SARASOTA, Fla., April 26, 2024 (GLOBE NEWSWIRE) -- Roper Technologies, Inc. (NASDAQ:ROP) reported financial results for the first quarter ended March 31, 2024. The results in this press release are presented on a continuing operations basis. First quarter 2024 highlights Revenue increased 14% to $1.68 billion; organic revenue increased 8% GAAP DEPS increased 33% to $3.54; adjusted DEPS increased 13% to $4.41 GAAP net earnings increased 34% to $382 million Adjusted EBITDA increased 16% to $676 million Operating cash flow increased 14% to $531 million "We had a great start to 2024, highlighted by 14% total revenue growth, 8% organic revenue growth, 16% EBITDA growth, and a 31% free cash flow margin," said Neil Hunn, Roper Technologies' President and CEO. "Our businesses continued to execute at a high level, while further innovating and investing to drive durable, long-term growth. We completed our acquisition of Procare during the first quarter and remain excited about the value creation opportunity this represents for Roper." "We are increasing our full year 2024 outlook, supported by our strong first quarter results, continued customer demand for our businesses' mission critical solutions, and the ongoing expansion of our recurring revenue base. With significant M&A capacity and a robust pipeline of attractive acquisition opportunities, we remain well positioned to execute our disciplined and process-driven capital deployment strategy," concluded Mr. Hunn. Increasing 2024 guidance Roper now expects full year 2024 adjusted DEPS of $18.05 - $18.25, compared to previous guidance of $17.85 - $18.15. For the second quarter of 2024, the Company expects adjusted DEPS of $4.42 - $4.46. The Company's guidance excludes the impact of unannounced future acquisitions or divestitures. Conference call to be held at 8:00 AM (ET) today A conference call to discuss these results has been scheduled for 8:00 AM ET on Friday, April 26, 2024. The call can be accessed via webcast or by dialing +1 800-836-8184 (US/Canada) or +1 646-357-8785, using conference code 02972. Webcast information and conference call materials will be made available in the Investors section of Roper's website (www.ropertech.com) prior to the start of the call. The webcast can also be accessed directly by using the following URL https://event.webcast. Telephonic replays will be available for up to two weeks and can be accessed by dialing +1 646-517-4150 with access code 02972#. Use of non-GAAP financial information The Company supplements its consolidated financial statements presented on a GAAP basis with certain non-GAAP financial information to provide investors with greater insight, increase transparency and allow for a more comprehensive understanding of the information used by management in its financial and operational decision-making. Reconciliation of non-GAAP measures to their most directly comparable GAAP measures are included in the accompanying financial schedules or tables. The non-GAAP financial measures disclosed by the Company should not be considered a substitute for, or superior to, financial measures prepared in accordance with GAAP, and the financial results prepared in accordance with GAAP and reconciliations from these results should be carefully evaluated. Minority interests Following the sale of a majority stake in its industrial businesses to CD&R, Roper holds a minority interest in Indicor. The fair value of Roper's equity investment in Indicor is updated on a quarterly basis and reported as "equity investments (gain) loss, net." Roper also holds a minority interest in Certinia, a leading provider of professional services automation software. The Company's investment is accounted for under the equity method and its proportionate share of earnings or loss associated with this investment is reported as "equity investments (gain) loss, net." Roper makes non-GAAP adjustments for the impacts associated with these investments. Table 1: Revenue and adjusted EBITDA reconciliation ($M)(from continuing operations)   Q1 2023   Q1 2024   V % GAAP revenue $ 1,470     $ 1,681       14 %             Components of revenue growth           Organic           8 % Acquisitions           6 % Foreign exchange           — % Revenue growth           14 %             Adjusted EBITDA reconciliation           GAAP net earnings $ 284     $ 382       Taxes   76       102       Interest expense   37       53       Depreciation   9       9       Amortization   175       185       EBITDA $ 581     $ 731       26 %             Transaction-related expenses for completed acquisitions   —       2       Financial impacts associated with the minorityinvestments in Indicor & CertiniaA   1       (57 )     Adjusted EBITDA $ 582     $ 676       16 % % of revenue   39.6 %     40.2 %   +60 bps Table 2: Adjusted DEPS reconciliation (from continuing operations)   Q1 2023   Q1 2024   V % GAAP DEPS $ 2.66     $ 3.54       33 % Transaction-related expenses for completed acquisitions   —       0.01       Financial impacts associated with the minority investments in Indicor & CertiniaA   (0.02 )     (0.45 )     Amortization of acquisition-related intangible assetsB   1.26       1.31       Adjusted DEPS $ 3.90     $ 4.41       13 %             Table 3: Cash flow reconciliation ($M)(from continuing operations)   Q1 2023   Q1 2024   V % Operating cash flow $ 465     $ 531       14 % Capital expenditures   (10 )     (9 )     Capitalized software expenditures   (10 )     (10 )     Free cash flow $ 445     $ 513       15 %             Table 4: Forecasted adjusted DEPS reconciliation(from continuing operations)   Q2 2024   FY 2024   Low end   High end   Low end   High end GAAP DEPSC $ 3.07     $ 3.11     $ 12.71     $ 12.91   Transaction-related expenses for completed acquisitions   —       —       0.01       0.01   Financial impacts associated with the minority investments in Indicor & CertiniaA TBD   TBD   TBD   TBD Amortization of acquisition-related intangible assetsB   1.35       1.35       5.33       5.33   Adjusted DEPS $ 4.42     $ 4.46     $ 18.05     $ 18.25                   Footnotes: A. Adjustments related to the financial impacts associated with the minority investments in Indicor & Certinia as shown below ($M, except per share data). Forecasted results do not include any potential impacts associated with our minority investments in Indicor or Certinia, as these potential impacts cannot be reasonably predicted. These impacts will be excluded from all non-GAAP results in future periods.                         Q1 2023A   Q1 2024A     Q2 2024E   FY 2024E   Pretax $ 1     $ (57 )     TBD   TBD   After-tax $ (2 )   $ (48 )     TBD   TBD   Per share $ (0.02 )   $ (0.45 )     TBD   TBD                     B. Actual results and forecast of estimated amortization of acquisition-related intangible assets as shown below ($M, except per share data). These adjustments are taxed at 21%.                         Q1 2023A   Q1 2024A     Q2 2024E   FY 2024E   Pretax