Wed, Jul 24, 5:55 PM (45 days ago)
A. O. Smith Corporation reported a solid financial performance for Q2 2024, with net sales increasing by 7% year-over-year to $1,024.3 million, driven by higher volumes and pricing actions in North America. Gross profit margin decreased slightly to 38.7% due to higher material costs. SG&A expenses rose by $8.2 million, primarily due to higher employee costs and selling expenses. Net earnings were $156.2 million, with diluted EPS at $1.06. The company maintained a strong balance sheet, with cash and cash equivalents at $216.1 million and total assets of $3,197.6 million. The acquisition of Impact Water Products and the upcoming acquisition of Pureit are expected to bolster future growth. The company anticipates a 3-5% increase in consolidated sales for 2024, driven by robust demand in water heating and recovery in boiler and water treatment volumes.