v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
Our business has four reportable segments: Water Infrastructure, Applied Water, Measurement and Control Solutions and Water Solutions and Services. The Water Infrastructure segment focuses on the transportation and treatment of water, offering a range of products including water, wastewater and storm water pumps, controls and systems; treatment equipment: filtration and separation, disinfection, wastewater solutions for municipal and industrial applications. The Applied Water segment serves many of the primary uses of water and focuses on the residential, commercial and industrial markets. The Applied Water segment's major products include pumps, valves, heat exchangers, controls and dispensing equipment. The Measurement and Control Solutions segment focuses on developing advanced technology solutions that enable intelligent use and conservation of critical water and energy resources as well as analytical instrumentation used in the testing of water. The Measurement and Control Solutions segment's major products include smart metering, networked communications, measurement and control technologies, critical infrastructure technologies, software and services including cloud-based analytics, and remote monitoring and data management. The Water Solutions and Services segment provides tailored services and solutions, in collaboration with customers and backed by life‑cycle services, including on‑demand water, outsourced water, recycle / reuse, specialty dewatering and emergency response service alternatives to improve operational reliability, performance and environmental compliance. Key offerings within this segment also include equipment systems for industrial needs (influent water, boiler feed water, ultrahigh purity, process water, wastewater treatment, and recycle / reuse), full-scale outsourcing of operations and maintenance, and municipal services, including odor and corrosion control services, as well as leak detection, condition assessment and asset management and pressure monitoring solutions.
Additionally, we have Regional selling locations, which consist primarily of selling and marketing organizations and related support services, that offer products and services across our reportable segments. Corporate and other consists of corporate office expenses including compensation, benefits, occupancy, depreciation, and other administrative costs, as well as charges related to certain matters, such as environmental matters, that are managed at a corporate level and are not included in the business segments in evaluating performance or allocating resources.
Disaggregated asset information by segment is not provided to the chief operating decision maker ("CODM") for review, therefore, such information is not presented. The following tables contain financial information provided to the CODM for each reportable segment:
(in millions)Water InfrastructureApplied WaterMeasurement and Control SolutionsWater Solutions and ServicesTotal
Balance for three months ended June 30, 2025
Revenue$650 $483 $540 $628 $2,301 
Less:
Adjusted cost of revenue (a)365 299 324 403 
Adjusted operating expenses (a)158 90 118 119 
Other segment items (b)24 10 30 28 
Segment operating income$103 $84 $68 $78 $333 
Reconciliation of segment operating income
Corporate and other (loss)(28)
Interest expense(9)
Other non-operating income, net3 
Income before income taxes$299 
(in millions)Water InfrastructureApplied WaterMeasurement and Control SolutionsWater Solutions and ServicesTotal
Balance for three months ended June 30, 2024
Revenue$631 $456 $482 $600 $2,169 
Less:
Adjusted cost of revenue (a)365 295 282 385 
Adjusted operating expenses (a)165 88 104 116 
Other segment items (b)23 2 17 52 
Segment operating income$78 $71 $79 $47 $275 
Reconciliation of segment operating income
Corporate and other (loss)(22)
Interest expense(11)
Other non-operating income, net4 
Gain/(loss) on sale of businesses1 
Income before income taxes$247 
(in millions)Water InfrastructureApplied WaterMeasurement and Control SolutionsWater Solutions and ServicesTotal
Balance for six months ended June 30, 2025
Revenue$1,231 $918 $1,030 $1,191 $4,370 
Less:
Adjusted cost of revenue (a)694 577 627 774 
Adjusted operating expenses (a)303 170 223 233 
Other segment items (b)51 15 56 62 
Segment operating income$183 $156 $124 $122 $585 
Reconciliation of segment operating income
Corporate and other (loss)(49)
Interest expense(17)
Other non-operating income, net7 
Gain/(loss) on sale of businesses(10)
Income before income taxes$516 
(in millions)Water InfrastructureApplied WaterMeasurement and Control SolutionsWater Solutions and ServicesTotal
Balance for six months ended June 30, 2024
Revenue$1,205 $892 $944 $1,161 $4,202 
Less:
Adjusted cost of revenue (a)692 583 557 752 
Adjusted operating expenses (a)324 173 205 227 
Other segment items (b)51 4 33 85 
Segment operating income$138 $132 $149 $97 $516 
Reconciliation of segment operating income
Corporate and other (loss)(54)
Interest expense(25)
Other non-operating income, net10 
Gain/(loss) on sale of businesses(4)
Income before income taxes$443 
(a) Adjusted costs of revenue and adjusted operating expenses represent segment-level information that are regularly provided to the CODM. These balances represent costs of revenue and operating expenses, respectively, adjusted to exclude purchase accounting intangible amortization, restructuring and realignment expenses, and special charges.
(b) Other segment items for each segment represents purchase accounting intangible amortization, restructuring and realignment expenses, and special charges, which are excluded from the above significant expense categories regularly provided to the CODM in line with our adjusted measures as outlined in Item 7 "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our Annual Report.
The accounting policies of each segment are the same as those described in the "Summary of Significant Accounting Policies" section of Note 1 in the Annual Report. The following table contains financial information for each reportable segment:
Three Months EndedSix Months Ended
June 30,June 30,
(in millions)2025202420252024
Depreciation and Amortization:
Water Infrastructure$24 $37 $47 $68 
Applied Water9 7 17 14 
Measurement and Control Solutions44 32 83 65 
Water Solutions and Services71 66 139 126 
Corporate and other(3)3 4 6 
Total$145 $145 $290 $279 
Capital Expenditures:
Water Infrastructure$11 $9 $22 $17 
Applied Water5 3 14 8 
Measurement and Control Solutions20 19 36 37 
Water Solutions and Services43 33 63 66 
Regional selling locations (a)10 5 17 11 
Corporate and other9 4 17 8 
Total$98 $73 $169 $147 
(a)Represents capital expenditures incurred by the Regional selling locations not allocated to the segments.