Latest news with #TraneTechnologies
Business Insider
a day ago
- Business
- Business Insider
Trane Technologies (TT) Receives a Rating Update from a Top Analyst
In a report released on August 7, Andrew Kaplowitz from Citi maintained a Buy rating on Trane Technologies, with a price target of $499.00. The company's shares closed last Friday at $430.09. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. According to TipRanks, Kaplowitz is a top 25 analyst with an average return of 28.3% and a 74.39% success rate. Kaplowitz covers the Industrials sector, focusing on stocks such as Jacobs Solutions, MasTec, and Emerson Electric Company. In addition to Citi, Trane Technologies also received a Buy from UBS's Amit Mehrotra in a report issued on August 5. However, on August 1, Northcoast Research downgraded Trane Technologies (NYSE: TT) to a Hold.
Globe and Mail
31-07-2025
- Business
- Globe and Mail
Trane (TT) Q2 EPS Up 18 Revenue Up 8
Key Points Adjusted earnings per share (non-GAAP) surpassed estimates at $3.88, compared to the expected $3.79, representing an 18% increase from Q2 2024. GAAP revenue climbed 8% to $5.75 billion, but missed expectations by 0.47%. Americas Commercial HVAC led growth. Full-year 2025 guidance was raised, with adjusted EPS targeted at $13.05 and organic revenue growth expected to reach 8%. These 10 stocks could mint the next wave of millionaires › Trane Technologies Plc (NYSE:TT), a leader in heating, ventilation, air conditioning (HVAC), and refrigeration solutions, delivered its second quarter 2025 results on July 30, 2025. The earnings release highlighted adjusted earnings per share (EPS) of $3.88, beating analyst estimates of $3.79 and marking an 18 % rise from the prior year. Revenue (GAAP) grew 8% to $5.75 billion, slightly under the $5.77 billion GAAP consensus estimate. Overall, the quarter reflected ongoing strength in the Americas, particularly from Commercial HVAC, while management lifted its guidance for the full fiscal year. Metric Q2 2025 Q2 2025 Estimate Q2 2024 Y/Y Change EPS (Non-GAAP) $3.88 $3.79 $3.30 18% Revenue (GAAP) $5.75 billion $5.77 billion $5.31 billion 8% Adjusted Operating Margin 20.3% 19.4% 0.9 pp Adjusted EBITDA $1.25 billion $1.12 billion 12% Free Cash Flow (Non-GAAP) $841 million1 $810 million1 3.8% Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report. Understanding Trane Technologies Plc's Business Trane Technologies Plc designs, manufactures, and services climate-control solutions for commercial, residential, and transport applications worldwide. Its brands include Trane for HVAC systems and Thermo King for transport refrigeration units and trailer cooling. Products range from large-scale commercial HVAC equipment to advanced residential air conditioners and rental solutions. The company is actively focused on sustainability, recurring revenue through long-term service agreements, and innovation in energy-efficient products. It's recognized for its 'Gigaton Challenge' to reduce customer greenhouse gas emissions, a goal that has become central to its brand and competitive positioning. Key business metrics are influenced by regional performance, strong service segment results, and the ability to manage global supply chains amid regulatory and tariff shifts. Quarter Highlights: Growth in Americas Offsets Global Softness The standout was continued momentum in the Americas, particularly in Commercial HVAC systems. Bookings for the segment reached $4.54 billion, an 8% increase from last year, and net revenue grew 9% year-over-year. Operating margin in the Americas expanded to 22.4%, reflecting both strong pricing and operational productivity. Management noted that 'Bookings strength led by Americas Commercial HVAC applied solutions up over 60 percent.' By contrast, performance outside the Americas was mixed. In the Europe, Middle East, and Africa (EMEA) segment, bookings were up just 5%, and organic bookings declined 2%. Margins in EMEA narrowed, with the adjusted operating margin falling to 17.3% due to heavy reinvestment and inflation. The Asia Pacific segment saw bookings drop 16% and revenue slip 7%, weighed down by weaker demand in China and lower volumes overall. Despite these headwinds, Trane highlighted that high-value, service-oriented business lines remain stable, offering some buffer against changes in equipment sales. The company's global backlog was $7.1 billion at June 30, 2025, a 6% increase from year-end, but sequentially decreased by about $125 million. This drop reflected softness in the Residential and Transport businesses, even as Commercial HVAC backlog remained elevated. With 'bespoke applied solutions' cited as a major driver for growth, operationally, positive pricing actions and productivity gains offset most inflationary pressures. Adjusted operating margin was 20.3%, up 0.9 percentage points from Q2 2024. However, management flagged tariffs as a possible risk, estimating an annual $250–275 million cost, to be covered 'dollar for dollar' through pricing and cost-saving efforts. On capital allocation, Trane spent approximately $1.8 billion year-to-date through July, covering dividend payments ($420 million), acquisitions ($275 million), share buybacks ($1 billion), and debt reduction ($150 million) year-to-date through July. Free cash flow (non-GAAP) for the six months ended June 30 was $841 million, a 3.8% improvement over the previous year. Cash and debt balances reflected this activity: cash on hand at quarter end was $774 million (down from $1,326 million a year ago), while debt was reduced to $4.62 billion. The quarterly dividend was raised 12% earlier in the year, effective with the Q1 payment, continuing a multi-year trend of dividend increases. Looking Ahead: Guidance and Investor Focus For FY2025, management increased its outlook, now targeting organic revenue growth of 8% and adjusted EPS of approximately $13.05. The company attributed this confidence to record backlog, resilient pricing, and sustained demand in Commercial HVAC. Management also noted that additional price increases to offset tariffs could provide upside to revenue guidance for the full year, though these are not yet included in official targets as cost and price actions are monitored across key markets. Going forward, areas for investors to watch include the pace at which backlog is converted to revenue, progress in international markets, and any developments in tariff rules or supply chain costs. Residential and Transport remain more volatile, with softer bookings this quarter, Service businesses are expected to provide stability. The company's continued focus on sustainability, innovation, and service offerings is expected to remain central in its strategy as it moves through the rest of the year. Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, Stock Advisor's total average return is 1,039%* — a market-crushing outperformance compared to 182% for the S&P 500. They just revealed what they believe are the 10 best stocks for investors to buy right now, available when you join Stock Advisor. See the stocks » *Stock Advisor returns as of July 29, 2025
Yahoo
30-07-2025
- Business
- Yahoo
Trane Technologies Raises Full-Year Outlook After Record Bookings
Trane Technologies plc (NYSE:TT) raised its full-year guidance Tuesday after posting better-than-expected second-quarter earnings, bolstered by strong demand in its Americas Commercial HVAC segment and record bookings. Despite the upbeat earnings report, the company's shares experienced an 8% decline in morning trading. The climate solutions company reported adjusted earnings of $3.88 per share, an increase of 18% from a year earlier and above the Wall Street consensus of $3.79. Net revenue was $5.75 billion, up 8% year-over-year but just short of analysts' estimates of $5.76 billion. Bookings reached a record $5.63 billion, up 5% from the same quarter last year. This was fueled by more than 60% growth in applied solutions orders within the Americas Commercial HVAC unit. Total enterprise backlog ended the quarter at $7.1 billion, up 6% from the end of EBITDA rose 12% to $1.25 billion, with margins improving 70 basis points to 21.8%. Adjusted operating income rose 14% and margin expanded by 90 bps to 20.3%. 'Our performance continues to be led by Americas Commercial HVAC, with strong demand for our sustainable solutions across a broad base of highly complex projects,' said Chair and CEO Dave Regnery. 'We're confident in raising our full-year revenue and EPS guidance.' Americas revenue grew 9% to $4.69 billion, with bookings up 8%. The unit posted a 130-basis-point gain in adjusted operating margin, driven by robust demand and price realization. EMEA revenue climbed 10% to $707.9 million, but organic growth slowed to 3% and margins contracted 150 basis points due to inflation and reinvestments. Asia Pacific saw bookings fall 16% and revenue drop 7% amid continued volume weakness, with margins down across the board. View more earnings on TT Through the first half of 2025, Trane generated $1.04 billion in operating cash flow and $841 million in free cash flow. The company deployed or committed approximately $1.8 billion, including $1 billion in share repurchases, $420 million in dividends, and $275 million in M&A. Outlook Trane Technologies raised its full-year 2025 adjusted EPS guidance to approximately $13.05, up from the prior $12.70-$12.90 range and above the $12.93 consensus estimate. GAAP EPS guidance was also increased to $13.30, compared to the previous $12.95-$13.15 range and ahead of the $13.03 Street view. Full-year revenue is now expected to reach $21.62 billion, topping both the prior guidance range of $21.33-$21.52 billion and the consensus estimate of $21.53 billion. Trane expects ~9% reported revenue growth for fiscal year 2025, including ~8% organic growth and a 100 basis-point contribution from M&A. The company reaffirmed its commitment to margin discipline, projecting adjusted EPS growth of 16% year over year despite a ~15-cent EPS headwind from acquisitions and $140 million in expected tariff-related costs. Trane also anticipates 25%+ organic leverage and continued strategic investment in digital, automation, and innovation. For the third quarter, the company guided ~6% organic revenue growth and adjusted EPS of ~$3.80+, including a ~3-cent M&A-related impact versus $3.78 Street View. Price Action: TT shares were trading lower by 7.22% to $436.98 at last check Wednesday. Read Next:Image by CC Photo Labs via Shutterstock UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article Trane Technologies Raises Full-Year Outlook After Record Bookings originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
30-07-2025
- Business
- Yahoo
Trane Technologies Raises Full-Year Outlook Even as Second-Quarter Revenue Misses Street View
Trane Technologies (TT) lifted its full-year outlook on Wednesday as the climate control product mak Sign in to access your portfolio
Reuters
30-07-2025
- Business
- Reuters
Trane Technologies raises annual profit forecast on resilient demand
July 30 (Reuters) - Trane Technologies (2IS.F), opens new tab raised its full-year profit forecast on Wednesday, after topping second-quarter earnings estimates on the back of strong demand for its heating and air-conditioning systems as well as higher pricing. The Ireland-based company's Americas segment - its largest revenue generator - saw robust industrial and commercial demand, helping its quarterly sales to rise 9% to $4.69 billion from a year ago. The firm, which owns transport refrigeration company Thermo King, in April flagged an annual cost impact estimate of $250 million to $275 million from tariffs. However, Trane had said it would aim to soften the blow with price hikes. The company expects its 2025 adjusted profit to be about $13.05 per share, compared with its prior view of $12.70 to $12.90 per share. Trane Technologies posted a second-quarter profit of $3.88 per share on an adjusted basis, beating analysts' average estimate of $3.79 per share, according to data compiled by LSEG. Its quarterly revenue rose about 8% to $5.75 billion, falling marginally short of the $5.78 billion expected by analysts.
