AMETEK INC/
For the period ended Jun 30, 2025. Filed Jul 31, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Jul 31, 2025
AME$228.67+2.5%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-05-01.
0001037868-25-000040
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-07-31.
0001037868-25-000058
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 36 previous paragraphs and 56 current paragraphs.
10 unchanged; 24 reworded; 19 added; 2 removed; 0 previous and 3 current paragraphs rearranged.
Tables are not compared: 0 previous and 0 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (19)
Current report
Net sales for the second quarter of 2025 were a record $1,778.1 million, an increase of $43.3 million or 2.5%, compared with net sales of $1,734.8 million for the second quarter of 2024. The increase in net sales for the second quarter of 2025 was due to a 2% increase from acquisitions as well as a 1% favorable effect of foreign currency translation.
Current report
Cost of sales for the second quarter of 2025 was $1,142.2 million or 64.2% of net sales, an increase of $31.8 million or 2.9%, compared with $1,110.4 million or 64.0% of net sales for the second quarter of 2024.
Current report
Segment operating income for the second quarter of 2025 was $488.3 million, an increase of $15.3 million or 3.2%, compared with segment operating income of $473.0 million for the second quarter of 2024. Segment operating margins, as a percentage of net sales, increased to 27.5% for the second quarter of 2025, compared with 27.3% for the second quarter of 2024. In the second quarter of 2025, segment operating margins were negatively impacted 30 basis points by the dilutive impact of recent acquisitions and 50 basis points from foreign currency translation headwinds. Excluding the dilutive impact of recent acquisitions and the effect of foreign currency translation, segment operating margins increased 100 basis points compared to the second quarter of 2024 due to the sales increase discussed above, as well as continued benefits from the Company's Operational Excellence initiatives.
Current report
Consolidated operating income was $461.6 million or 26.0% of net sales for the second quarter of 2025, an increase of $14.1 million or 3.2%, compared with $447.5 million or 25.8% of net sales for the second quarter of 2024. In the second quarter of 2025, operating margins were negatively impacted 20 basis points by the dilutive impact of recent acquisitions and 50 basis points from foreign currency translation headwinds. Excluding the dilutive impact of recent acquisitions and the effect of foreign currency translation, operating margins increased 90 basis points compared to the second quarter of 2024 due to the sales increase discussed above, as well as continued benefits from the Company's Operational Excellence initiatives.
Current report
Other expense, net was $2.6 million for the second quarter of 2025, compared with $0.1 million of other income, net for the second quarter of 2024.
Current report
Net income for the second quarter of 2025 was $358.4 million, an increase of $20.7 million or 6.1%, compared with $337.7 million for the second quarter of 2024.
Current report
EIG’s operating income was $344.4 million for the second quarter of 2025, a decrease of $5.5 million or 1.6%, compared with $349.9 million for the second quarter of 2024. EIG’s operating margins were 29.7% of net sales for the second quarter of 2025, compared with 30.3% for the second quarter of 2024. In the second quarter of 2025, EIG's operating margins were negatively impacted 50 basis points by the dilutive impact of recent acquisitions and foreign currency exchange headwinds of 50 basis points. Excluding the dilutive impact of recent acquisitions and the effect of foreign currency translation, EIG's operating margins increased 40 basis points compared to the second quarter of 2024 due to the continued benefits from the Company's Operational Excellence initiatives.
Current report
EMG’s operating income was a record $143.9 million for the second quarter of 2025, an increase of $20.8 million or 16.9%, compared with $123.1 million for the second quarter of 2024. EMG’s operating margins were 23.3% of net sales for the second quarter of 2025, compared with 21.2% for the second quarter of 2024. Foreign currency exchange headwinds negatively impacted EMG's operating margins in the second quarter of 2025 by 50 basis points. Excluding the effect of foreign currency translation, EMG's operating margins increased 260 basis points compared to the second quarter of 2024 due to the sales increase discussed above, as well as continued benefits from the Company's Operational Excellence initiatives.
