Roper(US:ROP) ZACKS·2025-01-30 16:25Core Insights - Roper Technologies reported fourth-quarter 2024 adjusted earnings of $4.81 per share, exceeding the Zacks Consensus Estimate of $4.72, marking a 10% year-over-year increase [1] - The company's net revenues for the quarter reached $1.88 billion, surpassing the consensus estimate of $1.83 billion, and reflecting a 16% year-over-year growth [1] - For the full year 2024, Roper's net revenues totaled $7.04 billion, a 14% increase from the previous year, with adjusted earnings of $18.31 per share, also up 10% year over year [2] Segment Performance - The Application Software segment generated revenues of $1.06 billion, accounting for 56.3% of the quarterly total, with a year-over-year increase of 24.1% and organic revenue growth of 6% [3] - Network Software & Systems reported revenues of $373.5 million, representing 19.9% of the quarterly top line, with a 3% year-over-year growth and organic revenue increase of 3% [4] - The Technology Enabled Products segment achieved revenues of $446.7 million, making up 23.8% of the quarterly total, with a 12% year-over-year increase and organic revenue growth of 12% [5] Financial Metrics - Roper's cost of sales rose by 21.8% year over year to $594.8 million, while gross profit increased by 14% to approximately $1.28 billion, resulting in a gross margin decrease to 68.3% from 69.7% [6] - Selling, general and administrative expenses increased by 14.4% year over year to $757.6 million, with adjusted EBITDA growing by 13% to $744 million, leading to a margin decrease of 120 basis points to 39.6% [6] - The company had cash and cash equivalents of $188.2 million at the end of Q4 2024, down from $214.3 million at the end of December 2023, while long-term debt increased to $6.58 billion from $5.83 billion [7] Shareholder Returns - In 2024, Roper distributed $321.9 million in dividends to shareholders, reflecting a 10.9% year-over-year increase [8] Future Outlook - For 2025, Roper anticipates adjusted earnings per share from continuing operations to be in the range of $19.75-$20.00, with total revenues expected to increase by more than 10% and organic revenues projected to grow by 6-7% [10] - For Q1 2025, the company expects adjusted earnings to be between $4.70 and $4.74 per share [10]