James Lico James Lico Yes. We experienced a network infrastructure disruption from what weÂ're calling a cyber-incident in the quarter. We talked about some costs to mitigate that, roughly $0.01, around $5 million thatÂ's in the guide. ThatÂ's what we called out. We did have some downtime in some North American facilities. Those are back up and running. We definitely think we can mitigate that. WeÂ've mitigated the issues relative -- we have first contained the issues. WeÂ've mitigated them. WeÂ've complete ...

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Fortive Corp Q2 2023 Earnings Conference Call July 26, 2023 12:00 PM ET Company Participants Elena Rosman - VP, IR Jim Lico - President & CEO Charles McLaughlin - SVP & CFO Conference Call Participants Jeff Sprague - Vertical Research Steve Tusa - JPMorgan Scott Davis - Melius Research Deane Dray - RBC Capital Markets Andrew Obin - Bank of America Josh Pokrzywinski - Morgan Stanley Julian Mitchell - Barclays Andy Kaplowitz - Citi Nigel Coe - Wolfe Research Joe Giordano - TD Cowen Joe O'Dea - Wells Fargo Bre ...

Raised FY AOP margin outlook driven by FBS-enabled innovation, pricing tools and productivity initiatives benefiting all segments Connected Reliability VVV G@RDIAN® | --- | --- | --- | --- | --- | --- | |--------------------------------------------------------------------|-------------------|--------------------|-------|------------|--------------------------------------------------------------------------------------------------------------------------------| | | | | | | | | | 8% to 11% | 9% to 12% | | 10% ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ________________________________________________ FORM 10-Q ________________________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: June 30, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-37654 __________________________ ...

Fortive Corp (NYSE:FTV) Q1 2023 Earnings Conference Call April 26, 2023 12:00 PM ET Company Participants Elena Rosman - VP, IR James Lico - President, CEO & Director Charles McLaughlin - SVP & CFO Conference Call Participants Julian Mitchell - Barclays Bank Jeffrey Sprague - Vertical Research Partners Charles Tusa - JPMorgan Chase & Co. Scott Davis - Melius Research Andrew Obin - Bank of America Merrill Lynch Andrew Kaplowitz - Citigroup Deane Dray - RBC Capital Markets Nigel Coe - Wolfe Research Joseph Gio ...

| --- | --- | --- | |--------------------------------------|-------|-------| | | | | | First Quarter 2023 Earnings Release | | | All financial metrics relate only to the continuing operations, and all growth or period changes refer to year-over-year comparisons unless otherwise stated. Please refer to the corresponding Form 10-Q for the quarter ended March 31, 2023 for additional details relating to the financial results and performances discussed in this presentation. $1,461M 58.4% $0.75 Q1 2023 FINANCIALS ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ________________________________________________ FORM 10-Q ________________________________________________ (Mark One) Fortive Corporation (Exact name of registrant as specified in its charter) ________________________________________________ Delaware 47-5654583 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: March 31, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTI ...

