filings.toolsItem 1. Financial Statements
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Item 1. Financial Statements
AMETEK, Inc.
Consolidated Statement of Income
(In thousands, except per share amounts)
(Unaudited)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net sales | $ | 2,044,397 | $ | 1,778,056 | $ | 3,972,834 | $ | 3,510,027 | |||||||||||||||
| Cost of sales | 1,309,356 | 1,142,167 | 2,520,234 | 2,249,138 | |||||||||||||||||||
| Selling, general and administrative | 206,848 | 174,263 | 409,471 | 344,434 | |||||||||||||||||||
| Total operating expenses | 1,516,204 | 1,316,430 | 2,929,705 | 2,593,572 | |||||||||||||||||||
| Operating income | 528,193 | 461,626 | 1,043,129 | 916,455 | |||||||||||||||||||
| Interest expense | (30,101) | (16,857) | (51,010) | (35,850) | |||||||||||||||||||
| Other (expense) income, net | (5,720) | (2,600) | (6,767) | (4,214) | |||||||||||||||||||
| Income before income taxes | 492,372 | 442,169 | 985,352 | 876,391 | |||||||||||||||||||
| Provision for income taxes | 85,476 | 83,802 | 179,099 | 166,266 | |||||||||||||||||||
| Net income | $ | 406,896 | $ | 358,367 | $ | 806,253 | $ | 710,125 | |||||||||||||||
| Basic earnings per share | $ | 1.78 | $ | 1.55 | $ | 3.52 | $ | 3.08 | |||||||||||||||
| Diluted earnings per share | $ | 1.77 | $ | 1.55 | $ | 3.51 | $ | 3.07 | |||||||||||||||
| Weighted average common shares outstanding: | |||||||||||||||||||||||
| Basic shares | 229,086 | 230,818 | 228,994 | 230,743 | |||||||||||||||||||
| Diluted shares | 229,855 | 231,472 | 229,845 | 231,507 | |||||||||||||||||||
| Dividends declared and paid per share | $ | 0.34 | $ | 0.31 | $ | 0.68 | $ | 0.62 |
See accompanying notes.
AMETEK, Inc.
Consolidated Statement of Comprehensive Income
(In thousands)
(Unaudited)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net income | $ | 406,896 | $ | 358,367 | $ | 806,253 | $ | 710,125 | |||||||||||||||
| Other comprehensive income (loss): | |||||||||||||||||||||||
| Amounts arising during the period – gains (losses), net of tax (expense) benefit: | |||||||||||||||||||||||
| Foreign currency translation: | |||||||||||||||||||||||
| Translation adjustments | (16,487) | 170,213 | (65,817) | 235,991 | |||||||||||||||||||
| Change in long-term intercompany notes | 554 | (2,727) | 2,066 | (5,843) | |||||||||||||||||||
| Net investment hedge instruments gain (loss), net of tax of $(981) and $17,857 for the quarter ended June 30, 2026 and 2025, and $(5,378) and $25,956 for the six months ended June 30, 2026 and 2025, respectively | 3,126 | (56,893) | 17,136 | (82,694) | |||||||||||||||||||
| Defined benefit pension plans: | |||||||||||||||||||||||
| Amortization of net actuarial loss, net of tax of $(167) and $(296) for the quarter ended June 30, 2026 and 2025 and $(334) and $(592) for the six months ended June 30, 2026 and 2025, respectively | 531 | 942 | 1,062 | 1,884 | |||||||||||||||||||
| Other comprehensive (loss) income | (12,276) | 111,535 | (45,553) | 149,338 | |||||||||||||||||||
| Total comprehensive income | $ | 394,620 | $ | 469,902 | $ | 760,700 | $ | 859,463 |
AMETEK, Inc.
