Current Assets

Cash and Cash Equivalents

Accounts Receivable

Inventory

Non-Current Assets

Property, Plant, and Equipment (PP&E)

Goodwill

Intangible Assets

Current Liabilities

Accounts Payable

Short-term Debt

Accrued Expenses

Non-Current Liabilities

Long-term Debt

Lease Liabilities

Deferred Tax Liabilities

Shareholders' Equity

Retained Earnings

Common Stock

Additional Paid-in Capital

9c05d917fbf175789bb4b1ccacfdd87ed276e82bee97dd988fc655dd388ed450

Total Revenue [USD, Millions]

Cost of Goods Sold (COGS) [USD, Millions]

SG&A [USD, Millions]

R&D [USD, Millions]

D&A [USD, Millions]

Interest Expense [USD, Millions]

Operating Income (EBIT) [USD, Millions]

Net Income [USD, Millions]

EPS - Basic [USD, Per Share]

EPS - Diluted [USD, Per Share]

da589a2e11ae4b2e114560db8469673123f84f7737aa13762ac000b0eb45be9d

Organic Net Sales Percentage Change for Consolidated (percentage)

Net Sales Percentage Change from Acquisitions and Divestitures for Consolidated (percentage)

Total Net Sales Percentage Change for Consolidated (percentage)

Net Sales Percentage Change from Foreign Currency Translation for Consolidated (percentage)

Organic Net Sales Percentage Change for Refrigeration segment (percentage)

Net Sales Percentage Change from Foreign Currency Translation for Refrigeration segment (percentage)

Total Net Sales Percentage Change for Refrigeration segment (percentage)

Organic Net Sales Percentage Change for HVAC segment (percentage)

Net Sales Percentage Change from Acquisitions and Divestitures for HVAC segment (percentage)

Total Net Sales Percentage Change for HVAC segment (percentage)

cfb0ff34b5322fddab05dc050469881d5dd25035da261e640972e8a0e040d3d7

United States

Europe

Asia Pacific

Other

Climate Solutions Americas

Climate Solutions Europe

Climate Solutions Asia Pacific, Middle East & Africa

Climate Solutions Transportation

Total Revenue

e151ae880e882e026d40fdc818959bc9b0797fdafd36d619f79f17ece5115485

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

914df6ad25812ff173fcf74289aafabb1e95a7f8319fd1dd66894a0adb0170a1

Operating Cash Flow was so low in Q3 2024 primarily because **increases in working capital balances** substantially reduced cash flow. In particular, there was a **decrease in accounts payable and accrued liabilities by $258 million** compared to a prior increase, and a **smaller reduction in accounts receivable** than previously seen. These unfavorable changes in operating assets and liabilities significantly impacted the cash flow during the period.  **[0001783180-24-000088_carr-20240930.htm:6]** **[0001783180-24-000088_carr-20240930.htm:57]** **[0001783180-24-000084_a99-q32024earningsexhibit.htm:8]** 

Why was Operating Cash Flow so low in Q3 2024?

The significantly lower annual Operating Cash Flow in FY 2024 was driven by two major factors. **First**, the impact of discontinued operations shifted dramatically, with cash flows moving from **$355 million** in FY 2023 to **$(1,008) million** in FY 2024—resulting in a negative swing of **$1,363 million**.  **[0001783180-25-000008_carr-20241231.htm:80]**  **Second**, continuing operations experienced a decline, dropping from **$2,252 million** in FY 2023 to **$1,571 million** in FY 2024, primarily due to increased working capital balances where the benefits of lower inventories and customer receivables were outweighed by lower accounts payable balances.  **[0001783180-25-000008_carr-20241231.htm:65]** 

What contributed to the significantly lower annual Operating Cash Flow in FY 2024?

