Ametek stock falls as revenue misses estimates, Q1 guidance disappoints

Published 04/02/2025, 13:28
© Reuters

Investing.com -- Ametek Inc. reported fourth-quarter earnings that beat analyst expectations, but revenue fell short and first-quarter guidance came in below estimates, sending shares down 4.2% in trading.

The electrical equipment manufacturer posted adjusted earnings per share of $1.87 for the fourth quarter, surpassing the analyst consensus of $1.85. However, revenue of $1.76 billion missed expectations of $1.82 billion, despite representing a 2% increase YoY.

For the first quarter of 2025, Ametek (NYSE:AME) forecasts adjusted EPS between $1.67 and $1.69, below the $1.75 analyst estimate. The company’s full-year 2025 EPS guidance of $7.02 to $7.18 came in above the $6.81 consensus.

"AMETEK delivered strong results in the fourth quarter, with outstanding operating performance driving robust core margin expansion, record earnings and strong cash flow growth," said David A. Zapico, AMETEK Chairman and Chief Executive Officer.

The company’s Electronic Instruments Group saw sales decline 2% to $1.21 billion, while the Electromechanical Group’s sales rose 11% to $546.7 million, boosted by the acquisition of Paragon Medical (TASE:PMCN).

Operating margins expanded to 26.6% in Q4, up 90 basis points from the prior year. Operating cash flow reached a record $550.0 million, with free cash flow hitting $498.3 million.

For 2025, Ametek expects overall sales to increase by low single digits compared to 2024. The company highlighted its strong positioning entering the new year, citing leading positions in diverse markets and capacity for strategic acquisitions.

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