Risks and Liabilities - The company faces risks from acquisitions and strategic relationships that could negatively impact financial statements due to various challenges, including legal rights limitations and operational management difficulties [116]. - Acquired businesses or technologies may underperform relative to expectations, potentially leading to significant debt and financial results that differ from projections [117]. - Indemnification provisions in acquisition agreements may not fully protect the company, leading to unexpected liabilities that could adversely affect financial statements [119]. - Divestitures may dilute earnings per share and have adverse financial impacts, with retained responsibilities for contingent liabilities from sold businesses [120]. - Potential indemnification liabilities to Vontier could materially affect the company's financial condition and results of operations [121]. - Compliance with complex and changing regulations may increase costs and reduce demand for products, impacting financial performance [122]. - Improper conduct by employees or partners could damage the company's reputation and lead to significant legal and financial penalties [123]. - Environmental, health, and safety liabilities could result in substantial costs and negatively impact the company's financial statements [124]. - The company is subject to extensive regulations, and failure to comply could result in penalties and disrupt business operations [127]. - Climate change and related regulatory measures may increase operational costs and disrupt supply chains, adversely affecting financial statements [130]. Financial Performance - Fortive Corporation reported total sales of $5,825.7 million for the year ended December 31, 2022, representing an increase of 10.8% compared to $5,254.7 million in 2021 [367]. - The company's net earnings from continuing operations for 2022 were $755.2 million, up 23.1% from $614.2 million in 2021 [367]. - Gross profit for 2022 was $3,363.4 million, reflecting a gross margin of approximately 57.7%, compared to a gross profit of $3,007.1 million in 2021 [367]. - Fortive's total assets decreased to $15,890.6 million as of December 31, 2022, down from $16,465.5 million in 2021 [365]. - The company's goodwill balance was $9.0 billion as of December 31, 2022, slightly down from $9.15 billion in 2021 [363]. - Research and development expenses increased to $401.5 million in 2022, compared to $354.8 million in 2021, indicating a focus on innovation [367]. - Fortive's retained earnings rose to $6,742.1 million in 2022, up from $6,023.6 million in 2021, indicating strong profitability retention [365]. - The company reported a comprehensive income of $614.5 million for 2022, compared to $564.5 million in 2021, showing overall financial health [369]. - Fortive's diluted earnings per common share from continuing operations increased to $2.10 in 2022, up from $1.65 in 2021, reflecting improved profitability [367]. - Total operating cash provided by continuing operations was $1,303.2 million in 2022, compared to $992.9 million in 2021 [375]. Debt and Financing - The company had approximately $3.3 billion of long-term debt as of December 31, 2022, which includes the current portion of long-term debt [139]. - The current portion of long-term debt decreased significantly to $999.7 million in 2022 from $2,151.7 million in 2021, reflecting improved financial management [365]. - Fortive's cash flows from financing activities resulted in a net cash outflow of $1,273.0 million in 2022, compared to a net cash inflow of $652.0 million in 2021 [375]. - The company has a five-year $2.0 billion senior unsecured revolving credit facility expiring on October 18, 2027, with no borrowings outstanding as of December 31, 2022 [471]. - The company drew down $1.0 billion under a delayed-draw term loan due December 14, 2023, with interest rates based on Term SOFR plus a spread of 82.5 to 107.5 basis points [482]. - The Euro Term Loan of €275 million (approximately $290 million) is due on June 23, 2025, and bears interest at Euribor plus 55 basis points [483]. - The Yen Term Loan of ¥14.4 billion (approximately $107 million) is due on June 17, 2025, with interest at Tokyo Term Risk Free Rate plus 65 basis points [484]. - The company repaid $1.2 billion in outstanding principal of its 0.875% Convertible Senior Notes on February 15, 2022, with interest expense recognized of $2.1 million for the year ended December 31, 2022 [491]. - The total long-term debt principal payments due in 2023 amount to $1.0 billion, with future payments totaling $2.854 billion [496]. Taxation - Changes in U.S. tax laws, including the Tax Cuts and Jobs Act of 2017, could materially affect the company's tax provision, cash taxes paid, and effective tax rate [133]. - The OECD's global minimum corporate tax rate of 15% could significantly increase tax uncertainty and affect the company's financial results [135]. - The company may incur significant tax liabilities if any of its separation transactions are determined to be taxable [136]. - Changes in multilateral agreements and foreign tax laws could increase the company's tax provision and effective tax rate [134]. - The company is subject to audits by tax authorities, which could result in additional tax payments and affect future financial results [132]. - The company recognizes tax benefits from uncertain tax positions only if it is more likely than not that the tax position will be sustained [417]. - Deferred tax assets are reduced by a valuation allowance if it is more likely than not that some portion will not be realized [416]. Acquisitions and Divestitures - The company evaluates potential mergers, acquisitions, and divestitures to align with its strategy and expedite portfolio evolution [427]. - ServiceChannel acquisition completed for approximately $1.2 billion, with $868 million recorded as goodwill [431]. - Revenue from acquisitions for the year ended December 31, 2022, was $262.7 million, with an operating loss of $42.8 million [432]. - Total net cash consideration for acquisitions in 2021 was $2.57 billion, with goodwill totaling $1.84 billion [434]. - The Therapy Physics product line was divested for $9.6 million, resulting in a net realized pre-tax gain of $0.5 million [438]. - The Vontier Separation involved distributing 80.1% of shares to stockholders, retaining 19.9% of shares [439]. - The investment in Vontier common stock was remeasured at fair value, resulting in unrealized gains of $1.1 billion [441]. - Goodwill impairment charge of $85.3 million recorded for the Telematics reporting unit during the interim testing [445]. Pension and Employee Benefits - The U.S. pension benefit obligation decreased from $46.4 million in 2021 to $33.1 million in 2022, while non-U.S. pension benefits decreased from $340.8 million to $230.7 million [499]. - The funded status of U.S. pension benefits improved from a deficit of $14.5 million in 2021 to a deficit of $7.2 million in 2022, while the non-U.S. pension benefits deficit decreased from $117.7 million to $68.0 million [500]. - The discount rate for U.S. pension plans increased from 2.82% in 2021 to 5.42% in 2022, reflecting changes in market conditions [501]. - The net periodic pension cost for U.S. pension benefits was $(0.2) million in 2022, compared to $(0.1) million in 2021, while non-U.S. pension benefits cost was $3.3 million in 2022, down from $6.3 million in 2021 [502]. - The company contributed $2 million to its U.S. defined benefit pension plan and $11 million to its non-U.S. defined benefit pension plans in 2022 [509]. - The company recognized compensation expense for 401(k) programs totaling $60 million in 2022, up from $57 million in 2021 and $51 million in 2020 [511].

FORWARD LOOKING STATEMENTS & NON-GAAP FINANCIAL | --- | --- | |-------------------------------------------------------------------------------------------|-------| | | | | Barclays Industrial Select Conference FEBRUARY 22 ND , 2023 | | | Jim Lico, President & CEO, Fortive Chuck McLaughlin, Senior Vice President & CFO, Fortive | | MEASURES This presentation may contain references to financial measures not presented in accordance with generally accepted accounting principles ("GAAP"). We have not reconciled f ...