Carrier to Report Q2 Earnings: Here's What to Expect This Season

CARR’s earnings surpassed estimates in three of the trailing four quarters and missed on the remaining occasion, with an average surprise of 7.8%.

How are Estimates Placed for CARR Stock?

The Zacks Consensus Estimate for second-quarter EPS has inched up to 83 cents from 82 cents in the past 30 days. However, the estimated figure indicates a 9.8% decline from the year-ago quarter’s earnings of 92 cents per share.

The consensus estimate for net sales is pegged at $6.02 billion, indicating a decline of 1.5% from the prior-year quarter’s level.

Factors at Play for Carrier’s Q2 Results

Sales

The top-line performance of Carrier is expected to have tumbled year over year due to the ongoing softness in the residential and light commercial businesses, particularly in the Americas. This demand weakness is also likely to have stretched to China as well as Europe, which has likely witnessed more sales decline in the commercial businesses during the second quarter.

The company is likely to have been facing weakness in multiple traditional HVAC markets at the same time, mainly concerned with residential demand, which has resulted in soft contributions from its four reportable segments, including Climate Solutions Americas (contributed 46.8% to first-quarter 2026 sales), Climate Solutions Europe (24.2%), Climate Solutions Asia Pacific, Middle East & Africa (15.6%) and Climate Solutions Transportation (13.3%).

Sales from the Transportation segment are likely to have tumbled in the second quarter because of unfavorable year-over-year comparisons and the inorganic moves undertaken by CARR in reshaping its business portfolio. Although the organic sales are encouraging, these aspects are likely to have primarily resulted in the year-over-year decline.

For the second quarter, the Zacks Consensus Estimate for net sales from Americas, Europe, Asia Pacific, Middle East & Africa and Transportation business segments under Climate Solutions is pegged at $3.17 billion, $1.19 billion, $862 million and $719 million, reflecting year-over-year declines from $3.25 billion, $1.25 billion, $882 million and $726 million, respectively.

Earnings

Carrier is expected to report a year-over-year bottom-line downturn in the second quarter, due to the reduced leverage from declining top-line growth and higher input costs, indicating that maintaining price-cost balance is being difficult. Moreover, elevated European promotions and tariff risks are likely to have added to the year-over-year decline.

What the Zacks Model Indicates for CARR

Our proven model does not predict an earnings beat for Carrier this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, it is not the case this time around.

CARR’s Earnings ESP: The company has an Earnings ESP of -3.24%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

CARR’s Zacks Rank: The stock currently has a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks Poised to Beat Earnings

Here are some companies in the Zacks Construction sector, which according to our model, have the right combination of elements to post an earnings beat.

Boise Cascade Company BCC has an Earnings ESP of +6.50% and a Zacks Rank of 2 at present. 

Boise Cascade’s earnings beat estimates in two of the last four quarters, missed on one occasion and met on the remaining occasion, the average surprise being 40.8%. The company’s earnings for the second quarter of 2026 are expected to decline 25% year over year.

Amentum Holdings, Inc. AMTM currently has an Earnings ESP of +3.18% and a Zacks Rank of 2.

Amentum’s earnings beat estimates in each of the last four quarters, the average surprise being 4%. The company’s earnings for the second quarter of 2026 are expected to increase 12.5% year over year.

CRH plc CRH has an Earnings ESP of +4.08% and a Zacks Rank of 3.

CRH’s earnings beat estimates in two of the last four quarters, missed on one occasion and met on the remaining occasion, the average surprise being 0.7%. The company’s earnings for the second quarter of 2026 are expected to inch up 1% year over year.

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This article originally published on Zacks Investment Research (zacks.com).

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