Mueller Water Products Reports 2026 Third Quarter Results
Rhea-AI Summary
Mueller Water Products (NYSE: MWA) reported fiscal 2026 third quarter net sales up 4.1% to $395.9 million, driven mainly by higher pricing. Operating income rose 9.4% to $80.6 million, while adjusted operating income increased 27.0% to $94.9 million, lifting adjusted operating margin 440 basis points to 24.0%.
Net income grew 28.2% to $67.3 million, with net income per diluted share of $0.43; adjusted net income increased 48.1% to $78.8 million, or $0.50 per diluted share. Adjusted EBITDA rose 24.3% to $107.4 million, with margin expanding to 27.1%.
For the first nine months, operating cash flow reached $154.2 million and free cash flow $110.6 million. The company ended the quarter with $495.3 million in cash and $452.9 million in total debt. Mueller raised its fiscal 2026 adjusted EBITDA guidance to $367–$372 million and narrowed net sales guidance to $1,470–$1,480 million, implying 2.8%–3.5% growth.
Positive
- Net sales +4.1% to $395.9 million in Q3 2026
- Adjusted EBITDA +24.3% to $107.4 million; margin up 440 bps to 27.1%
- Adjusted EPS +47.1% to $0.50 in Q3 2026
- Adjusted operating income +27.0% to $94.9 million; margin 24.0%
- Free cash flow for nine months up to $110.6 million
- Raised 2026 adjusted EBITDA guidance to $367–$372 million, +12.5%–14.0% YoY
Negative
- Water Flow Solutions sales -0.6% to $215.3 million in Q3
- Strategic reorganization and other charges of $11.2 million in the quarter
- Higher capital expenditures $43.6 million vs. $32.8 million in prior-year period
- Gross margin headwinds from inflation, performance, volume and mix despite pricing benefits
News Explained
Cash went to a common-stock repurchase, while restructuring charges make reported and adjusted earnings differ.
Mueller Water Products reported fiscal 2026 third-quarter results for the quarter ended
The repurchase is described as an action completed during the quarter, not merely an authorization or future plan.
Reported third-quarter earnings include
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jul 27 | Earnings date announcement | Neutral | +3.0% | Announced third-quarter results release and conference call dates. |
| May 05 | Conference participation | Neutral | -1.5% | Announced participation in the Oppenheimer Industrial Growth Conference. |
| May 05 | Second-quarter earnings | Positive | -1.5% | Reported second-quarter growth and raised adjusted EBITDA guidance. |
| Apr 29 | Quarterly dividend | Positive | +0.7% | Declared a quarterly dividend of $0.070 per share. |
| Apr 22 | Earnings date announcement | Neutral | +1.1% | Announced second-quarter results release and conference call dates. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
MWA previously rose on earnings-date and dividend notices but declined 1.49% after the prior-quarter earnings release.
Key Terms
adjusted ebitda financial
free cash flow financial
non-gaap measures financial
abl agreement financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Increased Net Sales
Reported Net Income per Diluted Share of
Achieved Adjusted Net Income per Diluted Share of
Raises Annual Guidance for Fiscal 2026 Adjusted EBITDA
ATLANTA, Aug. 05, 2026 (GLOBE NEWSWIRE) -- Mueller Water Products, Inc. (NYSE: MWA), a leading manufacturer and marketer of products and solutions used in the transmission, distribution and measurement of water in North America, announced financial results for its fiscal 2026 third quarter ended June 30, 2026.
In the third quarter of 2026, the Company:
- Increased net sales
4.1% to$395.9 million as compared with$380.3 million in the prior year quarter - Reported operating income of
$80.6 million as compared with$73.7 million in the prior year quarter, and increased adjusted operating income27.0% to$94.9 million as compared with$74.7 million in the prior year quarter - Reported operating margin of
20.4% as compared with19.4% in the prior year quarter, and expanded adjusted operating margin to24.0% as compared with19.6% in the prior year quarter - Reported net income of
$67.3 million as compared with$52.5 million in the prior year quarter, with net income margin of17.0% as compared with13.8% in the prior year quarter, and increased adjusted net income48.1% to$78.8 million as compared with$53.2 million in the prior year quarter - Reported net income per diluted share of
$0.43 as compared with$0.33 in the prior year quarter, and increased adjusted net income per diluted share47.1% to$0.50 as compared with$0.34 in the prior year quarter - Increased adjusted EBITDA
24.3% to$107.4 million as compared with$86.4 million in the prior year quarter, and expanded adjusted EBITDA margin to27.1% as compared with22.7% in the prior year quarter - Reported net cash provided by operating activities for the nine-month period of
$154.2 million as compared with$135.8 million in the prior year period - Generated free cash flow for the nine-month period of
$110.6 million as compared with$103.0 million in the prior year period - Repurchased
$10.0 million of common stock during the third quarter
“Our outstanding third quarter results reflect strong execution across the business and continued progress against our operating priorities, despite a dynamic operating environment. We delivered quarterly records for net sales, adjusted EBITDA and adjusted net income per diluted share, while expanding our adjusted EBITDA margin 440 basis points year-over-year. These results demonstrate the strength of our brands and product portfolio, as well as the benefits from our continued focus on operational excellence, productivity and disciplined cost management. I am proud of what our teams have accomplished and their continued commitment to serving our customers,” said Paul McAndrew, President and Chief Executive Officer of Mueller Water Products.
