Revenue and Earnings - Fourth-quarter revenue reached $2.4 billion, up 6% year-over-year, with adjusted earnings per share increasing by 20% to $1.42[3] - Full-year revenue for 2025 was $9.0 billion, reflecting a 6% increase, with adjusted earnings per share of $5.08, up 19%[3] - The company initiated 2026 full-year revenue guidance of $9.1 to $9.2 billion, representing a 2% to 4% organic growth[3] - Orders for the fourth quarter totaled $2.4 billion, up 9% on a reported basis and 7% organically[3] - Xylem Inc. reported total revenue of $9,035 million for 2025, representing a 6% increase compared to $8,562 million in 2024[30] - For the quarter ended December 31, 2025, Xylem Inc. reported revenue of $2,397 million, a 6% increase from $2,256 million in the same quarter of 2024[30] - Year-to-date total revenue for 2025 reached $9,035 million, compared to $8,562 million in 2024, reflecting a 5.5% growth[32] - Total revenue for Q4 2025 was $2,397 million, a 6.3% increase from $2,256 million in Q4 2024[32] Profitability Metrics - Adjusted EBITDA margin for the fourth quarter was 23.2%, an increase of 220 basis points year-over-year, driven by productivity savings and strong price realization[4] - Full-year 2026 adjusted EBITDA margin is expected to be approximately 22.9% to 23.3%, an increase of 70 to 110 basis points from 2025[6] - Adjusted EBITDA for Q4 2025 was $557 million, maintaining an adjusted EBITDA margin of 23.2%[35] - The company reported a net income margin of 10.6% for the full year 2025, up from 10.4% in 2024[35] - Operating income for Q4 2025 was $456 million, up from $377 million in Q4 2024, resulting in an operating margin of 19.0% compared to 16.7%[32] Net Income and Dividends - Net income attributable to Xylem for the fourth quarter was $335 million, or $1.37 per share, with a net income margin of 14.0%[2] - Net income for 2025 reached $950 million, an increase of 6.7% from $890 million in 2024 and a significant rise from $609 million in 2023[16] - The Board of Directors declared a first-quarter dividend of $0.43 per share, an increase of 8%[5] - Dividends paid in 2025 amounted to $391 million, an increase from $350 million in 2024 and $299 million in 2023, reflecting a commitment to returning value to shareholders[16] Cash Flow and Investments - Operating cash flow for 2025 was $1,241 million, slightly down from $1,263 million in 2024 but up from $837 million in 2023[16] - Free cash flow for 2025 was calculated as $910 million, derived from operating cash flow minus capital expenditures[24] - Capital expenditures in 2025 totaled $331 million, compared to $321 million in 2024 and $271 million in 2023, indicating ongoing investment in growth[16] - The company reported a net cash decrease from financing activities of $501 million in 2025, compared to $615 million in 2024[16] - Xylem's cash and cash equivalents at the end of 2025 were $1,479 million, up from $1,121 million in 2024, indicating improved liquidity[16] Segment Performance - Measurement and Control Solutions segment saw a revenue increase of 11%, reaching $2,086 million in 2025, up from $1,871 million in 2024[30] - The Applied Water segment experienced a revenue growth of 3%, totaling $1,849 million in 2025 compared to $1,793 million in 2024[30] - The company’s Water Solutions and Services segment reported a revenue increase of 5%, reaching $2,464 million in 2025, up from $2,343 million in 2024[30] Strategic Focus and Growth - The company emphasizes organic revenue growth, excluding impacts from foreign currency and acquisitions, to provide a clearer view of performance[19] - The company plans to continue focusing on strategic acquisitions and investments to drive future growth and enhance operational capabilities[18] - The company achieved a book-to-bill ratio of 99% for the year ended December 31, 2025, indicating strong order growth[28] - The company’s adjusted revenue growth, excluding acquisitions and divestitures, was 5% for 2025 compared to the previous year[30] Special Charges and Costs - Restructuring and realignment costs for Q4 2025 were $46 million, compared to $36 million in Q4 2024[33] - The company incurred special charges of $2 million related to acquisition and integration costs in Q4 2025, down from $15 million in Q4 2024[33] - The gain from the sale of businesses was $16 million in Q4 2025, compared to a loss of $40 million in Q4 2024[32] - Interest expense decreased to $6 million in Q4 2025 from $9 million in Q4 2024[32]

