Roper Technologies Announces Third Quarter Financial Results

(MENAFN- GlobeNewsWire - Nasdaq) Increases full year DEPS guidance

SARASOTA, Fla., Oct. 22, 2026 (GLOBE NEWSWIRE) -- Roper Technologies, Inc. (Nasdaq: ROP) reported financial results for the third quarter ended September 30, 2026.

Third quarter 2026 highlights

• Revenue increased 8% to $2.17 billion; organic revenue was +7% and acquisition contribution was +1%
• GAAP net earnings increased 22% to $485 million; adjusted net earnings increased 5% to $586 million
• Adjusted EBITDA increased 7% to $864 million
• GAAP DEPS increased 33% to $4.88; adjusted DEPS increased 15% to $5.89

“Roper delivered another solid quarter, with 8% total revenue growth, 7% organic revenue growth, 7% EBITDA growth, and 15% adjusted DEPS growth. During the quarter, we deployed $436 million toward three bolt-on acquisitions for our iPipeline, Procare, and Strata businesses, and we received $1.2 billion in proceeds from Indicor's sale of its instrumentation businesses,” said Neil Hunn, Roper Technologies' President and CEO.

“This quarter, our businesses again brought several AI launches to market, highlighted by PowerPlan, Strata, and Vertafore. We are embedding agentic solutions directly into the workflows our customers rely on every day, and we are also evolving how we build, with smaller teams closer to customers and increasingly agentic development processes. Given the depth of our customer relationships, our proprietary and unique data sets, and our embedded position inside mission-critical workflows, we are well positioned to create value for customers with AI. We are laser focused on scaling adoption while continuing to accelerate innovation.”

“Driven by third quarter adjusted DEPS that exceeded our expectations, we are raising our full year adjusted DEPS guidance. With more than $6 billion of capital deployment capacity, we will continue allocating capital with discipline to drive free cash flow per share compounding for our shareholders,” concluded Mr. Hunn.

Increasing 2026 guidance

Roper now expects full year 2026 adjusted DEPS of $22.35 - $22.40, compared to previous guidance of $22.15 - $22.30.

For the fourth quarter of 2026, the Company expects adjusted DEPS of $5.95 - $6.00.

The Company's guidance excludes the impact of unannounced future acquisitions or divestitures, proceeds from Indicor's pending divestiture of its Cornell Pump and Roper Pump businesses, as well as potential share repurchases.

Conference call to be held at 8:00 AM (ET) today

A conference call to discuss these results has been scheduled for 8:00 AM ET on Thursday, October 22, 2026. The call can be accessed via webcast or by dialing +1 800-836-8184 (US/Canada) or +1 646-357-8785, using conference call ID 80101. Webcast information and conference call materials will be made available in the Investors section of Roper's website ( ) prior to the start of the call. The webcast can also be accessed directly by using the following URL . Telephonic replays will be available for up to two weeks and can be accessed by dialing +1 646-517-4150 with access code 80101 #.

Use of non-GAAP financial information

The Company supplements its consolidated financial statements presented on a GAAP basis with certain non-GAAP financial information to provide investors with greater insight, increase transparency and allow for a more comprehensive understanding of the information used by management in its financial and operational decision-making. Reconciliation of non-GAAP measures to their most directly comparable GAAP measures are included in the accompanying financial schedules or tables. The non-GAAP financial measures disclosed by the Company should not be considered a substitute for, or superior to, financial measures prepared in accordance with GAAP, and the financial results prepared in accordance with GAAP and reconciliations from these results should be carefully evaluated.

Minority interest

Following the sale of a majority stake in its industrial businesses to CD&R, Roper holds a minority interest in Indicor. The fair value of Roper's equity investment in Indicor is updated on a quarterly basis and reported as "equity investment (gain) loss, net." Roper makes non-GAAP adjustments for the impacts associated with this investment.