“With our increased fiscal 2026 adjusted EBITDA guidance, we remain on track to deliver another year of meaningful margin expansion. While we continue to navigate slower new residential construction activity and broader external uncertainty, we remain focused on executing our strategies, investing in growth and proactively managing costs. We believe the disciplined execution embedded in the Mueller Operating System positions us well to build on this momentum and create long-term value for our customers and shareholders,” Mr. McAndrew concluded.
Consolidated Results
Net sales for the third quarter increased
Gross profit for the third quarter increased
Selling, general and administrative expenses for the third quarter decreased
Operating income for the third quarter increased
During the quarter, the Company incurred
Adjusted operating income increased
Net income increased
Adjusted EBITDA of
Segment Results
Water Flow Solutions
Net sales for the 2026 third quarter decreased
Operating income and adjusted operating income were both
Adjusted EBITDA of
Water Management Solutions
Net sales for the 2026 third quarter increased
Operating income was
Adjusted EBITDA of
Interest Expense, Net
Interest expense, net, for the 2026 third quarter decreased to
Income Taxes
For the 2026 third quarter, income tax expense was
Cash Flow and Balance Sheet
Net cash provided by operating activities for the nine-month period ended June 30, 2026, increased
Through the first nine months of 2026, the Company invested
Free cash flow (defined as net cash provided by operating activities less capital expenditures) for the nine-month period increased
As of June 30, 2026, the Company had
Fiscal 2026 Outlook
The Company is narrowing its guidance for fiscal 2026 consolidated net sales to between
The Company’s expectations for certain additional financial metrics for fiscal 2026 are as follows:
- Total SG&A expenses between
$241 million and$245 million - Net interest expense between
$4 million and$5 million - Effective income tax rate between
21% and23% - Depreciation and amortization between
$49 million and$50 million - Capital expenditures between
$60 million and$65 million - Pension expense other than service of approximately
$0.1 million
Conference Call Webcast
Mueller Water Products’ quarterly earnings conference call will take place on Thursday, August 6, 2026, at 11:00 a.m. ET. Members of Mueller Water Products’ leadership team will discuss the Company’s recent financial performance and respond to questions from financial analysts. A live webcast of the call will be available on the Investor Relations section of the Company’s website. Please go to the website (www.muellerwaterproducts.com) at least 15 minutes prior to the start of the call to register, download and install any necessary software. A replay of the call will be available for 30 days and can be accessed by dialing 1-866-386-1299. An archive of the webcast will also be available for at least 90 days on the Investor Relations section of the Company’s website.
Use of Non-GAAP Measures
In an effort to provide investors with additional information regarding the Company’s results as determined by accounting principles generally accepted in the United States (“GAAP”), the Company also provides non-GAAP information that management believes is useful to investors. These non-GAAP measures have limitations as analytical tools, and securities analysts, investors and other interested parties should not consider any of these non-GAAP measures in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. These non-GAAP measures may not be comparable to similarly titled measures used by other companies.
Adjusted net income, adjusted net income per diluted share, adjusted operating income, adjusted operating margin, adjusted EBITDA and adjusted EBITDA margin are non-GAAP measures that the Company presents as performance measures because management uses these measures to evaluate the Company’s underlying performance on a consistent basis across periods and to make decisions about operational strategies. Management also believes these measures are frequently used by securities analysts, investors and other interested parties in the evaluation of the Company’s recurring performance.
Free cash flow is a non-GAAP liquidity measure used to assist management and investors in analyzing the Company’s ability to generate liquidity from its operating activities.
The calculations of these non-GAAP measures and reconciliations to GAAP results are included as an attachment to this press release, which has been posted online at www.muellerwaterproducts.com. The Company does not reconcile forward-looking non-GAAP measures to the comparable GAAP measures, as permitted by Regulation S-K, as certain items, e.g., expenses related to corporate development activities, transactions, pension expenses/(benefits), corporate restructuring and non-cash asset impairment, may have not yet occurred, are out of the Company’s control or cannot be reasonably predicted without unreasonable efforts. Additionally, such reconciliation would imply a degree of precision and certainty regarding relevant items that may be confusing to investors. Such items could have a substantial impact on GAAP measures of the Company's financial performance.
