Mueller Water Products · NYSE:MWA

Mueller Water Products — Q1 FY2015 Earnings Presentation

17 slides from Mueller Water Products's earnings presentation, Feb 4, 2015

  1. Slide 1: Where Intelligence Meets Infrastructure

    Where Intelligence Meets Infrastructure® Earnings Conference Call For The First Quarter Ended December 31, 2014 February 4, 2015 These slides are not intended to be a stand-alone presentation, but are for use in conjunction with the earnings call

  2. Slide 2: Non-GAAP Financial Measures

    NON-GAAP FINANCIAL MEASURES The Company reports its financial results under accounting These items are excluded because they are not principles generally accepted in the United States (“GAAP”), considered indicative of recurring operations. Free as well as through the use of non-GAAP measures. The c

  3. Slide 3: Forward-Looking Statements

    FORWARD-LOOKING STATEMENTS This presentation contains certain statements that may be Forward-looking statements are based on certain deemed “forward-looking statements” within the meaning assumptions and assessments made by us in light of our of the Private Securities Litigation Reform Act of 1995.

  4. Slide 4: Consolidated Non-GAAP Results

    CONSOLIDATED NON-GAAP RESULTS 1Q15 Mueller Co. increased adjusted operating income by 10.0% primarily due to an 11% 1Q FISCAL 2015 2014 increase in domestic shipments of valves and hydrants Net sales $261.8 $257.4 Growth from municipal and some residential markets Adj. operating incom e $16.3 $14.1

  5. Slide 5: Consolidated GAAP Results

    CONSOLIDATED GAAP RESULTS Net sales • Increased $4.4 million, or 1.7%, 1Q FISCAL 2015 2014 primarily due to higher shipment volumes and improved pricing Net sales $261.8 $257.4 partially offset by unfavorable Canadian currency effects Gross profit $71.3 $67.1 Gross profit Gross m argin 27.2% 26.1% •

  6. Slide 6: Consolidated Non-GAAP Results

    CONSOLIDATED NON-GAAP RESULTS Adjusted operating income increased 15.6% primarily driven by a higher margin product mix at Mueller Co. and higher sales pricing 1Q FISCAL 2015 2014 Adjusted operating margin improved 70 Adj. operating incom e $16.3 $14.1 basis points to 6.2% Adj. operating m argin 6.2

  7. Slide 7: Mueller Co. Segment Non-GAAP Results

    MUELLER CO. SEGMENT NON-GAAP RESULTS Net sales • Relatively flat at $164.7 as compared with $165.0 million in 1Q14 • Mueller Base, which excludes 1Q FISCAL 2015 2014 metering products and leak detection, saw an increase in domestic Net sales $164.7 $165.0 shipments about 9% led by an increase in val

  8. Slide 8: Anvil Segment Non-GAAP Results

    ANVIL SEGMENT NON-GAAP RESULTS Net sales • Increased 5.1% due primarily to higher shipment volumes and improved pricing 1Q FISCAL 2015 2014 • Benefitted from 14% sales growth in the energy market • Benefitted from improvement in the Net sales $97.1 $92.4 non-residential construction market Adj. oper

  9. Slide 9: Free Cash Flow

    FREE CASH FLOW Fiscal YTD 2015 2014 $0.0 Cash flow from ($3.8) operations ($5 .0) Capital ($7.5) expenditures ($1 0.0) Cash flow from ($11.3) Free cash flow ($27.1) operations ($1 5.0) ($ in millions) ($2 0.0) ($2 5.0) ($3 0.0) ($7.2) Capital expenditures ($3 5.0) ($34.3) Free cash flow ($4 0.0) 201

  10. Slide 10: Net Debt

    NET DEBT $700 $ in millions $600.7 $600 Decem ber 31, $499.6 $106.8 2014 $500 $45.1 ($ in millions) ABL Revolver (LIBOR + 175 basis points) $0.0 $400 $300 Term Loan B (LIBOR* + 325 basis points) 497.5 $493.9 $454.5 $200 Other 2.1 $100 Total Debt $499.6 $0 12/ 31/ 2014 12/ 31/ 2013 Cash Net Debt Net

  11. Slide 11: First Quarter Comments, Second Quarter Comments and 2015 Full Year Outlook

    First Quarter Comments Second Quarter Comments and 2015 Full Year Outlook

  12. Slide 12: Supplemental Data

    Supplemental =| a Data &

  13. 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, 2014 ($ in millions, except per share amounts) Mueller Co. Anvil Corporate Total GAAP results: Net sales $ 164.7 $ 97.1 $ - $ 261.8 Gross profit $ 45.2 $ 26.1 $ - $ 71.3 Selling, general and admini

  14. 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, 2013 ($ in millions, except per share amounts) Mueller Co. Anvil Corporate Total GAAP results: Net sales $ 165.0 $ 92.4 $ - $ 257.4 Gross profit $ 41.7 $ 25.4 $ - $ 67.1 Selling, general and admini

  15. Slide 15: Segment Results and Reconciliation of GAAP to Non-GAAP Performance Measures

    SEGMENT RESULTS AND RECONCILIATION OF GAAP TO NON-GAAP PERFORMANCE MEASURES ($ in millions, except per share amounts) Year ended September 30, 2014 Mueller Co. Anvil Corporate Total GAAP results: Net sales $ 783.3 $ 401.4 $ - $ 1,184.7 Gross profit $ 235.0 $ 112.9 $ - 347.9 Selling, general and admi

  16. Slide 16: Segment Results and Reconciliation of GAAP to Non-GAAP Performance Measures

    SEGMENT RESULTS AND RECONCILIATION OF GAAP TO NON-GAAP PERFORMANCE MEASURES Year ended September 30, 2013 ($ in millions, except per share amounts) Mueller Co. Anvil Corporate Total GAAP results: Net sales $ 729.5 $ 391.3 $ - $ 1,120.8 Gross profit $ 201.1 $ 112.1 $ - $ 313.2 Selling, general and ad

  17. Slide 17: Q&A

    Q&A

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