[Q2 2025 Performance Overview](index=1&type=section&id=Ingersoll%20Rand%20Reports%20Second%20Quarter%202025%20Results) Ingersoll Rand achieved record Q2 orders, revenue, and Adjusted EBITDA, despite a net loss due to impairments, driven by strong segment performance and M&A [Financial Highlights](index=1&type=section&id=Second%20Quarter%202025%20Highlights) Ingersoll Rand reported a record second quarter for orders, revenue, and Adjusted EBITDA. Despite a reported net loss of $115 million due to significant non-cash impairments, the company's adjusted net income stood at $325 million. Strong performance and an active M&A pipeline led to raised full-year guidance Q2 2025 Key Financial Metrics (vs. Q2 2024) | Metric | Q2 2025 | Change (YoY) | | :--- | :--- | :--- | | Reported Orders | $1,940 million | +8% | | Reported Revenues | $1,888 million | +5% | | Adjusted EBITDA | $509 million | +3% | | Adjusted EBITDA Margin | 27.0% | -40 bps | | Net Loss Attributable to IR | ($115) million | vs. $185M Income | | Adjusted Net Income | $325 million | -4.7% | | Adjusted EPS | $0.80 | -3.6% | | Free Cash Flow | $210 million | -25.8% | - The company reported a strong quarter with **organic orders growth** and a **robust book-to-bill ratio**, leading to raised guidance for revenue, Adjusted EBITDA, and Adjusted EPS[3](index=3&type=chunk) - The company maintains a **strong liquidity position of $3.9 billion** as of June 30, 2025, comprising **$1.3 billion** in cash and **$2.6 billion** in undrawn credit facilities[5](index=5&type=chunk) [Segment Performance](index=1&type=section&id=Second%20Quarter%202025%20Segment%20Review) The Industrial Technologies and Services (IT&S) segment's revenue growth was driven by acquisitions, which offset an organic decline. Its Adjusted EBITDA margin contracted due to volume declines and acquisition impacts. The Precision and Science Technologies (P&ST) segment saw strong reported revenue growth, also fueled by acquisitions, while organic orders declined due to non-recurring large orders in the prior year Q2 2025 Segment Performance (vs. Q2 2024) | Segment | Reported Orders | Organic Orders | Reported Revenues | Organic Revenues | Segment Adj. EBITDA | Adj. EBITDA Margin | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **IT&S** | $1,561M (+7%) | +1% | $1,492M (+2%) | -4% | $427M (-2%) | 28.6% (-110 bps) | | **P&ST** | $379M (+13%) | -5% | $396M (+17%) | -2% | $117M (+14%) | 29.5% (-80 bps) | - The IT&S segment achieved its **second consecutive quarter** of **organic orders growth** with a **book-to-bill ratio of 1.05x**[6](index=6&type=chunk) - The P&ST segment's organic order decline was primarily due to large, long-cycle orders in Q2 2024 that did not repeat. Excluding these, organic orders grew in the **low-single-digits**[7](index=7&type=chunk) [Financial Position and Capital Allocation](index=2&type=section&id=Financial%20Position%20and%20Capital%20Allocation) The company maintains a strong financial position with robust liquidity, actively allocating capital through M&A and shareholder returns, despite non-cash impairments impacting reported net income [Balance Sheet and Cash Flow](index=2&type=section&id=Balance%20Sheet%20and%20Cash%20Flow) Ingersoll Rand maintains a strong financial position with $3.9 billion in liquidity. While Q2 free cash flow was $210 million, down from $283 million in the prior year, year-to-date free cash flow increased 13%. Net debt to Adjusted EBITDA leverage improved, decreasing by 0.3x year-over-year to 1.7x - The company generated **$210 million** in free cash flow in Q2 2025, compared to $283 million in Q2 2024. However, year-to-date free cash flow is **up 13%** year-over-year[8](index=8&type=chunk) - Net debt to Adjusted EBITDA leverage was **1.7x**, a **decrease of 0.3x** compared to the prior year, indicating an improved leverage position[8](index=8&type=chunk) [Capital Allocation and M&A](index=2&type=section&id=Capital%20Allocation%20and%20M%26A) In Q2 2025, the company deployed $47 million towards M&A and returned approximately $508 million to shareholders, primarily through $500 million in share repurchases. The company also completed the acquisitions of Lead Fluid in China and Termomeccanica Industrial Compressor S.p.A. in Italy - Returned approximately **$508 million** to shareholders in Q2, consisting of **$500 million** in share repurchases and **$8 million** in dividends[8](index=8&type=chunk) - Completed two acquisitions: Lead Fluid, a Chinese manufacturer for life science applications, and TMIC, an Italian provider of solutions for the renewable natural gas industry[11](index=11&type=chunk) [Non-cash Impairments](index=2&type=section&id=Non-cash%20Impairments%20Impacting%20Net%20Income) The reported net loss in Q2 was driven by non-cash impairments that do not affect adjusted earnings. These impairments stemmed from revised forecasts for its minority stake in the High Pressure Solution business, reduced business with a major customer in the ILC Dover Aerospace & Defense unit, and a higher discount rate affecting the goodwill of the ILC Dover Biopharma unit - The majority of the impairment resulted from revised long-term forecasts for the High Pressure Solution business due to lower demand in the upstream oil & gas sector[9](index=9&type=chunk) - Additional impairments were related to a reduction in business with a significant customer in the ILC Dover Aerospace & Defense unit and a reduction in the value of the ILC Dover trade name[9](index=9&type=chunk) - The goodwill for the ILC Dover Biopharma reporting unit was impaired primarily due to an increased discount rate and contraction of peer market multiples, despite a robust long-term forecast[10](index=10&type=chunk) [2025 Full-Year Guidance](index=3&type=section&id=2025%20Guidance) Ingersoll Rand has raised its full-year 2025 guidance, projecting increased total revenue, Adjusted EBITDA, and Adjusted EPS [Updated Outlook](index=3&type=section&id=Updated%20Outlook) Ingersoll Rand has raised its full-year 2025 guidance. The company now expects total revenue growth of 4-6%, Adjusted EBITDA between $2,100M and $2,160M, and Adjusted EPS in the range of $3.34 to $3.46 Revised Full-Year 2025 Guidance | Metric | Revised Guidance | | :--- | :--- | | **Revenue Growth** | | | Total Ingersoll Rand | 4% to 6% | | Organic | (2%) to 0% | | FX Impact | ~1% | | M&A Impact | ~$375M | | **Adjusted EBITDA** | $2,100M - $2,160M (+4% to +7% YoY) | | **Adjusted EPS** | $3.34 - $3.46 (+2% to +5% YoY) | [Financial Statements and Reconciliations](index=6&type=section&id=Financial%20Statements%20and%20Reconciliations) This section provides detailed financial statements, including income, balance sheet, and cash flow, along with non-GAAP reconciliations, highlighting the impact of impairments on reported net loss [Condensed Consolidated Statements of Operations](index=6&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) For Q2 2025, revenues increased 5% year-over-year to $1.89 billion. However, significant goodwill and intangible asset impairment charges totaling $265.8 million resulted in an operating income of $76.4 million and a net loss attributable to Ingersoll Rand of $115.3 million, compared to a net income of $185.0 million in the prior-year period Q2 Income Statement Highlights (in millions) | Account | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Revenues | $1,887.9 | $1,805.3 | | Gross Profit | $824.9 | $793.3 | | Impairment of goodwill & intangibles | $265.8 | $0.0 | | Operating Income | $76.4 | $271.8 | | Net Loss Attributable to IR | $(115.3) | $185.0 | | Diluted EPS | $(0.29) | $0.45 | [Condensed Consolidated Balance Sheets](index=7&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) As of June 30, 2025, the company's balance sheet showed total assets of $18.06 billion, relatively flat from year-end 2024. Cash and cash equivalents stood at $1.31 billion, down from $1.54 billion at the end of 2024, while total liabilities were $7.90 billion Balance Sheet Summary (in millions) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $1,310.6 | $1,541.2 | | Total current assets | $4,188.4 | $4,163.5 | | Goodwill | $8,276.6 | $8,148.1 | | Total assets | $18,059.1 | $18,009.8 | | Total current liabilities | $1,832.4 | $1,818.9 | | Total liabilities | $7,901.7 | $7,764.5 | | Total stockholders' equity | $10,157.4 | $10,245.3 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) For the six months ended June 30, 2025, net cash provided by operating activities increased to $502.1 million from $466.5 million in the prior year. Investing activities used $279.4 million, primarily for acquisitions. Financing activities used $523.1 million, driven by $510.2 million in treasury stock purchases Six-Month Cash Flow Summary (in millions) | Account | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $502.1 | $466.5 | | Net cash used in investing activities | $(279.4) | $(2,834.1) | | Net cash provided by (used in) financing activities | $(523.1) | $1,862.0 | | Net decrease in cash | $(230.6) | $(533.0) | [Non-GAAP Reconciliations](index=9&type=section&id=Non-GAAP%20Reconciliations) This section reconciles GAAP results to non-GAAP metrics. For Q2 2025, the company's Net Loss of $113.8 million was adjusted to an Adjusted Net Income of $325.2 million after excluding items like impairments, amortization, and restructuring costs. Total revenue growth of 4.6% was composed of a 3.4% organic decline, a 1.5% positive FX impact, and a 6.5% contribution from acquisitions Q2 2025 Reconciliation of Net Loss to Adjusted EBITDA (in millions) | Item | Amount | | :--- | :--- | | **Net Loss** | **$(113.8)** | | Plus: Interest expense | $62.7 | | Plus: Provision for income taxes | $21.0 | | Plus: Depreciation & Amortization | $119.2 | | Plus: Impairment of goodwill & intangibles | $265.8 | | Plus: Other adjustments | $44.5 | | **Adjusted EBITDA** | **$509.4** | Q2 2025 Revenue Growth Breakdown | Component | Ingersoll Rand Total | | :--- | :--- | | Organic decline | (3.4%) | | Impact of foreign currency | 1.5% | | Impact of acquisitions | 6.5% | | **Total revenue growth** | **4.6%** |

