Watts Water Technologies posts record Q3 2026 results and lifts full-year outlook

Watts Water Technologies reported third‑quarter 2026 net sales of $728.0 million, a 19% increase year‑over‑year on a reported basis and 12% organically. Operating margin rose to 26.2%, up 800 basis points, and diluted earnings per share jumped 77% to $4.34. Chief Executive Officer Robert J. Pagano Jr. said the strong demand from data‑center applications drove the results and the company raised its full‑year 2026 sales growth outlook to 17‑18% and operating‑margin outlook to 21.6‑21.7%.

The raised full‑year sales‑growth guidance of 17‑18% and operating‑margin guidance of 21.6‑21.7% signal higher earnings potential for the remainder of 2026. Investors will see a stronger outlook for revenue and profitability compared with prior guidance.

  • 1Net sales were $728.0 million, up 19% on a reported basis versus Q3 2025.
  • 2Organic sales growth was 12% year‑over‑year.
  • 3Operating margin was 26.2%, an increase of 800 basis points from Q3 2025.
  • 4Adjusted operating margin was 20.9%, up 240 basis points from Q3 2025.
  • 5Diluted earnings per share were $4.34, up 77% from $2.45 in Q3 2025.
  • 6Adjusted diluted earnings per share were $3.40, up 36% from $2.50 in Q3 2025.

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