AOSNYSE

SMITH A O CORP

Household Appliances · DE · CIK 91142

Manufactures and markets residential and commercial water heaters, boilers, heat pumps, tanks, and water treatment products

red 8-K · 90d⚡ Elevated coverage

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$8.14B

Market cap

$61.68

Last close

-0.1%

+5.1%

1.5M

Volume

Price · last 39 sessions+4.8%

May 4L $55.78 · H $61.72Jun 29

180

Total filings

Jun 26, 2026

Last filing

12/31

Fiscal year end

All 8-K · 98 10-Q · 36 DEF 14A · 12 11-K · 12 10-K · 12 SC 13G · 7 DEFA14A · 3

Insider Activity

In the 90 days to Mar 4, 2026: 1 sold $111K.

Date	Insider	Action	Shares	Price	Value
Mar 4, 2026	Schuh Darrell W.SVP; President & GM Lochinvar	Sell	1,104	$74.39	$82K
Feb 13, 2026	Schuh Darrell W.SVP; President & GM Lochinvar	Sell	356	$79.89	$28K

Open-market buys & sells (Form 4, transaction codes P/S). Source: SEC structured insider data.

What Changed

Risk factors · Feb 11, 2025 → Feb 10, 2026

83 added · 89 removed between the two most recent 10-Ks. The risks a company starts — or stops — disclosing are often the story.

