IDEX Q1 Earnings Surpass Estimates, Sales Increase Year Over Year

IDEX Corporation’s IEX first-quarter 2025 adjusted earnings of $1.75 per share surpassed the Zacks Consensus Estimate of $1.64. The bottom line decreased 7% from the year-ago quarter’s earnings of $1.88 per share. Management projected adjusted earnings to be in the band of $1.18-$1.24 per share in the quarter.(Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)IEX’s Revenue DetailsIDEX’s net sales of $814.3 million beat the Zacks Consensus Estimate of $811 million. The top line increased 2% year over year. Organic sales decreased 1% year over year. Acquisitions/divestitures had a positive impact on sales of 4%, while foreign currency translation had a negative impact of 1% on sales.IEX reports net sales under three business segments, the results of which are discussed below:Net sales from the Fluid & Metering Technologies segment totaled $290.5 million, down 7% year over year. Our estimate for segmental net sales was $293.6 million. Organic sales decreased 4% year over year. Acquisition/divestitures impacted sales by 2%, while foreign currency translation had a negative impact of 1% on sales.Net sales from the Health & Science Technologies segment totaled $341.5 million, up 10% year over year. Our estimate for segmental net sales was $332.9 million. Organic sales declined 1% year over year. Acquisitions/divestitures had a positive impact on sales of 12%, while foreign currency translation had a negative impact of 1% on sales.Net sales from the Fire & Safety/Diversified Products segment totaled $184.3 million, which increased 4% year over year. Our estimate for segmental net sales was $177.6 million. Organic sales increased 5% on a year-over-year basis, while foreign currency translation had a negative impact of 1% on sales.IDEX Corporation Price, Consensus and EPS Surprise IDEX Corporation price-consensus-eps-surprise-chart | IDEX Corporation QuoteIDEX’s Margin ProfileIDEX’s cost of sales increased 0.5% year over year to $445.4 million. The gross profit was $368.9 million, up 3.2% year over year. The gross margin was 45.3% compared with 44.6% in the year-ago quarter.Selling, general and administrative expenses increased 7.3% year over year to $209.4 million. Adjusted EBITDA was $208.0 million, almost in line with the year-ago quarter. The adjusted EBITDA margin decreased 50 bps year over year to 25.5%.The operating income was $142.0 million, down 11.9% year over year. The operating margin was 17.4%, down 270 bps year over year. Interest expenses (net) increased 72.3% year over year to $16.1 million.Balance Sheet and Cash Flow of IDEXWhile exiting the first quarter, IDEX’s cash and cash equivalents were $594.1 million compared with $620.8 million at the end of fourth-quarter 2024. Long-term borrowings (net) were $1.84 billion compared with $1.9 billion at the end of fourth-quarter 2024.In the first quarter of 2025, IDEX generated net cash of $105.7 million from operating activities, down 32.5% from the year-ago period. Capital expenditures were $14.3 million compared with $20 million in first-quarter 2024. In the same period, free cash flow was $91.4 million, down 33.1% year over year.IDEX paid out dividends totaling $52.4 million in the first three months of 2025, up 8% year over year.IDEX’s OutlookFor the second quarter, IDEX anticipates adjusted earnings to be in the band of $1.95 - $2.05 per share.On a GAAP basis, IEX predicts earnings to be in the range of $1.60 - $1.72 per share. It expects organic sales to increase in the range of 0-2% from the year-ago reading.For 2025, the company has reaffirmed its guidance. IDEX anticipates adjusted earnings to be in the band of $8.10-$8.45 per share. The figure indicates an increase from earnings of $7.89 per share reported in 2024. On a GAAP basis, earnings are predicted to be in the band of $6.56-$6.96 per share.Organic sales are predicted to increase in the range of 1-3%.IEX’s Zacks RankThe company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Performance of Other CompaniesAZZ Inc. AZZ came out with quarterly earnings of $0.98 per share, beating the Zacks Consensus Estimate of $0.95. This compares with earnings of $0.93 per share a year ago.AZZ reported revenues of $351.88 million, missing the consensus estimate by 3.77%. This compares with year-ago revenues of $366.5 million. Valmont Industries VMI reported revenues of $969.31 million in the first quarter of 2025, declining 0.9% on a year-over-year basis. Earnings per share of $4.32 for the same period compare with $4.32 a year ago.The reported revenues compare with the Zacks Consensus Estimate of $975.6 million. The company delivered an earnings surprise of 1.89%, with the consensus estimate being $4.24 per share.Pentair plc PNR came out with quarterly earnings of $1.11 per share in the first quarter of 2025, beating the Zacks Consensus Estimate of $1.01. This compares with earnings of $0.94 per share a year ago.Pentair posted revenues of $1.01 billion for the quarter, surpassing the consensus estimate by 2.68%. This compares with year-ago revenues of $1.02 billion.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Valmont Industries, Inc. (VMI): Free Stock Analysis Report AZZ Inc. (AZZ): Free Stock Analysis Report IDEX Corporation (IEX): Free Stock Analysis Report Pentair plc (PNR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks