-
First quarter sales of $689 million.
-
First quarter GAAP EPS of $0.30 and adjusted EPS of $0.43.
-
The company reiterates its 2019 GAAP EPS from continuing operations
guidance of approximately $2.04 - $2.09 and on an adjusted basis of
approximately $2.30 - $2.35.
Reconciliations of GAAP to Non-GAAP measures are in the attached
financial tables.
LONDON--(BUSINESS WIRE)--
Pentair plc (NYSE: PNR) today announced first quarter 2019 sales of $689
million. Sales were down 6 percent compared to sales for the same period
last year. Excluding currency translation, acquisitions and
divestitures, core sales declined 4 percent in the first quarter. First
quarter 2019 earnings per diluted share from continuing operations
(“EPS”) were $0.30 compared to $0.32 in the first quarter of 2018. On an
adjusted basis, the company reported EPS of $0.43 compared to $0.49 in
the first quarter of 2018. Segment income, adjusted net income, free
cash flow, and adjusted EPS are described in the attached schedules.
First quarter 2019 operating income was $68 million, down 27 percent
compared to operating income for the first quarter of 2018, and return
on sales (“ROS”) was 9.8 percent, a decrease of 290 basis points when
compared to the first quarter of 2018. On an adjusted basis, the company
reported segment income of $99 million for the first quarter, down 16
percent compared to segment income for the first quarter of 2018, and
ROS was 14.3 percent, a decrease of 170 basis points when compared to
the first quarter of 2018.
Net cash used for operating activities of continuing operations was $257
million and free cash flow usage from continuing operations was $274
million for the quarter.
Pentair paid a regular cash dividend of $0.18 per share in the first
quarter of 2019. Pentair previously announced on December 10, 2018 that
its Board of Directors approved a 3 percent increase in the company's
regular annual cash dividend rate for 2019 to $0.72 from $0.70, adjusted
for the spin-off of nVent Electric plc. This marks the 43rd consecutive
year that Pentair has increased its dividend.
“Wet and cold weather delayed pool construction activity in several key
markets,” said John L. Stauch, Pentair President and Chief Executive
Officer. “We have not seen any significant changes in demand trends
within the important Aquatics markets. The inclement weather also
impacted our higher margin Specialty Ag Spray business within Flow
Technologies. As a result of slower sell-through during the first
quarter, inventory levels were not reduced to the levels we originally
anticipated. We expect inventory levels in the channel to come down as
stronger sell-through resumes in the second and third quarters.”
“We believe this is a 2019 event and we expect to be even better
positioned for the season next year. We continue to invest in our
prioritized growth initiatives around advancing pool growth and
accelerating residential and commercial water treatment. We are
accelerating our productivity initiatives across operations and material
sourcing and optimizing our cost structure. We have a strong capital
structure, solid free cash flow generation, and we are continuing to
invest in our strategy to be the leading residential and commercial
water treatment company.”
OUTLOOK
The company reiterates its estimated 2019 GAAP EPS from continuing
operations of approximately $2.04 - $2.09 and on an adjusted EPS basis
of approximately $2.30 - $2.35. The company reiterates its full year
2019 sales guidance of up approximately 1 to 2 percent on a reported
basis and approximately flat to up 1 percent on a core basis compared to
full year 2018. The company expects full year free cash flow to
approximate adjusted net income.
In addition, the company introduces second quarter 2019 GAAP EPS from
continuing operations guidance of approximately $0.58 - $0.61 and on an
adjusted EPS basis of approximately $0.63 - $0.66. The company expects
second quarter sales to be up approximately 1 to 2 percent on a reported
basis and approximately flat to up 1 percent on a core basis compared to
second quarter 2018.
EARNINGS CONFERENCE CALL
Pentair President and Chief Executive Officer John L. Stauch and Chief
Financial Officer Mark C. Borin will discuss the company’s first quarter
2019 results on a two-way conference call with investors at 9:00 a.m.
Eastern today. A live audio webcast of the call, along with the related
presentation, can be accessed in the Investor Relations section of the
company’s website, www.pentair.com,
shortly before the call begins.
