Mueller Industries, Inc. (NYSE:MLI) announces results for the third quarter of 2024. Comparisons are to the third quarter of 2023.

Net Sales of $997.8 million versus $819.8 million
Operating Income of $206.7 million versus $181.0 million
Earnings Before Taxes of $217.8 million versus $189.0 million
Net Income of $168.7 million versus $132.7 million
Diluted EPS of $1.48 versus $1.17¹

Third Quarter Financial and Operating Highlights:

COMEX copper averaged $4.23 per pound during the quarter, 12.0% higher than in the third quarter of 2023.
The increase in net sales was attributable to the inclusion of $102.4 million of sales from recently acquired businesses, as well as the higher copper prices.
Selling, general, and administrative expenses increased primarily due to the inclusion of $3.9 million of operating costs from recently acquired businesses, as well as $2.7 million in transaction related expenses.
Investments in unconsolidated affiliates contributed $3.2 million of income, as compared with a $2.4 million loss in the prior year period.
Net cash generated from operations was $231.4 million. Our cash and short-term investments balance was $969.6 million at quarter end, and our current ratio remains strong at 4.9 to 1.

Regarding the quarter performance, Greg Christopher, Mueller's CEO said, "We continued to deliver very good results, and generated significant cash despite generally restrained business conditions during the quarter. We also made substantial progress toward integrating our two recently acquired businesses, which both contributed positively to our results."

He continued, "We anticipate that declining interest rates and moderating inflation, combined with the resolution of election related uncertainty, will create a more stable and favorable environment for us. We have an excellent portfolio of businesses serving essential markets; our operations are well capitalized; our balance sheet is strong; and we have proven capable of quickly adjusting and adapting as conditions require. As such, we remain well positioned to take advantage when conditions improve, and will continue to actively pursue new opportunities to expand and grow."

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¹	Diluted EPS for the second quarter of 2023 has been adjusted retroactively to reflect the two-for-one stock split that took effect on October 20, 2023.

Mueller Industries, Inc. (NYSE:MLI) is an industrial corporation whose holdings manufacture vital goods for important markets such as air, water, oil and gas distribution; climate comfort; food preservation; energy transmission; medical; aerospace; and automotive. It includes a network of companies and brands throughout North America, Europe, Asia, and the Middle East.

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Statements in this release that are not strictly historical may be "forward-looking" statements, which involve risks and uncertainties. These include economic and currency conditions, continued availability of raw materials and energy, market demand, pricing, competitive and technological factors, and the availability of financing, among others, as set forth in the Company's SEC filings. The words "outlook," "estimate," "project," "intend," "expect," "believe," "target," "encourage," "anticipate," "appear," and similar expressions are intended to identify forward-looking statements. The reader should not place undue reliance on forward-looking statements, which speak only as of the date of this report. The Company has no obligation to publicly update or revise any forward-looking statements to reflect events after the date of this report.

MUELLER INDUSTRIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited)

	For the Quarter Ended						For the Nine Months Ended
(In thousands, except per share data)	September 28, 2024			September 30, 2023			September 28, 2024			September 30, 2023

Net sales	$	997,831		$	819,792		$	2,845,230		$	2,687,968

Cost of goods sold		722,469			579,058			2,056,162			1,897,128
Depreciation and amortization		11,710			9,631			30,897			30,704
Selling, general, and administrative expense		59,619			48,295			161,993			156,988
Gain on sale of assets		(2,667	)		—			(3,953	)		—
Gain on sale of business		—			(4,137	)		—			(4,137	)
Asset impairments		—			5,934			—			5,934
Gain on insurance settlement		—			—			—			(19,466	)

Operating income		206,700			181,011			600,131			620,817

Interest expense		(113	)		(230	)		(335	)		(508	)
Interest income		11,145			10,599			42,773			24,566
Realized and unrealized gains (losses) on short-term investments		164			(2,368	)		529			20,362
Other (expense) income, net		(122	)		(47	)		(848	)		2,120

Income before income taxes		217,774			188,965			642,250			667,357

Income tax expense		(49,188	)		(50,843	)		(159,406	)		(174,322	)
Income (loss) from unconsolidated affiliates, net of foreign tax		3,197			(2,413	)		(5,905	)		(2,682	)

Consolidated net income		171,783			135,709			476,939			490,353

Net income attributable to noncontrolling interests		(3,084	)		(3,000	)		(9,712	)		(6,694	)

Net income attributable to Mueller Industries, Inc.	$	168,699		$	132,709		$	467,227		$	483,659

Weighted average shares for basic earnings per share ⁽¹⁾		111,363			111,416			111,332			111,374
Effect of dilutive stock-based awards ⁽¹⁾		2,412			2,452			2,635			2,182

Adjusted weighted average shares for diluted earnings per share ⁽¹⁾		113,775			113,868			113,967			113,556

Basic earnings per share ⁽¹⁾	$	1.51		$	1.19		$	4.20		$	4.34

Diluted earnings per share ⁽¹⁾	$	1.48		$	1.17		$	4.10		$	4.26

Dividends per share ⁽¹⁾	$	0.20		$	0.15		$	0.60		$	0.45

⁽¹⁾Adjusted retroactively to reflect the two-for-one stock split that occurred on October 20, 2023.

