Pentair (PNRN) Q3 2026 Earnings Report
MX:PNRN Q3 2026 EPS Results
- Actual EPS
- MXN 22.02
- Consensus EPS
- MXN 20.04
- Beat/Miss
- Beat by +MXN 1.98
- One Year Ago EPS
- MXN 23.14
MX:PNRN Q3 2026 Revenue Results
- Actual Revenue
- MXN 18.22B
- Expected Revenue
- MXN 17.99B
- Beat/Miss
- Beat by +MXN 236.81M
- YoY Revenue Growth
- -4.46%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/27/2026
- Time
- Before Open
- Conference Call
- Tuesday, October 27, 2026
Pentair's next earnings date is estimated for February 2, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
The call was broadly positive. Pentair exceeded third-quarter adjusted EPS guidance, generated strong free cash flow, delivered sales and margin growth in Flow and Water Solutions, completed the pool channel destock, reaffirmed full-year EPS guidance, and added a fast-growing Taco platform. These positives were partly offset by continued Pool revenue and income declines, delayed food and beverage spending, residential housing headwinds, nonrecurring tariff refunds, and higher leverage following the acquisition.
Pentair reaffirmed full-year 2026 adjusted EPS of approximately $4.70, with total sales down approximately 3%, Flow sales up approximately mid single digits, Water Solutions sales up approximately high single digits including the impact of TACO, with core sales approximately flat, pool sales down approximately 18% to 19%, adjusted operating income down approximately 6%, and productivity of approximately $55 million net of volume deleverage and pool growth investments; it does not expect further tariff refunds in the fourth quarter after receiving $43 million year to date. Fourth-quarter sales are expected to be up approximately 7% to 9% inclusive of TACO, core sales down 2% to 3%, Flow sales up approximately low single digits, Water Solutions sales up approximately 40% with core growth of low single digits, pool sales down approximately 12% to 15%, adjusted operating income up approximately 1%, and adjusted EPS of $1.15. TACO’s estimated 2026 sales are approximately $560 million, representing growth of roughly 23%, while 2027 sales are expected to be greater than $620 million or growth of more than 10%, with EBITDA approximately $90 million in 2026 and greater than $105 million in 2027, representing mid teens growth; the acquisition is expected to be accretive to adjusted EPS in 2027. Pool 2026 sell through is estimated at $1.45 billion, up 2% to 3%, while next year sell through is expected to remain about flat at about $1.45 billion, with approximately $180 million of year over year sales growth or about 14% and approximately 30% return on sales for full year 2027; Pentair expects to delever over the next 24 months back into its more normal range of 1.5 to 2x.
- Q3 Earnings Beat GuidanceThird-quarter sales were $976 million, adjusted operating income was $242 million, adjusted operating margin was 24.8%, and adjusted EPS was $1.18, above the guidance range of approximately $1.05 to $1.08.
- Strong Free Cash Flow GenerationPentair generated $153 million of free cash flow in the third quarter and $620 million through the first nine months of 2026.
- Flow Segment Growth and Margin ExpansionFlow sales increased 4% year over year to $262 million. Segment income grew 15%, and return on sales increased 250 basis points to 26%, driven by productivity performance and the Hydra-Stop acquisition. The remainder of the portfolio delivered double-digit sales growth.
- Water Solutions PerformanceWater Solutions sales increased 1% to $422 million, with commercial sales up 4% offsetting an anticipated reduction in residential sales. Segment income grew 16% to $121 million, and return on sales increased 370 basis points to 29%, driven by disciplined pricing and productivity.
- Pool Channel Destock CompletedPentair completed the previously communicated pool channel inventory reduction. Management said approximately $280 million of destock occurred across the second and third quarters, positioning the pool business on a healthier foundation entering 2027.
- Pool Sell-Through ImprovedPool sell-through was in the mid-single digits during the third quarter. Full-year 2026 pool sell-through is estimated at $1.45 billion, up 2% to 3% versus 2025, and management said the decline in reported pool sales was primarily due to the channel inventory reset rather than a corresponding decline in sell-through.
