Company: MWA
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001350593-25-000043
Chunk: 145

Company: Mueller Water Products, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 2
Chunk 145
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.5 Gross profit$205.7 $142.4 $— $348.1 Operating expenses:Selling, general and administrative67.9 71.4 42.8 182.1 Strategic reorganization and other charges0.2 1.4 11.1 12.7 Total operating expenses68.1 72.8 53.9 194.8 Operating income (loss)$137.6 $69.6 $(53.9)153.3 Non-operating expenses:Pension expense other than service3.0 Interest expense, net9.7 Other expense1.6 Income before income taxes139.0 Income tax expense33.1 Net income$105.9 

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Consolidated Analysis

Net sales for the nine months ended June 30, 2025 were $1,048.9 million as compared with $966.5 million in the prior year period, an increase of $82.4 million or 8.5%, primarily as a result of increased volumes and higher pricing across most product lines.

Gross profit for the nine months ended June 30, 2025 was $376.7 million as compared with $348.1 million in the prior year period, an increase of $28.6 million or 8.2%, primarily as a result of increased volumes, higher pricing, and manufacturing efficiencies, partially offset by approximately 5% due to inflation and increased tariffs.  Manufacturing efficiencies were negatively impacted by a $4.1 million write-down of inventory and other assets associated with our legacy brass foundry in Decatur, Illinois.  As a result, gross margin was 35.9% in the nine months ended June 30, 2025 as compared with 36.0% in the prior year period.

SG&A for the nine months ended June 30, 2025 was $180.6 million as compared with $182.1 million in the prior year period, a decrease of $1.5 million or 0.8%, primarily due to lower intangible amortization, partially offset by unfavorable foreign currency fluctuation as a result of depreciation of the U.S. dollar compared with the Israeli shekel, as well as higher personnel-related expenses, third-party fees and approximately 3% inflation.  SG&A as a percentage of net sales was 17.2% and 18.8% for the nine months