Watts Water Technologies reported record second-quarter 2026 results, led by net sales of $763 million. The company said sales increased 19% on a reported basis and 12% organically, pointing to solid demand and continued business momentum during the quarter.
Profitability remained strong, although margins narrowed from the prior year. Operating margin came in at 20.2%, down 80 basis points, while adjusted operating margin was 21.0%, down 60 basis points. Even with that pressure, the company still delivered double-digit earnings growth.
Diluted earnings per share reached $3.53, up 17%, and adjusted diluted EPS rose 18% to $3.66. The combination of higher revenue and improved per-share earnings helped reinforce the strength of the quarter, despite the modest decline in operating margin.
Alongside the quarterly update, Watts Water also increased its full-year 2026 sales guidance. The raised outlook suggests management expects demand trends to remain supportive as the company moves through the rest of the year.
