SPRINGFIELD, Mo., Oct. 24, 2025 (GLOBE NEWSWIRE) -- Paul Mueller Company (OTC: MUEL) today announced earnings for the third quarter ended September 30, 2025.
| PAUL MUELLER COMPANY NINE-MONTH REPORT Unaudited (In thousands) | ||||||||||||||||||||||
| CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | Twelve Months Ended | ||||||||||||||||||||
| September 30 | September 30 | September 30 | ||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||
| Net Sales | $ | 61,375 | $ | 62,085 | $ | 192,859 | $ | 178,111 | $ | 263,333 | $ | 233,897 | ||||||||||
| Cost of Sales | 45,349 | 41,028 | 131,147 | 121,459 | 175,812 | 160,203 | ||||||||||||||||
| Gross Profit | $ | 16,026 | $ | 21,057 | $ | 61,712 | $ | 56,652 | $ | 87,521 | $ | 73,694 | ||||||||||
| Selling, General and Administrative Expense | 10,298 | 12,238 | 35,163 | 34,013 | 47,398 | 85,736 | ||||||||||||||||
| Operating Income (Loss) | $ | 5,728 | $ | 8,819 | $ | 26,549 | $ | 22,639 | $ | 40,123 | $ | (12,042 | ) | |||||||||
| Interest Expense | (50) | (83 | ) | (163) | (256 | ) | (208) | (347 | ) | |||||||||||||
| Other Income | 691 | 840 | 1,525 | 1,885 | 2,017 | 2,741 | ||||||||||||||||
| Income (Loss) before Provision (Benefit) for Income Taxes | $ | 6,369 | $ | 9,576 | $ | 27,911 | $ | 24,268 | $ | 41,932 | $ | (9,648 | ) | |||||||||
| Provision (Benefit) for Income Taxes | 1,487 | 2,297 | 6,472 | 5,736 | 9,353 | (4,306 | ) | |||||||||||||||
| Net Income (Loss) 3225 | $ | 4,882 | $ | 7,279 | $ | 21,439 | $ | 18,532 | $ | 32,579 | $ | (5,342 | ) | |||||||||
| Earnings (Loss) per Common Share - Basic and Diluted | $ | 5.25 | $ | 7.77 | $ | 23.00 | $ | 18.79 | $ | 34.90 | $ | (5.28 | ) | |||||||||
| CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | |||||||
| Nine Months Ended | |||||||
| September 30 | |||||||
| 2025 | 2024 | ||||||
| Net Income | $ | 21,439 | $ | 18,532 | |||
| Other Comprehensive Income (Loss), Net of Tax: | |||||||
| Foreign Currency Translation Adjustment | 3,166 | 526 | |||||
| Comprehensive Income | $ | 24,605 | $ | 19,058 | |||
| CONSOLIDATED BALANCE SHEETS | |||||||
| September 30 | December 31 | ||||||
| 2025 | 2024 | ||||||
| Cash and Cash Equivalents | $ | 13,812 | $ | 21,169 | |||
| Marketable Securities | 28,345 | 24,446 | |||||
| Accounts Receivable | 39,460 | 31,266 | |||||
| Inventories (FIFO) | 48,859 | 40,905 | |||||
| LIFO Reserve | (21,460 | ) | (20,146 | ) | |||
| Inventories (LIFO) | 27,399 | 20,759 | |||||
| Current Net Investments in Sales-Type Leases | 57 | 39 | |||||
| Other Current Assets | 9,918 | 4,933 | |||||
| Current Assets | $ | 118,991 | $ | 102,612 | |||
| Net Property, Plant, and Equipment | 68,279 | 50,754 | |||||
| Right of Use Assets | 2,403 | 2,235 | |||||
| Other Assets | 1,767 | 1,862 | |||||
| Long-Term Net Investments in Sales-Type Leases | 1,590 | 1,211 | |||||
| Total Assets | $ | 193,030 | $ | 158,674 | |||
| Accounts Payable | $ | 17,462 | $ | 17,588 | |||
| Current Maturities and Short-Term Debt | 468 | 3,466 | |||||
| Current Lease Liabilities | 412 | 336 | |||||
| Advance Billings | 39,400 | 26,788 | |||||
| Other Current Liabilities | 27,237 | 23,226 | |||||
| Current Liabilities | $ | 84,979 | $ | 71,404 | |||
| Long-Term Debt | 5,382 | 5,096 | |||||
| Long-Term Pension Liabilities | - | - | |||||
| Other Long-Term Liabilities | 691 | 2,329 | |||||
| Lease Liabilities | 977 | 896 | |||||
| Total Liabilities | $ | 92,029 | $ | 79,725 | |||