Reconciliations of non-GAAP financial measures are set forth in the
attachments to this release and in the presentation, each of which can
be found on Pentair’s website. The webcast and presentation will be
archived at the company’s website following the conclusion of the event.
CAUTION CONCERNING FORWARD-LOOKING STATEMENTS
This release contains statements that we believe to be "forward-looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. All statements, other than statements of historical
fact are forward-looking statements. Without limitation, any statements
preceded or followed by or that include the words "targets," "plans,"
"believes," "expects," "intends," "will," "likely," "may,"
"anticipates," "estimates," "projects," "should," "would," "positioned,"
"strategy," "future" or words, phrases or terms of similar substance or
the negative thereof, are forward-looking statements. These
forward-looking statements are not guarantees of future performance and
are subject to risks, uncertainties, assumptions and other factors, some
of which are beyond our control, which could cause actual results to
differ materially from those expressed or implied by such
forward-looking statements. These factors include overall global
economic and business conditions impacting our business, including the
strength of housing and related markets; demand, competition and pricing
pressures in the markets we serve; volatility in currency exchange
rates; failure of markets to accept new product introductions and
enhancements; the ability to successfully identify, finance, complete
and integrate acquisitions; the ability to successfully integrate
the Aquion and Pelican Water Systems acquisitions; the ability to
achieve the benefits of our restructuring plans and cost reduction
initiatives; risks associated with operating foreign businesses; the
impact of material cost and other inflation; the impact of seasonality
of sales and weather conditions; our ability to comply with laws and
regulations; the impact of changes in laws, regulations and
administrative policy, including those that limit U.S. tax benefits or
impact trade agreements and tariffs; the outcome of litigation and
governmental proceedings; the ability to realize the anticipated
benefits from the separation of nVent Electric plc from Pentair; and the
ability to achieve our long-term strategic operating goals. Additional
information concerning these and other factors is contained in our
filings with the Securities and Exchange Commission, including our
Annual Report on Form 10-K for the year ended December 31, 2018. All
forward-looking statements speak only as of the date of this release.
Pentair plc assumes no obligation, and disclaims any obligation, to
update the information contained in this release.
