Pentair plc (NYSE:PNR) delivered second-quarter results that came in ahead of expectations on the earnings front, though shares edged down in pre-market trading due to a mixed outlook for the months ahead.
The water technology company reported adjusted earnings per share of $1.39 for the quarter, surpassing Wall Street’s consensus of $1.34. Revenue totaled $1.12 billion, matching analyst projections and reflecting a 2% year-over-year increase. On a core basis—excluding foreign exchange and M&A activity—sales were up 1%.
“We delivered another strong quarter of free cash flow, sales and adjusted earnings growth as we navigated through tariff and economic uncertainty,” said John L. Stauch, Pentair’s President and Chief Executive Officer. “Our team executed with precision to deliver for our customers and drive solid financial and operating performance.”
Among Pentair’s business units, the Pool (NASDAQ:POOL) segment saw the biggest gains, with revenue rising 9% to $427.2 million. The Flow segment held steady at $397.3 million, while Water Solutions declined 4% to $298.3 million.
The company also posted a 9% increase in adjusted operating income to $297 million. Adjusted return on sales improved by 170 basis points, reaching 26.4%. Free cash flow rose to $596 million, $74 million more than the same quarter last year.
Pentair also revised its full-year 2025 earnings forecast upward, now expecting adjusted EPS between $4.75 and $4.85. This reflects a projected 10–12% increase over 2024. For Q3, the firm anticipates adjusted EPS in the range of $1.16 to $1.20—broadly in line with analysts’ average estimate of $1.18.
“As we look ahead, we believe we are ready to capture higher demand when the residential market returns to growth while continuing to invest in innovation and growth initiatives,” Stauch added.
The company continued to return value to shareholders during the quarter, repurchasing $75 million worth of shares. It also maintained its quarterly dividend of $0.25 per share, marking its 49th consecutive year of dividend increases.
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