Mueller Water Products
The 10-second takeaway
For the quarter ended March 31 (Q2), Mueller Water Products whiffed on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP loss per share grew.
Gross margins expanded, operating margins improved, net margins contracted.
Mueller Water Products tallied revenue of $251.5 million. The eight analysts polled by S&P Capital IQ predicted a top line of $328.2 million on the same basis. GAAP reported sales were 19% lower than the prior-year quarter's $311.3 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at -$0.01. The eight earnings estimates compiled by S&P Capital IQ forecast -$0.04 per share. GAAP EPS were -$0.70 for Q2 against -$0.09 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 24.7%, 860 basis points better than the prior-year quarter. Operating margin was 4.6%, 610 basis points better than the prior-year quarter. Net margin was -43.7%, 3,930 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $333.8 million. On the bottom line, the average EPS estimate is $0.04.
Next year's average estimate for revenue is $1.22 billion. The average EPS estimate is $0.03.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Mueller Water Products is hold, with an average price target of $3.46.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.