Fortive Reports Second Quarter 2026 Results

• Delivered Q2 GAAP diluted EPS of $0.51 and adjusted diluted EPS of $0.74

• Q2 reported revenue grew 7.9% year-over-year on a reported basis and 6.7% on a core basis

• Completed ~$200 million of share repurchases in Q2, bringing total share repurchases over the last four quarters to ~$2 billion, representing ~38 million shares or ~11% of shares outstanding

• Continued progress on our Fortive Accelerated strategy; medium-term financial framework solidly intact

• Raising our FY 2026 adjusted EPS guidance range to $2.95 to $3.05

EVERETT, Wash., July 29, 2026--(BUSINESS WIRE)--Fortive Corporation ("Fortive") (NYSE: FTV) today announced financial results for the second quarter of 2026.

"Q2 marked another quarter of strong financial performance and execution by our team. Core revenue growth accelerated to 6.7%, adjusted EBITDA grew 12%, and adjusted EPS growth was 28% in the quarter. In addition to accelerating profitable growth, we continued to deliver on our commitment to disciplined capital allocation by completing an additional ~$200 million of share repurchases in the quarter, bringing total repurchases over the last four quarters to ~$2 billion," said Olumide Soroye, President and CEO.

"Looking ahead, we are raising our full-year 2026 adjusted EPS guidance range to $2.95 to $3.05, reflecting our strong first-half performance and confidence in the trajectory of the business. One year into our journey as new Fortive, we are pleased with our progress on all three pillars of our Fortive Accelerated strategy: profitable organic growth acceleration powered by FBS Amplified, disciplined capital allocation with a focus on best relative returns, and a commitment to building and maintaining investor trust. We are seeing early evidence that our investments in innovation acceleration, commercial acceleration, and recurring customer value are contributing to improved growth and earnings performance. We continue to be very confident in our medium-term financial framework and are excited about the significant shareholder value creation opportunity ahead of us," Mr. Soroye concluded.

Financial Highlights for Second Quarter 2026, Continuing Operations

• Revenue of $1.10 billion, up 7.9% year-over-year; core revenue up 6.7%

• GAAP net earnings of $157 million, up 40.9% year-over-year, GAAP net earnings margin of 14.3%; adjusted EBITDA of $323 million, up 12.0% year-over-year, adjusted EBITDA margin of 29.5%

• GAAP diluted EPS of $0.51, up 54.5% year-over-year; adjusted diluted EPS of $0.74, up 28.5% year-over-year

• GAAP operating cash flow of $299 million, Trailing Twelve Months (TTM) GAAP operating cash flow of $1,158M; free cash flow of $271 million, TTM free cash flow of $1,044M

• Deployed ~$200 million towards share repurchases, representing ~3 million shares or ~1% of diluted shares outstanding

Raising Full Year 2026 Guidance

For FY 2026, Fortive now expects adjusted diluted earnings per share of $2.95 to $3.05.

Summary Financial Results, Continuing Operations

Summary Financial Results by Segment, Continuing Operations

PRECISION TECHNOLOGIES SEPARATION

On June 28, 2025 (the "Distribution Date"), the Company completed the separation (the "Separation" or the "PT Separation") of its former Precision Technologies segment by distributing to Fortive shareholders on a pro rata basis all of the issued and outstanding common stock of Ralliant Corporation ("Ralliant"), the entity incorporated to hold the PT businesses. The requirements for reporting the Ralliant business as discontinued operations were met upon completion of the PT Separation. Unless otherwise indicated, all amounts herein refer to continuing operations.

CONFERENCE CALL DETAILS

Fortive will discuss results and outlook during its quarterly investor conference call today starting at 12:00 p.m. ET. The call and an accompanying slide presentation will be webcast on the "Investors" section of Fortive's website, www.fortive.com, under "News & Events." A replay of the webcast will be available at the same location shortly after the conclusion of the presentation.

You can access the conference call by dialing 877-407-3110 within the U.S. or +1 215-268-9915 outside the U.S. a few minutes before 12:00 p.m. ET and notifying the operator that you are dialing in for Fortive's earnings conference call.

Fortive's earnings press release, presentation, and other related materials will be posted to the "Investors" section of Fortive's website under "Financial Info."