| Shareholders' Investment | 101,001 | 78,949 | |||||
| Total Liabilities and Shareholders' Investment | $ | 193,030 | $ | 158,674 | |||
| SELECTED FINANCIAL DATA | ||||||||
| September 30 | December 31 | |||||||
| 2025 | 2024 | |||||||
| Book Value per Common Share | $ | 108.62 | $ | 84.27 | ||||
| Total Shares Outstanding | 929,883 | 936,837 | ||||||
| Backlog | $ | 250,448 | $ | 153,685 | ||||
| CONSOLIDATED STATEMENT OF SHAREHOLDERS' INVESTMENT | ||||||||||||||||||||||
| Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||||
| Common Stock | Paid-in Surplus | Treasury Stock | ||||||||||||||||||||
| Retained Earnings | Total | |||||||||||||||||||||
| Balance, December 31, 2024 | $ | 1,508 | $ | 9,708 | $ | 96,037 | $ | (22,697 | ) | $ | (5,607 | ) | $ | 78,949 | ||||||||
| Add (Deduct): | ||||||||||||||||||||||
| Net Income | 21,439 | 21,439 | ||||||||||||||||||||
| Other Comprehensive Income (Loss), Net of Tax | 3,166 | 3,166 | ||||||||||||||||||||
| Dividends | (774 | ) | (774 | ) | ||||||||||||||||||
| Treasury Stock Acquisition | (1,779 | ) | (1,779 | ) | ||||||||||||||||||
| Other | - | |||||||||||||||||||||
| Balance, September 30, 2025 | $ | 1,508 | $ | 9,708 | $ | 116,702 | $ | (24,476 | ) | $ | (2,441 | ) | $ | 101,001 | ||||||||
| CONSOLIDATED STATEMENT OF CASH FLOWS | |||||||
| Nine Months Ended September 30, 2025 | Nine Months Ended September 30, 2024 | ||||||
| Operating Activities: | |||||||
| Net Income | $ | 21,439 | $ | 18,532 | |||
| Pension Contributions (Greater) than Expense | - | (25 | ) | ||||
| Depreciation & Amortization | 5,323 | 5,177 | |||||
| Deferred Tax Expense | 288 | - | |||||
| (Gain) on Sales of Equipment | (42 | ) | (104 | ) | |||
| Loss (Gain) on Disposal of Equipment | 647 | (389 | ) | ||||
| Change in Assets and Liabilities | |||||||
| (Inc) in Accounts and Notes Receivable | (7,843 | ) | (6,197 | ) | |||
| (Inc) in Cost in Excess of Estimated Earnings and Billings | (870 | ) | - | ||||
| (Inc) Dec in Inventories | (5,976 | ) | 738 | ||||
| (Inc) in Prepayments | (4,752 | ) | (2,724 | ) | |||
| (Inc) in Net Investment in Sales-type leases | (754 | ) | (353 | ) | |||
| Dec in Other LT Assets | 2,313 | 1,036 | |||||
| (Dec) Inc in Accounts Payable | (126 | ) | 1,962 | ||||
| (Dec) in Accrued Income Tax | (443 | ) | (1,063 | ) | |||
| Inc in Other Accrued Expenses | 1,295 | 1,606 | |||||
| Inc (Dec) in Advanced Billings | 12,611 | (4,686 | ) | ||||
| Inc in Billings in Excess of Costs and Estimated Earnings | 3,190 | 5,842 | |||||
| Inc in Lease Liability for Operating | - | 169 | |||||
| Principal payments of Lease Liability for Operating | (251 | ) | (188 | ) | |||
| Inc (Dec) in Long Term Deferred Tax Liabilities | 24 | (85 | ) | ||||
| (Dec) Inc in Other Long-Term Liabilities | (1,739 | ) | (119 | ) | |||
| Net Cash Provided by Operating Activities | $ | 24,334 | $ | 19,129 | |||
| Investing Activities | |||||||
| Purchases of Marketable Securities | (26,822 | ) | (16,442 | ) | |||
| Proceeds from Sales of Marketable Securities | 22,923 | 29,403 | |||||
| Proceeds from Sales of Equipment | 42 | 131 | |||||
| Additions to Property, Plant, and Equipment | (21,106 | ) | (8,637 | ) | |||
| Net Cash (Required) for Investing Activities | $ | (24,963 | ) | $ | 4,455 | ||
| Financing Activities | |||||||
| Principal payments of Lease Liability for Financing | (70 | ) | (149 | ) | |||
| (Repayment) of Short-Term Borrowings, Net | (5,186 | ) | (1,637 | ) | |||
