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Oct 03
Veralto Q3 2025 Earnings Report
Veralto reported Q3 2025 results with 6.9% sales growth and strong earnings execution.
Key Takeaways
Veralto achieved solid performance in Q3 2025 with 5.1% core sales growth, strong operating margins, and earnings of $239M. Non-GAAP EPS came in at $0.99, supported by disciplined execution and resilient demand across its key segments.
Revenue reached $1.404 billion, up 6.9% YoY.
Net income was $239 million with GAAP EPS of $0.95.
Non-GAAP core sales growth was 5.1% across the portfolio.
Free cash flow totaled $258 million for the quarter.
Veralto
Veralto
Forward Guidance
Veralto expects Q4 2025 core sales to grow low-single digits YoY, with full-year EPS guidance raised to $3.82–$3.85 and continued margin improvement.
Positive Outlook
- Raised full-year adjusted EPS guidance to $3.82–$3.85.
- Q4 adjusted EPS expected between $0.95 and $0.98.
- Free cash flow conversion expected at ~100%.
- Full-year adjusted operating profit margin expected to expand up to 25 bps.
- Anticipated core sales growth of mid-single digits for the full year.
Challenges Ahead
- Low-single-digit core sales growth expected in Q4, signaling slower momentum.
- Currency exchange rates negatively impacted Q3 sales by 1.5%.
- No breakdown of regional revenue, limiting visibility into geographic performance.
- Segment-level revenue in dollar terms not provided.
- High interest expenses of $21M continue to weigh on net income.