earnings
confidence high
sentiment positive
materiality 0.80
Zurn Elkay Q2 net sales up 10% to $491M; raises FY2026 adjusted EBITDA guidance to $503-513M
Zurn Elkay Water Solutions Corp
- Q2 net sales $491M (+10% core); net income $113M ($0.67 diluted EPS) vs $50M ($0.29) a year ago.
- Adjusted EBITDA $136M (27.7% margin) vs $118M (26.5%); adjusted EPS $0.50 vs $0.42.
- Completed acquisition of Intellihot, a high-efficiency water heater maker; expects $16M sales from Intellihot in H2 2026.
- Raised FY2026 adjusted EBITDA guidance to $503-513M; expects free cash flow at least $350M (excl tariff refunds).
- Repurchased $50M of shares (1.0M shares) in Q2; net debt leverage 0.3x; paid $37M in dividends.