Forward-Looking Statements
This press release contains certain statements that may be deemed “forward-looking statements” within the meaning of the federal securities laws. All statements that address activities, events or developments that the Company intends, expects, plans, projects, believes or anticipates will or may occur in the future are forward-looking statements, including, without limitation, statements regarding outlooks, projections, forecasts, expectations, commitments, trend descriptions and the ability to capitalize on trends, value creation, long-term strategies, and the execution or acceleration thereof, operational improvements, inventory positions, the benefits of capital investments, financial or operating performance, including driving increased margins, operational and commercial initiatives, capital allocation and growth strategy plans, and the demand for the Company’s products. Forward-looking statements are based on certain assumptions and assessments made by the Company in light of the Company’s experience and perception of historical trends, current conditions, and expected future developments.
Actual results and the timing of events may differ materially from those contemplated by the forward-looking statements due to a number of factors, including, without limitation, changing regulatory, trade and tariff conditions, including the impact of the Section 232 tariffs on the products produced by our Krausz business; logistical challenges and supply chain disruptions, geopolitical conditions, public health crises, or other events; inventory and in-stock positions of our distributors and end customers; an inability to realize the anticipated benefits from our operational initiatives, including our large capital investments, plant closures, and reorganization and related strategic realignment activities; an inability to attract or retain a skilled and diverse workforce, increased competition related to the workforce, and labor markets; an inability to protect the Company’s information systems against service interruption; risks resulting from possible future cybersecurity incidents; misappropriation of data or breaches of security; failure to comply with personal data protection and privacy laws; cyclical and changing demand in core markets such as municipal spending, residential construction and natural gas distribution; government monetary or fiscal policies; the impact of adverse weather conditions; the impact of manufacturing and product performance; the impact of wage, commodity and materials price inflation; foreign exchange rate fluctuations; the impact of higher interest rates; the impact of warranty charges and claims, and related accommodations; the strength of our brands and reputation; an inability to successfully resolve significant legal proceedings or government investigations; compliance with environmental, trade and anti-corruption laws and regulations; climate change and legal or regulatory responses thereto; the failure to integrate and/or realize any of the anticipated benefits of acquisitions or divestitures; an inability to achieve our goals and commitments in environmental and sustainability programs; and other factors that are described in the section entitled “RISK FACTORS” in Item 1A. of the Company’s most recent Annual Report on Form 10-K and later filings on Form 10-Q, as applicable.
Forward-looking statements do not guarantee future performance and are only as of the date they are made. The Company undertakes no duty to update its forward-looking statements except as required by law. Undue reliance should not be placed on any forward-looking statements. You are advised to review any further disclosures the Company makes on related subjects in subsequent Forms 10-K, 10-Q, 8-K, and other reports filed with the United States Securities and Exchange Commission.
About Mueller Water Products, Inc.
Mueller Water Products, Inc. is a leading manufacturer and marketer of products and solutions used in the transmission, distribution and measurement of water in North America. Our broad portfolio includes engineered valves, fire hydrants, pipe connection and repair products, metering products, leak detection, pipe condition assessment, pressure management products, and software that provides critical water system data. We help municipalities increase operational efficiencies, improve customer service and prioritize capital spending, demonstrating why Mueller Water Products is Where Intelligence Meets Infrastructure®. Visit us at www.muellerwaterproducts.com.
Mueller refers to one or more of Mueller Water Products, Inc. (MWP), a Delaware corporation, and its subsidiaries. MWP and each of its subsidiaries are legally separate and independent entities when providing products and services. MWP does not provide products or services to third parties. MWP and each of its subsidiaries are liable only for their own acts and omissions and not those of each other.
