SPX Technologies Reports 3.7% Revenue Growth to $482.6 Million in Q1 2025

SPX Technologies, Inc. reported a revenue increase of 3.7% for the first quarter of 2025, totaling $482.6 million, compared to $465.2 million in the same period last year. The company attributed this growth primarily to acquisitions, specifically the recent purchases of Ingénia Technologies and Kranze Technology Solutions, which contributed to the HVAC and Detection and Measurement segments, respectively. Operating income also rose to $66.6 million from $64.6 million year-over-year, driven by improved performance in both reportable segments, despite increased costs related to intangible asset amortization and acquisition-related expenses.

In terms of profitability, SPX Technologies reported net income of $51.2 million, or $1.10 per share, up from $49.0 million, or $1.07 per share, in the prior year. The increase in net income was supported by a favorable product mix and higher project volumes, particularly in the communication technologies business. However, the Detection and Measurement segment experienced a decline in organic revenue due to lower volumes in certain project areas, which partially offset gains in the HVAC segment.

The company has made significant strategic moves, including the acquisition of KTS for $342.4 million, which is expected to enhance its capabilities in digital interoperability and tactical networking solutions for the defense industry. Additionally, SPX completed the acquisition of Ingénia for $292.0 million, which specializes in high-precision air handling units for various sectors. These acquisitions are anticipated to bolster SPX's market position and drive future growth.

Operationally, SPX Technologies reported a total employee headcount of 46,706,426 common shares outstanding as of April 25, 2025. The company continues to expand its geographic footprint, with revenues from the United States accounting for $403.0 million, up from $392.9 million in the previous year. The HVAC segment reported revenues of $323.0 million, a 6.8% increase, while the Detection and Measurement segment saw a slight decline to $159.6 million, down 2.0% from the prior year.

Looking ahead, SPX Technologies remains optimistic about its growth trajectory, bolstered by recent acquisitions and a strong balance sheet. The company is closely monitoring market conditions, including the potential impacts of tariffs and geopolitical conflicts, but believes its diverse business model positions it well to navigate these challenges. The management anticipates continued revenue growth driven by both organic and inorganic factors, with a focus on integrating recent acquisitions to maximize operational efficiencies and market reach.