Pentair : Presentation PDF (ee0c421f bdad 490c b11d 901d5ba6593d)

Published: 2026-04-28 07:34:09 ET PNR

Published on 04/28/2026 at 07:34 am EDT

- Picture to be updated

APRIL 28, 2026

Except as otherwise noted, our results represent continuing operations for the period indicated, presented on an adjusted basis

Core sales refers to GAAP net sales from continuing operations excluding: (1) the impact of currency translation and (2) the impact of net sales from acquired businesses recorded prior to the first anniversary of the acquisition, excluding the excess over prior year net sales of the acquired business less the net sales attributable to discontinued or divested businesses/product lines not considered discontinued operations

Reportable segment income ("segment income") represents operating income of each reportable segment inclusive of equity income of unconsolidated subsidiaries and exclusive of non-cash intangible amortization, certain acquisition related expenses, costs of transformation and restructuring activities, impairments, and other unusual non-operating items

Adjusted operating income represents consolidated operating income inclusive of equity income of unconsolidated subsidiaries and exclusive of non-cash intangible amortization, certain acquisition related expenses, costs of transformation and restructuring activities, impairments, and other unusual non-operating items

Earnings before interest, taxes, depreciation and amortization ("EBITDA") represents adjusted operating income plus depreciation

Adjusted return on sales ("ROS") equals segment income divided by segment net sales or, on a consolidated basis, adjusted operating

income divided by total net sales

Results of Transformation initiatives reflected in Price column in Sales walks and Vol/Price/Acq./Div. and Productivity columns in Adjusted Operating Income and Segment Income walks; Mix and impact of discontinued or divested businesses/product lines included in Vol/Price/Acq./Div. column

See appendix for GAAP to non-GAAP reconciliations

Helping Our Customers Move, Improve, and Enjoy Water, Life's Most Essential Resource

Our balanced water portfolio is uniquely positioned to deliver superior value

Innovation and elite customer experiences expected to accelerate growth

Expect profitable growth and operational efficiencies to accelerate performance in 2026-2028

Our strong cash flow and ROIC provide flexibility for enhanced value creation

Sales

Adjusted Operating Income

Adjusted EPS

ROS

Strong financial performance driven by resilient business model and continued execution

Q1'26 Performance:

Sales up 3%

Adjusted Operating Income up 7%

ROS expanded 100 bps

Adjusted EPS increased 10%

$1,010M $1,037M $243M $259M $1.22

YoY

$1.11

10%

YoY

25.0%

24.0%

100 bps

YoY

Q1'25 Q1'26 Q1'25 Q1'26

Q1'25 Q1'26

Sales exceeded $1 billion, growth led by Flow

Strong margin expansion for the 16th consecutive quarter

Adjusted Operating Income increased 7% and Adjusted EPS rose 10%

Repurchased $200 million of outstanding shares and increased our dividend for the 50th consecutive year

Increased FY Adjusted EPS guidance midpoint to ~$5.35 (range of ~$5.30 to $5.40), an increase of $0.05 on low-end

Solid Q1, with all 3 segments achieving revenue and segment income expectations as well as improved ROS performance

We expect our resilient business model will allow us to mitigate incremental tariff and inflation increases which are expected to be ~neutral to FY 2026 guidance

Strategic growth actions and improved productivity increase our confidence in our ~$5.30 to

$5.40 FY Adjusted EPS guide

Prioritizing stock buy-back given confidence in our cash flow forecast and Q2 forecasted debt reduction

Sales

Adjusted Operating Income

$1,010M

$54M

$21M $1,037M

($42M)

($6M)

YoY

(4 pts)

5 pts

(1 pt)

3 pts

ROS 24.0%

YoY

ROS 25.0%

2.1%

(4.5%)

(0.4%)

3.8%

($45M)

$259M

$21M

$243M

$1M

$39M

Q1'25

Volume

Price

Acq./Div.

FX Q1'26

Q1'25

Vol/Price

Acq./Div.

FX Inflation

Prod.

