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Jun 30, 2020

Carrier Q2 2020 Earnings Report

Second quarter results exceeded expectations, with strong performance enabling partially restoring strategic investments and capital spending in the second-half of 2020.

Key Takeaways

Carrier's second quarter sales were $4.0 billion, down 20% compared to last year and down 19% organically. GAAP EPS was $0.30 and adjusted EPS was $0.33. Net income was $261 million and free cash flow was $463 million.

Second quarter sales of $4.0 billion

GAAP EPS of $0.30 and adjusted EPS of $0.33

Strong performance enables partially restoring strategic investments and capital spending in second-half of 2020

Order strength in June, particularly in North America

Total Revenue
$3.97B
Previous year: $4.96B
-20.0%
EPS
$0.33
Previous year: $0.91
-63.7%
Total Organic Sales Growth
-19%
Gross Profit
$1.14B
Previous year: $1.47B
-22.6%
Cash and Equivalents
$2.7B
Previous year: $936M
+188.9%
Free Cash Flow
$463M
Total Assets
$24.2B

Carrier

Carrier

Carrier Revenue by Segment

Forward Guidance

Carrier has revised the low-end of its prior 2020 outlook and now anticipates a full-year outlook that reflects partially restoring strategic investments and capital spending in the second-half of 2020.

Positive Outlook

  • Sales of $15.5 to $17.0 billion, up from $15.0 to $17.0 billion
  • Adjusted operating profit of $1.8 to $2.0 billion, up from $1.7 to $2.0 billion
  • Free cash flow of at least $1.1 billion, up from at least $1.0 billion

Revenue & Expenses

Visualization of income flow from segment revenue to net income