CHARLOTTE, N.C., April 30, 2026 (GLOBE NEWSWIRE) -- SPX Technologies, Inc. (NYSE:SPXC) ("SPX", the "Company", "we" or "our") today reported results for the first quarter ended March 28, 2026.
First Quarter Highlights (amounts presented for continuing operations; all comparisons against the first quarter of 2025, unless otherwise noted)
-- Revenue of $566.8 million, up 17.4%, including 7.4% organically -- GAAP income from continuing operations of $64.4 million, up 24.6% -- GAAP EPS of $1.27, up 15.5% -- Adjusted EPS* of $1.69, up 22.5% -- Adjusted EBITDA* of $126.1 million, up 22.9%
Raising 2026 Guidance (all comparisons against the full year 2025, unless otherwise noted)
-- Revenue range of $2.575 to $2.645 billion, up 15% year-on-year at the
midpoint (prior range: $2.535 to $2.605 billion).
-- Adjusted EBITDA* range of $600 to $625 million, up 21% year-on-year at
the midpoint (prior range: $590 to $620 million).
-- Adjusted EPS* range of $7.75 to $8.15, up 18% year-on-year at the
midpoint (prior range: $7.60 to $8.00).
Gene Lowe, President and CEO, remarked, "We had a strong start to the year with growth in income from continuing operations and Adjusted EBITDA* in excess of 20%. We continue to see healthy demand across our key end markets and realize strong contributions from recent acquisitions. To reflect our strong first quarter performance and outlook for the remainder of the year, we are raising our full year guidance to reflect Adjusted EBITDA* growth of 21% at the midpoint."
Mr. Lowe continued, "We continue to make meaningful progress on our investments in production capacity expansions that position us for sustained long-term growth in attractive end markets, including supporting the strong demand for our data center solutions. We are optimistic about the strength of customer demand and our operational momentum, and we remain well-positioned to navigate a changing tariff environment. With a solid demand backdrop and a robust pipeline of attractive acquisition opportunities, I remain highly confident in our ability to continue driving value for years to come."
First Quarter Financial Comparisons:
($ millions, except per share amounts) Q1 2026 Q1 2025 --------------------------------------------- ---------- ---------- Revenue $566.8 $482.6 Operating income 87.7 66.6 Income from continuing operations 64.4 51.7 GAAP EPS 1.27 1.10 Consolidated segment income* $135.3 $110.5 Adjusted operating income* 119.7 94.9 Adjusted EBITDA* 126.1 102.6 Adjusted EBITDA %* 22.2% 21.3% Adjusted EPS* $ 1.69 $ 1.38 Net operating cash flow from (used in) continuing operations 29.8 (10.4) Capital expenditures (18.5) (5.5) ---------------------------------------------- ----- -----
* Non-GAAP financial measure. See attached schedules for reconciliation of historical non-GAAP measures to the most comparable GAAP financial measure. A reconciliation of non-GAAP guidance measures is not practicable and, accordingly, is not provided.
Segment Overview:
HVAC
($ millions) Q1 2026 Q1 2025 --------------------------- ---------- ---------- Revenue $394.0 $323.0 -- Organic 9.6% -- Inorganic 11.5% -- Currency 0.9% Total Growth 22.0% Segment income $ 88.6 $ 73.9 as a percent of revenues 22.5% 22.9% Change in bps -40bps ---------------------------- ---------- ----------
First Quarter 2026
The revenue increase was primarily driven by:
-- an inorganic increase from the acquisitions of Sigma & Omega, Thermolec,
and Crawford United; and
-- an organic increase from higher volumes of cooling products primarily
associated with increased data center demand and higher throughput
resulting from increased capacity, as well as higher volumes of heating
products.
The segment income increase was primarily attributable to the revenue growth mentioned above. The decrease in segment income margin was due primarily to incremental start-up costs and related inefficiencies associated with our capacity expansion initiatives, partially offset by leverage on fixed costs, particularly within SG&A expenses, driven by the higher volumes mentioned above.
Detection & Measurement
($ millions) Q1 2026 Q1 2025 ------------------------- ---------- ---------- Revenue $172.8 $159.6 -- Organic 3.0% -- Inorganic 3.9% -- Currency 1.4% Total Growth 8.3% Segment income $ 46.7 $ 36.6 as a percent of revenues 27.0% 22.9% Change in bps 410bps -------------------------- ---------- ----------
First Quarter 2026
The revenue increase was primarily driven by:
-- an inorganic increase from the acquisition of KTS; and
-- an organic increase due primarily to higher volumes within our
transportation systems business.
The increases in segment income and segment income margin were primarily due to the revenue growth mentioned above and a more favorable product mix, inclusive of higher software-as-a-service revenue within our transportation systems business which has higher-than-typical margins.
Liquidity and Financial Position:
($ millions) Q1 2026 Q4 2025 ------------- --------- --------- Total debt $ 674.0 $ 501.6 Total cash 158.3 366.0 -------------- ----- -----
2026 Guidance:
For the full year 2026, SPX now anticipates segment and company performance as follows:
Revenue Segment Income Adjusted Adjusted
Margin % EPS* EBITDA*/%
HVAC $1,840-$1,880 24.25%-24.75%
million (24.50%-25.00%
($1,800-$1,840 prior)
million prior)
----------- ------------------ -------------- --------------- --------------------
Detection & $735-$765 million 25.50%-26.00%
Measurement ($735-$765 million (24.75%-25.25%
prior) prior)
----------- ------------------ -------------- --------------- --------------------
Total SPX $2.575-$2.645 24.60%-25.10% $7.75 to $8.15 $600 to $625 million
Adjusted billion (24.60%-25.10% ($7.60 to $8.00 / 23.25% to 23.75%
($2.535-$2.605 prior) prior) ($590 to $620
billion prior) million /
23.25%-23.75%
prior)
Form 10-Q: The Company expects to file its quarterly report on Form 10-Q for the quarter ended March 28, 2026 with the Securities and Exchange Commission by May 7, 2026. This press release should be read in conjunction with that filing, which will be available on the Company's website at www.spx.com, in the Investor Relations section.
Conference Call: SPX will host a conference call at 4:45 p.m. $(ET)$ today to discuss first quarter results. The call will be simultaneously webcast via the Company's website at www.spx.com and the slide presentation will be available in the News section of the site.
Call Access Process: To access the call by phone, please use the following link to receive dial-in details https://register-conf.media-server.com/register/BIef121671c101469a90902aef0b845262. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. A replay of the webcast will also be available for a limited time at www.spx.com.
Upcoming Investor Events: Company management plans to conduct virtual and in-person meetings with investors over the coming months, including at the Oppenheimer Industrials Conference on May 6th, BofA Securities Industrials, Transportation & Airlines Conference on May 13th, Wolfe Research Conference on May 19th, B. Riley Securities' Annual Investor Conference on May 21st, William Blair Growth Stock Conference on June 2nd, Wells Fargo Industrials & Materials Conference on June 9th and Truist Securities Industrials and Services Conference on June 16th.
About SPX Technologies, Inc: SPX Technologies, Inc. is a diversified, global supplier of highly engineered products and technologies, holding leadership positions in the HVAC and detection and measurement markets. Based in Charlotte, North Carolina, SPX Technologies, Inc. has operations in over 16 countries. SPX Technologies, Inc. is listed on the New York Stock Exchange under the ticker symbol "SPXC." For more information, please visit www.spx.com.
Non-GAAP Presentation: This press release contains certain non-GAAP financial measures, including consolidated segment income and margin, adjusted operating income, adjusted income from continuing operations before income taxes, adjusted earnings per share from continuing operations (or, adjusted EPS), EBITDA, adjusted EBITDA, free cash flow from continuing operations and adjusted free cash flow from continuing operations (or, adjusted free cash flow). These non-GAAP financial measures do not provide investors with an accurate measure of, and should not be used as a substitute for, the comparable financial measures as determined in accordance with accounting principles generally accepted in the United States ("GAAP"). The Company believes these non-GAAP financial measures, when read in conjunction with the comparable GAAP financial measures, give investors a useful tool to assess and understand the Company's overall financial performance, because they exclude items of income or expense that the Company believes are not reflective of its ongoing operating performance, allowing for a better period-to-period comparison of operations of the Company. Additionally, the Company's management uses these non-GAAP financial measures as measures of the Company's performance. The Company acknowledges that there are many items that impact a company's reported results and the adjustments reflected in these non-GAAP measures are not intended to present all items that may have impacted these results. In addition, these non-GAAP measures are not necessarily comparable to similarly titled measures used by other companies.
