Mueller Industries Inc.: Q1 FY2026 earnings call

What management said about Q1 FY2026, from the documents filed with the SEC on 21 April 2026: press release. The quarter’s numbers.

Key takeaways

Net sales and diluted EPS rose: The company reported net sales of $1.19 billion against $1.00 billion, and diluted EPS of $2.16 against $1.39, with comparisons made to the first quarter of 2025. Source
Operating income up, excluding gains: Operating income was $312.2 million against $206.3 million. Management said that, adjusting for gains in both periods, operating income increased 41 percent. Source
Piping Systems sales and profit rose: Piping Systems net sales were $760.5 million against $639.7 million, and segment operating income was $217.0 million against $158.2 million. Source
Copper prices rose sharply: COMEX copper averaged $5.80 per pound during the quarter, which the company reported as a 26.8 percent increase. Source
Buyback of 650,000 shares: Stock repurchases totaled $75.0 million for 650,000 shares, against $243.6 million of repurchases in the prior year period. Source
Bison adds copper tube synergies: Management said the Bison acquisition will immediately provide synergies across the North American copper tube platform. Source

“Solid operational execution, including effective raw material and price management and prudent cost controls, along with our diverse end market portfolio, all contributed to the best first quarter earnings in our Company’s history.”
Greg Christopher, Mueller’s CEO

What changed from last quarter

New: The company completed the acquisition of Bison Metals Technologies on March 30. Source
New: The company sold its Sherwood Valve business and recorded a $41.4 million gain, included in operating income. Source
Guidance kept: Management said business conditions and its forward view remain consistent with the annual report published before this release. Source

Results and growth drivers

Net sales and diluted EPS rose: The company reported net sales of $1.19 billion against $1.00 billion, and diluted EPS of $2.16 against $1.39, with comparisons made to the first quarter of 2025. Source
Operating income up, excluding gains: Operating income was $312.2 million against $206.3 million. Management said that, adjusting for gains in both periods, operating income increased 41 percent. Source
Net income up, share count down: Net income attributable to Mueller rose to $239.0 million from $157.4 million, while diluted weighted average shares fell to 110.9 million from 113.1 million. Source

Segments and regions

Piping Systems sales and profit rose: Piping Systems net sales were $760.5 million against $639.7 million, and segment operating income was $217.0 million against $158.2 million. Source
Industrial Metals sales and profit up: Industrial Metals net sales were $321.3 million against $251.9 million, and segment operating income was $44.3 million against $30.1 million. Source
Climate sales flat, profit lower: Climate net sales were $123.8 million against $123.1 million, and segment operating income was $33.4 million against $35.6 million. Source
Unallocated line moved to income: Unallocated items were income of $17.6 million in the quarter, against expenses of $17.6 million in the prior year period. Source

“Shifts in patterns of construction and market effects from tariffs have strengthened demand for higher margin products, and as we adjust to the changes in mix, we expect our production and shipments to further improve.”
Greg Christopher, Mueller’s CEO

Margins, pricing and costs

Copper prices rose sharply: COMEX copper averaged $5.80 per pound during the quarter, which the company reported as a 26.8 percent increase. Source
Selling prices followed raw materials: Management attributed part of the net sales increase to higher selling prices that followed the rise in raw material costs. Source
Cost of sales and SG&A rose: Cost of goods sold was $834.6 million against $728.2 million, and SG&A was $66.8 million against $63.1 million. Depreciation and amortization fell to $16.7 million from $17.1 million. Source
Prior quarter hedge loss noted: The prior quarter release recorded an $18.2 million unrealized loss on open hedge contracts in gross margin. This release gives no equivalent gross margin figure.

Demand and end markets

Sales improved in four markets: Management cited improved sales in its industrial, electrical, commercial and mechanical markets as a driver of the net sales increase. Source
Volumes were lower last quarter: The prior quarter release said lower unit volumes, mainly in core copper and brass products, offset higher selling prices. This release gives no unit volume figure.
Recovery awaited in construction and abroad: Management said it looks forward to economic improvement abroad and to a recovery in U.S. residential and commercial construction. No timing was given. Source

“Out of the gate, the integration has been seamless and successful.”
Greg Christopher, Mueller’s CEO

Cash, debt and capital returns

Operating cash flow lower: Net cash from operations was $79.7 million against $113.6 million. The cash flow statement shows receivables absorbing $200.2 million in the quarter. Source
Buyback of 650,000 shares: Stock repurchases totaled $75.0 million for 650,000 shares, against $243.6 million of repurchases in the prior year period. Source
Dividend raised 40 percent: Dividends paid to stockholders were $38.0 million against $27.3 million. Management described the 40 percent quarterly dividend increase as its sixth consecutive annual double-digit increase. Source
Cash balance and no debt: Cash was $1.38 billion at quarter end, with no debt, as the company reported. Source

Acquisitions and divestiture

Bison adds copper tube synergies: Management said the Bison acquisition will immediately provide synergies across the North American copper tube platform. Source
Sherwood Valve sale proceeds: Proceeds from the sale of the business were $57.0 million, net of cash sold, in the cash flow statement. Source
Bison leadership team joins: Management welcomed Bison’s leadership team following the close, describing it as experienced and talented. Source

