A Letter from Our CEO
Fellow shareholders,
I am humbled, grateful and proud to share the progress Allegion has made in delivering on our commitments to you. Our achievements are a direct result of the passion of our people, the resilience of our business model and the trust of our valued partners and customers.
Allegion delivered a strong year in 2025 with high-single-digit enterprise revenue and earnings growth, demonstrating our ability to execute effectively in a dynamic and inflationary environment. We ended the year with cash flow of more than $685 million, up nearly 18% versus 20241. At the same time, Allegion achieved top-quartile employee engagement in the manufacturing industry and was again honored with the Gallup Exceptional Workplace Award. Our people are our greatest asset, and I’m proud of the results we’ve driven while fostering a thriving culture.
Allegion team members showcase the recently enhanced LCN® Senior Swing Auto Operator, made in Princeton, Illinois.
Allegion’s brands and our legacy of innovation are also central to our success. In 2026, our LCN (invented the door closer) and CISA (patented the first electrically controlled lock) brands turn 100 years old – joining Bricard, Schlage and Von Duprin, who each boast more than a century of service to the safety and security of people around the world. Allegion is a company of innovators, experts in our industry, partners of choice for security and access. With our expansive product portfolio and made-to-order manufacturing capability, we have distinct and defendable competitive advantages to create value for customers and shareholders.
Our accelerated organic investments are expanding those advantages, opening new market segments for Allegion and fueling our opportunities for long-term, above-market growth in electronics. In 2025, we announced the battery-less SimonsVoss FORTLOX Cylinder, managed via SimonsVoss software to secure critical infrastructure and large complexes. We embedded new WiFi technology in Schlage XE360™ electronic locks for multifamily and non-residential spaces – cutting installation costs by at least 25%, enabling faster, real-time lock commands and driving the ability to deploy electronic access control in more places. As we emphasized at our first annual Developer Conference, Schlage electronic locks will be the easiest to integrate with building automation systems as Allegion redefines the connected access experience with more security, convenience and functionality than ever before.
3x
winner
Gallup Exceptional
Workplace Award
in 2024, 2025 & 2026
Top
quartile
Employee engagement2
vs. all companies in
Gallup database as of Feb. 2026
~53%
Total Shareholder Return
for the 2023-2025
performance period
Allegion also accelerated inorganic investments last year, completing approximately $630 million in acquisitions. Across Allegion Americas and Allegion International, we strengthened our core mechanical portfolio and added complementary electronics and software solutions that further differentiate our hardware. We are focused on driving returns and staying true to our strategy as we solidify Allegion’s position as a leading pureplay in security and access.
Looking ahead, I’m confident in our team, our brands and our best-in-class distribution, bolstered by our competitive advantages in technology, manufacturing and go-to-market capabilities. Allegion is dedicated to delivering value to our shareholders while advancing our vision to create a safer and more accessible world.
Regards,
John H. Stone
President & CEO, Allegion plc
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Letter from our CEO.
1 Available cash flow generation is a non-GAAP measure. See Appendix A to the accompanying 2026 Proxy Statement for the definitions of these non-GAAP financial measures as well as reconciliations to the most directly comparable U.S. generally accepted accounting principles measure.
2 Percentile is based on Gallup’s Q12 Overall Company Level Database from the survey year. GALLUP is a registered trademark of Gallup, Inc. and the property of its owner.
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