Fortive(US:FTV)2025-06-30 10:05Financial Performance - For Q1 2025, Fortive reported net earnings of $172 million and adjusted net earnings of $292 million, with diluted net earnings per share at $0.50 and adjusted diluted net earnings per share at $0.85[2][3]. - Revenues for Q1 2025 decreased by 3% year-over-year to $1.47 billion, including a 2% core revenue decline[2][3]. - The operating profit margin was reported at 15.8%, with an adjusted operating profit margin of 25.3%, reflecting a 20 basis points increase year-over-year[5][18]. - For Q2 2025, Fortive anticipates diluted net earnings per share between $0.44 and $0.49, and adjusted diluted net earnings per share between $0.85 and $0.90[3][4]. - Full-year 2025 guidance for diluted net earnings per share is projected to be between $2.23 and $2.43, and adjusted diluted net earnings per share between $3.80 and $4.00[4][5]. - Net earnings from continuing operations for the three months ended March 28, 2025, were $171.9 million, a decrease of 17.1% compared to $207.4 million for the same period in 2024[24]. - Adjusted Net Earnings for the three months ended March 28, 2025, were $291.5 million, or $0.85 per share, compared to $295.3 million, or $0.83 per share, for the same period in 2024[45]. Segment Performance - The Intelligent Operating Solutions segment showed core growth, while the Precision Technologies segment experienced delayed investments due to geopolitical uncertainties[3][5]. - The Precision Technologies segment's operating profit margin decreased to 17.4% from 26.7% year-over-year, indicating challenges in that segment[18]. - Core Revenue Growth (Non-GAAP) for the three months ended March 28, 2025, was -1.7%, excluding the impact of acquisitions and divestitures and currency exchange rates[46]. Cash Flow and Assets - Operating cash flow for the trailing twelve months increased by 5% year-over-year, exceeding expectations[5]. - Net cash provided by operating activities was $241.7 million for the three months ended March 28, 2025, compared to $256.7 million for the same period in 2024, reflecting a decline of 5.8%[24]. - The ending balance of cash and equivalents increased to $892.1 million as of March 28, 2025, from $704.6 million a year earlier, marking a rise of 26.6%[24]. - Total current assets increased to $2,704.1 million as of March 28, 2025, up from $2,592.3 million on December 31, 2024, representing a growth of 4.3%[22]. Liabilities and Equity - Total liabilities increased to $6,102.0 million as of March 28, 2025, compared to $5,958.3 million on December 31, 2024, indicating a rise of 2.4%[22]. - Total stockholders' equity rose to $10,243.3 million as of March 28, 2025, compared to $10,195.6 million on December 31, 2024, representing an increase of 0.5%[22]. - Goodwill increased to $10,244.7 million as of March 28, 2025, up from $10,156.0 million on December 31, 2024, reflecting an increase of 0.9%[22]. Share Repurchase and Stock Information - The company repurchased common shares worth $202.6 million during the three months ended March 28, 2025[24]. - The average common diluted stock outstanding decreased from 356.0 million shares in March 29, 2024, to 344.6 million shares in March 28, 2025[45]. Future Outlook - The Precision Technologies segment is expected to be separated into an independent publicly traded company named Ralliant by the end of Q2 2025[6][4]. - The company expects to continue focusing on core revenue growth, excluding impacts from acquisitions and foreign currency translation, to better assess operational performance[41]. - Forecasted Adjusted Diluted Net Earnings Per Share for the three months ending June 27, 2025, is expected to be between $0.85 and $0.90[47]. - Anticipated pretax amortization of acquisition-related intangible assets for the twelve months ending December 31, 2025, is projected to be $1.32[47]. - The company reported a decrease in GAAP Operating Profit from $302.2 million in March 29, 2024, to $233.6 million in March 28, 2025[43]. - The company excluded the effects of acquisition and divestiture-related items and currency translation from sales measures to provide a clearer view of underlying business trends[42]. - The company anticipates a tax effect of the adjustments reflected above to be -$0.24 for the twelve months ending December 31, 2025[47].