Dec 31, 2021

Watts Q4 2021 Earnings Report

Watts' Q4 2021 results were marked by record sales and EPS, driven by organic growth across all regions, despite facing supply chain and inflationary pressures.

Key Takeaways

Watts Water Technologies reported record fourth-quarter and full-year 2021 results. Q4 sales reached $474 million, up 18% on a reported and organic basis, with a GAAP EPS of $1.18, up 37%, and an adjusted EPS of $1.42, up 23%. The company's performance was driven by strong organic growth across all regions, despite facing ongoing challenges from the pandemic, including supply chain disruptions and inflationary pressures.

Q4 sales increased by 18% on a reported and organic basis, reaching $474 million.

GAAP EPS for Q4 was $1.18, a 37% increase, and adjusted EPS was $1.42, a 23% increase.

All three regions delivered record results for the quarter and the full year.

The company successfully addressed employee safety, customer engagement, product development, and productivity goals while achieving record sales and earnings per share.

Total Revenue
$474M
Previous year: $403M
+17.5%
EPS
$1.42
Previous year: $1.15
+23.5%
Total Organic Sales Growth
18%
Previous year: -2%
-1000.0%
Americas Organic Sales Growth
19%
Previous year: -2%
-1050.0%
Europe Organic Sales Growth
15%
Previous year: -2%
-850.0%
Gross Profit
$199M
Previous year: $169M
+17.8%
Cash and Equivalents
$242M
Previous year: $219M
+10.6%
Free Cash Flow
$38.8M
Previous year: $91.4M
-57.5%
Total Assets
$1.86B
Previous year: $1.74B
+6.8%

Watts

Watts

Watts Revenue by Geographic Location

Forward Guidance

The company is confident in its prospects for delivering revenue and EPS growth in 2022, with its long-term strategy remaining intact.

Revenue & Expenses

Visualization of income flow from segment revenue to net income