A. O. Smith Corporation Announces Q1 2026 Results and Revises down full-year
- brg_news_room
- 2 days ago
- 1 min read
North America: The company reported sales of $946 million, with net earnings of $118 million and diluted earnings per share (EPS) of $0.85.
In the North America segment, sales reached $753.4 million, reflecting a modest 1% increase. Growth was supported by the inclusion of Leonard Valve and pricing improvements, which helped offset weaker volumes in the water heater industry as well as production and shipping disruptions caused by adverse weather conditions.
In contrast, the Rest of World segment recorded sales of $200.7 million, marking an 11% decline, primarily due to ongoing weakness in the consumer appliance market in China.
Net earnings declined year-on-year, largely driven by lower volumes and transaction-related costs associated with the Leonard Valve acquisition during the quarter.
On a positive note, the company delivered strong growth in operating cash flow and free cash flow, reaching $129 million and $119 million, respectively.
Due to continued market challenges in China, the company has revised its full-year 2026 guidance downward, now expecting diluted EPS in the range of $3.60 to $3.90 and adjusted EPS between $3.70 and $4.00.
Source: AO Smith