Newly disclosed

The following table sets forth the computation of basic and diluted weighted-average shares used in the earnings per share calculations: 2025 2024 2023 Denominator for basic earnings per share - weighted-average shares outstanding 141,029,845 145,997,584 149,952,679 Effect of dilutive stock options, restricted stock and share units 884,995 1,086,496 1,062,895 Denominator for diluted earnings per share 141,914,840 147,084,080 151,015,574 Recent Accounting Pronouncements In September 2025, the FASB issued ASU No. 2025-06, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40), which modernizes the accounting guidance for internal-use software costs by eliminating the requirement to assess software development stages and introduces a new capitalization threshold.
Goodwill and Other Intangible Assets Changes in the carrying amount of goodwill during the years ended December 31, 2025 and 2024 consisted of the following: (dollars in millions) North America Rest of World Total Balance at December 31, 2023 $ 574.9 $ 58.5 $ 633.4 Currency translation adjustment ( 8.7 ) ( 1.4 ) ( 10.1 ) Acquisitions 20.5 117.9 138.4 Balance at December 31, 2024 586.7 175.0 761.7 Currency translation adjustment 4.8 ( 2.0 ) 2.8 Acquisition adjustments (1) — ( 53.9 ) ( 53.9 ) Balance at December 31, 2025 $ 591.5 $ 119.1 $ 710.6 (1) Measurement period adjustments related to the 2024 acquisitions which impacted the amount of goodwill originally reported.
Before considering any reduction of distributor rebate accruals of $ 1.9 million and $ 2.0 million as of December 31, 2025 and December 31, 2024, respectively, and from the resale of the related inventory, the gross amount the Company would be obligated to repurchase, which would be contingent on the default of all of the outstanding loans, was approximately $ 2.1 million and $ 2.9 million as of December 31, 2025 and December 31, 2024, respectively.
Operations by Segment (continued) December 31, 2024 (dollars in millions) North America Rest of World Inter-segment Elimination Total Segments Less: Corporate Expenses Total Sales from external customers $ 2,928.1 $ 890.0 $ — $ 3,818.1 $ — $ 3,818.1 Inter-segment sales 22.0 28.6 — 50.6 — 50.6 2,950.1 918.6 — 3,868.7 — 3,868.7 Elimination of Inter-segment sales ( 22.0 ) ( 28.6 ) — ( 50.6 ) — ( 50.6 ) Net Sales 2,928.1 890.0 — 3,818.1 — 3,818.1 Cost of products sold 1,780.1 581.9 — 2,362.0 — 2,362.0 Gross Profit 1,148.0 308.1 — 1,456.1 — 1,456.1 Inter-segment Profit — 0.4 ( 0.4 ) — — — Selling, general and administrative expenses 433.2 235.0 — 668.2 71.1 739.3 Restructuring and impairment expense 6.3 11.3 — 17.6 — 17.6 Other expense (income), net (2) 1.0 ( 2.3 ) — ( 1.3 ) ( 7.2 ) ( 8.5 ) Earnings $ 707.5 $ 64.5 $ ( 0.4 ) $ 771.6 $ ( 63.9 ) $ 707.7 Interest expense ( 6.7 ) Earnings before provision for income taxes $ 701.0 (2) Other expense (income), net consists primarily of interest income that is located within Corporate Expenses.
December 31, 2023 (dollars in millions) North America Rest of World Inter-segment Elimination Total Segments Less: Corporate Expenses Total Sales from external customers $ 2,904.3 $ 948.5 $ — $ 3,852.8 $ — $ 3,852.8 Inter-segment sales 18.6 8.4 — 27.0 — 27.0 2,922.9 956.9 — 3,879.8 — 3,879.8 Elimination of Inter-segment sales ( 18.6 ) ( 8.4 ) — ( 27.0 ) — ( 27.0 ) Net Sales 2,904.3 948.5 — 3,852.8 — 3,852.8 Cost of products sold 1,761.1 607.0 — 2,368.1 ( 0.1 ) 2,368.0 Gross Profit 1,143.2 341.5 — 1,484.7 0.1 1,484.8 Inter-segment Profit — 0.5 ( 0.5 ) — — — Selling, general and administrative expenses 411.6 243.0 — 654.6 72.8 727.4 Restructuring and impairment expense — 15.7 — 15.7 3.1 18.8 Other expense (income), net (3) 4.9 ( 0.1 ) — 4.8 ( 11.7 ) ( 6.9 ) Earnings $ 726.7 $ 83.4 $ ( 0.5 ) $ 809.6 $ ( 64.1 ) $ 745.5 Interest expense ( 12.0 ) Earnings before provision for income taxes $ 733.5 (3) Other expense (income), net consists primarily of interest income that is located within Corporate Expenses.
However, gains and losses from our forward contracts will be offset by gains and losses in the underlying transactions being hedged. 27 Table of Contents Forward-Looking Statements This filing contains statements that the Company believes are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.
Subsequent Events On January 6, 2026, the Company completed the acquisition of LVC Holdco LLC (“Leonard Valve”).
In November 2024, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2024-03 “Income Statement - Reporting Comprehensive Income (Topic 220): Disaggregation of Income Statement Expenses.” The ASU requires additional disclosures by disaggregating the costs and expense line items that are presented on the face of the income statement.
Acquisitions (continued) (dollars in millions) Current assets $ 5.6 Property, plant and equipment 0.6 Intangible assets 56.4 Goodwill 63.9 Total assets acquired 126.5 Current liabilities ( 1.9 ) Net assets acquired $ 124.6 During the first quarter of 2024, the Company acquired a privately-held water treatment company.
Property, Plant and Equipment December 31 (dollars in millions) 2025 2024 Land $ 30.4 $ 30.0 Buildings 424.9 408.5 Equipment 961.8 911.8 Software 147.3 145.6 1,564.4 1,495.9 Accumulated depreciation and amortization ( 929.3 ) ( 867.2 ) Net property, plant, and equipment $ 635.1 $ 628.7 9.
The carrying amount of other intangible assets consisted of the following: 2025 2024 December 31 (dollars in millions) Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Amortizable intangible assets: Patents $ 7.4 $ ( 4.2 ) $ 3.2 $ 3.7 $ ( 3.7 ) $ — Customer lists 291.7 ( 201.6 ) 90.1 287.5 ( 187.3 ) 100.2 Total amortizable intangible assets 299.1 ( 205.8 ) 93.3 291.2 ( 191.0 ) 100.2 Indefinite-lived intangible assets: Trade names 269.0 — 269.0 220.9 — 220.9 Total intangible assets $ 568.1 $ ( 205.8 ) $ 362.3 $ 512.1 $ ( 191.0 ) $ 321.1 Amortization expenses of other intangible assets of $ 14.8 million, $ 12.7 million, and $ 12.6 million were recorded in 2025, 2024 and 2023, respectively.
A summary of stock unit activity under the Incentive Plan is as follows: Number of Units Weighted-Average Grant Date Value Issued and unvested at January 1, 2025 74,398 $ 75.40 Granted 38,435 65.68 Forfeited ( 3,131 ) 70.78 Issued and unvested at December 31, 2025 109,702 72.12 47 Table of Contents 13.