The boost in **operating performance** that elevated cash flow in **Q2 2024** was driven by **improved working capital balances** (including higher **accounts payable balances**, enhanced **cash conversion**, and lower **inventory levels**) along with **year-over-year operational improvements** that reflect better efficiency and cash management during the period.  **[0001783180-24-000077_carr-20240630.htm:52]** 

What drove the operating performance to boost Cash Flow in Q2 2024?

The available documents do not directly address why free cash flow turned negative in Q3 2024. However, the documents indicate that Carrier's capital expenditures increased significantly to **$312 million** in that quarter, driven primarily by **transaction and restructuring costs** of about **$300 million** and an additional **$10 million** related to discontinued operations.  **[20241024NE39054:1]** **[20241024NE39054:11]** **[0001783180-24-000084_a99-q32024earningsexhibit.htm:14]**  These substantial capital expenditures could be a key factor contributing to negative free cash flow if operating cash flow did not rise proportionately.

Why did Free Cash Flow turn negative in Q3 2024?

2e455ae6327eee372d8988ca7e5c347989164b6865b6a16e8fb6301acf252b2f

Net earnings (loss) [USD, millions]

Depreciation and amortization [USD, millions]

Deferred income tax provision [USD, millions]

Stock-based compensation cost [USD, millions]

Equity method investment net earnings [USD, millions]

(Gain) loss on sale of investments / deconsolidation [USD, millions]

Net cash flows provided by (used in) continuing operating activities [USD, millions]

Net cash flows provided by (used in) discontinued operating activities [USD, millions]

Net cash flows provided by (used in) operating activities [USD, millions]

Capital expenditures [USD, millions]

Investment in businesses, net of cash acquired [USD, millions]

Dispositions of businesses [USD, millions]

Settlement of derivative contracts, net [USD, millions]

Other investing activities, net [USD, millions]

Net cash flows provided by (used in) continuing investing activities [USD, millions]

Net cash flows provided by (used in) discontinued investing activities [USD, millions]

Net cash flows provided by (used in) investing activities [USD, millions]

(Decrease) increase in short-term borrowings, net [USD, millions]

Issuance of long-term debt [USD, millions]

Repayment of long-term debt [USD, millions]

Repurchases of common stock [USD, millions]

Dividends paid on common stock [USD, millions]

Dividends paid to non-controlling interest [USD, millions]

Other financing activities, net [USD, millions]

Net cash flows provided by (used in) continuing financing activities [USD, millions]

Net cash flows provided by (used in) discontinued financing activities [USD, millions]

Net cash flows provided by (used in) financing activities [USD, millions]

Effect of foreign exchange rate changes on cash and cash equivalents [USD, millions]

Net increase (decrease) in cash and cash equivalents and restricted cash, including cash classified in current assets held for sale [USD, millions]

Less: Change in cash balances classified as assets held for sale [USD, millions]

Net increase (decrease) in cash and cash equivalents and restricted cash [USD, millions]

Cash, cash equivalents and restricted cash, beginning of period [USD, millions]

Cash, cash equivalents and restricted cash, end of period [USD, millions]

Less: restricted cash [USD, millions]

Cash and cash equivalents, end of period [USD, millions]

e78183d015852001b4bceaf118c13ba64d425fe00b186872b3649513223ccf6f

Cash and cash equivalents (USD, millions)

Accounts receivable, net (USD, millions)

Inventories, net (USD, millions)

Other assets, current (USD, millions)

Total current assets (USD, millions)

Future income tax benefits (USD, millions)

Fixed assets, net (USD, millions)

Operating lease right-of-use assets (USD, millions)

Intangible assets, net (USD, millions)

Goodwill (USD, millions)

Pension and post-retirement assets (USD, millions)

Equity method investments (USD, millions)

Other assets (USD, millions)

Total Assets (USD, millions)

Accounts payable (USD, millions)

Accrued liabilities (USD, millions)

Current portion of long-term debt (USD, millions)

Total current liabilities (USD, millions)

Long-term debt (USD, millions)

Future pension and post-retirement obligations (USD, millions)

Future income tax obligations (USD, millions)

