Veralto Corp · NYSE:VLTO

Veralto — Q1 2026 Earnings Presentation

34 slides from Veralto's earnings presentation, Apr 29, 2026

  1. Slide 1: First Quarter 2026 Results

    First Quarter 2026 Results April 28, 2026

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements Certain statements in this presentation, including statements regarding the Company's second quarter and full year 2026 financial performance and guidance, the Company’s differentiation and positioning to continue delivering sustainable, long-term shareholder value and any

  3. Slide 3: Veralto / First Quarter 2026 Key Messages

    Veralto / First Quarter 2026 Key Messages 1. Delivered ~7% sales growth and ~13% adjusted EPS growth year-over-year in Q1 2026:  1.9% core sales growth*  25.1% adjusted operating margin*  $1.07 adjusted earnings per share* 2. Raised full year 2026 adjusted EPS* guidance to $4.20 to $4.28 per shar

  4. Slide 4: Veralto / Q1 2026 Key Consolidated Financial Results

    Veralto / Q1 2026 Key Consolidated Financial Results ADJUSTED OPERATING ADJUSTED ADJUSTED FREE CASH SALES PROFIT* EPS* EBITDA* FLOW* $1,422m $357m $1.07 $368m $170m total sales growth 25.1% adjusted +12.6% 25.9% adjusted 67% free cash of +6.7% operating profit year-over-year EBITDA margin* flow conv

  5. Slide 5: Veralto / GlobalVision Acquisition

    Veralto / GlobalVision Acquisition  Integrating into Esko, building on their decade-long partnership  Embedding GlobalVision’s AI-augmented quality and compliance backbone into Esko's end-to-end, source-to-shelf packaging platform  Helping customers get products to market faster and avoid costly

  6. Slide 6: Veralto / 2026 CEO Kaizen Week

    Veralto / 2026 CEO Kaizen Week Hach Commercial Architecture for Industrial Tech Market Growth Ott + In-Situ Growth Room Install ChemTreat Shipping Efficiency In-Situ Inventory Accuracy & TraceGains/Esko Value to Market Videojet CIJ Manufacturing Standard Work Material Flow Optimization At Veralto, W

  7. Slide 7: Veralto / Q1 2026 Consolidated Performance

    Veralto / Q1 2026 Consolidated Performance YOY • Sales grew +6.7% year-over-year: Q1 2025 Q1 2026 Variance ◦ Core sales*: +1.9% $ millions, except per share data ◦ Currency: +3.5% Sales $1,332 $1,422 +6.7% ◦ Acquisitions & divestitures: +1.3% Core Sales Growth* 7.8% 1.9% • Gross profit margin (30) b

  8. Slide 8: Water Quality / Q1 2026 Performance

    Water Quality / Q1 2026 Performance ($ millions, variances versus prior year period) Q1 SALES Q1 ADJUSTED OPERATING PROFIT * +10.1% +10.5% Price +1.8% YOY Change in Sales Q1 2025 Q1 2026 Core Growth* +7.4% +3.8% Currency (1.3%) +3.3% M&A (0.1%) +3.0% Total Growth +6.0% +10.1% *See appendix for recon

  9. Slide 9: Product Quality & Innovation / Q1 2026 Performance

    Product Quality & Innovation / Q1 2026 Performance ($ millions, variances versus prior year period) Q1 SALES Q1 ADJUSTED OPERATING PROFIT * +1.7% (0.7%) Price +2.0% YOY Change in Sales Q1 2025 Q1 2026 Core Growth* +8.3% (1.0%) Currency (1.3%) +4.0% M&A +1.3% (1.3%) Total Growth +8.3% +1.7% *See appe

  10. Slide 10: Veralto / Q1 2026 Cash Flow and Balance Sheet

    Veralto / Q1 2026 Cash Flow and Balance Sheet ($ millions) Q1 2026 Financial position summary: Cash from operations $182 Capital expenditures $(12) • Capital-light business model Free cash flow* $170 Free cash flow conversion* 67% • Trailing twelve-month free cash flow margin* at 18.6% Q1 2026 • Gro

  11. Slide 11: Veralto / Q2 and FY 2026 guidance

    Veralto / Q2 and FY 2026 guidance Previous FY Q2 2026E FY 2026E Guide Core sales growth* Core Sales Growth* 3.0% to 4.0% 3.0% to 4.5% +LSD to +MSD Adjusted Operating ~23.5% +25 basis points +25 basis points Profit Margin* +4.7% +3.0% to 4.5% +3.7% +2.6% Adjusted EPS* $0.96 to $1.00 $4.20 to $4.28 $4

