Q2 FY2026
Filed Aug 3, 2026Whirlpool Corporation Announces Second-Quarter Results
Q2 GAAP net earnings increased and management reported sequential margin improvement, but net sales, ongoing EBIT, ongoing EBIT margin, and ongoing earnings per diluted share declined year over year while operating cash flow and free cash flow were negative.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net salesGAAP | $3,517 million | – | (6.8)% |
| Organic net salesnon-GAAP | $3,437 million | – | (1.7)% |
| GAAP net earnings available to Whirlpool common shareholdersGAAP | $75 million | – | 14.2% |
| Ongoing EBITnon-GAAP | $62 million | – | (69.1)% |
| GAAP net earnings marginGAAP | 2.1% | – | 0.4pts |
| Ongoing EBIT marginnon-GAAP | 1.8% | – | (3.5pts) |
| GAAP earnings per diluted shareGAAP | $1.15 | – | (1.7)% |
| Ongoing earnings (loss) per diluted sharenon-GAAP | $(0.21) | – | nm |
| Cash provided by (used in) operating activitiesGAAP | $(947) million | – | $(245) million |
| Free cash flownon-GAAP | $(1,108) million | – | $(252) million |
| MDA North America EBITother | $64 million | – | (55.4)% |
| MDA North America EBIT marginother | 2.7% | – | (3.2pts) |
| MDA Latin America EBITother | $26 million | – | (45.7)% |
| MDA Latin America EBIT marginother | 3.0% | – | (3.0pts) |
| SDA Global EBITother | $24 million | – | (30.8)% |
| SDA Global EBIT marginother | 11.9% | – | (5.4pts) |
| Corporate Otherother | $39 million | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| MDA North AmericaExcluding currency, net sales decreased year-over-year driven by lower volume resulting from industry decline, partially offset by favorable price/mix. Sequential net sales growth and EBIT margin improvement were primarily driven by successful execution of previously announced pricing actions. | $2,408 million | 8% | (1.5)% |
| MDA Latin AmericaExcluding currency, net sales decreased year-over-year due to negative price mix in Brazil, despite volume increase. The company announced a price increase and structural cost actions to restore margins in Brazil. | $868 million | – | 7.8% |
| SDA GlobalExcluding currency, net sales decreased year-over-year driven by lower retailer inventory despite strong sell-out. Underlying demand was positive, with strong sell-out and share gains globally. | $202 million | – | 0.5% |
Full-year 2026 outlook
- Revenueapproximately $15.0 billion
- Tax rateGAAP tax rate of approximately 20% and adjusted (non-GAAP) tax rate of 25%
- NoteGAAP net earnings margin of 1.0%
- Noteongoing (non-GAAP) EBIT margin of approximately 4.0%
- NoteStructural cost take out to deliver over $150 million or 100 basis points of margin expansion
- NoteGAAP earnings per diluted share of $2.25 to $2.75
- Notefull-year ongoing earnings per diluted share of $2.50 to $3.00
- NoteCash provided by operating activities of approximately $700 million
- Notefree cash flow of over $300 million
- NoteNet debt below $5.0 billion at year end
- Noteapproximately 1.5% growth vs. 2025 like-for-like net sales of approximately $14.7 billion
What drove it
- Sequential margin expansion was driven by price increase execution, progress with the cost take-out program and key product innovation.
- MDA North America pricing actions and favorable price/mix partly offset lower volume from industry decline.
- MDA Latin America volume increased, but negative price mix in Brazil affected sales excluding currency and EBIT margin.
- SDA Global had strong sell-out and share gains globally, while lower retailer inventory reduced sales excluding currency.
- MDA North America margin was pressured by volume decline, tariff, raw material inflation and fuel costs.
- SDA Global margin reflected planned marketing investments and was supported by new product launches and direct-to-consumer expansion.
Concerns
- Net sales declined (6.8)% year over year and organic net sales declined (1.7)%.
- Ongoing EBIT declined (69.1)% and ongoing EBIT margin declined (3.5pts) year over year.
- Ongoing earnings (loss) per diluted share were $(0.21), compared with $1.34 in 2025.
