Overview

* Mueller Industries ( MLI ) Q2 net sales beat analyst expectations, driven by higher selling prices

* Net income rises to $245.9 mln, including $36.3 mln insurance gain

* Excluding insurance gain, net income was $217.9 mln versus $160.2 mln

Outlook

* Company anticipates increased demand when interest rates decrease

* Mueller says trade protections to ultimately benefit most of its portfolio companies

* Company focuses growth on water infrastructure, HVAC/R, and electrical transmission

Result Drivers

* INSURANCE CLAIM - $36.3 mln gain from insurance claim related to 2023 tornado boosted net income

* ACQUISITIONS - Contributions from Nehring and EPC acquisitions in 2024 helped drive sales growth

* HIGHER SELLING PRICES - Increased selling prices due to rise in raw material costs contributed to sales growth

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Beat $1.14 $1.12

bln bln (2

Analysts

)

Q2 EPS $2.22

Q2 Net $248.48

Income mln

Q2 $304.17

Operatin mln

g Income

Q2 $324.44

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the industrial machinery & equipment peer group is "buy."

* Wall Street's median 12-month price target for Mueller Industries Inc ( MLI ) is $101.50, about 17.8% above its July 21 closing price of $83.42

* The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)