  12. Slide 12: Veralto / 2026E Modeling Items

    Veralto / 2026E Modeling Items Q2 2026E FY 2026E Core sales growth (non-GAAP) 3.0% to 4.0% 3.0% to 4.5% Sales assumptions Year-over-year Acquisitions/divestitures (1) ~2.0% ~2.0% Currency exchange rates impact on sales (2) ~0.5% ~1.0% Total sales growth (GAAP) 5.5% to 6.5% 6.0% to 7.5% Other key ass

  13. Slide 13: Veralto / Cost Optimization Program

    Veralto / Cost Optimization Program Estimated Timing and Financial Impacts  Program initiated in second quarter of 2026 Timing  Activity to scale in second half of 2026  Program to be completed in 2028  Estimated GAAP charge: $85m to $105m Cost  No impact to Non-GAAP measures  Estimated annual

  14. Slide 14: Veralto / Well-Positioned to Drive Compounding Earnings and Free Cash Flow Growth

    Veralto / Well-Positioned to Drive Compounding Earnings and Free Cash Flow Growth ATTRACTIVE SECULAR GROWTH DRIVERS PREMIER FINANCIAL PROFILE and DURABLE BUSINESS MODEL PROVEN VALUE CREATION PLAYBOOK SAFEGUARDING THE WORLD’S MOST VITAL RESOURCES 14 Q 1 2 0 2 6 R E S U L T S | 14

  15. Slide 15: Appendix

    Appendix Q1 2026 Results | April 28, 2026

  16. Slide 16: Veralto / Geographic core sales growth for Q1 2026

    Veralto / Geographic core sales growth(1) for Q1 2026 Q1 2026 Geographic Core Sales Growth Q1 2026 Sales by Geography North Western High-Growth America Europe Markets Western Europe Water Quality +5.8% +4.7% +0.3% 24% North America PQI +1.2% (3.2%) (1.4%) 49% Total Veralto +4.5% +0.6% (0.6%) High Gr

  17. Slide 17: Reconciliation of GAAP to Non-GAAP Financial Measures

    VERALTO CORPORATION RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES AND SUPPLEMENTAL FORWARD-LOOKING INFORMATION THREE-MONTH PERIODS ENDED APRIL 3, 2026 AND APRIL 4, 2025

  18. Slide 18: Table of Contents

    TABLE OF CONTENTS Page 3 Sales Growth by Segment, Core Sales Growth (Decline) by Segment 4 Forecasted Core Sales Growth, Adjusted Operating Profit Margin, Adjusted Diluted Net Earnings per Share and Free Cash Flow to Net Earnings Conversion Ratio 5 Segment Sales, Operating Profit, Adjusted Operating

  19. Slide 19: Sales Growth by Segment, Core Sales Growth by Segment

    VERALTO CORPORATION Sales Growth by Segment, Core Sales Growth by Segment % Change Three-Month Period Ended April 3, 2026 vs. Comparable 2025 Period Segments Product Quality Total Company Water Quality and Innovation Total sales growth (GAAP) 6.7 % 10.1 % 1.7 % Impact of: Acquisitions/divestitures (

  20. Slide 20: Forecasted Core Sales Growth, Adjusted Operating Profit Margin, Adjusted EPS and FCF Conversion

    VERALTO CORPORATION Forecasted Core Sales Growth, Adjusted Operating Profit Margin, Adjusted Diluted Net Earnings per Share and Free Cash Flow to Net Earnings Conversion Ratio The Company provides forecasted sales only on a non-GAAP basis because of the difficulty in estimating the other components

  21. Slide 21: Segment Sales, Operating Profit, Adjusted Operating Profit and Margins

    VERALTO CORPORATION Segment Sales, Operating Profit, Adjusted Operating Profit, Operating Profit Margin and Adjusted Operating Profit Margin ($ in millions) Three-Month Period Ended April 3, 2026 April 4, 2025 Sales (GAAP) Water Quality $ 874 $ 794 Product Quality & Innovation 548 538 Total $ 1,422

  22. Slide 22: Segment Sales, Operating Profit, Adjusted Operating Profit and Margins

    VERALTO CORPORATION Segment Sales, Operating Profit, Adjusted Operating Profit, Operating Profit Margin and Adjusted Operating Profit Margin ($ in millions) Three-Month Period Ended April 3, 2026 April 4, 2025 Adjusted Operating Profit (non-GAAP) 2 Water Quality $ 221 $ 200 Product Quality & Innovat