No longer disclosed

Due to the close proximity of the acquisition date and the Company's filing of its annual report on Form 10-K for the year ended December 31, 2024, the initial accounting for the business combination is incomplete and is pending identification and measurement of the assets acquired and liabilities assumed.
In addition, in the third quarter of 2022, the Company incurred $ 4.3 million of expenses and related income tax benefit of $ 1.1 million associated with a terminated acquisition.
Forward-Looking Statements This filing contains statements that the Company believes are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.
The following table sets forth the computation of basic and diluted weighted-average shares used in the earnings per share calculations: 2024 2023 2022 Denominator for basic earnings per share - weighted-average shares outstanding 145,997,584 149,952,679 154,786,327 Effect of dilutive stock options, restricted stock and share units 1,086,496 1,062,895 993,037 Denominator for diluted earnings per share 147,084,080 151,015,574 155,779,364 Recent Accounting Pronouncements In November 2024, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2024-03 “Income Statement - Reporting Comprehensive Income (Topic 220): Disaggregation of Income Statement Expenses.” The ASU requires additional disclosures by disaggregating the costs and expense line items that are presented on the face of the income statement.
In November 2023, the FASB issued ASU 2023-07, “Segment Reporting (Topic 280) - Improvements to Reportable Segment Disclosures.” The update is intended to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant expenses.
Property, Plant and Equipment December 31 (dollars in millions) 2024 2023 Land $ 30.0 $ 31.0 Buildings 408.5 378.6 Equipment 911.8 865.9 Software 145.6 143.1 1,495.9 1,418.6 Accumulated depreciation and amortization ( 867.2 ) ( 821.1 ) Net property, plant, and equipment $ 628.7 $ 597.5 9.
Goodwill and Other Intangible Assets Changes in the carrying amount of goodwill during the years ended December 31, 2024 and 2023 consisted of the following: (dollars in millions) North America Rest of World Total Balance at December 31, 2022 $ 561.1 $ 58.6 $ 619.7 Currency translation adjustment 2.6 ( 0.1 ) 2.5 Acquisitions 11.2 — 11.2 Balance at December 31, 2023 574.9 58.5 633.4 Currency translation adjustment ( 8.7 ) ( 1.4 ) ( 10.1 ) Acquisitions 20.5 117.9 138.4 Balance at December 31, 2024 $ 586.7 $ 175.0 $ 761.7 The carrying amount of other intangible assets consisted of the following: 2024 2023 December 31 (dollars in millions) Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Amortizable intangible assets: Patents $ 3.7 $ ( 3.7 ) $ — $ 3.7 $ ( 3.7 ) $ — Customer lists 287.5 ( 187.3 ) 100.2 286.4 ( 174.0 ) 112.4 Total amortizable intangible assets 291.2 ( 191.0 ) 100.2 290.1 ( 177.7 ) 112.4 Indefinite-lived intangible assets: Trade names 220.9 — 220.9 224.3 — 224.3 Total intangible assets $ 512.1 $ ( 191.0 ) $ 321.1 $ 514.4 $ ( 177.7 ) $ 336.7 Amortization expenses of other intangible assets of $ 12.7 million, $ 12.6 million, and $ 12.8 million were recorded in 2024, 2023 and 2022, respectively.
The Company’s stock options are expensed ratably over the three year vesting period; however, included in the stock option expense recognized in 2022 is expense associated with the accelerated vesting of stock option awards for certain employees who either are retirement eligible or become retirement eligible during the vesting period.
Stock Based Compensation (continued) A summary of stock unit activity under the Incentive Plan is as follows: Number of Units Weighted-Average Grant Date Value Issued and unvested at January 1, 2024 34,758 $ 67.14 Granted 29,475 82.19 Forfeited ( 6,124 ) 75.48 Performance adjustments 16,289 80.76 Issued and unvested at December 31, 2024 74,398 75.40 13.
