International. Johnson Controls International reported fiscal Q2 2019 earnings per share ("EPS," GAAP) from continuing operations, including special items, of $0.26. Excluding these items, adjusted EPS for continuing operations was US$0.32, up 23% compared to the prior-year period.
Sales of $5.8 billion increased 3% compared to the previous year. Excluding the impacts of mergers and acquisitions and foreign currency, sales grew 6% organically.
GAAP earnings before interest and taxes ("EBIT") were $419 million and EBIT margin was 7.3%. Adjusted EBIT was US$469 million and adjusted EBIT margin was 8.1%, up 60 basis points from the previous year. Excluding the impact of mergers and acquisitions and foreign currency, the underlying adjusted EBIT margin increased 70 basis points.
On April 30, 2019, the Company closed the previously announced sale of the Power Solutions business to Brookfield Business Partners for net cash income of approximately $11.6 billion. As stated above, net cash proceeds are expected to be used to reduce existing debt by $3.4 billion and to finance the repurchase of up to $8.2 billion in common stock.
"Johnson Controls delivered another strong quarter, demonstrating continued top-of-the-line organic momentum and our commitment to operational execution," said George Oliver, president and CEO. "Given the strength of our order book, the visibility of our order book and strategic initiatives to improve profitability, I am confident in our outlook for the second half. In addition, we closed the Power Solutions transaction ahead of schedule, allowing us to accelerate our efforts to return capital to shareholders."
In the building solutions business in regions outside of North America, sales in the quarter of $878 million decreased 3% compared to the prior year. Excluding M&A and foreign currency, organic sales grew 4% compared to the previous year driven by strong growth in service and project installation. Growth was positive in most regions, led by strength in Fire and Industrial Safety and Refrigeration in Europe and Latin America.
In global products, sales in the quarter of $2.1 billion increased 2% compared to a year earlier. Excluding M&A and foreign currency, organic sales increased 7% compared to the previous year with double-digit growth in building management systems, mid-digit growth in HVAC and refrigeration equipment, and double-digit growth in specialty products.
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