Q1'26

Total Sales up 3%

Core Sales up 1%

Flow up 2%

Water Solutions up 1%

Pool up 1%

Adjusted Operating Income up 7% ROS 25.0% ... up 100 bps

Adjusted EPS $1.22 … up 10%

Adjusted Tax Rate of 16.4%

Net interest expense of $21M;

Shares 163.7M

Move Water

Sales

Segment Income

$10M

$233M

$8M

($3M)

(2 pts)

4 pts

5 pts

11 pts

11%

YoY

$10M $258M

$16M

$1M

$1M $61M

ROS 21.6%

$50M

($7M)

4.7%

(0.3%)

(2.9%)

0.6%

22%

YoY

ROS 23.7%

Q1'25

Volume

Price

Acq./Div.

FX Q1'26

Q1'25

Vol/Price

Acq./Div.

FX Inflation

Prod.

Q1'26

Flow

Sales up 11%, core sales up 2%

Segment Income up 22% ROS 23.7% ... up 210 bps

Price offset inflation

Price and the acquisition of Hydra-Stop

drove significant margin expansion

Note: Not included in Segment Income is non-cash amortization of $1M in Q1'25 and $3M in Q1'26.

Improve Water

Sales

Segment Income

($17M)

($16M)

(4 pts)

5 pts

(4 pts)

2 pts

(1 pt)

(1%)

YoY

$393M $21M

$10M $391M

$94M

$11M

Flat

$12M $100M

($17M)

YoY

ROS 23.9%

3.6%

(0.7%)

(4.4%)

3.1%

ROS 25.5%

Q1'25

Volume

Price

Acq./Div.

FX Q1'26

Q1'25

Vol/Price Acq./Div.

FX Inflation

Prod.

Q1'26

Commercial

Sales down 5% (inclusive of -9%

impact from Q2'25 business exit)

Residential and Industrial

Sales up 3%

Segment Income up 6% ROS 25.5% ... up 160 bps

Price offset inflation

Productivity drove strong margin

expansion

Enjoy Water

Sales

Segment Income

($22M)

(5 pts)

6 pts

0 pts

1 pt

YoY

$384M $24M Flat

$1M

$387M

$126M

$13M

Flat

$9M $128M

ROS 32.8%

($20M)

3.3%

(0.2%)

(5.3%)

2.5%

YoY

ROS 33.1%

Q1'25

Volume

Price

Acq./Div.

FX Q1'26

Q1'25

Vol/Price

Acq./Div.

FX Inflation

Prod.

Q1'26

Pool

Sales up 1%, core sales up 1%

Segment Income up 2% ROS 33.1% ... up 30 bps

Productivity drove margin expansion

Price offset inflation

Debt Summary

Cash Flow ($M)

Q1 2026

Q1 2025

Net Income - Continuing Ops

$161

$155

Amortization

Subtotal

$177

$169

Depreciation

Capital Expenditures

(18)

(17)

Asset Sales

Working Capital

(221)

(241)

$1,944M* Maturity

$1,086M**

~55% Fixed 2029 - 2032

~45% Variable 2027 - 2030

$858M

3/31/2026

*Does Not Include $68M of Cash on Hand

**Includes $300M Float-to-Fixed Rate Swap

Other Accruals / Other (39) 18

Debt Roll-Forward ($M)

Other Items

Free Cash Flow - Total ($86) ($56)

3/31/2026

3/31/2025

Beginning Debt $1,639 $1,648

Used (Generated) Cash

Share Repurchase

200

Dividends

Acquisition / Other

(25)

Ending Debt

$1,944

$1,836

Net Debt/EBITDA of 1.7x

ROIC of 16.6%

$200M of share repurchases

50th consecutive year of dividend increases; maintained Dividend Aristocrat and attained Dividend King statuses