Refer to the tables included in this press release for the components of each of the non-GAAP financial measures, and for the reconciliations of historical non-GAAP financial measures to their respective comparable GAAP measures. Our non-GAAP financial guidance excludes items, which would be included in our GAAP financial measures, that we do not consider indicative of our on-going performance; and are calculated in a manner consistent with the presentation of the similarly titled historical non-GAAP measures presented in this press release. These items include, but are not limited to, intangible asset amortization expense, acquisition and integration-related costs, costs associated with dispositions, and potential non-cash income or expense items associated with changes in market interest rates and actuarial or other data related to our pension and postretirement plans, as the ultimate aggregate amounts associated with these items are out of our control and/or cannot be reasonably predicted. Accordingly, a reconciliation of our non-GAAP financial guidance to the most comparable GAAP financial measures is not practicable. Full-year guidance excludes impacts from future acquisitions, dispositions and related transaction costs, incremental impacts of tariffs and trade tensions on market demand and costs subsequent to the date of this release, the impact of foreign exchange rate changes subsequent to March 28, 2026, and environmental and litigation charges.
Forward-looking Statements: Certain statements in this press release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbor created thereby. Please read these results in conjunction with the Company's documents filed with the Securities and Exchange Commission, including the Company's most recent annual report on Form 10-K. These filings identify important risk factors and other uncertainties that could cause actual results to differ from those contained in the forward-looking statements, including the following: cyclical changes and specific industry events in our markets; changes in anticipated capital investment and maintenance expenditures by customers; changes in economic conditions in relevant global and North American markets, including as a result of geopolitical conflicts, including the armed conflicts in the Middle East and related impacts on shipping in that region, the imposition, or threat of imposition of tariffs, including any new or increased tariffs announced by the U.S. government and any retaliatory tariffs announced in response thereto, and other trade barriers or international trade tensions; availability, limitations or cost increases of raw materials and/or commodities, including as a result of geopolitical conflicts or new or increased tariffs, as well as the potential impact of retaliatory tariffs and other penalties, that cannot be recovered in product pricing; the impact of competition on profit margins and our ability to maintain or increase market share; risks with respect to our contracts with the U.S. government, including the government's ability to terminate contracts prior to completion or failure to appropriate amounts necessary to fund such contracts; inadequate performance by third-party suppliers and subcontractors for outsourced products, components and services and other supply-chain risks; the uncertainty of claims resolution with respect to environmental and other contingent liabilities; the impact of climate change and any legal or regulatory actions taken in response thereto; cyber-security risks; risks with respect to the protection of intellectual property, including with respect to our digitalization initiatives; the impact of overruns, inflation and the incurrence of delays with respect to long-term fixed-price contracts; defects or errors in current or planned products; the impact of pandemics and governmental and other actions taken in response; domestic economic, political, legal, accounting and business developments adversely affecting our business, including regulatory changes; uncertainties with respect to our ability to complete expansions to or the reconfiguration of our manufacturing footprint within the time periods and at costs we anticipate and whether we will realize the anticipated benefits of these activities; uncertainties with respect to our ability to identify acceptable acquisition targets; uncertainties surrounding timing and successful completion of acquisition transactions, including with respect to integrating acquisitions and achieving cost savings, synergistic sales or other benefits from acquisitions; the impact of retained liabilities of disposed businesses; potential labor disputes; and extreme weather conditions and natural and other disasters.
Actual results may differ materially from these statements. The words "guidance," "believe," "expect," "anticipate," "project" and similar expressions identify forward-looking statements. Although the Company believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct.
Statements in this press release speak only as of the date of this press release, and SPX Technologies, Inc. disclaims any responsibility to update or revise such statements, except as required by law.
Investor and Media Contact:
Johann Rawlinson, VP, Investor Relations
Phone: 980-228-6028
E-mail: spx.investor@spx.com
Source: SPX Technologies, Inc.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited; in millions, except per share amounts)
Three months ended
March 28, 2026 March 29, 2025
---------------- ------------------
Revenues $ 566.8 $ 482.6
Costs and expenses:
Cost of products sold 336.2 286.7
Selling, general and
administrative 119.4 109.5
Selling, general and
administrative -- intangible
amortization 23.3 19.7
Special charges, net 0.2 0.1
Operating income 87.7 66.6
Other income (expense), net (3.0) 2.7
Interest expense (8.4) (12.3)
Interest income 1.1 0.9
----------- -----------
Income from continuing operations
before income taxes 77.4 57.9
Income tax provision (13.0) (6.2)
----------- -----------
Income from continuing operations 64.4 51.7
Income from discontinued operations,
net of tax 1.6 --
Loss on disposition of discontinued
operations, net of tax (6.1) (0.5)
----------- -----------
Loss from discontinued
operations, net of tax (4.5) (0.5)
Net income $ 59.9 $ 51.2
=========== ===========
Basic income per share of common
stock:
Income from continuing operations $ 1.29 $ 1.11
Loss from discontinued operations (0.09) (0.01)
----------- -----------
Net income per share $ 1.20 $ 1.10
=========== ===========
Weighted-average number of common
shares outstanding -- basic 49.924 46.453
Diluted income per share of common
stock:
Income from continuing operations $ 1.27 $ 1.10
Loss from discontinued operations (0.08) (0.01)
----------- -----------
Net income per share $ 1.19 $ 1.09
=========== ===========
Weighted-average number of common
shares outstanding -- diluted 50.523 47.122
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited; in millions)
March 28, 2026 December 31, 2025
---------------- ---------------------
ASSETS
Current assets:
Cash and equivalents $ 156.5 $ 364.0
Accounts receivable, net 391.5 357.2
Contract assets 78.9 65.0
Inventories, net 342.4 302.2
Other current assets 43.7 55.3
Total current assets 1,013.0 1,143.7
----------- --------------
Property, plant and equipment:
Land 27.0 26.9
Buildings and leasehold
improvements 169.0 167.9
Machinery and equipment 359.8 338.1
----------- --------------
555.8 532.9
Accumulated depreciation (248.6) (242.1)
----------- --------------
Property, plant and equipment,
net 307.2 290.8
----------- --------------
Goodwill 1,245.4 1,043.4
Intangibles, net 1,051.1 868.2
Other assets 254.9 250.2
Deferred income taxes 2.1 2.2
Assets of DBT and Heat Transfer 5.8 6.1
----------- --------------
TOTAL ASSETS $ 3,879.5 $ 3,604.6
=========== ==============
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current liabilities:
Accounts payable $ 164.6 $ 145.2
Contract liabilities 115.1 115.8
Accrued expenses 159.8 185.2
Income taxes payable 11.4 10.0
Short-term debt 23.6 1.4
Current maturities of
long-term debt 6.7 3.5
Total current liabilities 481.2 461.1
----------- --------------
Long-term debt 643.7 496.7
Deferred and other income taxes 203.1 149.7
Other long-term liabilities 252.2 245.5
Liabilities of DBT and Heat
Transfer 13.9 14.1
----------- --------------
Total long-term liabilities 1,112.9 906.0
----------- --------------
Stockholders' equity:
Common stock 0.6 0.6
Paid-in capital 1,927.3 1,938.2
Retained earnings 542.7 482.8
Accumulated other
comprehensive income 254.2 260.5
Common stock in treasury (439.4) (444.6)
----------- --------------
Total stockholders' equity 2,285.4 2,237.5
----------- --------------
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $ 3,879.5 $ 3,604.6
=========== ==============
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
RESULTS OF REPORTABLE SEGMENTS
(Unaudited; in millions)
Three months ended
March 28, March 29,
2026 2025 <DELTA> %/bps
---------- ---------- --------- ------
HVAC reportable segment
Revenues $394.0 $323.0 $ 71.0 22.0%
Cost of products sold 246.6 199.6 47.0
Selling, general and
administrative expense 58.8 49.5 9.3
Income $ 88.6 $ 73.9 $ 14.7 19.9%
===== ===== ====
as a percent of
revenues 22.5% 22.9% -40bps
Detection & Measurement
reportable segment
Revenues $172.8 $159.6 $ 13.2 8.3%
Cost of products sold 88.2 86.8 1.4
Selling, general and
administrative expense 37.9 36.2 1.7
Income $ 46.7 $ 36.6 $ 10.1 27.6%
===== ===== ====
as a percent of
revenues 27.0% 22.9% 410bps
Consolidated Revenues $566.8 $482.6 $ 84.2 17.4%
Consolidated Operating
Income 87.7 66.6 21.1 31.7%
as a percent of
revenues 15.5% 13.8% 170bps
Consolidated Segment
Income 135.3 110.5 24.8 22.4%
as a percent of
revenues 23.9% 22.9% 100bps
Consolidated operating
income $ 87.7 $ 66.6 $ 21.1
Exclude:
Corporate expense 14.5 14.0 0.5
Acquisition and
integration-related
costs (1) 5.0 6.4 (1.4)
Long-term incentive
compensation
expense 3.7 3.7 --
Amortization of
acquired intangible
assets (2) 24.2 19.7 4.5
Special charges, net 0.2 0.1 0.1
Consolidated segment
income $135.3 $110.5 $ 24.8 22.4%
===== ===== ====
as a percent of
revenues 23.9% 22.9% 100bps
(1) Represents certain acquisition-related and other
costs incurred of $5.0 and $6.4 during the three months
ended March 28, 2026 and March 29, 2025. The three
months ended March 28, 2026 includes amortization
of a deferred compensation asset acquired in connection
with the Kranze Technology Solutions ("KTS") acquisition
of $3.6 and additional "Cost of products sold" related
to the step up of inventory (to fair value) in connection
with the Thermolec Ltd. ("Thermolec") acquisition
of $0.4 and the Crawford United Corporation ("Crawford
United") acquisition of $0.1. The three months ended
March 29, 2025 includes amortization of a deferred
compensation asset and additional "Cost of products
sold" related to the step up of inventory (to fair
value) each acquired in connection with the KTS acquisition
of $4.3 and $0.3, respectively.