Investor Relations Contact: Whit Kincaid
770-206-4116
wkincaid@muellerwp.com
Media Contact: Jenny Barabas
470-806-5771
jbarabas@muellerwp.com
| MUELLER WATER PRODUCTS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) | |||||||
| June 30, | September 30, | ||||||
| 2026 | 2025 | ||||||
| (in millions, except share amounts) | |||||||
| Assets: | |||||||
| Cash and cash equivalents | $ | 495.3 | $ | 431.5 | |||
| Receivables, net of allowance for credit losses of | 203.2 | 211.9 | |||||
| Inventories, net | 379.8 | 328.7 | |||||
| Other current assets | 52.0 | 56.8 | |||||
| Total current assets | 1,130.3 | 1,028.9 | |||||
| Property, plant and equipment, net | 345.1 | 335.7 | |||||
| Intangible assets, net | 300.6 | 307.3 | |||||
| Goodwill, net | 92.1 | 89.2 | |||||
| Other noncurrent assets | 85.2 | 77.8 | |||||
| Total assets | $ | 1,953.3 | $ | 1,838.9 | |||
| Liabilities and stockholders’ equity: | |||||||
| Current portion of long-term debt | $ | 1.6 | $ | 1.2 | |||
| Accounts payable | 131.2 | 134.4 | |||||
| Other current liabilities | 111.0 | 154.7 | |||||
| Total current liabilities | 243.8 | 290.3 | |||||
| Long-term debt | 451.3 | 450.4 | |||||
| Deferred income taxes | 69.9 | 51.0 | |||||
| Other noncurrent liabilities | 67.9 | 65.5 | |||||
| Total liabilities | 832.9 | 857.2 | |||||
| Commitments and contingencies | |||||||
| Preferred stock: par value | — | — | |||||
| none outstanding at June 30, 2026, and September 30, 2025 | |||||||
| Common stock: par value | 1.6 | 1.6 | |||||
| 156,101,616 and 156,331,004 shares outstanding at | |||||||
| June 30, 2026, and September 30, 2025, respectively | |||||||
| Additional paid-in capital | 1,119.1 | 1,158.9 | |||||
| Accumulated deficit | (4.6 | ) | (174.2 | ) | |||
| Accumulated other comprehensive income (loss) | 4.3 | (4.6 | ) | ||||
| Total stockholders' equity | 1,120.4 | 981.7 | |||||
| Total liabilities and stockholders' equity | $ | 1,953.3 | $ | 1,838.9 | |||
| MUELLER WATER PRODUCTS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) | ||||||||||||
| Three months ended | Nine months ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||
| (in millions, except per share amounts) | ||||||||||||
| Net sales | $ | 395.9 | $ | 380.3 | $ | 1,098.5 | $ | 1,048.9 | ||||
| Cost of sales (1) | 240.1 | 234.6 | 678.4 | 672.2 | ||||||||
| Gross profit | 155.8 | 145.7 | 420.1 | 376.7 | ||||||||
| Operating expenses: | ||||||||||||
| Selling, general and administrative | 64.0 | 71.0 | 183.5 | 180.6 | ||||||||
| Strategic reorganization and other charges (2) | 11.2 | 1.0 | 18.9 | 5.1 | ||||||||
| Total operating expenses | 75.2 | 72.0 | 202.4 | 185.7 | ||||||||
| Operating income | 80.6 | 73.7 | 217.7 | 191.0 | ||||||||
| Pension expense (benefit) other than service | 0.1 | — | 0.1 | (0.1 | ) | |||||||
| Interest expense, net | 0.7 | 1.7 | 3.3 | 5.6 | ||||||||
| Income before income taxes | 79.8 | 72.0 | 214.3 | 185.5 | ||||||||
| Income tax expense | 12.5 | 19.5 | 44.7 | 46.4 | ||||||||
| Net income | $ | 67.3 | $ | 52.5 | $ | 169.6 | $ | 139.1 | ||||
| Net income per basic share | $ | 0.43 | $ | 0.34 | $ | 1.09 | $ | 0.89 | ||||
| Net income per diluted share | $ | 0.43 | $ | 0.33 | $ | 1.08 | $ | 0.88 | ||||
| Weighted average shares outstanding: | ||||||||||||
| Basic | 156.3 | 156.5 | 156.3 | 156.5 | ||||||||
| Diluted | 157.3 | 157.4 | 157.3 | 157.5 | ||||||||
| Dividends declared per share | $ | 0.070 | $ | 0.067 | $ | 0.210 | $ | 0.201 | ||||
| (1) For the three- and nine-month periods ended June 30, 2026, Cost of sales included | ||||||||||||
| (2) For the three-month period ended June 30, 2026, Strategic reorganization and other charges primarily relate to certain transaction-related expenses, non-cash asset impairment expenses, severance, and expenses related to our leadership transition. For the nine-month period ended June 30, 2026, Strategic reorganization and other charges primarily relate to certain transaction-related expenses, expenses associated with our leadership transition, non-cash asset impairment expenses and severance. For the three-month period ended June 30, 2025, Strategic reorganization and other charges primarily relate to expenses associated with our leadership transition. For the nine-month period ended June 30, 2025, Strategic reorganization and other charges primarily relate to expenses associated with our leadership transition, non-cash asset impairment expenses, and certain transaction-related expenses. | ||||||||||||
