(State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | |||||||||
(Address of Principal Executive Offices) | (Zip Code) |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Date: | July 25, 2024 | DOVER CORPORATION | ||||||||||||
(Registrant) | ||||||||||||||
By: | /s/ Ivonne M. Cabrera | |||||||||||||
Ivonne M. Cabrera | ||||||||||||||
Senior Vice President, General Counsel & Secretary | ||||||||||||||
Investor Contact: | Media Contact: | ||||
Jack Dickens | Adrian Sakowicz | ||||
Senior Director - Investor Relations | Vice President - Communications | ||||
(630) 743-2566 | (630) 743-5039 | ||||
jdickens@dovercorp.com | asakowicz@dovercorp.com | ||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||||||||||||
($ in millions, except per share data) | 2024 | 2023 | % Change* | 2024 | 2023 | % Change* | ||||||||||||||||||||||||||||||||
U.S. GAAP | ||||||||||||||||||||||||||||||||||||||
Revenue | $ | 2,178 | $ | 2,100 | 4 | % | $ | 4,272 | $ | 4,179 | 2 | % | ||||||||||||||||||||||||||
Net earnings | 282 | 242 | 16 | % | 914 | 471 | 94 | % | ||||||||||||||||||||||||||||||
Diluted EPS | 2.04 | 1.72 | 19 | % | 6.57 | 3.35 | 96 | % | ||||||||||||||||||||||||||||||
Non-GAAP | ||||||||||||||||||||||||||||||||||||||
Organic revenue change | 5 | % | 2 | % | ||||||||||||||||||||||||||||||||||
Adjusted net earnings 1 | 327 | 288 | 14 | % | 600 | 561 | 7 | % | ||||||||||||||||||||||||||||||
Adjusted diluted EPS | 2.36 | 2.05 | 15 | % | 4.31 | 3.99 | 8 | % |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
Revenue | $ | 2,178,262 | $ | 2,100,086 | $ | 4,272,203 | $ | 4,179,109 | |||||||||||||||
Cost of goods and services | 1,356,695 | 1,341,250 | 2,693,381 | 2,673,254 | |||||||||||||||||||
Gross profit | 821,567 | 758,836 | 1,578,822 | 1,505,855 | |||||||||||||||||||
Selling, general and administrative expenses | 452,193 | 434,340 | 915,317 | 866,754 | |||||||||||||||||||
Operating earnings | 369,374 | 324,496 | 663,505 | 639,101 | |||||||||||||||||||
Interest expense | 32,374 | 33,804 | 68,739 | 68,018 | |||||||||||||||||||
Interest income | (4,080) | (2,653) | (8,837) | (4,744) | |||||||||||||||||||
Loss (gain) on disposition | 663 | — | (529,280) | — | |||||||||||||||||||
Other income, net | (12,872) | (6,678) | (19,288) | (10,486) | |||||||||||||||||||
Earnings before provision for income taxes | 353,289 | 300,023 | 1,152,171 | 586,313 | |||||||||||||||||||
Provision for income taxes | 71,467 | 57,784 | 238,128 | 115,500 | |||||||||||||||||||
Net earnings | $ | 281,822 | $ | 242,239 | $ | 914,043 | $ | 470,813 | |||||||||||||||
Net earnings per share: | |||||||||||||||||||||||
Basic | $ | 2.05 | $ | 1.73 | $ | 6.61 | $ | 3.37 | |||||||||||||||
Diluted | $ | 2.04 | $ | 1.72 | $ | 6.57 | $ | 3.35 | |||||||||||||||
Weighted average shares outstanding: | |||||||||||||||||||||||
Basic | 137,443 | 139,862 | 138,247 | 139,810 | |||||||||||||||||||
Diluted | 138,404 | 140,578 | 139,136 | 140,597 | |||||||||||||||||||
Dividends paid per common share | $ | 0.510 | $ | 0.505 | $ | 1.02 | $ | 1.01 | |||||||||||||||
* Per share data may be impacted by rounding. |
2024 | 2023 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q2 YTD | Q1 | Q2 | Q2 YTD | Q3 | Q4 | FY 2023 | ||||||||||||||||||||||||
REVENUE | ||||||||||||||||||||||||||||||||
Engineered Products | $ | 543,140 | $ | 514,837 | $ | 1,057,977 | $ | 497,549 | $ | 473,687 | $ | 971,236 | $ | 504,271 | $ | 529,080 | $ | 2,004,587 | ||||||||||||||