(2) Represents amortization expense associated with
acquired intangible assets recorded within "Selling,
general and administrative -- intangible amortization"
and "Cost of products sold."
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited; in millions)
Three months ended
March 28, 2026 March 29, 2025
---------------- ------------------
Cash flows from (used in) operating
activities:
Net income $ 59.9 $ 51.2
Less: Loss from discontinued
operations, net of tax (4.5) (0.5)
----------- -----------
Income from continuing operations 64.4 51.7
Adjustments to reconcile income from
continuing operations to net cash
from (used in) operating
activities:
Special charges, net 0.2 0.1
Gain on change in value of equity
security -- (4.5)
Amortization of compensation
expense related to acquisition 3.6 4.3
Deferred and other income taxes 2.6 (0.5)
Depreciation and amortization 32.1 27.0
Pension and other employee
benefits 6.5 5.5
Long-term incentive compensation 3.7 3.7
Other, net, including allowance
for doubtful accounts (0.1) 0.2
Changes in operating assets and
liabilities, net of effects from
acquisitions and divestitures:
Accounts receivable and other
assets (17.9) (26.3)
Contribution related to employee
retention agreements from
acquisition -- (46.5)
Inventories (35.3) (13.8)
Accounts payable, accrued
expenses and other (29.7) (10.8)
Cash spending on restructuring
actions (0.3) (0.5)
----------- -----------
Net cash from (used in) continuing
operations 29.8 (10.4)
Net cash from (used in) discontinued
operations 0.8 (0.5)
----------- -----------
Net cash from (used in) operating
activities 30.6 (10.9)
Cash flows from (used in) investing
activities:
Proceeds related to company-owned
life insurance policies, net 3.1 3.0
Business acquisitions, net of
cash acquired (439.6) (304.1)
Capital expenditures (18.5) (5.5)
----------- -----------
Net cash used in continuing
operations (455.0) (306.6)
Net cash from discontinued
operations 59.2 --
----------- -----------
Net cash used in investing
activities (395.8) (306.6)
Cash flows from (used in) financing
activities:
Borrowings under senior credit
facilities 189.5 393.0
Repayments under senior credit
facilities (39.5) (98.0)
Borrowings under trade
receivables arrangement 111.0 135.0
Repayments under trade
receivables arrangement (89.0) (85.0)
Net borrowings under other
financing arrangements 0.2 0.5
Minimum withholdings paid on
behalf of employees for net
share settlements, net of
proceeds from the exercise of
employee stock options (14.6) (9.8)
----------- -----------
Net cash from continuing operations 157.6 335.7
Net cash from (used in) discontinued
operations -- --
----------- -----------
Net cash from financing activities 157.6 335.7
Change in cash and equivalents due
to changes in foreign currency
exchange rates (0.1) 2.6
Net change in cash and equivalents (207.7) 20.8
Consolidated cash and equivalents,
beginning of period 366.0 161.4
----------- -----------
Consolidated cash and equivalents,
end of period $ 158.3 $ 182.2
=========== ===========
Three months ended
March 28, 2026 March 29, 2025
---------------- ----------------
Components of cash and equivalents:
Cash and equivalents $ 156.5 $ 177.8
Cash and equivalents included in assets
of DBT and Heat Transfer 1.8 4.4
--- ----------- --- -----------
Total cash and equivalents $ 158.3 $ 182.2
=== =========== === ===========
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
CASH AND DEBT RECONCILIATION
(Unaudited; in millions)
Three
months
ended
--------
March
28,
2026
--------
Beginning cash
and
equivalents $ 366.0
Cash from
continuing
operations 29.8
Capital
expenditures (18.5)
Proceeds
related to
company-owned
life insurance
policies, net 3.1
Business
acquisitions,
net of cash
acquired (439.6)
Borrowings
under senior
credit
facilities 189.5
Repayments
under senior
credit
facilities (39.5)
Borrowings
under trade
receivables
agreement 111.0
Repayments
under trade
receivables
agreement (89.0)
Net borrowings
under other
financing
arrangements 0.2
Minimum
withholdings
paid on behalf
of employees
for net share
settlements,
net of
proceeds from
the exercise
of employee
stock options (14.6)
Cash from
discontinued
operations 60.0
Change in cash
due to changes
in foreign
currency
exchange
rates (0.1)
------
Ending cash and
equivalents $ 158.3
======
Debt at Debt at
December
31, March 28,
2025 Borrowings Repayments Other 2026
-------- ------------ ------------ ------- ----------
Revolving loans $ -- $ 189.5 $ (39.5) $ -- $150.0
Term loan 500.0 -- -- -- 500.0
Trade
receivables
financing
arrangement -- 111.0 (89.0) -- 22.0
Other
indebtedness 2.5 0.2 -- 0.1 2.8
Less: Deferred
financing
costs
associated
with the term
loan (0.9) -- -- 0.1 (0.8)
------ --- ------- ------- --- -----
Totals $ 501.6 $ 300.7 $ (128.5) $ 0.2 $674.0
====== === ======= ======= === =====
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
ORGANIC REVENUE
(Unaudited)
Three months ended March 28, 2026
Detection &
HVAC Measurement Consolidated
----- ------------ ------------
Net Revenue Growth 22.0% 8.3% 17.4%
Exclude: Foreign Currency 0.9% 1.4% 1.0%
Exclude: Acquisitions 11.5% 3.9% 9.0%
Organic Revenue Growth 9.6% 3.0% 7.4%
===== ============ ============
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED OPERATING INCOME
(Unaudited; in millions)
Three months ended
March 28, 2026 March 29, 2025
------------------ ------------------
Operating income $ 87.7 $ 66.6
Exclude:
Acquisition and
integration-related costs (1) (7.7) (8.6)
Amortization of acquired
intangible assets (2) (24.2) (19.7)
Long-term incentive compensation
expense (3) (0.1) --
Adjusted operating income $ 119.7 $ 94.9
========= === ========= ===
as a percent of revenues 21.1% 19.7%
(1) For the three months ended March 28, 2026, represents
(i) certain acquisition and integration-related costs
of $3.6, (ii) amortization of a deferred compensation
asset of $3.6 related to the KTS acquisition, and
(iii) inventory step-up charges of $0.4 and $0.1 related
to the Thermolec and Crawford United acquisitions,
respectively. For the three months ended March 29,
2025, represents (i) certain acquisition and integration-related
costs of $4.0 and (ii) amortization of a deferred
compensation asset and additional inventory step-up
charges of $4.3 and $0.3, respectively, related to
the KTS acquisition.