ABOUT PENTAIR PLC
At Pentair, we believe the health of our world depends on reliable
access to clean water. We deliver a comprehensive range of smart,
sustainable water solutions to homes, business and industry around the
world. Our industry leading and proven portfolio of solutions enables
our customers to access clean, safe water. Whether it’s improving,
moving or enjoying water, we help manage the world’s most precious
resource. Smart, Sustainable, Water Solutions. For Life.
Pentair had revenue in 2018 of $3 billion, and trades under the ticker
symbol PNR. With approximately 130 locations in 34 countries and 10,000
employees, we believe that the future of water depends on us. To learn
more, visit www.pentair.com.
|
|
|
Pentair plc and Subsidiaries
|
|
Condensed Consolidated Statements of Operations (Unaudited)
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
|
|
March 31,
|
|
March 31,
|
|
In millions, except per-share data
|
|
|
2019
|
|
2018
|
|
Net sales
|
|
|
$
|
688.9
|
|
|
$
|
732.6
|
|
|
Cost of goods sold
|
|
|
|
453.3
|
|
|
|
479.3
|
|
|
Gross profit
|
|
|
|
235.6
|
|
|
|
253.3
|
|
|
% of net sales
|
|
|
|
34.2
|
%
|
|
|
34.6
|
%
|
|
Selling, general and administrative
|
|
|
|
147.3
|
|
|
|
141.8
|
|
|
% of net sales
|
|
|
|
21.4
|
%
|
|
|
19.4
|
%
|
|
Research and development
|
|
|
|
20.7
|
|
|
|
18.8
|
|
|
% of net sales
|
|
|
|
3.0
|
%
|
|
|
2.6
|
%
|
|
Operating income
|
|
|
|
67.6
|
|
|
|
92.7
|
|
|
% of net sales
|
|
|
|
9.8
|
%
|
|
|
12.7
|
%
|
|
Other (income) expense:
|
|
|
|
|
|
|
(Gain) loss on sale of business
|
|
|
|
(3.5
|
)
|
|
|
5.3
|
|
|
Other expense
|
|
|
|
0.6
|
|
|
|
0.4
|
|
|
Net interest expense
|
|
|
|
7.3
|
|
|
|
13.5
|
|
|
% of net sales
|
|
|
|
1.1
|
%
|
|
|
1.8
|
%
|
|
Income from continuing operations before income taxes
|
|
|
|
63.2
|
|
|
|
73.5
|
|
|
Provision for income taxes
|
|
|
|
10.8
|
|
|
|
15.1
|
|
|
Effective tax rate
|
|
|
|
17.1
|
%
|
|
|
20.5
|
%
|
|
Net income from continuing operations
|
|
|
|
52.4
|
|
|
|
58.4
|
|
|
(Loss) income from discontinued operations, net of tax
|
|
|
|
(1.1
|
)
|
|
|
44.5
|
|
|
Net income
|
|
|
$
|
51.3
|
|
|
$
|
102.9
|
|
|
Earnings (loss) per ordinary share
|
|
|
|
|
|
|
Basic
|
|
|
|
|
|
|
Continuing operations
|
|
|
$
|
0.31
|
|
|
$
|
0.33
|
|
|
Discontinued operations
|
|
|
|
(0.01
|
)
|
|
|
0.24
|
|
|
Basic earnings per ordinary share
|
|
|
$
|
0.30
|
|
|
$
|
0.57
|
|
|
Diluted
|
|
|
|
|
|
|
Continuing operations
|
|
|
$
|
0.30
|
|
|
$
|
0.32
|
|
|
Discontinued operations
|
|
|
|
—
|
|
|
|
0.25
|
|
|
Diluted earnings per ordinary share
|
|
|
$
|
0.30
|
|
|
$
|
0.57
|
|
|
Weighted average ordinary shares outstanding
|
|
|
|
|
|
|
Basic
|
|
|
|
171.6
|
|
|
|
179.2
|
|
|
Diluted
|
|
|
|
172.5
|
|
|
|
181.5
|
|
|
Cash dividends paid per ordinary share