Clean Energy & Fueling | 445,053 | 463,014 | 908,067 | 430,729 | 441,166 | 871,895 | 466,959 | 449,423 | 1,788,277 | |||||||||||||||||||||||
Imaging & Identification | 276,806 | 287,593 | 564,399 | 283,091 | 271,932 | 555,023 | 276,179 | 285,530 | 1,116,732 | |||||||||||||||||||||||
Pumps & Process Solutions | 465,729 | 477,239 | 942,968 | 413,881 | 465,626 | 879,507 | 431,373 | 444,811 | 1,755,691 | |||||||||||||||||||||||
Climate & Sustainability Technologies | 364,292 | 436,706 | 800,998 | 455,325 | 449,001 | 904,326 | 475,911 | 398,345 | 1,778,582 | |||||||||||||||||||||||
Intersegment eliminations | (1,079) | (1,127) | (2,206) | (1,552) | (1,326) | (2,878) | (1,425) | (1,432) | (5,735) | |||||||||||||||||||||||
Total consolidated revenue | $ | 2,093,941 | $ | 2,178,262 | $ | 4,272,203 | $ | 2,079,023 | $ | 2,100,086 | $ | 4,179,109 | $ | 2,153,268 | $ | 2,105,757 | $ | 8,438,134 | ||||||||||||||
NET EARNINGS | ||||||||||||||||||||||||||||||||
Segment Earnings: | ||||||||||||||||||||||||||||||||
Engineered Products | $ | 103,969 | $ | 101,247 | $ | 205,216 | $ | 84,275 | $ | 73,076 | $ | 157,351 | $ | 101,610 | $ | 118,464 | $ | 377,425 | ||||||||||||||
Clean Energy & Fueling | 69,675 | 87,536 | 157,211 | 73,605 | 83,616 | 157,221 | 92,483 | 78,900 | 328,604 | |||||||||||||||||||||||
Imaging & Identification | 69,959 | 75,786 | 145,745 | 68,315 | 61,336 | 129,651 | 70,316 | 72,545 | 272,512 | |||||||||||||||||||||||
Pumps & Process Solutions | 118,737 | 137,217 | 255,954 | 115,244 | 129,337 | 244,581 | 117,907 | 121,917 | 484,405 | |||||||||||||||||||||||
Climate & Sustainability Technologies | 50,759 | 79,127 | 129,886 | 73,778 | 76,074 | 149,852 | 84,060 | 71,468 | 305,380 | |||||||||||||||||||||||
Total segment earnings | 413,099 | 480,913 | 894,012 | 415,217 | 423,439 | 838,656 | 466,376 | 463,294 | 1,768,326 | |||||||||||||||||||||||
Purchase accounting expenses 1 | 45,551 | 45,697 | 91,248 | 42,679 | 40,200 | 82,879 | 40,320 | 41,744 | 164,943 | |||||||||||||||||||||||
Restructuring and other costs 2 | 24,684 | 11,590 | 36,274 | 14,053 | 18,143 | 32,196 | 12,327 | 19,150 | 63,673 | |||||||||||||||||||||||
Disposition costs 3 | — | — | — | — | — | — | — | 1,302 | 1,302 | |||||||||||||||||||||||
(Gain) loss on disposition 4 | (529,943) | 663 | (529,280) | — | — | — | — | — | — | |||||||||||||||||||||||
Corporate expense / other 5 | 42,317 | 41,380 | 83,697 | 40,072 | 33,922 | 73,994 | 30,686 | 45,913 | 150,593 | |||||||||||||||||||||||
Interest expense | 36,365 | 32,374 | 68,739 | 34,214 | 33,804 | 68,018 | 32,389 | 30,898 | 131,305 | |||||||||||||||||||||||
Interest income | (4,757) | (4,080) | (8,837) | (2,091) | (2,653) | (4,744) | (3,808) | (4,944) | (13,496) | |||||||||||||||||||||||
Earnings before provision for income taxes | 798,882 | 353,289 | 1,152,171 | 286,290 | 300,023 | 586,313 | 354,462 | 329,231 | 1,270,006 | |||||||||||||||||||||||
Provision for income taxes 6 | 166,661 | 71,467 | 238,128 | 57,716 | 57,784 | 115,500 | 64,709 | 32,969 | 213,178 | |||||||||||||||||||||||
Net earnings | $ | 632,221 | $ | 281,822 | $ | 914,043 | $ | 228,574 | $ | 242,239 | $ | 470,813 | $ | 289,753 | $ | 296,262 | $ | 1,056,828 | ||||||||||||||
SEGMENT EARNINGS MARGIN | ||||||||||||||||||||||||||||||||
Engineered Products | 19.1 % | 19.7 % | 19.4 % | 16.9 % | 15.4 % | 16.2 % | 20.1 % | 22.4 % | 18.8 % | |||||||||||||||||||||||
