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Reportable Business Segments (Tables) | 12 Months Ended
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Dec. 31, 2025
Segment Reporting, Measurement Disclosures [Abstract] |
Net sales, segment profit (loss) by business segment and reconciliation of segment profit (loss) to Income from Continuing Operations before Income Taxes | The following table describes each segment:
Segment |  | Products or Services |  | Markets Served |  | Geographic Areas
Home Comfort Solutions |  | Furnaces, air conditioners, heat pumps, packaged heating and cooling systems, indoor air quality equipment, comfort control products, replacement parts and supplies |  | Residential Replacement; Residential New Construction |  | United States Canada
Building Climate Solutions |  | Unitary heating and air conditioning equipment, applied systems, controls, installation and service of commercial heating and cooling equipment, variable refrigerant flow commercial products, curb, curb adapters, drop box diffusers, HVAC recycling and salvage service, condensing units, unit coolers, fluid coolers, air cooled condensers, air handlers, process chillers, controls, compressorized racks, replacement parts and supplies |  | Light Commercial; Food Preservation; Non-Food Industry |  | United States Canada
Key financial information for each segment is shown below (in millions):
| Home Comfort Solutions |  | Business Climate Solutions |  | Corporate and Other(1) |  | Total
For the Year Ended December 31, 2025 |  |  |  |  |  |  |
Net Sales(2) | $ | 3,343.4 |  |  | $ | 1,851.9 |  |  | $ | — |  |  | $ | 5,195.3 |
Cost of Goods Sold | 2,280.7 |  |  | 1,179.8 |  |  | — |  |  | 3,460.5 |
Selling, general and administrative | 349.6 |  |  | 240.4 |  |  | 91.4 |  |  | 681.4 |
Other (income) expense(4) | (15.4) |  |  | (2.5) |  |  | 13.6 |  |  | (4.3) |
Segment profit (loss)(5) | $ | 728.5 |  |  | $ | 434.2 |  |  | $ | (105.0) |  |  | $ | 1,057.7 |
For the Year Ended December 31, 2024 |  |  |  |  |  |  |
Net Sales(2) | $ | 3,577.1 |  |  | $ | 1,764.2 |  |  | $ | — |  |  | $ | 5,341.3 |
Cost of Goods Sold(3) | 2,425.3 |  |  | 1,137.8 |  |  | 0.7 |  |  | 3,563.8 |
Selling, general and administrative | 393.8 |  |  | 229.9 |  |  | 107.0 |  |  | 730.6 |
Other (income) expense(4) | (2.5) |  |  | (5.2) |  |  | 12.7 |  |  | 5.0 |
Segment profit (loss)(3)(5) | $ | 760.5 |  |  | $ | 401.7 |  |  | $ | (120.3) |  |  | $ | 1,041.9 |
For the Year Ended December 31, 2023 |  |  |  |  |  |  |
Net Sales(2) | $ | 3,222.9 |  |  | $ | 1,511.4 |  |  | $ | 247.6 |  |  | $ | 4,981.9 |
Cost of Goods Sold(3) | 2,275.9 |  |  | 977.9 |  |  | 178.9 |  |  | 3,432.7 |
Selling, general and administrative | 350.2 |  |  | 197.5 |  |  | 157.8 |  |  | 705.5 |
Other (income) expense(4) | (14.8) |  |  | (4.8) |  |  | 4.8 |  |  | (14.8) |
Segment profit (loss)(3)(5) | $ | 611.6 |  |  | $ | 340.8 |  |  | $ | (93.9) |  |  | $ | 858.5 |
(1) The Corporate and Other segment included our European portfolio. In the fourth quarter of 2023, we completed the divestiture of our European operations. (2) On a consolidated basis, no revenue from transactions with a single customer were 10% or greater of our consolidated net sales for any of the periods presented. (3) Amounts are adjusted to reflect the accounting method change from LIFO to FIFO. The adjustments for Home Comfort Solutions were $0.8 million and $1.4 million for the years ended December 31, 2024 and 2023, respectively. The adjustment for Business Climate Solutions was $4.8 million for the year ended December 31, 2024 and a nominal adjustment was made for the year ended December 31, 2023. (4) Other (income) expense is primarily comprised of income from equity method investments and losses and other expenses, net. (5) We define segment profit (loss) as a segment's operating income (loss) included in the accompanying Consolidated Statements of Operations, excluding: •The following items in Losses and other expenses, net: ◦Net change in unrealized losses (gains) on unsettled futures contracts, ◦Environmental liabilities and special litigation charges ◦Other items, net, and ◦Acquisition costs •Restructuring charges; •Impairment on assets held for sale; and •(Gain) loss on sale from previous dispositions.