Current report
Total international sales for the first six months of 2025 were $1,647.5 million or 46.9% of net sales, an increase of $34.1 million or 2.1%, compared with international sales of $1,613.4 million or 46.5% of net sales for the first six months of 2024. The increase in international sales was primarily driven by contributions from recent acquisitions and increased demand in the Americas, partially offset by lower demand in Asia.
Current report
Orders for the first six months of 2025 were $3,579.8 million, an increase of $239.9 million or 7.2%, compared with $3,339.9 million for the first six months of 2024. The increase in orders for the first six months of 2025 was due to a 2% increase from acquisitions, a 4% favorable effect of foreign currency translation, as well as a 1% organic order increase.
Current report
Cost of sales for the first six months of 2025 was $2,249.1 million or 64.1% of net sales, a decrease of $6.0 million or 0.3%, compared with $2,255.1 million or 65.0% of net sales for the first six months of 2024.
Current report
Selling, general and administrative expenses for the first six months of 2025 were $344.4 million or 9.8% of net sales, a decrease of $6.8 million or 1.9%, compared with $351.2 million or 10.1% of net sales for the first six months of 2024. General and administrative expenses for the first six months of 2025 were $54.6 million, compared with $51.9 million for the first six months of 2024.
Current report
Net income for the first six months of 2025 was $710.1 million, an increase of $61.5 million or 9.5%, compared with $648.6 million for the first six months of 2024.
Current report
Diluted earnings per share for the first six months of 2025 were $3.07, an increase of $0.28 or 10.0%, compared with $2.79 per diluted share for the first six months of 2024.
Current report
Segment Results
Current report
EIG’s net sales totaled $2,303.2 million for the first six months of 2025, a decrease of $7.2 million or 0.3%, compared with $2,310.4 million for the first six months of 2024. The net sales decrease was due to a 2% organic sales decrease, partially offset by a 2% increase from acquisitions.
Current report
EMG’snet sales totaled $1,206.8 million for the first six months of 2025, an increase of $46.2 million or 4.0%, compared with $1,160.6 million for the first six months of 2024. The net sales increase was due to a 4% organic sales increase.
Current report
Subsequent Event
Current report
In July 2025, the Company acquired all outstanding shares of FARO Technologies ("FARO") common stock for approximately $920.0 million, net of cash acquired. The transaction was completed following the approval of FARO's stockholders and receipt of all regulatory approvals. FARO has annual sales of approximately $340 million. FARO is a leading provider of 3D measurement and imaging solutions, including portable measurement arms, laser scanners and trackers, software solutions, and comprehensive service offerings. FARO will join the Electronic Instruments Group segment.
Removed paragraphs (2)
Previous report
Cost of sales for the first quarter of 2025 was $1,107.0 million or 63.9% of net sales, a decrease of $37.7 million or 3.3%, compared with $1,144.7 million or 65.9% of net sales for the first quarter of 2024. Cost of sales for the first quarter of 2024 included $29.2 million of Paragon integrations costs, of which $22.4 million is employee severance. Excluding the impact of the Paragon integration costs, the cost of sales for the first quarter of 2024 was 64.2%.
Previous report
Net income for the first quarter of 2025 was $351.8 million, an increase of $40.9 million or 13.1%, compared with $310.9 million for the first quarter of 2024.
Reworded paragraphs (24)
Previous wording
In recent months, the United States government announced additional tariffs and trade restrictions on goods imported into the U.S. from various nations. In response, some nations countered with or are considering reciprocal tariffs and other actions. The U.S. government is negotiating with several of these nations regarding the tariffs, however, the outcome of these negotiations is still uncertain. With this uncertainty, the likelihood of project delays and slowing demand has also increased, particularly within China. As the situation continues to evolve, we cannot be certain of the outcome, which could adversely impact demand for our products, costs, inflation, customers, suppliers, and the overall global economy. We continue to monitor and analyze the impacts of the tariffs and will implement appropriate actions as necessary to attempt to mitigate their effects.