Clean Energy & Fueling | 15.7 % | 18.9 % | 17.3 % | 17.1 % | 19.0 % | 18.0 % | 19.8 % | 17.6 % | 18.4 % | |||||||||||||||||||||||
Imaging & Identification | 25.3 % | 26.4 % | 25.8 % | 24.1 % | 22.6 % | 23.4 % | 25.5 % | 25.4 % | 24.4 % | |||||||||||||||||||||||
Pumps & Process Solutions | 25.5 % | 28.8 % | 27.1 % | 27.8 % | 27.8 % | 27.8 % | 27.3 % | 27.4 % | 27.6 % | |||||||||||||||||||||||
Climate & Sustainability Technologies | 13.9 % | 18.1 % | 16.2 % | 16.2 % | 16.9 % | 16.6 % | 17.7 % | 17.9 % | 17.2 % | |||||||||||||||||||||||
Total segment earnings margin | 19.7 % | 22.1 % | 20.9 % | 20.0 % | 20.2 % | 20.1 % | 21.7 % | 22.0 % | 21.0 % | |||||||||||||||||||||||
1 Purchase accounting expenses are primarily comprised of amortization of acquired intangible assets. | ||||||||||||||||||||||||||||||||
2 Restructuring and other costs relate to actions taken for headcount reductions, facility consolidations and site closures, product line exits, and other asset charges. | ||||||||||||||||||||||||||||||||
3 Q4 and FY 2023 disposition costs relate to the sale of De-Sta-Co. | ||||||||||||||||||||||||||||||||
4 (Gain) loss on disposition due to the sale of De-Sta-Co in the Engineered Products segment. | ||||||||||||||||||||||||||||||||
5 Certain expenses are maintained at the corporate level and not allocated to the segments. These expenses include executive and functional compensation costs, non-service pension costs, non-operating insurance expenses, shared business services and digital overhead costs, deal-related expenses and various administrative expenses relating to the corporate headquarters. | ||||||||||||||||||||||||||||||||
6 Q4 and FY 2023 include the net income tax benefit of internal reorganizations executed in 2023. |
Earnings Per Share | ||||||||||||||||||||||||||||||||
2024 | 2023 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q2 YTD | Q1 | Q2 | Q2 YTD | Q3 | Q4 | FY 2023 | ||||||||||||||||||||||||
Net earnings per share: | ||||||||||||||||||||||||||||||||
Basic | $ | 4.55 | $ | 2.05 | $ | 6.61 | $ | 1.64 | $ | 1.73 | $ | 3.37 | $ | 2.07 | $ | 2.12 | $ | 7.56 | ||||||||||||||
Diluted | $ | 4.52 | $ | 2.04 | $ | 6.57 | $ | 1.63 | $ | 1.72 | $ | 3.35 | $ | 2.06 | $ | 2.11 | $ | 7.52 | ||||||||||||||
Net earnings and weighted average shares used in calculated earnings per share amounts are as follows: | ||||||||||||||||||||||||||||||||
Net earnings | $ | 632,221 | $ | 281,822 | $ | 914,043 | $ | 228,574 | $ | 242,239 | $ | 470,813 | $ | 289,753 | $ | 296,262 | $ | 1,056,828 | ||||||||||||||
Weighted average shares outstanding: | ||||||||||||||||||||||||||||||||
Basic | 139,051 | 137,443 | 138,247 | 139,757 | 139,862 | 139,810 | 139,878 | 139,893 | 139,848 | |||||||||||||||||||||||
Diluted | 139,869 | 138,404 | 139,136 | 140,616 | 140,578 | 140,597 | 140,615 | 140,586 | 140,599 | |||||||||||||||||||||||
* Per share data may be impacted by rounding. |
2024 | 2023 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q2 YTD | Q1 | Q2 | Q2 YTD | Q3 | Q4 | FY 2023 | ||||||||||||||||||||||||
Adjusted net earnings: | ||||||||||||||||||||||||||||||||
Net earnings | $ | 632,221 | $ | 281,822 | $ | 914,043 | $ | 228,574 | $ | 242,239 | $ | 470,813 | $ | 289,753 | $ | 296,262 | $ | 1,056,828 | ||||||||||||||
