Trane Tech raises 2024 profit forecast on resilient demand

Heating, ventilation and air conditioning firm Trane Technologies TT raised its annual profit forecast on Tuesday, as it cashes in on resilient demand for heating and air-conditioning systems from commercial buildings.

Extreme weather events, global warming and rising levels of air pollution have led to an increase in demand for air conditioners and air purifiers.

Trane now expects 2024 adjusted continuing profit per share in the range of $10.40 to $10.50, compared with its previous forecast of $10.00 to $10.30.

The company, which operates brands such as Thermo King and Frigoblock, benefited from an increased demand for environment-friendly heating, cooling and ventilation systems for commercial buildings and refrigeration systems used in trucks.

Trane earned an adjusted continuing profit of $1.94 per share for the first quarter ended March 31, compared with estimates of $1.64 per share, according to LSEG data.

Net revenues rose 15% to $4.21 billion, compared with Wall Street expectations of $3.99 billion.