Allegion plc (NYSE:ALLE) Q3 2023 Earnings Conference Call October 31, 2023 8:00 AM ET

Corporate Participants

Jobi Coyle - Director of IR

John Stone - President and Chief Executive Officer

Mike Wagnes - Senior Vice President and Chief Financial Officer

Conference Call Participants

Joe O'Dea - Wells Fargo

Julian Mitchell - Barclays

Joe Ritchie - Goldman Sachs

Brett Linzey - Mizuho

Chris Snyder - UBS

Tim Wojs - Baird

David MacGregor - Longbow

Andrew Obin - Bank of America

Operator

Good morning, and welcome to the Allegion Third Quarter 2023 Earnings Call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Jobi Coyle, Director of Investor Relations. Please go ahead.

Jobi Coyle

Thank you, Drew. Good morning, everyone. Thank you for joining us for Allegion's Third Quarter 2023 Earnings Call. With me today are John Stone, President and Chief Executive Officer; and Mike Wagnes, Senior Vice President and Chief Financial Officer of Allegion.

Our earnings release, which was issued earlier this morning, and the presentation, which we will refer to in today's call are available on our website at investor.allegion.com. This call will be recorded and archived on our website. Please go to Slide number 2.

Statements made in today's call that are not historical facts are considered forward-looking statements and are made pursuant to the Safe Harbor provisions of federal securities law. Please see our most recent SEC filings for a description of some of the factors that may cause actual results to differ materially from our projections. The company assumes no obligation to update these forward-looking statements.

Today's presentation and commentary include non-GAAP financial measures. Please refer to the reconciliation in the financial tables of our press release for further details.

Please go to Slide 3, and I'll turn the call over to John.

John Stone

Thanks, Jobi, and good morning, everyone. Thanks for joining us today.

This current quarter was all about outstanding operational execution from the entire Allegion team, and I'm pleased with our performance.

Electronics demand remains strong with in our opinion a long runway for further adoption. In the quarter, Allegion delivered mid-teens organic growth in electronics and software solutions globally, led by our Americas nonresidential business, which had another robust quarter. We already have the highest margins in our industry, and we're driving additional expansion at the gross and operating margin levels despite not having some of the mechanical volume tailwinds from a year ago.