Johnson Controls International PLC【JCI】株式ニュース

Johnson Controls Reports Strong Q2 Results; Raises FY26 GuidanceMay 6, 2026 6:55 AM
PR Newswire (US) Q2 sales increased 8% and organic sales increased 6%*Q2 GAAP EPS of $0.99; Q2 Adjusted EPS* of $1.19Q2 Orders +30% organically year-over-yearBacklog of $20.0 billion increased 26% organically year-over-year* This earnings release contains non-GAAP financial measures. Definitions and reconciliations of the non-GAAP financial measures can be found in the attached footnotes. Non-GAAP measures should be considered in addition to, and not as replacements for, the most comparable GAAP measures. CORK, Ireland, May 6, 2026 /PRNewswire/ -- Johnson Controls International plc (NYSE: JCI), a global leader in thermal management, mission-critical building systems, energy efficiency, and decarbonization, is proud to announce fiscal second quarter 2026 GAAP earnings per share ("EPS") of $0.99. Adjusted EPS was $1.19.Q2 sales increased 8% to $6.1 billion and organic sales increased 6%.For the quarter, GAAP net income from continuing operations attributable to JCI was $609 million and adjusted net income was $730 million."We delivered another quarter of strong execution, converting sustained demand into consistent growth, margin expansion, and 45% adjusted EPS growth," said Joakim Weidemanis, Chief Executive Officer of Johnson Controls. "Orders grew 30% and backlog reached a record $20?billion, reflecting strength in data centers and other high-growth, technology-driven operating environments where we differentiate. While we remain early in our Business System journey, we are encouraged by the momentum we are seeing across the organization. With a strong first-half performance, we are raising our full-year guidance and remain focused on delivering long-term value for our customers and shareholders."FISCAL Q2 SEGMENT RESULTSThe financial highlights presented in the tables below exclude discontinued operations and are in accordance with GAAP, unless otherwise indicated. All comparisons are to the second quarter of fiscal 2025. Orders and backlog metrics included in the release relate to the Company's Solutions and Services businesses. Orders prior to Q1 2026 exclude certain equipment-only sales for longer cycle projects. Backlog has been restated to include this new category.A slide presentation to accompany the results can be found in the Investor Relations section of Johnson Controls' website at investors.johnsoncontrols.com.Americas

Fiscal Q2(in millions)
2026
2025
ChangeSales
$    4,121
$    3,837
7 %

Segment EBIT
705
616
14 %Segment EBIT Margin %
17.1 %
16.1 %
       100 bp

Segment EBITA (non-GAAP)
782
707
11 %Adjusted Segment EBITA (non-GAAP)
802
709
13 %Adjusted Segment EBITA Margin % (non-GAAP)
19.5 %
18.5 %
       100 bp

Sales in the quarter of $4.1 billion increased 7% over the prior year. Organic sales also increased 7% led by continued strength across Applied HVAC and double-digit growth in Services.Excluding M&A and adjusted for foreign currency, orders increased 40% year-over-year and backlog of $14.9 billion increased 32% year-over-year. The increase in backlog and orders was supported by demand for our differentiated solutions for large-scale data center projects.Segment EBIT margin and adjusted Segment EBITA margin increased 100 bp compared to the prior year. The increases were primarily driven by favorable pricing, productivity improvements and increased volumes. Adjusted Segment EBITA in both Q2 2026 and Q2 2025 excludes transformation costs.EMEA (Europe, Middle East, Africa)

Fiscal Q2(in millions)
2026
2025
ChangeSales
$1,282
$1,201
7 %

Segment EBIT
179
117
53 %Segment EBIT Margin %
14.0 %
9.7 %
       430 bp

Segment EBITA (non-GAAP)
186
135
38 %Adjusted Segment EBITA (non-GAAP)
191
135
41 %Adjusted Segment EBITA Margin % (non-GAAP)
14.9 %
11.2 %
       370 bp

Sales in the quarter of $1.3 billion increased 7% over the prior year. Organic sales increased 1% versus the prior year as Products and Systems growth offset disruptions caused by the Middle East conflicts and lower non-recurring Services volumes.Excluding M&A and adjusted for foreign currency, orders increased 11% year-over-year and backlog of $3.2 billion increased 13% year-over-year.Segment EBIT margin increased 430 bp and adjusted Segment EBITA margin increased 370 bp compared to the prior year. The increases were primarily driven by productivity improvements and improved leverage on higher revenue. Adjusted Segment EBITA in Q2 2026 excludes transformation costs.APAC (Asia Pacific)

Fiscal Q2(in millions)
2026
2025
ChangeSales
$739
$638
16 %

Segment EBIT
143
101
42 %Segment EBIT Margin %
19.4 %
15.8 %
       360 bp

Segment EBITA (non-GAAP)
146
104
40 %Adjusted Segment EBITA (non-GAAP)
146
104
40 %Adjusted Segment EBITA Margin % (non-GAAP)
19.8 %
16.3 %
       350 bp

Sales in the quarter of $739 million increased 16% versus the prior year. Organic sales increased 13% versus the prior year quarter, led by over 20% growth in Applied HVAC.Excluding M&A and adjusted for foreign currency, orders increased 4% and backlog of $1.9 billion increased 14% year-over-year.Segment EBIT margin increased 360 bp and adjusted Segment EBITA margin increased 350 bp compared to the prior year, primarily driven by increased volumes and productivity improvements.Corporate

