Techtronic Industries Company Limited (TTI) reported record first-half 2026 revenue of US$8.29 billion, a 5.90% year-on-year increase, aided by 1.9 percentage points of currency tailwinds. Gross profit margin expanded 258 basis points to 42.9%, marking an eighteenth consecutive first-half improvement.

EBIT climbed 15.90% to US$822 million, lifting the EBIT margin 86 basis points to 9.9%. Profit attributable to shareholders advanced 17.50% to US$738 million; basic EPS rose 17.80% to US 40.50 cents. Free cash flow strengthened to US$753 million from US$468 million, and management raised the 2026 full-year FCF target to more than US$1.30 billion.

Segment realignment: TTI now reports under “Professional” and “Consumer.” Professional generated US$5.90 billion (71% of group sales), up 9.70% with EBIT margin improving to 10.5%. Consumer revenue slipped 2.50% to US$2.40 billion, reflecting the 2025 exit from the HART brand, yet segment EBIT rose 15.80% and margin reached 8.5%.

Regional trends: Americas delivered 4.30% growth in local currency (6.80% underlying). EMEA added 2.80% in local currency, with double-digit Milwaukee gains offsetting softer consumer demand. Rest of World advanced 3.70%.

Balance sheet & cash discipline: Net cash position stood at US$1.07 billion. Working capital was 16.6% of sales; inventory days on hand fell to 100. First-half capex totaled US$92 million.

Shareholder returns: The interim dividend was lifted 20.00% to US 19.31 cents per share (HK150 cents), payable on 18 September to shareholders on record 4 September. A US$500 million share repurchase programme commenced in June; US$42 million had been deployed by end-July.

Outlook: Management reiterated mid-to-high single-digit 2026 revenue growth for Milwaukee and Ryobi, maintained the goal of at least 10% EBIT margin by 2027, and signalled upside potential beyond 2028.