10-KPeriod: FY2025

Vertiv Holdings Co Annual Report, Year Ended Dec 31, 2025

Filed February 13, 2026For Securities:VRT

Summary

Vertiv Holdings Co. (VRT) reported robust growth in its 2025 fiscal year, with net sales increasing by 27.7% to $10,229.9 million, up from $8,011.8 million in 2024. This significant expansion was driven by higher sales volumes across its product and service offerings, with particular strength noted in the Americas segment which saw a 41.9% increase in net sales. The company's strategic investments in capacity expansion, including new facilities and acquisitions like Great Lakes Data Racks & Cabinets, are positioning it to capitalize on the accelerating demand in data centers, especially those driven by AI and high-performance computing workloads. Despite facing cost inflation, particularly related to tariffs, Vertiv managed to maintain its gross profit margin at a relatively stable 36.3% in 2025, thanks to improved price realization and operational leverage. The company also demonstrated a commitment to shareholder returns, increasing its quarterly cash dividend and continuing its share repurchase program, with $2.4 billion remaining for future repurchases. Vertiv's outlook suggests continued investment in capacity, innovation in thermal management, and strengthening of its services capabilities to support future growth.

Financial Highlights

53 data points
Beta

Revenue

$10.23B

36.3% Gross Margin

Net Income

$1.33B

13.0% Net Margin

EPS (Diluted)

$3.41

Total Assets

$12.21B

Cash & Equivalents

$1.73B

Free Cash Flow

$1.89B

Financial Statements
Beta
Revenue$10.23B
Cost of Revenue$6.51B
Gross Profit$3.72B
R&D Expenses$441.70M
SG&A Expenses$1.62B
Operating Income$1.83B
Interest Expense$86.10M
Net Income$1.33B
EPS (Basic)$3.49
EPS (Diluted)$3.41
Shares Outstanding (Basic)381.71M
Shares Outstanding (Diluted)390.65M

Key Highlights

  • 1Net sales surged by 27.7% to $10,229.9 million in 2025, driven by increased sales volumes.
  • 2The Americas segment showed exceptional growth, with net sales rising 41.9% to $6,386.3 million.
  • 3Gross profit margin remained strong at 36.3% in 2025, despite cost inflation, indicating effective pricing strategies and operational efficiency.
  • 4The company significantly increased its investment in capital expenditures, allocating $226.4 million in 2025 and projecting $425-$525 million for 2026 to support capacity expansion, particularly for AI and high-density computing infrastructure.
  • 5Strategic acquisitions, including Great Lakes Data Racks & Cabinets and PurgeRite Intermediate, were completed to enhance product offerings and service capabilities.
  • 6Vertiv increased its quarterly cash dividend to $0.0625 per share and has $2.4 billion remaining under its authorized share repurchase program.
  • 7Operating profit saw a substantial increase of 33.8% to $1,829.7 million, reflecting strong revenue growth and improved operational leverage.

Frequently Asked Questions

Vertiv's net sales increased by 27.7% to $10,229.9 million in 2025, primarily driven by higher sales volumes across its product and service offerings. This growth was particularly strong in the Americas segment and was supported by strategic capacity expansions and acquisitions aimed at meeting the accelerating demand in the data center, communication networks, and commercial and industrial sectors, especially those influenced by AI and high-performance computing.

Despite facing cost inflation, particularly related to tariffs, Vertiv maintained a relatively stable gross profit margin of 36.3% in 2025. This was achieved through a combination of higher sales volumes, improved price realization, and operational leverage. The company's ability to pass on some cost increases through pricing strategies, coupled with efficient operations, helped offset inflationary pressures.

Vertiv's strategic priorities focus on maintaining customer focus, achieving operational excellence, building a high-performance culture, fostering innovation, and reinforcing financial strength. Key growth initiatives include expanding manufacturing capacity to meet demand for AI and high-density computing, investing in thermal management portfolio expansion, strengthening services capabilities with software-enabled and data-driven solutions, pursuing strategic partnerships (e.g., with NVIDIA, Caterpillar), and enhancing speed and scale through prefabricated and standardized infrastructure solutions.

Vertiv reported significant operating cash flow generation in 2025, an increase of 60.2% compared to 2024. The company has a substantial cash balance and available credit under its ABL Revolving Credit Facility, which it believes provides adequate liquidity for the next 12 months. Vertiv plans to continue opportunistically accessing capital markets for strategic investments and debt management, while noting that access is subject to market conditions and its credit rating.