Table 1: Revenue and adjusted EBITDA reconciliation ($M)
	Q3 2025		Q3 2026		V %
GAAP revenue	$	2,017			$	2,172			8	%
Components of revenue growth
Organic					7	%
Acquisitions					1	%
Foreign exchange					-	%
Total revenue growth					8	%
Adjusted EBITDA reconciliation
GAAP net earnings	$	398			$	485
Taxes		100				87
Interest expense		90				107
Depreciation		10				10
Amortization		221				225
EBITDA	$	819			$	914			12	%
Transaction-related expenses for completed acquisitions		4				6
Financial impacts associated with minority investments		(13	)			(56	)	A
Adjusted EBITDA	$	810			$	864			7	%
Adjusted EBITDA margin		40.2	%			39.8	%		(40 bps)

Table 2: Adjusted net earnings reconciliation ($M)
	Q3 2025		Q3 2026		V %
GAAP net earnings	$	398			$	485			22	%
Transaction-related expenses for completed acquisitions		3				5
Financial impacts associated with minority investments		(10	)			(71	)	A
Amortization of acquisition-related intangible assets		165				167		B
Adjusted net earnings C	$	557			$	586			5	%

Table 3: Adjusted DEPS reconciliation
	Q3 2025		Q3 2026		V %
GAAP DEPS	$	3.68			$	4.88			33	%
Transaction-related expenses for completed acquisitions		0.03				0.05
Financial impacts associated with minority investments		(0.09	)			(0.71	)	A
Amortization of acquisition-related intangible assets		1.53				1.68		B
Adjusted DEPS C	$	5.14			$	5.89			15	%

Table 4: Forecasted adjusted DEPS reconciliation
	Q4 2026		FY 2026 D
	Low end		High end		Low end		High end
GAAP DEPS E	$	4.27		$	4.32		$	25.60			$	25.65
YTD transaction-related expenses for completed acquisitions		-			-			0.05				0.05
YTD financial impacts associated with the minority investment in Indicor A	TBD		TBD			(9.86	)			(9.86	)
Amortization of acquisition-related intangible assets B		1.68			1.68			6.56				6.56
Adjusted DEPS C	$	5.95		$	6.00		$	22.35			$	22.40

Footnotes:

A.	Adjustments related to the financial impacts associated with the minority investment in Indicor as shown below ($M, except per share data). Forecasted results do not include any future impacts associated with our minority investment in Indicor, as these future impacts cannot be reasonably predicted. These impacts will be excluded from all non-GAAP results in future periods.
		Q3 2026A				Q4 2026E			FY 2026E			YTD 2026
	Pretax	$	(56	)				TBD			TBD			$	(1,059	)
	After-tax	$	(71	)				TBD			TBD			$	(996	)
	Per share	$	(0.71	)				TBD			TBD			$	(9.86	)
B.	Actual results and forecast of estimated amortization of acquisition-related intangible assets as shown below ($M, except per share data).
		Q3 2026A				Q4 2026E			FY 2026E
	Pretax	$	212				$	212		$	839
	After-tax	$	167				$	168		$	663
	Per share	$	1.68				$	1.68		$	6.56
C.	All actual and forecasted non-GAAP adjustments are taxed at 21% with the exception of the financial impacts associated with minority investments.
D.	Full-year 2026 DEPS guidance will not equal the sum of the quarters due primarily to the impact of share repurchases on quarterly versus full-year weighted-average diluted shares outstanding.
E.	Forecasted GAAP DEPS do not include any future impacts associated with our minority investment in Indicor. These impacts will be excluded from all non-GAAP results in future periods.

Note: Numbers may not foot due to rounding.

About Roper Technologies

Roper Technologies is a constituent of the Nasdaq 100, S&P 500, and Fortune 500. Roper has a proven, long-term track record of compounding cash flow and shareholder value. The Company operates market leading businesses that design and develop vertical software and technology enabled products for a variety of defensible niche markets. Roper utilizes a disciplined, analytical, and process-driven approach to redeploy its excess capital toward high-quality acquisitions. Additional information about Roper is available on the Company's website at .

Contact information:
Investor Relations
941-556-2601
...

The information provided in this press release contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements may include, among others, statements regarding operating results, the success of our internal operating plans, and the prospects for newly acquired businesses to be integrated and contribute to future growth, profit and cash flow expectations. Forward-looking statements may be indicated by words or phrases such as "anticipate," "estimate," "plans," "expects," "projects," "should," "will," "believes," "intends" and similar words and phrases. These statements reflect management's current beliefs and are not guarantees of future performance. They involve risks and uncertainties that could cause actual results to differ materially from those contained in any forward-looking statement. Such risks and uncertainties include our ability to identify and complete acquisitions consistent with our business strategies, integrate acquisitions that have been completed, realize expected benefits and synergies from, and manage other risks associated with, acquired businesses, including obtaining any required regulatory approvals with respect thereto, and our ability to develop, deploy, and use artificial intelligence in our platforms and offerings. We also face other general risks, including our ability to realize cost savings from our operating initiatives, general economic conditions and the conditions of the specific markets in which we operate, including risks related to labor shortages and volatile interest rates, changes in foreign exchange rates, risks related to changing U.S. and foreign trade policies, including increased trade restrictions or tariffs, risks associated with our international operations, cybersecurity and data privacy risks, including litigation resulting therefrom, risks related to political instability, armed hostilities, incidents of terrorism, public health crises or natural disasters, increased product liability and insurance costs, increased warranty exposure, future competition, changes in the supply of, or price for, parts and components, including as a result of inflation and potential supply chain constraints, environmental compliance costs and liabilities, risks and cost associated with litigation, potential write-offs of our substantial intangible assets, and risks associated with obtaining governmental approvals and maintaining regulatory compliance for new and existing products. Important risks may be discussed in current and subsequent filings with the SEC. You should not place undue reliance on any forward-looking statements. These statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events.

