Water management solutions company Zurn Elkay (NYSE: ZWS) will be reporting results this Tuesday after the bell. Here’s what you need to know.

Zurn Elkay beat analysts’ revenue expectations by 3% last quarter, reporting revenues of $455.4 million, up 11.1% year on year. It was a very strong quarter for the company, with a solid beat of analysts’ adjusted operating income estimates and an impressive beat of analysts’ revenue estimates.

Is Zurn Elkay a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Zurn Elkay’s revenue to grow 8.3% year on year to $401.5 million, improving from the 3.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.34 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Zurn Elkay has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 1.8% on average.

Looking at Zurn Elkay’s peers in the hvac and water systems segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Trane Technologies delivered year-on-year revenue growth of 5.5%, beating analysts’ expectations by 0.8%, and A. O. Smith reported flat revenue, falling short of estimates by 1.5%. Trane Technologies traded up 6.7% following the results while A. O. Smith was also up 5.8%.

Read our full analysis of Trane Technologies’s results here and A. O. Smith’s results here.

There has been positive sentiment among investors in the hvac and water systems segment, with share prices up 5.1% on average over the last month. Zurn Elkay is down 1.3% during the same time and is heading into earnings with an average analyst price target of $51.22 (compared to the current share price of $46.12).

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