| Proceeds of Short-Term Borrowings, Net | 2,136 | 1,637 | |||||
| (Repayment) of Long-Term Debt | (2,187 | ) | (1,152 | ) | |||
| Dividends Paid | (774 | ) | (594 | ) | |||
| Treasury Stock Acquisitions | (1,779 | ) | (11,910 | ) | |||
| Net Cash Provided by (Required for) Financing Activities | $ | (7,860 | ) | $ | (13,805 | ) | |
| Effect of Exchange Rate Changes | 1,132 | 357 | |||||
| Net (Decrease) Increase in Cash and Cash Equivalents | $ | (7,357 | ) | $ | 10,136 | ||
| Cash and Cash Equivalents at Beginning of Year | 21,169 | 5,894 | |||||
| Cash and Cash Equivalents at End of Quarter | $ | 13,812 | $ | 16,030 | |||
PAUL MUELLER COMPANY
SUMMARIZED NOTES TO THE FINANCIAL STATEMENTS
(In thousands)
A. The chart below depicts the net revenue on a consolidating basis for the three months ended September 30.
| Three Months Ended September 30 | ||||||
| Revenue | 2025 | 2024 | ||||
| Domestic | $ | 48,950 | $ | 52,560 | ||
| Mueller BV | $ | 12,442 | $ | 10,087 | ||
| Eliminations | $ | (17 | ) | $ | (562 | ) |
| Net Revenue | $ | 61,375 | $ | 62,085 | ||
The chart below depicts the net revenue on a consolidating basis for the nine months ended September 30.
| Nine Months Ended September 30 | ||||||
| Revenue | 2025 | 2024 | ||||
| Domestic | $ | 157,955 | $ | 144,267 | ||
| Mueller BV | $ | 35,021 | $ | 35,076 | ||
| Eliminations | $ | (117 | ) | $ | (1,232 | ) |
| Net Revenue | $ | 192,859 | $ | 178,111 | ||
The chart below depicts the net revenue on a consolidating basis for the twelve months ended September 30.
| Twelve Months Ended September 30 | ||||||
| Revenue | 2025 | 2024 | ||||
| Domestic | $ | 215,870 | $ | 187,349 | ||
| Mueller BV | $ | 47,903 | $ | 48,043 | ||
| Eliminations | $ | (440 | ) | $ | (1,495 | ) |
| Net Revenue | $ | 263,333 | $ | 233,897 | ||
The chart below depicts the net income (loss) on a consolidating basis for the three months ended September 30.
| Three Months Ended September 30 | ||||||
| Net Income | 2025 | 2024 | ||||
| Domestic | $ | 4,682 | $ | 7,365 | ||
| Mueller BV | $ | 208 | $ | (84 | ) | |
| Eliminations | $ | (9 | ) | $ | (2 | ) |
| Net Income (Loss) | $ | 4,881 | $ | 7,279 | ||
The chart below depicts the net income on a consolidating basis for the nine months ended September 30.
| Nine Months Ended September 30 | ||||||
| Net Income | 2025 | 2024 | ||||
| Domestic | $ | 21,032 | $ | 17,440 | ||
| Mueller BV | $ | 408 | $ | 1,064 | ||
| Eliminations | $ | (2 | ) | $ | 28 | |
| Net Income (Loss) | $ | 21,438 | $ | 18,532 | ||
The chart below depicts the net income on a consolidating basis for the twelve months ended September 30.
| Twelve Months Ended September 30 | ||||||
| Net Income | 2025 | 2024 | ||||
| Domestic | $ | 31,926 | $ | (8,121 | ) | |
| Mueller BV | $ | 680 | $ | 2,775 | ||
| Eliminations | $ | (28 | ) | $ | 4 | |
| Net Income Loss | $ | 32,578 | $ | (5,342 | ) | |
B. September 30, 2025 backlog is $250.4 million compared to $171.5 million at September 30, 2024. The September 30, 2025 backlog has been reduced by $50.2 million as we received notice that a large pharmaceutical project is to be canceled and we anticipate the cancellation to be finalized in the fourth quarter. As a result, we are publishing the September 30, 2025 backlog with this project removed. We did, however, receive a purchase order for a $20 million project around the time we received the cancellation, which will help fill in our schedule primarily in 2026.
