#United States #financial results #Carrier Global #Palm Beach Gardens #Climate Solutions

Overview of Carrier Global Corporation's Q3 2026 Results

Carrier Global Corporation, a front-runner in intelligent climate and energy solutions, disclosed its financial performance for the third quarter of 2026, highlighting substantial increases in orders and sales. The company achieved a remarkable backlog exceeding $8.5 billion, which is reflective of a strong demand for its diversified offerings in both commercial and residential sectors.

Key Financial Highlights

During the quarter ended September 30, Carrier reported net sales of $6.3 billion, marking a 12% increase from the previous year, with organic sales rising by an impressive 15%. Commercial HVAC sales surged approximately 60%, and the data center segment experienced a staggering 300% growth, showcasing the company's agility in meeting market demands.

Adjusted earnings per share (EPS) grew 30% to $0.87, despite a GAAP EPS loss of ($3.16), primarily influenced by a non-cash goodwill impairment charge. Chairman and CEO David Gitlin expressed optimism, stating, "We delivered strong third quarter performance, achieving order growth and adjusted EPS growth driven largely by increased free cash flow."

Expansion and Backlog Growth

Carrier's commitment to expanding its market influence is evidenced by signed long-term agreements (LTAs) valued at multiple billions, with substantial volume commitments that directly add to the overall backlog. The organic orders reported a 35% increase, signaling robust confidence in Carrier's solutions within the industry.

Segment Performance Breakdown

• - Climate Solutions Americas (CSA): This segment saw net sales reach $3.35 billion, growing 24% year-over-year with organic sales increasing by 25%. The surge was fueled by a notable performance in residential and commercial solutions.
• - Climate Solutions Europe (CSE): Despite a moderate growth of 3% in sales within this segment, organic sales increased by 12%. The strong demand in residential heat pumps helped bolster these results, offsetting losses from divestitures.
• - Climate Solutions Asia Pacific, Middle East, and Africa (CSAME): Sales experienced a minimal increase of 2%, with organic growth attributed to commercial sector expansion even amid lower performance in residential heating and cooling units.
• - Climate Solutions Transportation (CST): This segment faced a decline of 3%, primarily due to weaker performances in the truck and trailer categories, although an improved operating margin was noted.

Free Cash Flow and Return to Shareholders

Carrier also reported operating cash flows of $813 million and free cash flow totaling $674 million for the quarter. The company demonstrated its commitment to shareholders by returning approximately $600 million through dividends and share repurchases during this period.

Future Outlook

Looking ahead, Carrier is optimistic about sustaining double-digit organic growth and EPS in the remainder of the year. The company anticipates full-year sales approaching $24 billion, with continued strength in demand reflected in their record backlog.

With a strategic focus on climate solutions and innovations, Carrier Global Corporation is poised to maintain its leadership position in the climate and energy sector while navigating future challenges effectively. For additional information, stakeholders can tune into the upcoming earnings conference call scheduled for October 29, 2026.