********************* | ||
| For the Quarter Ended | For the Year Ended | ||||||||||||||||||||||
| (In thousands, except per share data) | December 31, 2022 | December 25, 2021 | December 31, 2022 | December 25, 2021 | |||||||||||||||||||
| Net sales | $ | 877,581 | $ | 956,357 | $ | 3,982,455 | $ | 3,769,345 | |||||||||||||||
| Cost of goods sold | 620,800 | 726,594 | 2,864,862 | 2,938,989 | |||||||||||||||||||
| Depreciation and amortization | 10,738 | 11,633 | 43,731 | 45,390 | |||||||||||||||||||
| Selling, general, and administrative expense | 55,630 | 48,729 | 203,086 | 184,052 | |||||||||||||||||||
| Gain on sale of businesses | — | (3,001) | — | (57,760) | |||||||||||||||||||
| Gain on sale of assets, net | — | — | (6,373) | — | |||||||||||||||||||
| Impairment charges | — | 261 | — | 2,829 | |||||||||||||||||||
| Operating income | 190,413 | 172,141 | 877,149 | 655,845 | |||||||||||||||||||
| Interest expense | (144) | (258) | (810) | (7,709) | |||||||||||||||||||
| Environmental expense | 349 | (982) | (1,298) | (5,053) | |||||||||||||||||||
| Redemption premium | — | — | — | (5,674) | |||||||||||||||||||
| Pension plan termination expense | (13,100) | — | (13,100) | — | |||||||||||||||||||
| Other income, net | 8,430 | 947 | 14,090 | 3,730 | |||||||||||||||||||
| Income before income taxes | 185,948 | 171,848 | 876,031 | 641,139 | |||||||||||||||||||
| Income tax expense | (49,798) | (44,862) | (223,322) | (165,858) | |||||||||||||||||||
| Income (loss) from unconsolidated affiliates, net of foreign tax | 4,085 | (288) | 10,111 | (157) | |||||||||||||||||||
| Consolidated net income | 140,235 | 126,698 | 662,820 | 475,124 | |||||||||||||||||||
| Net income attributable to noncontrolling interests | (1,329) | (1,097) | (4,504) | (6,604) | |||||||||||||||||||
| Net income attributable to Mueller Industries, Inc. | $ | 138,906 | $ | 125,601 | $ | 658,316 | $ | 468,520 | |||||||||||||||
| Weighted average shares for basic earnings per share | 55,642 | 56,104 | 55,779 | 56,011 | |||||||||||||||||||
| Effect of dilutive stock-based awards | 717 | 796 | 776 | 787 | |||||||||||||||||||
| Adjusted weighted average shares for diluted earnings per share | 56,359 | 56,900 | 56,555 | 56,798 | |||||||||||||||||||
| Basic earnings per share | $ | 2.50 | $ | 2.24 | $ | 11.80 | $ | 8.36 | |||||||||||||||
| Diluted earnings per share | $ | 2.46 | $ | 2.21 | $ | 11.64 | $ | 8.25 | |||||||||||||||
| Dividends per share | $ | 0.25 | $ | 0.13 | $ | 1.00 | $ | 0.52 | |||||||||||||||
| For the Quarter Ended | For the Year Ended | ||||||||||||||||||||||
| (In thousands) | December 31, 2022 | December 25, 2021 | December 31, 2022 | December 25, 2021 | |||||||||||||||||||
| Summary Segment Data: | |||||||||||||||||||||||
| Net sales: | |||||||||||||||||||||||
| Piping Systems Segment | $ | 567,039 | $ | 652,466 | $ | 2,730,084 | $ | 2,600,030 | |||||||||||||||
| Industrial Metals Segment | 146,322 | 176,226 | 644,689 | 703,363 | |||||||||||||||||||
| Climate Segment | 170,551 | 130,428 | 650,307 | 495,414 | |||||||||||||||||||
| Elimination of intersegment sales | (6,331) | (2,763) | (42,625) | (29,462) | |||||||||||||||||||
| Net sales | $ | 877,581 | $ | 956,357 | $ | 3,982,455 | $ | 3,769,345 | |||||||||||||||
| Operating income: | |||||||||||||||||||||||
| Piping Systems Segment | $ | 131,056 | $ | 142,482 | $ | 671,062 | $ | 486,287 | |||||||||||||||
| Industrial Metals Segment | 22,960 | 27,077 | 82,464 | 85,475 | |||||||||||||||||||
| Climate Segment | 53,158 | 21,757 | 188,067 | 85,536 | |||||||||||||||||||
| Unallocated expenses | (16,761) | (19,175) | (64,444) | (1,453) | |||||||||||||||||||
| Operating income | $ | 190,413 | $ | 172,141 | $ | 877,149 | $ | 655,845 | |||||||||||||||
(In thousands) | December 31, 2022 | December 25, 2021 | |||||||||
| ASSETS | |||||||||||
| Cash and cash equivalents | $ | 461,018 | $ | 87,924 | |||||||
| Short-term investments | 217,863 | — | |||||||||
Accounts receivable, net | 380,352 | 471,859 | |||||||||
| Inventories | 448,919 | 430,244 | |||||||||
Other current assets | 26,501 | 28,976 | |||||||||
| Total current assets | 1,534,653 | 1,019,003 | |||||||||
| Property, plant, and equipment, net | 379,950 | 385,562 | |||||||||
Operating lease right-of-use assets | 22,892 | 23,510 | |||||||||
Other assets | 304,904 | 300,861 | |||||||||
| $ | 2,242,399 | $ | 1,728,936 | ||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
