Key Highlights

  • Revenue rose 20.5% to $714.5 million from $592.8 million in the third quarter of 2025.
  • Diluted EPS was $1.62, versus $1.28 a year earlier.
  • HVAC Revenue climbed 35.5% to $525.0 million, and its Backlog reached $1,102.5 million.
  • Operating income increased to $115.3 million from $97.1 million.
  • Total Debt stood at $1,334.7 million, up from $501.6 million at the start of the year.

Data center cooling Demand lifts revenue 20.5%

SPX Technologies (NYSE:SPXC), a Charlotte, North Carolina industrial company, makes heating, ventilation and cooling equipment alongside detection and measurement products for infrastructure, transportation and communications. It filed its Quarterly Report for the period ended September 26, 2026 on October 30, 2026.

Revenue was $714.5 million, up from $592.8 million, a rise of 20.5% on a calculated basis. Operating Income was $115.3 million versus $97.1 million, and Net Income was $81.9 million, or $1.62 per diluted share, compared with $62.7 million, or $1.28.

For the nine months, revenue was $1,960.3 million, up from $1,627.8 million, and diluted EPS was $4.35 versus $3.48.

HVAC grows 35.5% but its Margin slips to 23.0%

HVAC revenue was $525.0 million, up from $387.4 million. Organic growth contributed 22.3 percentage points and acquisitions 13.0 points. The organic gain came mainly from higher volumes of cooling equipment tied to Data Center demand and from heating products.

Segment income rose 28.0% to $120.8 million, but margin fell to 23.0% from 24.4%. The company cited growth-related labor and Supply chain inefficiencies tied to Volume increases and capacity expansion, along with elevated input costs.

Backlog in the segment was $1,102.5 million, compared with $578.5 million a year earlier, including $125.2 million tied to the Crawford, Thermolec, Neptronic and FIS Water acquisitions.

Detection and Measurement revenue dips while margin widens

Detection and Measurement revenue fell 7.7% to $189.5 million, which the company attributed to lower project volumes in its communication technologies Business and described as organic. Segment income still edged up 1.7% to $52.6 million, and margin rose to 27.8% from 25.2%.

Management pointed to favorable product mix, synergy initiatives and the resolution of a commercial matter. Segment backlog was $321.7 million, down from $366.1 million.

Acquisitions and capacity spending lift debt to $1.33 billion

Acquisition spending for the nine months was $1,286.6 million, covering Crawford, Thermolec, Neptronic and FIS Water. The FIS Water deal closed on September 15, 2026 for net cash of $405.0 million. The company also sold the non-core businesses acquired with Crawford for $60.0 million on March 27, 2026.

Total debt was $1,334.7 million, compared with $501.6 million at the start of the year, and cash and equivalents were $119.2 million versus $364.0 million at December 31, 2025. Capital expenditures were $79.6 million for the nine months, up from $23.6 million, including $53.8 million for HVAC capacity expansion.

Net cash from Operating Activities was $179.5 million, against $138.1 million a year earlier, even as inventory was built to support growth.

Liquidity and what to watch after the buildout

The company had $737.3 million of available borrowing capacity under its revolving Credit Facility at quarter end. Interest expense was $11.1 million versus $12.0 million, helped by $1.5 million of Capitalized Interest related to capacity expansion. The effective tax rate was 22.6% in both periods.

On May 12, 2026, the board authorized repurchases of up to $100.0 million of stock in any fiscal year, and none were made in the nine months.

Readers will likely watch whether HVAC margin recovers from 23.0% as new capacity ramps, how the $1,102.5 million backlog converts, and how debt develops.