Whirlpool’s fourth-quarter results drew a negative market reaction as the company’s revenue came in below Wall Street expectations, with flat sales year over year. Management attributed the underperformance mainly to ongoing challenges in its North American business, including $300 million in tariff costs and a sluggish U.S. housing market, which saw existing home sales at a multi-decade low. CEO Marc Bitzer described 2025 as a “difficult year with unforeseen challenges,” noting that despite a record number of new product launches and share gains, intense promotional activity and delayed industry pricing adjustments pressured margins. Management expressed cautious optimism as industry pricing appeared to normalize late in the quarter.
Is now the time to buy WHR? Find out in our full research report (it’s free for active Edge members).
Whirlpool (WHR) Q4 CY2025 Highlights:
- Revenue: $4.10 billion vs analyst estimates of $4.26 billion (flat year on year, 3.7% miss)
- Adjusted EPS: $1.10 vs analyst expectations of $1.52 (27.6% miss)
- Adjusted EBITDA: $227 million vs analyst estimates of $269.3 million (5.5% margin, 15.7% miss)
- Adjusted EPS guidance for the upcoming financial year 2026 is $7 at the midpoint, missing analyst estimates by 2.9%
- Operating Margin: 5.9%, up from -3.3% in the same quarter last year
- Market Capitalization: $4.80 billion
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Whirlpool’s Q4 Earnings Call
- David MacGregor (Longbow Research) asked about replacement versus discretionary demand and the risk of pent-up demand. CEO Marc Bitzer explained that replacement demand remains healthy and stable, but discretionary demand linked to existing home sales is not factored into guidance, though it could provide upside if consumer sentiment improves.
- Michael Rehaut (JPMorgan) inquired about structural margin improvement strategies beyond traditional cost and mix levers. CFO Roxanne Warner emphasized continued focus on cash flow, inventory reduction, and debt paydown, while Juan Carlos Fuente highlighted aggressive cost actions and leveraging the manufacturing footprint as central to the turnaround plan.
- Mike Dahl (RBC Capital Markets) probed specifics on recent promotional pricing changes and their impact on confidence in 2026 margin targets. Bitzer detailed the sharp post-Black Friday shift to normalized promotions, which have held for six weeks, but cautioned against extrapolating this trend across the full year due to competitive uncertainty.
- W. Andrew Carter (Stifel) questioned the causes of the negative price/mix variance in Q4 and the speed at which improvement can be realized. Bitzer attributed the Q4 pressure to deeper-than-expected promotions driven by excess inventory, which has since normalized, supporting a more favorable outlook.
- Charles Perron (Goldman Sachs) asked for details on the components of the $150 million cost takeout plan. Bitzer clarified that the majority is new action, including expanded vertical integration and a comprehensive strategic sourcing review, with prior successes providing confidence in execution.
Catalysts in Upcoming Quarters
In upcoming quarters, the StockStory team will monitor (1) the sustainability of a less promotional environment and its impact on North American margins, (2) the pace of cost reduction execution, including vertical integration and sourcing initiatives, and (3) further traction from new product launches across both core and small appliance segments. The evolution of housing market activity and tariff policy will also be critical signposts for future performance.
Whirlpool currently trades at $85.40, up from $80.87 just before the earnings. At this price, is it a buy or sell? See for yourself in our full research report (it’s free).
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