Ingersoll Rand (NYSE:IR) Q4 Earnings Surge on Recurring Revenue and M&A Amid Margin Pressures

Ingersoll Rand (NYSE:IR) reported Q4 CY2025 revenue up 10.1% YoY to $2.09B and non-GAAP EPS of $0.96/share, 6.6% above consensus. The results reflect expansion in recurring revenue, disciplined M&A, and strong order growth, with recurring revenue exceeding $450M and a $1.1B backlog. The company added scale through acquisitions, including Synomics. CEO Vicente Reynal emphasized continued momentum in the life sciences segment and productivity initiatives, while CFO Vikram U. Kini warned that margin expansion will likely materialize in the second half of 2026 amid pricing pressures and ongoing tariff impacts. Management remains focused on backlog conversion, integration of recent acquisitions, and recurring revenue growth. IR closed at $98.85, up from $94.21 before the earnings, reflecting positive market reaction.