Carlisle Companies Reports Q1 2025 Revenue of $1,095.8 Million, Operating Income Declines

Carlisle Companies Incorporated reported its financial results for the first quarter of 2025, revealing revenues of $1,095.8 million, a slight decrease of 0.1% from $1,096.5 million in the same period last year. The company's operating income also fell to $183.6 million from $225.2 million, resulting in an operating margin of 16.8%, down from 20.5% in the prior year. Net income for the quarter was $143.3 million, compared to $192.3 million in the first quarter of 2024, leading to diluted earnings per share of $3.20, down from $3.97.

The decline in revenue and profitability was attributed to several factors, including a decrease in sales in the residential construction market, which fell by $15.7 million due to unfavorable weather conditions and lower construction activity. In contrast, the non-residential construction market saw an increase of $19.3 million, driven by recent acquisitions. The company’s gross profit margin also decreased to 35.2% from 36.5%, primarily due to lower sales volume in its Carlisle Weatherproofing Technologies (CWT) segment.

Strategically, Carlisle has been active in expanding its portfolio through acquisitions. In February 2025, the company acquired select assets of ThermaFoam for $52.9 million, which contributed $3.3 million in revenue during the quarter. This acquisition aligns with Carlisle's Vision 2030 strategy to enhance its position as a leading building products company. The company also reported that its recent acquisitions of MTL Holdings and PFB Holdco contributed approximately $50 million in revenue for the quarter, exceeding initial synergy projections.

Operationally, Carlisle's total assets decreased to $5.45 billion as of March 31, 2025, down from $5.82 billion at the end of 2024. The company’s cash and cash equivalents also saw a significant decline, dropping to $220.2 million from $753.5 million. The total employee headcount remained stable, with no significant changes reported. The company continues to focus on improving operational efficiencies and enhancing its product offerings, with plans to invest in innovative energy-efficient solutions.

Looking ahead, Carlisle expressed a cautious optimism regarding the roofing season, with expectations of low-single-digit increases in commercial roofing volumes. However, the company remains vigilant about potential economic slowdowns in the latter half of 2025. Carlisle has raised its share repurchase target for the year from $800 million to $1 billion, reflecting its commitment to returning value to shareholders while navigating the challenges posed by market conditions.