|
|
|
$
|
0.18
|
|
|
$
|
0.35
|
|
|
|
|
|
|
|
|
|
|
Pentair plc and Subsidiaries
|
|
Condensed Consolidated Balance Sheets (Unaudited)
|
|
|
|
|
|
|
|
|
|
March 31,
2019
|
|
December 31,
2018
|
|
In millions
|
|
|
|
|
Assets
|
|
Current assets
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
$
|
78.9
|
|
$
|
74.3
|
|
Accounts and notes receivable, net
|
|
|
|
645.7
|
|
|
488.2
|
|
Inventories
|
|
|
|
421.8
|
|
|
387.5
|
|
Other current assets
|
|
|
|
105.2
|
|
|
89.4
|
|
Total current assets
|
|
|
|
1,251.6
|
|
|
1,039.4
|
|
Property, plant and equipment, net
|
|
|
|
279.1
|
|
|
272.6
|
|
Other assets
|
|
|
|
|
|
|
Goodwill
|
|
|
|
2,283.0
|
|
|
2,072.7
|
|
Intangibles, net
|
|
|
|
361.5
|
|
|
276.3
|
|
Other non-current assets
|
|
|
|
207.0
|
|
|
145.5
|
|
Total other assets
|
|
|
|
2,851.5
|
|
|
2,494.5
|
|
Total assets
|
|
|
$
|
4,382.2
|
|
$
|
3,806.5
|
|
Liabilities and Equity
|
|
Current liabilities
|
|
|
|
|
|
|
Accounts payable
|
|
|
$
|
265.3
|
|
$
|
378.6
|
|
Employee compensation and benefits
|
|
|
|
94.2
|
|
|
111.7
|
|
Other current liabilities
|
|
|
|
345.8
|
|
|
328.4
|
|
Total current liabilities
|
|
|
|
705.3
|
|
|
818.7
|
|
Other liabilities
|
|
|
|
|
|
|
Long-term debt
|
|
|
|
1,370.7
|
|
|
787.6
|
|
Pension and other post-retirement compensation and benefits
|
|
|
|
89.8
|
|
|
90.0
|
|
Deferred tax liabilities
|
|
|
|
124.6
|
|
|
105.9
|
|
Other non-current liabilities
|
|
|
|
221.4
|
|
|
168.2
|
|
Total liabilities
|
|
|
|
2,511.8
|
|
|
1,970.4
|
|
Equity
|
|
|
|
1,870.4
|
|
|
1,836.1
|
|
Total liabilities and equity
|
|
|
$
|
4,382.2
|
|
$
|
3,806.5
|
|
|
|
|
|
|
|
|
|
Pentair plc and Subsidiaries
|
|
Condensed Consolidated Statements of Cash Flows (Unaudited)
|
|
|
|
|
|
Three months ended
|
|
|
|
March 31,
|
|
|
March 31,
|
|
In millions
|
|
|
2019
|
|
|
2018
|
|
Operating activities
|
|
|
|
|
|
|
|
Net income
|
|
|
$
|
51.3
|
|
|
|
$
|
102.9
|
|
|
Loss (income) from discontinued operations, net of tax
|
|
|
|
1.1
|
|
|
|
|
(44.5
|
)
|
|
Adjustments to reconcile net income from continuing operations to
net cash provided by (used for) operating activities of continuing
operations
|
|
|
|
|
|
|
|
Equity income of unconsolidated subsidiaries
|
|
|
|
(0.6
|
)
|
|
|
|
(0.6
|
)
|
|
Depreciation
|
|
|
|
12.0
|
|
|
|
|
12.6
|
|
|
Amortization
|
|
|
|
8.2
|
|
|
|
|
9.3
|
|
|
Deferred income taxes
|
|
|
|
(1.7
|
)
|
|
|
|
(9.9
|
)
|
|
(Gain) loss on sale of business
|
|
|
|
(3.5
|
)
|
|
|
|
5.3
|
|
|
Share-based compensation
|
|
|
|
5.4
|
|
|
|
|
6.0
|
|
|
Trade name and other impairment
|
|
|
|
15.3
|
|
|
|
|
—
|
|
|
Changes in assets and liabilities, net of effects of business
acquisitions
|
|
|
|
|
|
|
|
Accounts and notes receivable
|
|
|
|
(154.0
|
)
|
|
|
|
(146.2
|
)
|
|
Inventories
|
|
|
|
(22.2
|
)
|
|
|
|
(8.4