FY'26

Q2'26

Narrowing FY'26 Adjusted EPS

guidance range to ~$5.30 to

Sales

Total Sales up ~1%

Total Sales up ~2% to 4%

Adjusted Operating Income up ~5% to 6%

Adjusted Operating Income up ~6% to 8%

Adjusted EPS ~$1.47 to $1.50, up ~6% to 8%

Adjusted EPS of ~$5.30 to $5.40, up ~8% to 10%

Corp. Expense ~$22M

Net Interest ~$22M

Adjusted Tax Rate of ~16.5%

Shares ~163M

Corp. Expense ~$90M

Net Interest ~$73M

Adjusted Tax Rate of ~16.5%

Shares ~163M

Targeting FCF = ~100% of Net Income

Capital Expenditures ~$80M

D&A of ~$130M and ~$35M of Non-Cash Stock Comp

EBITDA ~$1.2 billion at midpoint

$5.40

Sales

Income

Narrowing FY'26 Adjusted Operating Income growth range to ~6% to 8%

Other Items

Adj. EPS

Our revenue growth forecast assumes limited/no US residential housing recovery in 2026 and continued Commercial, Industrial and Municipal expansion

Cash Flow

Well-positioned to capture secular water trends and confident in our long-term value creation plans

EBITDA

Strong balance sheet with significant flexibility

We have a portfolio that has delivered superior value

Clear strategy, proven operating model, and an energized leadership team

Innovation and elite customer experiences expected to accelerate growth

Our strong cash flow and ROIC provide flexibility for enhanced value creation

Continued confidence in our long-term strategy fueled in part by favorable secular trends

We Believe Pentair is a Compelling Investment Opportunity

An industry leader with a balanced, innovative water portfolio

Transformation initiatives to drive operational efficiencies and margin expansion

Sustainability focus on People, Planet and Governance to provide smart, sustainable water solutions

Favorable secular trends driving end market growth

Additional value creation from strong balance sheet and cash flow

Dividend Aristocrat & King - 50 consecutive years of dividend increases

Pentair Overview

Reference Slides

Helping the World Sustainably Move, Improve and Enjoy Water - Life's Most Essential Resource

2025 Sales: $4,176M

OEM,

Direct, Other

~25%

End

Balanced, Focused Businesses

Focus on Profitability

ROS

(2025)

Dividend Aristocrat

& Dividend King

Annual Dividend Increase

Strong Cash Flow and Solid Returns

Strong Balance Sheet

Markets

Trade / Channel Partners

~75%

ROW

~30%

(2025)

ROIC

(2025)

Net Debt-to-EBITDA Leverage Ratio

(2025)

Geography

U.S.

~70%

A Leader in Helping the World Sustainably Move, Improve and Enjoy Water,

Life's Most Essential Resource

Smart, Sustainable Water Solutions

MOVE Water

IMPROVE Water

ENJOY Water

$2,957 $3,018

$3,765

$4,122 $4,105 $4,083 $4,176

25.2%

23.5%

$798 $790

$722

13.9%

$852

$960

15.3%

2019 2020 2021 2022 2023 2024 2025

16.9%

17.5%

16.5%

21.4%

15.1%

$961

19.7%

$1,001

$1,401

31.0%

27.8%

2019 2020 2021 2022 2023 2024 2025

28.6%

$985

$1,124

33.2%

$1,344

$1,436 $1,559

$1,572 $1,633

33.8%

28.3%

28.8%

24.2%

$1,173 $1,171

$1,615

$1,799 $1,684

$1,636

22.5%

22.8%

17.5% 17.2%

18.2% 18.6%

20.8%

7.9%

12.7% 13.6%

2019 2020 2021 2022 2023 2024 2025

Innovative, energy efficient

pool solutions to help people more sustainably enjoy water

Providing great tasting,

higher-quality water and ice while helping people use water more productively

We help the world sustainably move, improve and enjoy water, life's most essential resource

Delivering water where it's needed, when it's needed, more efficiently and transforming waste into value

Drove ~$250M in Transformation Savings (2023-2025, net of investments)

Pentair Business System 1

Expect to Deliver ~$70M in Transformation

and 80/20 Savings in 2026 (net of investments)

Sourcing Excellence

Pricing Excellence

Operational

Expect Sourcing Waves 1 & 2 to Continue to Drive Savings; Implementing Wave 3

Excellence 3

Organizational Effectiveness

80/20 a Net Growth Initiative, Enabler to Transformation; Helping to Absorb Inflation and Incremental Costs

