Whirlpool (WHR) Q4 2025 earnings summary

Executive summary

• 2025 was a challenging year with $300 million in tariffs, a 30-year low in U.S. home sales, and macro volatility, but results were largely in line with the prior year due to cost actions and record new product launches, supporting share gains.

• Leadership changes and experienced executives were brought in to drive growth and operational excellence.

• Substantial cost takeout initiatives delivered approximately $200 million in savings, partially offsetting tariff costs.

• The India share sale reduced the majority stake to about 40%, with proceeds used to pay down debt.

• Confidence in 2026 is underpinned by product momentum, reduced promotional intensity, and continued cost initiatives.

Financial highlights

• FY 2025 net sales were $15.5B, down 6.5% year-over-year; organic net sales nearly flat at -0.3%.

• Ongoing EBIT margin for 2025 was 4.7%, with ongoing EPS at $6.23.

• Free cash flow for 2025 was $78 million, impacted by tariffs and higher inventory.

• $200 million in cost reductions were achieved.

• Approximately $300 million was returned to shareholders via dividends.

Outlook and guidance

• 2026 net sales expected at $15.3–$15.6B, with ~5% growth vs. 2025 like-for-like sales.

• Ongoing EBIT margin guidance for 2026 is 5.5%-5.8%, with 80-110 basis points of expansion.

• Free cash flow is projected at $400–$500 million, or about 3% of net sales.

• Full-year ongoing EPS is expected to be around $7, with a 25% adjusted effective tax rate.

• No discretionary demand upside is factored into guidance, but potential exists if housing recovers faster.