Company: MWA
Filing Date: 2025-02-05
Form Type: 10-Q
Source: 0001350593-25-000012
Chunk: 36

Company: Mueller Water Products, Inc.
Filing Date: 2025-02-05
Form: 10-Q
Item: Part I, Item 1
Chunk 36
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.8 53.9 Strategic reorganization and other charges— 0.3 1.4 1.7 Total operating expenses19.8 20.6 15.2 55.6 Operating income (loss)$35.3 $27.3 $(15.2)47.4 Non-operating expenses:Interest expense, net1.6 Income before income taxes45.8 Income tax expense10.5 Net income$35.3  Three months ended December 31, 2023  Water Flow SolutionsWater Management SolutionsCorporateTotal (in millions)Net sales$141.3 $115.1 $— $256.4 Gross profit$46.6 $39.7 $— $86.3 Operating expenses:Selling, general and administrative19.2 24.6 13.1 56.9 Strategic reorganization and other charges0.2 — 6.4 6.6 Total operating expenses19.4 24.6 19.5 63.5 Operating income (loss)$27.2 $15.1 $(19.5)22.8 Non-operating expenses:Pension expense other than service1.0 Interest expense, net3.3 Other expense1.6 Income before income taxes16.9 Income tax expense2.6 Net income$14.3 

Consolidated Analysis

Net sales for the three months ended December 31, 2024 were $304.3 million as compared with $256.4 million in the prior year period, an increase of $47.9 million or 18.7%, primarily as a result of increased volumes at Water Flow Solutions and Water Management Solutions, as well as higher pricing across most product lines.

25

Gross profit for the three months ended December 31, 2024 was $103.0 million as compared with $86.3 million in the prior year period, an increase of $16.7 million or 19.4%, primarily as a result of higher volumes and favorable price/cost.  Offsetting the increase was a $3.3 million write-down of inventory and other assets associated with our legacy brass foundry in Decatur, Illinois, which ceased production in January 2025.  The Israel-Hamas war negatively impacted Gross profit by less than 5%.  As a