Johnson Controls reported QQ2 2024 revenue of $6.70 billion with organic growth of 1%, supported by a rebound in orders (up 12% YoY) and a backlog at a record $12.6 billion in Building Solutions. Management emphasized the company’s transformation toward a pure-play, comprehensive solutions provider for commercial buildings, anchored by engineered solutions, data-driven services, and a differentiating focus on data-center infrastructure. Adjusted diluted EPS reached $0.78, at the high end of guidance, underpinned by productivity gains and higher-margin backlog conversion, while GAAP net income remained negative due to macro headwinds and financing costs. Free cash flow was negative ($-331 million) in QQ2, driven by working capital movement and capital investments, with a deliberate unwind of receivable factoring contributing to near-term cash dynamics. The company maintains 2024 guidance for mid-single-digit revenue growth and expects margin expansion through the second half, aided by service mix, backlog conversion, and capacity investments in data centers. The PFAS settlement and factoring unwind are material cash items, while China remains a near-term pressure point that could delay some upside in APAC/China markets. Management signaled ongoing strategic divestment discussions for non-core assets and continued capital allocation to high-return opportunities, particularly in data centers and smart building solutions.