Group 1 - Xylem Inc (NYSE:XYL) is recognized as one of the top 15 Industrial Machinery and Supplies stocks favored by hedge funds [1] - Brian Drab from William Blair initiated coverage of Xylem Inc with an Outperform rating, highlighting the company's extensive offerings in the water and wastewater cycle, which are deemed mission critical for utility and industrial customers [1] - Xylem Inc is described as the world's largest pure-play water company, providing a comprehensive suite of products and solutions for water treatment and efficient usage [4] Group 2 - Brett Linzey from Mizuho Securities reaffirmed a Hold rating on Xylem Inc, lowering the price target from $160 to $150 due to broader adjustments in the electrical equipment and multi-industry group [3] - The downward revision in price target reflects Mizuho's 2026 outlook, indicating expectations of uneven terrain ahead for the segment, although uncertainties related to tariffs are diminishing [3]

Core Insights - Xylem (XYL) is positioned well to continue its trend of beating earnings estimates in the upcoming quarterly report [1] Earnings Performance - Xylem has a strong history of surpassing earnings estimates, averaging a 10.51% beat over the last two quarters [2] - In the last reported quarter, Xylem achieved earnings of $1.37 per share, exceeding the Zacks Consensus Estimate of $1.24 per share by 10.48% [3] - For the previous quarter, the company reported earnings of $1.26 per share against an expected $1.14 per share, resulting in a surprise of 10.53% [3] Earnings Estimates and Predictions - Estimates for Xylem have been trending higher, supported by its history of earnings surprises [6] - The stock has a positive Zacks Earnings ESP of +0.88%, indicating bullish sentiment among analysts regarding its earnings prospects [9] - The combination of a positive Earnings ESP and a Zacks Rank 3 (Hold) suggests a high likelihood of another earnings beat [9] Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have a nearly 70% chance of producing a positive surprise [7] - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, reflecting the latest analyst revisions [8]

Investment and Expansion Plans - Minister for Large and Medium Industries M B Patil engaged in high-level discussions with global company executives regarding investment and expansion plans during the World Economic Forum (WEF) Annual Meeting in Davos [1][9] - CFI Technologies announced readiness to inaugurate a data centre in Bengaluru and expressed interest in expanding into tier-2 cities [2][9] - Bharti Enterprises has invested approximately Rs 13,000 crore in Karnataka and discussed plans for an additional data centre in the state [2][9] Sector-Specific Investments - Philip Morris International is interested in investing in Karnataka for the manufacturing of next-generation smoke-free products, identifying the state as its second-largest global procurement location [3][9] - Carlsberg Group confirmed a Rs 350-crore investment for bottling capacity and indicated plans for further expansion in Karnataka [4][9] - Bharat Forge Limited sought information on further investment opportunities aligned with Karnataka's industrial and manufacturing ecosystem [9] Research and Development Initiatives - Imperial College London is considering establishing a research and development centre in KWIN City and aims to expand research activities in collaboration with local higher education institutions [5][9] - The university currently operates an innovation hub in Bengaluru and collaborates with the Indian Institute of Science (IISc) [5][9] Renewable Energy and Technology Discussions - Discussions were held with ReNew Power regarding renewable energy generation and storage opportunities [6][9] - Xylem Inc engaged in talks about smart wastewater treatment and tertiary treated water plants for industrial areas [6][9] - Octopus Energy discussed vehicle-to-grid technology and digital solutions for grid management [6][9] Digital Infrastructure and Talent Pool - PayPal emphasized Karnataka's significance to its global operations, highlighting Bengaluru's talent pool and discussing AI-driven innovation and startup ecosystem collaboration [7][9] - Sify Technologies announced a new data centre facility in Karnataka set for imminent inauguration and explored opportunities for data centre development in tier-2 cities [7][9] Government Commitment - The Karnataka government reaffirmed its commitment to policy continuity, regulatory certainty, and full facilitation to ensure the timely execution of investments discussed at WEF [8][9]