Driving Operational Efficiency in Factories; Optimizing Footprint

Appendix

GAAP TO NON-GAAP MEASUREMENTS & RECONCILIATIONS

Reported To Adjusted 2026 Reconciliation

Pentair plc and Subsidiaries

Reconciliation of GAAP to Non-GAAP Financial Measures for the Year Ending December 31, 2026 Excluding the Effect of 2026 Adjustments (Unaudited)

Actual Forecast

In millions, except per-share data

First Quarter

Second Quarter

Full Year

Net sales

$ 1,036.7

approx Up 1%

approx Up 2% - 4%

Operating income

210.0

approx Up 36% - 37%

approx Up 19% - 21%

Return on sales

20.3 %

Adjustments:

Restructuring and other

21.4

approx $ -

approx $ 21

Transformation costs

11.5

approx -

approx 12

Intangible amortization

15.7

approx 15

approx 62

Equity income of unconsolidated subsidiaries

0.5

approx 1

approx 3

Adjusted operating income

259.1

approx Up 5% - 6%

approx Up 6% - 8%

Adjusted return on sales

25.0 %

Net income from continuing operations-as reported

160.8

approx $227 - $232

approx $787 - $803

Adjustments to operating income

48.6

approx 15

approx 95

Income tax adjustments

(10.4)

approx (2)

approx (18)

Net income from continuing operations-as adjusted

$ 199.0

approx $240 - $245

approx $864 - $880

Continuing earnings per ordinary share-diluted

Diluted earnings per ordinary share-as reported

$ 0.98

approx $1.39 - $1.42

approx $4.83 - $4.93

Adjustments

0.24

approx 0.08

approx 0.47

Diluted earnings per ordinary share-as adjusted

$ 1.22

approx $1.47 - $1.50

approx $5.30 - $5.40

Reported To Adjusted 2025 Reconciliation

Pentair plc and Subsidiaries

Reconciliation of the GAAP Year Ended December 31, 2025 to the Non-GAAP

Excluding the Effect of 2025 Adjustments (Unaudited)

In millions, except per-share data

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

Full Year

Net sales

$ 1,010.4

$ 1,123.1

$ 1,022.0

$ 1,020.5

$ 4,176.0

Operating income

203.1

217.7

231.7

205.0

857.5

Return on sales

20.1 %

19.4 %

22.7 %

20.1 %

20.5 %

Adjustments:

Restructuring and other

10.5

10.4

0.2

10.2

31.3

Transformation costs

9.1

12.5

10.8

8.4

40.8

Intangible amortization

14.2

14.3

13.9

15.7

58.1

Legal accrual adjustments and settlements

11.6

Asset impairment and write-offs

5.2

41.8

1.5

0.6

49.1

Deal-related costs and expenses

4.1

Equity income of unconsolidated subsidiaries

0.4

0.2

1.0

Adjusted operating income

242.5

296.7

262.6

251.7

1,053.5

Adjusted return on sales

24.0 %

26.4 %

25.7 %

24.7 %

25.2 %

Net income from continuing operations-as reported

154.9

148.5

184.3

161.8

649.5

Loss on sale of business

26.3

Pension and other post-retirement mark-to-market loss

2.4

Adjustments to operating income

39.0

79.0

30.5

46.5

195.0

Income tax adjustments

(9.7)

(23.3)

(9.5)

(16.0)

(58.5)

Net income from continuing operations-as adjusted

$ 184.2

$ 230.5

$ 205.3

$ 194.7

$ 814.7

Continuing earnings per ordinary share-diluted

Diluted earnings per ordinary share-as reported

$ 0.93

$ 0.90

$ 1.12

$ 0.98

$ 3.93

Adjustments

0.18

0.49

0.12

0.20

0.99

Diluted earnings per ordinary share-as adjusted

$ 1.11

$ 1.39

$ 1.24

$ 1.18

$ 4.92

Reported To Adjusted 2024 Reconciliation

Pentair plc and Subsidiaries

Reconciliation of GAAP to Non-GAAP Financial Measures for the Year Ended December 31, 2024 Excluding the Effect of 2024 Adjustments (Unaudited)

