Mueller Water Products Earnings: Here’s Why Shares are Down Now

Mueller Water Products, Inc. (NYSE:MWA) delivered a profit and met Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 0.13%.

Mueller Water Products, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 60% to $0.08 in the quarter versus EPS of $0.05 in the year-earlier quarter.

Revenue: Rose 8.52% to $299.4 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Mueller Water Products, Inc. reported adjusted EPS income of $0.08 per share. By that measure, the company missed the mean analyst estimate of $0.08. It missed the average revenue estimate of $300.18 million.

Quoting Management: “We are pleased with our third quarter results, with an 8.5 percent increase in net sales and a 25.4 percent increase in adjusted operating income,” said Gregory E. Hyland, chairman, president and chief executive officer of Mueller Water Products. “These results reflect our best overall quarter in the past five years with each of our business segments contributing to the improvement. Mueller Co. and Anvil each increased net sales and adjusted operating margins both year-over-year and sequentially.

Key Stats (on next page)…

Revenue increased 5.76% from $283.1 million in the previous quarter. EPS increased 60% from $0.05 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.07 to a profit $0.08. For the current year, the average estimate has moved up from a profit of $0.15 to a profit of $0.18 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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