Consolidated Balance Sheet
(In thousands)
| June 30, 2026 | December 31, 2025 | ||||||||||
| (Unaudited) | |||||||||||
| ASSETS | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | 495,446 | $ | 457,951 | |||||||
| Receivables, net | 1,170,497 | 1,119,257 | |||||||||
| Inventories, net | 1,195,383 | 1,106,405 | |||||||||
| Other current assets | 365,475 | 336,229 | |||||||||
| Total current assets | 3,226,801 | 3,019,842 | |||||||||
| Property, plant and equipment, net | 850,173 | 855,215 | |||||||||
| Right of use assets, net | 259,308 | 273,142 | |||||||||
| Goodwill | 7,418,304 | 7,170,770 | |||||||||
| Other intangibles, net | 4,191,606 | 4,128,394 | |||||||||
| Investments and other assets | 648,521 | 620,180 | |||||||||
| Total assets | $ | 16,594,713 | $ | 16,067,543 | |||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
| Current liabilities: | |||||||||||
| Short-term borrowings and current portion of long-term debt, net | $ | 980,633 | $ | 1,208,975 | |||||||
| Accounts payable | 647,161 | 617,950 | |||||||||
| Customer advanced payments | 453,623 | 396,177 | |||||||||
| Income taxes payable | 73,601 | 82,682 | |||||||||
| Accrued liabilities and other | 503,580 | 536,968 | |||||||||
| Total current liabilities | 2,658,598 | 2,842,752 | |||||||||
| Long-term debt, net | 1,055,541 | 1,074,334 | |||||||||
| Deferred income taxes | 874,224 | 788,915 | |||||||||
| Other long-term liabilities | 745,587 | 732,756 | |||||||||
| Total liabilities | 5,333,950 | 5,438,757 | |||||||||
| Stockholders’ equity: | |||||||||||
| Common stock, $0.01 par value | 2,729 | 2,725 | |||||||||
| Capital in excess of par value | 1,339,427 | 1,317,288 | |||||||||
| Retained earnings | 12,903,079 | 12,252,480 | |||||||||
| Accumulated other comprehensive loss | (444,773) | (399,220) | |||||||||
| Treasury stock | (2,539,699) | (2,544,487) | |||||||||
| Total stockholders’ equity | 11,260,763 | 10,628,786 | |||||||||
| Total liabilities and stockholders’ equity | $ | 16,594,713 | $ | 16,067,543 |
See accompanying notes.
AMETEK, Inc.
Consolidated Statement of Stockholders’ Equity
(In thousands)
(Unaudited)
| Common stock | Capital in excess of par value | Retained earnings | Accumulated other comprehensive (loss) income | Treasury stock | Total stockholders’ equity | |||||||||||||||||||||||||||||||||
| Three Months Ended June 30, 2026 | ||||||||||||||||||||||||||||||||||||||
| Balance at March 31, 2026 | $ | 2,728 | $ | 1,314,400 | $ | 12,574,041 | $ | (432,497) | $ | (2,539,375) | $ | 10,919,297 | ||||||||||||||||||||||||||
| Net income | — | — | 406,896 | — | — | 406,896 | ||||||||||||||||||||||||||||||||
| Shares issued | 1 | — | — | — | — | 1 | ||||||||||||||||||||||||||||||||
| Issuance of common stock under employee stock plans | — | 11,135 | — | — | (158) | 10,977 | ||||||||||||||||||||||||||||||||
| Share-based compensation expense | — | 13,892 | — | — | — | 13,892 | ||||||||||||||||||||||||||||||||
| Cash dividends paid | — | — | (77,855) | — | — | (77,855) | ||||||||||||||||||||||||||||||||
| Other comprehensive (loss) income | — | — | — | (12,276) | — | (12,276) | ||||||||||||||||||||||||||||||||
| Purchase of treasury stock | — | — | — | — | (166) | (166) | ||||||||||||||||||||||||||||||||
| Other | — | — | (3) | — | — | (3) | ||||||||||||||||||||||||||||||||
| Balance at June 30, 2026 | $ | 2,729 | $ | 1,339,427 | $ | 12,903,079 | $ | (444,773) | $ | (2,539,699) | $ | 11,260,763 |
| Three Months Ended June 30, 2025 | ||||||||||||||||||||||||||||||||||||||
| Balance at March 31, 2025 | $ | 2,722 | $ | 1,255,018 | $ | 11,337,987 | $ | (517,936) | $ | (2,107,845) | $ | 9,969,946 | ||||||||||||||||||||||||||
| Net income | — | — | 358,367 | — | — | 358,367 | ||||||||||||||||||||||||||||||||
| Shares issued | 1 | — | — | — | — | 1 | ||||||||||||||||||||||||||||||||
| Issuance of common stock under employee stock plans | — | 7,928 | — | — | (338) | 7,590 | ||||||||||||||||||||||||||||||||
| Share-based compensation expense | — | 12,849 | — | — | — | 12,849 | ||||||||||||||||||||||||||||||||
| Cash dividends paid | — | — | (71,505) | — | — | (71,505) | ||||||||||||||||||||||||||||||||
| Other comprehensive (loss) income | — | — | — | 111,535 | — | 111,535 | ||||||||||||||||||||||||||||||||
| Purchase of treasury stock | — | — | — | — | (111) | (111) | ||||||||||||||||||||||||||||||||
| Other | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
| Balance at June 30, 2025 | $ | 2,723 | $ | 1,275,795 | $ | 11,624,849 | $ | (406,401) | $ | (2,108,294) | $ | 10,388,672 |
See accompanying notes.
