In the Q3 2025 earnings call, Vertiv reported strong financial results, with organic sales growth of 28% and adjusted operating profit up 43% year over year. The company’s backlog reached $9.5 billion, up 30% year over year, providing visibility into 2026. Adjusted free cash flow was $462 million, up 38% year over year, with strong operating performance and net leverage at 0.5x. Full-year guidance was raised for adjusted EPS, net sales, adjusted operating profit, and adjusted free cash flow.

Management highlighted a book-to-bill ratio of 1.4x, indicating strong demand momentum, and a trailing twelve-month organic orders growth of 21%. Regional segment commentary showed margin expansion in the Americas, while EMEA margins lagged due to lower sales and increased fixed costs. Restructuring charges of $30 million were incurred in EMEA, with expected annualized benefits of $20 million beginning in 2026. Q4 2025 guidance includes adjusted diluted EPS of $1.26, net sales of $2.85 billion, and adjusted operating profit of $639 million.

Vertiv’s service business was highlighted as recurring and accretive to margin, with service engineer headcount increasing to approximately 4,400 to 4,500. The company emphasized ongoing investments in prefabricated solutions and system integration to maintain technology leadership. Long-term incremental margins targeted at 30-35%, with 2025 margins impacted by tariff headwinds but expected to improve in 2026. The company’s leadership transition was announced, with Chief Financial Officer David J. Fallon retiring and Craig Chamberlain assuming the CFO post.

Read more at Nasdaq: Vertiv Q3 2025 Earnings Call Transcript