Watts Water Technologies (WTS) FY2020 results: revenue $1.5 billion, down 5.7% on the year
Watts Water Technologies Inc. (WTS) reported revenue of $1.5 billion for fiscal 2020, the year ended 31 December 2020, down 5.7% on the year before. Net income was $114 million, down 13.1%, and diluted earnings per share $3.36. The figures are the company's own, from the 10-K it filed with the SEC on 18 February 2021.
Revenue
$1.5 billion
-5.7% on the year
FY2013FY2020
Operating margin
12.0%
12.3% a year earlier
FY2013FY2020
Net income
$114 million
-13.1% on the year
FY2013FY2020
Diluted EPS
$3.36
-12.7% on the year
FY2013FY2020
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2020
FY2019
FY2018
On the year
Last 8 years
Revenue
1,509
1,600
1,565
-5.7%
Cost of revenue
883
923
908
-4.3%
Gross profit
625
678
656
-7.7%
Gross margin
41.5%
42.3%
42.0%
Research and development
42.2
39.6
34.5
+6.6%
Selling, general and administrative
434
476
465
-8.8%
Operating income
181
197
188
-8.1%
Operating margin
12.0%
12.3%
12.0%
Interest expense
13.3
14.1
16.3
-5.7%
Pre-tax income
167
184
175
-9.2%
Income tax
52.7
52.4
46.6
+0.6%
Effective tax rate
31.6%
28.5%
26.7%
Net income
114
132
128
-13.1%
Net margin
7.6%
8.2%
8.2%
Diluted EPS
$3.36
$3.85
$3.73
-12.7%
$ 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
FY2020
FY2019
FY2018
On the year
Last 8 years
Operating cash flow
229
194
169
+17.9%
Capital expenditure
43.8
29.2
35.9
+50.0%
Free cash flow
185
165
134
+12.3%
Free cash flow margin
12.3%
10.3%
8.5%
Cash from investing
-54.8
-71.8
-35.9
Cash from financing
-182
-106
-203
Depreciation and amortisation
46.5
46.6
48.5
-0.2%
Share-based compensation
12.7
17.8
13.8
-28.7%
Buybacks
28.9
19.5
26.0
+48.2%
Dividends paid
31.4
31.4
28.3
0.0%
Dividend per share
$0.92
$0.90
$0.82
+2.2%
Diluted shares, weighted
34m
34m
34m
-0.6%
Balance sheet
$ million
FY2020
FY2019
FY2018
On the year
Last 8 years
Shareholders' equity
1,070
978
891
+9.4%
Debt
200
310
355
-35.5%
Operating lease liabilities
47.0
31.9
n/a
+47.3%
Finance lease liabilities
2.9
2.2
n/a
+31.8%
Other liabilities
418
401
407
+4.4%
Total liabilities and equity
1,738
1,723
1,654
+0.9%
Fixed assets
212
200
202
+6.2%
Goodwill
602
581
545
+3.7%
Intangible assets
142
151
165
-6.3%
Cash and equivalents
219
220
204
-0.4%
Receivables
198
220
206
-10.1%
Inventory
264
270
287
-2.4%
Other assets
102
81.0
45.4
+25.4%
Total assets
1,738
1,723
1,654
+0.9%
10-K for the year ended 31 December 2020, filed 18 February 2021: the filing.