ROP · Roper Technologies, Inc.

Roper Technologies delivered strong Q1 2026 results with revenue up 11% to $2.10 billion, driven by 6% organic growth and 5% from acquisitions, alongside 1% foreign exchange tailwind. GAAP net earnings surged 54% to $509 million, boosted by a $167 million equity investment gain from its minority stake in Indicor, while adjusted net earnings rose more modestly 4% to $539 million. Adjusted EBITDA increased 8% to $797 million, though margin contracted 120 basis points to 38.1% due to mix and investment pressures. Segment performance showed Application Software revenues at $1.19 billion with operating margins expanding to 26.8%, Network Software at $428 million with 40.6% margins, and Technology Enabled Products at $476 million. CEO Neil Hunn highlighted robust AI product shipments leveraging proprietary data and workflow density, validating vertical market leadership. Operating cash flow grew 12% to $592 million and free cash flow 11% to $562 million, supporting aggressive capital returns including $1.5 billion in Q1 share repurchases (4.3 million shares). The Board authorized an additional $3 billion in buybacks, lifting total capacity to $3.8 billion. Guidance was raised reflecting Q1 strength, share repurchases, and resilient demand for mission-critical solutions, with full-year adjusted DEPS now $21.80-$22.05 (previously $21.30-$21.55) and Q2 at $5.25-$5.30. Balance sheet remains solid with $383 million cash, though long-term debt rose to $9.75 billion amid buybacks reducing equity from $19.9 billion to $18.8 billion. Excluding unpredictable Indicor impacts, non-GAAP measures provide clearer operational visibility. With $5 billion deployable capital, Roper emphasizes compounding free cash flow per share through acquisitions and opportunistic buybacks.