Fiscal Q2(in millions)
2026
2025
ChangeCorporate Expense

GAAP
$         152
$         186
(18 %)Adjusted (non-GAAP)
102
135
(24 %)Adjusted Corporate expense in both Q2 2026 and Q2 2025 excludes certain transaction/separation costs and transformation costs. The decrease year-over-year is primarily due to ongoing cost reduction actions to address stranded costs from prior divestitures.OTHER Q2 ITEMSCash provided by operating activities was $672 million. Free cash flow was $604 million and adjusted free cash flow was $526 million.  The Company paid dividends of $244 million.GUIDANCEThe following forward-looking statements are non-GAAP financial measures. These non-GAAP financial measures are derived by excluding certain amounts from the corresponding financial measures determined in accordance with GAAP. The determination of the amounts excluded is a matter of management judgment and depends upon, among other factors, the nature of the underlying expense or income amounts recognized in a given period and the high variability of certain amounts, such as mark-to-market adjustments. Organic revenue growth excludes the effect of acquisitions, divestitures and foreign currency. The Company is unable to present a quantitative reconciliation of the aforementioned forward-looking non-GAAP financial measures to its most directly comparable forward-looking GAAP financial measures because such information is not available, and management cannot reliably predict the necessary components of such GAAP measures without unreasonable effort or expense. The unavailable information could have a significant impact on the Company's fiscal 2026 third quarter and full year GAAP financial results.The Company initiated fiscal 2026 third quarter continuing operations guidance:Organic sales growth of ~6%Operating leverage of ~50%Adjusted EPS of ~$1.28The Company's fiscal 2026 full year continuing operations guidance is as follows:Organic sales growth of ~6% (previously up mid-single digits)Operating leverage of ~50% (unchanged)Adjusted EPS of ~$4.85 (previously ~$4.70)Adjusted free cash flow conversion of ~100% (unchanged)CONFERENCE CALL & WEBCAST INFO Johnson Controls will host a conference call to discuss this quarter's results at 8:30 a.m. ET today, which can be accessed via webcast at https://johnson-controls-q2-2026-earnings.open-exchange.net. A slide presentation will accompany the prepared remarks and has been posted on the investor relations section of the Johnson Controls website at https://investors.johnsoncontrols.com/news-and-events/events-and-presentations. A replay will be made available approximately two hours following the conclusion of the conference call.ABOUT JOHNSON CONTROLSJohnson Controls, a global leader in thermal management, mission-critical building systems, energy efficiency, and decarbonization, helps customers use energy more productively, reduce carbon emissions, and operate with the precision and resilience required in rapidly expanding industries such as data centers, healthcare, pharmaceuticals, advanced manufacturing, and higher education.For more than 140 years, Johnson Controls has delivered performance where it really matters. Backed by advanced technology, lifecycle services and an industry-leading field organization, we elevate customer performance, turn goals into real-world results and help move society forward.Visit johnsoncontrols.com for more information and follow @Johnsoncontrols on social platforms.JOHNSON CONTROLS CONTACTS: INVESTOR CONTACT:MEDIA CONTACT:

Michael GatesDanielle CanzanellaDirect: +1 414.524.5785Direct: +1 203.499.8297Email: michael.j.gates@jci.com  Email: danielle.canzanella@jci.com

JOHNSON CONTROLS INTERNATIONAL PLC CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTSJohnson Controls International plc (the "Company") has made statements in this document that are forward-looking and therefore are subject to risks and uncertainties. All statements in this document other than statements of historical fact are, or could be, "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. In this document, statements regarding the Company's future financial position, sales, costs, earnings, cash flows, other measures of results of operations, synergies and integration opportunities, capital expenditures, debt levels and market outlook are forward-looking statements. Words such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "should," "forecast," "project" or "plan" and terms of similar meaning are also generally intended to identify forward-looking statements. However, the absence of these words does not mean that a statement is not forward-looking. The Company cautions that these statements are subject to numerous important risks, uncertainties, assumptions and other factors, some of which are beyond the Company's control, that could cause the Company's actual results to differ materially from those expressed or implied by such forward-looking statements, including, among others, risks related to: the ability to develop or acquire new products and technologies that achieve market acceptance and meet applicable quality and regulatory requirements; the ability to manage general economic, business and capital market conditions, including the impacts of trade restrictions, recessions, economic downturns and global price inflation; the ability to manage macroeconomic and geopolitical volatility, including changes to laws or policies governing foreign trade, including tariffs, economic sanctions, foreign exchange and capital controls, import/export controls or other trade restrictions as well as any associated supply chain disruptions; the ability to execute on the Company's operating model and drive organizational improvement; the ability to innovate and adapt to emerging technologies, ideas and trends in the marketplace, including the incorporation of technologies such as artificial intelligence; fluctuations in the cost and availability of public and private financing for customers; the ability to manage disruptions caused by international conflicts, including Russia and Ukraine and the ongoing conflicts in the Middle East; the ability to successfully execute and complete portfolio simplification actions, as well as the possibility that the expected benefits of such actions will not be realized or will not be realized within the expected time frame; managing the risks and impacts of potential and actual security breaches, cyberattacks, privacy breaches or data breaches, maintaining and improving the capacity, reliability and security of the Company's enterprise information technology infrastructure; the ability to manage the lifecycle cybersecurity risk in the development, deployment and operation of the Company's digital platforms and services; fluctuations in currency exchange rates; the ability to hire and retain senior management and other key personnel; changes or uncertainty in laws, regulations, rates, policies, or interpretations that impact business operations or tax status; the ability to adapt to global climate change, climate change regulation and successfully meet the Company's public sustainability commitments; the outcome of litigation and governmental proceedings; the risk of infringement or expiration of intellectual property rights; the ability to manage disruptions caused by catastrophic or geopolitical events, such as natural disasters, armed conflict, political change, climate change, pandemics and outbreaks of contagious diseases and other adverse public health developments; any delay or inability of the Company to realize the expected benefits and synergies of recent portfolio transactions; the tax treatment of recent portfolio transactions; significant transaction costs and/or unknown liabilities associated with such transactions; labor shortages, work stoppages, union negotiations, labor disputes and other matters associated with the labor force; and the cancellation of or changes to commercial arrangements. A detailed discussion of risks related to Johnson Controls' business is included in the section entitled "Risk Factors" in Johnson Controls' Annual Report on Form 10-K for the year ended September 30, 2025 filed with the United States Securities and Exchange Commission ("SEC") on November 14, 2025, which is available at www.sec.gov and www.johnsoncontrols.com under the "Investors" tab. The description of certain of these risks is supplemented in Item 1A of Part II of Johnson Controls subsequently filed Quarterly Reports on Form 10-Q. The forward-looking statements included in this document are made only as of the date of this document, unless otherwise specified, and, except as required by law, Johnson Controls assumes no obligation, and disclaims any obligation, to update such statements to reflect events or circumstances occurring after the date of this document.FINANCIAL STATEMENTS
Johnson Controls International plcConsolidated Statements of Income(in millions, except per share data; unaudited)