(2) Represents amortization expense associated with
acquired intangible assets recorded within "Selling,
general and administrative -- intangible amortization"
and "Cost of products sold."
(3) Adjustment represents the removal of $0.1 for
long-term incentive compensation expense associated
with acquisition-related equity grants.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED EARNINGS PER SHARE
Three Months Ended March 28, 2026
(Unaudited; in millions, except per share values)
GAAP Adjustments Adjusted
-------- ------------- ----------
Segment income $ 135.3 $ -- $ 135.3
Corporate expense (1) (14.5) 2.7 (11.8)
Acquisition and
integration-related costs
(2) (5.0) 5.0 --
Long-term incentive
compensation expense (3) (3.7) 0.1 (3.6)
Amortization of acquired
intangible assets (4) (24.2) 24.2 --
Special charges, net (0.2) -- (0.2)
Operating income 87.7 32.0 119.7
Other expense, net (5) (3.0) 1.5 (1.5)
Interest expense, net (7.3) -- (7.3)
------ -------- ------
Income from continuing
operations before income
taxes 77.4 33.5 110.9
Income tax provision (6) (13.0) (12.7) (25.7)
------ -------- ------
Income from continuing
operations 64.4 20.8 85.2
Diluted shares outstanding 50.523 50.523
Earnings per share from
continuing operations $ 1.27 $ 1.69
(1) Adjustment represents the removal of certain acquisition
and integration-related costs of $2.7.
(2) Adjustment represents the removal of (i) acquisition
and integration-related costs of $0.9 within the HVAC
reportable segment, (ii) amortization of a deferred
compensation asset of $3.6 related to the KTS acquisition
within the Detection and Measurement reportable segment,
and (iii) inventory step-up charges of $0.4 and $0.1
related to the Thermolec and Crawford United acquisitions,
respectively, within the HVAC reportable segment.
(3) Adjustment represents the removal of $0.1 for
long-term incentive compensation expense associated
with acquisition-related equity grants.
(4) Adjustment represents the removal of amortization
expense associated with acquired intangible assets
of $16.8 and $7.4 within the HVAC and Detection &
Measurement reportable segments, respectively.
(5) Adjustment represents the removal of non-service
pension and postretirement charges of $1.5.
(6) Adjustment represents the tax impact of items
(1) through (5) and the removal of certain discrete
income tax items that are considered non-recurring.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED EARNINGS PER SHARE
Three Months Ended March 29, 2025
(Unaudited; in millions, except per share values)
GAAP Adjustments Adjusted
-------- ------------- ----------
Segment income $ 110.5 $ -- $ 110.5
Corporate expense (1) (14.0) 2.2 (11.8)
Acquisition and
integration-related costs
(2) (6.4) 6.4 --
Long-term incentive
compensation expense (3.7) -- (3.7)
Amortization of acquired
intangible assets (3) (19.7) 19.7 --
Special charges, net (0.1) -- (0.1)
Operating income 66.6 28.3 94.9
Other income, net (4) 2.7 (2.3) 0.4
Interest expense, net (11.4) -- (11.4)
------ -------- ------
Income from continuing
operations before income
taxes 57.9 26.0 83.9
Income tax provision (5) (6.2) (12.9) (19.1)
------ -------- ------
Income from continuing
operations 51.7 13.1 64.8
Diluted shares outstanding 47.122 47.122
Earnings per share from
continuing operations $ 1.10 $ 1.38
(1) Adjustment represents the removal of certain acquisition
and integration-related costs of $2.2.
(2) Adjustment represents the removal of (i) acquisition
and integration-related costs of $1.0 and $0.8 within
the Detection and Measurement and HVAC reportable
segments, respectively, and (ii) amortization of a
deferred compensation asset and an inventory step-up
charge of $4.3 and $0.3, respectively, each related
to the KTS acquisition within the Detection and Measurement
reportable segment.
(3) Adjustment represents the removal of amortization
expense associated with acquired intangible assets
of $12.2 and $7.5 within the HVAC and Detection &
Measurement reportable segments, respectively.
(4) Adjustment represents the removal of (i) a gain
on an equity security associated with a valuation
adjustment of $4.5 and (ii) non-service pension and
postretirement charges of $2.2.
(5) Adjustment represents the tax impact of items
(1) through (4) and the removal of certain discrete
income tax items that are considered non-recurring.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED EBITDA
(Unaudited; in millions)
Three months ended
March 28, 2026 March 29, 2025
------------------ ------------------
Net income $ 59.9 $ 51.2
Exclude:
Income tax provision (13.0) (6.2)
Interest expense, net (7.3) (11.4)
Amortization expense (1) (24.4) (19.9)
Depreciation expense (7.7) (7.1)
Loss from discontinued
operations, net of tax (4.5) (0.5)
--------- ---------
EBITDA 116.8 96.3
Exclude:
Acquisition and
integration-related costs (2) (7.7) (8.6)
Acquisition-related long-term
incentive compensation expense
(3) (0.1) --
Non-service pension and
postretirement charges (1.5) (2.2)
Valuation adjustment on an
equity security -- 4.5
--------- --- --------- ---
Adjusted EBITDA $ 126.1 $ 102.6
========= === ========= ===
as a percent of revenues 22.2% 21.3%
(1) Represents amortization expense associated with
acquired intangible assets recorded within "Selling,
general and administrative -- intangible amortization"
and amortization expense associated with acquired
intangible assets and capitalized software costs recorded
within "Cost of products sold."
(2) For the three months ended March 28, 2026, represents
(i) certain acquisition and integration-related costs
of $3.6, inclusive of $0.9 within the HVAC reportable
segment, (ii) inventory step-up charges of $0.4 and
$0.1 related to the Thermolec and Crawford United
acquisitions, respectively, within the HVAC reportable
segment, and (iii) amortization of a deferred compensation
asset of $3.6 related to the KTS acquisition within
the Detection and Measurement reportable segment.
For the three months ended March 29, 2025, represents
(i) certain acquisition and integration-related costs
of $4.0, inclusive of acquisition and integration-related
costs of $1.0 and $0.8 within the Detection and Measurement
and HVAC reportable segments, respectively, and (ii)
amortization of a deferred compensation asset and
an inventory step-up charge of $4.3 and $0.3, respectively,
each related to the KTS acquisition within the Detection
and Measurement reportable segment.
(3) Adjustment represents the removal of $0.1 for
long-term incentive compensation expense associated
with acquisition-related equity grants.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED FREE CASH FLOW
(Unaudited; in millions)
Three months ended
March 28, 2026 March 29, 2025
------------------ ------------------
Operating cash flow from (used in)
continuing operations $ 29.8 $ (10.4)
Include:
Capital expenditures (18.5) (5.5)
---------- ----------
Free cash flow from (used in)
continuing operations 11.3 (15.9)
Exclude:
Acquisition and
integration-related payments
and other (1) 4.5 52.2
---------- ----------
Adjusted free cash flow from
continuing operations $ 15.8 $ 36.3
========== ==========
(1) For the three months ended March 28, 2026, represents
the removal of the cash impact of acquisition and
integration-related costs of $4.5. For the three months
ended March 29, 2025, represents the removal of the
cash impact of (i) funded amounts associated with
employee retention agreements assumed in the KTS acquisition
of $46.5, and (ii) acquisition and integration-related
costs of $5.7.