Current wording
In recent months, the United States government announced additional tariffs and trade restrictions on goods imported into the U.S. from various nations. In response, some nations countered with or are considering reciprocal tariffs and other actions. The U.S. government is negotiating with several of these nations regarding the tariffs, however, the outcome of these negotiations is still uncertain. Our businesses have been proactive in addressing the potential impacts of tariffs, including targeted pricing initiatives, strategic adjustments to our global supply chains, and leveraging our worldwide manufacturing footprint to localize production. As the situation continues to evolve, we cannot be certain of the outcome, which could adversely impact demand for our products, costs, inflation, customers, suppliers, and the overall global economy. We continue to monitor and analyze the impacts of the tariffs and will continue to implement appropriate actions as necessary to attempt to mitigate their effects.
Previous wording
For the quarter ended March 31, 2025, the Company posted strong orders, operating income, and operating margins. Contributions from the acquisitions of Virtek Vision International ("Virtek") in October 2024 and Kern Microtechnik ("Kern") in January 2025 as well as our Operational Excellence initiatives had a positive impact on the first quarter of 2025 results.
Current wording
For the quarter ended June 30, 2025, the Company posted record sales as well as strong orders, operating income, and operating margins. Contributions from the acquisitions of Virtek Vision International ("Virtek") in October 2024 and Kern Microtechnik ("Kern") in January 2025 as well as our Operational Excellence initiatives had a positive impact on the second quarter of 2025 results.
Previous wording
Results of operations for the first quarter of 2025 compared with the first quarter of 2024
Current wording
Results of operations for the second quarter of 2025 compared with the second quarter of 2024
Previous wording
Total international sales for the first quarter of 2025 were $804.4 million or 46.4% of net sales, a decrease of $19.0 million or 2.3%, compared with international sales of $823.4 million or 47.4% of net sales for the first quarter of 2024. The decrease in international sales was primarily driven by lower demand in Europe and Asia.
Current wording
Total international sales for the second quarter of 2025 were $843.0 million or 47.4% of net sales, an increase of $53.0 million or 6.7%, compared with international sales of $790.0 million or 45.5% of net sales for the second quarter of 2024. The increase in international sales was primarily driven by higher demand in all markets, as well as contributions from recent acquisitions.
Previous wording
Orders for the first quarter of 2025 were $1,797.8 million, an increase of $135.1 million or 8.1%, compared with $1,662.7 million for the first quarter of 2024. The increase in orders for the first quarter of 2025 was due to a 3% organic order increase, a 3% increase from acquisitions, as well as a 2% favorable effect of foreign currency translation. The Company's backlog of unfilled orders at March 31, 2025 was $3,469.1 million, an increase of $65.9 million or 1.9% compared with $3,403.2 million at December 31, 2024.
Current wording
Orders for the second quarter of 2025 were $1,782.1 million, an increase of $104.9 million or 6.3%, compared with $1,677.2 million for the second quarter of 2024. The increase in orders for the second quarter of 2025 was due to a 2% increase from acquisitions as well as a 5% favorable effect of foreign currency translation. The Company's backlog of unfilled orders at June 30, 2025 was $3,473.1 million, an increase of $69.9 million or 2.1% compared with $3,403.2 million at December 31, 2024.
Previous wording
Selling, general and administrative expenses for the first quarter of 2025 were $170.2 million or 9.8% of net sales, a decrease of $4.1 million or 2.4%, compared with $174.3 million or 10.0% of net sales for the first quarter of 2024.
Current wording
Selling, general and administrative expenses for the second quarter of 2025 were $174.3 million or 9.8% of net sales, a decrease of $2.6 million or 1.5%, compared with $176.9 million or 10.2% of net sales for the second quarter of 2024. General and administrative expenses for the second quarter of 2025 were $26.7 million, compared with $25.4 million for the second quarter of 2024.
Previous wording
Interest expense for the first quarter of 2025 was $19.0 million, a decrease of $16.3 million or 46.1%, compared with $35.3 million for the first quarter of 2024. Higher borrowings under the revolving credit facility related to the Paragon acquisition resulted in higher interest expense in the first quarter of 2024.