AMETEK, Inc.
Consolidated Statement of Stockholders’ Equity (continued)
(In thousands)
(Unaudited)
| Common stock | Capital in excess of par value | Retained earnings | Accumulated other comprehensive (loss) income | Treasury stock | Total stockholders’ equity | |||||||||||||||||||||||||||||||||
| Six Months Ended June 30, 2026 | ||||||||||||||||||||||||||||||||||||||
| Balance at December 31, 2025 | $ | 2,725 | $ | 1,317,288 | $ | 12,252,480 | $ | (399,220) | $ | (2,544,487) | $ | 10,628,786 | ||||||||||||||||||||||||||
| Net income | — | — | 806,253 | — | — | 806,253 | ||||||||||||||||||||||||||||||||
| Shares issued | 4 | — | — | — | — | 4 | ||||||||||||||||||||||||||||||||
| Issuance of common stock under employee stock plans | — | (1,461) | — | — | 12,888 | 11,427 | ||||||||||||||||||||||||||||||||
| Share-based compensation expense | — | 23,600 | — | — | — | 23,600 | ||||||||||||||||||||||||||||||||
| Cash dividends paid | — | — | (155,651) | — | — | (155,651) | ||||||||||||||||||||||||||||||||
| Other comprehensive (loss) income | — | — | — | (45,553) | — | (45,553) | ||||||||||||||||||||||||||||||||
| Purchase of treasury stock | — | — | — | — | (8,100) | (8,100) | ||||||||||||||||||||||||||||||||
| Other | — | — | (3) | — | — | (3) | ||||||||||||||||||||||||||||||||
| Balance at June 30, 2026 | $ | 2,729 | $ | 1,339,427 | $ | 12,903,079 | $ | (444,773) | $ | (2,539,699) | $ | 11,260,763 |
| Six Months Ended June 30, 2025 | ||||||||||||||||||||||||||||||||||||||
| Balance at December 31, 2024 | $ | 2,720 | $ | 1,264,670 | $ | 11,057,684 | $ | (555,739) | $ | (2,114,031) | $ | 9,655,304 | ||||||||||||||||||||||||||
| Net income | — | — | 710,125 | — | — | 710,125 | ||||||||||||||||||||||||||||||||
| Shares issued | 3 | — | — | — | — | 3 | ||||||||||||||||||||||||||||||||
| Issuance of common stock under employee stock plans | — | (11,188) | — | — | 12,814 | 1,626 | ||||||||||||||||||||||||||||||||
| Share-based compensation expense | — | 22,313 | — | — | — | 22,313 | ||||||||||||||||||||||||||||||||
| Cash dividends paid | — | — | (142,960) | — | — | (142,960) | ||||||||||||||||||||||||||||||||
| Other comprehensive (loss) income | — | — | — | 149,338 | — | 149,338 | ||||||||||||||||||||||||||||||||
| Purchase of treasury stock | — | — | — | — | (7,077) | (7,077) | ||||||||||||||||||||||||||||||||
| Other | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
| Balance at June 30, 2025 | $ | 2,723 | $ | 1,275,795 | $ | 11,624,849 | $ | (406,401) | $ | (2,108,294) | $ | 10,388,672 |
See accompanying notes.