(END) Dow Jones Newswires
CHARLOTTE, N.C., April 30, 2026 (GLOBE NEWSWIRE) -- SPX Technologies, Inc. (NYSE:SPXC) ("SPX", the "Company", "we" or "our") today reported results for the first quarter ended March 28, 2026.
First Quarter Highlights (amounts presented for continuing operations; all comparisons against the first quarter of 2025, unless otherwise noted)
-- Revenue of $566.8 million, up 17.4%, including 7.4% organically -- GAAP income from continuing operations of $64.4 million, up 24.6% -- GAAP EPS of $1.27, up 15.5% -- Adjusted EPS* of $1.69, up 22.5% -- Adjusted EBITDA* of $126.1 million, up 22.9%
Raising 2026 Guidance (all comparisons against the full year 2025, unless otherwise noted)
-- Revenue range of $2.575 to $2.645 billion, up 15% year-on-year at the
midpoint (prior range: $2.535 to $2.605 billion).
-- Adjusted EBITDA* range of $600 to $625 million, up 21% year-on-year at
the midpoint (prior range: $590 to $620 million).
-- Adjusted EPS* range of $7.75 to $8.15, up 18% year-on-year at the
midpoint (prior range: $7.60 to $8.00).
Gene Lowe, President and CEO, remarked, "We had a strong start to the year with growth in income from continuing operations and Adjusted EBITDA* in excess of 20%. We continue to see healthy demand across our key end markets and realize strong contributions from recent acquisitions. To reflect our strong first quarter performance and outlook for the remainder of the year, we are raising our full year guidance to reflect Adjusted EBITDA* growth of 21% at the midpoint."
Mr. Lowe continued, "We continue to make meaningful progress on our investments in production capacity expansions that position us for sustained long-term growth in attractive end markets, including supporting the strong demand for our data center solutions. We are optimistic about the strength of customer demand and our operational momentum, and we remain well-positioned to navigate a changing tariff environment. With a solid demand backdrop and a robust pipeline of attractive acquisition opportunities, I remain highly confident in our ability to continue driving value for years to come."
First Quarter Financial Comparisons:
($ millions, except per share amounts) Q1 2026 Q1 2025 --------------------------------------------- ---------- ---------- Revenue $566.8 $482.6 Operating income 87.7 66.6 Income from continuing operations 64.4 51.7 GAAP EPS 1.27 1.10 Consolidated segment income* $135.3 $110.5 Adjusted operating income* 119.7 94.9 Adjusted EBITDA* 126.1 102.6 Adjusted EBITDA %* 22.2% 21.3% Adjusted EPS* $ 1.69 $ 1.38 Net operating cash flow from (used in) continuing operations 29.8 (10.4) Capital expenditures (18.5) (5.5) ---------------------------------------------- ----- -----
* Non-GAAP financial measure. See attached schedules for reconciliation of historical non-GAAP measures to the most comparable GAAP financial measure. A reconciliation of non-GAAP guidance measures is not practicable and, accordingly, is not provided.
Segment Overview:
HVAC
($ millions) Q1 2026 Q1 2025 --------------------------- ---------- ---------- Revenue $394.0 $323.0 -- Organic 9.6% -- Inorganic 11.5% -- Currency 0.9% Total Growth 22.0% Segment income $ 88.6 $ 73.9 as a percent of revenues 22.5% 22.9% Change in bps -40bps ---------------------------- ---------- ----------
First Quarter 2026
The revenue increase was primarily driven by:
-- an inorganic increase from the acquisitions of Sigma & Omega, Thermolec,
and Crawford United; and
-- an organic increase from higher volumes of cooling products primarily
associated with increased data center demand and higher throughput
resulting from increased capacity, as well as higher volumes of heating
products.
The segment income increase was primarily attributable to the revenue growth mentioned above. The decrease in segment income margin was due primarily to incremental start-up costs and related inefficiencies associated with our capacity expansion initiatives, partially offset by leverage on fixed costs, particularly within SG&A expenses, driven by the higher volumes mentioned above.
Detection & Measurement
($ millions) Q1 2026 Q1 2025 ------------------------- ---------- ---------- Revenue $172.8 $159.6 -- Organic 3.0% -- Inorganic 3.9% -- Currency 1.4% Total Growth 8.3% Segment income $ 46.7 $ 36.6 as a percent of revenues 27.0% 22.9% Change in bps 410bps -------------------------- ---------- ----------
First Quarter 2026
The revenue increase was primarily driven by:
-- an inorganic increase from the acquisition of KTS; and
-- an organic increase due primarily to higher volumes within our
transportation systems business.
The increases in segment income and segment income margin were primarily due to the revenue growth mentioned above and a more favorable product mix, inclusive of higher software-as-a-service revenue within our transportation systems business which has higher-than-typical margins.
Liquidity and Financial Position:
($ millions) Q1 2026 Q4 2025 ------------- --------- --------- Total debt $ 674.0 $ 501.6 Total cash 158.3 366.0 -------------- ----- -----
2026 Guidance:
For the full year 2026, SPX now anticipates segment and company performance as follows:
Revenue Segment Income Adjusted Adjusted
Margin % EPS* EBITDA*/%
HVAC $1,840-$1,880 24.25%-24.75%
million (24.50%-25.00%
($1,800-$1,840 prior)
million prior)
----------- ------------------ -------------- --------------- --------------------
Detection & $735-$765 million 25.50%-26.00%
Measurement ($735-$765 million (24.75%-25.25%
prior) prior)
----------- ------------------ -------------- --------------- --------------------
Total SPX $2.575-$2.645 24.60%-25.10% $7.75 to $8.15 $600 to $625 million
Adjusted billion (24.60%-25.10% ($7.60 to $8.00 / 23.25% to 23.75%
($2.535-$2.605 prior) prior) ($590 to $620
billion prior) million /
23.25%-23.75%
prior)
Form 10-Q: The Company expects to file its quarterly report on Form 10-Q for the quarter ended March 28, 2026 with the Securities and Exchange Commission by May 7, 2026. This press release should be read in conjunction with that filing, which will be available on the Company's website at www.spx.com, in the Investor Relations section.
Conference Call: SPX will host a conference call at 4:45 p.m. (ET) today to discuss first quarter results. The call will be simultaneously webcast via the Company's website at www.spx.com and the slide presentation will be available in the News section of the site.
Call Access Process: To access the call by phone, please use the following link to receive dial-in details https://register-conf.media-server.com/register/BIef121671c101469a90902aef0b845262. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. A replay of the webcast will also be available for a limited time at www.spx.com.
Upcoming Investor Events: Company management plans to conduct virtual and in-person meetings with investors over the coming months, including at the Oppenheimer Industrials Conference on May 6th, BofA Securities Industrials, Transportation & Airlines Conference on May 13th, Wolfe Research Conference on May 19th, B. Riley Securities' Annual Investor Conference on May 21st, William Blair Growth Stock Conference on June 2nd, Wells Fargo Industrials & Materials Conference on June 9th and Truist Securities Industrials and Services Conference on June 16th.
About SPX Technologies, Inc: SPX Technologies, Inc. is a diversified, global supplier of highly engineered products and technologies, holding leadership positions in the HVAC and detection and measurement markets. Based in Charlotte, North Carolina, SPX Technologies, Inc. has operations in over 16 countries. SPX Technologies, Inc. is listed on the New York Stock Exchange under the ticker symbol "SPXC." For more information, please visit www.spx.com.
Non-GAAP Presentation: This press release contains certain non-GAAP financial measures, including consolidated segment income and margin, adjusted operating income, adjusted income from continuing operations before income taxes, adjusted earnings per share from continuing operations (or, adjusted EPS), EBITDA, adjusted EBITDA, free cash flow from continuing operations and adjusted free cash flow from continuing operations (or, adjusted free cash flow). These non-GAAP financial measures do not provide investors with an accurate measure of, and should not be used as a substitute for, the comparable financial measures as determined in accordance with accounting principles generally accepted in the United States ("GAAP"). The Company believes these non-GAAP financial measures, when read in conjunction with the comparable GAAP financial measures, give investors a useful tool to assess and understand the Company's overall financial performance, because they exclude items of income or expense that the Company believes are not reflective of its ongoing operating performance, allowing for a better period-to-period comparison of operations of the Company. Additionally, the Company's management uses these non-GAAP financial measures as measures of the Company's performance. The Company acknowledges that there are many items that impact a company's reported results and the adjustments reflected in these non-GAAP measures are not intended to present all items that may have impacted these results. In addition, these non-GAAP measures are not necessarily comparable to similarly titled measures used by other companies.