In millions, except per-share data

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

Full Year

Net sales

$ 1,017.2

$ 1,099.3

$ 993.4

$ 972.9

$ 4,082.8

Operating income

180.8

248.0

179.9

195.1

803.8

Return on sales

17.8 %

22.6 %

18.1 %

20.1 %

19.7 %

Adjustments:

Restructuring and other

4.6

5.9

23.4

3.1

37.0

Transformation costs

17.0

11.8

12.6

10.7

52.1

Intangible amortization

13.5

13.4

13.5

13.9

54.3

Legal accrual adjustments and settlements

(0.3)

(7.9)

0.7

(7.5)

Asset impairment and write-offs

0.8

8.5

8.3

17.6

Equity income of unconsolidated subsidiaries

0.9

0.2

0.6

0.2

1.9

Adjusted operating income

217.3

271.4

239.2

231.3

959.2

Adjusted return on sales

21.4 %

24.7 %

24.1 %

23.8 %

23.5 %

Net income from continuing operations-as reported

133.5

186.1

139.6

166.4

625.6

Pension and other post-retirement mark-to-market gain

(5.3)

Other (income) expense

(0.5)

0.1

(0.4)

Adjustments to operating income

35.6

23.2

58.7

36.0

153.5

Income tax adjustments

(11.3)

(5.4)

(15.4)

(17.6)

(49.7)

Net income from continuing operations-as adjusted

$ 157.8

$ 203.9

$ 182.4

$ 179.6

$ 723.7

Continuing earnings per ordinary share-diluted

Diluted earnings per ordinary share-as reported

$ 0.80

$ 1.11

$ 0.84

$ 0.99

$ 3.74

Adjustments

0.14

0.11

0.25

0.09

0.59

Diluted earnings per ordinary share-as adjusted

$ 0.94

$ 1.22

$ 1.09

$ 1.08

$ 4.33

Reported To Adjusted 2023 Reconciliation

Pentair plc and Subsidiaries

Reconciliation of GAAP to Non-GAAP Financial Measures for the Year Ended December 31, 2023 Excluding the Effect of 2023 Adjustments (Unaudited)

In millions, except per-share data

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

Full Year

Net sales

$ 1,028.6

$ 1,082.5

$ 1,008.8

$ 984.6

$ 4,104.5

Operating income

183.6

208.5

180.1

167.0

739.2

Return on sales

17.8 %

19.3 %

17.9 %

17.0 %

18.0 %

Adjustments:

Restructuring and other

2.9

0.6

1.6

(1.7)

3.4

Transformation costs

8.5

6.0

13.5

16.3

44.3

Intangible amortization

13.8

13.9

13.8

55.3

Legal accrual adjustments and settlements

(1.9)

4.1

2.2

Asset impairment and write-offs

3.9

0.5

1.8

1.7

7.9

Equity income of unconsolidated subsidiaries

0.2

0.6

1.3

0.7

2.8

Adjusted operating income

211.0

234.2

212.1

197.8

855.1

Adjusted return on sales

20.5 %

21.6 %

21.0 %

20.1 %

20.8 %

Net income from continuing operations-as reported

128.5

154.2

132.1

208.1

622.9

Pension and other post-retirement mark-to-market loss

6.1

Other income

(5.1)

Adjustments to operating income

27.2

25.1

30.7

30.1

113.1

Income tax adjustments (1)

(4.6)

(3.1)

(6.6)

(98.5)

(112.8)

Net income from continuing operations-as adjusted

$ 151.1

$ 171.1

$ 156.2

$ 145.8

$ 624.2

Continuing earnings per ordinary share-diluted

Diluted earnings per ordinary share-as reported

$ 0.78

$ 0.93

$ 0.79

$ 1.25

$ 3.75

Adjustments

0.13

0.10

0.15

(0.38)

Diluted earnings per ordinary share-as adjusted

$ 0.91

$ 1.03

$ 0.94

$ 0.87

$ 3.75

(1) Income tax adjustments in the fourth quarter include $74.3 million resulting from favorable impacts of worthless stock deductions related to exiting certain businesses in our Water Solutions segment and favorable discrete items primarily related to the recognition of deferred tax assets.

