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Veralto Q1 Revenues & Earnings Beat Estimates, Increase Y/Y

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Veralto Corporation (VLTO - Free Report) reported impressive first-quarter 2025 results, with earnings and revenues beating the Zacks Consensus Estimate.

Quarterly adjusted earnings of 95 cents per share surpassed the consensus mark by 9.2% and increased 13.1% year over year. Total revenues of $1.33 billion beat the consensus mark by a 3.8% margin and grew 6.9% from the year-ago quarter.

Veralto Corporation Price, Consensus and EPS Surprise

Veralto Corporation Price, Consensus and EPS Surprise

Veralto Corporation price-consensus-eps-surprise-chart | Veralto Corporation Quote

The stock has declined 1.4% over the past year, underperforming the 10.5% growth of the industry and the 10.3% growth of the Zacks S&P 500 Composite.

VLTO’s Quarterly Numbers in Detail

The Water Quality segment recorded revenues of $794 million, remained flat year over year in actual and beat our estimate of $772 million. The Product, Quality & Innovation segment’s top line gained 8.3% year over year to $538 million and outperformed our projection of $512.4 million.

The adjusted EBITDA was $343 million, an 8.9% rise from the year-ago quarter. The adjusted operating EBITDA margin improved 50 basis points to 25.8% from the year-ago quarter.

Cash Flow of VLTO

Veralto exited the quarter with a cash and cash equivalent balance of $1.24 billion compared with the prior-year quarter’s $827 million. Long-term debt at the end of the quarter was $2.63 million compared with $2.62 billion at the end of the prior quarter.

VLTO generated $157 million in cash from operating activities in the reported quarter, while capital expenditure was $15 million. The free cash flow was $142 million.

VLTO’s Q2 & 2025 Guidance

For the second quarter of 2025, Veralto expects revenues to grow in the low-to-mid single-digit range year over year and projects adjusted diluted earnings per share to range from 84 cents to 88 cents, which is below the Zacks Consensus Estimate of 92 cents per share.

For the full-year 2025, the company reaffirms its adjusted earnings per share guidance of $3.60 to $3.70, with a midpoint of $3.65 per share, which is just below the current year’s Zacks Consensus Estimate of $3.66 per share and targets a free cash flow conversion rate of 90% to 100%. This outlook assumes core sales will grow in the low-to-mid single-digit range and adjusted operating profit margins will expand by up to 50 basis points year over year or remain flat.

VLTO carries a Zacks Rank #4 (Sell) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Earnings Snapshot

Fiserv, Inc. (FI - Free Report) reported mixed first-quarter 2025 results. The company’s earnings beat the Zacks Consensus Estimate, while revenues missed the mark.

FI’s adjusted earnings per share of $2.14 beat the consensus mark by 2.9% and gained 13.8% year over year. Adjusted revenues of $4.8 billion missed the consensus estimate by 1.6% but rose 5.5% on a year-over-year basis. (See the Zacks Earnings Calendar to stay ahead of market-making news.)

The Interpublic Group of Companies, Inc. (IPG - Free Report) reported mixed first-quarter 2025 results. The company’s earnings topped the Zacks Consensus Estimate, while revenues missed the mark.

IPG’s adjusted earnings of 33 cents per share surpassed the Zacks Consensus Estimate by 10% but decreased 8.3% from the year-ago quarter. Revenues before billable expenses (net revenues) of $2 billion missed the consensus estimate by a slight margin and declined 20% year over year. Total revenues of $2.3 billion decreased 7.2% year over year but outpaced the Zacks Consensus Estimate of $2 billion.


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