Trane Technologies (NYSE:TT) reported strong second-quarter results, prompting an increase in its full-year revenue and earnings outlook. The company’s enterprise organic bookings surged 37% year-over-year, resulting in a record backlog of $12.1 billion, which represents a 70% increase from the previous year. Adjusted earnings per share (EPS) grew 11%, and organic revenue rose 9% in the quarter.
Looking ahead, Trane expects approximately 9% organic revenue growth for the full year and adjusted EPS of $15.20 to $15.30. The company projects around 10% organic revenue growth and adjusted EPS of about $4.70 for Q3. Commercial HVAC drives this growth, with bookings in the Americas up 50% year-over-year, and applied bookings exceeding 100% growth for the fourth consecutive quarter.
In the Asia-Pacific region, bookings increased by 31%, and organic revenue grew by 10%. However, the Middle East revenue declined about 30% during the second quarter, with expectations of a similar decline in the second half. Trane anticipates 50 basis points of year-over-year margin expansion in Q3, despite pressures in the EMEA segment.
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