A O Smith Financials
Financial Health Signals
Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores
A O Smith has an operating margin of 19.0%, meaning the company retains $19 of operating profit per $100 of revenue. This strong profitability earns a score of 95/100, reflecting efficient cost management and pricing power. This is up from 18.5% the prior year.
A O Smith's revenue declined 100% year-over-year, from $3.8B to $4K. This contraction results in a growth score of 0/100.
A O Smith carries a low D/E ratio of 0.06, meaning only $0.06 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 100/100, indicating a strong balance sheet with room for future borrowing.
A O Smith's current ratio of 1.50 indicates adequate short-term liquidity, earning a score of 40/100. The company can meet its near-term obligations, though with limited headroom.
A O Smith converts 14.3% of revenue into free cash flow ($546). This strong cash generation earns a score of 71/100.
A O Smith earns a strong 29.4% return on equity (ROE), meaning it generates $29 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 100/100. This is up from 28.3% the prior year.
A O Smith scores 5196208.79, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($11.1B) relative to total liabilities ($1K). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
A O Smith passes 7 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), 1 of 2 leverage/liquidity signals pass, both operating efficiency signals pass.
For every $1 of reported earnings, A O Smith generates $1.13 in operating cash flow ($617 OCF vs $546 net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
A O Smith earns $53.9 in operating income for every $1 of interest expense ($728 vs $14). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
This page shows A O Smith (AOS) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 18 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Key Financial Metrics
A O Smith generated $4K in revenue in fiscal year 2025. This represents a decrease of 100.0% from the prior year.
A O Smith's EBITDA was $813 in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 100.0% from the prior year.
A O Smith generated $546 in free cash flow in fiscal year 2025, representing cash available after capex. This represents a decrease of 100.0% from the prior year.
A O Smith reported $546 in net income in fiscal year 2025. This represents a decrease of 100.0% from the prior year.
A O Smith earned $3.85 per diluted share (EPS) in fiscal year 2025. This represents an increase of 6.1% from the prior year.
A O Smith held $175 in cash against $113 in long-term debt as of fiscal year 2025.
A O Smith paid $1.38 per share in dividends in fiscal year 2025.
A O Smith had 26M shares outstanding in fiscal year 2025.
A O Smith's gross margin was 38.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 0.7 percentage points from the prior year.
A O Smith's operating margin was 19.0% in fiscal year 2025, reflecting core business profitability. This is up 0.5 percentage points from the prior year.
A O Smith's net profit margin was 14.3% in fiscal year 2025, showing the share of revenue converted to profit. This is up 0.3 percentage points from the prior year.
A O Smith's ROE was 29.4% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 1.1 percentage points from the prior year.
A O Smith invested $95 in research and development in fiscal year 2025. This represents a decrease of 100.0% from the prior year.
A O Smith spent $401 on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 100.0% from the prior year.
A O Smith invested $71 in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 100.0% from the prior year.
AOS Income Statement
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $912.5M-3.2% | $942.5M-6.8% | $1.0B+4.9% | $963.9M+5.6% | $912.4M+1.1% | $902.6M-11.9% | $1.0B+4.6% | $978.8M |
| Cost of Revenue | $562.1M-2.8% | $578.0M-5.9% | $614.2M+4.4% | $588.5M+2.5% | $574.3M+1.6% | $565.3M-10.0% | $628.3M+5.8% | $594.1M |