Reported To Adjusted 2022 Reconciliation

Pentair plc and Subsidiaries

Reconciliation of GAAP to Non-GAAP Financial Measures for the Year Ended December 31, 2022 Excluding the Effect of 2022 Adjustments (Unaudited)

In millions, except per-share data

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

Full Year

Net sales

$ 999.6

$ 1,064.2

$ 1,055.1

$ 1,002.9

$ 4,121.8

Operating income

145.8

190.8

147.1

111.6

595.3

Return on sales

14.6 %

17.9 %

13.9 %

11.1 %

14.4 %

Adjustments:

Restructuring and other

2.1

1.1

12.5

16.7

32.4

Transformation costs

5.5

5.2

10.1

6.4

27.2

Intangible amortization

6.6

6.3

18.5

21.1

52.5

Inventory step-up

5.8

Legal accrual adjustments and settlements

(0.7)

0.5

0.4

0.2

Asset impairment and write-offs

25.6

Deal-related costs and expenses

6.4

1.6

13.4

0.8

22.2

Russia business exit impact

5.9

(0.8)

(0.4)

4.7

Equity income of unconsolidated subsidiaries

0.5

0.4

0.3

0.6

1.8

Adjusted operating income

172.1

205.9

206.9

182.8

767.7

Adjusted return on sales

17.2 %

19.3 %

19.6 %

18.2 %

18.6 %

Net income from continuing operations-as reported

118.5

153.0

115.4

96.3

483.2

Gain on sale of businesses

(0.2)

Pension and other post-retirement mark-to-market gain

(17.5)

Amortization of bridge financing fees

2.6

5.1

1.3

9.0

Adjustments to operating income

25.8

14.7

59.5

70.6

170.6

Income tax adjustments

(5.4)

(3.8)

(12.3)

(14.4)

(35.9)

Net income from continuing operations-as adjusted

$ 141.5

$ 169.0

$ 163.7

$ 135.0

$ 609.2

Continuing earnings per ordinary share-diluted

Diluted earnings per ordinary share-as reported

$ 0.71

$ 0.92

$ 0.70

$ 0.58

$ 2.92

Adjustments

0.14

0.10

0.29

0.24

0.76

Diluted earnings per ordinary share-as adjusted

$ 0.85

$ 1.02

$ 0.99

$ 0.82

$ 3.68

Reported To Adjusted 2021 Reconciliation

Pentair plc and Subsidiaries

Reconciliation of GAAP to Non-GAAP Financial Measures for the Year Ended December 31, 2021 Excluding the Effect of 2021 Adjustments (Unaudited)

In millions, except per-share data

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

Full Year

Net sales

$ 865.9

$ 941.1

$ 969.2

$ 988.6

$ 3,764.8

Operating income

157.1

161.8

167.3

150.7

636.9

Return on sales

18.1 %

17.2 %

17.3 %

15.2 %

16.9 %

Adjustments:

Restructuring and other

1.5

3.9

0.1

2.0

7.5

Transformation costs

1.9

4.0

5.8

11.7

Intangible amortization

7.1

6.3

6.0

6.9

26.3

COVID-19 related costs and expenses

0.2

0.1

0.2

0.6

Legal accrual adjustments and settlements

(2.4)

(5.2)

(7.6)

Inventory step-up

2.3

Deal-related costs and expenses

0.7

1.0

2.1

4.1

7.9

Equity income (loss) of unconsolidated subsidiaries

0.2

(0.1)

0.1

0.3

Adjusted operating income

164.4

174.9

179.7

166.9

685.9

Adjusted return on sales

19.0 %

18.6 %

18.5 %

16.9 %

18.2 %

Net income from continuing operations-as reported

131.1

132.6

143.7

148.6

556.0

Gain on sale of businesses

(1.4)

Pension and other post-retirement mark-to-market gain

(2.4)

Other income

(0.3)

Adjustments to operating income

7.1

13.2

12.3

16.1

48.7

Income tax adjustments

(2.4)

(4.6)

(6.2)

(17.0)

(30.2)