Roper Technologies, Inc.
Condensed Consolidated Balance Sheets (unaudited)
(Amounts in millions)
	September 30, 2026		December 31, 2025
ASSETS:
Cash and cash equivalents	$	311.0			$	297.4
Accounts receivable, net		981.1				1,001.0
Inventories, net		153.3				141.7
Income taxes receivable		56.7				128.2
Unbilled receivables		152.6				124.0
Prepaid expenses and other current assets		291.6				235.8
Total current assets		1,946.3				1,928.1
Property, plant and equipment, net		158.4				156.9
Goodwill		21,555.0				21,341.2
Other intangible assets, net		9,455.7				9,764.2
Deferred taxes		69.0				73.3
Equity investment		577.0				796.3
Other assets		576.9				517.0
Total assets	$	34,338.3			$	34,577.0
LIABILITIES AND STOCKHOLDERS' EQUITY:
Accounts payable	$	176.3			$	150.3
Accrued compensation		288.9				293.0
Deferred revenue		1,889.3				1,906.8
Other accrued liabilities		590.1				642.3
Income taxes payable		211.5				28.0
Current portion of long-term debt, net		1,415.1				705.2
Total current liabilities		4,571.2				3,725.6
Long-term debt, net of current portion		8,304.6				8,595.8
Deferred taxes		1,785.2				1,883.1
Other liabilities		504.7				491.0
Total liabilities		15,165.7				14,695.5
Common stock, 350.0 shares authorized; 109.5 shares issued and 99.0 outstanding at September 30, 2026 and 109.3 shares issued and 106.6 outstanding at December 31, 2025		1.1				1.1
Additional paid-in capital		3,473.3				3,292.2
Retained earnings		19,091.2				17,205.7
Accumulated other comprehensive loss		(138.2	)			(101.4	)
Treasury stock, 10.5 shares at September 30, 2026 and 2.7 shares at December 31, 2025		(3,254.8	)			(516.1	)
Total stockholders' equity		19,172.6				19,881.5
Total liabilities and stockholders' equity	$	34,338.3			$	34,577.0

Roper Technologies, Inc.
Condensed Consolidated Statements of Earnings (unaudited)
(Amounts in millions, except per share data)
	Three months ended September 30,		Nine months ended September 30,
		2026				2025				2026				2025
Net revenues	$	2,171.8			$	2,017.5			$	6,376.0			$	5,843.9
Cost of sales		649.2				614.5				1,929.4				1,801.8
Gross profit		1,522.6				1,403.0				4,446.6				4,042.1
Selling, general and administrative expenses		899.4				830.0				2,669.1				2,395.0
Income from operations		623.2				573.0				1,777.5				1,647.1
Interest expense, net		106.7				89.7				317.4				231.7
Equity investment (gain) loss, net		(56.2	)			(12.9	)			(1,058.7	)			14.9
Other (income) expense, net		0.6				(2.0	)			3.7				(1.0	)
Earnings before income taxes		572.1				498.2				2,515.1				1,401.5
Income taxes		87.4				99.7				353.0				293.6
Net earnings	$	484.7			$	398.5			$	2,162.1			$	1,107.9
Net earnings per share:
Basic	$	4.90			$	3.70			$	21.36			$	10.31
Diluted	$	4.88			$	3.68			$	21.30			$	10.23
Weighted average common shares outstanding:
Basic		98.9				107.6				101.2				107.5
Diluted		99.4				108.4				101.5				108.3

