Mueller Water Products, Inc. (NYSE: MWA) today reported net sales of $293.2 million and net income of $13.5 million for the fiscal 2013 fourth quarter ended September 30, 2013. The following compares 2013 fourth quarter results from continuing operations with those of the prior year period. In the fourth quarter, the Company:
- Increased net sales $12.1 million to $293.2 million from $281.1 million
- Improved operating income 52 percent to $33.2 million from $21.9 million and adjusted operating income 47 percent to $33.4 million from $22.7 million
- Increased adjusted net income per diluted share to $0.08 from $0.03
- Improved adjusted EBITDA 27 percent to $48.2 million from $38.1 million
- Generated free cash flow of $58.7 million, as compared with $40.4 million
“We are pleased with our overall fourth quarter results, particularly the 47% year-over-year increase in adjusted operating income and the 27% improvement in adjusted EBITDA,” said Gregory E. Hyland, chairman, president and chief executive officer of Mueller Water Products.
“Mueller Co. continues to benefit from improved operating leverage and the ongoing recovery of its end markets, especially in residential construction in certain regions of the country. Mueller Co. continued to see growth in domestic shipments of valves, hydrants and brass products during the quarter, and this strong mix contributed to the segment’s 40% year-over-year increase in adjusted operating income and the 430 basis points improvement in adjusted operating margin to 15.8%. Domestic dollar shipments of valves, hydrants and brass products increased 13.7% during the quarter year-over-year.
“Anvil had a strong quarter, with net sales up 8.8% and adjusted operating income up 30%.”“Fiscal 2013 was a year of strong performance for Mueller Water Products, as evidenced by net sales growth of 9.5% and adjusted operating income growth of 48%; free cash flow generation of $78.5 million, an increase of $33.1 million; and a reduction of net debt leverage to 3.0x. Our 2013 performance reflects the ongoing operating improvements we have made over the past several years, as well as the benefits we have realized from improving end markets.”