Whirlpool Corp
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +2.15%.
Did WHR Beat Earnings? Q2 2025 Results
Whirlpool delivered a notably disappointing second quarter, with earnings per share of $1.17 missing the consensus estimate of $1.74 by 32.78% and revenue of $3.77 billion falling short of the $3.88 billion expected while sliding 5.4% year-over-year. The primary culprit was a surge in competitive promotional activity as Asian rivals rushed to stockpile inventory ahead of U.S. tariffs, pressuring consumer sentiment and squeezing Whirlpool's pricing power across its core North American segment, where sales declined 4.7% to $2.45 billion. GAAP net earnings collapsed to $65 million from $219 million a year ago, though a bright spot emerged in the SDA Global segment, where net sales grew 7.5% and EBIT margin expanded 340 basis points to 17.3%. Shares fell sharply on the results, with analysts at RBC Capital lowering their price target amid concerns over elevated import inventory. Looking ahead, Whirlpool guided full-year ongoing EPS of $6.00 to $8.00 on net sales of approximately $15.80 billion, with management expressing confidence that tariff normalization would ultimately benefit its predominantly U.S. manufacturing footprint.
- Significant cost takeout of approximately $50 million (100 basis points) in Q2
- Strong direct-to-consumer sales growth in SDA Global segment
- Favorable price/mix in Latin America
- Sustained strong share gains in Asia despite industry decline
“As expected, the second quarter continued to be impacted by competitors stockpiling Asian imports into the U.S. Despite this, we are well positioned in North America with a robust pipeline of new products, the industry's leading U.S. manufacturing footprint, and favorable housing demand fundamentals. We are confident in our long-term strategy and believe that evolving tariff policies will ultimately support domestic manufacturers.”
Whirlpool CEO, on the earnings call
Forward Guidance & Outlook
Whirlpool updated its full-year 2025 outlook, expecting net sales of approximately $15.8 billion (approximately flat on a like-for-like basis). The company expects to deliver approximately $200 million of structural cost takeout actions. Full-year GAAP earnings per diluted share are projected at approximately $5.00 to $7.00, with ongoing earnings per diluted share of $6.00 to $8.00. Cash provided by operating activities is expected to be approximately $850 million with free cash flow of approximately $400 million. The company expects a GAAP net earnings margin of approximately 2.2% and an ongoing EBIT margin of approximately 5.7%. The adjusted (non-GAAP) tax rate is anticipated at 20-25%. Management will recommend an annual dividend payout rate of $3.60 per share ($0.90 quarterly).
WHR YoY Financials
WHR Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.