Oct 28 (Reuters) - Xylem on Tuesday raised its
annual sales and profit forecasts, banking on resilient demand
for its water treatment equipment, while also beating Wall
Street estimates for third-quarter results.
Shares of the company rose 2.7% in premarket trading.
"The team delivered another strong quarter, exceeding
expectations with disciplined execution on continuing commercial
momentum," CEO Matthew Pine said in a statement.
Xylem now expects adjusted earnings per share for 2025 to
range between $5.03 to $5.08, up from its prior forecast of
between $4.70 and $4.85.
The company forecast 2025 sales of $9 billion, compared to
its previous view of between $8.90 billion and $9 billion.
Analysts, on average, had expected earnings of $4.84 per
share and sales of $8.95 billion, according to LSEG-compiled
data.
Sales from Xylem's water infrastructure unit, which sells
products like water and wastewater pumps, was $656 million in
the reported quarter, exceeding analysts' expectations of $644.4
million.
Its applied water unit, which sells pumps, valves and other
equipment, recorded sales of $456 million, below expectations of
$462.68 million.
On an adjusted basis, Xylem earned $1.37 per share for the
quarter ended September 30, while analysts on average expected
the company to earn $1.23 per share.
The company reported quarterly revenue of $2.27 billion,
compared with analysts' estimates of $2.22 billion.