Coming up, as management said on 21 April 2026

Copper tube capacity to expand: Management said the Bison acquisition will let the company increase its collective copper tube manufacturing capacity. No figures or timing were given. Source
Benefit once construction recovers: Management said the company is exceedingly well positioned to benefit once U.S. residential and commercial construction markets recover. No timing was given. Source

Risks management discussed

Demand: Management described U.S. residential and commercial construction recovery as still to come, with no timing given. Source
Demand: Management said it looks forward to an improvement in economic conditions abroad. Source
External: Management said tariffs and shifts in construction patterns are changing demand and product mix. Source
Operational: Management tied higher selling prices to the rise in raw material costs, including copper, during the quarter. Source

Earlier plans management reported on

Not stated: Management said it expects production and shipments to improve further as it adjusts to the changes in mix. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

Mueller Industries, Inc. Reports First Quarter 2026 Earnings

COLLIERVILLE, Tenn., April 21, 2026 -- Mueller Industries, Inc. (NYSE: MLI) announces results for the first quarter of 2026. Comparisons are to the first quarter of 2025.

Net Sales increased to $1.19 billion versus $1.00 billion.
Net Income increased to $239.0 million versus $157.4 million.
Operating Income increased to $312.2 million versus $206.3 million.
Diluted EPS increased to $2.16 versus $1.39.
Dividends per share increased to $.35 versus $.25.

First Quarter Financial and Operating Highlights:

COMEX copper averaged $5.80 per pound during the quarter, a 26.8 percent increase.
Improved sales in our industrial, electrical, commercial and mechanical markets, combined with higher selling prices stemming from the rise in raw material costs, contributed to the overall increase in net sales.
Our reported operating income includes a gain of $41.4 million on the sale of our Sherwood Valve business. The prior year period included a gain of $14.5 million on the sale of assets. Adjusting for these gains, our operating income increased 41 percent.
Net cash generated from operations was $79.7 million. We utilized $75.0 million during the quarter to repurchase 650,000 shares of our common stock.
Our cash balance at quarter end was $1.38 billion, with no debt, and our current ratio remains strong at 5.4 to 1.

Regarding the results, Greg Christopher, Mueller’s CEO said, “Solid operational execution, including effective raw material and price management and prudent cost controls, along with our diverse end market portfolio, all contributed to the best first quarter earnings in our Company’s history. In addition, our continued strong cash generation supported components of our overall capital allocation strategy, including the stock buyback and a 40 percent increase in our quarterly dividend, our sixth consecutive annual double-digit increase.

We also were excited to complete the acquisition of Bison Metals Technologies on March 30th, and to welcome Bison’s experienced and talented leadership team. The acquisition will immediately provide important synergies that will benefit our entire North American copper tube products platform and enable us to increase our collective copper tube manufacturing capacities. Out of the gate, the integration has been seamless and successful.”

Regarding the outlook he added, “Business conditions and our outlook remain consistent with those described in our recently published annual report. Shifts in patterns of construction and market effects from tariffs have strengthened demand for higher margin products, and as we adjust to the changes in mix, we expect our production and shipments to further improve. We also look forward to an improvement in economic conditions abroad, and particularly, an improvement in the residential and commercial construction markets in the U.S. Once those markets recover, we are exceedingly well positioned to benefit.”

Mueller Industries, Inc. (NYSE: MLI) is an industrial corporation whose holdings manufacture vital goods for important markets such as air, water, oil and gas distribution; climate comfort; food preservation; electrical transmission; medical; aerospace; and automotive. It includes a network of companies and brands throughout North America, Europe, Asia, and the Middle East.

*********************

Statements in this release that are not strictly historical may be “forward-looking” statements, which involve risks and uncertainties. These include economic and currency conditions, continued availability of raw materials and energy, market demand, pricing, competitive and technological factors, and the availability of financing, among others, as set forth in the Company’s SEC filings. The words “outlook,” “estimate,” “project,” “intend,” “expect,” “believe,” “target,” “encourage,” “anticipate,” “appear,” and similar expressions are intended to identify forward-looking statements. The reader should not place undue reliance on forward-looking statements, which speak only as of the date of this report. The Company has no obligation to publicly update or revise any forward-looking statements to reflect events after the date of this report.

