What is the market's earnings forecast for Johnson Controls next quarter?

What were the key takeaways from Johnson Controls’s earnings call?

What is Johnson Controls's latest dividend and current dividend yield?

What is Johnson Controls's gross profit margin?

What factors drove the changes in Johnson Controls's revenue and profit?

What is the revenue and EPS growth rate for Johnson Controls year over year?

What were the key takeaways from Johnson Controls's earnings call?

What guidance did Johnson Controls's management provide for the next earnings period?

- **Revenue & Margin Surge**: 6% revenue growth, 190bps EBIT margin expansion, and 40% EPS increase highlight Q1 success.
- **Strategic Execution**: Business system improvements (e.g., 95-100% on-time delivery) and new product launches (YDAM, YK-HT) drive operational excellence.
- **Guidance Raise**: Full-year EPS raised to $4.70 (+25%), supported by 50%+ operating leverage and $18B backlog.
- **Innovation Leadership**: Expansion into CDU space and AI-driven cooling solutions position for data center growth.
- **Global Expansion**: APAC leadership appointment and life sciences demand fuel diversification beyond data centers.

**【CEO Summary Section】**
- **Record Performance**: Q1 2026 saw orders surge 40% YoY, revenue grow 6%, and adjusted EBIT margins expand 190bps to 12.4%. Adjusted EPS rose nearly 40% to $0.89, exceeding guidance.
- **Strategic Focus**: Emphasized disciplined execution through a 3-pillar business system (simplify, accelerate, amplify), driving productivity gains. Examples include HVAC sellers doubling customer engagement time and manufacturing plants achieving 95-100% on-time delivery.
- **Innovation Leadership**: Launched new chiller platforms (YDAM, YK-HT) targeting high-density data centers and introduced Smart Ready Chiller for proactive service. Expanded into CDU space, complementing chiller and air handling units.
- **Market Expansion**: Noted strong demand in life sciences (biopharma manufacturing) and APAC, with a new APAC President appointment to accelerate growth.

**【CFO Financial Commentary】**
- **Financial Highlights**: GAAP net income of $420M, Non-GAAP EPS of $0.89 (vs. $0.64 prior). Full-year adjusted EPS guidance raised to $4.70 (+25%), with 100% free cash flow conversion expected.
- **Margin Expansion**: Segment EBITA margins improved 70bps to 15.7%, driven by pricing, productivity, and project execution. Americas, EMEA, and APAC margins expanded 20bps, 120bps, and 290bps, respectively.
- **Balance Sheet Strength**: $600M available cash, net debt at 2.2x, supporting capital allocation priorities (growth, balance sheet, returns).
- **Guidance Update**: Q2 organic growth 5%, adjusted EPS $1.11. Full-year mid-single-digit revenue growth with 50%+ operating leverage, up from long-term 30% algorithm.

**【Q&A Key Highlights】**
- **Order Strength**: 40% YoY growth driven by data centers (chillers, CDUs, air handling units) and life sciences. Backlog at $18B reflects multi-year projects, with 20% YoY growth.
- **Margin Leverage**: 50%+ operating leverage for FY26, enabled by trended cost savings and factory absorption. North America margin headwinds ($15M) temporary, with improvement expected.
- **Service Growth**: Service revenue up 9% YoY, with focus on proactive solutions (e.g., Smart Ready Chiller). Field force productivity initiatives aim to decouple SG&A growth from revenue.
- **Product Pipeline**: New chiller platforms and CDU entries position for next-gen AI compute. Reference designs with NVIDIA highlight leadership in thermal management for data centers.
- **APAC Momentum**: Stabilization in China, growth in Southeast Asia and India. New APAC President to drive regional execution and innovation.

Johnson Controls International plc (JCI) Q1 2026 Earnings Call Transcript

- **Revenue Growth**: 6% FY2025, $15B record backlog, 3% FY2026 guidance.
- **Margin Expansion**: 50%+ operating leverage, 100% free cash flow conversion.
- **Data Center Dominance**: CDU launch, 95% on-time delivery, $15B backlog.
- **Business System Impact**: 60%+ time with customers, 50% cost reduction in factories.
- **Long-Term Vision**: Mid-single-digit growth, double-digit EPS, 100% free cash flow.

**【CEO Summary Section】**
- Delivered 6% organic revenue growth in FY2025, driven by strong execution in data centers and mission-critical solutions.
- Introduced proprietary business system (simplify, accelerate, scale) to improve operational efficiency and customer engagement.
- Updated long-term algorithm: mid-single-digit revenue growth, double-digit EPS growth, and 100% free cash flow conversion.
- FY2025 free cash flow conversion of 102%, with $2.5B cash flow from operations.
- Record backlog of $15B, up 13% YoY, reflecting strong demand in data centers and decarbonization.