AMETEK, Inc.
Condensed Consolidated Statement of Cash Flows
(In thousands)
(Unaudited)
| Six months ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Cash provided by (used for): | |||||||||||
| Operating activities: | |||||||||||
| Net income | $ | 806,253 | $ | 710,125 | |||||||
| Adjustments to reconcile net income to total operating activities: | |||||||||||
| Depreciation and amortization | 211,421 | 214,068 | |||||||||
| Deferred income taxes | (8,362) | (39,069) | |||||||||
| Share-based compensation expense | 23,600 | 22,313 | |||||||||
| Loss (Gain) on sale of facilities | — | (91) | |||||||||
| Net change in assets and liabilities, net of acquisitions | (77,450) | (121,101) | |||||||||
| Pension contributions | (2,535) | (3,021) | |||||||||
| Other, net | (17,717) | (6,590) | |||||||||
| Total operating activities | 935,210 | 776,634 | |||||||||
| Investing activities: | |||||||||||
| Additions to property, plant and equipment | (57,479) | (52,338) | |||||||||
| Purchases of businesses, net of cash acquired | (424,484) | (104,110) | |||||||||
| Proceeds from sale of facilities | — | 200 | |||||||||
| Other, net | 473 | 521 | |||||||||
| Total investing activities | (481,490) | (155,727) | |||||||||
| Financing activities: | |||||||||||
| Net change in short-term borrowings | (208,689) | (202,653) | |||||||||
| Repayments of long-term borrowings | — | (50,000) | |||||||||
| Repurchases of common stock | (28,100) | (18,122) | |||||||||
| Cash dividends paid | (155,651) | (142,960) | |||||||||
| Proceeds from stock option exercises | 20,800 | 12,343 | |||||||||
| Debt financing costs | (21,773) | — | |||||||||
| Other, net | (14,695) | (8,016) | |||||||||
| Total financing activities | (408,108) | (409,408) | |||||||||
| Effect of exchange rate changes on cash and cash equivalents | (8,117) | 34,214 | |||||||||
| Increase (decrease) in cash and cash equivalents | 37,495 | 245,713 | |||||||||
| Cash and cash equivalents: | |||||||||||
| Beginning of period | 457,951 | 373,999 | |||||||||
| End of period | $ | 495,446 | $ | 619,712 |
See accompanying notes.
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
1. Basis of Presentation
The accompanying consolidated financial statements are unaudited. AMETEK, Inc. (the “Company”) believes that all adjustments (which primarily consist of normal recurring accruals) necessary for a fair presentation of the consolidated financial position of the Company at June 30, 2026, the consolidated results of its operations for the three and six months ended June 30, 2026 and 2025 and its cash flows for the six months ended June 30, 2026 and 2025 have been included. The Company has two reportable segments, Electronic Instruments Group (“EIG”) and Electromechanical Group (“EMG”). The Company identifies its operating segments for segment reporting purposes primarily on the basis of product type, production processes, distribution methods and management organizations. Quarterly results of operations are not necessarily indicative of results for the full year. The accompanying consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes presented in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 as filed with the U.S. Securities and Exchange Commission.
2. Recent Accounting Pronouncements
Recent Accounting Pronouncements
In November 2025, the FASB issued ASU 2025-09, Derivatives and Hedging (Topic 815) - Hedge Accounting Improvements ("ASU 2025-09"). The amendments in this update aim to better align financial reporting with an entity's risk management strategies. It makes improvements in five key areas to help entities achieve and maintain hedge accounting for highly effective economic hedges. Improvements include changes to similar risk assessment for cash flow hedges, a new model for Choose-Your-Rate debt instruments, a principles-based approach for nonfinancial forecasted transactions, clarification on net written options, and addressing the mismatch in dual-hedge accounting. ASU 2025-09 is effective for annual periods beginning after December 15, 2026, and interim reporting periods within those annual reporting periods. The Company is evaluating the impact ASU 2025-09 may have on the Company's financial statement disclosures.