ABOUT FORTIVE

Fortive innovates essential technologies to keep our world safe and productive. Fortive's strategic segments - Intelligent Operating Solutions and Advanced Healthcare Solutions - include iconic inventor brands with leading positions in their markets. The company's businesses design, develop, manufacture, and market products, software, and services, building on leading brand names, innovative technologies, and strong market positions. Fortive is headquartered in Everett, Washington and employs a team of more than 10,000 research and development, manufacturing, sales, distribution, service, and administrative team members in approximately 50 countries around the world. With a culture rooted in continuous improvement, the core of our company's operating model is the Fortive Business System. For more information please visit: www.fortive.com.

NON-GAAP FINANCIAL MEASURES

In addition to the financial measures prepared in accordance with United States generally accepted accounting principles (GAAP), this earnings release also references "adjusted net earnings," "adjusted diluted earnings per share," "adjusted EBITDA," "adjusted EBITDA margin," "free cash flow," and "core revenue growth," which are non-GAAP financial measures. The reasons why we believe these measures, when used in conjunction with the GAAP financial measures, provide useful information to investors, how management uses such non-GAAP financial measures, a reconciliation of these measures to the most directly comparable GAAP measures and other information relating to these measures are included in the supplemental reconciliation schedule attached. The non-GAAP financial measures should not be considered in isolation or as a substitute for the GAAP financial measures, but should instead be read in conjunction with the GAAP financial measures. The non-GAAP financial measures used by Fortive in this release may be different from similarly-titled non-GAAP measures used by other companies. With respect to forward-looking non-GAAP measures, we have not reconciled with, or presented, corresponding forward-looking GAAP measures since doing so would require us to make assumptions with precision about acquisitions, currency translations, capital and other expenses and other similar adjustments during the future periods.

FORWARD-LOOKING STATEMENTS

Statements in this presentation that are not strictly historical, including statements regarding anticipated financial results, industry trends, the ability to execute the planned strategies, future prospects, shareholder value, and any other statements identified by their use of words like "anticipate," "expect," "believe," "outlook," "guidance," "target," or "will" or other words of similar meaning, are "forward-looking statements" within the meaning of the United States federal securities laws. Factors that could cause actual results to differ materially from those in the forward-looking statements include, among other things: deterioration of or instability in the economy, the markets we serve, international trade policies and deteriorating trade relations with other countries, including imposition of tariffs and retaliatory tariffs between United States and China and other countries, responsive economic nationalism, trade restrictions, and enhanced regulation, impact of any prolonged government shutdown, the financial markets, geopolitical conditions and conflicts including in the Middle East and in Ukraine, security breaches, data exfiltration, or other disruptions of our information technology systems, supply chain constraints, our ability to adjust purchases and manufacturing capacity to reflect market conditions, reliance on sole sources of supply, contractions or lower growth rates and cyclicality of markets we serve, competition, changes in industry standards and governmental regulations, our ability to recruit and retain key employees, our ability to successfully identify, consummate, integrate and realize the anticipated value of appropriate acquisitions or otherwise effectively deploy our capital, our ability to develop and successfully market new products, software, and services and expand into new markets, the potential for improper conduct by our employees, agents or business partners, contingent liabilities relating to acquisitions and divestitures, impact of changes to tax laws, our compliance with applicable laws and regulations and changes in applicable laws and regulations, risks relating to international economic, geopolitical, including war and sanctions, legal, compliance and business factors, risks relating to potential impairment of goodwill and other intangible assets, currency exchange rates, tax audits and changes in our tax rate and income tax liabilities, the impact of our debt obligations on our operations, litigation and other contingent liabilities including intellectual property and environmental, health and safety matters, our ability to adequately protect our intellectual property rights, risks relating to product, service or software defects, product liability and recalls, risks relating to product manufacturing, our relationships with and the performance of our channel partners, commodity costs and surcharges, adverse effects of restructuring activities, our separation into two independent, publicly-traded companies, risk related to tax treatment of our prior separations, impact of our indemnification obligation to Ralliant and Vontier, impact of changes to U.S. GAAP, labor matters, and disruptions relating to man-made and natural disasters and climate change. Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in our SEC filings, including our Annual Report on Form 10-K for the year ended December 31, 2025 and Quarterly Reports on Form 10-Q for the subsequent quarters. These forward-looking statements speak only as of the date of this presentation, and Fortive does not assume any obligation to update or revise any forward-looking statement, whether as a result of new information, future events and developments or otherwise.