Purchase accounting expenses, pre-tax 1 | 45,551 | 45,697 | 91,248 | 42,679 | 40,200 | 82,879 | 40,320 | 41,744 | 164,943 | |||||||||||||||||||||||
Purchase accounting expenses, tax impact 2 | (10,005) | (10,053) | (20,058) | (9,599) | (9,012) | (18,611) | (8,966) | (9,143) | (36,720) | |||||||||||||||||||||||
Restructuring and other costs, pre-tax 3 | 24,684 | 11,590 | 36,274 | 14,053 | 18,143 | 32,196 | 12,327 | 19,150 | 63,673 | |||||||||||||||||||||||
Restructuring and other costs, tax impact 2 | (4,875) | (2,479) | (7,354) | (2,990) | (3,665) | (6,655) | (2,556) | (3,970) | (13,181) | |||||||||||||||||||||||
Disposition costs, pre-tax 4 | — | — | — | — | — | — | — | 1,302 | 1,302 | |||||||||||||||||||||||
Disposition costs, tax impact 2 | — | — | — | — | — | — | — | (270) | (270) | |||||||||||||||||||||||
(Gain) loss on disposition, pre-tax 5 | (529,943) | 663 | (529,280) | — | — | — | — | — | — | |||||||||||||||||||||||
(Gain) loss on disposition, tax-impact 2 | 114,973 | (144) | 114,829 | — | — | — | — | — | — | |||||||||||||||||||||||
Adjusted net earnings | $ | 272,606 | $ | 327,096 | $ | 599,702 | $ | 272,717 | $ | 287,905 | $ | 560,622 | $ | 330,878 | $ | 345,075 | $ | 1,236,575 | ||||||||||||||
Adjusted diluted net earnings per share: | ||||||||||||||||||||||||||||||||
Diluted net earnings per share | $ | 4.52 | $ | 2.04 | $ | 6.57 | $ | 1.63 | $ | 1.72 | $ | 3.35 | $ | 2.06 | $ | 2.11 | $ | 7.52 | ||||||||||||||
Purchase accounting expenses, pre-tax 1 | 0.33 | 0.33 | 0.66 | 0.30 | 0.29 | 0.59 | 0.29 | 0.30 | 1.18 | |||||||||||||||||||||||
Purchase accounting expenses, tax impact 2 | (0.07) | (0.07) | (0.14) | (0.07) | (0.06) | (0.13) | (0.06) | (0.07) | (0.26) | |||||||||||||||||||||||
Restructuring and other costs, pre-tax 3 | 0.18 | 0.08 | 0.26 | 0.10 | 0.13 | 0.23 | 0.09 | 0.14 | 0.46 | |||||||||||||||||||||||
Restructuring and other costs, tax impact 2 | (0.03) | (0.02) | (0.05) | (0.02) | (0.03) | (0.05) | (0.02) | (0.03) | (0.10) | |||||||||||||||||||||||
Disposition costs, pre-tax 4 | — | — | — | — | — | — | — | 0.01 | 0.01 | |||||||||||||||||||||||
Disposition costs, tax impact 2 | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||
(Gain) loss on disposition, pre-tax 5 | (3.79) | — | (3.80) | — | — | — | — | — | — | |||||||||||||||||||||||
(Gain) loss on disposition, tax-impact 2 | 0.82 | — | 0.83 | — | — | — | — | — | — | |||||||||||||||||||||||
Adjusted diluted net earnings per share | $ | 1.95 | $ | 2.36 | $ | 4.31 | $ | 1.94 | $ | 2.05 | $ | 3.99 | $ | 2.35 | $ | 2.45 | $ | 8.80 | ||||||||||||||
1 Purchase accounting expenses are primarily comprised of amortization of acquired intangible assets. | ||||||||||||||||||||||||||||||||
2 Adjustments were tax effected using the statutory tax rates in the applicable jurisdictions or the effective tax rate, where applicable, for each period. | ||||||||||||||||||||||||||||||||
3 Restructuring and other costs relate to actions taken for headcount reductions, facility consolidations and site closures, product line exits, and other asset charges. Q1 and Q2 YTD 2024 include $3.4M and Q3 and FY 2023 include $3.3M of non-cash asset impairment charges for our Climate & Sustainability Technologies segment. | ||||||||||||||||||||||||||||||||
4 Q4 and FY 2023 disposition costs relate to the sale of De-Sta-Co. | ||||||||||||||||||||||||||||||||
5 (Gain) loss on disposition due to the sale of De-Sta-Co in the Engineered Products segment, including a $0.7M post-closing adjustment recorded in Q2 2024. | ||||||||||||||||||||||||||||||||