In September 2025, the FASB issued ASU 2025-06, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software (ASU 2025-06) updating guidance on accounting for internal-use software. The amendments modernize guidance to consider different methods of software development, updating the requirements for capitalization of software costs. ASU 2025-06 is effective for annual and interim reporting periods beginning after December 15, 2027. Prospective, modified prospective, or retrospective application is allowed and early adoption is permitted. The Company has not determined the impact ASU 2025-06 may have on the Company’s consolidated financial statements.
In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income —Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which requires additional disclosures about significant expenses included in certain expense captions presented on the face of the income statement. ASU 2024-03 is effective for annual periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. Prospective or retrospective application is allowed and early adoption is permitted. The Company has not determined the impact ASU 2024-03 may have on the Company’s financial statement disclosures.
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
3. Revenues
The outstanding contract asset and liability accounts were as follows:
| 2026 | 2025 | ||||||||||
| (In thousands) | |||||||||||
| Contract assets—January 1 | $ | 159,896 | $ | 136,432 | |||||||
| Contract assets – June 30 | 177,868 | 160,443 | |||||||||
| Change in contract assets – increase (decrease) | 17,972 | 24,011 | |||||||||
| Contract liabilities – January 1 | 448,849 | 400,689 | |||||||||
| Contract liabilities – June 30 | 502,973 | 420,585 | |||||||||
| Change in contract liabilities – (increase) decrease | (54,124) | (19,896) | |||||||||
| Net change | $ | (36,152) | $ | 4,115 |
The net change for the six months ended June 30, 2026 was primarily driven by an increase in customer advance payments. For the six months ended June 30, 2026 and 2025, the Company recognized revenue of $307.1 million and $243.7 million, respectively, that was previously included in the beginning balance of contract liabilities.
Contract assets are reported as a component of Other current assets in the consolidated balance sheet. At June 30, 2026 and December 31, 2025, $49.4 million and $52.7 million of Customer advanced payments (contract liabilities), respectively, were recorded in Other long-term liabilities in the consolidated balance sheets.
The remaining performance obligations not expected to be completed within one year as of June 30, 2026 and December 31, 2025 were $747.7 million and $627.4 million, respectively. Remaining performance obligations represent the transaction price of firm, non-cancelable orders, with expected delivery dates to customers greater than one year from the balance sheet date, for which the performance obligation is unsatisfied or partially unsatisfied. These performance obligations will be substantially satisfied within two to three years.
Geographic Areas
Net sales were attributed to geographic areas based on the location of the customer. Information about the Company’s operations in different geographic areas was as follows for the three and six months ended June 30:
| Three months ended June 30, 2026 | Six months ended June 30, 2026 | ||||||||||||||||||||||||||||||||||
| EIG | EMG | Total | EIG | EMG | Total | ||||||||||||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||||||||||||||
| United States | $ | 654,569 | $ | 426,174 | $ | 1,080,743 | $ | 1,273,953 | $ | 811,565 | $ | 2,085,518 | |||||||||||||||||||||||
| International(1): | |||||||||||||||||||||||||||||||||||
| United Kingdom | 27,756 | 35,810 | 63,566 | 61,933 | 73,870 | 135,803 | |||||||||||||||||||||||||||||
| European Union countries | 163,094 | 128,060 | 291,154 | 325,109 | 256,637 | 581,746 | |||||||||||||||||||||||||||||
| Asia | 336,784 | 81,842 | 418,626 | 660,251 | 148,409 | 808,660 | |||||||||||||||||||||||||||||
| Other foreign countries | 138,950 | 51,358 | 190,308 | 264,443 | 96,664 | 361,107 | |||||||||||||||||||||||||||||
| Total international | 666,584 | 297,070 | 963,654 | 1,311,736 | 575,580 | 1,887,316 | |||||||||||||||||||||||||||||
| Consolidated net sales | $ | 1,321,153 | $ | 723,244 | $ | 2,044,397 | $ | 2,585,689 | $ | 1,387,145 | $ | 3,972,834 |
(1) Includes U.S. export sales of $570.5 million and $1,103.9 million for the three and six months ended June 30, 2026, respectively.
