nVent Electric (NVT) Goldman Sachs Industrials and Materials Conference summary

Innovation and differentiation in liquid cooling

• Data solutions now represent the largest portion of infrastructure sales, expected to exceed $575 million this year, with liquid cooling as a key growth driver.

• Differentiation comes from deep application expertise, a broad product offering, and strong collaboration with chip manufacturers and ODMs.

• Significant investment in global supply chain resiliency and capacity, quadrupling capability over the past two years.

• Focus on design architecture and integrated cooling solutions for resiliency and optimization.

Market trends, competition, and growth outlook

• Liquid cooling currently represents about 5% of data center cooling but is expected to surpass 20% within five years.

• Demand in the market is outpacing supply, with the company well-positioned due to its expertise and installed base.

• Infrastructure is projected to remain the fastest-growing vertical, with data solutions maintaining a 20% CAGR over the past five years.

• Positive order trends in Q3 and expectations for more positive industrial and commercial/residential segments in 2025.

Supply chain, tariffs, and operational strategy

• Ongoing focus on supply chain scalability to meet rapid demand growth.

• Scenario planning and in-region, for-region supply chain strategies mitigate tariff risks.

• Tariff impacts are managed through supply chain efforts and pricing strategies.