Smart building solution company Johnson Controls recorded revenues of $2.3 billion in its North America building solutions segment in fiscal Q4 2021, up 5% compared to the same quarter the previous year, according to the company’s earnings release.
The firm said it recorded a high-single digit growth in service with solid growth across HVAC & Controls, Fire & Security and Performance Infrastructure.
“Orders in the quarter, excluding M&A and adjusted for foreign currency, increased 11% year-over-year. Backlog at the end of the quarter of $6.5 billion increased 10% compared to the prior year, excluding M&A and adjusted for foreign currency,” the firm said.
For full fiscal year 2021, the company’s North America building solutions segment generated revenues of $8.68 billion, slightly up from $8.60 billion in fiscal 2020.
In EMEA and Latin America, the company recorded revenues of $962 million in fiscal Q4 2021 in its building solutions segment, up 6% compared to the same period the previous year.
“Organic sales grew 3% versus the prior year led by continued strong demand in Service activity. Growth was led by Fire & Security and Industrial Refrigeration. By region, Europe and Latin America experienced strong growth while the Middle East remained under pressure. Orders in the quarter, excluding M&A and adjusted for foreign currency, increased 7% year-over-year. Backlog at the end of the quarter of $1.9 billion increased 15% year-over-year, excluding M&A and adjusted for foreign currency.”
In Asia Pacific, sales in the quarter amounted to $724 million, an increase of 10% versus the prior year. “Organic sales grew 7% versus the prior year with solid growth in both service and project installations, driven by strong growth in Commercial Applied HVAC & Controls. China remains the primary source of growth, with the rest of Asia mixed due to ongoing lockdown restrictions in many regions,” the company said.
At a global level, Johnson Controls recorded revenues of $6.4 billion in fiscal Q4, up 7% compared to the year-ago quarter.
“Fiscal 2021 was a pivotal year in the transformation of Johnson Controls, from a traditional buildings systems integrator into a smart buildings solutions leader,” said George Oliver, chairman and CEO. “Our teams navigated an incredibly challenging environment, delivering solid financial performance while continuing to advance our strategic commitments,” Oliver continued.
“Although supply chain disruptions and inflation headwinds are expected to continue near term, I am excited and encouraged by the pace of demand in many of our end markets and our record backlogs, both of which position us well for fiscal 2022. Looking ahead, we are intensifying our focus on accelerating our growth capabilities, leveraging innovative technologies, driving higher attachment of recurring services and capitalizing on our vectors of growth. Our OpenBlue digital platform is transforming our engagement with customers, and our ability to address arguably the most-pressing issues in buildings history – net zero carbon emissions and healthy environments. In addition, our cost programs are well underway and will help to boost profitability as conditions normalize,” Oliver added.