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
| Three months ended June 30, 2025 | Six months ended June 30, 2025 | ||||||||||||||||||||||||||||||||||
| EIG | EMG | Total | EIG | EMG | Total | ||||||||||||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||||||||||||||
| United States | $ | 576,268 | $ | 358,738 | $ | 935,006 | $ | 1,156,393 | $ | 706,143 | $ | 1,862,536 | |||||||||||||||||||||||
| International(1): | |||||||||||||||||||||||||||||||||||
| United Kingdom | 24,739 | 37,603 | 62,342 | 55,556 | 75,409 | 130,965 | |||||||||||||||||||||||||||||
| European Union countries | 145,453 | 109,137 | 254,590 | 277,919 | 213,322 | 491,241 | |||||||||||||||||||||||||||||
| Asia | 289,965 | 62,281 | 352,246 | 564,830 | 117,459 | 682,289 | |||||||||||||||||||||||||||||
| Other foreign countries | 123,146 | 50,726 | 173,872 | 248,546 | 94,450 | 342,996 | |||||||||||||||||||||||||||||
| Total international | 583,303 | 259,747 | 843,050 | 1,146,851 | 500,640 | 1,647,491 | |||||||||||||||||||||||||||||
| Consolidated net sales | $ | 1,159,571 | $ | 618,485 | $ | 1,778,056 | $ | 2,303,244 | $ | 1,206,783 | $ | 3,510,027 |
(1) Includes U.S. export sales of $472.9 million and $942.9 million for the three and six months ended June 30, 2025.
Major Products and Services
The Company’s major products and services in the reportable segments were as follows:
| Three months ended June 30, 2026 | Six months ended June 30, 2026 | ||||||||||||||||||||||||||||||||||
| EIG | EMG | Total | EIG | EMG | Total | ||||||||||||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||||||||||||||
| Process and analytical instrumentation | $ | 943,965 | $ | — | $ | 943,965 | $ | 1,835,595 | $ | — | $ | 1,835,595 | |||||||||||||||||||||||
| Aerospace and power | 377,188 | 221,918 | 599,106 | 750,094 | 418,513 | 1,168,607 | |||||||||||||||||||||||||||||
| Automation and engineered solutions | — | 501,326 | 501,326 | — | 968,632 | 968,632 | |||||||||||||||||||||||||||||
| Consolidated net sales | $ | 1,321,153 | $ | 723,244 | $ | 2,044,397 | $ | 2,585,689 | $ | 1,387,145 | $ | 3,972,834 |
| Three months ended June 30, 2025 | Six months ended June 30, 2025 | ||||||||||||||||||||||||||||||||||
| EIG | EMG | Total | EIG | EMG | Total | ||||||||||||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||||||||||||||
| Process and analytical instrumentation | $ | 802,866 | $ | — | $ | 802,866 | $ | 1,579,737 | $ | — | $ | 1,579,737 | |||||||||||||||||||||||
| Aerospace and power | 356,705 | 180,723 | 537,428 | 723,507 | 352,631 | 1,076,138 | |||||||||||||||||||||||||||||
| Automation and engineered solutions | — | 437,762 | 437,762 | — | 854,152 | 854,152 | |||||||||||||||||||||||||||||
| Consolidated net sales | $ | 1,159,571 | $ | 618,485 | $ | 1,778,056 | $ | 2,303,244 | $ | 1,206,783 | $ | 3,510,027 |
Timing of Revenue Recognition
| Three months ended June 30, 2026 | Six months ended June 30, 2026 | ||||||||||||||||||||||||||||||||||
| EIG | EMG | Total | EIG | EMG | Total | ||||||||||||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||||||||||||||
| Products transferred at a point in time | $ | 1,065,967 | $ | 628,390 | $ | 1,694,357 | $ | 2,067,179 | $ | 1,217,455 | $ | 3,284,634 | |||||||||||||||||||||||
| Products and services transferred over time | 255,186 | 94,854 | 350,040 | 518,510 | 169,690 | 688,200 | |||||||||||||||||||||||||||||
| Consolidated net sales | $ | 1,321,153 | $ | 723,244 | $ | 2,044,397 | $ | 2,585,689 | $ | 1,387,145 | $ | 3,972,834 |
| Three months ended June 30, 2025 | Six months ended June 30, 2025 | ||||||||||||||||||||||||||||||||||
| EIG | EMG | Total | EIG | EMG | Total | ||||||||||||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||||||||||||||
| Products transferred at a point in time | $ | 919,601 | $ | 564,030 | $ | 1,483,631 | $ | 1,826,488 | $ | 1,097,438 | $ | 2,923,926 | |||||||||||||||||||||||
| Products and services transferred over time | 239,970 | 54,455 | 294,425 | 476,756 | 109,345 | 586,101 | |||||||||||||||||||||||||||||
| Consolidated net sales | $ | 1,159,571 | $ | 618,485 | $ | 1,778,056 | $ | 2,303,244 | $ | 1,206,783 | $ | 3,510,027 |
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
Product Warranties
The Company provides limited warranties in connection with the sale of its products. The warranty periods for products sold vary among the Company’s operations, but the majority do not exceed one year. The Company calculates its warranty expense provision based on its historical warranty experience and adjustments are made periodically to reflect actual warranty expenses. Product warranty obligations are reported as a component of accrued liabilities and other in the consolidated balance sheet.