CONTACT Jeffrey A. Martin (901) 753-3226

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	For the Quarter Ended
(In thousands, except per share data)	March 28, 2026		March 29, 2025
Net sales	$1,193,005		$1,000,165
Cost of goods sold		834,561		728,185
Depreciation and amortization		16,652		17,123
Selling, general, and administrative expense		66,785		63,060
Loss (gain) on disposal of assets, net	1,533		(14,465)
Gain on sale of business	(41,407)		-
Asset impairments	2,653		-
Operating income		312,228		206,262
Interest expense	-		(25)
Interest income	11,870		9,901
Unrealized losses on short-term investments	(2,037)		(5,010)
Other (expense) income, net	(1,232)		92
Income before income taxes		320,829	211,220
Income tax expense	(79,555)		(51,475)
Income (loss) from unconsolidated affiliates, net of foreign tax	115		(458)
Consolidated net income	241,389		159,287
Net income attributable to noncontrolling interests	(2,371)		(1,855)
Net income attributable to Mueller Industries, Inc.	$239,018		$157,432
Weighted average shares for basic earnings per share		109,094		110,739
Effect of dilutive stock-based awards		1,815		2,333
Adjusted weighted average shares for diluted earnings per share		110,909		113,072
Basic earnings per share	$2.19		$1.42
Diluted earnings per share	$2.16		$1.39
Dividends per share	$0.35		$0.25

	For the Quarter Ended
MUELLER INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME, CONTINUED
(Unaudited)
(In thousands)	March 28, 2026		March 29, 2025
Summary Segment Data:
Net sales:
Piping Systems Segment	$760,528		$639,683
Industrial Metals Segment		321,277		251,913
Climate Segment		123,765		123,107
Elimination of intersegment sales	(12,565)		(14,538)
Net sales	$1,193,005		$1,000,165
Operating income:
Piping Systems Segment	$217,010		$158,164
Industrial Metals Segment		44,271		30,084
Climate Segment		33,379		35,624
Unallocated income (expenses)	17,568		(17,610)
Operating income	$312,228		$206,262

CONDENSED CONSOLIDATED BALANCE SHEETS

	(Unaudited)
(In thousands)	March 28, 2026		December 27, 2025
ASSETS
Cash and cash equivalents	$1,382,345		$1,367,003
Short-term investments		20,696		22,733
Accounts receivable, net		670,511		475,566
Inventories		545,451		510,463
Other current assets		53,037		69,980
Total current assets		2,672,040		2,445,745
Property, plant, and equipment, net		530,300		536,466
Operating lease right-of-use assets		22,868	27,211
Other assets		717,155		723,607
Total assets	$3,942,363		$3,733,029
LIABILITIES AND STOCKHOLDERS’ EQUITY
Accounts payable	$243,539		$180,577
Current portion of operating lease liabilities	7,907		8,520
Other current liabilities		247,835		224,037
Total current liabilities		499,281		413,134
Pension and postretirement liabilities		8,373		8,393
Environmental reserves		15,501		15,684
Deferred income taxes		32,499		31,640
Noncurrent operating lease liabilities		14,917	18,970
Other noncurrent liabilities		10,960		9,302
Total liabilities		581,531		497,123
Total Mueller Industries, Inc. stockholders’ equity	3,334,451			3,209,966
Noncontrolling interests	26,381			25,940
Total equity	3,360,832			3,235,906
Total liabilities and equity	$3,942,363		$3,733,029

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	For the Quarter Ended
(In thousands)	March 28, 2026	March 29, 2025
Cash flows from operating activities
Consolidated net income	$241,389	$159,287
Reconciliation of consolidated net income to net cash provided by operating activities:
Depreciation and amortization	16,652	17,123
Stock-based compensation expense	7,332	6,150
Provision for credit losses	861	99
(Income) loss from unconsolidated affiliates	(115)	458
Dividends from unconsolidated affiliates	1,724	2,812
Loss (gain) on disposals of assets, net	1,533	(14,465)
Gain on sale of business	(41,407)	-
Unrealized losses on short-term investments	2,037	5,010
Impairment charges	2,653	-
Deferred income tax expense	2,036	1,651
Changes in assets and liabilities, net of effects of business sold:
Receivables	(200,192)	(101,524)
Inventories	(43,936)	(18,542)
Other assets	(612)	410
Current liabilities	88,912	57,702
Other liabilities	1,509	(2,598)
Other, net	(635)	(14)
Net cash provided by operating activities	$79,741	$113,559
Cash flows from investing activities
Capital expenditures	$(17,236)	$(16,592)
Proceeds from sale of business, net of cash sold	57,004	-
Purchase of short-term investments	-	(26,633)
Purchase of long-term investments	(834)	(552)
Proceeds from sales of assets	5	19,737
Other	-	600
Net cash provided by (used in) investing activities	$38,939	$(23,440)

	For the Quarter Ended
MUELLER INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In thousands)	March 28, 2026	March 29, 2025
Cash flows from financing activities
Dividends paid to stockholders of Mueller Industries, Inc.	$(38,043)	$(27,262)
Repurchase of common stock	(74,981)	(243,615)
Repayments of debt	-	(56)
Net cash used to settle stock-based awards	(535)	(4,494)
Dividends paid to noncontrolling interests	(4,766)	(12,240)
Other	3,100	-
Net cash used in financing activities	$(115,225)	$(287,667)
Effect of exchange rate changes on cash	(1,810)	392
Increase (decrease) in cash, cash equivalents, and restricted cash	1,645	(197,156)
Cash, cash equivalents, and restricted cash at the beginning of the period	1,385,157	1,038,895
Cash, cash equivalents, and restricted cash at the end of the period	$1,386,802	$841,739