Xylem Grows First Quarter Revenue 26 Percent
Global water technology and pump manufacturer and rental company Xylem posted $1.1 billion in first quarter 2017 revenue, a 26-percent year-over-year increase including the impact of acquisitions. Reported and adjusted EBITDA jumped 80 and 100 basis points, respectively. Adjusted net income for the quarter was $71 million, an 11-percent leap compared to the first quarter of 2016.
Xylem’s forma organic revenue, including Sensus, grew 1 percent in the quarter, reflecting the 7-percent year-over-year increase in the Sensus business, as well as growth in the residential and commercial end markets. This growth was partially offset by a decline in the public utility end market in Xylem’s Water Infrastructure segment.
“Our performance in the first quarter was slightly better than our expectations overall,” said Patrick Decker, president and CEO of Xylem. “There were a number of encouraging signs of growing strength in our most important end market geographies… And we were pleased to see momentum continuing to build in key emerging markets, where our orders were up 14 percent in the quarter. These results underpin our outlook for solid growth this year.”
Xylem continues to forecast full-year 2017 revenue in the range of $4.5 billion to $4.6 billion, up 20 to 22 percent, including growth from previously announced acquisitions and projected unfavorable impacts of foreign exchange translation.
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.