| Current portion of debt | $ | 811 | $ | 811 | |||||||
| Accounts payable | 128,000 | 180,793 | |||||||||
Current portion of operating lease liabilities | 4,942 | 6,015 | |||||||||
Other current liabilities | 214,542 | 194,820 | |||||||||
| Total current liabilities | 348,295 | 382,439 | |||||||||
| Long-term debt | 1,218 | 1,064 | |||||||||
| Pension and postretirement liabilities | 13,055 | 17,533 | |||||||||
| Environmental reserves | 16,380 | 17,678 | |||||||||
| Deferred income taxes | 16,258 | 14,347 | |||||||||
Noncurrent operating lease liabilities | 16,880 | 17,099 | |||||||||
Other noncurrent liabilities | 16,349 | 21,813 | |||||||||
Total liabilities | 428,435 | 471,973 | |||||||||
| Total Mueller Industries, Inc. stockholders’ equity | 1,790,914 | 1,222,118 | |||||||||
Noncontrolling interests | 23,050 | 34,845 | |||||||||
Total equity | 1,813,964 | 1,256,963 | |||||||||
| $ | 2,242,399 | $ | 1,728,936 | ||||||||
| For the Year Ended | |||||||||||
(In thousands) | December 31, 2022 | December 25, 2021 | |||||||||
| Cash flows from operating activities | |||||||||||
| Consolidated net income | $ | 662,820 | $ | 475,124 | |||||||
| Reconciliation of consolidated net income to net cash provided by operating activities: | |||||||||||
| Depreciation and amortization | 44,088 | 45,655 | |||||||||
| Stock-based compensation expense | 17,801 | 9,822 | |||||||||
| Provision for doubtful accounts receivable | 323 | 1,216 | |||||||||
| (Income) loss from unconsolidated affiliates | (10,111) | 157 | |||||||||
| Gain on sale of businesses | — | (57,760) | |||||||||
| (Gain) loss on disposals of assets | (6,373) | (769) | |||||||||
| Redemption premium | — | 5,674 | |||||||||
| Insurance proceeds - noncapital related | 1,646 | — | |||||||||
| Impairment charges | — | 2,829 | |||||||||
| Deferred income tax (benefit) expense | (3,880) | 7,413 | |||||||||
| Changes in assets and liabilities, net of effects of businesses acquired and sold: | |||||||||||
| Receivables | 82,713 | (124,708) | |||||||||
| Inventories | (24,189) | (119,514) | |||||||||
| Other assets | (8,971) | 919 | |||||||||
| Current liabilities | (26,633) | 73,755 | |||||||||
| Other liabilities | (7,564) | (5,467) | |||||||||
| Other, net | 2,273 | (2,645) | |||||||||
| Net cash provided by operating activities | 723,943 | 311,701 | |||||||||
| Cash flows from investing activities | |||||||||||
| Proceeds from sale of assets, net of cash transferred | 7,850 | 2,302 | |||||||||
| Purchase of short-term investments | (217,863) | — | |||||||||
| Proceeds from sale of business, net of cash sold | — | 81,884 | |||||||||
| Acquisition of businesses, net of cash acquired | — | (30,206) | |||||||||
| Capital expenditures | (37,639) | (31,833) | |||||||||
| Insurance proceeds - capital related | 3,354 | — | |||||||||
| Dividends from unconsolidated affiliates | 2,295 | — | |||||||||
| Payment received for (issuance of) notes receivable | — | 8,539 | |||||||||
| Investments in unconsolidated affiliates | — | (1,613) | |||||||||
| Net cash (used in) provided by investing activities | (242,003) | 29,073 | |||||||||
| For the Year Ended | |||||||||||
| (In thousands) | December 31, 2022 | December 25, 2021 | |||||||||
| Cash flows from financing activities | |||||||||||
| Dividends paid to stockholders of Mueller Industries, Inc. | (55,787) | (29,137) | |||||||||
| Dividends paid to noncontrolling interests | (7,248) | (9,722) | |||||||||
| Issuance of long-term debt | — | 595,000 | |||||||||
| Repayments of long-term debt | (204) | (920,610) | |||||||||
| Issuance (repayment) of debt by consolidated joint ventures, net | 67 | (5,113) | |||||||||
| Repurchase of common stock | (38,054) | (4,864) | |||||||||
| Payment of contingent consideration | — | (1,250) | |||||||||
| Net cash (used) received to settle stock-based awards | (1,429) | 85 | |||||||||
| Debt issuance costs | — | (1,111) | |||||||||
| Net cash used in financing activities | (102,655) | (376,722) | |||||||||
| Effect of exchange rate changes on cash | (4,365) | (1,052) | |||||||||
| Increase (decrease) in cash, cash equivalents, and restricted cash | 374,920 | (37,000) | |||||||||
| Cash, cash equivalents, and restricted cash at the beginning of the year | 90,376 | 127,376 | |||||||||
| Cash, cash equivalents, and restricted cash at the end of the year | $ | 465,296 | $ | 90,376 | |||||||