Three Months Ended March 31
Six Months Ended March 31
2026
2025
2026
2025Net sales

Products and systems$         4,199
$         3,865
$         8,091
$         7,550Services1,943
1,811
3,848
3,552
6,142
5,676
11,939
11,102Cost of sales

Products and systems2,788
2,523
5,436
4,979Services1,092
1,084
2,167
2,128
3,880
3,607
7,603
7,107

Gross profit2,262
2,069
4,336
3,995

Selling, general and administrative expenses1,401
1,427
2,622
2,826Restructuring and impairment costs57
62
144
95Net financing charges67
80
126
166Equity income1
1
2
1

Income from continuing operations before income taxes738
501
1,446
909

Income tax provision126
26
278
73

Income from continuing operations612
475
1,168
836

Income (loss) from discontinued operations, net of tax4
51
(27)
141

Net income616
526
1,141
977

Income attributable to noncontrolling interests

Continuing operations3
2
4
—Discontinued operations—
46
—
80

Net income attributable to Johnson Controls$           613
$           478
$         1,137
$           897

Income (loss) attributable to Johnson Controls

Continuing operations$           609
$           473
$         1,164
$           836Discontinued operations4
5
(27)
61Total$           613
$           478
$         1,137
$           897

Basic earnings (loss) per share attributable to Johnson Controls

Continuing operations$          1.00
$          0.72
$          1.90
$          1.27Discontinued operations0.01
0.01
(0.04)
0.09Total$          1.01
$          0.73
$          1.86
$          1.36

Diluted earnings (loss) per share attributable to Johnson Controls

Continuing operations$          0.99
$          0.71
$          1.90
$          1.26Discontinued operations0.01
0.01
(0.04)
0.09Total$          1.00
$          0.72
$          1.86
$          1.35 Johnson Controls International plcCondensed Consolidated Statements of Financial Position(in millions; unaudited)

March 31, 2026
September 30, 2025Assets

Cash and cash equivalents$                  698
$                  379Accounts receivable - net6,614
6,269Inventories1,933
1,820Current assets held for sale 21
14Other current assets1,725
1,680Current assets10,991
10,162

Property, plant and equipment - net2,096
2,193Goodwill16,547
16,633Other intangible assets - net3,484
3,613Noncurrent assets held for sale 120
140Other noncurrent assets5,116
5,198Total assets$               38,354
$               37,939

Liabilities and Equity

Short-term debt$                  882
$                  723Current portion of long-term debt28
566Accounts payable3,610
3,614Accrued compensation and benefits822
1,268Deferred revenue2,845
2,470Current liabilities held for sale21
12Other current liabilities2,397
2,288Current liabilities10,605
10,941

Long-term debt8,613
8,591Pension and postretirement benefit obligations189
211Noncurrent liabilities held for sale24
9Other noncurrent liabilities5,380
5,233Noncurrent liabilities14,206
14,044

Shareholders' equity attributable to Johnson Controls13,518
12,927Noncontrolling interests25
27Total equity13,543
12,954Total liabilities and equity$               38,354
$               37,939 Consolidated Statements of Cash Flows(in millions; unaudited)

Three Months Ended March 31
Six Months Ended March 31
2026
2025
2026
2025Operating Activities of Continuing Operations

Income from continuing operations:

Attributable to Johnson Controls$      609
$      473
$    1,164
$      836Attributable to noncontrolling interests3
2
4
—Total612
475
1,168
836Adjustments to reconcile net income to cash provided by operating activities of
continuing operations:

Depreciation and amortization169
202
333
395Pension and postretirement benefits(16)
(21)
(28)
(37)Deferred income taxes(18)
(53)
3
(107)Noncash restructuring and impairment charges44
25
104
33Equity-based compensation32
31
66
59Gain on business divestiture(3)
6
(73)
6Other - net24
18
25
26Changes in assets and liabilities:

Accounts receivable(460)
(191)
(389)
93Inventories(28)
(12)
(140)
(27)Other assets9
(42)
97
(213)Restructuring reserves(23)
(5)
(26)
(3)Accounts payable and accrued liabilities238
180
63
(227)Accrued income taxes92
(63)
80
(35)Cash provided by operating activities from continuing operations672
550
1,283
799

Investing Activities of Continuing Operations

Capital expenditures(68)
(94)
(148)
(210)Divestiture of businesses, net of cash divested2
(4)
209
1Other - net17
(14)
(20)
(8)Cash provided (used) by investing activities from continuing operations(49)
(112)
41
(217)

