Segment Information

3 Months Ended

Mar. 30, 2024

Segment Reporting [Abstract]

Segment Information

Segment Information

Each of the Company’s reportable segments is composed of certain operating segments that are aggregated primarily by the nature of products offered as follows:

Piping Systems

Piping Systems is composed of the following operating segments: Domestic Piping Systems Group, Great Lakes Copper, European Operations, Trading Group, Jungwoo-Mueller (the Company’s South Korean joint venture), and Mueller Middle East (the Company’s Bahraini joint venture).  The Domestic Piping Systems Group manufactures and distributes copper tube, fittings, and line sets.  These products are manufactured in the U.S., sold in the U.S., and exported to markets worldwide.  Outside the U.S., Great Lakes Copper manufactures copper tube and line sets in Canada and sells the products primarily in the U.S. and Canada. European Operations manufactures copper tube in the U.K. which is sold primarily in Europe.  The Trading Group manufactures pipe nipples and resells brass and plastic plumbing valves, malleable iron fittings, faucets, and plumbing specialty products in the U.S. and Mexico.  Jungwoo-Mueller manufactures copper-based joining products that are sold worldwide.  Mueller Middle East manufactures copper tube and serves markets in the Middle East and Northern Africa. The Piping Systems segment’s products are sold primarily to plumbing, refrigeration, and air-conditioning wholesalers, hardware wholesalers and co-ops, building product retailers, and air-conditioning original equipment manufacturers (OEMs).

Industrial Metals

Industrial Metals is composed of the following operating segments: Brass Rod, Impacts & Micro Gauge, Brass Value-Added Products, and Precision Tube.  These businesses manufacture brass rod, impact extrusions, and forgings, specialty copper, copper alloy, and aluminum tube, as well as a wide variety of end products including plumbing brass, automotive components, valves, fittings, and gas assemblies.  These products are manufactured in the U.S. and sold primarily to OEMs in the U.S., many of which are in the industrial, transportation, construction, heating, ventilation, and air-conditioning, plumbing, refrigeration, and energy markets.

Climate

Climate is composed of the following operating segments: Refrigeration Products, Westermeyer, Turbotec, Flex Duct, and Linesets, Inc. The segment manufactures and sells refrigeration valves and fittings, high pressure components, coaxial heat exchangers, insulated HVAC flexible duct systems, and line sets primarily for the heating, ventilation, air-conditioning, and refrigeration markets in the U.S.

Summarized segment information is as follows:

	For the Quarter Ended March 30, 2024
(In thousands)	Piping Systems		Industrial Metals		Climate		Corporate and Eliminations		Total
Net sales	$	590,168	$	156,067	$	116,810	$	(13,391)	$	849,654
Cost of goods sold	420,941		126,604		75,591		(14,433)		608,703
Depreciation and amortization	4,560		1,920		1,595		1,094		9,169
Selling, general, and administrative expense	21,987		3,272		7,049		16,049		48,357
Operating income	142,680		24,271		32,575		(16,101)		183,425
Interest expense									(115)
Interest income									17,245
Realized gains on short-term investments									365
Other income, net									630
Income before income taxes									$	201,550

	For the Quarter Ended April 1, 2023
(In thousands)	Piping Systems		Industrial Metals		Climate		Corporate and Eliminations		Total
Net sales	$	662,479	$	165,234	$	152,954	$	(9,475)	$	971,192
Cost of goods sold	467,610		133,170		88,812		(10,794)		678,798
Depreciation and amortization	5,558		1,772		2,153		1,174		10,657
Selling, general, and administrative expense	25,457		3,077		8,001		16,096		52,631
Operating income	163,854		27,215		53,988		(15,951)		229,106
Interest expense									(143)
Interest income									6,235
Realized gains on short-term investments									1,910
Other income, net									326
Income before income taxes									$	237,434

The following table presents total assets attributable to each segment:

(In thousands)	March 30, 2024		December 30, 2023
Segment assets:
Piping Systems	$	1,057,983	$	1,029,821
Industrial Metals	178,903		157,761
Climate	255,798		252,561
General Corporate	1,401,558		1,319,158
	$	2,894,242	$	2,759,301

The following tables represent a disaggregation of revenue from contracts with customers, along with the reportable segment for each category:

	For the Quarter Ended March 30, 2024
(In thousands)	Piping Systems		Industrial Metals		Climate		Total
Tube and fittings	$	478,476	$	—	$	—	$	478,476
Brass rod and forgings	—		124,059		—		124,059
OEM components, tube & assemblies	—		18,957		30,017		48,974
Valves and plumbing specialties	111,692		—		—		111,692
Flex duct and other HVAC components	—		—		86,793		86,793
Other	—		13,051		—		13,051
	590,168		156,067		116,810		863,045
Intersegment sales							(13,391)
Net sales							$	849,654

	For the Quarter Ended April 1, 2023
(In thousands)	Piping Systems		Industrial Metals		Climate		Total
Tube and fittings	$	544,228	$	—	$	—	$	544,228
Brass rod and forgings	—		130,340		—		130,340
OEM components, tube & assemblies	—		22,509		33,402		55,911
Valves and plumbing specialties	118,251		—		—		118,251
Flex duct and other HVAC components	—		—		119,552		119,552
Other	—		12,385		—		12,385
	662,479		165,234		152,954		980,667
Intersegment sales							(9,475)
Net sales							$	971,192