Allegion Public (ALLE) Earnings Date & Reports

Allegion delivered net revenues of $1,033.6 million for the quarter ended March 31, 2026, a 9.7% increase on a reported basis from $942.5 million in Q1 2025. Organic growth was 2.6%, bolstered by price realization that offset volume declines, with additional contributions from 4.8% acquisitions/divestitures and 2.3% favorable foreign currency. Revenue topped consensus estimates near $1.03 billion.

GAAP net earnings totaled $138.1 million, or $1.59 per diluted share, down from $148.3 million or $1.71 per share last year. Adjusted EPS was $1.80, versus $1.86 in the prior period, falling short of analyst expectations of about $1.88. Adjusted operating income rose slightly to $218.9 million, but the adjusted operating margin dipped to 21.2% from 22.7% due to residential volume softness in Americas and ERP-related disruptions internationally.

Americas revenue grew 6.9% to $809.9 million (4.5% organic), led by mid-single-digit non-residential growth. International revenue surged 21.5% to $223.7 million reported but declined 5.3% organically. Available cash flow year-to-date stood at $80.3 million.

AI Screener

Tickeron’s AI Screener is an AI-powered stock and ETF discovery tool that helps traders and investors filter the market based on technical patterns, fundamentals, trends, volatility, and AI-driven signals. Users can scan thousands of stocks and ETFs using customizable filters such as industry, market capitalization, technical indicators, price patterns, and performance metrics. The screener helps identify trade ideas, trending stocks, breakout candidates, and market opportunities more efficiently than manual screening. Explore it today to enhance your research process.

Market Reaction and Investor Sentiment

Allegion's shares declined about 7.5% following the earnings release, reflecting investor disappointment with the adjusted EPS miss and margin compression despite the revenue beat. Sentiment focused on volume headwinds in residential and international segments, overshadowing pricing gains and raised full-year reported revenue guidance. Traders highlighted ERP recovery risks in international operations as a key concern.

Forward Outlook and Key Factors to Monitor

Allegion reaffirmed its 2026 organic revenue growth outlook at 2% to 4%, while raising reported growth to 6% to 8% incorporating the DCI acquisition. Adjusted EPS guidance remains $8.70 to $8.90, with reported EPS updated to $7.95 to $8.15, assuming an 18% to 19% adjusted effective tax rate.

Investors should watch international segment recovery, as ERP implementation issues are expected to improve throughout 2026, backed by rising orders and backlog. Pricing actions are projected at the high end of low-single digits, supporting margins amid inflation and investment pressures.

Key catalysts include integration of recent acquisitions, non-residential demand signals in Americas, and residential market stabilization. Available cash flow is targeted at 85% to 95% of adjusted net income, funding $500 million in new share repurchases and ongoing dividends of $0.55 per share. Broader industry dynamics like construction spending and electronic security adoption will also influence performance.

Disclaimer

The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.

Disclaimers and Limitations