Vertiv Holdings Co (VRT) Q4 2025 Financial Results Summary
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Vertiv Holdings Co (VRT) Q4 2025 Financial Results Summary
Release Date: February 11, 2026
Vertiv Holdings Co (NYSE: VRT), a leader in critical digital infrastructure, has reported its financial results for the fourth quarter and the full year ending December 31, 2025. The results reflect significant growth, particularly in organic sales and profitability metrics.
Fourth Quarter 2025 Highlights
- Net Sales: $2,880 million, a 23% increase from Q4 2024 ($2,346 million).
- Operating Profit: $580 million, up 27% from Q4 2024 ($457 million).
- Adjusted Operating Profit: $668 million, a 33% increase year-over-year from $504 million in Q4 2024, with an adjusted operating margin of 23.2%, up 170 basis points from the prior year.
- Operating Cash Flow: $1,005 million, 136% higher than Q4 2024 ($425 million).
- Adjusted Free Cash Flow: $910 million, a growth of 151% from $362 million in Q4 2024.
- Organic Orders Growth: Increased 252% compared to Q4 2024, with a book-to-bill ratio of approximately 2.9x.
- Backlog: Rose to $15.0 billion, a 109% year-over-year increase.
Full Year 2025 Performance
- Organic Sales Growth: 26%, compared to the prior year.
- Full Year Diluted EPS Growth: Increased 166%, with full-year diluted EPS reaching $3.41, compared to $1.28 last year.
- Adjusted Full Year Diluted EPS Growth: 47%, with adjusted diluted EPS at $4.20, up from $2.85 in 2024.
- Total Operating Cash Flow: $2,114 million, recording a 60% year-on-year increase.
- Total Adjusted Free Cash Flow: $1,887 million, up 66% compared to the previous year.
Forward Guidance for 2026
- Expected Net Sales: Projected to be between $13,250 million and $13,750 million, reflecting organic growth of 27% to 29%.
- Expected Diluted EPS: Forecasted between $5.27 to $5.37, representing a 56% increase at the midpoint compared to 2025.
- First Quarter 2026 Guidance:
- Expected net sales of $2,500 million to $2,700 million.
- Organic net sales growth of 18% to 26%.
- Adjusted operating profit between $475 million to $515 million.
- Adjusted diluted EPS expected to be $0.95 to $1.01, showing growth of 48% to 58%.
Shareholder Returns
- Dividends: Vertiv declared a dividend payment of $24.0 million in Q4 2025, compared to $14.1 million in Q4 2024.
- Share Repurchases: There were no reported share repurchase activities in the quarter.
Liquidity and Financial Position
- Liquidity: Remained robust at $2.6 billion.
- Net Leverage: Approximately 0.5x at the end of the fourth quarter, indicating a strong balance sheet and financial stability.
Operational Insights
- The company’s rapid growth can be attributed to strong demand across various sectors, particularly in AI infrastructure, with significant contributions from the Americas region and hyperscale/colocation data centers.
- The trailing twelve-month organic orders grew approximately 81% year-over-year.
Summary
Vertiv’s strong performance in Q4 2025 and full-year financial results highlights its capacity for growth and resilience in a competitive market. The robust order growth and financial stability position the company well for future advancements as it pursues strategic investments in technology and capacity expansion in 2026. The forward guidance reflects a continued optimistic outlook for the company’s operational and financial performance.