Refer to the tables included in this press release for the components of each of the non-GAAP financial measures, and for the reconciliations of historical non-GAAP financial measures to their respective comparable GAAP measures. Our non-GAAP financial guidance excludes items, which would be included in our GAAP financial measures, that we do not consider indicative of our on-going performance; and are calculated in a manner consistent with the presentation of the similarly titled historical non-GAAP measures presented in this press release. These items include, but are not limited to, intangible asset amortization expense, acquisition and integration-related costs, costs associated with dispositions, and potential non-cash income or expense items associated with changes in market interest rates and actuarial or other data related to our pension and postretirement plans, as the ultimate aggregate amounts associated with these items are out of our control and/or cannot be reasonably predicted. Accordingly, a reconciliation of our non-GAAP financial guidance to the most comparable GAAP financial measures is not practicable. Full-year guidance excludes impacts from future acquisitions, dispositions and related transaction costs, incremental impacts of tariffs and trade tensions on market demand and costs subsequent to the date of this release, the impact of foreign exchange rate changes subsequent to March 28, 2026, and environmental and litigation charges.
Forward-looking Statements: Certain statements in this press release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbor created thereby. Please read these results in conjunction with the Company's documents filed with the Securities and Exchange Commission, including the Company's most recent annual report on Form 10-K. These filings identify important risk factors and other uncertainties that could cause actual results to differ from those contained in the forward-looking statements, including the following: cyclical changes and specific industry events in our markets; changes in anticipated capital investment and maintenance expenditures by customers; changes in economic conditions in relevant global and North American markets, including as a result of geopolitical conflicts, including the armed conflicts in the Middle East and related impacts on shipping in that region, the imposition, or threat of imposition of tariffs, including any new or increased tariffs announced by the U.S. government and any retaliatory tariffs announced in response thereto, and other trade barriers or international trade tensions; availability, limitations or cost increases of raw materials and/or commodities, including as a result of geopolitical conflicts or new or increased tariffs, as well as the potential impact of retaliatory tariffs and other penalties, that cannot be recovered in product pricing; the impact of competition on profit margins and our ability to maintain or increase market share; risks with respect to our contracts with the U.S. government, including the government's ability to terminate contracts prior to completion or failure to appropriate amounts necessary to fund such contracts; inadequate performance by third-party suppliers and subcontractors for outsourced products, components and services and other supply-chain risks; the uncertainty of claims resolution with respect to environmental and other contingent liabilities; the impact of climate change and any legal or regulatory actions taken in response thereto; cyber-security risks; risks with respect to the protection of intellectual property, including with respect to our digitalization initiatives; the impact of overruns, inflation and the incurrence of delays with respect to long-term fixed-price contracts; defects or errors in current or planned products; the impact of pandemics and governmental and other actions taken in response; domestic economic, political, legal, accounting and business developments adversely affecting our business, including regulatory changes; uncertainties with respect to our ability to complete expansions to or the reconfiguration of our manufacturing footprint within the time periods and at costs we anticipate and whether we will realize the anticipated benefits of these activities; uncertainties with respect to our ability to identify acceptable acquisition targets; uncertainties surrounding timing and successful completion of acquisition transactions, including with respect to integrating acquisitions and achieving cost savings, synergistic sales or other benefits from acquisitions; the impact of retained liabilities of disposed businesses; potential labor disputes; and extreme weather conditions and natural and other disasters.
Actual results may differ materially from these statements. The words "guidance," "believe," "expect," "anticipate," "project" and similar expressions identify forward-looking statements. Although the Company believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct.
Statements in this press release speak only as of the date of this press release, and SPX Technologies, Inc. disclaims any responsibility to update or revise such statements, except as required by law.
Investor and Media Contact:
Johann Rawlinson, VP, Investor Relations
Phone: 980-228-6028
E-mail: spx.investor@spx.com
Source: SPX Technologies, Inc.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited; in millions, except per share amounts)
Three months ended
March 28, 2026 March 29, 2025
---------------- ------------------
Revenues $ 566.8 $ 482.6
Costs and expenses:
Cost of products sold 336.2 286.7
Selling, general and
administrative 119.4 109.5
Selling, general and
administrative -- intangible
amortization 23.3 19.7
Special charges, net 0.2 0.1
Operating income 87.7 66.6
Other income (expense), net (3.0) 2.7
Interest expense (8.4) (12.3)
Interest income 1.1 0.9
----------- -----------
Income from continuing operations
before income taxes 77.4 57.9
Income tax provision (13.0) (6.2)
----------- -----------
Income from continuing operations 64.4 51.7
Income from discontinued operations,
net of tax 1.6 --
Loss on disposition of discontinued
operations, net of tax (6.1) (0.5)
----------- -----------
Loss from discontinued
operations, net of tax (4.5) (0.5)
Net income $ 59.9 $ 51.2
=========== ===========
Basic income per share of common
stock:
Income from continuing operations $ 1.29 $ 1.11
Loss from discontinued operations (0.09) (0.01)
----------- -----------
Net income per share $ 1.20 $ 1.10
=========== ===========
Weighted-average number of common
shares outstanding -- basic 49.924 46.453
Diluted income per share of common
stock:
Income from continuing operations $ 1.27 $ 1.10
Loss from discontinued operations (0.08) (0.01)
----------- -----------
Net income per share $ 1.19 $ 1.09
=========== ===========
Weighted-average number of common
shares outstanding -- diluted 50.523 47.122
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited; in millions)
March 28, 2026 December 31, 2025
---------------- ---------------------
ASSETS
Current assets:
Cash and equivalents $ 156.5 $ 364.0
Accounts receivable, net 391.5 357.2
Contract assets 78.9 65.0
Inventories, net 342.4 302.2
Other current assets 43.7 55.3
Total current assets 1,013.0 1,143.7
----------- --------------
Property, plant and equipment:
Land 27.0 26.9
Buildings and leasehold
improvements 169.0 167.9
Machinery and equipment 359.8 338.1
----------- --------------
555.8 532.9
Accumulated depreciation (248.6) (242.1)
----------- --------------
Property, plant and equipment,
net 307.2 290.8
----------- --------------
Goodwill 1,245.4 1,043.4
Intangibles, net 1,051.1 868.2
Other assets 254.9 250.2
Deferred income taxes 2.1 2.2
Assets of DBT and Heat Transfer 5.8 6.1
----------- --------------
TOTAL ASSETS $ 3,879.5 $ 3,604.6
=========== ==============
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current liabilities:
Accounts payable $ 164.6 $ 145.2
Contract liabilities 115.1 115.8
Accrued expenses 159.8 185.2
Income taxes payable 11.4 10.0
Short-term debt 23.6 1.4
Current maturities of
long-term debt 6.7 3.5
Total current liabilities 481.2 461.1
----------- --------------
Long-term debt 643.7 496.7
Deferred and other income taxes 203.1 149.7
Other long-term liabilities 252.2 245.5
Liabilities of DBT and Heat
Transfer 13.9 14.1
----------- --------------
Total long-term liabilities 1,112.9 906.0
----------- --------------
Stockholders' equity:
Common stock 0.6 0.6
Paid-in capital 1,927.3 1,938.2
Retained earnings 542.7 482.8
Accumulated other
comprehensive income 254.2 260.5
Common stock in treasury (439.4) (444.6)
----------- --------------
Total stockholders' equity 2,285.4 2,237.5
----------- --------------
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $ 3,879.5 $ 3,604.6
=========== ==============
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
RESULTS OF REPORTABLE SEGMENTS
(Unaudited; in millions)
Three months ended
March 28, March 29,
2026 2025 <DELTA> %/bps
---------- ---------- --------- ------
HVAC reportable segment
Revenues $394.0 $323.0 $ 71.0 22.0%
Cost of products sold 246.6 199.6 47.0
Selling, general and
administrative expense 58.8 49.5 9.3
Income $ 88.6 $ 73.9 $ 14.7 19.9%
===== ===== ====
as a percent of
revenues 22.5% 22.9% -40bps
Detection & Measurement
reportable segment
Revenues $172.8 $159.6 $ 13.2 8.3%
Cost of products sold 88.2 86.8 1.4
Selling, general and
administrative expense 37.9 36.2 1.7
Income $ 46.7 $ 36.6 $ 10.1 27.6%
===== ===== ====
as a percent of
revenues 27.0% 22.9% 410bps
Consolidated Revenues $566.8 $482.6 $ 84.2 17.4%
Consolidated Operating
Income 87.7 66.6 21.1 31.7%
as a percent of
revenues 15.5% 13.8% 170bps
Consolidated Segment
Income 135.3 110.5 24.8 22.4%
as a percent of
revenues 23.9% 22.9% 100bps
Consolidated operating
income $ 87.7 $ 66.6 $ 21.1
Exclude:
Corporate expense 14.5 14.0 0.5
Acquisition and
integration-related
costs (1) 5.0 6.4 (1.4)
Long-term incentive
compensation
expense 3.7 3.7 --
Amortization of
acquired intangible
assets (2) 24.2 19.7 4.5
Special charges, net 0.2 0.1 0.1
Consolidated segment
income $135.3 $110.5 $ 24.8 22.4%
===== ===== ====
as a percent of
revenues 23.9% 22.9% 100bps
(1) Represents certain acquisition-related and other
costs incurred of $5.0 and $6.4 during the three months
ended March 28, 2026 and March 29, 2025. The three
months ended March 28, 2026 includes amortization
of a deferred compensation asset acquired in connection
with the Kranze Technology Solutions ("KTS") acquisition
of $3.6 and additional "Cost of products sold" related
to the step up of inventory (to fair value) in connection
with the Thermolec Ltd. ("Thermolec") acquisition
of $0.4 and the Crawford United Corporation ("Crawford
United") acquisition of $0.1. The three months ended
March 29, 2025 includes amortization of a deferred
compensation asset and additional "Cost of products
sold" related to the step up of inventory (to fair
value) each acquired in connection with the KTS acquisition
of $4.3 and $0.3, respectively.
