nVent Electric (NVT) Investor Day 2026 summary

Strategic transformation and growth drivers

• Portfolio transformed to focus on high-growth infrastructure, especially data centers and power utilities, now nearly 50% of revenue, up from just over 10% at spin, with divestiture of Thermal Management completed in 2025.

• Exposure to infrastructure vertical increased fivefold since 2018, now representing 45% of sales, with significant expansion in data centers and power utilities.

• Total addressable market expanded from $60B to $130B, driven by macro trends such as AI infrastructure, electrification, industrialization, and sustainability.

• Growth strategies include innovation, new product development, global expansion, targeted acquisitions, and digital transformation.

• Sustainability goals set for 2030 include 50% reduction in Scope 1 and 2 GHG emissions and top-quartile employee engagement.

Innovation, technology, and operational excellence

• New Product Vitality reached 27%, exceeding the 25% target, with a goal of 30% and three points of annual sales growth from new products.

• Over 80% of new product revenue comes from infrastructure, with a 50% reduction in new product introduction cycle time since 2018.

• Six core technology platforms enable modular, scalable solutions, with rapid prototyping and digital twin modeling reducing cycle times.

• Liquid cooling platform offers industry-leading performance, reliability, and scalability, with >2GW deployed and 40% greater energy efficiency than air cooling.

• Digital and AI initiatives streamline business processes, improve customer care, and optimize pricing, supporting scalable growth and rapid acquisition integration.

Financial performance and guidance

• Sales reached $3.9B in 2025, with a 19% CAGR since 2022 and adjusted operating margin of 20.2%.

• Adjusted EPS grew at a 27% CAGR (2022–2025), and free cash flow conversion exceeded 99% over the last two years.

• Updated midterm/2028 targets: 10–13% organic sales growth, >3 points annual M&A/inorganic contribution, ~22% adjusted operating margin, 17–20% adjusted EPS growth, and ~95% free cash flow conversion.

• ROIC reached 13% in 2025, expected to exceed 15% by 2028, with disciplined capital allocation prioritizing growth and M&A.

• $5.3B deployed since 2023 for growth, acquisitions, and shareholder returns, with net debt/EBITDA at 1.6x.