Operating lease liabilities (USD, millions)

Other long-term liabilities (USD, millions)

Total Liabilities (USD, millions)

Common stock, par value $ 0.01 (USD, millions)

Treasury stock (USD, millions)

Additional paid-in capital (USD, millions)

Retained earnings (USD, millions)

Accumulated other comprehensive income (loss) (USD, millions)

Non-controlling interest (USD, millions)

Total Equity (USD, millions)

Total Liabilities and Equity (USD, millions)

734900854dcc8ba9a2aad2d75eb9bff76536bc0ff94f8a42cdb52236b4d6eb8d

Product sales [USD, millions]

Service sales [USD, millions]

Total Net sales [USD, millions]

Cost of products sold [USD, millions]

Cost of services sold [USD, millions]

Research and development [USD, millions]

Selling, general and administrative [USD, millions]

Total Costs and expenses [USD, millions]

Other income (expense), net [USD, millions]

Operating profit [USD, millions]

Non-service pension benefit (expense) [USD, millions]

Interest (expense) income, net [USD, millions]

Earnings before income taxes [USD, millions]

Income tax (expense) benefit [USD, millions]

Earnings from continuing operations [USD, millions]

Discontinued operations, net of tax [USD, millions]

Less: Non-controlling interest in subsidiaries' [USD, millions]

Net earnings (loss) attributable to common shareowners [USD, millions]

Continuing operations attributable to common shareowners [USD, millions]

Discontinued operations attributable to common shareowners [USD, millions]

bd4b178a25f39db303c73e3e2515a97c2c7287e588db3b1442d412e0eec620ab

Carrier's **Cash and Cash Equivalents** are low in Q1 2024 primarily due to significant cash outflows associated with its acquisition activities and other cash uses. The company used **$10.8 billion** (net of cash acquired) to complete the acquisition of the Viessmann Climate Solutions business, which was the primary driver of the decline. In addition, there were substantial outflows from **capital expenditures of $104 million** and **settlement of derivatives amounting to $209 million**. Meanwhile, operating activities provided only **$40 million** in net cash and financing activities raised **$2.4 billion**—an amount insufficient to counterbalance the massive investing cash outflows—resulting in a net decrease of **$8.7 billion** in cash and cash equivalents during Q1 2024.  **[0001783180-24-000044_carr-20240331.htm:42]** **[20240425NE96795:0]** 

Why is Cash and Cash Equivalents so low in Q1 2024?

The sharp drop in **Cash and Cash Equivalents** in Q4 2024 was primarily driven by several factors: a significant acquisition of Viessmann Climate Solutions costing **$10,890 million**, substantial share repurchases amounting to **$1,944 million**, and large debt repayments of **$5,345 million**. Additionally, lower operating cash flows—declining from **$2,607 million** to **$563 million**—contributed to the reduction, even though **$9,000 million** in divestiture proceeds partly offset these outflows.  **[0001783180-25-000008_carr-20241231.htm:61]** **[0001783180-25-000006_a8-kerexhibit99xq42024.htm:13]** **[0001783180-25-000008_carr-20241231.htm:80]** 

What caused the sharp drop in Cash and Cash Equivalents in Q4 2024?

The surge in **Total Assets in Q1 2024** was primarily driven by the **acquisition of the Viessmann Climate Solutions (VCS) business**, which led to significant increases in **Goodwill** (from **$7,989 million to $15,366 million**) and **Intangible Assets, net** (from **$1,028 million to $7,351 million**). Other contributing factors included higher **Inventories** (rising from **$2,217 million to $3,189 million**), expanded **Fixed Assets, net** (from **$2,293 million to $3,179 million**), increased **Operating Lease Right-of-Use Assets** (from **$491 million to $633 million**), and a slight uptick in **Equity Method Investments** (from **$1,140 million to $1,155 million**).  **[0001783180-24-000044_carr-20240331.htm:3]** **[20240425NE96795:5]** **[0001783180-24-000044_carr-20240331.htm:33]** 

What factors contributed to the surge in Total Assets in Q1 2024?

