#United States #Columbus #financial results #Digital Infrastructure #Vertiv Holdings

Vertiv Reports Strong Third Quarter Results

Vertiv Holdings Co (NYSE: VRT), a leading global provider of critical digital infrastructure, has announced remarkable financial results for the third quarter ending September 30, 2025. The company reported an impressive increase of around 60% in organic orders compared to the same period last year and a sequential growth of 20% from the second quarter of 2025.

Key Highlights of Q3 2025

• - Net Sales Growth: Vertiv's net sales for Q3 hit $2.68 billion, marking a $602 million increase or 29% year-over-year. This growth was primarily driven by a robust 43% surge in the Americas and a 20% rise in the Asia-Pacific region (APAC).

• - Strong Order Performance: The trailing twelve-month (TTM) organic orders saw a remarkable 21% increase versus the prior year, reflecting sustained demand within the market, particularly for AI-driven infrastructure solutions. The company's book-to-bill ratio stood at approximately 1.4, with a backlog of $9.5 billion.

• - Earnings Per Share: Vertiv posted a diluted EPS of $1.02, a staggering 122% improvement year-over-year, while adjusted diluted EPS rose 63% to $1.24.

• - Improved Profit Margins: Operating profit reached $517 million, a 39% increase from Q3 2024, with an adjusted operating profit of $596 million, up 43%. The adjusted operating margin for the quarter was 22.3%, indicating a 220 basis point increase compared to the same quarter last year.

Remarks from Leadership

Giordano Albertazzi, CEO of Vertiv, commented on the results, saying, “These results underscore our distinct position in shaping the future of digital infrastructure. Our substantial backlog and robust sales growth reflect both accelerated market demand and our competitive strengths.”

Albertazzi also highlighted ongoing operational enhancements and cost management initiatives that have driven margin improvements. The CEO emphasized the company’s commitment to optimizing operations to better seize market opportunities, particularly in the EMEA region, where conditions are expected to improve.

Vertiv's Executive Chairman, Dave Cote, stressed that these strong results are the product of continuous strategic investments and maintaining a high-performance culture. He stated, “We have established a durable foundation, enhancing operational agility while investing in differentiated technologies.”

Addressing Market Demand

To meet increasing industry demand, Vertiv plans to enhance its manufacturing and service capacities significantly. The company expressed its commitment to investing in new technologies and expanding its expertise within the data center sector, ensuring they remain at the forefront of emerging technological demands.

The company also reported robust cash flow performance with a net cash generated from operating activities reaching $509 million and adjusted free cash flow at $462 million, both representing growth of 36% and 38%, respectively. Vertiv's liquidity remained strong, amounting to $2.7 billion, with a net leverage ratio of approximately 0.5 times.

Updated Guidance for 2025

Given the solid backlog and favorable market indicators, Vertiv has raised its full-year 2025 guidance, expecting net sales between $10.16 billion and $10.24 billion. The company also revised its adjusted diluted EPS forecast upwards from $3.80 to $4.10 and adjusted operating profit expectations from $1.99 billion to $2.06 billion.

The anticipated capital expenditures for 2025 are projected to be around $250 million, with plans for further expansion in 2026 to support expected substantial revenue growth.

Conclusion

Vertiv’s exceptional third-quarter performance showcases its resilience in the critical digital infrastructure market. As the company continues its strategic investments and operational enhancements, it remains well-positioned to meet growing global demand while enhancing shareholder value.