Xylem Inc

xylem.com

What Do They Do?

Designs, makes and services water equipment, treatment systems and measurement software for utilities, industrial customers and building operators.

How Do They Make Money?

Customers typically pay for product sales following delivery, which generally occurs when products ship. Payments for services generally follow the work; long-term construction projects are typically paid as progress is made.

revenue

Segment	Share	Revenue	How money arrives
Product Sold outright	83%		Sold outright
Service Mix	17%		Mix

Who Are Their Customers?

Water and wastewater utilities, industrial operators, and building owners and managers buy Xylem equipment and services. Some utility and industrial sales are direct, while Applied Water and North American metering sales often go through distributors and channel partners.

Do Revenues Turn Into Profits?

Yes. It kept 11 cents of every revenue dollar as net income in FY2025 and turned 10 cents into free cash flow.

Operating income, FY2025

14% of revenue

▲ +21% vs FY2024 ($1B, 12%)

Net income, FY2025

11% of revenue

▲ +8% vs FY2024 ($890M, 10%)

Free cash flow, FY2025

10% of revenue

▼ −3% vs FY2024 ($942M, 11%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q3 FY2026, the three months to Sep 30, 2026

Revenue: ▼ −3%; vs $2.3B in Q3 FY2025
Net income: ▲ +28%; vs $227M in Q3 FY2025

Product share of revenue vs 82.3% in Q3 FY2025

Aug 18, 2026 CFO William Grogan is leaving; Andrea van der Berg appointed successor
Jul 28, 2026 Xylem cut revenue guidance and raised adjusted earnings guidance Xylem reduced its full-year reported revenue growth outlook to approximately 2% from 2 to 3%, while increasing adjusted earnings per share guidance to $5.55 to $5.70 from $5.35 to $5.60.

Growing. Revenue grew 74% in 4 years, from $5.2B in FY2021 to $9B in FY2025, about 15% a year.

A standalone services segment The older report grouped mobile dewatering rentals within Water Infrastructure and described Water Infrastructure, Applied Water, and Measurement & Control Solutions. The latest report presents Water Solutions and Services as a separate segment, including outsourced water, treatment systems, rentals, and emergency response.

Revenue over time

Product Service

$10B$5B$0

FY2023 FY2024 FY2025

Who Do They Compete With?

Competes with KSB, Sulzer, Grundfos, United Rentals, Trojan, Evoqua, Wilo, Pentair, and Franklin Electric

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