With the cancelled order removed, our U.S. backlog is $238.4 million, compared to $165.3 million at September 30, 2024. The increase in the U.S. backlog is primarily from pharmaceutical clients of the Industrial Equipment segment. In our European Operations, the September 30, 2025 backlog of $12.9 million has almost doubled from the September 30, 2024 backlog of $6.9 million.
C. Profits are down in the third quarter compared to the first two quarters of 2025. Most of our large projects are recorded using the over-time method of revenue recognition which recognizes revenue and profit based on either the cost or hours worked compared to the estimated total cost or hours to complete. In the third quarter, we fell behind on two large pharmaceutical jobs as we encountered some challenging fabrication tasks. We pulled resources from other areas of the company and increased outside contract labor to get back on schedule.
Although these projects are still profitable, this disruption in production in the third quarter caused us to change our opinion about the estimated cost of completing these two jobs. Since we use over-time revenue recognition, these adjustments in our estimate to completion had a negative effect on third quarter earnings.
D. We manage our business in the U.S. looking at earnings before tax (EBT) and excluding the effects of LIFO and non-reoccurring events such as the pension settlement. This non-GAAP adjusted EBT (as shown in the table below) is down over the prior year by $4.2 million for the three months ended September 30, but up $6.2 million for six months, and $12 million for the trailing twelve months primarily from strong results in the Industrial Equipment segment.
| Results Ending September 30th | ||||||||||||||||||
| Three Months Ended September 30 | Nine Months Ended September 30 | Twelve Months Ended September 30 | ||||||||||||||||
| (In Thousands) | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Domestic Net Income | $ | 4,682 | $ | 7,365 | $ | 21,032 | $ | 17,440 | $ | 31,926 | $ | (8,121 | ) | |||||
| Income Tax Expense | $ | 1,411 | $ | 2,321 | $ | 6,331 | $ | 5,391 | $ | 9,092 | $ | (3,834 | ) | |||||
| Domestic EBT - GAAP | $ | 6,093 | $ | 9,686 | $ | 27,363 | $ | 22,831 | $ | 41,018 | $ | (11,955 | ) | |||||
| LIFO Adjustment | $ | (438 | ) | $ | 151 | $ | 1,314 | $ | (312 | ) | $ | (2 | ) | $ | (770 | ) | ||
| Pension Adjustment | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 41,774 | ||||||
| Domestic EBT - Non-GAAP | $ | 5,655 | $ | 9,837 | $ | 28,677 | $ | 22,519 | $ | 41,016 | $ | 29,049 | ||||||
E. On October 24, 2025, the Company announced the board approved a tender offer at $485 per share that ends on November 21, 2025.
F. On October 24, 2025, the Company announced the board approved a thirty-cent dividend payable on December 29, 2025 to shareholders of record on November 26, 2025.
G. The consolidated financials are affected by the euro to dollar exchange rate when consolidating Mueller B.V., the Dutch subsidiary. The month-end euro to dollar exchange rate was 1.12 at September 2024; 1.04 at December 2024 and 1.17 for September 2025, respectively.
This press release contains forward-looking statements that provide current expectations of future events based on certain assumptions. All statements regarding future performance growth, conditions, or developments are forward-looking statements. Actual future results may differ materially from those described in the forward-looking statements due to a variety of factors, including, but not limited to, the factors described in the Company's Annual Report under "Safe Harbor for Forward-Looking Statements", which is available at paulmueller.com. The Company expressly disclaims any obligation or undertaking to update these forward-looking statements to reflect any future events or circumstances.
The accounting policies related to this report and additional management discussion and analysis are provided in the 2024 annual report, available at
www.paulmueller.com.
Press Contact: Ken Jeffries | Paul Mueller Company | Springfield, MO 65802 | (417) 575-9346
kjeffries@paulmueller.com | http://paulmueller.com
