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Lennox International Inc Reports Q4 2025 Revenue Drop of 11%

Lennox, a leader in energy-efficient climate-control solutions, has reported its financial results for the fourth quarter and full year of 2025, along with guidance for 2026. The company's revenue for the fourth quarter of 2025 was $1.2 billion, down 11% year-over-year, with GAAP operating income of $196 million and GAAP diluted earnings per share of $4.07. For the full year of 2025, revenue was $5.2 billion, down 3% year-over-year, with GAAP operating income of $1 billion and GAAP diluted earnings per share of $22.79.

In the home comfort solutions segment, revenue declined 21% in the fourth quarter, while the building climate solutions segment delivered 8% revenue growth in the same period. For the full year, home comfort solutions segment revenue was down 7%, while the building climate solutions segment saw a 5% increase in revenue.

Looking at profitability, the company's segment profit declined 16% in the fourth quarter, with segment margin down 110 basis points to 17.7%. For the full year, segment profit increased by 2%, with segment margin up 90 basis points to 20.4%.

Adjusted diluted earnings per share decreased by 22% in the fourth quarter to $4.45 and increased by 2% for the full year to $23.16 compared to the prior year.

For the year 2026, Lennox anticipates revenue to increase by approximately 6% to 7%, with growth from completed acquisitions contributing approximately 4%. Adjusted earnings per share is expected to be within the range of $23.50 to $25.00.

As a result of these announcements, the company's shares have moved 0.68% on the market, and are now trading at a price of $525.87. Check out the company's full 8-K submission here.

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