* Per share data and totals may be impacted by rounding. |
2024 | 2023 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q2 YTD | Q1 | Q2 | Q2 YTD | Q3 | Q4 | FY 2023 | ||||||||||||||||||||||||
ADJUSTED SEGMENT EBITDA | ||||||||||||||||||||||||||||||||
Engineered Products: | ||||||||||||||||||||||||||||||||
Segment earnings | $ | 103,969 | $ | 101,247 | $ | 205,216 | $ | 84,275 | $ | 73,076 | $ | 157,351 | $ | 101,610 | $ | 118,464 | $ | 377,425 | ||||||||||||||
Other depreciation and amortization 1 | 6,361 | 6,343 | 12,704 | 7,070 | 7,300 | 14,370 | 7,306 | 6,397 | 28,073 | |||||||||||||||||||||||
Adjusted segment EBITDA 2 | 110,330 | 107,590 | 217,920 | 91,345 | 80,376 | 171,721 | 108,916 | 124,861 | 405,498 | |||||||||||||||||||||||
Adjusted segment EBITDA margin 2 | 20.3 % | 20.9 % | 20.6 % | 18.4 % | 17.0 % | 17.7 % | 21.6 % | 23.6 % | 20.2 % | |||||||||||||||||||||||
Clean Energy & Fueling: | ||||||||||||||||||||||||||||||||
Segment earnings | $ | 69,675 | $ | 87,536 | $ | 157,211 | $ | 73,605 | $ | 83,616 | $ | 157,221 | $ | 92,483 | $ | 78,900 | $ | 328,604 | ||||||||||||||
Other depreciation and amortization 1 | 7,921 | 7,627 | 15,548 | 7,046 | 7,541 | 14,587 | 7,686 | 7,844 | 30,117 | |||||||||||||||||||||||
Adjusted segment EBITDA 2 | 77,596 | 95,163 | 172,759 | 80,651 | 91,157 | 171,808 | 100,169 | 86,744 | 358,721 | |||||||||||||||||||||||
Adjusted segment EBITDA margin 2 | 17.4 % | 20.6 % | 19.0 % | 18.7 % | 20.7 % | 19.7 % | 21.5 % | 19.3 % | 20.1 % | |||||||||||||||||||||||
Imaging & Identification: | ||||||||||||||||||||||||||||||||
Segment earnings | $ | 69,959 | $ | 75,786 | $ | 145,745 | $ | 68,315 | $ | 61,336 | $ | 129,651 | $ | 70,316 | $ | 72,545 | $ | 272,512 | ||||||||||||||
Other depreciation and amortization 1 | 3,733 | 3,271 | 7,004 | 3,394 | 3,745 | 7,139 | 3,972 | 4,182 | 15,293 | |||||||||||||||||||||||
Adjusted segment EBITDA 2 | 73,692 | 79,057 | 152,749 | 71,709 | 65,081 | 136,790 | 74,288 | 76,727 | 287,805 | |||||||||||||||||||||||
Adjusted segment EBITDA margin 2 | 26.6 % | 27.5 % | 27.1 % | 25.3 % | 23.9 % | 24.6 % | 26.9 % | 26.9 % | 25.8 % | |||||||||||||||||||||||
Pumps & Process Solutions: | ||||||||||||||||||||||||||||||||
Segment earnings | $ | 118,737 | $ | 137,217 | $ | 255,954 | $ | 115,244 | $ | 129,337 | $ | 244,581 | $ | 117,907 | $ | 121,917 | $ | 484,405 | ||||||||||||||
Other depreciation and amortization 1 | 12,139 | 12,637 | 24,776 | 10,939 | 11,609 | 22,548 | 12,052 | 11,744 | 46,344 | |||||||||||||||||||||||
Adjusted segment EBITDA 2 | 130,876 | 149,854 | 280,730 | 126,183 | 140,946 | 267,129 | 129,959 | 133,661 | 530,749 | |||||||||||||||||||||||
Adjusted segment EBITDA margin 2 | 28.1 % | 31.4 % | 29.8 % | 30.5 % | 30.3 % | 30.4 % | 30.1 % | 30.0 % | 30.2 % | |||||||||||||||||||||||
Climate & Sustainability Technologies: | ||||||||||||||||||||||||||||||||
Segment earnings | $ | 50,759 | $ | 79,127 | $ | 129,886 | $ | 73,778 | $ | 76,074 | $ | 149,852 | $ | 84,060 | $ | 71,468 | $ | 305,380 | ||||||||||||||
Other depreciation and amortization 1 | 7,275 | 7,220 | 14,495 | 6,624 | 6,895 | 13,519 | 6,954 | 7,084 | 27,557 | |||||||||||||||||||||||
Adjusted segment EBITDA 2 | 58,034 | 86,347 | 144,381 | 80,402 | 82,969 | 163,371 | 91,014 | 78,552 | 332,937 | |||||||||||||||||||||||
