Carrier Global Corporation (NYSE: CARR), a provider of intelligent climate and energy solutions, reported second-quarter earnings on Tuesday that exceeded market expectations, fueled by a significant surge in orders from data center demand. In response to the strong performance, management has raised its full-year guidance.
The company's net sales for the second quarter reached $6.35 billion, a 4% increase year-over-year. Adjusted earnings per share came in at $0.86, surpassing the consensus estimate of $0.83. The standout metric for the quarter was order growth, which rose approximately 40% year-over-year, driven primarily by data center requirements. Specifically, commercial HVAC orders grew by about 65%, while data center orders skyrocketed by over 300%. The company's backlog surpassed $8 billion, marking an approximate 40% increase from the same period last year.
"We closed the first half of the year with a stronger-than-expected second quarter," said Carrier's Chairman and CEO. "Given our record backlog and better-than-anticipated first-half results, we have decided to raise our full-year outlook." The company now projects full-year 2026 sales of approximately $23 billion, adjusted operating profit of around $3.5 billion, and adjusted earnings per share of about $2.90. The revenue forecast for data center operations has been specifically upgraded from $1.5 billion to approximately $2 billion. However, the adjusted operating margin for the quarter narrowed compared to the same period last year, impacted by tariffs, a shift in product mix, and input cost pressures.
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