SPX Technologies (SPXC) Q4 2025 earnings summary

Executive summary

• Achieved strong Q4 and full-year 2025 results, with adjusted EBITDA and adjusted EPS up 21% year-over-year, driven by robust performance in both segments and successful execution of value creation initiatives.

• Expanded HVAC manufacturing capacity, including a new 459,000 sq ft facility in Madison, Alabama, to support data center and custom air handling solutions.

• Completed strategic acquisitions (Thermolec, Air Enterprises, Rahn Industries) to strengthen HVAC segment, particularly in electric heat and engineered air movement markets.

• Introduced 2026 guidance targeting approximately 20% year-over-year growth in adjusted EBITDA.

• Strong demand, operational execution, and recent acquisitions drove growth.

Financial highlights

• Q4 2025 revenue grew 19.4% year-over-year to $637.3M; full-year revenue up 14.2% to $2,265.1M, driven by acquisitions and organic growth.

• Q4 adjusted EPS was $1.88, up 25% year-over-year; full-year adjusted EPS up 21% to $6.76, near the top of guidance.

• Q4 adjusted EBITDA increased 22.3% year-over-year to $142.0M; full-year adjusted EBITDA reached $507.4M, up 20.5%.

• Consolidated segment income rose 21% to $156 million; segment margin up 30 basis points.

• Adjusted free cash flow for the year was $294.3M, with 90% conversion of adjusted net income.

Outlook and guidance

• 2026 revenue guidance: $2.535–$2.605 billion, up from $2.265 billion in 2025.

• Adjusted EBITDA guidance: $590–$620 million (approx. 20% growth at midpoint); adjusted EPS: $7.60–$8.00 (approx. 15% growth at midpoint).

• Segment income margin expected to improve to 24.6–25.1%.

• HVAC segment 2026 revenue expected at $1.8–$1.84 billion; detection and measurement at $735–$765 million.

• Growth in 2026 impacted by $20 million of projects pulled forward into 2025 from detection and measurement segment.