Plumbing and bathroom products supplier Reece has reported an 18 per cent decline in earnings before interest and tax for the September quarter, falling to $129 million. The company noted persistent cost pressures amid a softening housing market in a trading update issued before its annual general meeting. Reece is an Australian plumbing and bathroom supplies business that distributes products through its own branch network and online. The company also has a significant presence in the United States.
Chairman and chief executive Peter Wilson pinpointed escalating labour expenses as a key challenge impacting their United States operations. Overall, for the three months ending on September 30, 2025, Reece’s EBITDA decreased by 8 per cent to $222 million, compared to the same period last year. Wilson acknowledged the challenging start to the year, attributing it to sluggish housing markets.
Wilson anticipates continued subdued activity in both the US and Australian markets. Reece’s performance has been under pressure, with its shares experiencing a substantial decline of over 50 per cent in the past year.
The company’s $1.9 billion acquisition of Morsco in the US back in 2018 continues to weigh heavily on the group’s overall financial performance.