Core Insights - Ingersoll Rand Inc. (IR) is set to release its second-quarter 2025 results on July 31, with a consensus estimate for revenues at $1.84 billion, reflecting a 2.1% year-over-year growth, while adjusted earnings are expected to decline by 3.6% to 80 cents per share [1][2][11] Group 1: Performance Expectations - The Industrial Technologies & Services (IT&S) segment is projected to see a revenue increase of 0.3% year-over-year to $1.47 billion, driven by higher orders for industrial vacuums, blowers, compressors, and power tools [3] - The Precision and Science Technologies segment is expected to experience a significant revenue growth of 12.4% year-over-year to $380.9 million, supported by strong momentum in the life sciences business and multi-year contracts for legacy space suits [4] Group 2: Strategic Developments - Ingersoll Rand has made strategic investments to enhance demand generation and the Industrial Internet of Things, which are anticipated to positively impact performance [5] - Recent acquisitions, including SSI Aeration, ILC Dover, Air Power Systems, Blutek, and UT Pumps, are expected to contribute to revenue growth and strengthen the company's market position and technology portfolio [6][7] Group 3: Cost and Margin Challenges - Rising costs of sales and increasing selling and administrative expenses are likely to negatively affect margins, with an anticipated adjusted EBITDA margin of 26.6%, down 80 basis points year-over-year [8] - The company's significant exposure to international markets may lead to foreign currency headwinds impacting profitability [9]