Adjusted segment EBITDA margin 2 | 15.9 % | 19.8 % | 18.0 % | 17.7 % | 18.5 % | 18.1 % | 19.1 % | 19.7 % | 18.7 % | |||||||||||||||||||||||
Total Segments: | ||||||||||||||||||||||||||||||||
Total segment earnings 2, 3 | $ | 413,099 | $ | 480,913 | $ | 894,012 | $ | 415,217 | $ | 423,439 | $ | 838,656 | $ | 466,376 | $ | 463,294 | $ | 1,768,326 | ||||||||||||||
Other depreciation and amortization 1 | 37,429 | 37,098 | 74,527 | 35,073 | 37,090 | 72,163 | 37,970 | 37,251 | 147,384 | |||||||||||||||||||||||
Total Adjusted segment EBITDA 2 | 450,528 | 518,011 | 968,539 | 450,290 | 460,529 | 910,819 | 504,346 | 500,545 | 1,915,710 | |||||||||||||||||||||||
Total Adjusted segment EBITDA margin 2 | 21.5 % | 23.8 % | 22.7 % | 21.7 % | 21.9 % | 21.8 % | 23.4 % | 23.8 % | 22.7 % | |||||||||||||||||||||||
1 Other depreciation and amortization relates to property, plant, and equipment and intangibles, and excludes amounts related to purchase accounting expenses and restructuring and other costs. | ||||||||||||||||||||||||||||||||
2 Refer to Non-GAAP Disclosures section for definition. | ||||||||||||||||||||||||||||||||
3 Refer to Quarterly Segment Information section for reconciliation of total segment earnings to net earnings. |
2024 | 2023 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q2 YTD | Q1 | Q2 | Q2 YTD | Q3 | Q4 | FY 2023 | ||||||||||||||||||||||||
Net earnings | $ | 632,221 | $ | 281,822 | $ | 914,043 | $ | 228,574 | $ | 242,239 | $ | 470,813 | $ | 289,753 | $ | 296,262 | $ | 1,056,828 | ||||||||||||||
Provision for income taxes 1 | 166,661 | 71,467 | 238,128 | 57,716 | 57,784 | 115,500 | 64,709 | 32,969 | 213,178 | |||||||||||||||||||||||
Earnings before provision for income taxes | 798,882 | 353,289 | 1,152,171 | 286,290 | 300,023 | 586,313 | 354,462 | 329,231 | 1,270,006 | |||||||||||||||||||||||
Interest income | (4,757) | (4,080) | (8,837) | (2,091) | (2,653) | (4,744) | (3,808) | (4,944) | (13,496) | |||||||||||||||||||||||
Interest expense | 36,365 | 32,374 | 68,739 | 34,214 | 33,804 | 68,018 | 32,389 | 30,898 | 131,305 | |||||||||||||||||||||||
Corporate expense / other 2 | 42,317 | 41,380 | 83,697 | 40,072 | 33,922 | 73,994 | 30,686 | 45,913 | 150,593 | |||||||||||||||||||||||
Disposition costs 3 | — | — | — | — | — | — | — | 1,302 | 1,302 | |||||||||||||||||||||||
(Gain) loss on disposition 4 | (529,943) | 663 | (529,280) | — | — | — | — | — | — | |||||||||||||||||||||||
Restructuring and other costs 5 | 24,684 | 11,590 | 36,274 | 14,053 | 18,143 | 32,196 | 12,327 | 19,150 | 63,673 | |||||||||||||||||||||||
Purchase accounting expenses 6 | 45,551 | 45,697 | 91,248 | 42,679 | 40,200 | 82,879 | 40,320 | 41,744 | 164,943 | |||||||||||||||||||||||
Total segment earnings 7 | 413,099 | 480,913 | 894,012 | 415,217 | 423,439 | 838,656 | 466,376 | 463,294 | 1,768,326 | |||||||||||||||||||||||
Add: Other depreciation and amortization 8 | 37,429 | 37,098 | 74,527 | 35,073 | 37,090 | 72,163 | 37,970 | 37,251 | 147,384 | |||||||||||||||||||||||
Total adjusted segment EBITDA 7 | $ | 450,528 | $ | 518,011 | $ | 968,539 | $ | 450,290 | $ | 460,529 | $ | 910,819 | $ | 504,346 | $ | 500,545 | $ | 1,915,710 | ||||||||||||||
1 Q4 and FY 2023 include the net income tax benefit of internal reorganizations executed in 2023. | ||||||||||||||||||||||||||||||||