Financing Activities of Continuing Operations

Net proceeds from borrowings with maturities less than three months251
346
65
358Proceeds from debt200
—
316
1,369Repayments of debt(538)
(502)
(639)
(1,096)Stock repurchases and retirements(215)
(330)
(215)
(660)Payment of cash dividends(244)
(245)
(489)
(490)Employee equity-based compensation withholding taxes(11)
(2)
(60)
(31)Other - net(9)
58
(8)
76Cash used by financing activities from continuing operations(566)
(675)
(1,030)
(474)

Discontinued Operations

Cash provided (used) by operating activities(31)
49
(98)
47Cash used by investing activities—
(17)
—
(27)Cash used by financing activities—
(65)
—
(65)Cash used by discontinued operations(31)
(33)
(98)
(45)Effect of exchange rate changes on cash, cash equivalents and restricted cash118
(169)
123
(15)Change in cash, cash equivalents and restricted cash held for sale(4)
(1)
(4)
3Increase (decrease) in cash, cash equivalents and restricted cash140
(440)
315
51Cash, cash equivalents and restricted cash at beginning of period573
1,258
398
767Cash, cash equivalents and restricted cash at end of period713
818
713
818Less: Restricted cash15
23
15
23Cash and cash equivalents at end of period$      698
$      795
$      698
$      795FOOTNOTES1. Sale of Residential and Light Commercial HVAC BusinessIn July 2025, the Company sold its Residential and Light Commercial ("R&LC") HVAC business, including the North America Ducted business and the global Residential joint venture with Hitachi Global Life Solutions, Inc. ("Hitachi"), of which Johnson Controls owned 60% and Hitachi owned 40%. The R&LC HVAC business met the criteria to be classified as a discontinued operation and, as a result, its historical financial results are reflected in the consolidated financial statements as a discontinued operation.2. Non-GAAP MeasuresThe Company reports various non-GAAP measures in this earnings release and the related earnings presentation. Non-GAAP measures should be considered in addition to, and not as replacements for, the most comparable GAAP measures. Refer to the following footnotes for further information on the calculations of the non-GAAP measures and reconciliations of the non-GAAP measures to the most comparable GAAP measures.Organic salesOrganic sales growth excludes the impact of acquisitions, divestitures and foreign currency. Management believes organic sales growth is useful to investors in understanding period-over-period sales results and trends.Cash flowManagement believes free cash flow and adjusted free cash flow measures are useful to investors in understanding the strength of the Company and its ability to generate cash. These non-GAAP measures can also be used to evaluate the Company's ability to generate cash flow from operations and the impact that this cash flow has on its liquidity. Management also believes adjusted free cash flows are useful to investors in understanding period-over-period cash flows, cash trends and ongoing cash flows of the Company.Adjusted free cash flow and adjusted free cash flow conversion are non-GAAP measures which exclude the impacts of the following:JC Capital cash flows primarily include activity associated with finance/notes receivables and inventory and/or capital expenditures related to lease arrangements. JC Capital net income is primarily related to interest income on the finance/notes receivable and profit recognized on arrangements with sales-type lease components.The impact of the accounts receivables factoring program which was discontinued in March 2024.Cash payments related to the water systems AFFF settlement and cash receipts for AFFF-related insurance recoveries.Prepayment of royalty fees associated with certain IP licensed to divested businesses.Discrete tax payments are non-recurring tax settlements for certain non-US jurisdictions.Adjusted financial measuresAdjusted financial measures are non-GAAP measures that are derived by excluding certain amounts from the corresponding financial measures determined in accordance with GAAP. The determination of the excluded amounts is a matter of management judgment and depends upon the nature and variability of the underlying expense or income amounts and other factors.As detailed in the tables included in footnotes four through seven, the following items were excluded from certain financial measures:Net mark-to-market adjustments are the result of adjusting restricted asbestos investments and pension and postretirement plan assets to their current market value. These adjustments may have a favorable or unfavorable impact on results. Restructuring and impairment costs represents restructuring costs attributable to Johnson Controls including costs associated with exit plans or other restructuring plans that will have a more significant impact on the underlying cost structure of the organization. Impairment costs primarily relate to write-downs of goodwill, intangible assets and assets held for sale to their fair value.Water systems AFFF settlement and insurance recoveries include amounts related to a settlement with a nationwide class of public water systems concerning the use of AFFF manufactured and sold by a subsidiary of the Company, and AFFF-related insurance recoveries. Transaction/separation costs include costs associated with significant mergers and acquisitions. Transformation costs represent incremental expenses incurred in association with strategic growth initiatives and cost saving opportunities in order to realize the benefits of portfolio simplification and the Company's lifecycle solutions strategy.ERP asset - accelerated depreciation represents a change in ERP strategy within the EMEA segment, which led to certain assets being abandoned and the useful lives reduced.Earn-out adjustments relate to earn-out liabilities associated with certain significant acquisitions and may have a favorable or unfavorable impact on results. Loss (gain) on divestiture relates to the sale of the ADT Mexico Security and ADTi businesses.EMEA joint venture loss relates to certain non-recurring losses associated with the equity method accounting of a joint venture company.Discrete tax items, net includes the net impact of discrete tax items within the period, including the following types of items: changes in estimates associated with valuation allowances, changes in estimates associated with reserves for uncertain tax positions, withholding taxes recorded upon changes in indefinite re-investment assertions for businesses to be disposed of and impacts from statutory rate changes.Related tax impact includes the tax impact of the various excluded items.Management believes the exclusion of these items is useful to investors due to the unusual nature and/or magnitude of the amounts. When considered together with unadjusted amounts, adjusted financial measures are useful to investors in understanding period-over-period operating results, business trends and ongoing operations of the Company. Management may also use these metrics as guides in forecasting, budgeting and long-term planning processes and for compensation purposes.Operating leverageOperating leverage is defined as the ratio of the change in adjusted EBIT for the period, divided by the corresponding change in net revenues. Management believes operating leverage is a useful metric to reflect enterprise value creation, capturing the impact of scale and cost discipline across the organization.Debt ratiosManagement believes that net debt to adjusted EBITDA, a non-GAAP measure, is useful to understanding the Company's financial condition as the ratio provides an overview of the extent to which the Company relies on external debt financing for its funding and also is a measure of risk to its shareholders.3. SalesThe following tables detail the changes in sales from continuing operations attributable to organic growth, foreign currency, acquisitions, divestitures and other (unaudited):Net salesThree Months Ended March 31(in millions)Americas
EMEA
APAC
TotalNet sales - 2025$     3,837
$     1,201
$        638
$     5,676Base year adjustments

