sourcing footprint, which is changing over time, as we've talked about before, as we build a more diversified and resilient sourcing footprint.

早安，Rafe，我是 Rick。因此，我們目前真正提供的唯一風險敞口維度是我們對中國的風險敞口，也就是我們之前提到的 4.5 億美元。我們沒有提供按國家劃分的曝光率。顯然，這是一個非常動態的環境，不僅在關稅稅率方面，而且我們的採購足跡也在隨著時間而變化，正如我們之前談到的，隨著我們建立更加多樣化和有彈性的採購足跡。

So the approach that we've taken is to be very transparent and clear as it pertains to the impact on tariffs. And so that's what we've done here, is provide that $70 million as part of the overall $210 million annualized impact with regards to the impact -- with regards to not only reciprocal tariffs but steel and aluminum. So at this point, we're not going to provide incremental exposure detail, but we will continue to provide the impacts, not only on this call but going forward if and as things change.

因此，我們採取的方法是，就關稅的影響而言，非常透明且清晰。這就是我們在這裡所做的，提供 7000 萬美元作為整體 2.1 億美元年度影響的一部分，不僅涉及互惠關稅，還涉及鋼鐵和鋁。因此，目前我們不會提供增量曝光細節，但我們將繼續提供影響，不僅在本次電話會議上，而且在情況發生變化時也將持續提供影響。

Okay. Understood. And then if I look at the plumbing organic growth, I think it's the strongest quarter you've put on since 2022. And I understand there's some pull forward there, it doesn't seem like it's the majority of it and you're expecting some slowdown of that in the second half. But what did you see in terms of what you saw in terms of sell-through in the second quarter?

好的。明白了。然後，如果我看一下管道有機成長，我認為這是自 2022 年以來最強勁的季度。我知道那裡有一些拉動，但似乎不是大部分，而且你預計下半年會放緩。但是就第二季的銷售情況而言，您看到了什麼？

And like what drove the improvement? Because even with the pull forward, it does seem like there has been an uptick here. Is there anything specific to call out? And then your trend versus the industry in the second quarter.

那麼是什麼推動了這種改進呢？因為即使向前拉，這裡似乎也確實出現了上升趨勢。有什麼特別需要注意的嗎？然後是第二季度您的趨勢與行業相比的情況。

Sure, Rafe. So with regards -- we're not going to speak to specific trends. We are very pleased with the performance of our plumbing business, particularly here in North America. As you mentioned or as we mentioned, we did have some pull-forward effect, but the underlying business was very strong and it was both from a volume and price perspective. And so in terms of underlying demand, we continue to monitor the situation closely.

當然，雷夫。因此，就此而言——我們不會談論具體的趨勢。我們對我們的管道業務的表現非常滿意，特別是在北美。正如您所提到的或我們所提到的，我們確實有一些拉動效應，但基礎業務非常強勁，無論是從數量還是價格的角度來看。因此，就潛在需求而言，我們將繼續密切關注情況。

The macroeconomic environment continues to be volatile and we track it. And as we've articulated, we do expect overall R&R both here in North America as well as globally to be down low single digits. And we do expect to outperform the market. So I think from an overall performance perspective, we're performing very strongly across all our channels, but particularly the e-commerce and trade channels have been particularly strong for us, and we're continuing to make investments in those channels to continue to outperform the market and position ourselves for success over the middle and long term.

宏觀經濟環境持續波動，我們對此進行追蹤。正如我們所表達的，我們確實預計北美和全球的整體 R&R 將下降個位數。我們確實期望表現優於市場。因此，我認為從整體業績角度來看，我們在所有管道的表現都非常強勁，但電子商務和貿易管道對我們來說尤其強勁，我們將繼續對這些管道進行投資，以繼續超越市場，並為中長期成功做好準備。

Great, thank you.

太好了，謝謝。

Thanks.

謝謝。

That concludes the Q&A portion of today's call. I would now like to turn it back over to Robin Zondervan.

今天電話會議的問答部分到此結束。現在我想把發言權交還給 Robin Zondervan。

We'd like to thank all of you for joining us this morning and for your interest in Masco. That concludes today's call. Have a wonderful day.

我們感謝大家今天早上的參與以及對 Masco 的關注。今天的電話會議到此結束。祝您有美好的一天。

Ladies and gentlemen, this concludes today's conference call. Thank you so much for your participation. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。非常感謝您的參與。您現在可以斷開連線。