- Pool 2027 Growth FrameworkManagement expects 2027 pool sell-through to remain approximately flat at about $1.45 billion despite continued soft market conditions, with more modest price increases offsetting those conditions. With channel inventory expected to remain steady, this would imply approximately $180 million of year-over-year sales growth, or about 14% versus the forecasted 2026 sales number, while maintaining approximately 30% return on sales.
- Pool Growth Strategy and InvestmentsPentair is executing a four-pillar pool strategy focused on outselling, out-supporting, delivering quality, and product excellence. The company added inside-sales resources, began building a regional structure, increased customer-support capacity, invested in quality and testing, and is continuing to invest in innovation, marketing, dealer relationships, and product development.
- Taco Acquisition CompletedPentair completed the acquisition of Taco Group Holdings on October 1, 2026. Taco is described as a high-growth platform that expands Pentair's presence in commercial infrastructure and multifamily residential markets and adds capabilities in water circulation and hydronic flow control.
- Taco Growth OutlookTaco's estimated 2026 sales are approximately $560 million, representing roughly 23% growth from 2025. For 2027, Pentair expects Taco sales of greater than $620 million, or growth of more than 10%, and EBITDA greater than $105 million versus approximately $90 million in 2026, representing mid-teens growth.
- Taco Strategic OpportunitiesManagement cited Taco's exposure to HVAC, data centers, schools, hospitals, universities, commercial buildings, specification-driven aftermarket revenue, and complementary channels as opportunities for continued growth, recurring revenue, and cross-selling. Pentair expects the acquisition to be accretive to adjusted EPS in 2027.
- Productivity and Price Offset InflationIn the third quarter, price offset inflation and productivity savings were $15 million. For the full year, Pentair expects price to offset inflation and productivity of approximately $55 million, net of volume deleverage and pool growth investments.
- Balance Sheet and Dividend MilestonesPentair's net debt-to-leverage ratio was 1.4x at the end of the third quarter. The company increased its dividend by 8%, achieved its 50th consecutive year of dividend increases, and maintained its dividend aristocrat status.
- Full-Year Guidance ReaffirmedPentair reaffirmed the midpoint of its full-year adjusted EPS guidance at approximately $4.70. Full-year Flow sales are expected to increase approximately mid-single digits, Water Solutions sales approximately high-single digits including Taco, and total sales are expected to decrease approximately 3%.
- 2027 Commercial and Infrastructure MomentumManagement reported continued commercial water growth at mid-single-digit rates, infrastructure and municipal wins, and a growing backlog heading into 2027. The company also cited continued order rates in its sustainable process solutions business.
- Capital Allocation FlexibilityPentair said it intends to prioritize deleveraging after the Taco acquisition while supporting the dividend and investing in key growth initiatives. Management also said it expects to continue opportunistic share repurchases and retain the flexibility to invest organically and pursue value-accretive acquisitions.
MX:PNRN Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 02, 2027 | 2026 (Q4) | 21.59- | 22.02 | ― | ― |
| Oct 27, 2026 | 2026 (Q3) | 20.0422.02 | 23.14 | -4.84% (-1.12) | |
| Jul 28, 2026 | 2026 (Q2) | 20.9821.28 | 25.94 | -17.99% (-4.67) | |
| Apr 28, 2026 | 2026 (Q1) | 21.9322.77 | 20.72 | 9.91% (+2.05) | |
| Feb 03, 2026 | 2025 (Q4) | 21.6122.02 | 20.16 | 9.26% (+1.87) | |
| Oct 21, 2025 | 2025 (Q3) | 22.0423.14 | 20.34 | 13.76% (+2.80) | |
| Jul 22, 2025 | 2025 (Q2) | 25.1025.94 | 22.77 | 13.93% (+3.17) | |
| Apr 22, 2025 | 2025 (Q1) | 18.8720.72 | 17.54 | 18.09% (+3.17) | |
| Feb 04, 2025 | 2024 (Q4) | 19.0420.16 | 16.24 | 24.14% (+3.92) | |
| Oct 22, 2024 | 2024 (Q3) | 20.0120.34 | 17.54 | 15.96% (+2.80) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
