What is the market's earnings forecast for Allegion Public next quarter?

What guidance did Allegion Public's management provide for the next earnings period?

What is the revenue and EPS growth rate for Allegion Public year over year?

What factors drove the changes in Allegion Public's revenue and profit?

What were the key takeaways from Allegion Public's earnings call?

What were the key takeaways from Allegion Public’s earnings call?

What does Allegion Public do and what are its main business segments?

What is Allegion Public's gross profit margin?

- **Revenue Growth**: Q3 2025 revenue of $1.0B+ (+10.7% YoY), driven by 5.9% organic growth in Americas.
- **EPS Upgrade**: Full-year 2025 EPS raised to $8.10-$8.20, up from prior range, reflecting $600M+ M&A and strong cash flow ($485M YTD).
- **Acquisition Impact**: 2025 acquisitions (e.g., ELATEC, UAP) to contribute ~$40M annualized revenue and 2% EPS in 2026.
- **Tariff Resilience**: 100% inflation offset via pricing/productivity, with $40M Q4 tariff surcharge revenue.
- **Challenges**: Residential market remains soft, but electronics growth (+15.5% YoY) and new products (Arrive lock) mitigate weakness.

**【CEO Summary Section】**
- Q3 2025 revenue exceeded $1 billion, growing 10.7% YoY, driven by 5.9% organic growth in the Americas segment.
- Raised full-year 2025 EPS guidance to $8.10-$8.20, up from prior range, reflecting strong execution and recent acquisitions (UAP, Brisant).
- Capital allocation: $600M year-to-date on accretive M&A (e.g., ELATEC, Gatewise), with focus on electronics, mechanical, and complementary software.
- New product launches (Schlage Performance Series locks, Arrive smart lock) contributed to 15.5% YoY electronics revenue growth.
- 2026 outlook: Expect ~2% EPS contribution from 2025 acquisitions, with nonresidential Americas growth supported by spec activity (+20% YoY in 2025).

**【CFO Financial Commentary】**
- Q3 2025: 
  - Adjusted EPS: $2.30 (vs. $2.16 prior year), +6.5% YoY.
  - Americas segment: $844M revenue (+7.9% reported, +6.4% organic), 24.1% operating margin (flat YoY due to higher corporate expenses).
  - International segment: $226M revenue (+22.5% reported, +3.6% organic), 14.3% operating margin (up 70bps YoY).
  - Year-to-date cash flow: $485.2M (+25.1%), with 85-95% conversion of adjusted net income.
- Tariffs: $40M Q4 surcharge revenue expected in Americas to offset Section 232 tariffs.
- 2025 tax rate: 17-18%, stable vs. prior year.

**【Q&A Highlights】**
- **M&A Pipeline**: Strong pipeline in both Americas and International, with focus on electronics, mechanical, and software. Recent deals (UAP, Brisant) expected to add ~$40M annualized revenue.
- **Residential Market**: Soft demand persists, but new e-lock products (Arrive) drove mid-single-digit growth in Q3.
- **Tariff Management**: Pricing and productivity initiatives offset 100% of inflation in Q3, with ~$2.2M net tailwind.
- **Spec Activity**: Nonres spec writing up 20% YoY, driven by multifamily, data centers, and healthcare projects.
- **2026 Outlook**: Expect similar market conditions to 2025, with ~2% EPS contribution from 2025 acquisitions and 35% incremental margin on organic growth.

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