Watts Water Technologies Q2 sales rise 19% to $763 million; full-year outlook raised
Watts Water Technologies reported second quarter 2026 net sales of $763.2 million, up 19% on a reported basis and 12% organically, with diluted EPS of $3.53, up 17%. The company raised its full-year 2026 sales and margin outlook, though operating margin fell 80 basis points, which shareholders may watch as the company absorbs acquisition dilution, inflation and tariffs.
Key points
- Net sales of $763.2 million rose 19% reported and 12% organic, driven by price realization and data center volume growth.
- Diluted EPS was $3.53, up 17%; adjusted diluted EPS was $3.66, up 18%, versus the prior-year quarter.
- Operating margin was 20.2%, down 80 basis points, due to acquisition dilution, inflation, tariffs and a one-time prior-year tariff benefit.
- Full-year 2026 reported sales growth outlook was raised to 14% to 17%, and operating margin outlook to 19.4% to 20.0%.
The filing
Written by AI (Anthropic Claude, claude-haiku-5-5) on Nov 8, 2026, 12:56 AM ET, from the text of the filing and its press-release exhibits only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on August 05, 2026.
Briefs are written by AI from the filing text (each brief's own page names the model) and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the model's reading of the filing for shareholders, not a price forecast. Not investment advice.