MWA Earnings Prediction
The chart below shows how MWA performed 10 days before and after its earnings report, based on data from the past quarters. Typically, MWA sees a -2.76% change in stock price 10 days leading up to the earnings, and a +3.88% change 10 days following the report. On the earnings day itself, the stock moves by +0.35%. This data can give you a slight idea of what to expect for the next quarter's release.
MWA Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
304.30M
18.68%
-12.61%
Gross Margin
34.93%
3.77%
9.67%
Operating Margin
17.22%
50.13%
25.42%
Net Margin
11.60%
107.89%
304.18%
EPS
0.22
144.44%
266.67%
No Data Available
MWA Earnings Analysis
Mueller Water Products Inc Corporation (MWA.N) Earnings Conference Call
Positive
Q1 Adjusted EBITDA Surge: Record first quarter adjusted EBITDA of $63.5 million, reflecting a 41.7% increase year-over-year, with an adjusted EBITDA margin improvement of 340 basis points to 20.9%.
Net Sales Increase: Net sales grew by 18.7% to $304.3 million, driven by higher volumes and pricing across product lines, particularly iron gate valves and hydrants.
Record Adjusted Net Income: Adjusted net income per diluted share reached a record $0.25, marking a 92% increase compared to the prior year, showcasing strong profitability growth.
Strong Cash Generation: Free cash flow for the quarter was $42 million, representing 108% of adjusted net income, indicating robust cash generation capabilities.
2025 Sales and EBITDA Guidance: Increased guidance for 2025 net sales to a range of $1.37 billion to $1.39 billion, reflecting a year-over-year growth of 4.2% to 5.7%, alongside an adjusted EBITDA forecast of $310 to $315 million, representing an 8.9% to 10% increase.
Negative
Operating Cash Flow Decline: Net cash provided by operating activities decreased by $13.8 million to $54.1 million compared to the prior year, primarily due to changes in working capital, indicating potential liquidity issues.
Free Cash Flow Decline: Free cash flow for the first quarter decreased by $20 million to $42.2 million compared to the prior year, reflecting a decline in operational cash generation and increased capital expenditures.
Increased Effective Tax Rate: The effective tax rate increased to 22.9% from 15.4% in the prior year, which could negatively impact net income and shareholder returns due to the loss of a prior tax benefit.
Asset Write-Down Impact: Inventory and other asset write-downs associated with the closure of the legacy brass foundry amounted to $3.3 million, indicating financial strain from restructuring efforts.
Volume Headwinds Impacting Revenue: The company anticipates experiencing year-over-year volume headwinds over the next few quarters as channel and customer inventory levels normalize, which could hinder revenue growth.
MWA FAQs
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MWA Earning Call Sentiment
Mueller Water Products, Inc. (NYSE:MWA) Q1 2025 Earnings Call Transcript
MWA.N
0%Positive
The earnings call summary highlights strong financial performance with significant increases in net sales, gross profit, and adjusted EBITDA. The company's strategic initiatives, like the new brass foundry, promise future margin improvements. Although free cash flow decreased, the overall financial health is robust, with low net debt. The Q&A section indicates strong demand and manageable risks, with no major negative surprises. Considering the company's market cap, these factors are likely to result in a positive stock price movement over the next two weeks.