2 Certain expenses are maintained at the corporate level and not allocated to the segments. These expenses include executive and functional compensation costs, non-service pension costs, non-operating insurance expenses, shared business services and digital overhead costs, deal-related expenses and various administrative expenses relating to the corporate headquarters. | ||||||||||||||||||||||||||||||||
3 Q4 and FY 2023 disposition costs relate to the sale of De-Sta-Co. | ||||||||||||||||||||||||||||||||
4 (Gain) loss on disposition due to the sale of De-Sta-Co in the Engineered Products segment. | ||||||||||||||||||||||||||||||||
5 Restructuring and other costs relate to actions taken for headcount reductions, facility consolidations and site closures, product line exits, and other asset charges. | ||||||||||||||||||||||||||||||||
6 Purchase accounting expenses are primarily comprised of amortization of acquired intangible assets. | ||||||||||||||||||||||||||||||||
7 Refer to Non-GAAP Disclosures section for definition. | ||||||||||||||||||||||||||||||||
8 Other depreciation and amortization relates to property, plant, and equipment and intangibles, and excludes amounts related to purchase accounting expenses and restructuring and other costs. |
2024 | ||||||||||||||
Q2 | Q2 YTD | |||||||||||||
Organic | ||||||||||||||
Engineered Products | 20.2 | % | 14.6 | % | ||||||||||
Clean Energy & Fueling | 2.3 | % | 1.9 | % | ||||||||||
Imaging & Identification | 6.9 | % | 2.6 | % | ||||||||||
Pumps & Process Solutions | (3.1) | % | 0.5 | % | ||||||||||
Climate & Sustainability Technologies | (2.3) | % | (11.4) | % | ||||||||||
Total Organic | 4.8 | % | 1.8 | % | ||||||||||
Acquisitions | 2.1 | % | 2.1 | % | ||||||||||
Dispositions | (2.6) | % | (1.3) | % | ||||||||||
Currency translation | (0.6) | % | (0.4) | % | ||||||||||
Total* | 3.7 | % | 2.2 | % |
2024 | |||||||||||
Q2 | Q2 YTD | ||||||||||
Organic | |||||||||||
United States | 11.4 | % | 6.3 | % | |||||||
Other Americas | 17.6 | % | 5.9 | % | |||||||
Europe | (3.8) | % | (2.2) | % | |||||||
Asia | (8.5) | % | (6.8) | % | |||||||
Other | (27.8) | % | (24.8) | % | |||||||
Total Organic | 4.8 | % | 1.8 | % | |||||||
Acquisitions | 2.1 | % | 2.1 | % | |||||||
Dispositions | (2.6) | % | (1.3) | % | |||||||
Currency translation | (0.6) | % | (0.4) | % | |||||||
Total* | 3.7 | % | 2.2 | % |
Adjusted EPS Guidance Reconciliation | |||||||||||
Range | |||||||||||
2024 Guidance for Earnings per Share (GAAP) | $10.80 | $10.95 | |||||||||
Purchase accounting expenses, net | 1.01 | ||||||||||
Restructuring and other costs, net | 0.24 | ||||||||||
Gain on disposition, net | (3.00) | ||||||||||
2024 Guidance for Adjusted Earnings per Share (Non-GAAP) | $9.05 | $9.20 |
2024 | 2023 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q2 YTD | Q1 | Q2 | Q2 YTD | Q3 | Q4 | FY 2023 | ||||||||||||||||||||||||
Net Cash Flows Provided By (Used In): | ||||||||||||||||||||||||||||||||
Operating activities | $ | 166,593 | $ | 203,662 | $ | 370,255 | $ | 241,284 | $ | 195,254 | $ | 436,538 | $ | 383,457 | $ | 516,350 | $ | 1,336,345 | ||||||||||||||
Investing activities | 429,851 | 28,165 | 458,016 | (43,556) | (42,454) | (86,010) | (50,243) | (590,377) | (726,630) | |||||||||||||||||||||||
Financing activities | (80,782) | (830,657) | (911,439) | (306,565) | (137,924) | (444,489) | (312,716) | 189,149 | (568,056) |
2024 | 2023 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q2 YTD | Q1 | Q2 | Q2 YTD | Q3 | Q4 | FY 2023 | ||||||||||||||||||||||||