| Gross Profit | $350.4M-3.9% | $364.5M-8.2% | $397.1M+5.8% | $375.4M+11.0% | $338.1M+0.2% | $337.3M-14.8% | $396.0M+2.9% | $384.7M |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A Expenses | $186.6M-1.2% | $188.9M-1.3% | $191.3M-0.7% | $192.6M+5.8% | $182.0M+3.1% | $176.6M-6.3% | $188.5M-1.9% | $192.2M |
| Operating Income | $163.0M-7.1% | $175.4M-14.9% | $206.2M+12.1% | $184.0M+24.7% | $147.5M-6.7% | $158.1M-24.1% | $208.4M+7.6% | $193.7M |
| Interest Expense | $2.4M-33.3% | $3.6M-21.7% | $4.6M+58.6% | $2.9M+20.8% | $2.4M+60.0% | $1.5M-16.7% | $1.8M+80.0% | $1.0M |
| Income Tax | $35.2M-11.6% | $39.8M-19.4% | $49.4M+11.0% | $44.5M+25.7% | $35.4M-3.0% | $36.5M-27.6% | $50.4M+11.8% | $45.1M |
| Net Income | $125.4M-5.0% | $132.0M-13.3% | $152.2M+11.4% | $136.6M+24.5% | $109.7M-8.7% | $120.1M-23.1% | $156.2M+5.8% | $147.6M |
| EPS (Diluted) | $0.89-5.3% | $0.94-12.1% | $1.07+12.6% | $0.95+26.7% | $0.75-8.5% | $0.82-22.6% | $1.06+6.0% | $1.00 |
AOS Balance Sheet
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $3.1B-0.9% | $3.2B-2.3% | $3.2B-0.6% | $3.3B+0.9% | $3.2B+2.7% | $3.2B-1.4% | $3.2B+0.5% | $3.2B |
| Current Assets | $1.3B-1.9% | $1.3B-5.2% | $1.4B-2.4% | $1.4B+2.1% | $1.4B-1.4% | $1.4B-4.6% | $1.5B+1.4% | $1.5B |
| Cash & Equivalents | $174.5M+14.3% | $152.7M-14.2% | $177.9M+2.8% | $173.0M-27.8% | $239.6M+9.3% | $219.3M+1.5% | $216.1M-14.1% | $251.6M |
| Inventory | $479.3M-5.5% | $507.3M-2.3% | $519.3M-2.5% | $532.6M+0.1% | $532.1M-4.1% | $554.9M+1.9% | $544.7M+4.3% | $522.3M |
| Accounts Receivable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Goodwill | $710.6M+0.1% | $710.0M-0.5% | $713.6M+0.9% | $707.1M-7.2% | $761.7M+16.9% | $651.7M+0.2% | $650.4M-0.2% | $651.5M |
| Total Liabilities | $1.3B-3.1% | $1.3B-5.3% | $1.4B-0.8% | $1.4B+4.1% | $1.4B+9.6% | $1.2B-3.8% | $1.3B-1.1% | $1.3B |
| Current Liabilities | $862.5M+1.2% | $852.5M+1.1% | $843.0M-4.4% | $882.1M-1.7% | $897.2M+6.3% | $844.2M-3.2% | $872.4M-1.2% | $883.4M |
| Long-Term Debt | $112.7M-32.4% | $166.8M-41.3% | $284.2M+9.4% | $259.8M+41.8% | $183.2M+67.0% | $109.7M-15.9% | $130.4M+18.9% | $109.7M |
| Total Equity | $1.9B+0.7% | $1.8B-0.1% | $1.8B-0.5% | $1.9B-1.5% | $1.9B-1.7% | $1.9B+0.3% | $1.9B+1.6% | $1.9B |
| Retained Earnings | $4.0B+1.9% | $3.9B+2.2% | $3.8B+2.8% | $3.7B+2.4% | $3.6B+1.7% | $3.5B+2.1% | $3.5B+3.2% | $3.4B |
AOS Cash Flow Statement
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $183.1M-28.3% | $255.4M+83.0% | $139.6M+260.7% | $38.7M-82.6% | $221.9M+13.3% | $195.9M+241.3% | $57.4M-46.2% | $106.6M |
| Capital Expenditures | $17.6M+18.9% | $14.8M-13.5% | $17.1M-19.7% | $21.3M-30.4% | $30.6M-5.8% | $32.5M+41.9% | $22.9M+4.1% | $22.0M |
| Free Cash Flow | $165.5M-31.2% | $240.6M+96.4% | $122.5M+604.0% | $17.4M-90.9% | $191.3M+17.1% | $163.4M+373.6% | $34.5M-59.2% | $84.6M |
| Investing Cash Flow | -$16.3M+53.3% | -$34.9M-487.8% | $9.0M+183.3% | -$10.8M+93.1% | -$156.0M-205.9% | -$51.0M-559.5% | $11.1M+115.6% | -$71.2M |
| Financing Cash Flow | -$146.5M+40.3% | -$245.5M-68.2% | -$146.0M-53.5% | -$95.1M-133.7% | -$40.7M+71.7% | -$144.0M-39.7% | -$103.1M+14.5% | -$120.6M |
| Dividends Paid | $50.6M+6.3% | $47.6M-1.4% | $48.3M-1.8% | $49.2M-0.6% | $49.5M+6.0% | $46.7M-0.4% | $46.9M-0.8% | $47.3M |
| Share Buybacks | $65.4M-22.2% | $84.1M-35.7% | $130.7M+8.4% | $120.6M+75.5% | $68.7M-18.1% | $83.9M+6.6% | $78.7M+5.6% | $74.5M |
AOS Financial Ratios
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 38.4%-0.3pp | 38.7%-0.6pp | 39.3%+0.3pp | 39.0%+1.9pp | 37.1%-0.3pp | 37.4%-1.3pp | 38.7%-0.6pp | 39.3% |
| Operating Margin | 17.9%-0.7pp | 18.6%-1.8pp | 20.4%+1.3pp | 19.1%+2.9pp | 16.2%-1.3pp | 17.5%-2.8pp | 20.3%+0.6pp | 19.8% |
| Net Margin | 13.7%-0.3pp | 14.0%-1.0pp | 15.0%+0.9pp | 14.2%+2.1pp | 12.0%-1.3pp | 13.3%-1.9pp | 15.3%+0.2pp | 15.1% |
| Return on Equity | 6.8%-0.4pp | 7.2%-1.1pp | 8.3%+0.9pp | 7.4%+1.5pp | 5.8%-0.5pp | 6.3%-1.9pp | 8.2%+0.3pp | 7.8% |
| Return on Assets | 4.0%-0.2pp | 4.2%-0.5pp | 4.7%+0.5pp | 4.2%+0.8pp | 3.4%-0.4pp | 3.8%-1.1pp | 4.9%+0.2pp | 4.6% |
