A. O. Smith’s $300 Million Buyback — Cash Flow Surges As China Struggles!

A. O. Smith’s financial results for the second quarter of 2026 displayed a mixture of performance across its geographic markets and product segments amid varied industry conditions. The company reported total sales of approximately $1 billion, with adjusted earnings per share of $1.03. Notably, North America sales grew by 5% to $821 million, driven partly by the acquisition of Leonard Valve, which contributed $16 million in sales and broadened the company’s water management and digital control capabilities. Excluding Leonard Valve, organic sales growth in North America was approximately 3%, supported by solid boiler sales (up 21%), carryover pricing, and focused customer service efforts despite challenges such as softness in residential water heater volumes and weakened new construction activity. Conversely, A. O.