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

Revenue by segment

Mueller Industries · $1.45B total across 3 segments · Q2 2026

  • Piping Systems
    $947M—
  • Industrial Metals
    $355M—
  • Climate
    $145M—

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 19 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
Q2 2026———
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 2010+0.3%——
Q1 2011+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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