Fortive Q4 Drives 4.6% Revenue Growth, $265M Buybacks, Upbeat $2.90-3.00 EPS Outlook

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Fortive’s Q4 revenue rose 4.6% year-over-year to $1.12 billion, beating the $1.09B consensus, while adjusted EPS reached $0.90, up 12.5% from last year. The company generated $314 million in free cash flow, repurchased $265M of shares, and forecasted 2026 adjusted EPS of $2.90-3.00.

1. Fortive Delivers Better‐Than‐Expected Q4 Results

Fortive reported fourth‐quarter revenue of $1.12 billion, representing 4.6% year‐over‐year growth and exceeding consensus estimates by $30 million. Adjusted EPS came in at $0.90, up 12.5% from a year earlier and topping analysts’ forecast of $0.84. GAAP net income was $192 million, nearly flat with the prior period, while adjusted EBITDA rose 7.8% to $358 million, driving an expanded margin of 31.9%, up 90 basis points year over year. Operating cash flow reached $344 million, and free cash flow totaled $314 million for the quarter.

2. Balanced Segment Expansion Supports Growth

Both of Fortive’s strategic segments delivered solid performance. Intelligent Operating Solutions generated $770 million in revenue, up 5.3% year over year, with adjusted EBITDA of $288 million and a margin of 37.4%, an increase of 80 basis points. Advanced Healthcare Solutions contributed $353 million in revenue, up 3.2% year over year, though segment EBITDA declined 2.6% to $92 million, reflecting margin pressure in certain end markets.

3. Disciplined Capital Allocation and 2026 Outlook

During the quarter, Fortive repurchased $265 million of its own shares, bringing second‐half buybacks to approximately $1.3 billion. The company ends the year with net debt of roughly $2.1 billion and maintains a strong investment‐grade balance sheet. For fiscal 2026, management issued guidance for adjusted EPS in a range of $2.90 to $3.00, surpassing the consensus forecast of $2.84, reflecting confidence in continued organic growth and margin expansion initiatives.

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