Earnings Releases·Oct 28, 2026, 6:49 AM ET

Lennox — Third Quarter 2026 Earnings Summary

Revenue reached $1.6 billion, up 10% year-over-year, driven by organic growth in Building Climate Solutions and acquisitions; however, GAAP operating income fell 5% to $312 million and diluted EPS declined 7% to $6.41 due to inflation, tariffs, and competitive pressures.
Full-year 2026 guidance was lowered, with revenue growth revised to approximately 6% and adjusted EPS reduced to a range of $21.00–$21.50 from the prior $23.00–$24.00, while free cash flow guidance was set at $700 million to $750 million.
Building Climate Solutions delivered strong performance with 24% revenue growth and 19% segment profit increase, whereas Home Comfort Solutions saw revenue rise 3% but segment profit drop 18% due to volume declines and cost headwinds.
The company returned $151 million to shareholders via share repurchases and reported robust operating cash flow of $395 million, driven by reduced inventory levels, despite facing persistent cost inflation and heightened competitive pressure.