Revenue during the quarter grew 6.28 percent to $1,301.60 million from $1,224.70 million in the previous year period. Gross margin for the quarter expanded 212 basis points over the previous year period to 36.42 percent. Total expenses were 87.22 percent of quarterly revenues, down from 88.54 percent for the same period last year. This has led to an improvement of 133 basis points in operating margin to 12.78 percent.

Operating income for the quarter was $166.40 million, compared with $140.30 million in the previous year period.

However, the adjusted operating income for the quarter stood at $172.80 million compared to $147 million in the prior year period. At the same time, adjusted operating margin improved 127 basis points in the quarter to 13.28 percent from 12 percent in the last year period.

"In the fourth quarter overall sales growth accelerated, led by plumbing, and our teams again delivered strong operating margin growth across all segments," said Chris Klein, chief executive officer, Fortune Brands. "For the full year 2016, our teams executed well against our strategy for profitable growth and we achieved strong results that met our expectations that increased throughout the year. With this consistently solid execution, we are well-positioned for continued strong performance in 2017 as the housing market continues on its elongated recovery."

For financial year 2017, Fortune Brands Home & Security, Inc. projects revenue to grow in the range of 6 percent to 8 percent. It forecasts diluted earnings per share to be in the range of $2.95 to $3.05 for the same period.

The company has spent $385.10 million cash to meet investing activities during the year as against cash outgo of $766.60 million in the last year.

The company has spent $250.40 million cash to carry out financing activities during the year as against cash inflow of $398.80 million in the last year period.

Cash and cash equivalents stood at $251.50 million as on Dec. 31, 2016, up 5.45 percent or $13 million from $238.50 million on Dec. 31, 2015.

Debt moves up
Fortune Brands Home & Security, Inc. has witnessed an increase in total debt over the last one year. It stood at $1,431.10 million as on Dec. 31, 2016, up 22.37 percent or $261.60 million from $1,169.50 million on Dec. 31, 2015. Total debt was 27.92 percent of total assets as on Dec. 31, 2016, compared with 23.97 percent on Dec. 31, 2015. Debt to equity ratio was at 0.61 as on Dec. 31, 2016, up from 0.48 as on Dec. 31, 2015. Interest coverage ratio improved to 14.34 for the quarter from 12.31 for the same period last year.