Xylem reports strong third quarter 2017
Water technology company Xylem has reported a positive third quarter of 2017.
The newly published results show strong revenue, orders and earnings growth for the US based company. Xylem generated $1.2 billion in the third quarter, a 33% increase for the period year-on-year. The reported net income for the period was $105 million, or $0.58 per share. Adjusted net income for the quarter was $119 million or $0.65 per share, up 20% versus the same period in 2016.
Xylem’s global orders grew 6% organically, while the company’s reported operating margin increased 50 basis points to 12.7%. The adjusted operating margin increased 20 basis points, excluding the impact of Xylem’s purchase of Sensus.
“As conditions in our varied end markets continued to improve, we generated solid growth and, in some cases, captured share, expanding the reach of Xylem solutions,” said Patrick Decker, president and CEO of Xylem.
“We delivered positive organic growth in each of our geographic regions, while continuing to deliver on our productivity initiatives. We’ve been building momentum in our business over the past several quarters, which is reflected in our robust 6% orders growth in the third quarter. That, combined with continued solid market execution, positions us well for strong revenue growth and margin expansion in the fourth quarter and into 2018.”
Xylem ups forecasts for the rest of the year
Xylem is now forecasting full-year 2017 revenue of approximately $4.7 billion, up 24% to 25% including growth from previously announced acquisitions and projected impacts of foreign exchange translation.
The company is now expecting to deliver adjusted earnings per share of $2.39 to $2.41. This represents an increase of 18 to 19% from Xylem’s 2016 adjusted results. The company’s adjusted earnings outlook excludes projected integration, restructuring and realignment costs, which now are forecast to be approximately $50 million for the year.