Allegion PLC ( (ALLE) ) has released its Q1 earnings. Here is a breakdown of the information Allegion PLC presented to its investors.
Allegion PLC is a global leader in security products and solutions, offering a comprehensive portfolio of hardware, software, and electronic solutions for residential and commercial markets. The company has reported a strong start to 2025, with significant growth in earnings per share and revenues. Allegion’s net earnings per share increased by 21.3% to $1.71, while adjusted EPS rose by 20% to $1.86. Revenues grew by 5.4% to $941.9 million, driven by strong performance in the Americas segment, particularly in the non-residential business.
The company’s operating margin improved to 20.9%, with an adjusted operating margin of 22.7%, reflecting favorable volume leverage and strategic acquisitions. Allegion’s Americas segment saw a revenue increase of 6.8%, supported by price realization and volume growth, while the International segment experienced a slight decline in revenues. The company also highlighted its strong cash generation and strategic acquisitions of Next Door Company and Lemaar, which are expected to bolster its market position.
Allegion’s financial health remains robust, with an increase in available cash flow to $83.4 million and a strong cash position of $494.5 million. The company repurchased shares worth approximately $40 million and paid dividends of $44 million in the first quarter. Looking ahead, Allegion maintains its full-year outlook for 2025, anticipating revenue growth between 1% and 3% on a reported basis, and 1.5% to 3.5% organically.
In conclusion, Allegion’s management remains optimistic about the company’s future, focusing on strategic growth initiatives and capital deployment to create long-term value for shareholders. The company’s strong start to the year and strategic acquisitions position it well for continued success in the dynamic security solutions market.