Mueller Water Products 2025 Q3 Earnings Strong Performance as Net Income Grows 11%

Mueller Water Products (MWA) delivered solid results in Q3 2025, with both revenue and earnings growth. The company not only beat expectations but also raised its full-year guidance. This performance reflects strong operational execution amid ongoing cost and supply chain challenges.

Revenue
Mueller Water Products reported total revenue of $380.30 million in Q3 2025, a 6.6% increase compared to the same quarter in 2024. The Water Flow Solutions segment drove the majority of the revenue with $216.60 million, while the Water Management Solutions segment contributed $163.70 million. The corporate segment reported no revenue, as expected. This segment performance highlights the company’s robust market position across its key product lines.

Earnings/Net Income
Earnings per share (EPS) rose 13.3% to $0.34 in 2025 Q3, up from $0.30 a year earlier. The company’s net income also increased, reaching $52.50 million in Q3 2025, a 11.0% growth from $47.30 million in the prior-year period. These results underscore strong profitability and effective cost management despite higher tariffs.

Price Action
MWA’s stock price declined by 2.29% on the latest trading day but posted a 2.27% gain during the most recent full trading week, and a 1.65% increase month-to-date.

Post-Earnings Price Action Review
Following the earnings report, a strategy of buying MWA and holding for 30 days generated a 138.72% return, significantly outperforming the benchmark’s 85.39%. The strategy also demonstrated strong risk-adjusted returns with a Sharpe ratio of 0.60 and a maximum drawdown of 0.00%. This suggests that the market responded favorably to the company’s strong results and strategic direction.

CEO Commentary
Martie Edmunds Zakas, CEO of Mueller Water Products, highlighted the company’s record-setting quarter, noting improved gross margin of 38.3%, driven by manufacturing efficiencies and higher volumes. She also pointed to progress in sustainability initiatives and the successful closure of the legacy brass foundry as key contributors to performance. Zakas expressed confidence in the team’s ability to continue executing its transformation strategies and deliver strong results in the coming year.

Guidance
The company raised its fiscal 2025 guidance for both net sales and adjusted EBITDA. This move signals confidence in its ability to navigate ongoing market headwinds, including tariffs, while maintaining profitability. Management remains optimistic about the company’s long-term growth trajectory and market positioning.

Additional News
Within the three weeks following the earnings release, Mueller Water Products announced a strategic partnership with a leading environmental engineering firm to enhance its sustainable water management solutions. The firm is expected to provide expertise in advanced filtration systems and resource efficiency, aligning with Mueller’s ESG goals. In addition, the company confirmed plans to expand its Water Flow Solutions division by acquiring a small regional manufacturer, further strengthening its product portfolio. No changes to executive leadership were reported during this period, and the company has not announced any new dividend or share buyback programs.