Roper Technologies, Inc.
Selected Segment Financial Data (unaudited)
(Amounts in millions; percentages of net revenues)
	Three months ended September 30,		Nine months ended September 30,
		2026				2025				2026				2025
	Amount		%		Amount		%		Amount		%		Amount		%
Net revenues:
Application Software	$	1,239.7				$	1,161.0				$	3,612.0				$	3,324.1
Network Software		446.1					413.4					1,304.6					1,174.7
Technology Enabled Products		486.0					443.1					1,459.4					1,345.1
Total	$	2,171.8				$	2,017.5				$	6,376.0				$	5,843.9
Gross profit:
Application Software	$	865.5		69.8	%		$	801.0		69.0	%		$	2,511.8		69.5	%		$	2,275.1		68.4	%
Network Software		378.0		84.7	%			346.9		83.9	%			1,101.8		84.5	%			983.3		83.7	%
Technology Enabled Products		279.1		57.4	%			255.1		57.6	%			833.0		57.1	%			783.7		58.3	%
Total	$	1,522.6		70.1	%		$	1,403.0		69.5	%		$	4,446.6		69.7	%		$	4,042.1		69.2	%
Operating profit*:
Application Software	$	357.6		28.8	%		$	323.0		27.8	%		$	1,000.8		27.7	%		$	894.4		26.9	%
Network Software		189.6		42.5	%			178.1		43.1	%			540.0		41.4	%			514.1		43.8	%
Technology Enabled Products		160.7		33.1	%			150.2		33.9	%			480.8		32.9	%			467.9		34.8	%
Total	$	707.9		32.6	%		$	651.3		32.3	%		$	2,021.6		31.7	%		$	1,876.4		32.1	%
* Segment operating profit is before unallocated corporate general and administrative expenses and enterprise-wide stock-based compensation. These expenses were $84.7 and $78.3 for the three months ended September 30, 2026 and 2025, respectively, and $244.1 and $229.3 for the nine months ended September 30, 2026 and 2025, respectively.

Roper Technologies, Inc.
Condensed Consolidated Statements of Cash Flows (unaudited)
(Amounts in millions)
	Nine months ended September 30,
		2026				2025
Cash flows from operating activities:
Net earnings	$	2,162.1			$	1,107.9
Adjustments to reconcile net earnings to cash flows from operating activities:
Depreciation and amortization of property, plant and equipment		30.4				29.9
Amortization of intangible assets		666.3				638.0
Amortization of deferred financing costs		9.3				8.6
Non-cash stock compensation		163.9				128.7
Equity investment (gain) loss, net		(1,058.7	)			14.9
Income tax provision		353.0				293.6
Changes in operating assets and liabilities, net of acquired businesses:
Accounts receivable		22.9				(0.5	)
Unbilled receivables		(28.2	)			(7.2	)
Inventories		(12.6	)			(18.2	)
Prepaid expenses and other current assets		(48.7	)			(27.9	)
Accounts payable		26.2				13.2
Other accrued liabilities		(57.2	)			(48.9	)
Deferred revenue		(36.9	)			28.5
Cash taxes paid for gain on disposal of equity investment		-				(30.2	)
Cash income taxes paid, excluding tax associated with gain on disposal of equity investment		(283.7	)			(307.6	)
Other, net		(25.9	)			(20.5	)
Cash provided by operating activities		1,882.2				1,802.3
Cash flows from (used in) investing activities:
Acquisitions of businesses, net of cash acquired		(463.2	)			(3,280.4	)
Capital expenditures		(35.4	)			(37.6	)
Capitalized software expenditures		(46.8	)			(42.8	)
Distributions from equity investment		6.7				5.1
Proceeds from Indicor transaction		1,239.2				-
Cash receipts on beneficial interest in sold receivables		15.2				-
Other, net		0.3				1.7
Cash provided by (used in) investing activities		716.0				(3,354.0	)
Cash flows from (used in) financing activities:
Proceeds from senior notes		-				2,000.0
Payments of senior notes		-				(700.0	)
Borrowings under revolving credit facility, net		400.0				585.0
Debt issuance costs		(3.9	)			(19.5	)
Cash dividends to stockholders		(281.4	)			(266.0	)
Repurchases of common stock		(2,726.7	)			-
Proceeds from stock-based compensation, net		19.3				79.4
Treasury stock sales under employee stock purchase plan		12.7				17.4
Other, net		9.1				(42.0	)
Cash provided by (used in) financing activities		(2,570.9	)			1,654.3
Effect of exchange rate changes on cash		(13.7	)			29.2
Net increase in cash and cash equivalents		13.6				131.8
Cash and cash equivalents, beginning of period		297.4				188.2
Cash and cash equivalents, end of period	$	311.0			$	320.0

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