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Jun 30, 2020

Johnson Controls Q3 2020 Earnings Report

Johnson Controls reported fiscal Q3 2020 results demonstrating strong execution and provided Q4 guidance.

Key Takeaways

Johnson Controls reported adjusted EPS of $0.67, up 3% versus prior year, and GAAP EPS was a loss of $0.24. Sales of $5.3 billion decreased 17% compared to the prior year and declined 16% organically, driven by the COVID-19 pandemic. The company provides Q4 adjusted earnings per share guidance range of $0.68 to $0.72; full year guidance of $2.16 to $2.20, representing a year-over-year increase of 10-12%.

Adjusted EPS of $0.67, up 3% versus prior year; GAAP EPS was a loss of $0.24

Significant cost mitigation actions both temporary and permanent executed; tracking ahead of expectations

Adjusted EBIT margin expansion of 70bps year-over-year; GAAP EBIT margin of (1.2%)

Adjusted free cash flow of $0.8 billion; GAAP free cash flow of $0.7 billion

Total Revenue
$5.34B
Previous year: $6.45B
-17.2%
EPS
$0.67
Previous year: $0.65
+3.1%
Gross Profit
$1.83B
Previous year: $2.14B
-14.6%
Cash and Equivalents
$2.34B
Previous year: $3.69B
-36.4%
Free Cash Flow
$700M
Total Assets
$41.3B
Previous year: $43.1B
-4.2%

Johnson Controls

Johnson Controls

Johnson Controls Revenue by Segment

Forward Guidance

Company provides Q4 adjusted earnings per share guidance range of $0.68 to $0.72; full year guidance of $2.16 to $2.20, representing a year-over-year increase of 10-12%

Revenue & Expenses

Visualization of income flow from segment revenue to net income