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WALTHAM, Mass., Oct. 28, 2025 /PRNewswire/ -- Veralto (NYSE: VLTO) (the "Company"), a global leader in essential water and product quality solutions dedicated to Safeguarding the World's Most Vital Resources™, announced results for the third quarter ended October 3, 2025. Key Third Quarter 2025 Results Sales increased 6.9% year-over-year to $1,404 million, with non-GAAP core sales growth of 5.1%Operating profit margin was 23.2% and non-GAAP adjusted operating profit margin was 23.9%Net earnings were $239 million, or $0.95 per diluted common shareNon-GAAP, adjusted net earnings were $247 million, or $0.99 per diluted common shareOperating cash flow was $270 million and non-GAAP free cash flow was $258 million "In both the third quarter and the first nine months of 2025, we delivered mid-single digit core sales growth and double-digit earnings per share growth through strong commercial performance, disciplined operating execution and rigorous deployment of the Veralto Enterprise System. These results underscore our ability to successfully navigate a dynamic macro environment, particularly with respect to changes in global trade policies. Our consistent growth this year is also a testament to our durable business model and the critical role our technologies and services play in supporting the daily operations of our customers," said Jennifer L. Honeycutt, President and Chief Executive Officer. "Broadly speaking, customer demand across our key end markets was as expected in the third quarter. Our financial position continued to strengthen, and we have ample flexibility to invest in organic and inorganic opportunities, in-line with our disciplined approach to capital allocation. Looking back at our first two years as a public company, I'm extremely proud of our global team for the steady growth and improvement we've achieved, a reflection of our high-performance culture at Veralto," concluded Honeycutt. 2025 Guidance The Company provides forecasted sales only on a non-GAAP basis because of the difficulty in estimating the other components of GAAP sales, such as currency translation, acquisitions, and divestitures. For the fourth quarter of 2025, Veralto anticipates that non-GAAP core sales will grow low-single-digits year-over-year with adjusted diluted earnings per share in the range of $0.95 to $0.98 per share. For the full year 2025, the Company raised its adjusted earnings per share guidance range to $3.82 to $3.85 per share, up from its prior guidance range of $3.72 to $3.80 per share. This full year guidance assumes mid-single-digit core sales growth, with adjusted operating profit margin expansion in the range of flat to +25 basis points year-over-year. The Company also raised its full-year free cash flow conversion guidance to approximately 100%. Conference Call and Webcast Information Veralto will discuss its third quarter results and financial guidance for 2025 during its quarterly investor conference call tomorrow starting at 8:30 a.m. (ET). Access to the call, webcast and an accompanying slide presentation will be available on the "Investors" section of Veralto's website, www.veralto.com, under the subheading "News & Events" and additional materials will be posted to the same section of Veralto's website. A replay of the webcast will be available in the same section of Veralto's website shortly after the conclusion of the call and will remain available until the next quarterly earnings call. The conference call can be accessed by dialing +1 (833) 316-2483 (U.S.) or +1 (785) 838-9284 (INTL) (Conference ID: VLTO3Q25). A replay of the conference call will be available shortly after the conclusion of the call and until November 7, 2025. You can access the replay dial-in information on the "Investors" section of Veralto's website under the subheading "News & Events." ABOUT VERALTO With annual sales of over $5 billion, Veralto is a global leader in essential technology solutions with a proven track record of solving some of the most complex challenges we face as a society. Our industry-leading companies with globally recognized brands help billions of people around the world access clean water, safe food and trusted essential goods. Headquartered in Waltham, Massachusetts, our global team of nearly 17,000 associates is committed to making an enduring positive impact on our world and united by a powerful purpose: Safeguarding the World's Most Vital Resources™. NON-GAAP MEASURES AND SUPPLEMENTAL MATERIALS In addition to the financial measures prepared in accordance with generally accepted accounting principles (GAAP), this earnings release also contains non-GAAP financial measures. Calculations of these measures, the reasons why we believe these measures provide useful information to investors, a reconciliation of these measures to the most directly comparable GAAP measures, as applicable, and other information relating to these non-GAAP measures are included in the supplemental reconciliation schedule attached. In addition, this earnings release, the slide presentation accompanying the related earnings call, non-GAAP reconciliations and a note containing details of historical and anticipated, future financial performance have been posted to the "Investors" section of Veralto's website (www.veralto.com) under the subheading "Quarterly Earnings." FORWARD-LOOKING STATEMENTS Certain statements in this release, including the statement regarding the Company's anticipated fourth quarter and full year 2025 financial performance, the Company's differentiation and positioning to continue delivering sustainable, long-term shareholder value and any other statements regarding events or developments that we believe or anticipate will or may occur in the future are "forward-looking" statements within the meaning of the federal securities laws. All statements other than historical factual information are forward-looking statements, including, without limitation, statements regarding: projections of revenue, expenses, profit, profit margins, asset values, pricing, tax rates, tax provisions, cash flows, pension and benefit obligations and funding requirements, Veralto's liquidity position or other projected financial measures; Veralto's management's plans and strategies for future operations, including statements relating to anticipated operating performance, customer demand, cost reductions, restructuring activities, new product and service developments, competitive strengths or market position, acquisitions and the integration thereof, divestitures, spin-offs, split-offs, initial public offerings, other securities offerings or other distributions, strategic opportunities, stock repurchases, dividends and executive compensation; growth, declines and other trends in markets Veralto sells into, including the impact of changes to global trade policies, restrictions on imports, related countermeasures and reciprocal tariffs; future new or modified laws, regulations, accounting pronouncements or public policy changes; regulatory approvals and the timing and conditionality thereof; outstanding claims, legal proceedings, tax audits and assessments and other contingent liabilities; future foreign currency exchange rates and fluctuations in those rates; results of operations and/or financial condition; general economic and capital markets conditions; the anticipated timing of any of the foregoing; assumptions underlying any of the foregoing; and any other statements that address events or developments that Veralto intends or believes will or may occur in the future. Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in our SEC filings. These forward-looking statements speak only as of the date of this release and except to the extent required by applicable law, the Company does not assume any obligation to update or revise any forward-looking statement, whether as a result of new information, future events and developments or otherwise.