| Current Ratio | 1.50-0.0 | 1.54-0.1 | 1.65+0.0 | 1.61+0.1 | 1.55-0.1 | 1.67-0.0 | 1.70+0.0 | 1.65 |
| Debt-to-Equity | 0.06-0.0 | 0.09-0.1 | 0.15+0.0 | 0.14+0.0 | 0.10+0.0 | 0.06-0.0 | 0.070.0 | 0.06 |
| FCF Margin | 18.1%-7.4pp | 25.5%+13.4pp | 12.1%+10.3pp | 1.8%-19.2pp | 21.0%+2.9pp | 18.1%+14.7pp | 3.4%-5.3pp | 8.6% |
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Frequently Asked Questions
What is A O Smith's annual revenue?
A O Smith (AOS) reported $4K in total revenue for fiscal year 2025. This represents a -100.0% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is A O Smith's revenue growing?
A O Smith (AOS) revenue declined by 100% year-over-year, from $3.8B to $4K in fiscal year 2025.
Is A O Smith profitable?
Yes, A O Smith (AOS) reported a net income of $546 in fiscal year 2025, with a net profit margin of 14.3%.
What is A O Smith's earnings per share (EPS)?
A O Smith (AOS) reported diluted earnings per share of $3.85 for fiscal year 2025. This represents a 6.1% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.
What is A O Smith's EBITDA?
A O Smith (AOS) had EBITDA of $813 in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does A O Smith have?
As of fiscal year 2025, A O Smith (AOS) had $175 in cash and equivalents against $113 in long-term debt.
What is A O Smith's gross margin?
A O Smith (AOS) had a gross margin of 38.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is A O Smith's operating margin?
A O Smith (AOS) had an operating margin of 19.0% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is A O Smith's net profit margin?
A O Smith (AOS) had a net profit margin of 14.3% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
Does A O Smith pay dividends?
Yes, A O Smith (AOS) paid $1.38 per share in dividends during fiscal year 2025.
What is A O Smith's return on equity (ROE)?
A O Smith (AOS) has a return on equity of 29.4% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is A O Smith's free cash flow?
A O Smith (AOS) generated $546 in free cash flow during fiscal year 2025. This represents a -100.0% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is A O Smith's operating cash flow?
A O Smith (AOS) generated $617 in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are A O Smith's total assets?
A O Smith (AOS) had $3K in total assets as of fiscal year 2025, including both current and long-term assets.
What are A O Smith's capital expenditures?
A O Smith (AOS) invested $71 in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does A O Smith spend on research and development?
A O Smith (AOS) invested $95 in research and development during fiscal year 2025.
Does A O Smith buy back shares?
Yes, A O Smith (AOS) spent $401 on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.
How many shares does A O Smith have outstanding?
A O Smith (AOS) had 26M shares outstanding as of fiscal year 2025.
What is A O Smith's current ratio?
A O Smith (AOS) had a current ratio of 1.50 as of fiscal year 2025, which is considered adequate.
What is A O Smith's debt-to-equity ratio?
A O Smith (AOS) had a debt-to-equity ratio of 0.06 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is A O Smith's return on assets (ROA)?
A O Smith (AOS) had a return on assets of 17.4% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is A O Smith's Altman Z-Score?
A O Smith (AOS) has an Altman Z-Score of 5196208.79, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is A O Smith's Piotroski F-Score?
A O Smith (AOS) has a Piotroski F-Score of 7 out of 9, indicating strong financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are A O Smith's earnings high quality?
A O Smith (AOS) has an earnings quality ratio of 1.13x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can A O Smith cover its interest payments?
A O Smith (AOS) has an interest coverage ratio of 53.9x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is A O Smith?
A O Smith (AOS) scores 68 out of 100 on our Financial Profile, indicating strong overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.