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Sep 24, 2022

Mueller Industries Q3 2022 Earnings Report

Mueller Industries reported a strong third quarter in 2022, despite macroeconomic challenges, with several businesses operating at capacity and healthy backlogs.

Key Takeaways

Mueller Industries reported a decrease in net sales by 3.8% compared to the prior year quarter, which included a $54.8 million pre-tax gain from divestitures. However, operating income increased by 15% when adjusted for the divestiture. The company's financial position remains solid, with cash at quarter end increasing significantly from the prior year-end.

Operating income was $205.2 million, compared to $233.4 million in the prior year quarter.

Net income was $154.5 million, compared to $171.0 million in the prior year quarter.

Earnings per share (EPS) was $2.74, compared to $3.01 in the prior year quarter.

Net sales were $944.8 million, compared to $982.2 million in the prior year quarter.

Total Revenue
$945M
Previous year: $982M
-3.8%
EPS
$1.37
Previous year: $1.51
-9.3%
Gross Profit
$266M
Previous year: $238M
+11.9%
Cash and Equivalents
$483M
Previous year: $105M
+361.4%
Total Assets
$2.11B
Previous year: $1.73B
+22.1%

Mueller Industries

Mueller Industries

Forward Guidance

Mueller anticipates some tempering in the building industry but expects overall demand to remain at healthy levels. The company's financial position is solid and positions it well for future opportunities.

Positive Outlook

  • Many businesses operating at capacity.
  • Healthy backlogs.
  • Business outlook remains positive.
  • Building construction has been exceptionally strong in recent years.
  • Solid financial position.

Challenges Ahead

  • Ongoing macroeconomic challenges.
  • Anticipate some tempering in the building industry.
  • Absence of businesses divested in 2021.
  • Lower copper prices.
  • Impacts of localized recessionary pressures on international businesses.