(2) Represents amortization expense associated with
acquired intangible assets recorded within "Selling,
general and administrative -- intangible amortization"
and "Cost of products sold."
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited; in millions)
Three months ended
March 28, 2026 March 29, 2025
---------------- ------------------
Cash flows from (used in) operating
activities:
Net income $ 59.9 $ 51.2
Less: Loss from discontinued
operations, net of tax (4.5) (0.5)
----------- -----------
Income from continuing operations 64.4 51.7
Adjustments to reconcile income from
continuing operations to net cash
from (used in) operating
activities:
Special charges, net 0.2 0.1
Gain on change in value of equity
security -- (4.5)
Amortization of compensation
expense related to acquisition 3.6 4.3
Deferred and other income taxes 2.6 (0.5)
Depreciation and amortization 32.1 27.0
Pension and other employee
benefits 6.5 5.5
Long-term incentive compensation 3.7 3.7
Other, net, including allowance
for doubtful accounts (0.1) 0.2
Changes in operating assets and
liabilities, net of effects from
acquisitions and divestitures:
Accounts receivable and other
assets (17.9) (26.3)
Contribution related to employee
retention agreements from
acquisition -- (46.5)
Inventories (35.3) (13.8)
Accounts payable, accrued
expenses and other (29.7) (10.8)
Cash spending on restructuring
actions (0.3) (0.5)
----------- -----------
Net cash from (used in) continuing
operations 29.8 (10.4)
Net cash from (used in) discontinued
operations 0.8 (0.5)
----------- -----------
Net cash from (used in) operating
activities 30.6 (10.9)
Cash flows from (used in) investing
activities:
Proceeds related to company-owned
life insurance policies, net 3.1 3.0
Business acquisitions, net of
cash acquired (439.6) (304.1)
Capital expenditures (18.5) (5.5)
----------- -----------
Net cash used in continuing
operations (455.0) (306.6)
Net cash from discontinued
operations 59.2 --
----------- -----------
Net cash used in investing
activities (395.8) (306.6)
Cash flows from (used in) financing
activities:
Borrowings under senior credit
facilities 189.5 393.0
Repayments under senior credit
facilities (39.5) (98.0)
Borrowings under trade
receivables arrangement 111.0 135.0
Repayments under trade
receivables arrangement (89.0) (85.0)
Net borrowings under other
financing arrangements 0.2 0.5
Minimum withholdings paid on
behalf of employees for net
share settlements, net of
proceeds from the exercise of
employee stock options (14.6) (9.8)
----------- -----------
Net cash from continuing operations 157.6 335.7
Net cash from (used in) discontinued
operations -- --
----------- -----------
Net cash from financing activities 157.6 335.7
Change in cash and equivalents due
to changes in foreign currency
exchange rates (0.1) 2.6
Net change in cash and equivalents (207.7) 20.8
Consolidated cash and equivalents,
beginning of period 366.0 161.4
----------- -----------
Consolidated cash and equivalents,
end of period $ 158.3 $ 182.2
=========== ===========
Three months ended
March 28, 2026 March 29, 2025
---------------- ----------------
Components of cash and equivalents:
Cash and equivalents $ 156.5 $ 177.8
Cash and equivalents included in assets
of DBT and Heat Transfer 1.8 4.4
--- ----------- --- -----------
Total cash and equivalents $ 158.3 $ 182.2
=== =========== === ===========
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
CASH AND DEBT RECONCILIATION
(Unaudited; in millions)
Three
months
ended
--------
March
28,
2026
--------
Beginning cash
and
equivalents $ 366.0
Cash from
continuing
operations 29.8
Capital
expenditures (18.5)
Proceeds
related to
company-owned
life insurance
policies, net 3.1
Business
acquisitions,
net of cash
acquired (439.6)
Borrowings
under senior
credit
facilities 189.5
Repayments
under senior
credit
facilities (39.5)
Borrowings
under trade
receivables
agreement 111.0
Repayments
under trade
receivables
agreement (89.0)
Net borrowings
under other
financing
arrangements 0.2
Minimum
withholdings
paid on behalf
of employees
for net share
settlements,
net of
proceeds from
the exercise
of employee
stock options (14.6)
Cash from
discontinued
operations 60.0
Change in cash
due to changes
in foreign
currency
exchange
rates (0.1)
------
Ending cash and
equivalents $ 158.3
======
Debt at Debt at
December
31, March 28,
2025 Borrowings Repayments Other 2026
-------- ------------ ------------ ------- ----------
Revolving loans $ -- $ 189.5 $ (39.5) $ -- $150.0
Term loan 500.0 -- -- -- 500.0
Trade
receivables
financing
arrangement -- 111.0 (89.0) -- 22.0
Other
indebtedness 2.5 0.2 -- 0.1 2.8
Less: Deferred
financing
costs
associated
with the term
loan (0.9) -- -- 0.1 (0.8)
------ --- ------- ------- --- -----
Totals $ 501.6 $ 300.7 $ (128.5) $ 0.2 $674.0
====== === ======= ======= === =====
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
ORGANIC REVENUE
(Unaudited)
Three months ended March 28, 2026
Detection &
HVAC Measurement Consolidated
----- ------------ ------------
Net Revenue Growth 22.0% 8.3% 17.4%
Exclude: Foreign Currency 0.9% 1.4% 1.0%
Exclude: Acquisitions 11.5% 3.9% 9.0%
Organic Revenue Growth 9.6% 3.0% 7.4%
===== ============ ============
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED OPERATING INCOME
(Unaudited; in millions)
Three months ended
March 28, 2026 March 29, 2025
------------------ ------------------
Operating income $ 87.7 $ 66.6
Exclude:
Acquisition and
integration-related costs (1) (7.7) (8.6)
Amortization of acquired
intangible assets (2) (24.2) (19.7)
Long-term incentive compensation
expense (3) (0.1) --
Adjusted operating income $ 119.7 $ 94.9
========= === ========= ===
as a percent of revenues 21.1% 19.7%
(1) For the three months ended March 28, 2026, represents
(i) certain acquisition and integration-related costs
of $3.6, (ii) amortization of a deferred compensation
asset of $3.6 related to the KTS acquisition, and
(iii) inventory step-up charges of $0.4 and $0.1 related
to the Thermolec and Crawford United acquisitions,
respectively. For the three months ended March 29,
2025, represents (i) certain acquisition and integration-related
costs of $4.0 and (ii) amortization of a deferred
compensation asset and additional inventory step-up
charges of $4.3 and $0.3, respectively, related to
the KTS acquisition.
