Zurn Elkay Water Solutions(NYSE) ZWS

Zurn Elkay Water Solutions Corporation makes products that move and clean water in commercial buildings. These solutions help people stay hydrated and keep public spaces hygienic. The company serves essential places like hospitals, schools, and restaurants.

Moving Water Where It Matters

• Water Safety and Control: Professional grade products including backflow preventers, fire protection equipment, and water control devices.
• Flow Systems: Drainage and interception systems alongside PEX pipe fittings and various repair parts.
• Hygienic and Environmental: Stainless steel sinks, commercial faucets, and hand dryers designed for high-traffic public restrooms.
• Filtered Drinking Water: Advanced hydration stations and filtration products for public and private buildings.

Strategic Moves and Acquisitions

• Acquired Intellihot on July 21, 2026, for approximately $108.5 million to add tankless water heater solutions to the portfolio.
• Increased the revolving credit facility to $550.0 million on Feb. 19, 2026, to strengthen long-term liquidity.
• Received a $47.6 million tariff refund during the six-month period ended June 30, 2026, following a U.S. Supreme Court ruling.
• Terminated the U.S. defined benefit pension plan during 2025 to simplify the corporate balance sheet.

The Framework for Efficiency

The Zurn Elkay Business System provides a scalable framework for continuous improvement across all business operations. This process-based approach focuses on driving customer satisfaction through world-class operating performance and internal productivity.

Results From the Ledger

• Net sales reached $491.0 million for the three-month period ended June 30, 2026, up 10.5% year over year.
• Net income was $113.3 million for the three-month period ended June 30, 2026, up from $50.5 million in the prior year period.
• Net cash provided by operating activities was $208.4 million during the six-month period ended June 30, 2026.
• Total indebtedness stood at $499.1 million as of June 30, 2026.

The Evolution of Zurn Elkay

Zurn Elkay has transitioned into a pure-play water management company by spinning off its legacy industrial operations. The company now focuses on sustainable water solutions through strategic acquisitions and a disciplined internal operating system.