Johnson Controls said it completed the divestiture of its Residential and Light Commercial (R&LC) HVAC business to Robert Bosch GmbH (Bosch) on July 31, 2025 for net cash proceeds of approximately $5.6 billion after tax and transaction-related expenses.

1. 01

   Johnson Controls said it completed the divestiture of its Residential and Light Commercial (R&LC) HVAC business to Robert Bosch GmbH (Bosch) on July 31, 2025 for net cash proceeds of approximately $5.6 billion after tax and transaction-related expenses.

2. 02

   The company cited organic sales growth of $1,430 million as a driver of the increase in net sales, partially offset by the net impact of acquisitions and divestitures of $786 million. Excluding the impact of foreign currency translation and business acquisitions and divestitures, consolidated net sales increased 6% over the prior year, the company said.

3. 03

   Johnson Controls cited higher costs to support operations of $277 million, higher transformation costs of $180 million and the unfavorable impact of prior year earn-out adjustments of $68 million as factors in the increase in selling, general and administrative expenses. The net favorable impact of the prior year water systems AFFF settlement and related insurance recoveries of $422 million partially offset the increase, the company said.

4. 04

   The company said it committed to a multi-year restructuring plan on Q4 in fiscal 2024, with one-time restructuring costs of approximately $400 million expected to be incurred over fiscal 2025, 2027 and subsequent years, resulting in expected annual cost savings of approximately $500 million upon full completion of the plan. Johnson Controls also realigned on April 1, 2025 into 3 reportable segments (Americas, EMEA and APAC) from 4 reportable segments.

Key figures

Fiscal year ended September 30, 2025

Revenue

$23.6B

Net income

$3.3B

EPS

$5.03

Gross profit

$8.6B

Operating cash flow

$2.6B

Analysis scope · Management's discussion (MD&A)We analyzed excerpts of the Management's Discussion and Analysis (MD&A) section (with omissions). Other sections of the report, such as the notes to the financial statements and risk factors, were not reviewed.

AI summarized the filing and translated the summary into English; it may differ from the original. For reference only, not investment advice. AI translated the published Korean report into English. Figures are copied as filed, not recalculated.

Original filing

The filing as submitted to SEC EDGAR. You can check the figures and statements of this summary against it.