Vertiv Holdings Co – CONSOLIDATED STATEMENTS OF EARNINGS (LOSS) (Unaudited)
(Dollars in millions except for per share data)
| Three months ended | Three months ended | Year ended | Year ended | |
|---|---|---|---|---|
| December 31, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |
| Net sales | ||||
| Net sales – products | $2,360.5 | $1,914.3 | $8,390.6 | $6,393.5 |
| Net sales – services | $519.5 | $432.1 | $1,839.3 | $1,618.3 |
| Net sales | $2,880.0 | $2,346.4 | $10,229.9 | $8,011.8 |
| Costs and expenses | ||||
| Cost of sales – products | $1,466.4 | $1,223.8 | $5,447.2 | $4,099.4 |
| Cost of sales – services | $292.2 | $252.4 | $1,067.5 | $978.2 |
| Cost of sales | $1,758.6 | $1,476.2 | $6,514.7 | $5,077.6 |
| Operating expenses | ||||
| Selling, general | $461.6 | $361.6 | $1,617.8 | $1,374.0 |
| and administrative | ||||
| expenses | ||||
| Amortization of | $59.3 | $47.1 | $200.4 | $184.2 |
| intangibles | ||||
| Restructuring costs | $20.8 | $1.2 | $54.5 | $5.3 |
| Foreign currency | $6.2 | $0.6 | $12.0 | $9.3 |
| (gain) loss, net | ||||
| Other operating | -$6.4 | $2.5 | $0.8 | -$6.0 |
| expense (income) | ||||
| Operating profit | $579.9 | $457.2 | $1,829.7 | $1,367.4 |
| (loss) | ||||
| Interest expense, net | $16.7 | $30.7 | $86.1 | $150.4 |
| Loss on | — | $1.3 | $1.7 | $2.4 |
| extinguishment of debt | ||||
| Change in fair value of warrant | — | $180.0 | — | $449.2 |
| liabilities | ||||
| Income (loss) before income taxes | $563.2 | $245.2 | $1,741.9 | $765.4 |
| Income tax expense (benefit) | $117.6 | $98.2 | $409.1 | $269.6 |
| Net income (loss) | $445.6 | $147.0 | $1,332.8 | $495.8 |
| Earnings (loss) per share: | ||||
| Basic | $1.16 | $0.39 | $3.49 | $1.32 |
| Diluted | $1.14 | $0.38 | $3.41 | $1.28 |
| Weighted-average shares outstanding | ||||
| Basic | 382,473,479 | 376,614,304 | 381,712,181 | 376,418,933 |
| Diluted | 391,671,334 | 386,473,586 | 390,652,824 | 386,325,058 |
Vertiv Holdings Co – CONSOLIDATED BALANCE SHEETS (Unaudited)
(Dollars in millions)
| December 31, 2025 | December 31, 2024 | |
|---|---|---|
| ASSETS | ||
| Current assets: | ||
| Cash and cash equivalents | $1,728.4 | $1,227.6 |
| Short-term investments | $99.5 | — |
| Accounts receivable, less allowances of $25.6 and 22.4, respectively | $3,109.0 | $2,362.7 |
| Inventories | $1,456.5 | $1,244.4 |
| Other current assets | $426.1 | $267.1 |
| Total current assets | $6,819.5 | $5,101.8 |
| Property, plant and equipment, net | $921.8 | $625.1 |
| Other assets: | ||
| Goodwill | $2,033.7 | $1,321.1 |
| Other intangible assets, net | $1,894.8 | $1,487.1 |
| Deferred income taxes | $179.6 | $303.3 |
| Right-of-use assets, net | $303.0 | $202.1 |
| Other | $60.0 | $92.0 |
| Total other assets | $4,471.1 | $3,405.6 |
| Total assets | $12,212.4 | $9,132.5 |
| LIABILITIES AND EQUITY | ||
| Current liabilities: | ||
| Current portion of long-term debt | $20.9 | $21.0 |
| Accounts payable | $1,756.4 | $1,316.4 |
| Deferred revenue | $1,814.7 | $1,063.3 |
| Accrued expenses and other liabilities | $771.6 | $612.6 |
| Income taxes | $43.4 | $83.7 |
| Total current liabilities | $4,407.0 | $3,097.0 |
| Long-term debt, net | $2,892.1 | $2,907.2 |
| Deferred income taxes | $232.8 | $240.3 |
| Long-term lease liabilities | $245.2 | $171.4 |
| Other long-term liabilities | $494.0 | $282.3 |
| Total liabilities | $8,271.1 | $6,698.2 |
| Equity | ||
| Preferred stock, $0.0001 par value, 5,000,000 shares authorized, none issued and outstanding | — | — |
| Common stock, $0.0001 par value, 700,000,000 shares authorized, 382,553,680 and 380,703,974 shares issued and outstanding at December 31, 2025 and December 31, 2024, respectively | — | — |
| Additional paid-in capital | $2,895.2 | $2,821.4 |
| Retained earnings | $1,027.9 | -$238.3 |
| Accumulated other comprehensive (loss) income | $18.2 | -$148.8 |
| Total equity | $3,941.3 | $2,434.3 |
| Total liabilities and equity | $12,212.4 | $9,132.5 |