On this page of StockholderLetter.com we present the 4/25/2024 shareholder letter from Trane Technologies plc — ticker symbol TT. Reading current and past TT letters to shareholders can bring important insights into the investment thesis.

 •  4/25/2024 Letter Continued (Full PDF)
 •  4/21/2023 TT Stockholder Letter
 •  4/24/2025 TT Stockholder Letter
 •  4/23/2026 TT Stockholder Letter
 •  More "Metals Fabrication & Products" Category Stockholder Letters
 •  TT Benford's Law Stock Score = 80

TT 4/25/2024 Shareholder/Stockholder Letter Transcript:

V.
Accelerating Action
for Impat
Impact
2023 Annual Report
2024 Notice and Proxy Statement



14

ti
o
TECHNOLOGIES"
O

Shareholders,
Dear Shareholders.
In 2023, Trane Technologies
achieved yet another year
   nancial
of very strong financial
performance while delivering
on our bold sustainability
commitments. The urgent
need for climate action
is clear -    and so is our
purpose to boldly challenge
what   s possible for a
what's
sustainable world.
iLL
Leading financial
   nancial performance
Our strong results in 2023 build on our track
   nancial performance, with another
record of leading financial
year of record bookings, 9% organic revenue
growth* and our third consecutive year of more than
20% adjusted earnings per share (EPS) growth*.
Customer demand is exceptional and growing, as
re   ected in our Commercial HVAC backlog, which
reflected
has nearly tripled in the past three years. Finally,
   ow* of $2.2 billion
we generated powerful free cash flow*
in 2023, or 103% of adjusted net earnings, supporting
our balanced capital allocation strategy.
Accelerating innovation
We are relentlessly investing in sustainable innovation
to reduce energy use and carbon emissions.
Trane   thermal management
Examples include our Trane  
systems, which can simultaneously heat and cool
e   cient than
and are three to four times more efficient
high-e   ciency
traditional methods. Our custom, high-efficiency
chillers are reducing energy use in data centers and
high-tech industrials. Our high-efficiency
high-e   ciency residential
o   er industryair conditioners and heat pumps offer
leading variable speed technology and Trane  
Trane  
LinkTM connected systems that make installation,
Link   
maintenance and service smarter.
In transport
transport, our new Thermo King  
King   all-electric
Advancer trailer refrigeration unit can adapt to a
variety of power sources, including axle power, and
operates with zero direct emissions.
We are also reducing the carbon footprint of our
own operations -    from installing our own HVAC
technology to powering our facilities with renewable
energy and reducing embodied carbon in our
supply chain.
*These are non-GAAP financial
   nancial measures. Reconciliation of non-GAAP financial
   nancial measures can be found preceding the 2024 Notice and Proxy Statement
Statement.
   These
Trane Technologies / 2023 Annual Report

Culture drives growth
Our strong performance is made possible by
our people and our uplifting culture. We continue
to perform in the top quartile in employee
engagement across all industries according to
our external benchmark.
recruit,
We are investing in innovative ways to recruit
develop and retain talent for the future, such as
our Technician Apprenticeship Program accredited
by the U.S. Department of Labor. We continue
to cultivate diversity and inclusion across our
enterprise, including with our Board of Directors,
where we have reached gender parity.
Building a sustainable future
We are uniquely positioned to lead. With our
purpose-driven strategy, relentless innovation and
uplifting culture, we are well positioned to continue
to deliver di   erentiated
differentiated shareholder returns over
the long-term. The end result is strong value
creation across the board -    for our customers,
our shareholders, our people and the planet.
$17.7B
Total
revenue
157M
mtCO2e contributed
mtCO2e
to the Gigaton
Challenge since 2019
98
New products
in 2023
Top   I-quartile
Jartile
Employee
engagement score
Dave Regnery
Chair and CEO
Trane Technologies
MAID
11 11 11 11 11
Trane Technologies / 2023 Annual Report