| MUELLER WATER PRODUCTS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) | |||||||
| Nine months ended | |||||||
| June 30, | |||||||
| 2026 | 2025 | ||||||
| (in millions) | |||||||
| Operating activities: | |||||||
| Net income | $ | 169.6 | $ | 139.1 | |||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
| Depreciation | 31.7 | 28.7 | |||||
| Amortization | 5.4 | 5.4 | |||||
| Non-cash asset impairment | 4.0 | 1.0 | |||||
| Gain on sale of assets | (0.4 | ) | (0.1 | ) | |||
| Stock-based compensation | 10.5 | 7.3 | |||||
| Pension expense | 0.5 | 0.4 | |||||
| Deferred income taxes | 18.2 | (6.8 | ) | ||||
| Inventory reserve provision | 9.4 | 3.1 | |||||
| Other, net | 1.1 | 0.9 | |||||
| Changes in assets and liabilities: | |||||||
| Receivables, net | 8.4 | 4.2 | |||||
| Inventories | (59.9 | ) | (16.5 | ) | |||
| Other assets | (0.8 | ) | (3.5 | ) | |||
| Accounts payable | (3.4 | ) | 3.9 | ||||
| Other current liabilities | (42.2 | ) | (25.6 | ) | |||
| Other noncurrent liabilities | 2.1 | (5.7 | ) | ||||
| Net cash provided by operating activities | 154.2 | 135.8 | |||||
| Investing activities: | |||||||
| Capital expenditures | (43.6 | ) | (32.8 | ) | |||
| Proceeds from sale of assets | 1.2 | 0.1 | |||||
| Net cash used in investing activities | (42.4 | ) | (32.7 | ) | |||
| Financing activities: | |||||||
| Dividends paid | (32.8 | ) | (31.4 | ) | |||
| Stock repurchased under buyback program | (15.5 | ) | (15.0 | ) | |||
| Employee taxes related to stock-based compensation | (3.9 | ) | (4.3 | ) | |||
| Common stock issued | 1.9 | 4.3 | |||||
| Principal payments for finance lease obligations | (1.2 | ) | (0.8 | ) | |||
| Net cash used in financing activities | (51.5 | ) | (47.2 | ) | |||
| Effect of currency exchange rate changes on cash | 3.5 | 6.2 | |||||
| Net change in cash and cash equivalents | 63.8 | 62.1 | |||||
| Cash and cash equivalents at beginning of period | 431.5 | 309.9 | |||||
| Cash and cash equivalents at end of period | $ | 495.3 | $ | 372.0 | |||
| Nine months ended | |||||
| June 30, | |||||
| 2026 | 2025 | ||||
| (in millions) | |||||
| Supplemental cash flow information: | |||||
| Cash paid for interest, net | $ | 7.5 | $ | 9.1 | |
| Cash paid for income taxes, net | $ | 45.6 | $ | 49.8 | |
| Non-cash investing and financing activities: | |||||
| Property, plant and equipment accrued and unpaid | $ | 6.8 | $ | 5.1 | |
| Property, plant and equipment acquired through finance leases | $ | 1.8 | $ | 1.7 | |
| MUELLER WATER PRODUCTS, INC. AND SUBSIDIARIES SEGMENT RESULTS AND RECONCILIATION OF NON-GAAP TO GAAP PERFORMANCE MEASURES (UNAUDITED) | |||||||||||||||
| Three months ended June 30, 2026 | |||||||||||||||
| Water Flow Solutions | Water Management Solutions | Corporate | Consolidated | ||||||||||||
| (in millions, except per share amounts) | |||||||||||||||
| Net sales | $ | 215.3 | $ | 180.6 | $ | — | $ | 395.9 | |||||||
| Gross profit (1) | $ | 89.5 | $ | 66.3 | $ | — | $ | 155.8 | |||||||
| Selling, general and administrative expenses | 23.5 | 23.8 | 16.7 | 64.0 | |||||||||||
| Strategic reorganization and other charges (2) | — | 6.6 | 4.6 | 11.2 | |||||||||||
| Operating income (loss) | $ | 66.0 | $ | 35.9 | $ | (21.3 | ) | $ | 80.6 | ||||||
| Operating margin | 30.7 | % | 19.9 | % | 20.4 | % | |||||||||
| Capital expenditures | $ | 6.9 | $ | 4.8 | $ | — | $ | 11.7 | |||||||
| Net income | $ | 67.3 | |||||||||||||
| Net income margin | 17.0 | % | |||||||||||||
| Reconciliation of non-GAAP to GAAP performance measures: | |||||||||||||||
| Net income | $ | 67.3 | |||||||||||||
| Strategic reorganization and other charges (2) | 11.2 | ||||||||||||||
| Portfolio optimization costs (5) | 3.1 | ||||||||||||||
| Income tax expense of adjusting items (3) | (2.8 | ) | |||||||||||||
