Pentair plc has reported strong third-quarter 2025 results, with sales reaching $1,022 million, marking a 3 percent increase compared to the same period last year. The company's operating income was $232 million with a return on sales (ROS) of 22.7 percent, showing a substantial increase of 460 basis points from the prior year period. On an adjusted basis, ROS expanded by 160 basis points to 25.7 percent.
GAAP EPS surged by 33 percent to $1.12, while adjusted EPS rose by 14 percent to $1.24. Net cash provided by operating activities from continuing operations was $196 million for the quarter, compared to $249 million in the third quarter of 2024. Free cash flow provided by continuing operations for the quarter was $179 million, down from $234 million in the same period last year.
The company also repurchased $50 million of ordinary shares in Q3 and $175 million year-to-date. Moreover, it updated its full-year 2025 GAAP EPS guidance to approximately $3.98 to $4.03, up 6 percent to 8 percent versus the prior year, and increased EPS guidance on an adjusted basis to approximately $4.85 to $4.90, up 12 percent to 13 percent versus the prior year.
Pentair acquired Hydra-Stop on September 17th for approximately $292 million with an expected tax benefit of approximately $50 million. The company's outlook for 2025 shows estimated adjusted EPS range of $4.85 to $4.90, up 12 percent to 13 percent versus the prior year. It also introduced estimated fourth-quarter 2025 GAAP EPS from continuing operations guidance of approximately $1.03 to $1.08, up approximately 4 percent to 9 percent compared to the prior year period, and an adjusted EPS of approximately $1.11 to $1.16, up approximately 3 percent to 7 percent compared to the prior year period.
Pentair's president and CEO, John L. Stauch, expressed satisfaction with the strong third-quarter results, attributing it to sales growth and double-digit earnings growth that exceeded expectations. He emphasized the company's solid execution across its move, improve, and enjoy water portfolio, and its continued focus on driving profitability long-term.
In terms of segment performance, flow sales were up 6 percent, water solutions sales were down 6 percent, and pool sales were up 7 percent compared to the same period last year. These figures exclude currency translation, acquisitions, and divestitures. Pentair's reportable segment income and ROS across its three segments also showed notable changes compared to the prior year period.
Today the company's shares have moved 0.47% to a price of $109.30. For the full picture, make sure to review PENTAIR's 8-K report.