  23. Slide 23: Net Earnings, Operating Profit, Adjusted EBITDA and Margins

    VERALTO CORPORATION Net Earnings, Operating Profit, Adjusted EBITDA, Net Earnings Margin, Operating Profit Margin and Adjusted EBITDA Margin ($ in millions) Three-Month Period Ended April 3, 2026 Product Quality Water Quality & Innovation Other Total Company Net Earnings (GAAP) $ 254 Interest Expens

  24. Slide 24: Net Earnings, Operating Profit, Adjusted EBITDA and Margins

    VERALTO CORPORATION Net Earnings, Operating Profit, Adjusted EBITDA, Net Earnings Margin, Operating Profit Margin and Adjusted EBITDA Margin ($ in millions) Three-Month Period Ended April 4, 2025 Product Quality Water Quality & Innovation Other Total Company Net Earnings (GAAP) $ 225 Interest Expens

  25. Slide 25: Trailing Twelve Month Adjusted EBITDA, Gross Leverage and Net Leverage

    VERALTO CORPORATION Trailing Twelve Month Adjusted EBITDA, Gross Leverage and Net Leverage ($ in millions) Three-Month Period Ended April 3, 2026 December 31, 2025 October 3, 2025 July 4, 2025 Net Earnings (GAAP) $ 254 $ 254 $ 239 $ 222 Interest Expense 24 20 21 28 Other Nonoperating (Income) Expens

  26. Slide 26: Other Non-GAAP Adjusted P&L Measures

    VERALTO CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) Three-Month Period Ended April 3, 2026 Net earnings for calculation Diluted net Earnings of diluted net earnings per Gross profit Operating Operating before Income earnings per common Sales Cost of sales

  27. Slide 27: Other Non-GAAP Adjusted P&L Measures

    VERALTO CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) Three-Month Period Ended April 4, 2025 Net earnings for calculation Diluted net Earnings of diluted net earnings per Gross profit Operating Operating before Income earnings per common Sales Cost of sales

  28. Slide 28: Other Non-GAAP Adjusted P&L Measures

    VERALTO CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) A Amortization of acquisition-related intangible assets in the following historical periods (only the pretax amounts set forth below are reflected in the amortization line item above): Three-Month Period

  29. Slide 29: Operating Profit Margin and Year-Over-Year Core Operating Margin Changes

    VERALTO CORPORATION Operating Profit Margin and Year-Over-Year Core Operating Margin Changes Segments Product Quality Total Company Water Quality & Innovation Three-Month Period Ended April 4, 2025 Operating Profit Margins (GAAP) 24.2 % 24.9 % 27.1 % Impact of acquisitions and dispositions (0.1) (0.

  30. Slide 30: Cash Flow, Free Cash Flow and Conversion Ratios

    VERALTO CORPORATION Cash Flow, Free Cash Flow, Operating Cash Flow to Net Earnings Ratio, Free Cash Flow to Net Earnings Conversion Ratio and Free Cash Flow Margin ($ in millions) Three-Month Period Ended Year-over-Year April 3, 2026 April 4, 2025 Change Total Cash Flows (GAAP): Net cash provided by

  31. Slide 31: Cash Flow, Free Cash Flow and Free Cash Flow Margin

    VERALTO CORPORATION Cash Flow, Free Cash Flow, Operating Cash Flow to Net Earnings Ratio, Free Cash Flow to Net Earnings Conversion Ratio and Free Cash Flow Margin ($ in millions) Three-Month Period Ended April 3, 2026 December 31, 2025 October 3, 2025 July 4, 2025 Free Cash Flow Margin (non-GAAP) F

  32. Slide 32: Statement Regarding Non-GAAP Measures

    VERALTO CORPORATION Statement Regarding Non-GAAP Measures Each of the non-GAAP measures set forth above should be considered in addition to, and not as a replacement for or superior to, the comparable GAAP measure, and may not be comparable to similarly titled measures reported by other companies. M

  33. Slide 33: Statement Regarding Non-GAAP Measures

    VERALTO CORPORATION Statement Regarding Non-GAAP Measures and not treated as discontinued operations) because the timing, size, number and nature of such transactions can vary significantly from period to period and may obscure underlying business trends and make comparisons of long-term performance

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