Masco Corporation (NYSE: MAS) shares plummeted 11.85% during pre-market trading on Wednesday, following the release of its second-quarter financial results. The sharp decline occurred as a significant revenue miss outweighed a stronger-than-expected profit performance, triggering a sell-off among investors.

The building products manufacturer reported adjusted earnings per share of $1.64, beating the analyst consensus estimate of $1.32 by a wide margin. However, the company’s quarterly sales of $1.992 billion fell short of the $2.081 billion estimate, representing a 2.9% decline year-over-year. The revenue shortfall was attributed to softer consumer spending on discretionary renovation projects amid macroeconomic uncertainty, with its plumbing products segment sales falling 3%.

Despite raising its full-year adjusted earnings per share outlook to a range of $4.40 to $4.60, driven by an anticipated $85 million net benefit from IEEPA tariff refunds, the top-line disappointment dominated market sentiment. The results highlighted ongoing challenges in the home improvement sector, where homeowners are deferring major remodeling plans due to higher living and borrowing costs.