NYSE$MLI

Mueller Industries Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Mueller Industries' financial performance improved significantly, marked by substantial growth in operating and net income, driven by strong sales and effective cost management.

Mueller Industries reported a strong second quarter with significant increases in net sales, operating income, and net income compared to the prior year. The company's value-added businesses drove growth, and despite some volume declines in the Industrial Metals segment, overall performance remained robust. Management is optimistic about long-term growth, citing healthy backlogs and strategic reinvestment.

  • Operating income increased to $268.9 million from $157.8 million year-over-year.
  • Net income rose to $206.6 million compared to $108.8 million in the prior year quarter.
  • Earnings per share (EPS) increased to $3.65 from $1.92 year-over-year.
  • Net sales increased by 13.6% to $1.15 billion, driven by value-added businesses and higher selling prices.

Headline financials

Total Revenue

$1.15B

Previous: $1.01B+13.6%
EPS (adj)

$1.83

Previous: $0.96+90.6%
Free Cash Flow

$207M

Previous: $109M+89.8%
Net Income

$207M

Previous: $109M+89.8%
Operating Income

$269M

Previous: $158M+70.4%
Gross Profit

-$821M

Previous: $213M-485.6%
Cash & Equivalents

$203M

Previous: $111M+83.0%
Total Assets

$2.05B

Previous: $1.79B+14.4%
Stock-Based Comp

$2.6M

Previous: $2.71M-4.1%

Revenue & EPS history

Mueller Industries · Revenue · Quarterly

$1.15B

Q2 2022+13.6%vs Q2 2021
Beat estimate in 4 of 9 quarters(44%)
ActualEstimate

Forward guidance

Mueller Industries anticipates some tempering in the building construction market segment but expects underlying demand to remain healthy. The company prioritizes reinvestment in its businesses and is well-positioned for strategic acquisitions.

Tailwinds

  • Businesses remain at capacity with healthy backlogs.
  • Strong cash generation and zero net debt.
  • Committed, untapped credit facility available.
  • Prioritizing reinvestment in businesses to be the lowest cost producer.
  • Well-equipped to take advantage of strategic acquisition opportunities.

Headwinds

  • Rising interest rates may create short term challenges.
  • Inflationary pressures may create short term challenges.
  • Continued geopolitical disruptions may create short term challenges.
  • Anticipate some tempering in the primary market segment, building construction.
  • Economic softening outside of the U.S. may impact international tube sales.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

+2.2%

Avg return

Earnings day

+3.6%

Avg return

5 days after

+6.1%

Avg return

30 days after

71%

49 / 69 earnings

Positive

+15.8%

Q2 2022

Best reaction

-12.5%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+11.3%+12.5%+10.4%
Q4 2025-11.2%-15.3%-16.0%
Q3 2025+4.1%+2.7%+4.2%
Q2 2025+3.1%+1.8%+9.9%
Q1 2025+2.6%+0.4%+6.0%
Q4 2024-2.2%+2.9%+1.9%
Q3 2024+12.4%+13.6%+27.2%
Q2 2024+2.0%+9.0%+7.4%
Q1 2024+8.3%+7.1%+8.8%
Q4 2023+1.5%+2.7%+7.4%
Q3 2023+6.4%+7.8%+16.4%
Q2 2023-10.9%-11.4%-17.2%
Q1 2023+1.5%+3.7%+10.1%
Q4 2022+6.9%+4.6%+7.4%
Q3 2022+3.5%+3.2%+12.8%
Q2 2022+15.8%+14.5%+28.1%
Q1 2022+13.7%+9.3%+0.7%
Q4 2021+6.0%+6.8%+11.5%
Q3 2021+7.9%+13.0%+39.1%
Q2 2021+10.3%+9.5%+12.3%
Q1 2021+0.8%+1.5%+3.0%
Q4 2020+1.0%+4.9%+14.2%
Q3 2020+2.2%+4.2%+12.5%
Q2 2020+5.3%+4.2%+12.5%
Q1 2020+1.4%-0.3%+4.4%
Q4 2019+14.0%+11.4%-7.3%
Q3 2019+5.1%+5.6%+5.0%
Q2 2019+9.4%+11.6%-4.6%
Q1 2019-7.6%-5.6%-11.9%
Q4 2018+15.2%+17.0%+19.4%
Q3 2018-4.7%-2.5%-5.6%
Q2 2018+10.0%+9.5%+12.9%
Q1 2018+0.1%+0.8%+9.1%
Q4 2017-12.5%-14.7%-13.3%
Q3 2017+0.8%-1.4%+2.5%
Q2 2017+2.0%+2.9%-4.1%
Q1 2017-4.2%-6.2%-16.4%
Q4 2016+4.3%+7.3%-3.3%
Q3 2016-3.4%-4.6%+22.3%
Q2 2016+1.4%+0.6%+2.9%
Q1 2016+2.7%
Q4 2015+0.0%
Q3 2015+1.8%
Q2 2015-4.1%
Q1 2015-2.7%
Q4 2014+6.0%
Q3 2014+5.9%
Q2 2014+3.6%
Q1 2014-3.9%
Q4 2013-2.7%
Q3 2013-0.4%
Q2 2013+3.6%
Q1 2013+1.5%
Q4 2012+2.1%
Q3 2012-5.4%
Q2 2012-0.6%
Q1 2012+2.7%
Q4 2011-0.9%
Q3 2011+9.1%
Q2 2011-2.7%
Q1 2011+0.3%
Q1 2010+0.3%
Q2 2010+0.3%
Q4 2010-2.4%
Q4 2008-2.4%
Q3 2010+1.2%
Q3 2009+1.2%
Q2 2009+2.8%
Q4 2009+2.8%

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