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Sep 30, 2024

IDEX Q3 2024 Earnings Report

IDEX reported mixed results for Q3 2024, with sales up slightly but earnings down due to prior year gains.

Key Takeaways

IDEX Corporation reported a 1% increase in sales to $798 million, while organic sales remained flat. Reported EPS decreased 43% to $1.57, and adjusted EPS decreased 10% to $1.90. The company completed the acquisition of Mott Corporation and updated its full-year outlook.

Sales increased by 1% to $798 million, with flat organic sales growth.

Reported diluted EPS decreased by 43% to $1.57, while adjusted diluted EPS decreased by 10% to $1.90.

Operating cash flow decreased by 9% to $205 million.

The acquisition of Mott Corporation was completed on September 5, 2024.

Total Revenue
$798M
Previous year: $793M
+0.6%
EPS
$1.9
Previous year: $2.12
-10.4%
Gross Profit
$354M
Previous year: $350M
+1.2%
Cash and Equivalents
$633M
Previous year: $563M
+12.5%
Free Cash Flow
$192M
Previous year: $207M
-7.2%
Total Assets
$6.97B
Previous year: $5.67B
+22.9%

IDEX

IDEX

IDEX Revenue by Segment

Forward Guidance

IDEX projects full year organic sales to decline 1% to 2% versus the prior year. Full year GAAP diluted EPS is expected to be $6.65 - $6.70, and adjusted diluted EPS is expected to be $7.85 - $7.90.

Positive Outlook

  • Full year adjusted diluted EPS guidance reaffirmed.
  • Positive impacts of price capture were offset by the impact of divestitures.
  • Volumes were relatively flat period over period with improvement in the industrial market and strength in our water business
  • The benefit of key growth initiatives and strength in the aerospace market
  • Mott acquisition expected to be accretive to IDEX’s adjusted earnings per share in fiscal year 2026.

Challenges Ahead

  • Full year organic sales growth is projected to decline 1% to 2% versus the prior year
  • Full year GAAP diluted EPS of $6.65 - $6.70 vs. previous guidance of $6.85 - $6.95.
  • Lower volumes in our Health & Science Technologies segment
  • Down agriculture cycle and softness in the energy market.
  • The cyclical nature of project sales in our North American dispensing business.

Revenue & Expenses

Visualization of income flow from segment revenue to net income