Allegion plc (NYSE: ALLE) reported Q3 EPS of $1.67, $0.48 better than the analyst estimate of $1.19. Revenue for the quarter came in at $728.4 million versus the consensus estimate of $666.04 million.

• Third-quarter 2020 net earnings per share (EPS) of $1.58, compared with 2019 EPS of $1.40; Adjusted 2020 EPS of $1.67, up 13.6 percent compared with 2019 adjusted EPS of $1.47
• Third-quarter 2020 revenues of $728.4 million, down 2.7 percent compared to 2019, down 3.4 percent on an organic basis
• Third-quarter 2020 operating margin of 22 percent, compared with 2019 operating margin of 22.5 percent; Adjusted operating margin of 23.3 percent, up 20 basis points compared with 2019 adjusted operating margin of 23.1 percent
• Improving outlook for 2020 full-year revenue decline to a range of 6 to 6.5 percent on both a reported and organic basis
• Raising full-year 2020 EPS outlook to a range of $3.40 to $3.50 and adjusted EPS outlook to a range of $4.75 to $4.80

“Despite the ongoing COVID-19 pandemic, the Allegion team showed outstanding resiliency throughout the third quarter,” Chairman, President and CEO David D. Petratis said. “We experienced sequential improvement and executed solid business performance as the cost actions we have instituted during the year have helped to minimize the pressures from volume declines. We were and remain ready to serve our customers and meet their new needs for touchless access and healthy environments.”

GUIDANCE:

Allegion plc sees FY2020 EPS of $4.75-$4.80, versus the consensus of $4.28.

The company is improving its full-year 2020 revenue outlook for total and organic decline to a range of 6 to 6.5 percent compared to 2019.

The company is raising its full-year 2020 outlook for reported EPS to a range of $3.40 to $3.50 and raising adjusted EPS to a range of $4.75 to $4.80. Adjustments to 2020 EPS include $1.04 per share related to non-cash charges for goodwill and intangible asset impairments, along with estimated impacts of $0.26 to $0.31 per share for restructuring and M&A costs. The outlook updates the full-year adjusted effective tax rate to approximately 13 percent and assumes an average diluted share count for the full year of approximately 93 million shares.

The company is raising its full-year available cash flow outlook to approximately $400 to $420 million.

“Our vision of seamless access and a safer world continues to be our guide, and we see long-term opportunities for innovation across the markets we serve,” Petratis added. “I’m proud of our resiliency and ability to execute even during these difficult and uncertain times. We remain focused on our growth strategy and very disciplined in addressing our expenses, adapting to demand and continuing effective capital deployment. Our focus and discipline, paired with strong underlying business fundamentals and market-leading brands, position us well for the remainder of 2020 and beyond.”

For earnings history and earnings-related data on Allegion plc (ALLE) click here.