MUELLER INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME, CONTINUED
(Unaudited)

	For the Quarter Ended						For the Nine Months Ended
(In thousands)	September 28, 2024			September 30, 2023			September 28, 2024			September 30, 2023

Summary Segment Data:

Net sales:
Piping Systems Segment	$	653,884		$	568,151		$	1,932,521		$	1,868,635
Industrial Metals Segment		238,014			141,012			589,422			452,512
Climate Segment		128,482			119,949			375,824			396,857
Elimination of intersegment sales		(22,549	)		(9,320	)		(52,537	)		(30,036	)

Net sales	$	997,831		$	819,792		$	2,845,230		$	2,687,968

Operating income:
Piping Systems Segment	$	163,601		$	140,609		$	468,539		$	455,605
Industrial Metals Segment		24,197			16,221			78,161			61,407
Climate Segment		40,768			34,846			112,336			145,901
Unallocated income (expenses)		(21,866	)		(10,665	)		(58,905	)		(42,096	)

Operating income	$	206,700		$	181,011		$	600,131		$	620,817

MUELLER INDUSTRIES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS

	(Unaudited)
(In thousands)	September 28, 2024		December 30, 2023
ASSETS
Cash and cash equivalents	$	965,116	$	1,170,893
Short-term investments		4,449		98,146
Accounts receivable, net		500,617		351,561
Inventories		400,252		380,248
Other current assets		45,144		39,173

Total current assets		1,915,578		2,040,021

Property, plant, and equipment, net		506,234		385,165
Operating lease right-of-use assets		32,202		35,170
Other assets		752,118		298,945

Total assets	$	3,206,132	$	2,759,301

LIABILITIES AND STOCKHOLDERS' EQUITY
Current portion of debt	$	927	$	796
Accounts payable		183,511		120,485
Current portion of operating lease liabilities		7,681		7,893
Other current liabilities		201,874		187,964

Total current liabilities		393,993		317,138

Long-term debt		19		185
Pension and postretirement liabilities		12,082		12,062
Environmental reserves		14,696		15,030
Deferred income taxes		24,663		19,134
Noncurrent operating lease liabilities		24,504		26,683
Other noncurrent liabilities		27,539		10,353

Total liabilities		497,496		400,585

Total Mueller Industries, Inc. stockholders' equity		2,678,382		2,337,445
Noncontrolling interests		30,254		21,271

Total equity		2,708,636		2,358,716

Total liabilities and equity	$	3,206,132	$	2,759,301

MUELLER INDUSTRIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

	For the Nine Months Ended
(In thousands)	September 28, 2024			September 30, 2023

Cash flows from operating activities
Consolidated net income	$	476,939		$	490,353
Reconciliation of consolidated net income to net cash provided by operating activities:
Depreciation and amortization		31,140			31,053
Stock-based compensation expense		19,956			17,268
Provision for doubtful accounts receivable		(262	)		(63	)
Loss from unconsolidated affiliates		5,905			2,682
Dividends from unconsolidated affiliates		4,130			—
Insurance proceeds - noncapital related		15,000			9,854
Gain on disposals of properties		(3,953	)		(106	)
Gain on sale of business		—			(4,137	)
Unrealized gain on short-term investments		(164	)		(18,449	)
Gain on sales of securities		(365	)		—
Impairment charges		—			5,934
Gain on insurance settlement		—			(19,466	)
Deferred income tax expense		1,837			3,803
Changes in assets and liabilities, net of effects of businesses acquired:
Receivables		(99,281	)		(36,855	)
Inventories		34,027			53,372
Other assets		(3,175	)		(12,897	)
Current liabilities		25,303			(25,503	)
Other liabilities		(2,467	)		(1,828	)
Other, net		1,217			3,475

Net cash provided by operating activities	$	505,787		$	498,490

Cash flows from investing activities
Capital expenditures	$	(51,288	)	$	(39,469	)
Acquisition of businesses, net of cash acquired		(602,692	)		—
Investments in unconsolidated affiliates		(8,700	)		(3,999	)
Insurance proceeds - capital related		—			24,646
Purchase of short-term investments		(4,285	)		(106,231	)
Purchase of long-term investments		(7,976	)		—
Proceeds from the maturity of short-term investments		—			217,863
Proceeds from the sale of securities		98,465			—
Issuance of notes receivable		(3,800	)		—
Proceeds from sales of properties		9,026			214
Dividends from unconsolidated affiliates		—			1,093

Net cash (used in) provided by investing activities	$	(571,250	)	$	94,117


MUELLER INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)

	For the Nine Months Ended
(In thousands)	September 28, 2024			September 30, 2023

Cash flows from financing activities
Dividends paid to stockholders of Mueller Industries, Inc.	$	(66,796	)	$	(50,133	)
Repurchase of common stock		(48,681	)		(19,303	)
Repayments of debt		(167	)		(185	)
Issuance (repayment) of debt by consolidated joint ventures, net		144			(265	)
Net cash used to settle stock-based awards		(22,946	)		(9,113	)

Net cash used in financing activities	$	(138,446	)	$	(78,999	)

Effect of exchange rate changes on cash		(4,709	)		2,312

(Decrease) increase in cash, cash equivalents, and restricted cash		(208,618	)		515,920
Cash, cash equivalents, and restricted cash at the beginning of the period		1,174,223			465,296

Cash, cash equivalents, and restricted cash at the end of the period	$	965,605		$	981,216

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Mueller Industries, Inc. Reports Third Quarter 2024 Earnings