Fortive Corporation (FTV) Q4 2022 Earnings Call Transcript

Fortive Corporation (NYSE:FTV) Q4 2022 Earnings Conference Call February 1, 2023 12:00 PM ET

Company Participants

Elena Rosman - VP, IR

Jim Lico - President and CEO

Chuck McLaughlin - SVP and CFO

Conference Call Participants

Steve Tusa - JPMorgan Chase

Julian Mitchell - Barclays

Scott Davis - Melius Research

Jeff Sprague - Vertical Research

Nigel Coe - Wolfe Research

Andy Kaplowitz - Citigroup

Josh Pokrzywinski - Morgan Stanley

Deane Dray - RBC Capital Markets

Joe O'Dea - Wells Fargo

Joe Giordano - Cowen

Operator

My name is Julianne, and I will be your conference facilitator this afternoon. At this time, I'd like to welcome everyone to the Fortive Corporation's Fourth Quarter 2022 Earnings Results Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. [Operator Instructions]

I would now like to turn the call over to Ms. Elena Rosman, Vice President of Investor Relations. Ms. Rosman, you may begin your conference.

Elena Rosman

Thank you, Julian, and thank you, everyone, for joining us on today's call. With us today are Jim Lico, our President and Chief Executive Officer; and Chuck McLaughlin, our Senior Vice President and Chief Financial Officer.

We present certain non-GAAP financial measures on today's call. Information required by Regulation G are available on the Investors section of our website at fortive.com. Our statements on period-to-period increases or decreases refer to year-over-year comparisons on a continuing operations basis.

During the call, we will make forward-looking statements, including statements regarding events or developments that we expect or anticipate will or may occur in the future. These forward-looking statements are subject to a number of risks and actual results might differ materially from any forward-looking statements that we make today.

Information regarding these risk factors is available in our SEC filings, including our annual report on Form 10-K for the year ended December 31, 2021. These forward-looking statements speak only as of the date that they are made, and we do not assume any obligation to update any forward-looking statements.

With that, I'd like to turn the call over to Jim.

Jim Lico

Thanks, Elena. Hello, everyone, and thank you for joining us. I'll begin on slide 3. Fortive had another quarter of outstanding operating performance in Q4, delivering 14% core revenue growth, 50 and 110 basis points of adjusted gross and operating margin expansion, respectively, 11% adjusted earnings per share growth, 62% free cash flow growth, all ahead of the guidance we gave in October.