Financial StabilityMAS has driven margins structurally higher, guiding to 17-17.5% this year in a challenging demand backdrop vs. ~15-16% range pre-pandemic.
Operational PerformancePlumbing margin expansion was the highlight, aided by International volume growth and cost saving initiatives.
Strategic DivestitureThe sale of Kichler lighting business is viewed as a modest positive, as Decorative Architectural margins should improve, while dilution appears manageable and MAS focuses on key plumbing and paint franchises.