Trane Technologies

Pricing has been consistently positive relative to input inflation, contributing roughly 3 percentage points to 2025 growth and supporting margin expansion. The company’s value proposition is hard ROI from energy savings and decarbonization mandates, which enables price increases on high‑efficiency applied systems and services.

Third‑quarter 2025 showed GAAP operating margin up 150 bps year over year with record bookings and strong commercial mix, indicating pricing and mix defense even with residential weakness.

Risks include cyclical price competition in unitary residential and transport refrigeration downturns, yet the growing applied and services mix supports latent pricing power over time.