Xylem Reports Second Quarter 2022 Results

เกจวัดแรงดันน้ำมันเบนซิน Reports Second Quarter 2022 Results
by Brenna ShumbamhiniAugust 2, 2022
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Robust persevering with demand drove robust natural orders growth: 1% on a reported
basis, 6% organically
• Revenue of $1.four billion, up 1% on a reported basis, up 6% organically
• Earnings per share of $0.sixty two, adjusted earnings per share of $0.66
• Adjusted EBITDA margin exceeded steering by 160 basis points
• Raising full-year organic revenue guidance to a range of 8% to 10% from 4% to
6%, and adjusted EPS to a variety of $2.50 to $2.70 from $2.forty to $2.70
Washington, D.C., August 2, 2022 – Xylem Inc. (NYSE: XYL), a number one global water know-how
firm devoted to fixing the world’s most difficult water points, today reported second quarter
revenue of $1.four billion, surpassing previous guidance in every enterprise section. Strong continued
world demand drove orders and backlog growth across the portfolio.
Second quarter adjusted earnings before interest, tax, depreciation and amortization (EBITDA) margin
was 16.6 %, higher than the Company’s earlier steerage and reflecting a year-over-year
decrease of 70 foundation factors. Inflation and the impact of constant chip shortages drove the margin
decline, exceeding the advantages of worth realization and productivity savings. Xylem generated net
earnings of $112 million, or $0.62 per share, and adjusted internet income of $120 million, or $0.sixty six per share,
which excludes the impression of restructuring, realignment and particular costs.
“The staff delivered very strong second quarter efficiency on all key metrics, and well forward of our
guidance for the quarter,” stated Patrick Decker, Xylem president and CEO. “The result displays our
industrial momentum on persevering with underlying demand, disciplined operational execution, and a
reasonable easing in chip supply constraints.”
“On the power of strong backlog and orders development, and the team’s demonstrated success mitigating
the effects of inflation, we are raising our full-year steerage on income and earnings. This further
reinforces our longer-term progress and worth creation thesis for Xylem.”
Outlook
Xylem now expects full-year 2022 natural revenue progress to be in the range of 8 to 10 %, and three
to five p.c on a reported basis. This represents an increase from the Company’s previous full-year
natural revenue steerage of four to 6 %, and 1 to three percent on a reported foundation. Full-year 2022
adjusted EBITDA margin is now anticipated to be in the range of 16.5 to 17.0 %, elevating the low end
of the previous vary of 16.zero to 17.0 p.c. This results in adjusted earnings per share of $2.50 to
$2.70, raising the low finish from the previous range of $2.forty to $2.70. The elevated steerage displays
robust demand, gradual easing of supply chain constraints and price realization partially offset by
inflation and overseas change headwinds.
Further 2022 planning assumptions are included in Xylem’s second quarter 2022 earnings materials
posted at www.xylem.com/investors. Excluding revenue, Xylem supplies guidance only on a non-GAAP
foundation as a end result of inherent difficulty in forecasting sure quantities that might be included in GAAP
earnings, such as discrete tax gadgets, with out unreasonable effort.
Second Quarter Segment Results
Water Infrastructure
Xylem’s Water Infrastructure phase consists of its portfolio of companies serving clear water
supply, wastewater transport and therapy, and dewatering.
• Second quarter 2022 Water Infrastructure income was $589 million, a 9.zero p.c enhance
organically compared with second quarter 2021. This robust development was driven by strong price
realization, industrial dewatering demand, and wholesome exercise in our wastewater utility business
in the united states and Western Europe.
• Second quarter adjusted EBITDA margin was 21.4 %, up 240 foundation points from the prior
yr. Reported working revenue for the segment was $108 million. Adjusted working revenue
for the section, which excludes $3 million of restructuring and realignment, was $111 million, a
14.four p.c enhance versus the comparable interval final year. Reported operating margin for
the phase was 18.3 p.c, up 200 basis points versus the prior yr, and adjusted
working margin was 18.eight p.c, up 180 basis factors versus the prior yr. Strong price
realization, volume, and productiveness financial savings more than offset inflation and strategic
investments.
Applied Water
Xylem’s Applied Water section consists of its portfolio of companies in industrial, industrial constructing,
and residential applications.
• Second quarter 2022 Applied Water revenue was $429 million, a 7.zero p.c improve
organically year-over-year. The segment delivered sturdy price realization and backlog
execution in industrial and residential finish markets, partially offset by continued supply chain
constraints in commercial buildings within the United States.
• Second quarter adjusted EBITDA margin was 16.1 percent, down a hundred thirty basis factors from the
prior year. Reported working earnings for the phase was $61 million and adjusted working
income, which excludes $2 million of restructuring and realignment costs, was $63 million, a 4.5
% decrease versus the comparable period last yr. The section reported operating
margin was 14.2 percent, down one hundred thirty foundation factors versus the prior 12 months period. Adjusted
working margin declined 120 basis points to 14.7 p.c. Strong worth realization and
productiveness financial savings were greater than offset by inflation and lower volume.
Measurement & Control Solutions
Xylem’s Measurement & Control Solutions phase consists of its portfolio of businesses in good
metering, network applied sciences, superior infrastructure analytics and analytic instrumentation.
