Mueller Water Products · NYSE:MWA
Mueller Water Products — Q1 FY2017 Earnings Presentation
17 slides from Mueller Water Products's earnings presentation, Feb 3, 2017
Slide 1: Earnings Conference Call For The First Quarter Ended December 31, 2016
Where Intelligence Meets Infrastructure® Earnings Conference Call For The First Quarter Ended December 31, 2016 February 3, 2017 These slides are not intended to be a stand-alone presentation, but are for use in conjunction with the earnings call
Slide 2: Non-GAAP Financial Measures
NON-GAAP FINANCIAL MEASURES In an effort to provide investors with additional information The Company presents net debt and net debt leverage as regarding the Company's results as determined by GAAP, the performance measures because management uses them in Company also provides non-GAAP information
Slide 3: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains certain statements that Forward-looking statements are based on certain may be deemed “forward-looking statements” assumptions and assessments made by us in light within the meaning of the Private Securities of our experience and perception of hi
Slide 4: Reclassified Financials
RECLASSIFIED FINANCIALS We sold our Anvil business in January 2017. As a result, Anvil's operating results for all prior periods have been reclassified as discontinued operations. This quarter's earning release contains reclassified 2016 results for the first quarter. We will make available to you t
Slide 5: Consolidated Non-GAAP Results
CONSOLIDATED NON-GAAP RESULTS ■ We delivered a solid quarter with 3 percent First Quarter 2017 2016 overall top line growth and 25 percent adjusted operating income improvement Net sales $ 167.2 $ 163.1 ■ Adjusted operating income increased $3.0 Adj. operating income $ 15.2 $ 12.2 million to $15.2 m
Slide 6: Consolidated GAAP Results
CONSOLIDATED GAAP RESULTS Gross profit First Quarter 2017 2016 ■ Gross profit improved at both Mueller Co. and Mueller Technologies and was $51.7 million compared with Net sales $ 167.2 $ 163.1 $47.6 million last year ■ Gross margin increased 170 basis points to 30.9 percent Gross profit $ 51.7 $ 47
Slide 7: Mueller Co. Segment Non-GAAP Results
MUELLER CO. SEGMENT NON-GAAP RESULTS Net sales ■ Net sales increased 1.1 percent year-over-year with First Quarter 2017 2016 domestic sales growth was partially offset by lower sales outside the United States Net sales $ 146.3 $ 144.7 Adjusted operating income Adj. operating income $ 26.2 $ 24.0 ■ W
Slide 8: Mueller Technologies Segment Non-GAAP Results
MUELLER TECHNOLOGIES SEGMENT NON-GAAP RESULTS Net sales First Quarter 2017 2016 ■ Net sales increased 13.6 percent to $20.9 million compared with $18.4 million last year, primarily due Net sales $ 20.9 $ 18.4 to higher AMI shipments Adj. operating loss $ (2.2) $ (3.3) Adjusted operating loss ■ Opera
Slide 9: Net Debt
NET DEBT $483.6 $487.2 December 31, 2016 $ in millions ABL Revolver (LIBOR + 175 basis points) $ 0.0 Term Loan B (LIBOR* + 325 basis points) 482.3 Other 1.3 Total Debt $ 483.6 2016 2015 December 31 Net debt near zero after the sale of Anvil $91.5 million of excess availability under the ABL at Decem
Slide 10: Summary
Summary ■ We are now a pure-play water infrastructure company that is positioned to take advantage of significant opportunities in the industry ■ We intend to deliver superior long-term value to stockholders through organic investments in our business whether in product development or capital equipm
Slide 11: First Quarter Comments and Second Quarter and Full Year Outlook
2017 First Quarter Comments and Second Quarter and Full Year Outlook PAGE 11
Slide 12: Supplemental Data
Supplemental Data PAGE 12
Slide 13: Segment Results and Reconciliation of GAAP to Non-GAAP Performance Measures
SEGMENT RESULTS AND RECONCILIATION OF GAAP TO NON-GAAP PERFORMANCE MEASURES Quarter ended December 31, 2016 Mueller Mueller Co. Technologies Corporate Consolidated (dollars in millions, except per share amounts) Net sales $ 146.3 $ 20.9 $ — $ 167.2 Gross profit $ 47.5 $ 4.2 $ — $ 51.7 Selling, gener
Slide 14: Segment Results and Reconciliation of GAAP to Non-GAAP Performance Measures
SEGMENT RESULTS AND RECONCILIATION OF GAAP TO NON-GAAP PERFORMANCE MEASURES Quarter ended December 31, 2016 Mueller Mueller Co. Technologies Corporate Consolidated (dollars in millions, except per share amounts) Net income $ 6.7 Less income from discontinued operations (1.3) Interest expense, net (1
Slide 15: Segment Results and Reconciliation of GAAP to Non-GAAP Performance Measures
SEGMENT RESULTS AND RECONCILIATION OF GAAP TO NON-GAAP PERFORMANCE MEASURES Quarter ended December 31, 2015 Mueller Mueller Co. Technologies Corporate Consolidated (dollars in millions, except per share amounts) Net sales $ 144.7 $ 18.4 $ — $ 163.1 Gross profit $ 44.0 $ 3.6 $ — $ 47.6 Selling, gener
Slide 16: Segment Results and Reconciliation of GAAP to Non-GAAP Performance Measures
SEGMENT RESULTS AND RECONCILIATION OF GAAP TO NON-GAAP PERFORMANCE MEASURES Quarter ended December 31, 2015 Mueller Mueller Co. Technologies Corporate Consolidated (dollars in millions, except per share amounts) Net income $ 6.2 Less income from discontinued operations (2.2) Interest expense, net (1
Slide 17: Q&A
NR a WwW < Oo &A Q
Mueller Water Products — Q1 FY2017 Earnings Presentation on 6ix