Reliance Worldwide has downgraded its full-year earnings guidance after the lack of a winter freeze in the southern US meant there were fewer burst pipes requiring replacement by the plumbing supply company's parts.
Reliance Worldwide expects earnings before interest, tax, depreciation and amortisation of between $260 million and $270 million, compared to the $280 million to $290 million is expected based on the assumption of what it calls a "modest freeze event".
The ASX-listed firm says some stockists are also reducing inventory, resulting in what it anticipates to be a one-off fall in sales.
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