|
)
|
|
Other current assets
|
|
|
|
(22.5
|
)
|
|
|
|
5.6
|
|
|
Accounts payable
|
|
|
|
(118.2
|
)
|
|
|
|
(59.7
|
)
|
|
Employee compensation and benefits
|
|
|
|
(18.9
|
)
|
|
|
|
(30.1
|
)
|
|
Other current liabilities
|
|
|
|
(8.3
|
)
|
|
|
|
(39.6
|
)
|
|
Other non-current assets and liabilities
|
|
|
|
(0.5
|
)
|
|
|
|
3.3
|
|
|
Net cash used for operating activities of continuing operations
|
|
|
|
(257.1
|
)
|
|
|
|
(194.0
|
)
|
|
Net cash provided by operating activities of discontinued operations
|
|
|
|
0.8
|
|
|
|
|
26.4
|
|
|
Net cash used for operating activities
|
|
|
|
(256.3
|
)
|
|
|
|
(167.6
|
)
|
|
Investing activities
|
|
|
|
|
|
|
|
Capital expenditures
|
|
|
|
(16.8
|
)
|
|
|
|
(11.5
|
)
|
|
Proceeds from sale of property and equipment
|
|
|
|
0.3
|
|
|
|
|
—
|
|
|
Proceeds from (payments due to) the sale of businesses, net
|
|
|
|
0.7
|
|
|
|
|
(13.8
|
)
|
|
Acquisitions, net of cash acquired
|
|
|
|
(287.2
|
)
|
|
|
|
(0.9
|
)
|
|
Other
|
|
|
|
(1.5
|
)
|
|
|
|
—
|
|
|
Net cash used for investing activities of continuing operations
|
|
|
|
(304.5
|
)
|
|
|
|
(26.2
|
)
|
|
Net cash used for investing activities of discontinued operations
|
|
|
|
—
|
|
|
|
|
(5.0
|
)
|
|
Net cash used for investing activities
|
|
|
|
(304.5
|
)
|
|
|
|
(31.2
|
)
|
|
Financing activities
|
|
|
|
|
|
|
|
Net receipts of commercial paper and revolving long-term debt
|
|
|
|
584.1
|
|
|
|
|
417.5
|
|
|
Shares issued to employees, net of shares withheld
|
|
|
|
5.9
|
|
|
|
|
0.9
|
|
|
Repurchases of ordinary shares
|
|
|
|
—
|
|
|
|
|
(150.0
|
)
|
|
Dividends paid
|
|
|
|
(31.0
|
)
|
|
|
|
(63.3
|
)
|
|
Net cash provided by financing activities of continuing operations
|
|
|
|
559.0
|
|
|
|
|
205.1
|
|
|
Net cash provided by financing activities of discontinued operations
|
|
|
|
—
|
|
|
|
|
792.7
|
|
|
Net cash provided by financing activities
|
|
|
|
559.0
|
|
|
|
|
997.8
|
|
|
Change in cash held for sale
|
|
|
|
—
|
|
|
|
|
(809.7
|
)
|
|
Effect of exchange rate changes on cash and cash equivalents
|
|
|
|
6.4
|
|
|
|
|
(4.8
|
)
|
|
Change in cash and cash equivalents
|
|
|
|
4.6
|
|
|
|
|
(15.5
|
)
|
|
Cash and cash equivalents, beginning of period
|
|
|
|
74.3
|
|
|
|
|
86.3
|
|
|
Cash and cash equivalents, end of period
|
|
|
$
|
78.9
|
|
|
|
$
|
70.8
|
|
|
|
|
|
|
|
|
|
|
|
Pentair plc and Subsidiaries
|
|
Reconciliation of the GAAP operating activities cash flow to the
non-GAAP free cash flow (Unaudited)
|
|
|
|
|
|
Three months ended
|
|
|
|
March 31,
|
|
March 31,
|
|
In millions
|
|
|
2019
|
|
2018
|
|
Net cash used for operating activities of continuing operations
|
|
|
$
|
(257.1
|
)
|
|
$
|
(194.0
|
)
|
|
Capital expenditures
|
|
|
|
(16.8
|
)
|
|
|
(11.5
|
)
|
|
Proceeds from sale of property and equipment
|
|
|
|
0.3
|
|