Divestitures and other—
(22)
—
(22)Foreign currency24
89
15
128Adjusted base net sales3,861
1,268
653
5,782Organic growth260
14
86
360Net sales - 2026$     4,121
$     1,282
$        739
$     6,142

Growth %:

Net sales7 %
7 %
16 %
8 %Organic growth7 %
1 %
13 %
6 %Net salesSix Months Ended March 31(in millions)Americas
EMEA
APAC
TotalNet sales - 2025$     7,464
$     2,358
$     1,280
$    11,102Base year adjustments

Divestitures and other—
(37)
—
(37)Foreign currency30
154
16
200Adjusted base net sales7,494
2,475
1,296
11,265Acquisitions—
3
—
3Organic growth470
65
136
671Net sales - 2026$     7,964
$     2,543
$     1,432
$    11,939

Growth %:

Net sales7 %
8 %
12 %
8 %Organic growth6 %
3 %
10 %
6 %Products and systems revenueThree Months Ended March 31(in millions)Americas
EMEA
APAC
TotalProducts and systems revenue - 2025$     2,711
$        721
$        433
$     3,865Base year adjustments

Divestitures and other—
1
—
1Foreign currency20
57
11
88Adjusted products and systems revenue2,731
779
444
3,954Organic growth144
20
81
245Products and systems revenue - 2026$     2,875
$        799
$        525
$     4,199

Growth %:

Products and systems revenue6 %
11 %
21 %
9 %Organic growth5 %
3 %
18 %
6 %Products and systems revenueSix Months Ended March 31(in millions)Americas
EMEA
APAC
TotalProducts and systems revenue - 2025$     5,247
$     1,421
$        882
$     7,550Base year adjustments

Divestitures and other—
1
—
1Foreign currency27
102
12
141Adjusted products and systems revenue5,274
1,524
894
7,692Acquisitions—
3
—
3Organic growth241
34
121
396Products and systems revenue - 2026$     5,515
$     1,561
$     1,015
$     8,091

Growth %:

Products and systems revenue5 %
10 %
15 %
7 %Organic growth5 %
2 %
14 %
5 %Service revenueThree Months Ended March 31(in millions)Americas
EMEA
APAC
TotalService revenue - 2025$     1,126
$        480
$        205
$     1,811Base year adjustments

Divestitures and other—
(23)
—
(23)Foreign currency4
32
4
40Adjusted base service revenue1,130
489
209
1,828Organic growth116
(6)
5
115Service revenue - 2026$     1,246
$        483
$        214
$     1,943

Growth %:

Service revenue11 %
1 %
4 %
7 %Organic growth10 %
(1) %
2 %
6 %Service revenueSix Months Ended March 31(in millions)Americas
EMEA
APAC
TotalService revenue - 2025$     2,217
$        937
$        398
$     3,552Base year adjustments

Divestitures and other—
(38)
—
(38)Foreign currency3
52
4
59Adjusted base service revenue2,220
951
402
3,573Organic growth229
31
15
275Service revenue - 2026$     2,449
$        982
$        417
$     3,848

Growth %:

Service revenue10 %
5 %
5 %
8 %Organic growth10 %
3 %
4 %
8 %4.   Cash Flow, Free Cash Flow and Free Cash Flow ConversionThe following table includes operating cash flow conversion, free cash flow and free cash flow conversion (unaudited):
Three Months Ended March 31
Six Months Ended March 31(in millions)2026
2025
2026
2025Cash provided by operating activities from continuing operations$          672
$          550
$       1,283
$          799Income from continuing operations attributable to Johnson Controls609
473
1,164
836Operating cash flow conversion 110 %
116 %
110 %
96 %

Cash provided by operating activities from continuing operations$          672
$          550
$       1,283
$          799Capital expenditures(68)
(94)
(148)
(210)Free cash flow (non-GAAP)$          604
$          456
$       1,135
$          589

Income from continuing operations attributable to Johnson Controls$          609
$          473
$       1,164
$          836Free cash flow conversion from net income (non-GAAP)99 %
96 %
98 %
70 %The following table includes adjusted free cash flow and adjusted free cash flow conversion (unaudited):
Three Months Ended March 31
Six Months Ended March 31(in millions)2026
2025
2026
2025Free cash flow (non-GAAP)$          604
$          456
$       1,135
$          589Adjustments:

JC Capital cash used by operating activities6
11
(25)
77Water systems AFFF settlement cash payments and insurance recoveries(84)
(11)
(158)
386Prepaid IP royalties for divested businesses—
—
(29)
—Impact from discontinued factoring program—
7
—
14Discrete tax payments—
—
31
—Adjusted free cash flow (non-GAAP)$          526
$          463
$          954
$       1,066

