Teledyne Technologies Incorporated (TDY) Q1 2023 Earnings Call Transcript

Teledyne Technologies Incorporated (NYSE:TDY) Q1 2023 Earnings Conference Call April 26, 2023 11:00 AM ET

Company Participants

Jason VanWees - Vice Chairman

Robert Mehrabian - Chairman, President and CEO

Sue Main - Senior Vice President and CFO

Melanie Cibik - Senior Vice President, General Counsel, Chief Compliance Officer and Secretary

Edwin Roks - Executive Vice President

Conference Call Participants

Jim Ricchiuti - Needham & Company

Greg Konrad - Jefferies

Elizabeth Grenfell - Bank of America

Joe Giordano - TD Cowen

Guy Hardwick - Credit Suisse

Kristine Liwag - Morgan Stanley

Operator

Ladies and gentlemen, thank you for standing by. And welcome to the Teledyne First Quarter Earnings Call. At this time, all participants are in a listen-only mode. Later we will conduct a question-and-answer session. Instructions will be given at that time. [Operator Instructions]

As a reminder, this conference is being recorded. I’d now like to turn the call over to our host, Mr. Jason VanWees. Please go ahead, sir.

Jason VanWees

Thanks, Brad, and good morning, everyone. This is Jason VanWees, Vice Chairman. And I’d like to welcome everyone to Teledyne’s first quarter 2023 earnings release conference call. We released our earnings earlier this morning before the market opened.

Joining me today are Teledyne’s Chairman, President and CEO, Robert Mehrabian; SVP and CFO, Sue Main; SVP, General Counsel, Chief Compliance Officer and Secretary, Melanie Cibik; and also Edwin Roks, Executive VP of Teledyne. After remarks by Robert and Sue, we will ask for your questions.

Of course though, before we get started, please be aware that all forward-looking statements made this morning are subject to various assumptions, risks, and caveats as noted in the earnings release and our periodic SEC filings and actual results may differ materially.

In order to avoid potential selective disclosures, this call is simultaneously being webcast and a replay both via webcast and dial-in will be available for approximately one month.

Here is Robert.

Robert Mehrabian

Thank you, Jason. Good morning, everyone, and thank you for joining our earnings call. We began 2023 with record first quarter sales, operating margin, non-GAAP earnings and free cash flow. Overall, sales increased 4.7%, with revenue and operating profit growing in every segment.

Excluding foreign currency headwinds, which negatively impacted first quarter sales growth by approximately 1.4%, growth in local currency would have been 6.1%.

Excluding acquisitions, core growth in local currency would have been approximately 4.2%. GAAP operating margin of 17.5% and non-GAAP operating margin of 21.1% were also first quarter record. First quarter GAAP earnings per share were $3.73 and non-GAAP earnings of $4.53 were also first quarter record.