Ingersoll Rand's Q1 Earnings and Revenues Miss Estimates

Core Viewpoint - Ingersoll Rand Inc. reported mixed financial results for the first quarter of 2025, with adjusted earnings per share slightly missing estimates and total revenues also falling short of expectations, despite a year-over-year revenue increase. Financial Performance - Adjusted earnings for Q1 2025 were 72 cents per share, missing the Zacks Consensus Estimate of 73 cents, and decreased by 7.7% year over year [1] - Total revenues reached $1.72 billion, slightly below the consensus estimate of$1.73 billion, but represented a 2.8% increase year over year [1] - Acquisitions contributed 8.4% to revenues, while organic revenues decreased by 3.9% [1] - Foreign currency movements negatively impacted revenues by 1.7% [1] Orders and Segment Performance - Total orders amounted to $1.88 billion, reflecting a 10.2$1.35 billion, accounting for 78.8% of net revenues, but saw a 1.6% decrease year over year [2] - The Precision & Science Technologies segment reported revenues of $364.7 million, representing 21.2$389.1 million [3] Margin and Cost Analysis - Cost of sales increased by 3% year over year to $951.3 million, while selling and administrative expenses rose by 4.1$350.0 million [6] - Adjusted EBITDA increased by 0.3% year over year to $459.7 million, but the margin decreased to 26.8$1.61 billion, up from $1.54 billion at the end of December 2024 [7] - Long-term debt increased slightly to$4.77 billion from $4.75 billion in December 2024 [7] - The company generated net cash of$256.4 million from operating activities, a 58.7% increase year over year, and free cash flow rose by 124.3% to $222.7 million [8] 2025 Outlook - Ingersoll Rand expects revenues to increase by 3-5$2.07-$2.13 billion, indicating a 3-6$3.28 and $3.40 per share, reflecting flat to 3% growth from the previous year [10]