Current wording
Interest expense for the second quarter of 2025 was $16.9 million, a decrease of $13.7 million or 44.9%, compared with $30.6 million for the second quarter of 2024. Higher borrowings under the revolving credit facility related to the Paragon acquisition resulted in higher interest expense in the second quarter of 2024.
Previous wording
The effective tax rate for the first quarter of 2025 was 19.0%, compared with 18.5% for the first quarter of 2024. The higher tax rate is primarily due to higher state income taxes and U.S. taxes on foreign earnings.
Current wording
The effective tax rate for the second quarter of 2025 and 2024 was 19.0%.
Previous wording
Diluted earnings per share for the first quarter of 2025 were $1.52, an increase of $0.18 or 13.4%, compared with $1.34 per diluted share for the first quarter of 2024.
Current wording
Diluted earnings per share for the second quarter of 2025 were $1.55, an increase of $0.10 or 6.9%, compared with $1.45 per diluted share for the second quarter of 2024.
Previous wording
EIG’s net sales totaled $1,143.7 million for the first quarter of 2025, a decrease of $13.1 million or 1.1%, compared with $1,156.8 million for the first quarter of 2024. The net sales decrease was due to a 2% organic sales decline as well as a 1% unfavorable effect of foreign currency translation, partially offset by a 2% increase from recent acquisitions.
Current wording
EIG’s net sales totaled $1,159.6 million for the second quarter of 2025, an increase of $6.0 million or 0.5%, compared with $1,153.6 million for the second quarter of 2024. The net sales increase was due to a 2% increase from recent acquisitions, as well as a 1% favorable effect of foreign currency translation, partially offset by a 3% organic sales decrease.
Previous wording
EMG’snet sales totaled a record $588.3 million for the first quarter of 2025, an increase of $8.9 million or 1.5%, compared with $579.4 million for the first quarter of 2024. The net sales increase was due to a 2% organic sales increase, partially offset by an unfavorable effect of foreign currency translation.
Current wording
EMG’snet sales totaled a record $618.5 million for the second quarter of 2025, an increase of $37.3 million or 6.4%, compared with $581.2 million for the second quarter of 2024. The net sales increase was due to a 5% organic sales increase as well as a 1% favorable effect of foreign currency translation.
Previous wording
Net sales for the first quarter of 2025 were $1,732.0 million, a decrease of $4.2 million or 0.2%, compared with net sales of $1,736.2 million for the first quarter of 2024. The decrease in net sales for the first quarter of 2025 was due to a 1% organic sales decline, partially offset by a 1% increase from acquisitions.
Current wording
Net sales for the first six months of 2025 were $3,510.0 million, an increase of $39.0 million or 1.1%, compared with net sales of $3,471.0 million for the first six months of 2024. The increase in net sales for the first six months of 2025 was due to a 1% increase from acquisitions.
Previous wording
Segment operating income for the first quarter of 2025 was $482.8 million, an increase of $39.2 million or 8.8%, compared with segment operating income of $443.6 million for the first quarter of 2024. Segment operating margins, as a percentage of net sales, increased to 27.9% for the first quarter of 2025, compared with 25.6% for the first quarter of 2024. In the first quarter of 2025, the dilutive impact of recent acquisitions negatively impacted segment operating margins by 30 basis points. In the first quarter of 2024, segment operating income and operating margins included $29.2 million of integration costs related to the Paragon acquisition, which negatively impacted segment operating margins by 160 basis points. Excluding the dilutive impact of recent acquisitions and the Paragon integration costs, segment operating margins increased 100 basis points compared to the first quarter of 2024 due to the continued benefits from the Company's Operational Excellence initiatives.