**【CFO Financial Commentary】**
- FY2025 GAAP net income: $420M; Non-GAAP EPS: $1.26 (14% YoY growth).
- FY2026 guidance: 3% organic sales growth, 50% operating leverage, and $4.55 EPS (20% YoY growth).
- 100% free cash flow conversion target, supported by disciplined working capital management.
- Restructuring program delivering $500M+ benefits over 2-3 years, with $200M+ spent in FY2025.

**【Q&A Key Highlights】**
- **Operating Leverage**: 50%+ in FY2026 driven by stranded cost removal, restructuring, and business system efficiency gains.
- **Data Center Growth**: CDU launch enables 60%+ time spent with customers; Accelsius platform positions for 2027+ AI chip demand.
- **Margin Expansion**: EMEA/Asia margins improving 30-50bps YoY, Americas at 20%+ segment margin.
- **Backlog Visibility**: 13% growth to $15B, with 95%+ on-time delivery in key factories.
- **M&A Strategy**: Disciplined approach to portfolio optimization, with focus on high-growth verticals.
- **Service Model**: Technology-enabled service automation reducing cost-to-serve by 50%+.

Johnson Controls International plc (JCI) Q4 2025 Earnings Call Transcript

- **Revenue & Profit Growth**: 6% organic sales growth, 11% EPS increase, and $1.8B free cash flow year-to-date.
- **Operational Excellence**: 100%+ free cash flow conversion, $100M restructuring savings, and Lean initiatives cutting lead times by 50%.
- **Strategic Moves**: Sale of Residential HVAC to Bosch, new Chief HR Officer, and 10%-15% portfolio review for divestitures.
- **Future Targets**: 14%-15% EPS growth, >100% free cash flow conversion, and mid-single-digit revenue growth in 2026.

**【CEO Summary Section】**
- **Strong Q3 Results**: Organic sales grew 6%, segment margins expanded 20 basis points to 17.6%, and adjusted EPS rose 11% to $1.05. Year-to-date free cash flow doubled to $1.8 billion.
- **New Business System**: Focused on customer centricity, R&D investment, and Lean principles. Early initiatives include doubling seller time with customers in HVAC and cutting lead times for data center chillers by half.
- **Portfolio Review**: Ongoing strategic evaluation of businesses, with potential exits or acquisitions to optimize growth. Appointment of new Chief Human Resources Officer to enhance talent engagement.

**【CFO Financial Commentary】**
- **Financial Highlights**: GAAP net income of $420 million, adjusted EPS of $1.05 (vs. $0.95 prior year). Free cash flow conversion >100% for the year, targeting 100%+ return to shareholders via dividends and buybacks.
- **Guidance Update**: Full-year organic sales growth of mid-single digits, adjusted EPS $3.65-$3.68 (+14%-15%), and free cash flow conversion >100%.
- **Tariff Mitigation**: Strategic sourcing and cost management offset tariff impacts. Restructuring savings of $100 million from Residential/Light Commercial HVAC sale to Bosch.

**【Q&A Key Highlights】**
- **Free Cash Flow Sustainability**: 100%+ conversion driven by improved collections, Lean initiatives, and reduced CapEx. Long-term confidence in maintaining high conversion rates.
- **Fire & Security Growth**: Low single-digit growth, with opportunities to apply Lean principles and product differentiation. Data center business (10% of sales) remains strong.
- **Portfolio Strategy**: 10%-15% of assets under review for divestiture. Focus on high-margin Service solutions and operational efficiency in China.
- **2026 Outlook**: Mid-single-digit revenue growth, >25% incremental margins, and double-digit EPS growth. Lean transformation to decouple growth from CapEx and inventory.

Johnson Controls International plc (JCI) Q3 2025 Earnings Call Transcript

- **Record Q2 Growth**: 7% organic sales, 19% EPS beat, $14B backlog highlight execution strength.
- **Lean Transformation**: Early-stage value stream mapping targeting 600bps+ margin expansion over 2 years.
- **Cash Flow Excellence**: 100% free cash flow conversion guidance, $3.60 EPS vs. prior $3.25.
- **Data Center Dominance**: 20%+ Applied HVAC growth, YORK chiller leadership in hyperscale infrastructure.
- **Service Expansion**: 40,000 field technicians driving 20%+ service backlog growth in Asia Pac.


**【CEO Key Highlights】**
- **Strong Q2 Performance**: Organic sales grew 7%, segment margin expanded 180bps to 16.7%, and adjusted EPS increased 19% to $0.82. Backlog reached $14B, up 12% year-over-year.
- **New Organizational Model**: Transitioned to three customer-centric geographic segments with global functional capabilities, aiming to enhance customer intimacy and operational efficiency.
- **Lean Execution Focus**: Early-stage lean initiatives targeting waste elimination and process improvement, starting with value stream mapping in key product lines.
- **Tariff Mitigation**: Activated strategies including regional manufacturing, dynamic supply chain pivots, pricing actions, and contractual change orders to offset ~2% of sales exposure.

