Zurn Elkay Water Solutions Corp key statistics and ratios

In fiscal 2025, Zurn Elkay Water Solutions Corp had return on equity of 12.4%, an operating margin of 16.4%, debt equal to 31.2% of equity and a current ratio of 3.13. Each ratio below is calculated from the figures on its income statement, balance sheet and cash flow pages.

Financial ratios

US$ thousands unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

Zurn Elkay Water Solutions Corp: financial ratios, annual
Fiscal year	2010Mar 2010	2011Mar 2011	2012Mar 2012	2013Mar 2013	2014Mar 2014	2015Mar 2015	2016Mar 2016	2017Mar 2017	2018Mar 2018	2019Dec 2019	2020Dec 2020	2021Dec 2021	2022Dec 2022	2023Dec 2023	2024Dec 2024	2025Dec 2025	LTMSept 2026
Gross margin	34.1%	35.4%	35.5%	36.9%	37.0%	36.4%	34.6%	36.6%	38.2%	—	60.1%	41.0%	36.3%	42.3%	45.1%	45.1%	50.4%
Operating margin	10.7%	13.0%	12.6%	12.5%	13.4%	9.9%	9.1%	11.9%	14.4%	—	19.1%	11.7%	8.4%	12.5%	15.6%	16.4%	22.1%
Net margin	5.8%	−3.1%	1.5%	2.6%	1.5%	4.1%	3.5%	4.3%	4.1%	—	26.1%	13.3%	4.8%	7.4%	10.2%	11.7%	15.9%
Free-cash-flow margin	8.8%	7.6%	4.2%	4.3%	6.8%	9.6%	8.7%	8.4%	10.3%	—	49.5%	24.5%	7.6%	16.6%	18.7%	20.4%	22.6%
Return on equity	—	—	—	28.7%	6.1%	15.0%	11.9%	8.9%	6.6%	—	10.5%	15.4%	7.1%	7.0%	10.0%	12.4%	17.6%
Return on assets	—	−1.7%	0.9%	1.5%	0.9%	2.5%	2.0%	2.1%	2.2%	—	4.4%	5.4%	3.1%	4.1%	6.0%	7.4%	10.6%
Asset turnover	—	0.54	0.61	0.57	0.59	0.60	0.57	0.50	0.53	0.21	0.17	0.41	0.65	0.55	0.59	0.64	0.67
Current ratio	—	1.97	2.17	2.05	2.53	2.60	2.91	2.94	2.20	2.79	2.86	1.98	2.62	3.02	2.91	3.13	2.85
Debt to equity	—	—	—	497.5%	350.7%	350.9%	326.2%	153.3%	113.1%	84.1%	83.3%	435.4%	33.8%	31.3%	31.6%	31.2%	29.5%
Interest cover (operating income ÷ interest)	0.8x	1.2x	1.4x	1.6x	2.5x	2.3x	1.9x	2.3x	3.5x	—	2.3x	3.1x	4.0x	5.0x	7.4x	9.8x	16.1x
Effective tax rate	25.7%	—	20.9%	24.6%	—	15.5%	19.9%	19.0%	−34.5%	—	24.9%	5.2%	32.0%	29.0%	23.2%	24.9%	24.5%
R&D as % of revenue	—	0.7%	0.8%	0.7%	0.6%	0.6%	0.6%	0.6%	0.7%	—	—	—	—	—	—	—	—
SG&A as % of revenue	19.7%	19.5%	19.9%	20.5%	20.6%	20.2%	20.0%	20.8%	21.3%	—	36.6%	26.2%	24.1%	24.3%	24.9%	24.6%	24.7%
Capital spending as % of revenue	1.5%	2.2%	3.0%	3.1%	2.6%	2.4%	2.7%	3.0%	2.1%	6.0%	7.4%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Free cash flow ÷ net income	151.5%	—	270.2%	168.5%	458.9%	235.2%	245.8%	194.7%	251.0%	—	190.0%	184.9%	157.2%	225.3%	183.2%	175.0%	141.9%
Dividends ÷ net income	—	—	—	—	—	—	—	—	0.0%	—	26.3%	30.1%	52.7%	44.7%	35.3%	32.3%	25.3%
Dividends and buybacks ÷ free cash flow	−0.1%	0.8%	0.0%	0.0%	0.0%	0.0%	24.0%	0.0%	0.0%	—	64.1%	16.7%	59.0%	69.1%	70.5%	64.6%	56.6%

US$ thousands unless shown otherwise. Fiscal quarters.

