Reliance Worldwide Corporation Ltd (ASX: RWC) released its 2018 financial results to the market today revealing a 20% rise in underlying net profit.
Reliance Worldwide Corporation is the world’s largest manufacturer of push to connect plumbing fittings and specialist water control valves.
Here are some of the highlights from its result:
- Revenue grew by 28% to $769.4 million
- Organic EBITDA, before acquisition items, went up by 25% to $150.9 million (click here to learn what EBITDA means)
- Reported profit up 1% to $66 million
- Net profit, before acquisition items, went up 20% to $78.6 million
- Dividend up by 8.3% to 6.5 cents
According to Bloomberg, analysts were expecting Reliance Worldwide Corporation to report a profit of $81.1 million. However, the company was also hit by a one-time charge of $6 million following recent reclassification of tariff products imported into the USA.
During the year, the company acquired UK-based John Guest, a global leader in plastic PTC fittings with products distributed around the world.
Heath Sharp, the CEO of RWC, said:
“We are really pleased with the achievements over the past 12 months. Operationally, we completed several significant projects, including the rollout of product to the second half of the Lowe’s stores, the launch of Streamlabs Monitor and the continued expansion of capacity at our Cullman, Alabama manufacturing site.”
FY19 Outlook
RWC is projecting that FY19 EBITDA will be between $270 million and $280 million when including synergies and one-off integration costs.
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