Core Insights - C3.ai is experiencing significant growth as it diversifies beyond its traditional oil and gas sector, with Q4 fiscal 2025 revenues reaching $108.7 million, a 26% increase year over year, marking three consecutive years of accelerating growth [1][9] - Non-oil and gas revenue surged by 48% year over year, with C3.ai now serving 19 industries, including manufacturing and healthcare, and public sector sales more than doubled in fiscal 2025 [2][4] - The company's strategy focuses on scaling through partnerships with major cloud providers, with 73% of deals in Q4 being partner-driven, indicating the importance of indirect sales channels [3][9] Financial Performance - Despite a net loss of 16 cents per share, C3.ai maintains a strong cash balance of approximately $750 million and generated positive free cash flow in the quarter [4] - The company projects continued revenue growth into fiscal 2026, with guidance between $447.5 million and $484.5 million [4] Competitive Landscape - C3.ai faces competition from Palantir Technologies and Veritone, both of which are also expanding into enterprise AI markets [5][6] - Palantir reported a 27% year-over-year increase in commercial revenue, while Veritone is focusing on AI solutions for media and law enforcement, overlapping with C3.ai's offerings [5][6] Stock Performance and Valuation - C3.ai's stock has increased by 29.1% over the past three months, outperforming its industry and the S&P 500 index [7] - The stock is currently trading at a forward 12-month price-to-sales (P/S) ratio of 7.98, which is lower than Palantir's 80.41 and Veritone's 1.1 [11] Earnings Estimates - The Zacks Consensus Estimate for fiscal 2026 and 2027 loss per share has improved to 37 cents and 16 cents, respectively, from previous estimates [13] - Sales growth estimates for fiscal 2026 and 2027 are projected at 20.1% and 21.8%, respectively [13]