| Adjusted net income | $ | 78.8 | |||||||||||||
| Weighted average diluted shares outstanding | 157.3 | ||||||||||||||
| Net income per diluted share | $ | 0.43 | |||||||||||||
| Strategic reorganization and other charges per diluted share (2) | 0.07 | ||||||||||||||
| Portfolio optimization costs per diluted share (5) | 0.02 | ||||||||||||||
| Income tax expense of adjusting items per diluted share (3) | (0.02 | ) | |||||||||||||
| Adjusted net income per diluted share | $ | 0.50 | |||||||||||||
| Net income | $ | 67.3 | |||||||||||||
| Income tax expense (4) | 12.5 | ||||||||||||||
| Interest expense, net (4) | 0.7 | ||||||||||||||
| Pension expense other than service (4) | 0.1 | ||||||||||||||
| Operating income (loss) | $ | 66.0 | $ | 35.9 | $ | (21.3 | ) | 80.6 | |||||||
| Strategic reorganization and other charges (2) | — | 6.6 | 4.6 | 11.2 | |||||||||||
| Portfolio optimization costs (5) | — | 3.1 | — | 3.1 | |||||||||||
| Adjusted operating income (loss) | 66.0 | 45.6 | (16.7 | ) | 94.9 | ||||||||||
| Pension expense other than service (4) | — | — | (0.1 | ) | (0.1 | ) | |||||||||
| Depreciation and amortization | 7.5 | 5.1 | — | 12.6 | |||||||||||
| Adjusted EBITDA | $ | 73.5 | $ | 50.7 | $ | (16.8 | ) | $ | 107.4 | ||||||
| Adjusted operating margin | 30.7 | % | 25.2 | % | 24.0 | % | |||||||||
| Adjusted EBITDA margin | 34.1 | % | 28.1 | % | 27.1 | % | |||||||||
| Reconciliation of free cash flow to net cash provided by operating activities: | |||||||||||||||
| Net cash provided by operating activities | $ | 105.8 | |||||||||||||
| Less capital expenditures | 11.7 | ||||||||||||||
| Free cash flow | $ | 94.1 | |||||||||||||
| (1) Gross profit includes | |||||||||||||||
| (2) Strategic reorganization and other charges primarily relate to expenses associated with certain transaction-related expenses, non-cash asset impairment expenses, severance, and expenses related to our leadership transition. | |||||||||||||||
| (3) The income tax expense of adjusting items reflects an effective tax rate of | |||||||||||||||
| (4) The Company does not allocate interest, income taxes or pension amounts other than service to its segments. | |||||||||||||||
| (5) Portfolio optimization costs are primarily associated with certain transaction-related expenses. | |||||||||||||||
| MUELLER WATER PRODUCTS, INC. AND SUBSIDIARIES SEGMENT RESULTS AND RECONCILIATION OF NON-GAAP TO GAAP PERFORMANCE MEASURES (UNAUDITED) | |||||||||||||||
| Three months ended June 30, 2025 | |||||||||||||||
| Water Flow Solutions | Water Management Solutions | Corporate | Consolidated | ||||||||||||
| (in millions, except per share amounts) | |||||||||||||||
| Net sales | $ | 216.6 | $ | 163.7 | $ | — | $ | 380.3 | |||||||
| Gross profit | $ | 83.8 | $ | 61.9 | $ | — | $ | 145.7 | |||||||
| Selling, general and administrative expenses | 23.3 | 31.6 | 16.1 | 71.0 | |||||||||||
| Strategic reorganization and other charges (1) | — | 0.2 | 0.8 | 1.0 | |||||||||||
| Operating income (loss) | $ | 60.5 | $ | 30.1 | $ | (16.9 | ) | $ | 73.7 | ||||||
| Operating margin | 27.9 | % | 18.4 | % | 19.4 | % | |||||||||
| Capital expenditures | $ | 5.3 | $ | 6.4 | $ | — | $ | 11.7 | |||||||
| Net income | $ | 52.5 | |||||||||||||
| Net income margin | 13.8 | % | |||||||||||||
| Reconciliation of non-GAAP to GAAP performance measures: | |||||||||||||||
| Net income | $ | 52.5 | |||||||||||||
| Strategic reorganization and other charges (1) | 1.0 | ||||||||||||||
| Income tax expense of adjusting items (2) | (0.3 | ) | |||||||||||||
| Adjusted net income | $ | 53.2 | |||||||||||||
| Weighted average diluted shares outstanding | 157.4 | ||||||||||||||
| Net income per diluted share | $ | 0.33 | |||||||||||||
| Strategic reorganization and other charges per diluted share (1) | 0.01 | ||||||||||||||
| Income tax expense of adjusting items per diluted share (2) | — | ||||||||||||||
| Adjusted net income per diluted share | $ | 0.34 | |||||||||||||
| Net income | $ | 52.5 | |||||||||||||
| Income tax expense (3) | 19.5 | ||||||||||||||
| Interest expense, net (3) | 1.7 | ||||||||||||||