|
|
—
|
|
|
Free cash flow from continuing operations
|
|
|
$
|
(273.6
|
)
|
|
$
|
(205.5
|
)
|
|
Net cash provided by operating activities of discontinued operations
|
|
|
|
0.8
|
|
|
|
26.4
|
|
|
Capital expenditures of discontinued operations
|
|
|
|
—
|
|
|
|
(5.3
|
)
|
|
Proceeds from sale of property and equipment of discontinued
operations
|
|
|
|
—
|
|
|
|
2.3
|
|
|
Free cash flow
|
|
|
$
|
(272.8
|
)
|
|
$
|
(182.1
|
)
|
|
|
|
|
|
|
|
|
|
Pentair plc and Subsidiaries
|
|
Supplemental Financial Information by Reportable Segment
(Unaudited)
|
|
|
|
|
|
|
|
|
|
2019
|
|
2018
|
|
|
|
First
|
|
First
|
|
In millions
|
|
|
Quarter
|
|
Quarter
|
|
Net sales
|
|
|
|
|
|
|
Aquatic Systems
|
|
|
$
|
220.5
|
|
|
$
|
240.4
|
|
|
Filtration Solutions
|
|
|
|
239.3
|
|
|
|
251.6
|
|
|
Flow Technologies
|
|
|
|
228.7
|
|
|
|
240.3
|
|
|
Other
|
|
|
|
0.4
|
|
|
|
0.3
|
|
|
Consolidated
|
|
|
$
|
688.9
|
|
|
$
|
732.6
|
|
|
Segment income (loss)
|
|
|
|
|
|
|
Aquatic Systems
|
|
|
$
|
52.4
|
|
|
$
|
60.0
|
|
|
Filtration Solutions
|
|
|
|
33.7
|
|
|
|
33.7
|
|
|
Flow Technologies
|
|
|
|
30.1
|
|
|
|
38.7
|
|
|
Other
|
|
|
|
(17.5
|
)
|
|
|
(15.4
|
)
|
|
Consolidated
|
|
|
$
|
98.7
|
|
|
$
|
117.0
|
|
|
Return on sales
|
|
|
|
|
|
|
Aquatic Systems
|
|
|
|
23.8
|
%
|
|
|
25.0
|
%
|
|
Filtration Solutions
|
|
|
|
14.1
|
%
|
|
|
13.4
|
%
|
|
Flow Technologies
|
|
|
|
13.2
|
%
|
|
|
16.1
|
%
|
|
Consolidated
|
|
|
|
14.3
|
%
|
|
|
16.0
|
%
|
|
|
|
|
|
|
|
|
|
Pentair plc and Subsidiaries
|
|
Reconciliation of the GAAP year ended December 31, 2019 to the
non-GAAP
|
|
excluding the effect of 2019 adjustments (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Actual
|
|
Forecast
|
|
|
|
First
|
|
Second
|
|
Full
|
|
In millions, except per-share data
|
|
|
Quarter
|
|
Quarter
|
|
Year
|
|
Net sales
|
|
|
$
|
688.9
|
|
|
approx
|
|
Up 1 - 2 %
|
|
approx
|
|
Up 1 - 2 %
|
|
Operating income
|
|
|
|
67.6
|
|
|
approx
|
|
Up 16 - 18 %
|
|
approx
|
|
Up 9 - 11 %
|
|
% of net sales
|
|
|
|
9.8
|
%
|
|
|
|
|
|
|
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
Restructuring and other
|
|
|
|
1.1
|
|
|
approx
|
|
—
|
|
approx
|
|
1
|
|
Intangible amortization
|
|
|
|
8.2
|
|
|
approx
|
|
9
|
|
approx
|
|
35
|
|
Asset impairment
|
|
|
|
15.3
|
|
|
approx
|
|
—
|
|
approx
|
|
15
|
|
Inventory step-up
|
|
|
|
1.7
|
|
|
approx
|
|
1
|
|
approx
|
|
3
|
|
Deal-related costs and expenses
|
|
|
|
4.2
|
|
|
approx
|
|
—
|
|
approx
|
|
4
|
|
Equity income of unconsolidated subsidiaries
|
|
|
|
0.6
|
|
|
approx
|
|
1
|
|
approx
|
|
4
|
|
Segment income
|
|
|
|
98.7
|
|
|
approx
|
|
Down 5 - 7 %
|
|
approx
|
|
Flat - Up 2 %
|
|
Return on sales
|
|
|
|
14.3
|
%
|
|
|
|
|
|
|
|
|
|
Net income from continuing operations—as reported
|
|
|
|
52.4
|
|
|
approx
|
|
$100 - $105
