Zurn Elkay Water Solutions Corporation (ZWS) SEC Filings & Earnings Calls

Tariff refunds ($48M) are non-recurring; adjusted EBITDA excludes them; future tariff policy uncertainty.

“Received $48M cash refunds related to IEEPA reciprocal tariffs; excluded from adjusted EBITDA.”

Acquisition integration risk for Intellihot; expected sales ~$16M in H2 2026 may be modest.

“Acquired Intellihot; expects $16M sales remainder of 2026; integration plan over coming years.”

Tariff refund uncertainty

“These potential recoveries are subject to ongoing administrative processes, legal considerations, and claim validation procedures, and the ultimate amount and timing of any additional refunds remain uncertain.” · word for word

Acquisition integration risk

“This acquisition is not expected to have a material impact on the Company's consolidated financial statements.” · word for word

Integration risk for Intellihot acquisition

“Acquisition of earlier-stage technology disruptor; integration into existing operations.”

No material risks identified; routine governance events.

“No risk factors discussed in filing.”

Inventory build

“Inventories at FIFO cost increased from $307.8M at Dec 31, 2025 to $325.7M at Mar 31, 2026.”

Tariff structure assumption for guidance; potential risk if tariffs change.

“Outlook assumes current tariff structure remains in place throughout 2026.”

Cybersecurity Breach Risk

“To date, the Company has not experienced a cybersecurity threat or cybersecurity incident that has materially affected the Company, including our business strategy, results of operations or financial condition.” · word for word

Data Privacy Regulation Compliance

“We are also subject to an increasing number of evolving data privacy and security laws and regulations that impose requirements on us.” · word for word

Increased debt capacity could lead to higher leverage if drawn

“Facility increased to $550M; interest rate margins tied to leverage ratio”

Goodwill and Intangible Asset Impairment Risk

“Our goodwill and intangible assets are valued at an amount that is high relative to our total assets and in excess of our stockholders' equity.” · word for word

Cyclical Demand Exposure

“Our business also depends upon general economic conditions and other market factors beyond our control, and we serve customers in cyclical industries.” · word for word

Pension Plan Termination Funding Risk

“The plan termination is subject to regulatory review and requirements, which may result in additional funding.” · word for word

No material risks identified in this earnings release; company expresses confidence in various macro scenarios.

“As we begin 2026, we are confident in our ability to drive superior results in a variety of end market and macro environment scenarios” · word for word

LIFO inventory adjustment impacted operating margin; potential for future volatility if input costs change.

“the adjustment to state inventories at Last-In, First-Out ("LIFO") cost.” · word for word

Pension plan termination completed; may have one-time costs or future implications.

“Completed termination of US Pension Plan.” · word for word

Raw Material Cost Inflation

“Inventories at FIFO cost increased from $285.6M to $304.4M, with LIFO adjustment increasing from $13.0M to $31.2M, indicating potential cost pressures.”