Zurn Elkay Water Solutions Corp: financial ratios, quarterly
Quarter	2024 Q4Dec 2024	2025 Q1Mar 2025	2025 Q2Jun 2025	2025 Q3Sept 2025	2025 Q4Dec 2025	2026 Q1Mar 2026	2026 Q2Jun 2026	2026 Q3Sept 2026
Gross margin	43.5%	46.6%	45.5%	44.1%	44.4%	47.5%	58.7%	49.6%
Operating margin	13.3%	16.3%	17.5%	17.0%	14.8%	19.0%	31.0%	21.9%
Net margin	9.8%	11.2%	11.4%	13.6%	10.3%	13.6%	23.1%	15.4%
Free-cash-flow margin	17.2%	11.0%	24.9%	22.2%	22.5%	10.6%	33.1%	22.7%
Current ratio	2.91	2.87	2.71	2.78	3.13	3.24	3.05	2.85
Debt to equity	31.2%	32.0%	31.7%	31.2%	31.0%	31.1%	30.1%	29.5%
SG&A as % of revenue	25.2%	26.0%	24.3%	23.4%	24.9%	25.0%	24.3%	24.4%

Returns use average equity or assets over the year. Return on equity is left blank when equity is negative or so small that the ratio says nothing (above ±200%); interest cover is left blank above 200 times. Price-based ratios such as P/E are on the valuation page.

Financial health

6 of 7 checks passed · September 30, 2026

What it owns · $2.8bn

Short-term assets $884mLonger-term assets $1.9bn

What it owes, and who funded it · $2.8bn

Short-term liabilities $310mLonger-term liabilities $803mShareholders' equity $1.7bn

Short-term assets cover short-term liabilities $884m of assets due within a year against $310m of liabilities due within a year.
Short-term assets cover long-term liabilities $884m short-term assets against $803m of longer-dated liabilities.
More cash than debt $307m of cash against $500m of debt.
Debt below 40% of shareholders' equity Debt is 30% of equity.
Debt burden no higher than five years ago Debt to equity moved from 275% to 30% over five years.
A year's operating cash flow covers at least 20% of debt $412m of operating cash flow against $500m of debt.
Operating profit covers interest at least five times over Operating income of $403m against $25m of interest.

From Zurn Elkay Water Solutions Corp's latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Moat

56 /100

Moderate moat

How hard Zurn Elkay Water Solutions's competitive advantage looks for rivals to wear away, judged from 10 years of its own filings: returns on capital, pricing power, profit durability, cash conversion and discipline.

Returns on capital 13 / 20

Cash operating profit has been a median 10.6% of total assets over 10 years.
Pricing power 12 / 20

Gross margin has been a median 40.4%, moving by 4.1 percentage points (standard deviation) across 10 years.
Durability 8 / 20

Operating margin has been a median 14.8%; its worst year was 4.2%.
Cash conversion 18 / 20

Free cash flow was positive in 10 of 10 years, at a median 16.6% of revenue.
Discipline 10 / 20

The diluted share count rose 36.4% over five years; stock-based pay has been a median 2.4% of revenue.

AI disruption exposure: Medium. In this industry, AI could change how the product is made or sold, without replacing the core asset. The score above includes a 5-point deduction for that exposure (61 before it).

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

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Figures from Zurn Elkay Water Solutions Corp's SEC filings (10-K and 10-Q), retrieved October 29, 2026. How we read and check them: methodology and data sources. Not investment advice. Back to Zurn Elkay Water Solutions Corp.