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Zurn Elkay Water Solutions Corporation (ZWS) is a growth-oriented, pure-play water management business that designs, manufactures, and markets a wide range of sustainable, specification-driven water management solutions. The company focuses on improving health, human safety, and the environment through its innovative products, which are primarily used in institutional and commercial buildings. ZWS's offerings include drinking water delivery systems, water safety and control products, and water control solutions, catering to diverse markets such as education, healthcare, hospitality, and municipal water systems.
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Drinking Water Products - Provides filtered drinking water delivery systems, including bottle filling stations, water fountains, and water dispensers, sold under the Elkay® and Halsey Taylor® brands. These products are designed for use in facilities such as schools, hospitals, and commercial buildings.
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Water Safety and Control Products - Offers valves, backflow preventers, fire system valves, pressure-reducing valves, and thermostatic mixing valves under the Zurn® and Wilkins® brands. These products are essential for potable and non-potable water systems, fire protection, and municipal water applications.
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Water Control Solutions - Includes PEX piping, valves, fittings, and installation tools for fluid distribution and radiant heating systems, marketed under the Zurn® brand.
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Todd A. Adams ExecutiveBoard | Chairman of the Board and CEO | Director at Badger Meter, Inc. | CEO since 2009, Chairman since 2020. Led ZWS to record sales and EBITDA in 2024. Oversees Zurn Elkay Business System and sustainability initiatives. | View Report → |
David J. Pauli Executive | Chief Financial Officer | None | Joined ZWS in 2012. Promoted to CFO in 2024. Previously served as Corporate Controller and VP of Investor Relations. CPA with prior experience at Deloitte. | |
Jeffrey A. Schoon Executive | President | None | Joined ZWS in 2010. Promoted to President in 2024. Previously EVP and held leadership roles in the Energy and Conveying divisions. | |
Jeffrey J. LaValle Executive | VP, General Counsel, and Corporate Secretary | None | Joined ZWS in 2013 as Assistant General Counsel. Promoted to General Counsel in 2022. Oversees legal, compliance, and corporate governance. | |
Mark W. Peterson Executive | Chief Administrative Officer | None | Joined ZWS in 2006. Former CFO (2011-2024). Now oversees HR, enterprise risk, and facilities management. | |
Michael D. Troutman Executive | Chief Information Officer | None | CIO since 2007. Leads IT strategy and operations. Previously held senior IT roles at AT&T, Lucent, and Agere Systems. | |
David C. Longren Board | Director | Board member at Horton Worldwide, Northern Tool, and United Tactical Systems | Director since 2016. Extensive experience in manufacturing and product development. Serves on multiple private company boards. | |
Emma McTague Board | Director | SVP and CHRO at Oshkosh Corporation; Executive Advisory Board Member at WVU HR Program | Director since 2023. Expertise in human capital and executive compensation. Chief HR Officer at Oshkosh Corporation. | |
George C. Moore Board | Director | Executive Chairman at IPS Corporation; Director at Cypress Performance Group and CP Atlas Parent Holdings | Director since 2015. Financial and operational expertise. Holds leadership roles in private equity and manufacturing companies. | |
Jacques Don Butler Board | Director | Board member at INRIX | Director since 2021. Former Executive Director at Ford Motor Company and held leadership roles at General Motors. Expertise in engineering, marketing, and IT. | |
Mark S. Bartlett Board | Lead Director | Director at T. Rowe Price Group, WillScot Mobile Mini Holdings, and FTI Consulting | Director since 2012. Chair of the Audit Committee. Former partner at Ernst & Young LLP with expertise in accounting and corporate governance. | |
Peggy N. Troy Board | Director | President and CEO of Children’s Hospital of Wisconsin; Trustee at Marquette University; Board Member at Medical College of Wisconsin | Director since 2019. Chair of the Nominating and Corporate Governance Committee. Leads one of the largest pediatric healthcare systems in Wisconsin. | |
Rosemary Schooler Board | Director | Director at ARM Holdings; Board Member at Densify | Director since 2019. Former Corporate VP at Intel. Expertise in IT and IoT. Serves on boards of ARM Holdings and Densify. | |
Thomas D. Christopoul Board | Director | Managing Partner at 54 Madison Partners and Athos Real Estate Partners | Director since 2013. Co-founder of private equity firms. Former CEO of Resources Connection, Inc. and senior advisor at Falconhead Capital. | |
Timothy J. Jahnke Board | Director | Advisor to Wahl Clipper Company; Board Member at Elkay Interior Systems and Your 6 | Director since 2022. Former CEO of Elkay Manufacturing. Played a key role in the ZWS-Elkay merger. |
- You mentioned a target of achieving a 50% gross margin over time—what specific actions are you taking to reach this goal, and what challenges might hinder your progress?
- With leverage at an all-time low of 0.8x and plans for potential M&A in 2025, how do you intend to balance share repurchases and dividend growth with the need to deploy capital for acquisitions?
- Given that institutional projects are your most profitable segment and residential the least, how are you preparing to mitigate margin pressures if there's a shift in demand from institutional to less profitable segments?
- Considering the incremental growth of 200,000 to 300,000 bottle fillers since July 2022 against an installed base of 8 million water fountains, how sustainable is the growth in this category, and what is your strategy if adoption rates slow down?
- With net pricing below your long-term algorithm this year but expecting 1–2% price increases in 2025, what gives you confidence that the market will absorb these increases without negatively impacting your competitive position?
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Elkay Manufacturing Company | 2022 | Deal structure: The acquisition was executed via a merger on February 12, 2022, with Elkay merging through a wholly-owned subsidiary of Zurn and later continuing as a wholly-owned subsidiary after the merger was completed on July 1, 2022. Consideration and terms: Zurn issued up to 52.5 million shares (≈29% of its fully diluted shares as of December 31, 2021) along with incurring $10,028,000 in transaction and $1,880,000 in restructuring costs, and the deal included customary conditions such as antitrust clearance and stockholder approvals. |
Recent press releases and 8-K filings for ZWS.
- Robust Financial Performance: Q1 sales reached $389M with 5% core growth, adjusted EBITDA of $98M (up 9% YoY) and an EBITDA margin of 25.2%
- Effective Debt and Cash Management: Ended the quarter with net debt leverage at 0.9x and generated $39M in free cash flow
- Strategic Share Repurchase: Executed a $77M share repurchase (2.3M shares)
- Supply Chain & Tariff Strategy: Targeting tariff costs of $45–55M while working to reduce China-sourced COGS to 2–3% by the end of 2026
- Sustainability Milestone: Delivered 600 million gallons of filtered water in Q1, marking a 33% YoY increase
- Q1 2025 performance: Reported net sales of approximately $389 million, core sales growth of 5%, and net income from continuing operations of $41 million with diluted EPS of $0.24.
- Operational efficiency: Achieved adjusted EBITDA of $98 million (25.2% margin), up from $90 million in the prior year’s quarter, indicating improved profitability.
- Capital returns and update: Executed a $77 million share repurchase and paid $15 million in dividends; an investor call is scheduled for April 23, 2025, for further insights.