- Cash provided by operating activities and free cash flow were negative and below the prior-year amounts.
- MDA North America, MDA Latin America and SDA Global each reported year-over-year EBIT and EBIT-margin declines.
- Full-year EPS outlook was revised to reflect the new interest expense outlook.
What to watch
- Execution of the largest price increase in over a decade and its expected contribution to approximately 4.0% ongoing EBIT margin.
- Delivery of over $150 million of structural cost take out or 100 basis points of margin expansion.
- MDA North America volume trends, tariff, raw material inflation and fuel costs.
- MDA Latin America price increases and structural cost actions intended to restore Brazil margins.
- SDA Global retailer inventory, direct-to-consumer expansion, sell-out and share gains.
- Progress toward approximately $700 million of cash provided by operating activities, over $300 million of free cash flow and net debt below $5.0 billion at year end.
Balance sheet and cash flow
- Cash provided by (used in) operating activities was $(947) million, compared with $(702) million in 2025.
- Free cash flow was $(1,108) million, compared with $(856) million in 2025.
- Completed the transition to a $2 billion asset based lending facility.
- Issued $2 billion in secured bonds.
- The financing actions cleared debt maturities until 2028 and created financial flexibility.
- Full-year 2026 outlook calls for net debt below $5.0 billion at year end.
Analysis
Whirlpool reported Q2 net sales of $3,517 million, down (6.8)% from $3,773 million, while organic net sales of $3,437 million declined (1.7)%. GAAP net earnings available to Whirlpool common shareholders increased to $75 million from $65 million, lifting GAAP net earnings margin to 2.1% from 1.7%. GAAP earnings per diluted share were $1.15, compared with $1.17 in 2025.
The non-GAAP profitability picture was materially weaker year over year. Ongoing EBIT was $62 million versus $200 million, and ongoing EBIT margin was 1.8% versus 5.3%. Ongoing earnings per diluted share were $(0.21), compared with $1.34. Management nonetheless characterized Q2 performance as in line with expectations and cited sequential margin expansion from pricing execution, cost take-out progress and product innovation.
North America remained the largest segment, with net sales of $2,408 million. The segment reported 8% sequential net sales growth and 240 bps of sequential EBIT-margin improvement, but year-over-year sales, EBIT and margin declined as lower industry volume, tariffs, raw material inflation and fuel costs weighed on results. Latin America and SDA Global also recorded lower EBIT and EBIT margins year over year. Latin America faced negative price mix in Brazil despite volume growth, while SDA Global faced lower retailer inventory despite strong sell-out and global share gains.
Cash flow remained a key pressure point in the quarter, with $(947) million of cash used in operating activities and $(1,108) million of free cash flow. Whirlpool completed its transition to a $2 billion asset based lending facility and issued $2 billion in secured bonds, which the company said cleared debt maturities until 2028. The company maintained its full-year operational outlook, including approximately $15.0 billion of net sales and approximately 4.0% ongoing EBIT margin, but revised EPS to reflect the new interest expense outlook. It continues to target approximately $700 million of operating cash flow, over $300 million of free cash flow and net debt below $5.0 billion at year end.
Management, verbatim
We are encouraged by the sequential margin expansion achieved in Q2, driven by price increase execution, progress with our cost take-out program and key product innovation. These decisive actions position our business for sustained performance improvement.
Marc Bitzer, Chairman and Chief Executive Officer
We have taken proactive steps to strengthen our balance sheet and optimize our capital structure. By completing the $2B ABL facility and successfully issuing $2B in secured bonds, we have significantly extended our debt maturity profile and created financial flexibility to support our strategic priorities.
Roxanne Warner, Chief Financial Officer
Not in the filing
stated, not guessed- Period-end date
- Gross profit and gross margin
- GAAP operating income
- GAAP operating margin
- GAAP net income attributable to all shareholders beyond net earnings available to Whirlpool common shareholders
- Total cash balance
- Total debt balance
- Share repurchases
- Dividend declaration or payment
- Prior-quarter figures for reported metrics
- Previous-release outlook for comparison
- Guidance for gross margin
- Guidance for operating expenses
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.