Watts Water Technologies (WTS) FY2019 results: revenue $1.6 billion, up 2.3% on the year
Watts Water Technologies Inc. (WTS) reported revenue of $1.6 billion for fiscal 2019, the year ended 31 December 2019, up 2.3% on the year before. Net income was $132 million, up 2.7%, and diluted earnings per share $3.85. The figures are the company's own, from the 10-K it filed with the SEC on 20 February 2020.
Revenue
$1.6 billion
+2.3% on the year
FY2012FY2019
Operating margin
12.3%
12.0% a year earlier
FY2012FY2019
Net income
$132 million
+2.7% on the year
FY2012FY2019
Diluted EPS
$3.85
+3.2% on the year
FY2012FY2019
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Revenue
1,600
1,565
1,457
+2.3%
Cost of revenue
923
908
854
+1.6%
Gross profit
678
656
602
+3.2%
Gross margin
42.3%
42.0%
41.4%
Research and development
39.6
34.5
29.0
+14.8%
Selling, general and administrative
476
465
432
+2.5%
Operating income
197
188
162
+4.6%
Operating margin
12.3%
12.0%
11.1%
Interest expense
14.1
16.3
19.1
-13.5%
Pre-tax income
184
175
143
+5.3%
Income tax
52.4
46.6
70.0
+12.4%
Effective tax rate
28.5%
26.7%
48.9%
Net income
132
128
73.1
+2.7%
Net margin
8.2%
8.2%
5.0%
Diluted EPS
$3.85
$3.73
$2.12
+3.2%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Operating cash flow
194
169
156
+14.5%
Capital expenditure
29.2
35.9
29.4
-18.7%
Free cash flow
165
134
126
+23.4%
Free cash flow margin
10.3%
8.5%
8.7%
Cash from investing
-71.8
-35.9
-27.3
Cash from financing
-106
-203
-205
Depreciation and amortisation
46.6
48.5
52.2
-3.9%
Share-based compensation
17.8
13.8
13.9
+29.0%
Buybacks
19.5
26.0
18.2
-25.0%
Dividends paid
31.4
28.3
25.9
+11.0%
Dividend per share
$0.90
$0.82
$0.75
+9.8%
Diluted shares, weighted
34m
34m
34m
-0.3%
Balance sheet
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Shareholders' equity
978
891
829
+9.7%
Debt
310
355
500
-12.7%
Operating lease liabilities
31.9
n/a
n/a
Finance lease liabilities
2.2
n/a
n/a
Other liabilities
401
407
408
-1.6%
Total liabilities and equity
1,723
1,654
1,736
+4.2%
Fixed assets
200
202
198
-0.9%
Goodwill
581
545
550
+6.7%
Intangible assets
151
165
185
-8.4%
Cash and equivalents
220
204
280
+7.6%
Receivables
220
206
216
+7.0%
Inventory
270
287
259
-5.8%
Other assets
81.0
45.4
46.9
+78.4%
Total assets
1,723
1,654
1,736
+4.2%
10-K for the year ended 31 December 2019, filed 20 February 2020: the filing.