Whirlpool’s third quarter was marked by positive market reaction, driven by organic growth in its North American appliance segment and continued strength in its KitchenAid small domestic appliance business. Management credited double-digit revenue growth in KitchenAid and share gains in North American major appliances to an extensive wave of new product launches, despite an intense promotional environment. CEO Marc Bitzer highlighted that “the share gains came from new products,” and noted that KitchenAid reached a near all-time high in market share for major appliances. However, margin pressure persisted due to ongoing industry-wide tariff preloading and elevated promotional activity.
Is now the time to buy WHR? Find out in our full research report (it’s free for active Edge members).
Whirlpool (WHR) Q3 CY2025 Highlights:
- Revenue: $4.03 billion vs analyst estimates of $3.93 billion (1% year-on-year growth, 2.5% beat)
- Adjusted EPS: $2.09 vs analyst estimates of $1.39 (50.3% beat)
- Adjusted EBITDA: $263 million vs analyst estimates of $283.6 million (6.5% margin, 7.3% miss)
- The company reconfirmed its revenue guidance for the full year of $15.8 billion at the midpoint
- Management reiterated its full-year Adjusted EPS guidance of $7 at the midpoint
- Operating Margin: 5.1%, down from 6.6% in the same quarter last year
- Market Capitalization: $4.02 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 Q3 Earnings Call
- Susan Maklari (Goldman Sachs) asked about the source of North American share gains. CEO Marc Bitzer explained the gains were primarily from new products, with KitchenAid’s market share reaching historical highs, and noted they maintained promotional discipline despite industry pressure.
- David S. MacGregor (Longbow Research) inquired about incremental floor space and the expected impact on 2026 unit growth. Bitzer avoided giving specific numbers but affirmed confidence in organic growth opportunities and stated that major upfront costs would be absorbed by year-end.
- Michael Rehaut (JPMorgan) questioned the intensity of the promotional environment compared to pre-COVID norms. Bitzer described current conditions as exceptionally volatile due to tariff preloading and said normalization should occur once excess inventory is cleared by end of Q4.
- Michael Dahl (RBC Capital Markets) asked about the company’s ability to achieve its free cash flow guidance despite tariff headwinds. CFO Jim Peters detailed the impact of working capital swings and the expectation for cash flow normalization as inventory and tariff-related effects subside.
- Jeffrey Stevenson (Loop Capital) sought clarity on demand trends following significant product launches. Bitzer noted that historically, the year after a major product rollout sees stronger sales as launch costs drop and retail partners become more familiar with new features.
Catalysts in Upcoming Quarters
In the coming quarters, the StockStory team will be monitoring (1) the pace at which promotional pressures recede as competitors’ pre-tariff inventory is worked through, (2) the margin recovery in North America as tariff effects normalize and new product costs roll off, and (3) progress on U.S. housing market indicators and builder channel activity. Execution on domestic manufacturing investments and ongoing product innovation will remain critical signposts for future success.
Whirlpool currently trades at $71.78, down from $73.80 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it’s free for active Edge members).
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