Teledyne Technologies(US:TDY)2026-01-21 11:58Financial Performance - Fourth quarter 2025 net sales were $1,612.3 million, a 7.3% increase from $1,502.3 million in Q4 2024, including $73.0 million from recent acquisitions[4] - Fourth quarter 2025 net income attributable to Teledyne was $275.6 million ($5.84 diluted earnings per share), up 38.8% from $198.5 million ($4.20 diluted earnings per share) in Q4 2024[4] - Full year 2025 net sales reached $6,115.4 million, a 7.9% increase from $5,670.0 million in 2024, with net income of $894.8 million ($18.88 diluted earnings per share), up 9.2% from $819.2 million ($17.21 diluted earnings per share) in 2024[7] - Operating income for Q4 2025 was $329.5 million, representing a 39.0% increase from $237.1 million in Q4 2024[40] - Net income for Q4 2025 was $275.6 million, compared to $199.1 million in Q4 2024, reflecting a year-over-year increase of 38.3%[45] - The company reported a total operating income of $329.5 million in Q4 2025, compared to $237.1 million in Q4 2024, representing an increase of 38.8%[51] Segment Performance - The Aerospace and Defense Electronics segment saw a 40.4% increase in Q4 2025 net sales to $275.9 million, driven by $68.5 million in incremental defense electronics sales from recent acquisitions[15][16] - Digital Imaging segment's Q4 2025 net sales were $850.5 million, a 3.4% increase, with operating income rising 79.4% to $162.9 million[11] - Aerospace and Defense Electronics segment achieved a GAAP operating income of $69.4 million in Q4 2025, up from $56.4 million in Q4 2024, marking a growth of 23.2%[51] - Digital Imaging segment reported GAAP operating income of $162.9 million in Q4 2025, up from $90.8 million in Q4 2024, representing an increase of 79.4%[51] - Instrumentation segment's revenue for the year 2025 was $413.3 million, an increase from $387.2 million in 2024, reflecting a growth of 6.7%[52] Cash Flow and Debt - Fourth quarter cash from operations was $379.0 million, with free cash flow of $339.2 million, compared to $332.4 million and $303.4 million respectively in Q4 2024[19][23] - As of December 28, 2025, net debt was $2,123.0 million, up from $1,999.2 million as of December 29, 2024[21] - Total debt as of December 28, 2025, was reported at $2,475.4 million, a decrease from $2,649.0 million in the previous year[54] - Cash and cash equivalents decreased to $352.4 million at the end of Q4 2025, down from $649.8 million at the end of Q4 2024, a decline of 45.7%[45] Tax and Expenses - The effective tax rate for Q4 2025 was 14.2%, compared to 11.7% in Q4 2024, with net discrete income tax benefits of $28.3 million[24] - The company reported a provision for income taxes of $45.6 million in Q4 2025, a 72.1% increase from $26.5 million in Q4 2024[40] - Corporate expenses for Q4 2025 were reported at $(21.3) million, slightly improved from $(20.7) million in Q4 2024[51] - Research and development expenses for the year 2025 totaled $317.3 million, an increase from $292.6 million in 2024[37] Future Outlook - The company issued a full year 2026 GAAP diluted earnings per share outlook of $19.76 to $20.22 and non-GAAP earnings per share outlook of $23.45 to $23.85[5][26] - Non-GAAP diluted earnings per common share outlook for Q1 2026 is projected to be between $5.40 and $5.50, while for the full year 2026, it is expected to be between $23.45 and $23.85[54] - Teledyne's growth strategy includes potential acquisitions, although no specific timelines or terms are guaranteed[32] Asset and Equity - Total assets increased to $15,285.3 million in Q4 2025, up from $14,200.5 million in Q4 2024, representing a growth of 7.6%[43] - The company reported a total stockholders' equity of $10,513.9 million in Q4 2025, up from $9,549.4 million in Q4 2024, a growth of 10.1%[43] - Total liabilities rose to $4,771.4 million in Q4 2025, compared to $4,645.1 million in Q4 2024, an increase of 2.7%[43] Non-GAAP Metrics - Non-GAAP net income for Q4 2025 was $377.1 million, compared to $329.3 million in Q4 2024, a growth of 14.5%[47] - Non-GAAP operating income for the total year 2025 was $1,380.0 million, compared to $1,248.0 million in 2024, indicating a year-over-year increase of 10.5%[52] - The company’s diluted earnings per share increased to $6.30 in Q4 2025 from $5.52 in Q4 2024, reflecting a year-over-year growth of 14.1%[47]