| Operating income (loss) | $ | 60.5 | $ | 30.1 | $ | (16.9 | ) | 73.7 | |||||||
| Strategic reorganization and other charges (1) | — | 0.2 | 0.8 | 1.0 | |||||||||||
| Adjusted operating income (loss) | 60.5 | 30.3 | (16.1 | ) | 74.7 | ||||||||||
| Depreciation and amortization | 6.6 | 5.0 | 0.1 | 11.7 | |||||||||||
| Adjusted EBITDA | $ | 67.1 | $ | 35.3 | $ | (16.0 | ) | $ | 86.4 | ||||||
| Adjusted operating margin | 27.9 | % | 18.5 | % | 19.6 | % | |||||||||
| Adjusted EBITDA margin | 31.0 | % | 21.6 | % | 22.7 | % | |||||||||
| Reconciliation of free cash flow to net cash provided by operating activities: | |||||||||||||||
| Net cash provided by operating activities | $ | 67.4 | |||||||||||||
| Less capital expenditures | 11.7 | ||||||||||||||
| Free cash flow | $ | 55.7 | |||||||||||||
| (1) Strategic reorganization and other charges primarily relate to expenses associated with our leadership transition. | |||||||||||||||
| (2) The income tax expense of adjusting items reflects an effective tax rate of | |||||||||||||||
| (3) The Company does not allocate interest or income taxes to its segments. | |||||||||||||||
| MUELLER WATER PRODUCTS, INC. AND SUBSIDIARIES SEGMENT RESULTS AND RECONCILIATION OF NON-GAAP TO GAAP PERFORMANCE MEASURES (UNAUDITED) | |||||||||||||||
| Nine months ended June 30, 2026 | |||||||||||||||
| Water Flow Solutions | Water Management Solutions | Corporate | Consolidated | ||||||||||||
| (in millions, except per share amounts) | |||||||||||||||
| Net sales | $ | 606.6 | $ | 491.9 | $ | — | $ | 1,098.5 | |||||||
| Gross profit (1) | $ | 247.4 | $ | 172.7 | $ | — | $ | 420.1 | |||||||
| Selling, general and administrative expenses | 66.8 | 70.2 | 46.5 | 183.5 | |||||||||||
| Strategic reorganization and other charges (2) | — | 6.8 | 12.1 | 18.9 | |||||||||||
| Operating income (loss) | $ | 180.6 | $ | 95.7 | $ | (58.6 | ) | $ | 217.7 | ||||||
| Operating margin | 29.8 | % | 19.5 | % | 19.8 | % | |||||||||
| Capital expenditures | $ | 18.3 | $ | 25.3 | $ | — | $ | 43.6 | |||||||
| Net income | $ | 169.6 | |||||||||||||
| Net income margin | 15.4 | % | |||||||||||||
| Reconciliation of non-GAAP to GAAP performance measures: | |||||||||||||||
| Net income | $ | 169.6 | |||||||||||||
| Strategic reorganization and other charges (2) | 18.9 | ||||||||||||||
| Portfolio optimization costs (5) | 3.1 | ||||||||||||||
| Income tax expense of adjusting items (3) | (4.6 | ) | |||||||||||||
| Adjusted net income | $ | 187.0 | |||||||||||||
| Weighted average diluted shares outstanding | 157.3 | ||||||||||||||
| Net income per diluted share | $ | 1.08 | |||||||||||||
| Strategic reorganization and other charges per diluted share (2) | 0.12 | ||||||||||||||
| Portfolio optimization costs per diluted share (5) | 0.02 | ||||||||||||||
| Income tax expense of adjusting items per diluted share (3) | (0.03 | ) | |||||||||||||
| Adjusted net income per diluted share | $ | 1.19 | |||||||||||||
| Net income | $ | 169.6 | |||||||||||||
| Income tax expense (4) | 44.7 | ||||||||||||||
| Interest expense, net (4) | 3.3 | ||||||||||||||
| Pension expense other than service (4) | 0.1 | ||||||||||||||
| Operating income (loss) | $ | 180.6 | $ | 95.7 | $ | (58.6 | ) | 217.7 | |||||||
| Strategic reorganization and other charges (2) | — | 6.8 | 12.1 | 18.9 | |||||||||||
| Portfolio optimization costs (5) | — | 3.1 | — | 3.1 | |||||||||||
| Adjusted operating income (loss) | 180.6 | 105.6 | (46.5 | ) | 239.7 | ||||||||||
| Pension expense other than service (4) | — | — | (0.1 | ) | (0.1 | ) | |||||||||
| Depreciation and amortization | 21.8 | 15.2 | 0.1 | 37.1 | |||||||||||
| Adjusted EBITDA | $ | 202.4 | $ | 120.8 | $ | (46.5 | ) | $ | 276.7 | ||||||
| Adjusted operating margin | 29.8 | % | 21.5 | % | 21.8 | % | |||||||||
| Adjusted EBITDA margin | 33.4 | % | 24.6 | % | 25.2 | % | |||||||||
| Reconciliation of free cash flow to net cash provided by operating activities: | |||||||||||||||
| Net cash provided by operating activities | $ | 154.2 | |||||||||||||
| Less capital expenditures | 43.6 | ||||||||||||||
| Free cash flow | $ | 110.6 | |||||||||||||
