Strong Sales Growth Driven by Applied HVAC and Data Center Demand
Net sales in 2026-Q2 increased 9% year-over-year to $6,614M, supported by $582M in organic growth. Products and Systems grew 11% while Services increased 7%, led by strength in Applied HVAC and elevated demand for hyperscale data center thermal management solutions.
Record Backlog and Order Expansion
Total orders expanded 27% year-over-year to $6.8B in 2026-Q2, boosting total backlog by 32% to $21.0B. The Americas segment led the expansion with order growth of 37%, supported by 55% order growth in Products and Systems.
Multi-Year Operational Restructuring Plan
The Company continues to execute its multi-year restructuring plan initiated in Q4 FY24 to address stranded costs from portfolio simplification, expecting $400M in total one-time costs through FY27 and targeting annualized cost savings of $500M.