Current wording
Segment operating income for the first six months of 2025 was $971.1 million, an increase of $54.5 million or 5.9%, compared with segment operating income of $916.6 million for the first six months of 2024. Segment operating margins, as a percentage of net sales, increased to 27.7% for the first six months of 2025, compared with 26.4% for the first six months of 2024. In the first six months of 2025, the dilutive impact of recent acquisitions negatively impacted segment operating margins by 30 basis points. In the first six months of 2024, segment operating income and operating margins included $29.2 million of integration costs related to the Paragon acquisition, which negatively impacted segment operating margins by 80 basis points. Excluding the dilutive impact of the recent acquisitions and the Paragon integration costs, segment operating margins increased 80 basis points compared to the first six months of 2024, due to the continued benefits from the Company's Operational Excellence initiatives.
Previous wording
Consolidated operating income was $454.8 million or 26.3% of net sales for the first quarter of 2025, an increase of $37.6 million or 9.0%, compared with $417.2 million or 24.0% of net sales for the first quarter of 2024. In the first quarter of 2025, the dilutive impact of recent acquisitions negatively impacted operating margins by 30 basis points. In the first quarter of 2024, operating income and operating margins included $29.2 million of integration costs related to the Paragon acquisition, which negatively impacted operating margins by 170 basis points. Excluding the dilutive impact of acquisitions and the Paragon integration costs, operating margins increased 90 basis points compared to the first quarter of 2024 due to the continued benefits from the Company's Operational Excellence initiatives.
Current wording
Consolidated operating income was $916.5 million or 26.1% of net sales for the first six months of 2025, an increase of $51.8 million or 6.0%, compared with $864.7 million or 24.9% of net sales for the first six months of 2024. In the first six months of 2025, the dilutive impact of recent acquisitions negatively impacted operating margins by 30 basis points. In the first six months of 2024, operating income and operating margins included $29.2 million of integration costs related to the Paragon acquisition, which negatively impacted operating margins by 90 basis points. Excluding the dilutive impact of the recent acquisitions and the Paragon integration costs, operating margins increased 60 basis points compared to the first six months of 2024, due to the continued benefits from the Company's Operational Excellence initiatives.
Previous wording
Other expense, net was $1.6 million for the first quarter of 2025, compared with $0.6 million of other expense, net for the first quarter of 2024.
Current wording
Other expense, net was $4.2 million for the first six months of 2025, compared with $0.5 million of other expense, net for the first six months of 2024.
Previous wording
EIG’s operating income was $354.1 million for the first quarter of 2025, an increase of $1.2 million or 0.3%, compared with $352.9 million for the first quarter of 2024. EIG’s operating margins were 31.0% of net sales for the first quarter of 2025, compared with 30.5% for the first quarter of 2024. The dilutive impact of recent acquisitions in the first quarter of 2025 negatively impacted EIG's operating margins by 60 basis points. Excluding the dilutive impact of recent acquisitions, EIG's operating margins increased 110 basis points in the first quarter of 2025 compared to the first quarter of 2024 due to the continued benefits from the Company's Operational Excellence initiatives.
Current wording
EIG’s operating income was $698.5 million for the first six months of 2025, a decrease of $4.3 million or 0.6%, compared with $702.8 million for the first six months of 2024. EIG’s operating margins were 30.3% of net sales for the first six months of 2025, compared with 30.4% for the first six months of 2024. The dilutive impact of recent acquisitions in the first six months of 2025 negatively impacted EIG's operating margins by 60 basis points. Excluding the dilutive impact of recent acquisitions, EIG's operating margins increased 50 basis points in the first six months of 2025 compared to the first six months of 2024 due to the continued benefits from the Company's Operational Excellence initiatives.
Previous wording
EMG’s operating income was $128.7 million for the first quarter of 2025, an increase of $38.0 million or 41.9%, compared with $90.7 million for the first quarter of 2024. EMG’s operating margins were 21.9% of net sales for the first quarter of 2025, compared with 15.7% for the first quarter of 2024. In the first quarter of 2024 EMG's operating income and operating margins included $29.2 million of integration costs related to the Paragon acquisition, which negatively impacted segment operating margins by 500 basis points. Excluding the Paragon integration costs, EMG's operating margins increased 120 basis points compared to the first quarter of 2024 due to the continued benefits from the Company's Operational Excellence initiatives.
