REZI: revenue $1.98B, net income $97.0M. REZI spins off ADI (2.0% of revenue), retains debt, lifts leverage; Q2 op income -26% YoY

Filed August 12, 2026 · Period ending July 4, 2026 · Compared to 10-Q Aug 5, 2025 · ~2 min read

Key Changes

• high

  ADI Global Distribution spin-off completed Aug 3, 2026 (64% of revenue, 27% of operating income). Resideo retained substantially all debt while losing ADI's cash flows, materially raising standalone net leverage vs. historical consolidated ratios.

  MD&A: ADI Spin-Off; Risk Factors verify on EDGAR →
• high

  Operating income fell 26% YoY ($177M → $131M) on $31M spin-off costs, $22M restructuring (vs.$$754M prior), and unfavorable price/mix, despite 2.0% revenue growth. Net income swung positive ($1.98B vs. -$833M prior) on $950M non-operating/other improvement and $18M lower tax, not operations.

  MD&A: Operating Results; Key Signals verify on EDGAR →
• high

  ADIG paid Resideo a $900M dividend (funded by ADIG's new debt) to repay $900M of Resideo term loans (maturities 2028/2031); additional ~$200M repayment expected by end Q3 2026. Gross debt had risen $1.6B YoY to $3.6B before the post-period paydown.

  MD&A: Liquidity; Notes: Debt verify on EDGAR →