|
|
approx
|
|
$351 - $360
|
|
Gain on sale of business
|
|
|
|
(3.5
|
)
|
|
approx
|
|
—
|
|
approx
|
|
(4)
|
|
Adjustments to operating income
|
|
|
|
30.5
|
|
|
approx
|
|
10
|
|
approx
|
|
58
|
|
Income tax adjustments
|
|
|
|
(5.4
|
)
|
|
approx
|
|
(2)
|
|
approx
|
|
(12)
|
|
Net income from continuing operations—as adjusted
|
|
|
$
|
74.0
|
|
|
approx
|
|
$108 - $113
|
|
approx
|
|
$393 - $402
|
|
Continuing earnings per ordinary share—diluted
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per ordinary share—as reported
|
|
|
$
|
0.30
|
|
|
approx
|
|
$0.58 - $0.61
|
|
approx
|
|
$2.04 - $2.09
|
|
Adjustments
|
|
|
|
0.13
|
|
|
approx
|
|
0.05
|
|
approx
|
|
0.26
|
|
Diluted earnings per ordinary share—as adjusted
|
|
|
$
|
0.43
|
|
|
approx
|
|
$0.63 - $0.66
|
|
approx
|
|
$2.30 - $2.35
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pentair plc and Subsidiaries
|
|
Reconciliation of the GAAP year ended December 31, 2018 to the
non-GAAP
|
|
excluding the effect of 2018 adjustments (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First
|
|
Second
|
|
Third
|
|
Fourth
|
|
Full
|
|
In millions, except per-share data
|
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Year
|
|
Net sales
|
|
|
$
|
732.6
|
|
|
$
|
780.6
|
|
|
$
|
711.4
|
|
|
$
|
740.5
|
|
|
$
|
2,965.1
|
|
|
Operating income
|
|
|
|
92.7
|
|
|
|
122.6
|
|
|
|
108.4
|
|
|
|
113.0
|
|
|
|
436.7
|
|
|
% of net sales
|
|
|
|
12.7
|
%
|
|
|
15.7
|
%
|
|
|
15.2
|
%
|
|
|
15.3
|
%
|
|
|
14.7
|
%
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
Restructuring and other
|
|
|
|
5.6
|
|
|
|
19.0
|
|
|
|
3.5
|
|
|
|
3.7
|
|
|
|
31.8
|
|
|
Intangible amortization
|
|
|
|
9.3
|
|
|
|
9.1
|
|
|
|
8.6
|
|
|
|
7.9
|
|
|
|
34.9
|
|
|
Trade name and other impairment
|
|
|
|
—
|
|
|
|
6.0
|
|
|
|
—
|
|
|
|
6.0
|
|
|
|
12.0
|
|
|
Corporate allocations
|
|
|
|
8.8
|
|
|
|
2.2
|
|
|
|
—
|
|
|
|
—
|
|
|
|
11.0
|
|
|
Deal-related costs and expenses
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2.0
|
|
|
|
2.0
|
|
|
Equity income of unconsolidated subsidiaries
|
|
|
|
0.6
|
|
|
|
5.2
|
|
|
|
1.3
|
|
|
|
1.3
|
|
|
|
8.4
|
|
|
Segment income
|
|
|
|
117.0
|
|
|
|
164.1
|
|
|
|
121.8
|
|
|
|
133.9
|
|
|
|
536.8
|
|
|
Return on sales
|
|
|
|
16.0
|
%
|
|
|
21.0
|
%
|
|
|
17.1
|
%
|
|
|
18.1
|
%
|
|
|
18.1
|
%
|
|
Net income from continuing operations—as reported
|
|
|
|
58.4
|
|
|
|
77.9
|
|
|
|
91.2
|
|
|
|
94.2
|
|
|
|
321.7
|
|
|
Loss on sale of business
|
|
|
|
5.3
|
|
|
|
0.9
|
|
|
|
0.2
|
|
|
|
0.9
|
|
|
|
7.3
|
|
|
Loss on early extinguishment of debt
|
|
|
|
—
|
|
|
|
17.1
|
|
|
|
—
|
|
|
|
—
|
|
|
|
17.1
|
|
|
Interest expense adjustment
|
|
|
|
6.0
|
|
|
|
2.4
|
|
|
|
—
|
|
|
|
—
|
|
|
|
8.4
|
|
|
Pension and other post-retirement mark-to-market loss