Company Overview - Ingersoll Rand (IR) is expected to report a year-over-year decline in earnings, with a projected earnings per share (EPS) of $0.80, reflecting a decrease of 3.6% compared to the previous year [3] - Revenue for the quarter is anticipated to be $1.84 billion, which represents a 2.1% increase from the same quarter last year [3] Earnings Expectations - The earnings report is scheduled for July 31, and the stock price may increase if the actual results exceed expectations, while a miss could lead to a decline [2] - The consensus EPS estimate has been revised 0.6% higher in the last 30 days, indicating a slight positive sentiment among analysts [4] Earnings Surprise Prediction - The Most Accurate Estimate for Ingersoll is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -0.75%, suggesting a bearish outlook from analysts [12] - The company currently holds a Zacks Rank of 3 (Hold), complicating predictions of an earnings beat [12] Historical Performance - Ingersoll has beaten consensus EPS estimates in two out of the last four quarters, with a recent surprise of -1.37% when it reported earnings of $0.72 against an expectation of $0.73 [13][14] Industry Comparison - Illinois Tool Works (ITW), a peer in the Zacks Manufacturing - General Industrial industry, is expected to report an EPS of $2.56, indicating a year-over-year increase of 0.8% [18] - ITW's revenue is projected to be $4.01 billion, down 0.4% from the previous year, but it has a positive Earnings ESP of +1.19%, suggesting a higher likelihood of beating consensus estimates [19][20]

Group 1 - Ingersoll Rand (NYSE: IR) is an industrial products company that specializes in the production and sale of compressors, pumps, vacuums, and blowers [1] - Crude Value Insights provides an investment service focused on oil and natural gas, emphasizing cash flow and companies with growth potential [1] Group 2 - Subscribers to Crude Value Insights gain access to a stock model account with over 50 stocks, detailed cash flow analyses of exploration and production firms, and live chat discussions about the sector [2] - A two-week free trial is available for new subscribers to explore the oil and gas investment opportunities [3]

Forward-Looking Statements DAVIDSON, N.C., July 15, 2025 (GLOBE NEWSWIRE) -- Ingersoll Rand Inc. (NYSE: IR), a global provider of mission-critical flow creation and life sciences and industrial solutions, today announced the appointment of Aurobind Satpathy to its Board of Directors, effective immediately. Satpathy currently serves as a senior partner at McKinsey & Company, a global management consulting firm. During his nearly 30-year career with McKinsey & Company, Satpathy led multi-billion-dollar merger ...

Core Viewpoint - Ingersoll Rand Inc. is set to release its second quarter 2025 earnings on July 31, 2025, after market close, followed by a conference call on August 1, 2025, to discuss the results [1][2]. Company Information - Ingersoll Rand Inc. is a global provider specializing in mission-critical flow creation and life science and industrial solutions, emphasizing exceptional performance and durability [4]. - The company operates under an entrepreneurial spirit and ownership mindset, aiming to enhance the lives of employees, customers, shareholders, and the planet [4]. - Ingersoll Rand supports its offerings with over 80 respected brands, excelling in complex and harsh conditions [4].