PROGRESS
2030 Sustainability Commitments
We track and publicly report our progress towards our sustainability
commitments. Data included in the Gigaton Challenge and
Leading by Example pillars are assured by an independent third party.
KEY
A+
A
Tracking ahead
Progressing toward goal
Gigaton Challenge
2030 Goal
Performance Indicators
Reduce customer carbon
footprint by 1 gigaton
Reduced customer carbon footprint by 157 million
mtCO2e since 2019
mtCO2e
Provide access to comfort
and fresh food
Launched nearly 300 new products and services since
2020 that increase comfort and strengthen the cold chain
rah
Progress
A+
Leading by Example
2030 Goal
Performance Indicators
Achieve carbon neutral
operations
Reduced operational emissions intensity for Scope 1
and Market-based Scope 2 by 59% since 2019
A+
Design systems for circularity
Low-carbon steel purchases represented over
use; shipped more than 1 million HVAC
20% annual use,
units made with low-carbon steel
A
Achieve net-positive
water use in water-stressed
locations
Reduced water usage by 26% since 2019 baseline
in areas classified
classi   ed as water-stressed
Achieve 10% absolute
reduction in energy
consumption
4% absolute energy reduction since 2019, even as
demand and production increased
Trane Technologies / 2023 Annual Report
Progress

RO 7
h " [I
V
Opportunity for All
2030 Goal
Performance Indicators
Progress
Achieve workforce diversity
reflective
re   ective of our communities
Increased racially or ethnically diverse U.S. salaried
employees from 17% in 2020 to 20.6%
Achieve gender parity in
senior leadership roles
Increased women in management from 22%
in 2020 to 25.2%
Invest $100 million in
building sustainable futures
for underrepresented
communities
Invested more than $18 million in our communities
non-pro   t network to 35
and expanded our non-profit
global partners
Dedicate 500,000
employee volunteer hours
in our communities
Employees volunteered over 237,000 hours since
2019, bringing us to 47% of our goal
COMMITTED TO NET-ZERO BY 2050
re   ect the actions we are taking now to bend the curve on climate change, but our efforts
e   orts
Our 2030 commitments reflect
won   t
we   ll continue to take action toward our long-term goal
won't stop there. Once we achieve our near-term targets, we'll
of net-zero emissions by 2050. Our approach is aligned with the latest guidance from the United Nations Framework
   rst corporate net-zero goals to be validated by SBTi
Convention on Climate Change (UNFCC) and is among the first
among all sectors.
Learn more about our progress toward our 2030 Sustainability Commitments and our pathway to Net-Zero
in our 2023 ESG Report. www.tranetechnologies.com/esg
inetechnologies.com/esg
External Recognition & Rankings
Dow Jones Sustainability Indices
13th consecutive year on the North America Index
    13th
rd
   3
3rd
consecutive year on the World Index
CDP A List
consecutive year on the A List for Climate
Financial Times Europe's
Europe   s Climate Leaders
rd
   3
3rd
consecutive year
World   s Most Ethical Companies  
Companies  
Ethisphere World's
    First-time honoree
2nd
       2nel
JUST Capital
rd
   3
3rd
consecutive year on the JUST 100
    Industry leader for the 2nel
2nd consecutive year
World   s Most Admired Companies*
Fortune World's
    12th
12th consecutive year
Fortune Best Workplaces for Women*
th
    Ranked 39
overall
39th
*From Fortune.    2024 Fortune Media IP Limited All rights reserved. Used under license. Fortune and Fortune
Media IP Limited are not affiliated
a   liated with, and do not endorse products or services of Trane Technologies.
Trane Technologies / 2023 Annual Report

4/25/2024 Letter Continued (Full PDF)

 

Nothing in StockholderLetter.com is intended to be investment advice, nor does it represent the opinion of, counsel from, or recommendations by BNK Invest Inc. or any of its affiliates, subsidiaries or partners. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. By visiting, using or viewing this site, you agree to the following Full Disclaimer & Terms of Use and Privacy Policy.