Whirlpool reported a challenging fourth quarter in 2025, with full-year ongoing EBIT margin at 4.7% and ongoing EPS of $6.23, below analyst consensus. The company absorbed approximately $300 million in new tariffs on components and finished products, and existing home sales hit a 30-year low, weighing on high-margin discretionary demand. Promotions intensified in North America during Black Friday and extended promotional periods pushed operating margins in the quarter to just under 5%. Despite these pressures, global organic revenues were essentially flat year-over-year and Whirlpool gained share in MDA North America in the second half of the year.

In North America, full-year net sales excluding currency were flat, with a 2.8% EBIT margin in Q4 and roughly 5% for the year, pressured by promotional depth and delayed price adjustments for tariffs. Latin America net sales declined about 2%, though a favorable tax ruling lifted full-year EBIT margin to 6.2%. Asia ex-India grew net sales about 1%, delivering a 5% EBIT margin, up 120 basis points, driven by cost takeout; Asia will no longer be reported separately following the reduction of Whirlpool’s India stake from 51% to 40%. The small domestic appliances unit grew fourth-quarter net sales by 10% and full-year by 9%, achieving a 16% EBIT margin, up 170 basis points. Whirlpool returned $300 million to shareholders through dividends and used India sale proceeds to reduce debt.

Management is targeting approximately 5% revenue growth in 2026 on a like-for-like basis, with ongoing EBIT margin expanding by 80–110 basis points to 5.5%–5.8%. Key drivers include a 175-basis-point benefit from pricing normalization and new products, over $150 million in cost takeout for a 100-basis-point gain, and 50 basis points of reinvestment in marketing and technology. Tariffs announced in 2025 are expected to exert a roughly 125-basis-point headwind primarily in the first half. Whirlpool forecasts free cash flow of $400 million–$500 million and full-year ongoing EPS around $7, reflecting a higher effective tax rate of 25%.

Whirlpool’s strong U.S. manufacturing footprint—using approximately 96% American steel—and the transition of over 30% of its portfolio to new products underpinned share gains and improved pricing power late in the quarter. The company plans about $400 million in capital expenditures, at least $400 million in debt reduction, and quarterly dividends. Investors should weigh near-term margin pressure from tariffs and housing-market weakness against potential upside from promotional normalization, product launches (including the new Laundry Tower with UV Clean technology), and a recovery in existing home sales.