Spx Stock Earnings Reports

SPX Technologies reported a strong start to 2026 with Q1 adjusted EBITDA up 23% and adjusted EPS up 22% to $1.69. Total revenue grew 17.4% year-over-year driven by acquisitions and organic HVAC strength, particularly data center cooling solutions. Management raised full-year adjusted EPS guidance by $0.15 to a midpoint of $7.95 and now expects ~21% adjusted EBITDA growth for 2026 (midpoint). HVAC revenue grew 22% (organic ~9.6%) with backlog up 38% organically to $755M, driven by accelerating data center demand and ongoing capacity expansions (Olathe, Tennessee/TAMCO, Madison). Detection & Measurement revenue grew 8.3% with margins improving (high-margin software and expanded project scope drove margin upside); backlog was $333M. Q1 cash was $158M with $674M total debt and leverage ~0.9x, leaving financial capacity for M&A from a robust pipeline. Near-term headwinds include a modest impact from changes to Section 232 tariffs (company estimates $0.05–$0.10 EPS headwind, mostly in Q2) and start-up costs for capacity ramps (~$8–$9M expected, primarily in H1), but management expects tariffs to be de minimis in H2 and to not affect 2027. Key investor takeaways: strong demand (esp. data centers), margin expansion driven by software mix and operating leverage, disciplined M&A strategy with room to deploy capital, and manageable tariff and start-up cost impacts with plans to offset via pricing and other levers.