Carrier Global Corporation · NYSE:CARR
Carrier Global — Q3 2026 Earnings Presentation
30 slides from Carrier Global's earnings presentation, Oct 29, 2026
Slide 1: Q3 2026 Earnings Conference Call
Q3 2026 Earnings Conference Call October 29, 2026
Slide 2: Cautionary statement
Cautionary statement This communication contains statements which, to the extent they are not statements of historical or present fact, constitute "forward-looking statements" under the securities laws. From time to time, oral or written forward-looking statements may also be included in other infor
Slide 3: Q3 2026 Summary
Q3 2026 Summary ($ Millions, except EPS) Highlights $6,263 Sales • Continued strong orders3 up ~35% Organic1 15% Y/Y • Global CHVAC up ~60%; data centers up ~300% $1,091 Adjusted Operating Profit1,4 • Record backlog3 >$8.5B, up ~60% Y/Y 33% Y/Y • 15% organic sales growth; aftermarket up 9% 17.4% • D
Slide 4: Structurally balanced and differentiated portfolio
Structurally balanced and differentiated portfolio China RLC Poised for recovery • Expecting continued double-digit growth in Strong demand global commercial HVAC fueled by record CST backlog, LTAs and strong pipeline and backlog, OE sustained DD Global growth • Driving to continued double-digit aft
Slide 5: Winning in Commercial through differentiation
Winning in Commercial1 through differentiation Differentiated systems solutions How we are winning • Differentiated products and controls ~2x • Industry-leading Building Management System (BMS) Global CHVAC sales • Digital twin / Performance modeling increase since spin capabilities • Enhanced agent
Slide 6: RLC improving…Carrier positioned to capitalize
RLC improving…Carrier positioned to capitalize CSA residential market (units) Carrier’s differentiated RLC portfolio positioned to outperform ~9M units long- term expected avg. Product differentiation Digital Systems ~7.5 – 8M ✓ Rotary & scroll ✓ Cloud-enabled ✓ Home energy compressors platforms man
Slide 7: Controlling the controllables
Controlling the controllables 2026 Adj. EPS1 2026 Guidance1 Up ~10% Up ~HSD Y/Y Y/Y ~$0.05 Sales $23.8 – $24 Billion $2.85 – $2.90 ~ $2.80 ~$0.35 Divestitures / ~ $0.15 Investments ~($0.05) ~ $0.10 Adj. operating ~$2.20 – $2.25 ~$3.5 Billion IEEPA2 ~$0.10 profit ($0.55 - $0.60) Adj. EPS $2.85 – $2.9
Slide 8: Q3 2026 Results
Q3 2026 Results ($ Millions, except EPS) Q3 2026 Q3 2025 Y/Y Sales $6,263 $5,579 12% Organic sales1 15% Acquisitions / Divestitures, net (3%) FX 0% Adjusted operating profit1 $1,091 $823 33% Adjusted operating margin1 17.4% 14.8% 260 bps Adjusted effective tax rate1 23.5% 17.2% Adjusted EPS1 $0.87 $
Slide 9: Q3 2026 Adjusted EPS bridge
Q3 2026 Adjusted EPS1 bridge $0.23 ($0.02) ($0.01) Shares $0.87 Tax $0.67 Volume Productivity Price Input costs / tariffs2 Q3 2025 Adj. EPS Operational Tax rate / Shares Net interest / Other Q3 2026 Adj. EPS 1. See appendix for additional information regarding non-GAAP measures 2. Includes ~$0.10 be
Slide 10: Q3 2026 Climate Solutions Americas (CSA)
Q3 2026 Climate Solutions Americas (CSA) ($ Millions) Q3 2026 Q3 2025 Y/Y Highlights Sales $3,354 $2,711 24% • Orders2 up ~60% with Commercial up ~90% Organic sales1 25% • Strong data center orders up ~400% Acq / div, net (1%) • Residential sales up >30% FX 0% • Field inventory ~flat Y/Y, as expecte
Slide 11: Q3 2026 Climate Solutions Europe (CSE)
Q3 2026 Climate Solutions Europe (CSE) ($ Millions) Q3 2026 Q3 2025 Y/Y Highlights Sales $1,335 $1,290 3% • Orders up ~30% Organic sales1 12% • Commercial up ~50% Acq / div, net (7%) • RLC up ~25% FX (2%) • RLC momentum continues with sales up LTs • Heat pump and A/C sales up ~35% Segment operating
Slide 12: Q3 2026 Climate Solutions Asia Pacific Middle East & Africa (CSAME)
Q3 2026 Climate Solutions Asia Pacific Middle East & Africa (CSAME) ($ Millions) Q3 2026 Q3 2025 Y/Y Highlights Sales $848 $833 2% • Orders up ~5% with Commercial up ~10% Organic sales1 3% • Organic sales up 3% Acq / div, net (1%) • Strong growth in Commercial up 10% FX 0% • RLC down mid-single digi
Slide 13: Q3 2026 Climate Solutions Transportation (CST)
Q3 2026 Climate Solutions Transportation (CST) ($ Millions) Q3 2026 Q3 2025 Y/Y Highlights Sales $726 $745 (3%) • Orders up ~5%; NATT up mid-teens Organic sales1 (3%) • Container sales up MSD on +50% prior year Acq / div, net 0% compare FX 0% • Global Truck and Trailer sales down (MSD) Segment opera
Slide 14: Q3 2026 Organic orders up ~35%
