Slide 1: Q1 2025 Financial results
Q1 2025 Financial results April 28, 2025
Slide 2: Safe harbor statement
Safe harbor statement The information provided in this presentation contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements may include, among others, statements regarding operating results, the success of our internal operating plans,
Slide 3: Reg. G Disclosure
Reg. G Disclosure Today’s conference call will discuss results primarily on an adjusted (non-GAAP) and continuing operations basis. Q1 results adjusted for the following items: 1. Amortization of acquisition-related intangible assets 2. Transaction-related expenses associated with completed acquisit
Slide 4: Agenda
Agenda Q1 enterprise highlights & financial results Segment detail & outlook Q2 & FY 2025 enterprise guidance Q&A 4
Slide 5: Q1 overview
Strong start to 2025 +12% revenue; +8% M&A contribution; +5% organic TTM free cash flow +12%; 31% free cash flow margin Q1 overview Acquired CentralReach Increasing full year guidance Well positioned for continued capital deployment Results are presented on an adjusted (non-GAAP) and continuing oper
Slide 6: Roper portfolio durability by the numbers
Roper portfolio durability by the numbers U.S. sales Recurring & reoccurring 85%+ 85%+ of vertical software 70%+ of total Enterprise gross retention* Free cash flow margin ~95% 30%+ Enhanced by M&A optionality * Gross logo retention of software recurring revenue; enterprise represents ~85% of softwa
Slide 7: CentralReach acquisition
CentralReach acquisition Investment highlights Company overview Purchase price: Leading cloud-native software solution for $1.65B (net of $200M tax benefit) Applied Behavior Analysis (“ABA”) therapy providers Expected financial impact: ~$175M revenue (12-months ending Q2’26) Over 200,000 professiona
Slide 8: Clear leader in attractive & durable vertical market
Clear leader in attractive & durable vertical market Strong market tailwinds Persistent care gap - meaningful shortage of care provider supply vs. learner population demand Greater demand for ABA treatment as the standard of care for individuals with ASD Established medical insurance coverage & reim
Slide 9: Q1 financial highlights
Q1 financial highlights Strong first quarter results Total revenue +12%; M&A contribution +8%; organic revenue +5% EBITDA +9%; EBITDA margin 39.3%; core EBITDA margin +50 bps DEPS +8% to $4.78 Free cash flow (1)% to $507; TTM +12% to $2.3B Revenue EBITDA TTM free cash flow +14% +13% +13% 3-year 3-ye
Slide 10: Strong financial position
Exited Q1’25 at 2.4x net debt-to-EBITDA $373M of cash Strong financial $0M drawn on $3.5B revolver position CentralReach acquisition closed on April 23 Financed by revolving credit facility $5B+ M&A firepower Well positioned for continued capital deployment Strong balance sheet & cash flow Large pip
Slide 11: Segment detail & outlook
Segment detail & outlook
Slide 12: Application Software
Application Software Q1 highlights Revenue Revenue +19%; M&A revenue contribution +14%; organic revenue +6% Deltek growth across GovCon & private sector markets; continued cloud momentum Another fantastic Aderant quarter; ongoing SaaS momentum & GenAI innovation $628 $761 $895 $1,068 Great PowerPlan
Slide 13: Network Software
Network Software Q1 highlights Revenue Revenue +1%; organic revenue +1% DAT growth driven by increased ARPU; continued innovation to enhance network value MHA declined, as expected, following difficult prior year comp $338 $355 $371 $376 Foundry declined, as expected; market improving; significant N
Slide 14: Technology Enabled Products
Technology Enabled Products Q1 highlights Revenue Revenue +6%; organic revenue +6% Single-use BFlex & GlideScope offerings drove Verathon growth Neptune growth highlighted by continued ultrasonic meter momentum; completed cloud- $313 $354 $415 $439 based billing software solution bolt-on Q1'22 Q1'23
Slide 15: 2025 enterprise guidance
2025 enterprise guidance
Slide 16: Increasing FY 2025 guidance
Increasing FY 2025 guidance Total revenue: ~12% Previously 10%+ Guidance Organic: +6 - 7% (unchanged) update Adjusted DEPS: $19.80 - $20.05 Previously $19.75 - $20.00 Includes impact of CentralReach $(0.15) impact CentralReach acquisition Establishing Q2 2025 guidance Adjusted DEPS: $4.80 - $4.84 Ce
Slide 17: Summary
Strong start to 2025 +12% revenue; +8% M&A contribution; +5% organic TTM free cash flow +12%; 31% free cash flow margin Acquired CentralReach Summary Increasing full year guidance Simple ideas. Continued demand for mission critical solutions Powerful results. Ongoing expansion of recurring revenue b
Slide 18: Market-leading businesses in defensible niches
Market-leading businesses in defensible niches Decentralized Process-driven operating capital deployment environment 18
Slide 19: Appendix
Appendix
Slide 20: Q1 income statement metrics
Q1 income statement metrics Q1’24 Q1’25 Revenue $1,681 $1,883 +12%; +8% M&A contribution; +5% organic Gross profit $1,181 $1,294 Gross margin 70.3% 68.7% Core + 10 bps EBITDA $676 $740 +9% EBITDA margin 40.2% 39.3% Core +50 bps Interest expense $53 $63 Tax rate 21.6% 21.4% Net earnings $476 $517 +9%
Slide 21: Roper's revenue composition
Roper’s revenue composition Disaggregated revenue reconciliation ($M) (from continuing operations) Technology Enabled Q1 2025 Application Software Network Software Products Roper Q1'24 Q1'25 Q1'24 Q1'25 Q1'24 Q1'25 Q1'24 Q1'25 Software related Recurring $ 694 $ 769 $ 268 $ 275 $ 6 $ 9 $ 967 $ 1,054
Slide 22: Reconciliations I
Reconciliations I Adjusted EBITDA reconciliation ($M) (from continuing operations) Q1 2022 Q1 2023 Q1 2024 Q1 2025 V% to '24 3-Year CAGR TTM 2025 GAAP revenue $ 1,280 $ 1,470 $ 1,681 $ 1,883 12% 14% $ 7,241 GAAP earnings before income taxes $ 301 $ 360 $ 484 $ 418 $ 1,901 Interest expense 53 37 53 6
Slide 23: Reconciliations II
Reconciliations II Revenue growth reconciliation (from continuing operations) Technology Q1 2025 Application Network Enabled Software Software Products Roper Organic 6% 1% 6% 5% Acquisitions/divestitures 14% 1% - 8% Foreign exchange - - - - Total revenue growth 19% 1% 6% 12% Segment reconciliation (
Slide 24: Reconciliations III
Reconciliations III Adjusted net earnings reconciliation ($M) (from continuing operations) Q1 2024 Q1 2025 V% GAAP net earnings $ 382 $ 331 (13%) Transaction-related expenses for completed acquisitions 1 1 A Financial impacts associated with the minority investments in Indicor & Certinia (48) 32 B A
Slide 25: Footnotes
Footnotes A. Adjustments related to the financial impacts associated with the minority investment in Indicor as shown below ($M, except per share data). Forecasted results do not include any potential impacts associated with our minority investment in Indicor, as these potential impacts cannot be re
Slide 26: Roper Technologies
Roper TECHNOLOGIES