Current wording
EMG’s operating income was $272.6 million for the first six months of 2025, an increase of $58.8 million or 27.5%, compared with $213.8 million for the first six months of 2024. EMG’s operating margins were 22.6% of net sales for the first six months of 2025, compared with 18.4% for the first six months of 2024. EMG's operating income and operating margins for the first six months of 2024 included $29.2 million of integration costs related to the Paragon acquisition, which negatively impacted segment operating margins by 250 basis points. Excluding the Paragon integration costs, segment operating margins increased 170 basis points compared to the first six months of 2024, due to the sales increase discussed above, as well as to the continued benefits from the Company's Operational Excellence initiatives.
Previous wording
Cash provided by operating activities totaled $417.5 million for the first three months of 2025, an increase of $7.3 million or 1.8%, compared with $410.2 million for the first three months of 2024. The increase in cash provided by operating activities for the first three months of 2025 was primarily due to higher net income, partially offset by higher working capital investments.
Current wording
Cash provided by operating activities totaled $776.6 million for the first six months of 2025, a decrease of $15.1 million or 1.9%, compared with $791.7 million for the first six months of 2024. The decrease in cash provided by operating activities for the first six months of 2025 was primarily due to higher working capital investments, partially offset by higher net income.
Previous wording
Free cash flow (cash flow provided by operating activities less capital expenditures) was $394.5 million for the first three months of 2025, compared with $382.6 million for the first three months of 2024. EBITDA (earnings before interest, income taxes, depreciation and amortization) was $558.5 million for the first three months of 2025, compared with $512.8 million for the first three months of 2024. Free cash flow and EBITDA are presented because the Company is aware that they are measures used by third parties in evaluating the Company.
Current wording
Free cash flow (cash flow provided by operating activities less capital expenditures) was $724.3 million for the first six months of 2025, compared with $742.6 million for the first six months of 2024. EBITDA (earnings before interest, income taxes, depreciation and amortization) was $1,123.6 million for the first six months of 2025, compared with $1,057.5 million for the first six months of 2024. Free cash flow and EBITDA are presented because the Company is aware that they are measures used by third parties in evaluating the Company.
Previous wording
Cash used by investing activities totaled $125.7 million for the first three months of 2025, compared with cash used by investing activities of $21.4 million for the first three months of 2024. For the first three months of 2025, the Company paid $103.2 million, net of cash acquired, to purchase Kern Microtechnik ("Kern"). For the first three months of 2024, the Company received $4.2 million from the sale of a facility. Additions to property, plant and equipment totaled $23.1 million for the first three months of 2025, compared with $27.7 million for the first three months of 2024.
Current wording
Cash used by investing activities totaled $155.7 million for the first six months of 2025, compared with cash used by investing activities of $43.5 million for the first six months of 2024. For the first six months of 2025, the Company paid $104.1 million, net of cash acquired, to purchase Kern Microtechnik ("Kern"). For the first six months of 2024, the Company received $4.2 million from the sale of a facility. Additions to property, plant and equipment totaled $52.3 million for the first six months of 2025, compared with $49.1 million for the first six months of 2024.
Previous wording
Cash used by financing activities totaled $277.7 million for the first three months of 2025, compared with cash used by financing activities of $417.5 million for the first three months of 2024. At March 31, 2025, total debt, net was $1,931.0 million, compared with $2,079.7 million at December 31, 2024. For the first three months of 2025, total borrowings decreased by $185.1 million compared with a $363.1 million decrease for the first three months of 2024. At March 31, 2025, the Company had available borrowing capacity of $2,207.1 million under its revolving credit facility, excluding the $700 million accordion feature.
Current wording
Cash used by financing activities totaled $409.4 million for the first six months of 2025, compared with cash used by financing activities of $751.7 million for the first six months of 2024. At June 30, 2025, total debt, net was $1,942.0 million, compared with $2,079.7 million at December 31, 2024. For the first six months of 2025, total borrowings decreased by $252.7 million compared with a $640.6 million decrease for the first six months of 2024. In the second quarter of 2025, the Company paid in full, at maturity, a $50.0 million in aggregate principal amount of 3.91% senior notes. At June 30, 2025, the Company had available borrowing capacity of $2,221.7 million under its revolving credit facility, excluding the $700 million accordion feature.