Net income from continuing operations-as adjusted

$ 135.8

$ 140.9

$ 148.4

$ 145.3

$ 570.4

Continuing earnings per ordinary share-diluted

Diluted earnings per ordinary share-as reported

$ 0.78

$ 0.79

$ 0.86

$ 0.89

$ 3.32

Adjustments

0.03

0.05

0.03

(0.02)

0.08

Diluted earnings per ordinary share-as adjusted

$ 0.81

$ 0.84

$ 0.89

$ 0.87

$ 3.40

Reported To Adjusted 2019-2020 Reconciliations

Pentair plc and Subsidiaries

Reconciliation of GAAP to Non-GAAP Financial Measures for the Years Ended December 31, 2019 and 2020 Excluding the Effect of 2019 and 2020 Adjustments (Unaudited)

In millions, except per-share data

2019

2020

Net sales

2,957.2

3,017.8

Operating income

432.5

461.4

Return on sales

14.6%

15.3%

Adjustments:

Restructuring and other

21.0

15.4

Intangible amortization

31.7

28.4

COVID-19 related costs and expenses

10.4

Asset impairment

21.2

Inventory step-up

2.2

Deal-related costs and expenses

4.2

0.6

Equity income of unconsolidated subsidiaries

3.5

1.4

Adjusted operating income

516.3

517.6

Adjusted return on sales

17.5%

17.2%

Net income from continuing operations-as reported

361.7

357.1

(Gain) loss on sale of businesses

(2.2)

0.1

Pension and other post-retirement mark-to-market (gain) loss

(3.4)

6.7

Other income

(2.2)

Adjustments to operating income

80.3

54.8

Income tax adjustments

(31.4)

2.7

Net income from continuing operations-as adjusted

405.0

419.2

Continuing earnings per ordinary share-diluted

Diluted earnings per ordinary share-as reported

2.12

2.13

Adjustments

0.26

0.37

Diluted earnings per ordinary share-as adjusted

2.38

2.50

Segment Information

Pentair plc and Subsidiaries

Supplemental Financial Information by Reportable Segment (Unaudited)

2026 2025

In millions

First Quarter

Net sales

Flow

$ 258.1

$ 232.6

Water Solutions

391.0

393.5

Pool

387.1

383.9

Reportable segment net sales

1,036.2

1,010.0

Corporate and other

0.5

0.4

Net sales

$ 1,036.7

$ 1,010.4

Reportable segment income (loss)

Flow

$ 61.2

$ 50.2

Water Solutions

99.9

94.1

Pool

128.1

126.0

Reportable segment income

289.2

270.3

Corporate and other

(30.1)

(27.8)

Adjusted operating income

$ 259.1

$ 242.5

Return on sales

Flow

23.7 %

21.6 %

Water Solutions

25.5 %

23.9 %

Pool

33.1 %

32.8 %

Adjusted return on sales

25.0 %

24.0 %

Core Sales Growth Reconciliation

Pentair plc and Subsidiaries

Reconciliation of Net Sales Growth to Core Net Sales Growth by Reportable Segment For the Quarter Ended March 31, 2026 (Unaudited)

Q1 Net Sales Growth

Core

Currency

Acq. / Div.

Total

Total Pentair

1.1 %

2.1 %

(0.6) %

2.6 %

Flow

2.5

4.2

4.3 %

11.0 %

Water Solutions

0.9

2.5

(4.0) %

(0.6) %

Pool

0.5

0.3

- %

0.8 %

Free Cash Flow Reconciliation

Pentair plc and Subsidiaries

Reconciliation of the GAAP Operating Activities Cash Flow to the Non-GAAP Free Cash Flow (Unaudited)

Three months ended

March 31,

In millions

2026

2025

Net cash used for operating activities

$ (67.4) $

(38.9)

Capital expenditures

(18.5)

(16.8)

Proceeds from sale of property and equipment

0.2

Free cash flow

$ (85.7) $

(55.7)

ROIC Reconciliation

Pentair plc and Subsidiaries

Return on Invested Capital (ROIC) (Unaudited)