Adjusted net income attributable to JCI (non-GAAP)$          730
$          545
$       1,277
$          971JC Capital net (income) loss(11)
9
(4)
4Adjusted net income attributable to JCI, excluding JC Capital (non-GAAP)$          719
$          554
$       1,273
$          975Adjusted free cash flow conversion (non-GAAP)73 %
84 %
75 %
109 %5. EBIT, Segment Profitability and Corporate ExpenseThe following table reconciles income from continuing operations before income taxes to EBIT and adjusted EBIT.
Three Months Ended March 31Six Months Ended March 31(in millions; unaudited)2026
2025
2026
2025

Income from continuing operations:

Attributable to Johnson Controls$         609
$         473
$       1,164
$         836
Attributable to noncontrolling interests3
2
4
—
Income from continuing operations612
475
1,168
836
Less: Income tax provision (1)126
26
278
73
Income before income taxes738
501
1,446
909
Net financing charges67
80
126
166
EBIT$         805
$         581
$       1,572
$       1,075
EBIT margin13.1 %
10.2 %
13.2 %
9.7 %

Adjusting items:

Net mark-to-market adjustments(14)
(13)
(12)
(14)
Restructuring and impairment costs(57)
(62)
(144)
(95)
Water systems AFFF insurance recoveries1
8
131
12
Transaction/separation costs(13)
(7)
(25)
(18)
Transformation costs(62)
(46)
(117)
(79)
Gain on divestiture—
—
70
—
Adjusted EBIT (non-GAAP)$         950
$         701
$       1,669
$       1,269
Adjusted EBIT margin (non-GAAP)15.5 %
12.4 %
14.0 %
11.4 %
(1) Adjusted income tax provision excludes the related tax impacts of pre-tax adjusting items.The following tables reconcile Segment EBIT to Segment EBITA (non-GAAP) as reported and reconcile Segment EBIT and Segment EBITA (non-GAAP) as reported to adjusted Segment EBIT and Segment EBITA (non-GAAP) and adjusted Segment EBIT and Segment EBITA (non-GAAP) margin (unaudited):
Three Months Ended March 31(in millions)Americas
EMEA
APAC
2026
2025
2026
2025
2026
2025

Sales$ 4,121
$ 3,837
$ 1,282
$ 1,201
$ 739
$ 638

Segment EBIT705
616
179
117
143
101Amortization77
91
7
18
3
3Segment EBITA (non-GAAP)782
707
186
135
146
104

Adjusting items:

Transformation costs20
2
5
—
—
—

Adjusted Segment EBIT (non-GAAP)725
618
184
117
143
101Adjusted Segment EBITA (non-GAAP)802
709
191
135
146
104

Segment EBIT margin %17.1 %
16.1 %
14.0 %
9.7 %
19.4 %
15.8 %Adjusted Segment EBIT margin % (non-GAAP)17.6 %
16.1 %
14.4 %
9.7 %
19.4 %
15.8 %

Segment EBITA margin % (non-GAAP)19.0 %
18.4 %
14.5 %
11.2 %
19.8 %
16.3 %Adjusted Segment EBITA margin % (non-GAAP)19.5 %
18.5 %
14.9 %
11.2 %
19.8 %
16.3 %
Six Months Ended March 31(in millions)Americas
EMEA
APAC
2026
2025
2026
2025
2026
2025

Sales$ 7,964
$ 7,464
$ 2,543
$ 2,358
$ 1,432
$ 1,280

Segment EBIT1,249
1,110
330
233
256
186Amortization153
186
14
38
7
8Segment EBITA (non-GAAP)1,402
1,296
344
271
263
194

Adjusting items:

Transformation costs32
2
11
—
—
—

Adjusted Segment EBIT (non-GAAP)1,281
1,112
341
233
256
186Adjusted Segment EBITA (non-GAAP)1,434
1,298
355
271
263
194

Segment EBIT margin %15.7 %
14.9 %
13.0 %
9.9 %
17.9 %
14.5 %Adjusted Segment EBIT margin % (non-GAAP)16.1 %
14.9 %
13.4 %
9.9 %
17.9 %
14.5 %

Segment EBITA margin % (non-GAAP)17.6 %
17.4 %
13.5 %
11.5 %
18.4 %
15.2 %Adjusted Segment EBITA margin % (non-GAAP)18.0 %
17.4 %
14.0 %
11.5 %
18.4 %
15.2 %The following table reconciles adjusted Segment EBITA (non-GAAP) to adjusted Segment EBITA margin (non-GAAP) (unaudited):
Three Months Ended March 31Six Months Ended March 31(in millions)2026
2025
2026
2025

Adjusted Segment EBITA (non-GAAP)

Americas$         802
$         709
$       1,434
$       1,298
EMEA191
135
355
271
APAC146
104
263
194

Sales6,142
5,676
11,939
11,102
Adjusted Segment EBITA margin (non-GAAP)18.5 %
16.7 %
17.2 %
15.9 %
The following table reconciles Corporate expense from continuing operations as reported to the comparable adjusted amounts (unaudited):
Three Months Ended March 31
Six Months Ended March 31(in millions)2026
2025
2026
2025

Corporate expense (GAAP)$          152
$          186
$          308
$          357

Adjusting items:

Transaction/separation costs(13)
(7)
(25)
(18)Transformation costs(37)
(44)
(74)
(77)Adjusted Corporate expense (non-GAAP)$          102
$          135
$          209
$          2626. Net Income and Diluted Earnings Per Share The following tables reconcile net income from continuing operations attributable to JCI and diluted earnings per share from continuing operations as reported to the comparable adjusted amounts (unaudited):
Three Months Ended March 31
Income from continuing
operations attributable to JCI
Diluted earnings per share(in millions, except per share)2026
2025
2026
2025