Group 1: ReNew Power - ReNew Power briefed the Karnataka delegation on its proposed plans for solar, wind, and hybrid power projects [1][6] - The discussions highlighted opportunities in renewable energy generation and energy storage within Karnataka's power grid infrastructure [1][6] Group 2: Xylem Inc - Xylem Inc expressed interest in establishing a wastewater treatment plant in Karnataka's industrial areas [1][6] - The company plans to conduct a detailed study to assess efficient water supply mechanisms and technology deployment [1][6] - Based on the study, a system could be developed to supply water to industries at affordable rates [1][6] Group 3: Octopus Energy - Octopus Energy engaged in discussions regarding Vehicle-to-Grid (V2G) technology, which could provide significant cost benefits to consumers [2][6] - The company specializes in smart meters, digital infrastructure, scientific tariff setting, and grid modernization [2][6] Group 4: Government Engagement - Karnataka's Minister for Large and Medium Industries M B Patil facilitated discussions with the companies and assured support for further talks with BESCOM [5][6]

Core Insights - New research indicates that AI's water demand could more than double by 2050, highlighting a significant shift in water resource management and technology adoption [1] Company Insights - Xylem, in collaboration with Global Water Intelligence, is at the forefront of this research, emphasizing the role of AI in addressing future water challenges [1] Industry Insights - The findings suggest a growing reliance on AI technologies in the water sector, which may lead to increased investment opportunities and innovations in water management solutions [1]

Core Insights - Xylem Inc. (XYL) is experiencing strong momentum across its business segments, particularly in Measurement & Control Solutions and Water Infrastructure, driven by robust demand and infrastructure projects in the U.S. [1][8] - The Applied Water segment is recovering due to increased demand for commercial building solutions, while the Water Solutions and Services segment benefits from a strong pipeline of capital projects [2][8] - Xylem has enhanced its product portfolio through strategic acquisitions, including Vacom Systems and a majority stake in Idrica, which are expected to provide growth opportunities and enable market penetration [3][8] - The company is committed to returning value to shareholders, having paid $293 million in dividends (up 11.4% year-over-year) and repurchased $14 million in shares in the first nine months of 2025 [4][8] - Despite these positive developments, Xylem faces challenges from rising costs, with a 3.6% increase in the cost of revenues and a 2.4% rise in selling, general, and administrative expenses in the first nine months of 2025 [6][8] Performance Overview - Xylem's stock has increased by 7.1% over the past six months, contrasting with a 7.9% decline in the industry [5] - The company’s financial performance is influenced by various risks, including foreign currency exchange rates and inflation in international markets [9]

Group 1 - Xylem Inc. will release its fourth quarter and full year 2025 results on February 10, 2026, at 6:55 a.m. (ET) [1] - A conference call with investors will be hosted by Xylem's senior management team at 9:00 a.m. (ET) on the same day [1] - The call can be accessed via specific phone numbers or through the company's investor events webpage [1] Group 2 - Xylem is a Fortune 500 global water solutions company with 23,000 employees [2] - The company reported revenue of $8.6 billion in 2024, focusing on optimizing water and resource management [2] - Xylem aims to empower customers and communities to build a more water-secure world [2]

Core Viewpoint - Xylem Inc. is a leading global water technology company with strong financial performance and growth expectations, driven by demand for water management solutions and strategic investments [1][5]. Financial Performance - Analysts expect Xylem to report a profit of $1.41 per share for Q4 2025, reflecting a 19.5% increase from $1.18 per share in the same quarter last year [2]. - For the full year, the expected EPS is $5.06, an 18.5% increase from $4.27 in fiscal 2024, with a projected rise to $5.54 in fiscal 2026 [3]. - In Q3 2025, Xylem reported an adjusted EPS of $1.37, exceeding expectations of $1.24, with revenue of $2.3 billion, surpassing the forecast of $2.2 billion [6]. Stock Performance - Xylem's stock has increased by 18.6% over the past 52 weeks, outperforming the S&P 500 Index's 16.2% gains but underperforming the Industrial Select Sector SPDR Fund's 20.4% gains [4]. - The average analyst price target for Xylem is $169.94, indicating a potential upside of 22.3% from current levels [7]. Growth Drivers - The company's growth is attributed to strong demand for water management solutions, successful pricing strategies, productivity gains, and strategic investments [5]. - Management anticipates continued growth supported by advanced metering infrastructure demand and margin improvement from divesting the international metering business [5].

Group 1 - The article does not provide any relevant content regarding the company or industry [1]