Raised Full-Year Organic Growth Guidance
Full-year 2026 organic growth guidance increased to 3%–4% (up from 1%–2%), driven by stronger backlog and HST momentum.
Strong Q1 Organic Revenue and Orders
Q1 organic sales growth of 5% and consolidated organic orders growth of ~10% year-over-year, with orders above expectations.
Health & Science Technologies (HST) Outperformance
HST organic orders +17% and organic revenue +11% in Q1; HST adjusted EBITDA margin expanded ~100 bps YoY. Management cites durable secular drivers (data center, semiconductor, space & defense, pharma).
Margin Expansion at Consolidated Level
Adjusted EBITDA margin of 26% in Q1, a 50 basis-point expansion year-over-year, driven by productivity improvements, volume leverage and price/cost actions.
Improved Visibility and Backlog
Notable backlog build in HST providing greater visibility into the remainder of 2026 and into 2027, supporting confidence in multi-year growth runway.
Capital Allocation and Liquidity Strength
Repurchased $76 million of shares in Q1 and plan to maintain that quarterly pace for 2026; paid $53 million in dividends; ended quarter with ~ $1.1 billion liquidity and gross leverage ~2x.
Updated EPS Outlook
Raised 2026 adjusted EPS guidance by $0.20 to $8.35–$8.55, implying mid- to high-single-digit year-over-year growth; Q2 adjusted EPS guide of $2.07–$2.12.
Active Bolt-On M&A Pipeline
Management reports an active pipeline for bolt-on M&A while maintaining current share repurchase cadence; acquired businesses contributing to growth.