Mike Wagnes
Senior Vice President and Chief Financial Officer at Allegion
Thanks John, and good morning, everyone. Thank you for joining today's call. Please go to slide number 5. As John shared, Allegion, continued to execute at a high level and delivered another solid quarter. Revenue for the fourth quarter was $897.4 million, an increase of 4.2% compared to 2022. Organic growth of 2.6% was driven by our America's nonresidential and Access Technologies businesses, offset by declines in residential and international. Adjusted operating margin and adjusted EBITDA margin increased by 130 basis points and 120 basis points respectively, in the fourth quarter, driven by price and productivity and excess of inflation and investment.
I am pleased with the margin performance as we have recaptured the margin loss during the supply chain disruptions experienced in late 2021 and early 2022. Our operating model and strong execution have positioned us well for future margin expansion.
Adjusted earnings per share of $1.68 decreased a penny, or approximately six-tenths of a percent versus the prior year. Operational performance drove growth of $0.17 per share with the offset coming from tax driven by the timing of discrete items versus the prior year.
John will cover the outlook later in the presentation. However, I want to note that our tax rate will migrate to between 18% and 19% in 2024, inclusive of the implementation of global minimum tax. We expect Allegion's structural tax rate will be in the high teens over the planning horizon we laid out at our Investor Day in May.
Finally, full year available cash flow for 2023 was $516.4 million, a 30.6% increase versus last year driven by higher earnings and improved working capital performance. I will provide more details on cash flow and balance sheet a little later in the presentation.
Please go to slide number 6. This slide provides an overview of our quarterly and full year revenue. I will review our enterprise results here before turning to our respective regions. Organic growth in the quarter was 2.6% as strong price realization offset pressure on volumes.
Currency and acquisitions drove additional favorability in the corner, bringing the total reported growth to 4.2%. On a full year basis, organic revenue growth was 5.2% overall with Americas at 7.4%. Our international business was down 2.5% for the year. Our full year organic growth was led by electronics and software solutions, which grew globally by approximately 20% in 2023, with both regions in double digits.
Please go to slide number 7. Our America segment continues to deliver strong operating results in the fourth quarter. Revenue of $704.6 million, was up 3.7% on both a reported and organic basis, as favorable pricing offset lower volumes. Our America's nonresidential business was up mid-single digits against a prior year comp that grew in the mid 20%. On a full year basis, this business had double digit organic growth in 2023.
Residential markets are soft, with our business down low single digits in the quarter and for the full year as higher interest rates continue to impact new and existing home sales. Our Access Technologies business delivered organic growth of mid-single digits in Q4.
America's electronics growth remained strong on a multiyear basis with mid-single digit growth in the quarter on top of a nearly 50% comparison in Q4 2022. Our America's adjusted operating income of $188.4 million increased 10.8% versus the prior year period, while adjusted operating margins and adjusted EBITDA margins for the quarter were up 170 and 190 basis points respectively.
The team executed well. We are performing more efficiently, driving price and productivity, and we delivered margin expansion every quarter in 2023.
Please go to slide 8. Our international segment continues to execute well in a challenging macroeconomic environment. Revenue of $192.8 million was up 5.9% on a reported basis and down 1.3% organically. Price realization was more than offset by lower volumes associated with soft end market demand. Currency and acquisitions were a tailwind this quarter, positively impacted reported revenues by 4.4% and 2.8% respectively.
International adjusted operating income of $32.3 million increased nearly 13% versus the prior year period. We also saw improvement in adjusted operating margins and adjusted EBITDA margins of 110 basis points and 100 basis points respectively.
The team delivered margin expansion for Q4 and the full year despite a challenging top line, highlighting the healthier, more resilient business portfolio we have within our international segment. The acquisition growth I mentioned earlier is primarily driven by our Plano business, a tuck-in Software as a Service business, we acquired early 2023, which is accretive to both growth rates and margins.
Please go to slide number 9. As I mentioned earlier, year to date available cash flow came in at $516.4 million, up nearly $121 million versus the prior year. This increase is driven by higher earnings and working capital improvements partially offset by higher capital expenditures. You can look for Allegion to continue to invest in our business and convert earnings to cash.
Next, working capital as a percent of revenue improved versus the prior year, driven by higher inventory turns as supply chains normalized.
Finally, our net debt to adjusted EBITDA is down to 1.9 times as we successfully de-levered following the Access Technologies acquisition. We are now back to historical leverage levels, which demonstrates our proven track record of effectively deploying capital while maintaining both our leverage profile and our investment grade credit rating. Our business continues to generate strong cash flow, and our balance sheet continues to be in a healthy position.
I will now hand the call back over to John for our 2024 outlook.