Core Insights - Ingersoll Rand Inc. has achieved significant milestones in sustainability, innovation, and operational excellence in 2024, as highlighted in its sustainability report titled "Enabling Growth: Leading Sustainably with Purpose" [1][3] Sustainability Leadership - The company has been recognized globally for its sustainability efforts, ranking in the top 1% of the industry in the 2024 S&P Global Corporate Sustainability Assessment for the third consecutive year [7] - Ingersoll Rand was named to the "A List" by CDP for environmental stewardship and supplier engagement leadership for the second consecutive year [7] Environmental Impact and Operational Excellence - The company has made 61% progress towards its Science Based Targets initiative (SBTi) validated Scope 1 and 2 greenhouse gas emissions reduction goal of 42% [7] - Ingersoll Rand surpassed its water reduction goal with a 38% absolute reduction, exceeding the target of -17% [7] - The company achieved 74% progress toward its zero waste to landfill goal, aiming for more than 50% of sites to achieve this status [7] - A total recordable incident rate (TRIR) of 0.54 was achieved, which is 72% better than the industry average [7] People-First Culture and Safety Excellence - Approximately 3,900 employees were granted equity through the Ownership Works program, with over 25,000 employees receiving equity grants since May 2017 [7] - The employee engagement index score was maintained at 81, placing Ingersoll Rand in the top 10% of manufacturing companies [7]

Core Insights - Ingersoll Rand Inc. has completed the acquisition of Termomeccanica Industrial Compressors S.p.A. and its subsidiary Adicomp for approximately €160 million, enhancing its air and gas compressor portfolio [1][9]. Group 1: Acquisition Details - TMIC specializes in designing and manufacturing air and gas compressors, while Adicomp provides engineered-to-order solutions in the renewable natural gas sector [2]. - The acquisition aligns with Ingersoll Rand's strategy to expand its market share and customer base, particularly in the packaging and renewable natural gas industries [3]. Group 2: Integration and Impact - TMIC/Adicomp will be integrated into Ingersoll Rand's Industrial Technologies and Services segment, which includes various products such as air compressors and power tools [4]. - The acquisition is part of a broader growth strategy that includes previous acquisitions, such as Lead Fluid, Air Power Systems, Blutek, and UT Pumps, which have collectively contributed to revenue growth [5][6][7]. Group 3: Financial Performance - Ingersoll Rand has a market capitalization of approximately $34.4 billion and is currently ranked 3 (Hold) by Zacks, with expectations of revenue growth driven by higher orders in industrial vacuums and blowers [8]. - The company's shares have increased by 16% over the past three months, outperforming the industry growth of 15.3% [10].

Core Viewpoint - Ingersoll Rand Inc. has acquired Termomeccanica Industrial Compressors S.p.A. and its subsidiary Adicomp S.p.A. for approximately €160 million, enhancing its capabilities in the air and gas compressor market and renewable natural gas industry [1][2][3] Company Overview - Ingersoll Rand Inc. is a global provider of mission-critical flow creation and life science and industrial solutions, supported by over 80 respected brands [4] - The company aims to deliver exceptional performance and durability in complex conditions, focusing on customer commitment and efficiency [4] Acquisition Details - TMIC is a leader in air and gas compressor design and production, with over 100 years of experience, while Adicomp specializes in engineered-to-order solutions in the renewable natural gas sector [2] - The acquisition will enhance Ingersoll Rand's presence in North America and expand its reach into Brazil and India [2] - The businesses will be integrated into the Industrial Technologies and Services segment of Ingersoll Rand [2] Strategic Implications - The acquisition strengthens Ingersoll Rand's core capabilities and broadens its service offerings, aligning with its long-term growth strategy [3] - The purchase was made at an attractive low-double-digit multiple, with expected post-synergy multiples in the mid- to high single digits [7]