AMETEK (AME) Q4 2023 earnings summary

Executive summary

• Q4 sales reached a record $1.73B, up 6.5% YoY; adjusted diluted EPS was a record $1.68, up 11%.

• FY2023 sales were a record $6.60B, up 7%; adjusted diluted EPS rose 12% to $6.38.

Financial highlights

• Q4 operating income rose 12% YoY to a record $445.0M; operating margin expanded 120 bps to 25.7%.

• Q4 operating cash flow was a record $540.7M, up 40% YoY.

• FY operating income increased 14% to $1.71B; operating margin expanded 150 bps to 25.9%.

• GAAP diluted EPS was $1.48 in Q4 and $5.67 for FY2023, versus adjusted EPS of $1.68 and $6.38, respectively.

Outlook and guidance

• FY2024 sales are expected to rise low double digits YoY; adjusted diluted EPS guidance is $6.70–$6.85, up 5%–7% on a comparable basis.

• Q1 2024 sales are expected to rise low double digits YoY; adjusted EPS guidance is $1.56–$1.60, up 5%–7% YoY.

• Record backlog, diverse market exposure, robust operating capabilities and strong cash flows support expectations for sustained growth.