Johnson Controls International plc

Good morning and welcome to the Johnson Controls fourth quarter 2024 earnings conference call. Today, all participants will be in a listen-only mode. Should you need assistance during today's call, please signal for a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star then two. Please note that today's event is being recorded. I would now like to turn the conference over to Jim Lucas, Vice President, Investor Relations. Please go ahead.

Good morning, and thank you for joining our conference call to discuss Johnson Control's fiscal fourth quarter 2024 results. The press release and related tables that were issued earlier this morning, as well as the conference call slide presentation, can be found on the Investor Relations portion of our website at johnsoncontrols.com. Joining me on the call today are Johnson Control's Chairman and Chief Executive Officer, George Oliver, and Chief Financial Officer, Mark VanDiepenbeek. Before we begin, let me remind you that during our presentation today, we will make forward-looking statements. Actual results may differ materially from those indicated by forward-looking statements due to a variety of risks and uncertainties. Please refer to our SEC filings for a detailed discussion of these risks and uncertainties in addition to the inherent limitations of such forward-looking statements. We will also reference certain non-GAAP measures. Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are contained in the schedules attached to our press release and in the appendix to this presentation, both of which can be found on the investor relations section of Johnson Control's website. I will now turn the call over to George.

Thanks, Jim, and good morning, everyone. Thank you for joining us on the call today. I would like to start today's call by taking a moment to acknowledge and thank all of our employees for their contributions in delivering strong quarterly results. We also made significant progress in our transformation to simplify our portfolio and become a pure play provider of comprehensive solutions for commercial buildings. Today, we are a faster-growing, more profitable, simpler company. Let's begin with slide four. We ended fiscal 2024 with momentum, delivering double-digit organic revenue growth, robust margin expansion, and 96% adjusted free cash flow conversion. Order growth of 7% in the year was led by data center demand and contributed to our record backlog, which ended the year at $13.1 billion. Our differentiated solutions to enhance efficiency and sustainability in commercial buildings continue to resonate with our customers across the key verticals we serve. For example, we extended our leading position in cooling for data centers with orders for the full year more than doubling the sales we delivered. In fact, we are now seeing key customers placing multi-year orders in the hundreds of millions of dollars to provide cooling solutions. Our pending sale of the residential and light commercial business to Bosch is progressing, and we expect the transaction to close in the fiscal fourth quarter. Today, we are introducing our fiscal 2025 guidance from continuing operations of $3.40 to $3.50, which Mark will give more details on later in the call. We believe we are well positioned going forward to deliver long-term shareholder value. Our business transformation is almost complete, and we are benefiting from more consistent, predictable performance. Slide five presents a pro forma look at the new Johnson Controls, representing the composition of our company going forward. Today, Johnson Controls is a leader in building solutions dedicated to solving our customers' needs for energy efficiency and clean electrification. Our innovative approach and commitment to sustainability are driving us forward, ensuring we provide cutting-edge solutions that meet the evolving demands of the market. Johnson Control's unique customer value proposition directly translates to shareholder value creation. Our multi-domain presence enables us to serve our customers over the building lifecycle while also delivering safe, healthy, and sustainable solutions. This means we can meet the needs of our customers all over the world and deliver cost savings and efficiencies for them. We are confident we are well positioned with the integrated domain expertise in an extensive branch network to deliver greater value to our customers. In turn, we believe this will lead to sustained top-line growth and significant margin expansion. As part of our path towards simplification, we have now deployed one end-to-end operating model that we leverage globally across all of our key verticals. This is positioning us with a unique capability in serving buildings and leveraging our digital expertise to expand our connected services model. We are improving productivity on behalf of our customers, helping them maximize outcomes for their buildings. Whether it is the fast-growing data centers, expansion of campus housing and labs in higher education, or solving needs across healthcare from hospitals to outpatient facilities, we deliver engineered solutions across all of our key verticals. This enables us to realize the benefits of this model over the lifecycle of our solutions, ensuring sustained value creation. John's Controls is better positioned than ever before to help customers create safer, more sustainable buildings, while also maximizing the occupant experience. Our strong finish to fiscal 2024, coupled with a record backlog, reinforces our confidence that John's Controls will continue to lead globally in building solutions. With that, I'll turn it over to Marc.