Feb 11 (Reuters) - Masco MAS.N missed Wall Street estimates for fourth-quarter sales on Tuesday and signaled "challenging demand" for repair and renovation projects in the year ahead.

WHY IT'S IMPORTANT

Masco has witnessed sluggish demand this year as interest rates remained high, deterring spending from cautious customers on home renovation activities.

In an attempt to counter weak demand, the company has undertaken cost-saving measures such as supply chain improvements as well as price increases. Still, margins were flat during the quarter.

CONTEXT

The company said it expects flat to a low-single-digit decline in the global repair and remodel market.

Net sales in the company's plumbing segment decreased 1%, while they fell 6% in its decorative architectural products' segment.

BY THE NUMBERS

The Livonia, Michigan-based firm expects full-year earnings per share in the range of $4.20 to $4.45 per share, including the impact of U.S. tariffs on China. Analysts on average were expecting a profit of $4.40 per share, according to data compiled by LSEG.

The company expects annual sales to be flat to up low-single digits, compared to a 2% decline in 2024

Sales fell 3% to $1.83 billion in the quarter ended December 31 from a year ago. Analysts had expected $1.84 billion.

Gross margin was flat at 34.7% on a reported basis.

It earned 89 cents per share on an adjusted basis, beating expectations of 87 cents.

Net sales in the company's plumbing segment fell to $1.19 billion from $1.20 billion last year, while its decorative architectural products' segment sales dropped to $639 million from $677 million.

(Reporting by Aamir Sohail in Bengaluru; Editing by Maju Samuel)

((Aamir.Sohail@thomsonreuters.com;))