Water Technology Specialist Xylem Posts Q4 and Full Year Revenue Hikes
Water technology company Xylem reported fourth quarter net income of $50 million, and total revenue for the quarter of $1.1 billion, compared to $994 million in the fourth quarter of 2016, a 10.2-percent increase. The company benefited from contributions from Sensus, which it acquired on Oct. 31, 2016.
For the full year 2016, Xylem posted $3.8 billion in total revenue, a 3-percent year-over-year increase.
“Xylem closed out a transformative year in 2016 and I’m proud of the solid commercial and financial results our team delivered,” said Xylem president and CEO Patrick Decker. “For the year, we generated organic revenue growth in mixed market conditions, and grew our operating margins and earnings in a meaningful way. While the industrial end market was challenged in certain regions, we grew share in the public utility as our industry-leading brands and solutions were increasingly the preferred choice of customers worldwide. We executed our capital deployment strategy as planned, successfully completing three acquisitions that collective expanded our systems intelligence offerings in a significant way and extended our business into global smart technology. We are well underway with the integration of our recent acquisition, Sensus, a business that significantly advances our move into smart water infrastructure.”
Xylem also grew its rental operations internationally with new branches in Latin America and the Middle East.
Xylem is forecasting full-year 2017 revenue in the range of $4.5 to $4.6 billion, a 20- to 22-percent increase, including growth from previously announced acquisitions and projected unfavorable impacts of foreign exchange translation. On an organic basis, Xylem anticipates revenue growth in the 1- to 3-percent range.
Xylem is headquartered in Rye Brook, N.Y.
About the Author
Michael Roth
Editor
Michael Roth has covered the equipment rental industry full time for RER since 1989 and has served as the magazine’s editor in chief since 1994. He has nearly 30 years experience as a professional journalist. Roth has visited hundreds of rental centers and industry manufacturers, written hundreds of feature stories for RER and thousands of news stories for the magazine and its electronic newsletter RER Reports. Roth has interviewed leading executives for most of the industry’s largest rental companies and manufacturers as well as hundreds of smaller independent companies. He has visited with and reported on rental companies and manufacturers in Europe, Central America and Asia as well as Mexico, Canada and the United States. Roth was co-founder of RER Reports, the industry’s first weekly newsletter, which began as a fax newsletter in 1996, and later became an online newsletter. Roth has spoken at conventions sponsored by the American Rental Association, Associated Equipment Distributors, California Rental Association and other industry events and has spoken before industry groups in several countries. He lives and works in Los Angeles when he’s not traveling to cover industry events.