Overview

* Watts Water ( WTS ) Q3 sales rise 13% yr/yr, beating analyst expectations

* Adjusted EPS for Q3 beats consensus, reflecting effective operational strategies

* Company acquires Haws Corporation, expanding capabilities in safety and hydration solutions

Outlook

* Company raises full-year 2025 sales growth outlook to 7%-8%

* Watts Water ( WTS ) expects organic sales growth of 4%-5% for 2025

* Company forecasts 2025 adjusted operating margin at 19.1%-19.2%

Result Drivers

* AMERICAS PERFORMANCE - Strong execution in the Americas region drove results, offsetting European market weakness

* PRICING AND SUPPLY CHAIN - Targeted pricing actions and global supply chain strategy mitigated tariff-related cost increases

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Sales Beat $611.70 $576.30

mln mln (9

Analysts

)

Q3 Beat $2.50 $2.27 (8

Adjusted Analysts

EPS )

Q3 EPS $2.45

Q3 Net $82.20

Income mln

Q3 18.50%

Adjusted

Operatin

g Margin

Q3 18.20%

Operatin

g Margin

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 8 "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 Watts Water Technologies Inc ( WTS ) is $287.00, about 4.3% above its November 4 closing price of $274.69

* The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 27 three months ago

Press Release:

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(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.)