Previous wording
The debt-to-capital ratio was 16.2% at March 31, 2025, compared with 17.7% at December 31, 2024. The net debt-to-capital ratio (total debt, net less cash and cash equivalents divided by the sum of net debt and stockholders’ equity) was 13.3% at March 31, 2025, compared with 15.0% at December 31, 2024. The net debt-to-capital ratio is presented because the Company is aware that this measure is used by third parties in evaluating the Company.
Current wording
The debt-to-capital ratio was 15.7% at June 30, 2025, compared with 17.7% at December 31, 2024. The net debt-to-capital ratio (total debt, net less cash and cash equivalents divided by the sum of net debt and stockholders’ equity) was 11.3% at June 30, 2025, compared with 15.0% at December 31, 2024. The net debt-to-capital ratio is presented because the Company is aware that this measure is used by third parties in evaluating the Company.
Previous wording
Additional financing activities for the first three months of 2025 included cash dividends paid of $71.5 million, compared with $64.7 million for the first three months of 2024. Effective February 7, 2025, the Company’s Board of Directors approved an 11% increase in the quarterly cash dividend on the Company’s common stock to $0.31 per common share from $0.28 per common share. The Company repurchased $18.0 million of its common stock for the first three months of 2025, compared with $6.9 million for the first three months of 2024. Proceeds from stock option exercises were $4.7 million for the first three months of 2025, compared with $23.6 million for the first three months of 2024.
Current wording
Additional financing activities for the first six months of 2025 included cash dividends paid of $143.0 million, compared with $129.4 million for the first six months of 2024. Effective February 7, 2025, the Company’s Board of Directors approved an 11% increase in the quarterly cash dividend on the Company’s common stock to $0.31 per common share from $0.28 per common share. The Company repurchased $18.1 million of its common stock for the first six months of 2025, compared with $7.6 million for the first six months of 2024. Proceeds from stock option exercises were $12.3 million for the first six months of 2025, compared with $34.5 million for the first six months of 2024.
Previous wording
As a result of all of the Company’s cash flow activities for the first three months of 2025, cash and cash equivalents at March 31, 2025 totaled $399.0 million, compared with $374.0 million at December 31, 2024. At March 31, 2025, the Company had $345.9 million in cash outside the United States, compared with $361.5 million at December 31, 2024. The Company utilizes this cash to fund its international operations, as well as to acquire international businesses. The Company is in compliance with all covenants, including financial covenants, for all of its debt agreements. The Company believes it has sufficient cash-generating capabilities from domestic and unrestricted foreign sources, available credit facilities and access to long-term capital funds to enable it to meet its operating needs and contractual obligations in the foreseeable future.
Current wording
As a result of all of the Company’s cash flow activities for the first six months of 2025, cash and cash equivalents at June 30, 2025 totaled $619.7 million, compared with $374.0 million at December 31, 2024. At June 30, 2025, the Company had $388.7 million in cash outside the United States, compared with $361.5 million at December 31, 2024. The Company utilizes this cash to fund its international operations, as well as to acquire international businesses. The Company is in compliance with all covenants, including financial covenants, for all of its debt agreements. The Company believes it has sufficient cash-generating capabilities from domestic and unrestricted foreign sources, available credit facilities and access to long-term capital funds to enable it to meet its operating needs and contractual obligations in the foreseeable future.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
Results of operations for the first six months of 2025 compared with the first six months of 2024
Current report — wording carried from elsewhere
Interest expense for the first six months of 2025 was $35.9 million, a decrease of $29.9 million or 45.4%, compared with $65.8 million for the first six months of 2024. Higher borrowings under the revolving credit facility related to the Paragon acquisition resulted in higher interest expense in the first six months of 2024.
Current report — wording carried from elsewhere
The effective tax rate for the first six months of 2025 was 19.0%, compared with 18.8% for the first six months of 2024.