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2.2
|
|
|
|
1.4
|
|
|
|
3.6
|
|
|
Adjustments to operating income
|
|
|
|
23.7
|
|
|
|
36.3
|
|
|
|
12.1
|
|
|
|
19.6
|
|
|
|
91.7
|
|
|
Income tax adjustments
|
|
|
|
(4.5
|
)
|
|
|
(7.1
|
)
|
|
|
(10.3
|
)
|
|
|
(11.5
|
)
|
|
|
(33.4
|
)
|
|
Net income from continuing operations—as adjusted
|
|
|
$
|
88.9
|
|
|
$
|
127.5
|
|
|
$
|
95.4
|
|
|
$
|
104.6
|
|
|
$
|
416.4
|
|
|
Continuing earnings per ordinary share—diluted
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per ordinary share—as reported
|
|
|
$
|
0.32
|
|
|
$
|
0.44
|
|
|
$
|
0.52
|
|
|
$
|
0.54
|
|
|
$
|
1.81
|
|
|
Adjustments
|
|
|
|
0.17
|
|
|
|
0.27
|
|
|
|
0.02
|
|
|
|
0.06
|
|
|
|
0.54
|
|
|
Diluted earnings per ordinary share—as adjusted
|
|
|
$
|
0.49
|
|
|
$
|
0.71
|
|
|
$
|
0.54
|
|
|
$
|
0.60
|
|
|
$
|
2.35
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pentair plc and Subsidiaries
|
|
Reconciliation of Net Sales Growth to Core Net Sales Growth by
Segment
|
|
For the Quarter Ending March 31, 2019 (Unaudited)
|
|
|
|
|
Actual
|
|
|
Q1 Net Sales Growth
|
|
|
|
Core
|
|
Currency
|
|
Acq. / Div.
|
|
Total
|
|
Total Pentair
|
|
(4.2
|
)%
|
|
(2.4
|
)%
|
|
0.6
|
%
|
|
(6.0
|
)%
|
|
Aquatic Systems
|
|
(6.4
|
)%
|
|
(0.8
|
)%
|
|
(1.1
|
)%
|
|
(8.3
|
)%
|
|
Filtration Solutions
|
|
(6.0
|
)%
|
|
(3.7
|
)%
|
|
4.8
|
%
|
|
(4.9
|
)%
|
|
Flow Technologies
|
|
(0.3
|
)%
|
|
(2.4
|
)%
|
|
(2.1
|
)%
|
|
(4.8
|
)%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pentair plc and Subsidiaries
|
|
Reconciliation of Net Sales Growth to Core Net Sales Growth by
Segment
|
|
For the Quarter Ending June 30, 2019 and Year Ending December 31,
2019 (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Forecast
|
|
|
|
|
Q2 Net Sales Growth
|
|
Full Year Net Sales Growth
|
|
|
|
|
|
|
|
|
Acq. /
|
|
|
|
|
|
|
|
Acq. /
|
|
|
|
|
|
|
|
Core
|
|
Currency
|
|
Div.
|
|
Total
|
|
Core
|
|
Currency
|
|
Div.
|
|
Total
|
|
Total Pentair
|
|
approx
|
|
0 - 1 %
|
|
(2) %
|
|
3 %
|
|
1 - 2 %
|
|
0 - 1 %
|
|
(2) %
|
|
3 %
|
|
1 - 2 %
|
|
Aquatic Systems
|
|
approx
|
|
(1) - 0 %
|
|
0 %
|
|
0 %
|
|
(1) - 0 %
|
|
(2) - 0 %
|
|
0 %
|
|
0 %
|
|
(2) - 0 %
|
|
Filtration Solutions
|
|
approx
|
|
(2) - 0 %
|
|
(3) %
|
|
10 %
|
|
5 - 7 %
|
|
(1) - 0 %
|
|
(2) %
|
|
10 %
|
|
7 - 8 %
|
|
Flow Technologies
|
|
approx
|
|
2 - 4 %
|
|
(2) %
|
|
(2) %
|
|
(2) - 0 %
|
|
2 - 4 %
|
|
(1) %
|
|
(2) %
|
|
(1) - 1 %
|
View source version on businesswire.com:
https://www.businesswire.com/news/home/20190417005177/en/
PENTAIR CONTACTS
Jim Lucas
Senior Vice President,
Investor Relations and Treasurer
Direct: 763-656-5575
Email: jim.lucas@pentair.com
Rebecca Osborn
Senior Manager, External Communications
Direct:
763-656-5589
Email: rebecca.osborn@pentair.com
Source: Pentair plc