The **spike in long-term debt in Q1 2024** was primarily due to financing activities related to the **acquisition of the VCS Business**. Carrier used a combination of debt financing, including the issuance of **USD-denominated notes** (totaling **$3.0 billion**) and **Euro-denominated notes** (worth **€2.35 billion**), along with the utilization of a **$2,536 million delayed draw facility**, to support the acquisition. These financing measures contributed to the increase from **$14,242 million** at the end of 2023 to **$15,647 million** in Q1 2024.  **[0001783180-24-000044_carr-20240331.htm:3]** **[0001783180-24-000044_carr-20240331.htm:9]** 

Why did Long-term Debt spike in Q1 2024?

c94725807c9376a826212bdcddfead683c31944d4564249a488d3cb1f705e857

The **Operating profit** in Q2 2024 was significantly high due to several key factors. Firstly, a **substantial gain on the sale of the Access Solutions business** markedly boosted the GAAP operating profit. Additionally, the **addition of Viessmann Climate Solutions** further contributed to the high results, despite some dilution on adjusted EPS. Moreover, **improved operational performance** played a vital role—with adjusted operating profit increasing by **26% year-over-year** to **$1,213 million**—and the **expansion of adjusted operating margin by 200 basis points** underscored enhanced efficiency and operational execution.  **[CARR_3394271_5]** **[0001783180-24-000075_a99-q22024earningsexhibit.htm:0]** **[20240725NE69042:0]** 

Why was Operating profit so high in Q2 2024?

The available documents provide conflicting information. One document shows Q3 2024 operating profit as **(2,319.00) USD million**  **[0001783180-24-000088_carr-20240930.htm:2]** , while another analysis indicates that Q3 2024’s operating profit actually increased from **$510 million** in Q3 2023 to **$763 million** in Q3 2024, mainly due to factors such as the **acquisition of Viessmann Climate Solutions**—which brought headwinds like inventory step-up and backlog amortization costs—along with organic growth, pricing improvements, cost management, and strong refrigeration segment performance.  **[0001783180-24-000088_carr-20240930.htm:42]**  Thus, while the headwinds related to the acquisition may have contributed to lower operating profit margins, the documents give conflicting operating profit figures for Q3 2024.

Why was Operating profit so low in Q3 2024?

The available documents provide conflicting information. One document reports Q3 2024 product sales at **$3,914 million**  **[0001783180-24-000088_carr-20240930.htm:2]** , which is lower than the **$5,081 million** in Q3 2023.  **[0001783180-23-000065_carr-20230930.htm:2]**  However, another document explains that Q3 2024 product sales actually increased to **$5,307 million** from **$4,344 million** year‐over‐year, driven by factors such as acquisitions, organic growth improvement in various segments, and strong operational performance.  **[20241024NE39054:6]** **[20241024NE39054:1]** **[0001783180-24-000084_a99-q32024earningsexhibit.htm:1]**  The documents do not specifically explain why the product sales would be considered “low” in Q3 2024. Instead, they describe a situation of increased sales attributed to strategic and operational factors. Therefore, the reasons for “low” product sales in Q3 2024 are not definitively provided by the documents.

Why were Product sales so low in Q3 2024?

In Q2 2024, **Carrier Global Corporation’s** net earnings attributable to common shareowners were driven by several factors. The company recorded a **substantial gain on the sale of its Access Solutions business**, which greatly boosted its GAAP operating profit and net income. Additionally, the **acquisition of Viessmann Climate Solutions** positively contributed to the results (after adjusting for related costs), while improved operational performance, **higher net sales**, and a significant **reduction in debt by approximately $5 billion** further supported this strong performance.  **[0001783180-24-000075_a99-q22024earningsexhibit.htm:0]** **[20240725NE69042:0]** 

Carrier Global Corp (CARR)

Financials