As reported (GAAP)$           609
$           473
$          0.99
$          0.71

Adjusting items:

Net mark-to-market adjustments14
13
0.02
0.02Restructuring and impairment costs57
62
0.09
0.09Water systems AFFF insurance recoveries(1)
(8)
—
(0.01)Transaction/separation costs13
7
0.02
0.01Transformation costs62
46
0.10
0.07Discrete tax items—
(36)
—
(0.05)Related tax impact(24)
(12)
(0.04)
(0.02)Adjusted (non-GAAP)*$           730
$           545
$          1.19
$          0.82* May not sum due to rounding

Six Months Ended March 31
Income from continuing
operations attributable to JCI
Diluted earnings per share(in millions, except per share)2026
2025
2026
2025

As reported (GAAP)$        1,164
$           836
$          1.90
$          1.26

Adjusting items:

Net mark-to-market adjustments12
14
0.02
0.02Restructuring and impairment costs144
95
0.23
0.14Water systems AFFF insurance recoveries(131)
(12)
(0.21)
(0.02)Transaction/separation costs25
18
0.04
0.03Transformation costs117
79
0.19
0.12Gain on divestiture(70)
—
(0.11)
—Discrete tax items11
(36)
0.02
(0.05)Related tax impact5
(23)
0.01
(0.03)Adjusted (non-GAAP)*$        1,277
$           971
$          2.08
$          1.46* May not sum due to roundingThe following table reconciles the denominators used to calculate basic and diluted earnings per share (in millions; unaudited):
Three Months Ended March 31
Six Months Ended March 31
2026
2025
2026
2025

Weighted average shares outstanding

Basic weighted average shares outstanding612
659
612
661Effect of dilutive securities:

Stock options, unvested restricted stock and
unvested performance share awards2
2
2
2Diluted weighted average shares outstanding614
661
614
6637. Debt RatiosThe following table includes continuing operations and details net debt to income before income taxes and net debt to adjusted EBITDA (unaudited):(in millions)March 31, 2026
December 31, 2025
March 31, 2025Short-term debt$                  882
$                  436
$                1,261Current portion of long-term debt28
568
558Long-term debt8,613
8,701
8,167Total debt9,523
9,705
9,986Less: cash and cash equivalents698
552
795Net debt$                8,825
$                9,153
$                9,191

Last twelve months income before income taxes$                2,506
$                2,269
$                2,582

Net debt to income before income taxes                    3.5x
                    4.0x
                    3.6x

Last twelve months adjusted EBITDA (non-GAAP)$                4,325
$                4,109
$                3,779

Net debt to adjusted EBITDA (non-GAAP)2.0x
2.2x
2.4xThe following table reconciles income from continuing operations to adjusted EBIT and adjusted EBITDA (unaudited):
Twelve Months Ended(in millions)March 31, 2026
December 31, 2025
March 31, 2025Income from continuing operations$            2,056
$            1,919
$            2,225Income tax provision450
350
357Income before income taxes2,506
2,269
2,582Net financing charges279
292
332EBIT2,785
2,561
2,914Adjusting items:

Net mark-to-market adjustments4
3
4Restructuring and impairment costs595
600
330Water systems AFFF insurance recoveries(158)
(165)
(379)Earn-out adjustments—
—
(61)Transaction/separation costs46
40
45Transformation costs218
202
79ERP asset - accelerated depreciation102
102
—Loss (gain) on divestiture(70)
(70)
42EMEA joint venture loss—
—
17Adjusted EBIT (non-GAAP)3,522
3,273
2,991Depreciation and amortization803
836
788Adjusted EBITDA (non-GAAP)$            4,325
$            4,109
$            3,7798. Income TaxesAfter adjusting for certain non-recurring items, the Company's effective tax rate for continuing operations was approximately 17% for the three and six months ending March 31, 2026 and approximately 12% for the three and six months ending March 31, 2025. View original content to download multimedia:https://www.prnewswire.com/news-releases/johnson-controls-reports-strong-q2-results-raises-fy26-guidance-302763526.htmlSOURCE Johnson Controls International plc Original: Johnson Controls Reports Strong Q2 Results; Raises FY26 Guidance

Johnson Controls signs agreement to acquire Alloy Enterprises, strengthening data center thermal management leadershipFebruary 18, 2026 4:30 PM
PR Newswire (US)

