PENTAIR plc SEC 10-Q Report

PENTAIR plc, a global leader in water treatment and sustainable solutions, has released its Form 10-Q report for the second quarter of 2025. The report highlights the company's financial performance, operational achievements, and strategic initiatives aimed at driving future growth and operational excellence.

Financial Highlights

• Net sales: $1,123.1 million, increased by 2.2% from the prior year period driven by increased selling prices and favorable foreign currency effects.
• Gross profit: $456.6 million, representing 40.7% of net sales, up from 39.8% in the prior year period due to increased selling prices and productivity improvements.
• Operating income: $217.7 million, decreased by 12.2% from the prior year period, impacted by a loss on sale of business and increased SG&A expenses.
• Net income: $148.5 million, decreased from $186.1 million in the prior year period, reflecting the impact of restructuring and transformation costs.
• Diluted earnings per ordinary share: $0.90, down from $1.11 in the prior year period, reflecting lower net income.

Business Highlights

• Revenue Segments: The company is organized into three reportable segments: Flow, Water Solutions, and Pool. For the first six months of 2025, these segments represented approximately 36%, 26%, and 38% of total consolidated net sales, respectively.
• Geographical Performance: The U.S. market showed strong performance with net sales of $807.4 million for the three months ended June 30, 2025, up from $773.6 million in the same period of 2024. Western Europe and Developing regions saw slight declines in sales, while Other Developed regions remained relatively stable.
• Sales Units: The Pool segment experienced increased sales volume due to higher demand compared to the same periods of the prior year, contributing to a 9.1% increase in net sales for the second quarter of 2025.
• Future Outlook: The company plans to continue executing its Transformation Program to drive operational excellence, reduce complexity, and improve organizational structure. It also aims to focus on growth initiatives in digital, innovation, technology, and sustainability.
• Operational Challenges: The company faced inflationary cost increases for raw materials and logistics, which it mitigated through increased selling prices and productivity improvements. The ongoing volatile market for commodities and tariffs is expected to continue impacting operations.
• Strategic Initiatives: The company is implementing 80/20 guiding principles to focus on key customers and products, aiming to improve operating performance by driving growth with high-value customers and reducing lower-margin sales.

SEC Filing: PENTAIR plc [ PNR ] - 10-Q - Jul. 22, 2025