MWA earnings analysis
What we found in MWA's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Mueller Water Products achieved Q2 2026 revenues of $384.4 million, exceeding estimates and marking a 5.5% year-over-year increase. The company also reported an adjusted EPS of $0.40, reflecting strong operational performance despite challenges posed by tariffs and inflation.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Strong Revenue Growth
- Revenue increased by $20.1 million, or 5.5%, compared to the prior year, primarily driven by higher pricing and increased volumes.
- Gross Margin Improvement
- Gross margin rose significantly to 37.6%, up from 35.1% in the prior year, contributing to a gross profit increase of $16.5 million.
- EPS Beat
- Reported EPS was $0.40, surpassing the estimated EPS of $0.37 and reflecting a strong operational turnaround.
- Reduced Interest Expense
- Net interest expense for the quarter fell to $1.6 million, down 30.4% from the prior year, mainly due to higher interest income.
- Segment Performance Resilient
- Water Management Solutions saw net sales rise by 12.2% year-over-year, showcasing effective pricing strategies and increased volumes.
- Strengthened Cash Position
- Cash and cash equivalents amounted to $421 million, bolstered by strong operational cash flows, indicating a healthy liquidity position.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Ongoing Impact of Tariffs
- Imposition of Section 232 tariffs has pressured costs, with main impacts seen on repair products imported from Israel.
- Supply Chain Challenges
- Geopolitical factors have led to logistical challenges and supply chain disruptions, affecting overall operational efficiency.
- Inflationary Pressures
- Inflation of approximately 4% during the period has negatively impacted manufacturing costs and margins.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.4
- Gross margin
- 37.6%
- Operating margin
- 21%
- Segment
- Water Flow Solutions: $218.3M (1.0% growth)
- Segment
- Water Management Solutions: $166.1M (12.2% growth)
What they said about what is next.
Fiscal year 2026 consolidated net sales expected to increase between 2.8% and 4.2% from fiscal 2025.
The filing reads better than the one before it.
What came before.
- 10-K · November 19, 2025
- Mueller Water Products reported fiscal 2025 consolidated net sales of $1,429.7 million with Water Flow Solutions contributing $824.9 million (≈58%) and Water Management Solutions $604.8 million (≈42%). The company is…
- 10-Q · August 5, 2025
- Mueller reported a stronger quarter: revenue of $380.3 million (+$23.6M vs. prior year quarter $356.7M and +$16.3M vs. prior quarter $364.0M), expanding gross margin to 38.3% and operating margin to 19.4%. Net income…
- 10-Q · May 6, 2025
- Mueller Water Products reported quarter net sales of $364.3 million (vs. $353.4M a year ago) and diluted EPS of $0.33 (vs. $0.28). Operating income improved to $69.9 million from $63.5 million year-over-year despite a…
- 10-Q · August 6, 2024
- Mueller Water Products reported quarter net sales of $356.7 million and diluted EPS of $0.30 for the three months ended June 30, 2024. Margins and profitability improved materially versus the prior-year quarter (gross…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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