The Zhitong Finance App learned that liquid cooling leader Vertiv Holdings (VRT.US) released its financial report for the third quarter of 2026 in advance of the US stock market on Wednesday. Benefiting from continued strong demand for data center infrastructure, the company's net sales, orders and profits all increased sharply during the quarter, and raised its full-year performance guidelines. The pre-market stock price surged 16%.
Overall performance exceeded expectations
Vertiv's net sales for the third quarter reached $4.313 billion, up 61% year over year, with organic growth of 55%, and mergers and acquisitions contributing about 6%, far exceeding FactSet survey analysts' expectations of $3.75 billion. Adjusted earnings per diluted share of $2.21 were up 78% year over year, also significantly higher than analysts' expectations of $1.82.
Operating profit for the quarter was US$984 million, up 90% year on year; adjusted operating profit of US$1,087 million, up 83% year on year; adjusted operating margin was 25.2%, up 290 basis points year on year. Net profit of US$764.5 million was US$398.5 million in the same period last year. Organic orders increased by more than 100% year over year.
Looking at the subregions, growth showed an overall trend: sales in the Americas increased 75% year over year (66% organic growth), Asia Pacific increased 50% (organic growth 48%), and Europe, Middle East and Africa increased 23% (organic growth 19%).
Net cash from operating activities in the third quarter was US$794 million, and adjusted free cash flow was US$652 million, up 64% and 50%, respectively. Capital expenditure for the full year is expected to account for approximately 4.0% of revenue.
Guidelines for increasing full-year results
The company expects net sales for the fourth quarter of 2026 to be US$4.413 billion, organic sales up 50%; diluted earnings per share will be US$2.08, and adjusted diluted earnings per share will be US$2.25, up 82% and 65% respectively from the fourth quarter of 2025.
The company also raised its full-year results guidance. It now expects net sales for the full year of 2026 to be US$14.65 billion, organic sales up 38%; diluted earnings per share will be US$6.29, and adjusted diluted earnings per share will be US$7.15, up 84% and 70% respectively from the full year of 2025. Analysts had previously predicted adjusted diluted earnings of $6.73 per share.
Management: In the midst of the largest infrastructure wave in history
Vertiv CEO Giordano Albertazzi said, “We are in the midst of the largest wave of infrastructure construction in history, and the wave is still accelerating. Data center infrastructure requirements are evolving at an unprecedented rate, and Vertiv's role in this construction continues to expand.” He mentioned that the company is reducing the new product development cycle from several years to several months and promoting the industrialization of integrated infrastructure on a large scale.
Executive Chairman Dave Cotter said, “The companies that define the digital age are those that lay out ahead of time and deliver value to customers, and that's exactly what we're doing. I believe there is still a long runway ahead, and the opportunities are only getting bigger.”
Earlier this month, Citi listed Vertiv as one of six industrial stocks worth buying ahead of earnings season due to a surge in data center infrastructure demand.
According to reports, Vertiv is headquartered in Westville, Ohio, USA, and operates in more than 130 countries. It is a leading global enterprise in the field of critical digital infrastructure, focusing on liquid cooling and power system design.