Allegion plc (NYSE:ALLE) posted stronger-than-expected third-quarter earnings on Thursday, as robust demand in its Americas non-residential business and effective pricing strategies helped lift results. Shares of the security products company rose 1.3% after the announcement.
For the quarter ended September 30, Allegion reported adjusted earnings per share of $2.30, topping the analyst consensus of $2.21. Revenue reached $1.07 billion, beating expectations of $1.04 billion and increasing 10.7% year-over-year. Organic revenue growth came in at 5.9%.
The Americas division — which generates the bulk of Allegion’s revenue — grew by 7.9% (6.4% organically) from the same period a year earlier. The International segment performed even better, with revenue rising 22.5% (3.6% organically).
“Allegion’s third-quarter performance was defined by strong execution producing solid results,” said John H. Stone, Allegion President and CEO.
“With enterprise double-digit revenue growth led by our Americas non-residential business and accretive capital deployment, we’re raising our outlook for reported full-year 2025 revenue and adjusted EPS.”
The company’s adjusted operating margin held steady at 24.1%, compared to 24.2% in the prior year, while its effective tax rate declined to 9.8% from 10.5%.
On the back of its solid results, Allegion raised its 2025 reported revenue growth outlook to 7.0%–8.0% while maintaining its organic growth forecast at 3.5%–4.5%. The company also boosted its earnings guidance to a range of $7.45–$7.55 per share, or $8.10–$8.20 on an adjusted basis.
“As we finish out 2025, we remain agile and are steadily delivering on our commitments to customers and shareholders,” Stone added.