Xylem (XYL) FY2022 results: revenue $5.5 billion, up 6.3% on the year

Xylem Inc. (XYL) reported revenue of $5.5 billion for fiscal 2022, the year ended 31 December 2022, up 6.3% on the year before. Net income was $355 million, down 16.9%, and diluted earnings per share $1.96. The figures are the company's own, from the 10-K it filed with the SEC on 24 February 2023.

Revenue

$5.5 billion

+6.3% on the year

FY2015FY2022

Operating margin

11.3%

11.3% a year earlier

FY2015FY2022

Net income

$355 million

-16.9% on the year

FY2015FY2022

Diluted EPS

$1.96

-16.6% on the year

FY2015FY2022

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2022 · Q2 FY2022 · Q3 FY2022 · Q4 FY2022

Income statement (profit and loss)

$ million	FY2022	FY2021	FY2020	On the year
Revenue	5,522	5,195	4,876	+6.3%
Cost of revenue	3,438	3,220	3,046	+6.8%
Gross profit	2,084	1,975	1,830	+5.5%
Gross margin	37.7%	38.0%	37.5%
Research and development	206	204	187	+1.0%
Selling, general and administrative	1,227	1,179	1,143	+4.1%
Operating income	622	585	367	+6.3%
Operating margin	11.3%	11.3%	7.5%
Interest expense	50.0	76.0	77.0	-34.2%
Pre-tax income	440	511	285	-13.9%
Income tax	85.0	84.0	31.0	+1.2%
Effective tax rate	19.3%	16.4%	10.9%
Net income	355	427	254	-16.9%
Net margin	6.4%	8.2%	5.2%
Diluted EPS	$1.96	$2.35	$1.40	-16.6%

$ million except per share.

Free 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	FY2022	FY2021	FY2020	On the year
Operating cash flow	596	538	824	+10.8%
Capital expenditure	208	208	183	0.0%
Free cash flow	388	330	641	+17.6%
Free cash flow margin	7.0%	6.4%	13.1%
Cash from investing	-191	-183	-169
Cash from financing	-790	-855	473
Depreciation and amortisation	236	245	251	-3.7%
Share-based compensation	37.0	33.0	26.0	+12.1%
Buybacks	52.0	68.0	61.0	-23.5%
Dividends paid	217	203	188	+6.9%
Dividend per share	$1.20	$1.12	$1.04	+7.1%
Diluted shares, weighted	181m	182m	181m	-0.3%
Shares outstanding at period end	180m	180m	180m	-0.1%

Balance sheet

$ million	FY2022	FY2021	FY2020	On the year
Shareholders' equity	3,494	3,218	2,968	+8.6%
Non-controlling interest	9.0	8.0	8.0	+12.5%
Debt	1,880	2,440	3,084	-23.0%
Operating lease liabilities	228	243	216	-6.2%
Finance lease liabilities	21.0	n/a	n/a
Other liabilities	2,320	2,367	2,474	-2.0%
Total liabilities and equity	7,952	8,276	8,750	-3.9%
Fixed assets	630	644	657	-2.2%
Goodwill	2,719	2,792	2,854	-2.6%
Intangible assets	930	1,016	1,093	-8.5%
Cash and equivalents	944	1,349	1,875	-30.0%
Receivables	1,096	953	923	+15.0%
Inventory	799	700	558	+14.1%
Other assets	834	822	790	+1.5%
Total assets	7,952	8,276	8,750	-3.9%

10-K for the year ended 31 December 2022, filed 24 February 2023: the filing.