Vontier Q4 adj EPS $0.80 beats $0.75-0.79 guide; FY2024 adj EPS guidance $3.00-$3.15

Vontier reported $789.0 million in sales for the fourth quarter, a decline of 10% year-over-year, reflecting a decrease in core sales of 7%. Continued underlying momentum across the portfolio, supported by strong secular tailwinds, healthy end market demand, improved supply chain conditions, and ongoing pricing realization, was more than offset by the expected sunset of EMV-related sales. Operating profit of $146.4 million declined 6% versus the prior year, and operating profit margin increased 70 basis points, to 18.6%. Adjusted operating profit of $173.9 million declined 8% versus the prior year and adjusted operating profit margin increased approximately 20 basis points, to 22.0%. Net earnings were $106.2 million, and adjusted net earnings were $125.4 million, resulting in GAAP diluted net earnings per share of $0.68 and adjusted diluted net earnings per share of $0.80.

2024 Outlook • Total sales $3,050 to $3,110 million; Core sales growth +4 to 6% • Adjusted operating profit margin +80 to 110 basis point expansion year-over-year • Adjusted diluted net EPS in the range of $3.00 to $3.15

Full Year 2023 Highlights: • 2023 sales of $3.1 billion, down 3% vs. prior year; Core sales down 2% (up 9% ex-EMV) • 2023 GAAP diluted net EPS of $2.42, Adjusted diluted net EPS of $2.89 vs. prior guide of $2.83 to $2.87

Q1 2024 Outlook • Total sales $745 to $760 million; Core sales growth +2 to 4% • Adjusted operating profit margin expansion of 40 to 80 basis points year-over-year • Adjusted diluted net EPS of $0.68 to $0.72