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

First Quarter

Dollars in millions

2025

2026

Adjusted operating income

$ 242.5

$ 296.7

$ 262.6

$ 251.7

$ 259.1

Reported effective tax rate

15.3 %

13.9 %

15.0 %

12.3 %

15.1 %

Adjusted effective tax rate

17.0 %

16.5 %

16.4 %

NOPAT

$ 201.3

$ 246.3

$ 218.0

$ 210.2

$ 216.6

Depreciation

14.8

14.6

15.3

14.9

14.6

Capital expenditures ("Cap Ex")

(16.8)

(10.9)

(17.4)

(23.7)

(18.5)

Total NOPAT, depreciation, and Cap Ex

$ 199.3

$ 250.0

$ 215.9

$ 201.4

$ 212.7

Trailing four quarter NOPAT, depreciation, and Cap Ex

$ 809.0

$ 833.9

$ 850.6

$ 866.6

$ 880.0

Ending invested capital

5,328.7

4,927.4

5,234.1

5,406.2

5,686.7

Trailing five quarter average invested capital

5,121.4

5,046.4

5,098.3

5,197.7

5,316.6

After-tax Return on Invested Capital

15.8 %

16.5 %

16.7 %

16.6 %

NOPAT (net operating profit after tax) is defined as [(adjusted operating income) X (1 - adjusted effective tax rate)]

Ending invested capital is defined as [total shareholders' equity + long-term debt + current maturities of longterm debt and short-term borrowings - cash and cash equivalents]

Last Twelve Months EBITDA Reconciliation

Pentair plc and Subsidiaries

Reconciliation of Net Income from Continuing Operations to EBITDA (Unaudited)

Second Quarter

Third Quarter

Fourth Quarter

First Quarter

Last Twelve

In millions 2025 2025 2025 2026

Months

Net income from continuing operations

$ 148.5

$ 184.3

$ 161.8

$ 160.8

$ 655.4

Adjustments:

Deal-related costs and expenses

4.1

Restructuring and other

10.4

0.2

10.2

21.4

42.2

Transformation costs

12.5

10.8

8.4

11.5

43.2

Intangible amortization

14.3

13.9

15.7

59.6

Legal accrual adjustments and settlements

11.6

Asset impairment and write-offs

41.8

1.5

0.6

43.9

Pension and other post-retirement mark-to-market loss

2.4

Loss on sale of business

26.3

Net interest expense

17.9

14.4

17.4

20.1

69.8

Other expense

1.0

4.0

Provision for income taxes

24.0

32.4

22.6

28.6

107.6

Adjusted operating income

$ 296.7

$ 262.6

$ 251.7

$ 259.1

$ 1,070.1

Adjustments:

Depreciation

14.6

15.3

14.9

14.6

59.4

EBITDA

$ 311.3

$ 277.9

$ 266.6

$ 273.7

$ 1,129.5

2025 EBITDA Reconciliation

Pentair plc and Subsidiaries

Reconciliation of Net Income from Continuing Operations to EBITDA for the Year Ended December 31, 2025 (Unaudited)

In millions

FY 2025

Net income from continuing operations

649.5

Adjustments:

Restructuring and other

31.3

Transformation costs

40.8

Intangible amortization

58.1

Legal accrual adjustments and settlements

11.6

Asset impairment and write-offs

49.1

Deal-related costs and expenses

4.1

Loss on sale of business

26.3

Pension and other post-retirement mark-to-market loss

2.4

Net interest expense

69.4

Other expense

3.9

Provision for income taxes

107.0

Adjusted operating income

1,053.5

Adjustments:

Depreciation

59.6

EBITDA

1,113.1

2026 EBITDA Reconciliation

Pentair plc and Subsidiaries

Reconciliation of Net Income from Continuing Operations to EBITDA for the Year Ending December 31, 2026 (Unaudited)

In millions

Full Year at Midpoint Outlook

Net income from continuing operations

approx $

795

Adjustments:

Intangible amortization

approx

Restructuring and other

approx

Transformation costs

approx

Net interest expense

approx

Provision for income taxes

approx

169

Adjusted operating income

approx $

1,132

Adjustments:

Depreciation

approx

EBITDA

approx $

1,200

Disclaimer

Pentair plc published this content on April 28, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 28, 2026 at 11:33 UTC.