AMETEK(AME) - 2024 Q2 - Quarterly Report

Financial Performance - Consolidated net sales for Q2 2024 were $1,734.8 million, an increase of$88.7 million or 5.4% compared to Q2 2023's $1,646.1 million[89] - Total international sales for Q2 2024 were$790.0 million, representing 45.5% of net sales, a slight increase of $3.7 million or 0.5$1,677.2 million, an increase of $22.8 million or 1.4$3,403.0 million, down 3.7% from December 31, 2023[90] - Segment operating income for Q2 2024 was $473.0 million, an increase of$29.7 million or 6.7% from Q2 2023, with operating margins at 27.3%[91] - Consolidated operating income for Q2 2024 was a record $447.5 million, or 25.8$28.7 million or 6.9% from Q2 2023[94] - Net income for Q2 2024 was $337.7 million, an increase of$13.5 million or 4.1% compared to Q2 2023's $324.2 million[95] - Diluted earnings per share for Q2 2024 were$1.45, an increase of $0.05 or 3.6$1.40 in Q2 2023[95] Tax and Interest - The effective tax rate for Q2 2024 was 19.0%, up from 18.2% in Q2 2023, primarily due to higher U.S. taxes on foreign sourced earnings[95] - Interest expense for Q2 2024 was $30.6 million, an increase of$11.9 million or 63.4% compared to Q2 2023, driven by higher borrowings related to acquisitions[94] Year-to-Date Performance - For the first six months of 2024, net sales were $3,471.0 million, an increase of$227.8 million or 7.0% compared to the same period in 2023[99] - EIG's net sales for the first six months of 2024 reached $2,310.4 million, a 2.6$2,251.9 million in the same period of 2023, driven by a 2% increase from acquisitions[106] - EIG's operating income increased by 13.9% to $702.8 million for the first six months of 2024, compared to$616.8 million in the first six months of 2023, with operating margins improving to 30.4% from 27.4%[106] - EMG's net sales totaled $1,160.6 million for the first six months of 2024, marking a 17.1$991.3 million in the same period of 2023, primarily due to a 22% increase from acquisitions[107] - EMG's operating income decreased by 16.7% to $213.8 million for the first six months of 2024, down from$256.7 million in the same period of 2023, with operating margins declining to 18.4% from 25.9%[108] Cash Flow and Dividends - Cash provided by operating activities increased by 9.7% to $791.7 million for the first six months of 2024, compared to$721.8 million in the same period of 2023[109] - Free cash flow for the first six months of 2024 was $742.6 million, up from$673.9 million in the same period of 2023[109] - Cash dividends paid increased to $129.4 million for the first six months of 2024, compared to$115.1 million in the same period of 2023, reflecting a 12% increase in the quarterly cash dividend[113] Debt and Liquidity - Total debt decreased to $2,651.4 million at June 30, 2024, down from$3,313.3 million at December 31, 2023, with a debt-to-capital ratio of 22.3%[111] - Cash and cash equivalents totaled $396.6 million at June 30, 2024, slightly down from$409.8 million at December 31, 2023[114] Strategic Focus - The company is focused on future acquisitions and product development, while maintaining compliance with all financial covenants[116]