Why Johnson Controls Stock Raced Nearly 9% Higher Today

Core Insights - Johnson Controls exceeded analyst projections for both revenue and adjusted earnings per share in its fiscal fourth quarter of 2024, leading to a significant stock price increase of nearly 9% [2][3] Financial Performance - The company reported a 7% year-over-year increase in sales, reaching $7.4 billion, while non-GAAP net income rose by 19% to $858 million, or $1.28 per share [3] - The consensus estimates were slightly lower, with revenue expected to be just over $7.3 billion and adjusted earnings per share at $1.24 [3] Strategic Outlook - CEO George Oliver indicated that Johnson Controls is entering fiscal 2025 with strong momentum, citing record backlog levels and a focus on expanding as a leading pure-play building solutions provider [4] - Management expects mid-single-digit percentage organic sales growth for the first quarter of fiscal 2025, with adjusted earnings per share projected between $0.57 and $0.60 [5] Long-term Growth Potential - For the full fiscal year 2025, the company anticipates similar organic sales growth and adjusted earnings per share in the range of $3.40 to $3.50 [6] - Johnson Controls is positioned as a key player in the growing data center market, which requires reliable HVAC solutions [6]