Cash flow from operating activities 1 | $ | 166,593 | $ | 203,662 | $ | 370,255 | $ | 241,284 | $ | 195,254 | $ | 436,538 | $ | 383,457 | $ | 516,350 | $ | 1,336,345 | ||||||||||||||
Less: Capital expenditures | (44,475) | (40,872) | (85,347) | (48,375) | (40,079) | (88,454) | (43,128) | (61,010) | (192,592) | |||||||||||||||||||||||
Free cash flow | $ | 122,118 | $ | 162,790 | $ | 284,908 | $ | 192,909 | $ | 155,175 | $ | 348,084 | $ | 340,329 | $ | 455,340 | $ | 1,143,753 | ||||||||||||||
Cash flow from operating activities as a percentage of revenue | 8.0 % | 9.3 % | 8.7 % | 11.6 % | 9.3 % | 10.4 % | 17.8 % | 24.5 % | 15.8 % | |||||||||||||||||||||||
Cash flow from operating activities as a percentage of adjusted net earnings | 61.1 % | 62.3 % | 61.7 % | 88.5 % | 67.8 % | 77.9 % | 115.9 % | 149.6 % | 108.1 % | |||||||||||||||||||||||
Free cash flow as a percentage of revenue | 5.8 % | 7.5 % | 6.7 % | 9.3 % | 7.4 % | 8.3 % | 15.8 % | 21.6 % | 13.6 % | |||||||||||||||||||||||
Free cash flow as a percentage of adjusted net earnings | 44.8 % | 49.8 % | 47.5 % | 70.7 % | 53.9 % | 62.1 % | 102.9 % | 132.0 % | 92.5 % | |||||||||||||||||||||||
1 Q2 and Q2 YTD 2024 include income tax payments of $56 million related to the gain on the disposition of De-Sta-Co. The remainder of the tax payments on the De-Sta-Co gain will be paid in quarterly installments throughout 2024. | ||||||||||||||||||||||||||||||||
2024 | 2023 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q2 YTD | Q1 | Q2 | Q2 YTD | Q3 | Q4 | FY 2023 | ||||||||||||||||||||||||
BOOKINGS | ||||||||||||||||||||||||||||||||
Engineered Products | $ | 541,982 | $ | 581,370 | $ | 1,123,352 | $ | 536,472 | $ | 489,131 | $ | 1,025,603 | $ | 576,641 | $ | 494,528 | $ | 2,096,772 | ||||||||||||||
Clean Energy & Fueling | 471,610 | 442,086 | 913,696 | 454,526 | 440,137 | 894,663 | 449,663 | 401,195 | 1,745,521 | |||||||||||||||||||||||
Imaging & Identification | 278,433 | 288,641 | 567,074 | 290,712 | 262,092 | 552,804 | 271,113 | 297,312 | 1,121,229 | |||||||||||||||||||||||
Pumps & Process Solutions | 473,632 | 461,426 | 935,058 | 464,297 | 394,317 | 858,614 | 363,111 | 455,390 | 1,677,115 | |||||||||||||||||||||||
Climate & Sustainability Technologies | 453,086 | 406,269 | 859,355 | 371,643 | 310,911 | 682,554 | 340,474 | 325,625 | 1,348,653 | |||||||||||||||||||||||
Intersegment eliminations | (1,107) | (1,693) | (2,800) | (1,530) | (1,918) | (3,448) | (849) | (2,125) | (6,422) | |||||||||||||||||||||||
Total consolidated bookings | $ | 2,217,636 | $ | 2,178,099 | $ | 4,395,735 | $ | 2,116,120 | $ | 1,894,670 | $ | 4,010,790 | $ | 2,000,153 | $ | 1,971,925 | $ | 7,982,868 | ||||||||||||||
2024 | |||||||||||
Q2 | Q2 YTD | ||||||||||
BOOKINGS GROWTH FACTORS | |||||||||||
Organic | |||||||||||
Engineered Products | 29.3 | % | 14.5 | % | |||||||
Clean Energy & Fueling | (1.6) | % | — | % | |||||||
Imaging & Identification | 11.1 | % | 3.5 | % | |||||||
Pumps & Process Solutions | 10.5 | % | 2.3 | % | |||||||
Climate & Sustainability Technologies | 31.6 | % | 26.6 | % | |||||||
Total Organic | 16.1 | % | 9.2 | % | |||||||
Acquisitions | 2.1 | % | 2.0 | % | |||||||
Dispositions | (2.7) | % | (1.3) | % | |||||||
Currency translation | (0.5) | % | (0.3) | % | |||||||
Total* | 15.0 | % | 9.6 | % | |||||||
* Totals may be impacted by rounding. | |||||||||||