Anvi Sarbhai

Anvi Sarbhai, representing Joe Ritchie from Goldman Sachs, asked for clarification on the puts and takes behind nVent's 2026 growth guidance of 10%-13%, given the 30% average order growth and 24% organic sales growth in Q4 2025, and the implied step-down after Q1. She also inquired about the 3-5 year Total Addressable Market (TAM) for liquid cooling and nVent's competitive advantage in this under-penetrated data center segment.

Answer

CFO Gary Corona acknowledged the strong Q4 and expected strong Q1, but noted it's early in the year for the 2026 guide. He highlighted that nVent is overlapping significant organic and EPS growth from H2 2025 and that the guidance provides flexibility for long-term growth investments. CEO Beth Wozniak stated that data center revenue exceeded $1 billion in 2025, with liquid cooling growing significantly due to increasing heat loads. She emphasized nVent's new modular, scalable products and capacity investments, seeing vast opportunities with the AI buildout.

Anvi Sarbhai asked for clarification on the 2026 growth guide of 10%-13% given 2025's average order growth of 30% and a 24% organic exit rate in Q4, and the implied step-down after Q1. She also inquired about the total addressable market (TAM) for liquid cooling over the next 3-5 years and nVent's competitive advantage in this opportunity.

Answer

Gary Corona, Chief Financial Officer, acknowledged the strong growth but noted it's early in the year for 2026 guidance, emphasizing that nVent is managing unprecedented growth and will update the outlook quarterly. He mentioned overlapping strong 2025 growth and the need for flexibility to invest. Beth Wozniak, Chair and Chief Executive Officer, highlighted that data center revenue reached $1 billion in 2025, with liquid cooling growing significantly due to increasing heat loads and power densities. She emphasized nVent's new modular and scalable products and capacity investments as key to capitalizing on the opportunity.