Mueller Water Products Beats on Revenue, Matches Expectations on EPS

Mueller Water Products (NYS: MWA) reported earnings on Jan. 31. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q1), Mueller Water Products beat slightly on revenue and met expectations on earnings per share.

Compared to the prior-year quarter, revenue grew, and GAAP loss per share stayed the same.

Gross margins dropped, operating margins improved, and net margins grew.

Revenue details
Mueller Water Products logged revenue of $311.5 million. The eight analysts polled by S&P Capital IQ expected revenue of $308.3 million. Sales were 8.3% higher than the prior-year quarter's $287.6 million.


Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.

EPS details
Non-GAAP EPS came in at -$0.07. The eight earnings estimates compiled by S&P Capital IQ forecast -$0.07 per share on the same basis. GAAP EPS were -$0.08 for Q1 compared to -$0.08 per share for the prior-year quarter.


Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 16.6%, 60 basis points worse than the prior-year quarter. Operating margin was -0.5%, 30 basis points better than the prior-year quarter. Net margin was -3.8%, 40 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $331.2 million. On the bottom line, the average EPS estimate is -$0.04.

Next year's average estimate for revenue is $1.41 billion. The average EPS estimate is -$0.05.

Investor sentiment
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 $2.96.

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At the time thisarticle was published 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 ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Motley Fool newsletter services have recommended buying shares of Mueller Water Products. 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.

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