**【CFO Financial Breakdown】**
- **Revenue Growth**: Global Products organic sales +8%, driven by Applied HVAC (+20%) and strong service attach rates. Building Solutions orders +5% across regions, with North America systems and service both growing mid-single digits.
- **Profitability**: Adjusted segment EBITA margin expanded 600bps in Global Products to 30.3%. Building Solutions margins improved 410bps in EMEA/LA and 360bps in APAC, offsetting North America system growth headwinds.
- **Cash Flow Strength**: Q2 free cash flow $1.1B year-to-date, raising full-year guidance to 100% conversion of adjusted EPS to free cash flow.
- **Guidance Update**: Full-year organic sales growth maintained at mid-single digits, with adjusted EPS now $3.60 (+12%), and margin expansion ~90bps.

**【Q&A Key Themes】**
- **Lean Implementation**: Early focus on SKU rationalization and value stream mapping, with potential for cost takeout and margin acceleration over 12-18 months.
- **Service Attachment**: Targeting higher service attach rates through digital tools and lean process improvements, with 40,000 field technicians as competitive advantage.
- **Data Center Growth**: YORK chiller leadership in high-performance cooling, with 20%+ Applied HVAC growth and expanding service backlog in Asia Pac.
- **Tariff Resilience**: Proactive supply chain pivots and pricing actions mitigating 2% sales exposure, with no margin impact on tariff-pass-through.


Johnson Controls International (JCI)-7 May 25-2025 Q2 Earnings call transcript

- **CEO Transition**: Smooth leadership handover with Joakim's Danaher experience aligning with JCI's service+tech strategy.
- **Financial Strength**: 40% EPS growth, $600M+ free cash flow, and 80bps margin expansion guidance reflect operational excellence.
- **Growth Drivers**: Data center orders +40%Q1, healthcare AI solutions, and 32% APAC order recovery highlight secular tailwinds.
- **Margin Leverage**: 90%+ free cash flow conversion, 80bps margin expansion, and 60-70% service attach rate target signal long-term profitability.


**【CEO Opening Remarks】**
- Announced Joakim Weidemanis as CEO successor, effective March 2025, with George Oliver remaining as Chairman until August 2025.
- Highlighted company transformation: simplified portfolio, strong service growth (16% Q1 orders), and AI-driven innovation (e.g., generative AI for building diagnostics).
- Emphasized strategic focus on high-growth verticals like data centers (top thermal management implementer) and healthcare (OpenBlue platform for energy efficiency).

**【CFO Financial Highlights】**
- Organic revenue +10%, segment margin +200bps to 15%, driven by Global Products (30.1% EBITDA margin) and EMEA/LA (240bps margin expansion).
- Adjusted EPS $0.64 (+40% YoY), free cash flow $600M (vs. -$198M YoY), net debt 2.3x, below target range of 2.5x.
- Raised FY25 guidance: organic sales mid-single digits, EBITDA margin +80bps, EPS $3.50-$3.60 (+9%-12%).

**【Q&A Key Takeaways】**
- **Tariff Strategy**: 75% of production regionally sourced; $250M annual restructuring costs included in 90%+ free cash flow conversion target.
- **APAC Recovery**: Orders +32%Q1, service growth leading rebound; China stabilization and India infrastructure spend driving momentum.
- **Service Attach Rate**: 40-50% today, targeting 60-70% via AI-enabled technician productivity and long-term service contracts.
- **Backlog Visibility**: $13.2B (11% YoY), with 12% system backlog growth and 8% service backlog growth.
- **Restructuring Progress**: $250M annual savings expected FY26, with FY25 benefits concentrated in H2.


Johnson Controls International plc (JCI) Q1 2025 Earnings Call Transcript

Johnson Controls International (JCI)-6 Nov 24-2024 Q4 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-31 Jul 24-2024 Q3 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-1 May 24-2024 Q2 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-30 Jan 24-2024 Q1 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-12 Dec 23-2023 Q4 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-2 Aug 23-2023 Q3 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-5 May 23-2023 Q2 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-1 Feb 23-2023 Q1 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-3 Nov 22-2022 Q4 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-4 Aug 22-2022 Q3 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-4 May 22-2022 Q2 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-2 Feb 22-2022 Q1 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-5 Nov 21-2021 Q4 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-30 Jul 21-2021 Q3 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-30 Apr 21-2021 Q2 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-29 Jan 21-2021 Q1 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-3 Nov 20-2020 Q4 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-31 Jul 20-2020 Q3 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-1 May 20-2020 Q2 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-31 Jan 20-2020 Q1 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-7 Nov 19-2019 Q4 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-31 Jul 19-2019 Q3 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-1 May 19-2019 Q2 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-1 Feb 19-2019 Q1 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-8 Nov 18-2018 Q4 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-31 Jul 18-2018 Q3 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-1 May 18-2018 Q2 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-31 Jan 18-2018 Q1 Earnings call transcript

Johnson Controls International plc - Registered Shares (JCI)-11 Nov 17-2017 Q4 Earnings call transcript

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