| (1) Gross profit includes | |||||||||||||||
| (2) Strategic reorganization and other charges primarily relate to certain transaction-related expenses, expenses associated with our leadership transition, non-cash asset impairment expenses, and severance. | |||||||||||||||
| (3) The income tax expense of adjusting items reflects an effective tax rate of | |||||||||||||||
| (4) The Company does not allocate interest, income taxes or pension amounts other than service to its segments. | |||||||||||||||
| (5) Portfolio optimization costs are primarily associated with certain transaction-related expenses. | |||||||||||||||
| MUELLER WATER PRODUCTS, INC. AND SUBSIDIARIES SEGMENT RESULTS AND RECONCILIATION OF NON-GAAP TO GAAP PERFORMANCE MEASURES (UNAUDITED) | |||||||||||||||
| Nine months ended June 30, 2025 | |||||||||||||||
| Water Flow Solutions | Water Management Solutions | Corporate | Consolidated | ||||||||||||
| (in millions, except per share amounts) | |||||||||||||||
| Net sales | $ | 607.4 | $ | 441.5 | $ | — | $ | 1,048.9 | |||||||
| Gross profit (1) | $ | 215.9 | $ | 160.8 | $ | — | $ | 376.7 | |||||||
| Selling, general and administrative expenses | 65.0 | 71.5 | 44.1 | 180.6 | |||||||||||
| Strategic reorganization and other charges (2) | 1.0 | 0.6 | 3.5 | 5.1 | |||||||||||
| Operating income (loss) | $ | 149.9 | $ | 88.7 | $ | (47.6 | ) | $ | 191.0 | ||||||
| Operating margin | 24.7 | % | 20.1 | % | 18.2 | % | |||||||||
| Capital expenditures | $ | 15.8 | $ | 17.0 | $ | — | $ | 32.8 | |||||||
| Net income | $ | 139.1 | |||||||||||||
| Net income margin | 13.3 | % | |||||||||||||
| Reconciliation of non-GAAP to GAAP performance measures: | |||||||||||||||
| Net income | $ | 139.1 | |||||||||||||
| Strategic reorganization and other charges (2) | 5.1 | ||||||||||||||
| Inventory and other asset restructuring write-down | 4.1 | ||||||||||||||
| Income tax expense of adjusting items (3) | (2.3 | ) | |||||||||||||
| Adjusted net income | $ | 146.0 | |||||||||||||
| Weighted average diluted shares outstanding | 157.5 | ||||||||||||||
| Net income per diluted share | $ | 0.88 | |||||||||||||
| Strategic reorganization and other charges per diluted share (2) | 0.03 | ||||||||||||||
| Inventory and other asset restructuring write-down per diluted share | 0.03 | ||||||||||||||
| Income tax expense of adjusting items per diluted share (3) | (0.01 | ) | |||||||||||||
| Adjusted net income per diluted share | $ | 0.93 | |||||||||||||
| Net income | $ | 139.1 | |||||||||||||
| Income tax expense (4) | 46.4 | ||||||||||||||
| Interest expense, net (4) | 5.6 | ||||||||||||||
| Pension benefit other than service (4) | (0.1 | ) | |||||||||||||
| Operating income (loss) | $ | 149.9 | $ | 88.7 | $ | (47.6 | ) | 191.0 | |||||||
| Strategic reorganization and other charges (2) | 1.0 | 0.6 | 3.5 | 5.1 | |||||||||||
| Inventory and other asset restructuring write-down | 4.1 | — | — | 4.1 | |||||||||||
| Adjusted operating income (loss) | 155.0 | 89.3 | (44.1 | ) | 200.2 | ||||||||||
| Pension benefit other than service (4) | — | — | 0.1 | 0.1 | |||||||||||
| Depreciation and amortization | 19.0 | 15.0 | 0.1 | 34.1 | |||||||||||
| Adjusted EBITDA | $ | 174.0 | $ | 104.3 | $ | (43.9 | ) | $ | 234.4 | ||||||
| Adjusted operating margin | 25.5 | % | 20.2 | % | 19.1 | % | |||||||||
| Adjusted EBITDA margin | 28.6 | % | 23.6 | % | 22.3 | % | |||||||||
| Reconciliation of free cash flow to net cash provided by operating activities: | |||||||||||||||
| Net cash provided by operating activities | $ | 135.8 | |||||||||||||
| Less capital expenditures | 32.8 | ||||||||||||||
| Free cash flow | $ | 103.0 | |||||||||||||
| (1) Gross profit includes | |||||||||||||||
| (2) Strategic reorganization and other charges primarily relate to expenses associated with our leadership transition, non-cash asset impairment expenses, and certain transaction-related expenses. | |||||||||||||||
| (3) The income tax expense of adjusting items reflects an effective tax rate of | |||||||||||||||
| (4) The Company does not allocate interest, income taxes, or pension amounts other than service to its segments. | |||||||||||||||