• Second quarter 2022 Measurement & Control Solutions income was $346 million, down 2.zero
percent organically versus the prior 12 months. While chip supply stays constrained, the result is
higher than our expectations as a result of improved chip provide within the quarter, and energy in our
water high quality check applications.
• Second quarter adjusted EBITDA margin was 9.8 p.c, down 410 basis points from the prior
yr. Reported operating revenue for the segment was $(5) million, and adjusted working
income, which excludes $3 million of restructuring and realignment costs and $1 million of
shortages, unfavorable combine and higher inflation greater than offset worth realization and
productivity financial savings.
Supplemental info on Xylem’s second quarter 2022 earnings and reconciliations for certain nonGAAP gadgets is posted at www.xylem.com/investors.
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About Xylem
Xylem (XYL) is a leading international water technology firm committed to solving crucial water and
infrastructure challenges with innovation. Our 17,000 diverse staff delivered revenue of $5.2
billion in 2021. We are creating a more sustainable world by enabling our clients to optimize water
and useful resource management, and helping communities in more than 150 nations become watersecure. Join us at www.xylem.com.
Forward-Looking Statements
This press release incorporates “forward-looking statements” within the that means of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Generally, the words “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,”
“contemplate,” “predict,” “forecast,” “likely,” “believe,” “target,” “will,” “could,” “would,” “should,”
“potential,” “may” and related expressions or their negative, might, but aren’t necessary to, identify
forward-looking statements. By their nature, forward-looking statements address unsure issues and
embrace any statements that are not historic, similar to statements about our strategy, monetary plans,
outlook, aims, plans, intentions or goals (including these associated to our social, environmental and
other sustainability goals); or handle possible or future results of operations or monetary performance,
together with statements relating to orders, revenues, operating margins and earnings per share development.
Although we consider that the expectations reflected in any of our forward-looking statements are
cheap, precise outcomes may differ materially from these projected or assumed in any of our forwardlooking statements. Our future monetary situation and results of operations, as properly as any forwardlooking statements, are topic to change and to inherent risks and uncertainties, a lot of that are
past our control. Additionally, many of these dangers and uncertainties are, and should proceed to be,
amplified by impacts from the struggle between Russia and Ukraine, as nicely as the continuing coronavirus
(“COVID-19”) pandemic and related macroeconomic conditions (including inflation). Important elements
that would cause our actual results, efficiency and achievements, or business results to vary
materially from estimates or projections contained in or implied by our forward-looking statements
include, among others, the following: the impression of total business and basic financial situations,
including industrial, governmental, and private and non-private sector spending and the energy of the
residential and industrial real estate markets, on economic exercise and our operations; geopolitical
events, together with the struggle between Russia and Ukraine, and regulatory, economic and other dangers
associated with our world gross sales and operations, together with with respect to home content material
requirements applicable to projects with governmental funding; continued uncertainty around the
ongoing COVID-19 pandemic’s magnitude, duration and impacts on our business, operations, development,
and monetary situation; precise or potential different epidemics, pandemics or international health crises;
availability, scarcity or delays in receiving digital parts (in specific, semiconductors), elements,
and uncooked supplies from our provide chain; manufacturing and working price will increase due to
macroeconomic conditions, including inflation, provide chain shortages, logistics challenges, tight labor
markets, prevailing value changes, tariffs and other elements; demand for our merchandise; disruption,
competitors or pricing pressures within the markets we serve; cybersecurity incidents or other disruptions of
information know-how methods on which we rely, or involving our products; disruptions in operations at
our facilities or that of third events upon which we rely; capacity to retain and appeal to senior administration
and different various and key talent, in addition to competitors for general expertise and labor; problem predicting
our financial results; defects, safety, warranty and liability claims, and recollects with respect to merchandise;
availability, regulation or interference with radio spectrum utilized by sure of our products; uncertainty
associated to restructuring and realignment actions and associated costs and financial savings; our ability to continue
strategic investments for growth; our capacity to efficiently determine, execute and integrate acquisitions;
volatility in served markets or impacts on enterprise and operations because of weather conditions, including
the consequences of local weather change; fluctuations in overseas currency exchange rates; our capacity to borrow or
refinance our present indebtedness and uncertainty across the availability of liquidity sufficient to meet
our wants; risk of future impairments to goodwill and different intangible property; failure to adjust to, or
changes in, laws or regulations, including those pertaining to anti-corruption, data privateness and safety,
export and import, competition, and the setting and climate change; adjustments in our efficient tax
rates or tax bills; legal, governmental or regulatory claims, investigations or proceedings and
related contingent liabilities; and different components set forth beneath “Item 1A. Risk Factors” in our Annual
Report on Form 10-K for the 12 months ended December 31, 2021 and in subsequent filings we make with
the Securities and Exchange Commission (“SEC”).
Forward-looking and different statements in this press launch regarding our environmental and other
sustainability plans and goals aren’t an indication that these statements are necessarily material to
traders or are required to be disclosed in our filings with the SEC. In addition, historic, present, and
forward-looking social, environmental and sustainability associated statements may be primarily based on standards
for measuring progress that are nonetheless developing, inside controls and processes that proceed to evolve,
and assumptions that are subject to vary sooner or later. All forward-looking statements made herein
are based on data currently obtainable to us as of the date of this press release. We undertake no
obligation to publicly replace or revise any forward-looking statements, whether or not on account of new
data, future occasions or otherwise, except as required by legislation
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