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Sep 30, 2020

Trane Q3 2020 Earnings Report

Reported strong third-quarter results in a challenging economic environment.

Key Takeaways

Trane Technologies reported a strong third quarter with revenue growth and margin expansion, exceeding prior outlook. Strong execution drove continuing EPS and operating income growth despite ongoing COVID-19 pandemic related impacts.

Reported bookings of $3.5 billion, reported and organic bookings up 7 percent.

Reported revenues of $3.5 billion, reported revenues up 1 percent; organic revenues up 50 bps.

GAAP operating margin up 70 bps; adjusted operating margin up 80 bps.

GAAP continuing EPS of $1.67; adjusted continuing EPS of $1.72, up 6 percent.

Total Revenue
$3.5B
Previous year: $4.34B
-19.5%
EPS
$1.72
Previous year: $1.99
-13.6%
Gross Profit
$1.13B
Previous year: $1.41B
-19.4%
Cash and Equivalents
$3.19B
Previous year: $806M
+295.8%
Free Cash Flow
$1.13B
Total Assets
$17.9B
Previous year: $20.3B
-11.7%

Trane

Trane

Trane Revenue by Segment

Trane Revenue by Geographic Location

Forward Guidance

The Company expects 2020 free cash flow to be equal to or greater than 125 percent of adjusted net earnings.

Revenue & Expenses

Visualization of income flow from segment revenue to net income