Fortive(US:FTV)2024-04-24 11:33Financial Performance - Net earnings for Q1 2024 were $207 million, with adjusted net earnings of $295 million, excluding a $63 million gain on property sale[2]. - Revenues increased 4% year-over-year to $1.52 billion, with core revenue growth of 3%[3]. - Diluted net earnings per share (EPS) for Q1 was $0.58, up 18%, while adjusted diluted EPS was $0.83, up 11%[6]. - Net earnings for the three months ended March 29, 2024, were $207.4 million, compared to $173.6 million for the same period in 2023, reflecting a year-over-year increase of 19.4%[24]. - Adjusted net earnings for the same period were $295.3 million, compared to $266.7 million in the prior year, reflecting a 10.7% growth[46]. - Total revenue growth (GAAP) for the three months ended March 29, 2024, was 4.4%, while core revenue growth (Non-GAAP) was 2.5%[47]. - Operating cash flows (GAAP) increased by 47.2% to $256.7 million from $174.4 million year-over-year[48]. - Free cash flow (Non-GAAP) for the three months ended March 29, 2024, was $230.3 million, a 53.9% increase from $149.6 million in the same period last year[48]. Revenue Outlook - For Q2 2024, Fortive anticipates revenue of approximately $1.6 billion and diluted EPS between $0.57 and $0.60[4]. - Full-year 2024 revenue outlook is raised to approximately $6.35 billion to $6.43 billion, with diluted EPS guidance of $2.61 to $2.70[5]. Segment Performance - Intelligent Operating Solutions segment reported sales of $665.7 million, up from $632.1 million year-over-year[18]. - Precision Technologies segment sales increased to $559.0 million from $541.1 million year-over-year[18]. - Advanced Healthcare Solutions segment sales rose to $299.8 million from $287.5 million year-over-year[18]. Assets and Liabilities - Total assets increased to $17,520.1 million as of March 29, 2024, up from $16,911.8 million at December 31, 2023, representing a growth of 3.6%[22]. - Long-term debt increased to $3,941.7 million from $3,646.2 million, indicating a rise of 8.1%[22]. - Retained earnings rose to $7,685.2 million from $7,505.9 million, an increase of 2.4%[22]. - Cash and equivalents decreased to $704.6 million from $1,888.8 million, a decline of 62.7%[24]. Cash Flow and Investments - Cash used in investing activities totaled $1,737.4 million, primarily due to cash paid for acquisitions[24]. - Free cash flow was calculated as cash provided by operating activities of $256.7 million minus capital expenditures[43]. Other Financial Metrics - The company achieved 14 consecutive quarters of positive core revenue growth and 15 quarters of adjusted operating margin expansion[6]. - The anticipated pretax amortization of acquisition-related intangible assets for the twelve months ending December 31, 2024, is estimated at $1.27 per share[49]. - The impact of currency translation on revenue growth was a negative 0.6%[47]. - The average common diluted stock outstanding for the period was approximately 356 million shares[46]. - The company reported pretax losses from equity investments of $4.6 million for the three months ended March 29, 2024[46]. Divestment Plans - The company expects to complete the divestment of certain product lines of Invetech in Q2 2024, with a loss anticipated at the time of closing[38].