Watts Q4 2022 Earnings Report
Key Takeaways
Watts Water Technologies reported a 6% increase in Q4 sales to $502 million, with an 11% organic growth. GAAP EPS increased by 74% to $2.05, and adjusted EPS increased by 13% to $1.60. The company's performance was driven by double-digit organic growth in the Americas and benefits from price realization and productivity.
Q4 sales increased by 6% on a reported basis and 11% organically.
GAAP operating margin increased by 20 bps, and adjusted operating margin increased by 90 bps.
GAAP EPS increased by 74%, and adjusted EPS increased by 13%.
The company expects softer market conditions as 2023 progresses and is adjusting its cost structure accordingly.
Watts
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Watts Revenue by Segment
Watts Revenue by Geographic Location
Forward Guidance
Watts Water Technologies is monitoring the weakening global economic indicators and expects to see softer market conditions as 2023 progresses. The company has incorporated these expectations into its outlook and is taking actions as needed to adjust its cost structure. The balance sheet and cash flow remain strong.
Revenue & Expenses
Visualization of income flow from segment revenue to net income