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Mar 31

IDEX Q1 2025 Earnings Report

IDEX reported mixed first quarter results with slight revenue growth but lower profitability due to restructuring and acquisition-related costs.

Key Takeaways

IDEX delivered Q1 2025 revenue growth driven by acquisitions, but net income and EPS declined due to restructuring expenses and higher costs.

Revenue reached $814.3M, up 2% from Q1 2024, driven by the Mott acquisition.

Adjusted EPS declined to $1.75 from $1.88, reflecting increased costs and tax impacts.

Net income dropped to $95.5M, impacted by restructuring charges and higher interest expenses.

Strong order growth and backlog expansion, particularly in HST and FSDP segments.

Total Revenue
$814M
Previous year: $801M
+1.7%
EPS
$1.75
Previous year: $1.88
-6.9%
Gross Margin
45.3%
Previous year: 44.6%
+1.6%
Adjusted Gross Margin
45.3%
Previous year: 45%
+0.7%
Adjusted EBITDA
$208M
Previous year: $208M
-0.1%
Gross Profit
$369M
Previous year: $357M
+3.2%
Cash and Equivalents
$594M
Previous year: $616M
-3.6%
Free Cash Flow
$91.4M
Previous year: $137M
-33.1%
Total Assets
$6.8B
Previous year: $5.89B
+15.4%

IDEX

IDEX

IDEX Revenue by Segment

Forward Guidance

IDEX expects stable 2025 performance supported by cost containment measures and solid order trends, with potential risks from tariffs and slower demand.

Positive Outlook

  • Full-year adjusted EPS guidance maintained at $8.10 - $8.45.
  • Organic sales growth expected at 1% to 3% for FY25.
  • Second quarter adjusted EPS forecasted at $1.95 - $2.05.
  • Cost savings of $20M planned to counter tariff-related pressures.
  • Order rates remain strong through April despite macro uncertainties.

Challenges Ahead

  • Anticipated customer caution and slower decision-making.
  • Higher interest and depreciation expenses impacting profitability.
  • Continued softness in semiconductor, agriculture, and energy markets.
  • Negative free cash flow trend due to inventory and interest payments.
  • Dilutive impact from Mott acquisition on margins.

Revenue & Expenses

Visualization of income flow from segment revenue to net income