CORK, Ireland, 4 August 2022: Johnson Controls International (JCI) reported fiscal third quarter 2022 GAAP earnings per share (“EPS”) from continuing operations, including special items, of USD 0.55. Making the announcement through a Press release, the company said excluding special items, adjusted EPS from continuing operations was USD 0.85, up three per cent versus the prior year period.

According to JCI, sales of USD 6.6 billion increased four per cent, compared to the prior year on an as-reported basis and grew eight per cent organically. GAAP net income from continuing operations was USD 379 million, the company said. Adjusted net income from continuing operations of USD 594 million was flat versus the prior year. Earnings before interest and taxes (“EBIT”) was USD 553 million and EBIT margin was 8.4%. Adjusted EBIT was USD 809 million and adjusted EBIT margin was 12.2%, down 120 basis points versus the prior year, the company added.

“During the fiscal third quarter, we continued to execute on our transformative strategy, delivering record order velocity and sequential margin improvement,” George Oliver, Chairman and Chief Executive Officer, JCI , said. “Further, robust demand has persisted, as our customers look to us for healthy, smart, and sustainable building solutions. Our teams remained resilient, as they diligently advanced our supply chain management efforts to mitigate disruptions.

“We are accelerating our digital transformation efforts and have made great progress in positioning the company to capitalize on key growth vectors across sustainable buildings and services led by connectivity with OpenBlue. We are confident that our innovative solutions will support long-term profitable growth and value-creation for our customers and shareholders for years to come.”

Olivier Leonetti, Chief Financial Officer, JCI, said: “We had another strong quarter in both order growth and revenue, despite a tough prior year compare. We continue to make progress with our cost saving initiatives and investments in key technologies that support our growth both organically and inorganically. The combination of our quarterly performance and business outlook puts us in a great position to deliver our full-year targets and carry the momentum into 2023.”

According to JCI, cash provided by operating activities from continuing operations during the quarter was USD 487 million, and capital expenditures were USD 170 million, resulting in a free cash flow from continuing operations of USD 317 million. The company said it repurchased 6.9 million shares for approximately USD 400 million during the quarter. Year to date through June, the company said it repurchased 21.4 million shares for approximately USD 1.4 billion.

The company said it recorded pre-tax mark-to-market losses of USD 126 million, related primarily to the remeasurement of the company’s pension and post-retirement plan assets and restricted asbestos investments. The company also said it recorded pre-tax restructuring and impairment costs of USD 121 million, including the impairment of assets associated with a business classified as held-for-sale in the quarter.