Transaction aligned with Johnson Controls' strategy to unlock cooling innovation and accelerate the AI-based economyEnhances Johnson Controls' leading capabilities in the rapidly growing data center thermal segmentMILWAUKEE, Feb. 18, 2026 /PRNewswire/ -- Johnson Controls (NYSE: JCI), a global technology leader in energy efficiency, decarbonization, thermal management and mission-critical performance, has signed an agreement to acquire Alloy Enterprises, a Boston-based company specializing in a next-generation thermal management platform for high-performance data centers and other mission critical industrial applications. The move will expand Johnson Controls' leadership and capabilities in the high growth data center cooling segment. Founded in 2020, Alloy Enterprises is a thermal, mechanical and materials sciences technology innovator focused on a proprietary platform with advanced direct liquid cooling components that can enable up to a 35% improvement in thermal management efficiency — allowing heat to be removed faster and more effectively, and reduce pressure drop by up to 75% so fluid can flow more easily. This results in materially lower overall cooling system energy use. "This acquisition is about enabling our customers to stay ahead of fast-changing compute demands by adding another core technology that enables us to optimize the overall thermal management architecture of a data center. It will also strengthen our core technology capabilities that can scale across the Johnson Controls portfolio and reinforces our long-term commitment to lead more broadly in advanced thermal management solutions for mission critical applications," said Lei Schlitz, vice president and president, Global Products & Solutions. "With the addition of Alloy Enterprises, we are poised to set new standards in cooling efficiency and capacity and help customers accelerate time to market with the right integrated technologies. We look forward to welcoming the talented Alloy colleagues to the Johnson Controls team."The acquisition further advances Johnson Controls' extensive thermal management portfolio and aligns with its ambition to deliver highly differentiated cooling solutions for data centers. The addition of Alloy's capabilities, including a proprietary manufacturing process that advances the liquid cooling efficiency of GPUs/CPUs, memory, network interfaces and more, complements Johnson Controls' existing range of end-to-end cooling technologies. These include its recently launched YDAM magnetic bearing chiller — delivering 3.5 MW of cooling, a 20% capacity density increase versus competing solutions, its YK-HT two-stage economized centrifugal chiller — almost 30% smaller than alternatives, requiring up to 60% fewer dry coolers and delivering the industry's widest operating range from a single driveline, its Silent-Aire Coolant Distribution Unit (CDU) platform — a scalable liquid cooling solution offering cooling capacities from 500kW to over 10MW, and its YHAU absorption chillers — designed to recover waste heat and deliver additional cooling more than 90% more efficiently than electrical cooling."We're excited to join Johnson Controls and accelerate the impact of our unique technology," said Alison Forsyth, co-founder and CEO of Alloy Enterprises. "We'll continue to work closely to solve the industry's most urgent challenges in data centers and other mission-critical environments. We look forward to this new chapter and continuing to scale with one of the world's most respected and experienced leaders in thermal management innovation."The transaction is expected to be completed in fiscal Q3, subject to closing conditions and receipt of regulatory approvals. Financial terms were not disclosed.Johnson Controls International plc Cautionary Statement Regarding Forward-Looking StatementsJohnson Controls International plc has made statements in this communication regarding the acquisition of Alloy Enterprises that are forward-looking and therefore are subject to risks and uncertainties. All statements in this document other than statements of historical fact are, or could be, "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "should," "forecast," "project" or "plan" and terms of similar meaning are also generally intended to identify forward-looking statements. However, the absence of these words does not mean that a statement is not forward-looking. Johnson Controls cautions that these statements are subject to numerous important risks, uncertainties, assumptions and other factors, some of which are beyond Johnson Controls' control, that could cause the expected impact of the acquisition of Alloy Enterprises to differ materially from those expressed or implied by such forward-looking statements, include, among others, risks related to the ability to realize the anticipated benefits of the acquisition, including the possibility that expected synergies will not be realized or will not be realized within the expected time frame; delays in the successful integration of Alloy Enterprises and its Enterprises; unfavorable reaction to the acquisition by customers, competitors, suppliers and employees, disruption from the transaction making it more difficult to maintain business and operational relationships; significant transaction costs; and unknown liabilities.Other factors that could cause Johnson Controls' actual results to differ materially from those expressed include, among others risks included in the section entitled "Risk Factors" in Johnson Controls' Annual Report on Form 10-K for the 2025 fiscal year filed with the SEC on November 14, 2025, which is available at www.sec.gov and www.johnsoncontrols.com under the "Investors" tab. The description of certain of these risks is supplemented in Item 1A of Part II of Johnson Controls' subsequently filed Quarterly Reports on Form 10-Q. Shareholders, potential investors and others should consider these factors in evaluating the forward-looking statements and should not place undue reliance on such statements. The forward-looking statements included in this communication are made only as of the date of this document, unless otherwise specified, and, except as required by law, Johnson Controls assumes no obligation, and disclaims any obligation, to update such statements to reflect events or circumstances occurring after the date of this communication.INVESTOR CONTACT: MEDIA CONTACT:

Michael Gates Louise ColledgeSr. Director, Investor Relations Director, Public Relations & MediaDirect: +1 414.524.5785 Direct: +41 79 414 49 96Email: michael.j.gates@jci.com Email: louise.colledge@jci.comAbout Johnson Controls: Johnson Controls, a global technology leader in energy efficiency, decarbonization, thermal management and mission-critical performance, helps customers use energy more productively, reduce carbon emissions, and operate with the precision and resilience required in rapidly expanding industries such as data centers, healthcare, pharmaceuticals, advanced manufacturing, and higher education.For more than 140 years, Johnson Controls has delivered performance where it really matters. Backed by advanced technology, lifecycle services and an industry-leading field organization, we elevate customer performance, turn goals into real-world results and help move society forward.Visit johnsoncontrols.com for more information and follow @Johnsoncontrols on social platforms. About Alloy EnterprisesAlloy Enterprises delivers high-performance thermal management components designed and manufactured in the U.S. Its patented Stack Forging process creates leak-tight, single-piece components with embedded microgeometries. These enable maximum heat transfer, reduced pressure drop by up to 4×, and improved thermal resistance by over 35%, dramatically lowering pumping power and energy use. Its solutions support a wide range of applications, including GPUs, CPUs, memory modules, NICs, power electronics, and semiconductor tools. Now shipping to leading data center, industrial, and military customers.For more information, visit http://alloyenterprises.co.

View original content to download multimedia:https://www.prnewswire.com/news-releases/johnson-controls-signs-agreement-to-acquire-alloy-enterprises-strengthening-data-center-thermal-management-leadership-302691945.htmlSOURCE Johnson Controls International plc

Original: Johnson Controls signs agreement to acquire Alloy Enterprises, strengthening data center thermal management leadership