Pension and Other Post-retirement Benefits (continued) Pension Benefits Post-retirement Benefits Years ended December 31 (dollars in millions) 2024 2023 2024 2023 Accumulated benefit obligation (ABO) at December 31 $ ( 27.3 ) $ ( 26.3 ) N/A N/A Change in projected benefit obligations (PBO) PBO at beginning of year $ ( 26.7 ) $ ( 28.3 ) $ ( 1.7 ) $ ( 1.7 ) Service cost ( 1.1 ) ( 0.9 ) — — Interest cost ( 1.4 ) ( 1.2 ) ( 0.1 ) ( 0.1 ) Participant contributions — — ( 0.1 ) ( 0.1 ) Actuarial gain (loss) including assumption changes 0.7 ( 1.1 ) 0.1 — Benefits paid 0.8 4.8 0.2 0.2 PBO at end of year $ ( 27.7 ) $ ( 26.7 ) $ ( 1.6 ) $ ( 1.7 ) Change in fair value of plan assets Plan assets at beginning of year $ 20.3 $ 45.2 $ — $ — Actual return on plan assets ( 1.4 ) 0.6 — — Contribution by the Company 0.5 0.5 0.1 0.1 Participant contributions — — 0.1 0.1 Benefits paid ( 0.8 ) ( 4.8 ) ( 0.2 ) ( 0.2 ) Transfer related to plan termination — ( 21.2 ) — — Plan assets at end of year $ 18.6 $ 20.3 $ — $ — Funded status $ ( 9.1 ) $ ( 6.4 ) $ ( 1.6 ) $ ( 1.7 ) Amount recognized in the balance sheet Noncurrent assets $ 2.2 $ 4.4 $ — $ — Current liabilities ( 0.5 ) ( 0.5 ) ( 0.2 ) ( 0.2 ) Non-current liabilities ( 10.8 ) ( 10.3 ) ( 1.4 ) ( 1.5 ) Net pension liability at end of year $ ( 9.1 ) * $ ( 6.4 ) * $ ( 1.6 ) $ ( 1.7 ) Amounts recognized in accumulated other comprehensive loss before tax Net actuarial loss $ 8.3 $ 6.7 $ 0.2 $ 0.3 Prior service cost 1.8 1.9 ( 1.3 ) ( 1.8 ) Total recognized in accumulated other comprehensive loss $ 10.1 $ 8.6 $ ( 1.1 ) $ ( 1.5 ) *In addition, the Company has a liability for a foreign pension plan of $ 0.3 million at December 31, 2024 and 2023, respectively.
Pension and Other Post-retirement Benefits (continued) Pension Benefits Post-retirement Benefits Years ended December 31 (dollars in millions) 2024 2023 2022 2024 2023 2022 Net periodic cost (benefit) Service cost $ 1.1 $ 0.9 $ 1.4 $ — $ — $ — Interest cost 1.4 1.2 14.5 0.1 0.1 0.1 Expected return on plan assets ( 1.2 ) ( 1.0 ) ( 21.5 ) — — — Amortization of unrecognized: Net actuarial loss 0.3 0.1 19.9 — — — Prior service cost 0.1 0.1 ( 0.4 ) ( 0.5 ) ( 0.5 ) ( 0.5 ) Defined-benefit plan expense (income) 1.7 1.3 13.9 ( 0.4 ) ( 0.4 ) $ ( 0.4 ) Pension settlement (income) expense — ( 0.9 ) 417.3 — — — Various U.S. defined contribution plans cost 17.9 16.5 15.3 — — — $ 19.6 $ 16.9 $ 446.5 $ ( 0.4 ) $ ( 0.4 ) $ ( 0.4 ) Other changes in plan assets and projected benefit obligation recognized in other comprehensive loss Net actuarial loss (gain) $ 1.9 $ 1.5 $ ( 27.0 ) $ ( 0.1 ) $ — $ 0.2 Amortization of net actuarial loss ( 0.3 ) ( 0.1 ) ( 19.9 ) — — — Settlement loss — — ( 417.3 ) — — — Amortization of prior service cost ( 0.1 ) ( 0.1 ) 0.4 0.5 0.5 0.5 Total recognized in other comprehensive loss 1.5 1.3 ( 463.8 ) 0.4 0.5 0.7 Total recognized in net periodic cost (benefit) and other comprehensive loss $ 3.2 $ 1.7 $ ( 32.6 ) $ — $ 0.1 $ 0.3 The 2024 and 2023 after tax adjustments for additional minimum pension liability resulted in other comprehensive (loss) of $( 1.5 ) million and $( 1.4 ) million, respectively.
Actuarial assumptions used to determine benefit obligations at December 31 are as follows: Pension Benefits Post-retirement Benefits 2024 2023 2024 2023 Discount rate 5.57 % 4.96 % 5.49 % 4.89 % Actuarial assumptions used to determine net periodic benefit cost for the year ended December 31 are as follows: Pension Benefits Post-retirement Benefits Years ended December 31 2024 2023 2022 2024 2023 2022 Discount rate 4.96 % 5.15 % 2.80 % 4.89 % 5.09 % 2.44 % Expected long-term return on plan assets 5.25 % 5.25 % 3.12 % N/A N/A N/A Rate of compensation increase 4.00 % 4.00 % 4.00 % N/A N/A N/A Assumed health care cost trend rates Health care inflation assumptions are no longer needed as all remaining retiree medical benefits are fixed subsidies or reimbursements. 49 Table of Contents 13.

In the News

⚡ Elevated coverage

Coverage (30d): 1 reputable article.

The New York TimesThe 4 Best Under-Sink Water Filters of 2026 | Reviews by Wirecutter6d ago

Reputable outlets only (Reuters, WSJ, CNBC, Barron's, and peers). More on Google News ↗

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