Net sales and segment profit (loss) with reconciliation of segment profit (loss) | The reconciliations of segment profit to Operating income and Net income before income taxes are presented below (in millions):
| For the Years Ended December 31,
| 2025 |  | 2024 |  | 2023
Total segment profit(1)(2) | $ | 1,057.7 |  |  | $ | 1,041.9 |  |  | $ | 858.5 |
Reconciliation to Operating income: |  |  |  |  |
(Gain) loss on sale from previous dispositions | (0.9) |  |  | 1.5 |  |  | (14.1) |
Impairment of assets held for sale | — |  |  | — |  |  | 63.2 |
Items in Losses and other expenses, net that are excluded from segment profit (loss) (1) | — |  |  | — |  |  | 14.8 |
Restructuring charges | 6.8 |  |  | — |  |  | 3.1 |
Acquisition costs | 10.3 |  |  | — |  |  | — |
Operating income | 1,041.5 |  |  | 1,040.4 |  |  | 791.5 |
Reconciliation to income before income taxes: |  |  |  |  |
Pension settlements | 0.4 |  |  | 0.4 |  |  | 0.8 |
Interest expense, net | 40.9 |  |  | 38.7 |  |  | 51.7 |
Other expense, net | 3.4 |  |  | 1.9 |  |  | 0.1 |
Income before income taxes | $ | 996.8 |  |  | $ | 999.4 |  |  | $ | 738.9 |
(1) We define segment profit (loss) as a segment's operating income (loss) included in the accompanying Consolidated Statements of Operations, excluding: •The following items in Losses and other expenses, net: ◦Net change in unrealized losses (gains) on unsettled futures contracts, ◦Environmental liabilities and special litigation charges, ◦Other items, net, and ◦Acquisition costs •Restructuring charges; •Impairment on assets held for sale; and •(Gain) loss on sale of businesses. (2) The 2024 and 2023 amounts are adjusted to reflect the accounting method change from LIFO to FIFO.
Total assets by business segment | Total assets by segment are shown below (in millions):
| As of December 31,
| 2025 |  | 2024 As Adjusted |  | 2023 As Adjusted
Total Assets: |  |  |  |  |
Home Comfort Solutions | $ | 1,971.0 |  |  | $ | 1,721.4 |  |  | $ | 1,549.3 |
Building Climate Solutions | 1,746.4 |  |  | 1,105.5 |  |  | 1,032.1 |
Corporate and Other | 364.4 |  |  | 793.1 |  |  | 359.6 |
Total assets | $ | 4,081.8 |  |  | $ | 3,620.0 |  |  | $ | 2,941.0 |
Summary of capital expenditures, depreciation and amortization, and income from equity method investments expense by business segment | Total capital expenditures by segment are shown below (in millions):
| For the Years Ended December 31,
| 2025 |  | 2024 |  | 2023
Capital Expenditures: |  |  |  |  |
Home Comfort Solutions | $ | 49.0 |  |  | $ | 78.1 |  |  | $ | 59.1 |
Building Climate Solutions | 37.7 |  |  | 57.8 |  |  | 119.6 |
Corporate and Other | 32.1 |  |  | 27.7 |  |  | 71.5 |
Total capital expenditures | $ | 118.8 |  |  | $ | 163.6 |  |  | $ | 250.2 |
Depreciation and amortization expenses by segment are shown below (in millions):
| For the Years Ended December 31,
| 2025 |  | 2024 |  | 2023
Depreciation and Amortization: |  |  |  |  |
Home Comfort Solutions | $ | 46.9 |  |  | $ | 39.0 |  |  | $ | 35.3 |
Building Climate Solutions | 36.0 |  |  | 25.6 |  |  | 19.4 |
Corporate and Other | 29.6 |  |  | 30.5 |  |  | 31.3 |
Total depreciation and amortization | $ | 112.5 |  |  | $ | 95.1 |  |  | $ | 86.0 |
The income from equity method investments is shown below (in millions):
| For the Years Ended December 31,
| 2025 |  | 2024 |  | 2023
Income from Equity Method Investments: |  |  |  |  |
Home Comfort Solutions | $ | 5.4 |  |  | $ | 4.4 |  |  | $ | 5.5 |
Building Climate Solutions | 0.6 |  |  | 3.5 |  |  | 3.0 |
Total income from equity method investments | $ | 6.0 |  |  | $ | 7.9 |  |  | $ | 8.5 |
Property, plant, and equipment, net for each major geographic area | Property, plant and equipment, net for each major geographic area in which we operate, based on the domicile of our operations, are shown below (in millions):
| As of December 31,
| 2025 |  | 2024 |  | 2023
Property, Plant and Equipment, net: |  |  |  |  |
United States | $ | 607.4 |  |  | $ | 537.3 |  |  | $ | 487.1 |
Mexico | 269.2 |  |  | 254.0 |  |  | 228.7 |
Canada | 4.2 |  |  | 2.9 |  |  | 2.2 |
Other international | 6.4 |  |  | 5.9 |  |  | 2.4 |
Total Property, plant and equipment, net | $ | 887.2 |  |  | $ | 800.1 |  |  | $ | 720.4 |

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