As a global climate innovator, Trane Technologies has clear ambitions. But ambition alone is not enough – we take action every day to enhance our positive impact. In 2022, we achieved another year of top-quartile financial performance, while advancing our bold sustainability commitments.
From our Board of Directors to each member of our global team, we are propelled by our purpose to boldly challenge what’s possible for a sustainable world. That purpose is at the core of our strategy and drives our competitive advantage. In 2022 we became one of the first companies in the world to have our 2050 net-zero carbon emissions targets approved by the Science-Based Targets initiative, following previous approval of our near-term 2030 targets. We continue to relentlessly invest in sustainable innovation, accelerating decarbonization of buildings, industry and the cold chain.
Customer demand for our sustainable climate solutions is strong and growing, as reflected in record bookings of $17.5 billion, organic revenue growth* of 15 percent, and unprecedented backlog in 2022. Against a backdrop of dynamic macro challenges, our team continues to deliver leading innovation, diversified products and robust services, enabling resilience and growth.
Our partnership with Neiman Marcus Group is an example. We reviewed their entire real estate portfolio to develop a decarbonization roadmap, beginning with the installation of high-efficiency electric chillers and sophisticated controls at their flagship New York City Bergdorf Goodman Store. The project eliminates all direct natural gas use at the landmark building, setting an example on the path to a net-zero future.
The success of our sustainability strategy shows in our continued top-quartile financial performance (among peers and the broader industrials) for 2022. During the year, we had record bookings, revenue and operating margins, as well as adjusted continuing earnings per share*, which grew 21 percent year-over-year. Since 2018, we have delivered compound annual revenue growth of 7 percent, adjusted EBITDA margin expansion* of 220 basis points and powerful free cash flow. We’ve continued our principled and balanced capital deployment, maintaining our high level of business reinvestment and returning $1.8 billion to our shareholders in 2022 through dividends and share repurchases. Since 2017, we have delivered a total shareholder return of 165%.
Our uplifting culture is the driving force behind our performance. We continue to invest in ways to create opportunity for all. For example, we changed our tuition reimbursement to tuition advancement, removing barriers for those pursuing additional technical certifications or college degrees. Our commitment extends into our communities, where we are investing in the next generation through our Sustainable Futures program, including a new initiative to bring STEM resources and Trane Technologies volunteers into classrooms to inspire future sustainability champions and innovators.
Our purpose-driven strategy, strong customer demand, and talented global team give me confidence in our ability to continue to lead in sustainability and deliver differentiated financial performance and shareholder returns over the long-term. Our bold ambition drives action and positive, lasting impact for our team, customers, shareholders, communities and the planet.
Dave S. Regnery
Chair and CEO
*These are non-GAAP financial measures. Reconciliation of non-GAAP financial measures can be found preceding the 2023 Notice and Proxy Statement.