NYSE$MWA

Mueller Water Products Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported increased net sales and net income for the second quarter of 2022.

Mueller Water Products reported a 16.1% increase in net sales to $310.5 million for Q2 2022, with net income increasing by 12.9% to $23.6 million. The company's performance was driven by higher pricing and increased volumes, though margins were impacted by supply chain disruptions and inflationary pressures.

  • Net sales increased by 16.1 percent compared to the prior year quarter.
  • Net income increased by 12.9 percent compared to the prior year quarter.
  • Operating income increased to $34.2 million.
  • The company is raising its expectations for annual net sales growth.

Headline financials

Total Revenue

$311M

Previous: $268M+16.1%
EPS (adj)

$0.15

Previous: $0.14+7.1%
Free Cash Flow

$23.6M

Previous: $20.9M+12.9%
Net Income

$23.6M

Previous: $20.9M+12.9%
Operating Income

$34.2M

Previous: $33.4M+2.4%
Gross Profit

$92.8M

Previous: $88.4M+5.0%
Cash & Equivalents

$228M

Previous: $228M+0.0%
Total Assets

$1.51B

Previous: $1.44B+5.3%
Stock-Based Comp

$2.4M

Previous: $1.7M+41.2%

Revenue & EPS history

Mueller · Revenue · Quarterly

$311M

Q2 2022+16.1%vs Q2 2021
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Mueller · $311M total across 2 segments · Q2 2022

  • Water Flow Solutions
    $184M
  • Water Management Solutions
    $127M

Forward guidance

Mueller Water Products anticipates that consolidated net sales for the full-year fiscal 2022 will increase between 10 and 12 percent as compared with the prior year. The Company expects adjusted EBITDA to increase between 7 and 10 percent as compared with the prior year and to generate positive free cash flow for the full year.

Tailwinds

  • Consolidated net sales for the full-year fiscal 2022 will increase between 10 and 12 percent as compared with the prior year.
  • Adjusted EBITDA to increase between 7 and 10 percent as compared with the prior year
  • Generate positive free cash flow for the full year.
  • Expect higher price realization will help offset the elevated manufacturing costs
  • Expect to sequentially improve margins in the second half of the year.

Headwinds

  • Challenges associated with the supply chain disruptions will continue in the second half of fiscal 2022.
  • Higher inflation will continue in the second half of fiscal 2022.
  • Manufacturing performance will continue to be a challenge in the second half of fiscal 2022.
  • Conversion margins were below expectations
  • Experienced unfavorable manufacturing performance at foundries

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

+1.7%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+0.8%

Avg return

30 days after

63%

41 / 65 earnings

Positive

+16.7%

Q1 2025

Best reaction

-12.8%

Q1 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+1.8%-6.4%-8.1%
Q1 2026+1.5%+7.0%+1.5%
Q4 2025-4.4%-5.9%-1.8%
Q2 2025-6.3%-9.4%-9.9%
Q1 2025+16.7%+16.6%+8.5%
Q4 2024+6.2%+14.5%+11.5%
Q3 2024+2.2%+1.1%+2.8%
Q2 2024+11.0%+18.7%+9.5%
Q1 2024+10.8%+10.4%+14.5%
Q4 2023+7.4%+3.5%+0.9%
Q3 2023-10.8%-13.3%-11.0%
Q2 2023-6.4%-9.2%+3.5%
Q1 2023+7.5%+6.8%+8.2%
Q4 2022-1.7%-2.6%-0.3%
Q3 2022-9.3%-10.4%-15.6%
Q2 2022-3.0%+0.1%-0.2%
Q1 2022+0.4%+4.2%-2.3%
Q4 2021-8.5%-13.0%-15.3%
Q3 2021+2.7%+1.1%+7.4%
Q2 2021+1.9%+3.6%+0.5%
Q1 2021+2.4%+6.1%+8.6%
Q4 2020+7.7%+7.3%+13.4%
Q3 2020+6.9%+8.8%+5.0%
Q2 2020-4.6%-4.5%+3.7%
Q1 2020+3.5%+1.2%-4.6%
Q4 2019-5.1%-7.4%-2.1%
Q3 2019+3.8%+0.4%+2.0%
Q2 2019-12.8%-15.2%-12.0%
Q1 2019+6.5%+3.6%+3.9%
Q4 2018+7.3%+6.2%-4.4%
Q3 2018-5.4%-5.7%-7.5%
Q2 2018+15.4%+20.7%+23.7%
Q1 2018-2.4%-4.6%-5.5%
Q4 2017+3.7%+2.3%+3.4%
Q3 2017+6.7%+4.6%+5.0%
Q2 2017-11.9%-12.2%-12.6%
Q1 2017+0.3%-6.6%-9.2%
Q4 2016-11.8%-9.0%+9.9%
Q3 2016+4.9%+7.9%+7.7%
Q2 2016+6.1%
Q1 2016+5.9%
Q4 2015-2.1%
Q3 2015+5.8%
Q2 2015-5.5%
Q1 2015-12.8%
Q4 2014+9.7%
Q3 2014+14.8%
Q2 2014-3.0%
Q1 2014+10.0%
Q4 2013+4.4%
Q3 2013+6.2%
Q2 2013+11.4%
Q1 2013-1.3%
Q4 2012+9.7%
Q3 2012+3.1%
Q2 2012+3.1%
Q1 2012-1.4%
Q4 2009+10.3%
Q3 2010+2.9%
Q3 2011+2.9%
Q2 2011+1.7%
Q2 2010+1.7%
Q1 2011-1.5%
Q1 2010-1.5%
Q4 2010-1.5%

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