Fortive Corporation · Q1 2023 earnings

Briefing

Fortive reported strong first quarter results, exceeding expectations for revenue growth, margin expansion, and earnings performance. The company raised its full year 2023 outlook and announced an expansion of Tami Newcombe’s responsibilities to include the Advanced Healthcare Solutions segment.

Fortive Corporation announced strong financial results for the first quarter of 2023, with revenue increasing by 6% year-over-year to $1.46 billion, including 9% core revenue growth. GAAP EPS was $0.49, and adjusted EPS was $0.75, up 7%. The company has raised the low end of its full-year 2023 guidance, with anticipated GAAP EPS of $2.33-$2.44 and adjusted EPS of $3.29-$3.40.

• Q1 revenue growth of 6%, with 9% core revenue growth, reflecting stronger than expected demand.
• Revenue growth, margin expansion, and earnings performance exceeded expectations.
• Q1 GAAP EPS of $0.49 includes $0.04 of expense to fund discrete productivity initiatives; Adjusted EPS of $0.75, up 7%.
• Raised low end of 2023 outlook: GAAP EPS of $2.33-$2.44, Up 11%-16%; Adjusted EPS of $3.29-$3.40, up 4%-8%.

Headline financials

Revenue & EPS history

For the second quarter of 2023, Fortive anticipates revenue of approximately $1.5 billion, diluted net earnings per share of $0.52 to $0.56 and adjusted diluted net earnings per share of $0.78 to $0.82. For the full year 2023, Fortive anticipates revenue of $6.0 billion to $6.1 billion, diluted net earnings per share of $2.33 to $2.44, and adjusted diluted net earnings per share of $3.29 to $3.40.