(2) Represents amortization expense associated with
acquired intangible assets recorded within "Selling,
general and administrative -- intangible amortization"
and "Cost of products sold."
(3) Adjustment represents the removal of $0.1 for
long-term incentive compensation expense associated
with acquisition-related equity grants.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED EARNINGS PER SHARE
Three Months Ended March 28, 2026
(Unaudited; in millions, except per share values)
GAAP Adjustments Adjusted
-------- ------------- ----------
Segment income $ 135.3 $ -- $ 135.3
Corporate expense (1) (14.5) 2.7 (11.8)
Acquisition and
integration-related costs
(2) (5.0) 5.0 --
Long-term incentive
compensation expense (3) (3.7) 0.1 (3.6)
Amortization of acquired
intangible assets (4) (24.2) 24.2 --
Special charges, net (0.2) -- (0.2)
Operating income 87.7 32.0 119.7
Other expense, net (5) (3.0) 1.5 (1.5)
Interest expense, net (7.3) -- (7.3)
------ -------- ------
Income from continuing
operations before income
taxes 77.4 33.5 110.9
Income tax provision (6) (13.0) (12.7) (25.7)
------ -------- ------
Income from continuing
operations 64.4 20.8 85.2
Diluted shares outstanding 50.523 50.523
Earnings per share from
continuing operations $ 1.27 $ 1.69
(1) Adjustment represents the removal of certain acquisition
and integration-related costs of $2.7.
(2) Adjustment represents the removal of (i) acquisition
and integration-related costs of $0.9 within the HVAC
reportable segment, (ii) amortization of a deferred
compensation asset of $3.6 related to the KTS acquisition
within the Detection and Measurement reportable segment,
and (iii) inventory step-up charges of $0.4 and $0.1
related to the Thermolec and Crawford United acquisitions,
respectively, within the HVAC reportable segment.
(3) Adjustment represents the removal of $0.1 for
long-term incentive compensation expense associated
with acquisition-related equity grants.
(4) Adjustment represents the removal of amortization
expense associated with acquired intangible assets
of $16.8 and $7.4 within the HVAC and Detection &
Measurement reportable segments, respectively.
(5) Adjustment represents the removal of non-service
pension and postretirement charges of $1.5.
(6) Adjustment represents the tax impact of items
(1) through (5) and the removal of certain discrete
income tax items that are considered non-recurring.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED EARNINGS PER SHARE
Three Months Ended March 29, 2025
(Unaudited; in millions, except per share values)
GAAP Adjustments Adjusted
-------- ------------- ----------
Segment income $ 110.5 $ -- $ 110.5
Corporate expense (1) (14.0) 2.2 (11.8)
Acquisition and
integration-related costs
(2) (6.4) 6.4 --
Long-term incentive
compensation expense (3.7) -- (3.7)
Amortization of acquired
intangible assets (3) (19.7) 19.7 --
Special charges, net (0.1) -- (0.1)
Operating income 66.6 28.3 94.9
Other income, net (4) 2.7 (2.3) 0.4
Interest expense, net (11.4) -- (11.4)
------ -------- ------
Income from continuing
operations before income
taxes 57.9 26.0 83.9
Income tax provision (5) (6.2) (12.9) (19.1)
------ -------- ------
Income from continuing
operations 51.7 13.1 64.8
Diluted shares outstanding 47.122 47.122
Earnings per share from
continuing operations $ 1.10 $ 1.38
(1) Adjustment represents the removal of certain acquisition
and integration-related costs of $2.2.
(2) Adjustment represents the removal of (i) acquisition
and integration-related costs of $1.0 and $0.8 within
the Detection and Measurement and HVAC reportable
segments, respectively, and (ii) amortization of a
deferred compensation asset and an inventory step-up
charge of $4.3 and $0.3, respectively, each related
to the KTS acquisition within the Detection and Measurement
reportable segment.
(3) Adjustment represents the removal of amortization
expense associated with acquired intangible assets
of $12.2 and $7.5 within the HVAC and Detection &
Measurement reportable segments, respectively.
(4) Adjustment represents the removal of (i) a gain
on an equity security associated with a valuation
adjustment of $4.5 and (ii) non-service pension and
postretirement charges of $2.2.
(5) Adjustment represents the tax impact of items
(1) through (4) and the removal of certain discrete
income tax items that are considered non-recurring.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED EBITDA
(Unaudited; in millions)
Three months ended
March 28, 2026 March 29, 2025
------------------ ------------------
Net income $ 59.9 $ 51.2
Exclude:
Income tax provision (13.0) (6.2)
Interest expense, net (7.3) (11.4)
Amortization expense (1) (24.4) (19.9)
Depreciation expense (7.7) (7.1)
Loss from discontinued
operations, net of tax (4.5) (0.5)
--------- ---------
EBITDA 116.8 96.3
Exclude:
Acquisition and
integration-related costs (2) (7.7) (8.6)
Acquisition-related long-term
incentive compensation expense
(3) (0.1) --
Non-service pension and
postretirement charges (1.5) (2.2)
Valuation adjustment on an
equity security -- 4.5
--------- --- --------- ---
Adjusted EBITDA $ 126.1 $ 102.6
========= === ========= ===
as a percent of revenues 22.2% 21.3%
(1) Represents amortization expense associated with
acquired intangible assets recorded within "Selling,
general and administrative -- intangible amortization"
and amortization expense associated with acquired
intangible assets and capitalized software costs recorded
within "Cost of products sold."
(2) For the three months ended March 28, 2026, represents
(i) certain acquisition and integration-related costs
of $3.6, inclusive of $0.9 within the HVAC reportable
segment, (ii) inventory step-up charges of $0.4 and
$0.1 related to the Thermolec and Crawford United
acquisitions, respectively, within the HVAC reportable
segment, and (iii) amortization of a deferred compensation
asset of $3.6 related to the KTS acquisition within
the Detection and Measurement reportable segment.
For the three months ended March 29, 2025, represents
(i) certain acquisition and integration-related costs
of $4.0, inclusive of acquisition and integration-related
costs of $1.0 and $0.8 within the Detection and Measurement
and HVAC reportable segments, respectively, and (ii)
amortization of a deferred compensation asset and
an inventory step-up charge of $4.3 and $0.3, respectively,
each related to the KTS acquisition within the Detection
and Measurement reportable segment.
(3) Adjustment represents the removal of $0.1 for
long-term incentive compensation expense associated
with acquisition-related equity grants.
SPX TECHNOLOGIES, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION - ADJUSTED FREE CASH FLOW
(Unaudited; in millions)
Three months ended
March 28, 2026 March 29, 2025
------------------ ------------------
Operating cash flow from (used in)
continuing operations $ 29.8 $ (10.4)
Include:
Capital expenditures (18.5) (5.5)
---------- ----------
Free cash flow from (used in)
continuing operations 11.3 (15.9)
Exclude:
Acquisition and
integration-related payments
and other (1) 4.5 52.2
---------- ----------
Adjusted free cash flow from
continuing operations $ 15.8 $ 36.3
========== ==========
(1) For the three months ended March 28, 2026, represents
the removal of the cash impact of acquisition and
integration-related costs of $4.5. For the three months
ended March 29, 2025, represents the removal of the
cash impact of (i) funded amounts associated with
employee retention agreements assumed in the KTS acquisition
of $46.5, and (ii) acquisition and integration-related
costs of $5.7.
(END) Dow Jones Newswires
April 30, 2026 16:06 ET (20:06 GMT)
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