Q3 2026 Organic orders1 up ~35% Climate Solutions Americas (CSA) ~60% Climate Solutions Asia Pacific MEA (CSAME) ~5% Residential ~45% China region2 ~5% Light commercial ~15% Balance of segment ~Flat Commercial ~90% Climate Solutions Europe (CSE) ~30% Climate Solutions Transportation (CST) ~5% Reside
Slide 15: Raising FY 2026 Organic sales guidance
Raising FY 2026 Organic sales1 guidance Sales Current guide Prior guide (Oct. 2026) (July 2026) Climate Solutions Americas (CSA) ~M-HT ~MT Residential ~10% HSD Light commercial >10% HSD Commercial2 H-20s M-20s Climate Solutions Europe (CSE) ~L-MSD ~LSD Residential and Light commercial M-HSD LSD Comm
Slide 16: FY 2026 profit guidance
FY 2026 profit guidance Current guide Prior guide Segment Adj. Op. Margin Adj. Op. Margin Adj. Op. Margin Change Y/Y (July 2026) (Oct. 2026) ~19% CS Americas ~(150 bps) ~20.5% ~9% CS Europe ~Flat ~9% >11% CS Asia Pacific Middle East & Africa ~(200 bps) >11% ~15% CS Transportation ~(50 bps) ~15.5% Ca
Slide 17: Key takeaways
Key takeaways A stronger portfolio. Multiple growth engines. Record backlog. 1 Company’s growth profile has structurally improved Commercial HVAC and aftermarket are becoming larger, structurally higher-growth engines 2 Data centers are a major growth platform Orders year to date >$3B, up ~350%; LTA
Slide 18: APPENDIX
APPENDIX 2026 Q3 Earnings | October 29, 2026
Slide 19: FY 2026 Adjusted EPS guidance bridge
FY 2026 Adjusted EPS1 guidance bridge ~$0.15 ~($0.05) ~$0.15 – $0.20 Net Interest ~$2.85 – $2.90 Share repo NCI Volume Tax ~19% $2.59 Divestitures2 Productivity Price Input costs / tariffs3 Investments FY 2025 Operational Tax Rate & Other 2026 Adj. EPS Adj. EPS Shares Outlook 1. See appendix for add
Slide 20: Additional items
Additional items ($ Millions, except D&A) Current outlook Prior outlook (Oct. 2026) (Jul. 2026) Average shares outstanding (diluted) ~830 ~833 Corporate expenses / eliminations and other ~$210 ~$240 Interest expense, net ~$400 ~$400 Adjusted effective tax rate1 ~19% ~19% Non-controlling interest ~$1
Slide 21: Use and definitions of non-GAAP financial measures
Use and definitions of non-GAAP financial measures Carrier reports its financial results in accordance with accounting principles generally accepted in the United States ("GAAP"). We supplement the reporting of our financial information determined under GAAP with certain non-GAAP financial informati
Slide 22: Segment summary
Segment summary (Unaudited) Three Months Ended Nine Months Ended September 30, September 30, (In millions) 2026 2025 2026 2025 Segment net sales Climate Solutions Americas $ 3,354 $ 2,711 $ 9,227 $ 8,535 Climate Solutions Europe 1,335 1,290 3,952 3,712 Climate Solutions Asia Pacific, Middle East & A
Slide 23: Organic sales reconciliation
Organic sales reconciliation 2026 Q3 Earnings | October 29, 2026 23
Slide 24: Earnings before income taxes reconciliation
Earnings before income taxes reconciliation (Unaudited) Three Months Ended Nine Months Ended September 30, September 30, (In millions) 2026 2025 2026 2025 Reconciliation to Earnings before income taxes Segment operating profit $ 1,133 $ 865 $ 2,921 $ 2,999 Corporate and other (42) (42) (141) (162) R
Slide 25: Adjusted operating profit reconciliation
Adjusted operating profit reconciliation (Unaudited) Three Months Ended Nine Months Ended September 30, September 30, (In millions) 2026 2025 2026 2025 Reconciliation of Segment operating profit to Adjusted operating profit Climate Solutions Americas $ 745 $ 533 $ 1,941 $ 1,982 Climate Solutions Eur
Slide 26: Q3 and YTD 2026 EPS reconciliation
Q3 and YTD 2026 EPS reconciliation 2026 Q3 Earnings | October 29, 2026 26
Slide 27: Q3 and YTD 2025 EPS reconciliation
Q3 and YTD 2025 EPS reconciliation (Unaudited) Three Months Ended September 30, 2025 Nine Months Ended September 30, 2025 (In millions, except per share amounts) Reported Adjustments Adjusted Reported Adjustments Adjusted Net sales $ 5,579 $ — $ 5,579 $ 16,910 $ — $ 16,910 Operating profit $ 539 284
Slide 28: Free cash flow reconciliation
Free cash flow reconciliation (Unaudited) Three Months Ended Nine Months Ended September 30, September 30, (In millions) 2026 2025 2026 2025 Net cash flows provided by operating activities $ 813 $ 341 $ 1,819 $ 1,473 Less: Capital expenditures (139) (117) (350) (261) Free cash flow $ 674 $ 224 $ 1,4
Slide 29: Net debt reconciliation
Net debt reconciliation (Unaudited) (In millions) September 30, 2026 December 31, 2025 Long-term debt $ 9,992 $ 11,365 Short-term borrowings and current portion of long-term debt 1,482 468 Less: Cash and cash equivalents 1,354 1,555 Net debt $ 10,120 $ 10,278 2026 Q3 Earnings | October 29, 2026 29
Slide 30: For the World We Share
For the World We Share