Changes in the accrued product warranty obligation were as follows:
| Six Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| (In thousands) | |||||||||||
| Balance at the beginning of the period | $ | 44,738 | $ | 38,555 | |||||||
| Accruals for warranties issued during the period | 8,576 | 9,970 | |||||||||
| Settlements made during the period | (9,482) | (9,418) | |||||||||
| Warranty accruals related to acquired businesses and other during the period | (188) | 2,123 | |||||||||
| Balance at the end of the period | $ | 43,644 | $ | 41,230 |
Accounts Receivable
The Company maintains allowances for estimated losses resulting from the inability of customers to meet their financial obligations to the Company. The Company recognizes an allowance for credit losses, on all accounts receivable and contract assets, which considers risk of future credit losses based on factors such as historical experience, contract terms, as well as general and market business conditions, country, and political risk. Balances are written off when determined to be uncollectible.
At June 30, 2026, the Company had $1,170.5 million of accounts receivable, net of allowances of $14.4 million. At December 31, 2025, the Company had $1,119.3 million of accounts receivable, net of allowance of $13.7 million. Changes in the allowance were not material for the three and six months ended June 30, 2026.
4. Earnings Per Share
The calculation of basic earnings per share is based on the weighted average number of common shares considered outstanding during the periods. The calculation of diluted earnings per share reflects the effect of all potentially dilutive securities (principally outstanding stock options and restricted stock grants). The number of weighted average shares used in the calculation of basic earnings per share and diluted earnings per share was as follows:
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||
| Weighted average shares: | |||||||||||||||||||||||
| Basic shares | 229,086 | 230,818 | 228,994 | 230,743 | |||||||||||||||||||
| Equity-based compensation plans | 769 | 654 | 851 | 764 | |||||||||||||||||||
| Diluted shares | 229,855 | 231,472 | 229,845 | 231,507 |
The calculation of diluted earnings per share for the three and six months ended June 30, 2025 excluded an immaterial number of stock options because the exercise prices of these stock options exceeded the average market price of the Company’s common shares, and the effect of their inclusion would have been antidilutive. There were no antidilutive shares for the three and six months ended June 30, 2026.
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
5. Fair Value Measurements
Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date.
The Company utilizes a valuation hierarchy for disclosure of the inputs to the valuations used to measure fair value. This hierarchy prioritizes the inputs into three broad levels as follows. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. Level 3 inputs are unobservable inputs based on the Company’s own assumptions used to measure assets and liabilities at fair value. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement.
The following table provides the Company’s assets that are measured at fair value on a recurring basis, consistent with the fair value hierarchy, at June 30, 2026 and December 31, 2025:
| June 30, 2026 | |||||||||||||||||||||||
| Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||
| Mutual fund investments | $ | 8,789 | $ | 8,789 | $ | — | $ | — | |||||||||||||||
| December 31, 2025 | |||||||||||||||||||||||
| Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||
| Mutual fund investments | $ | 8,199 | $ | 8,199 | $ | — | $ | — | |||||||||||||||
The fair value of mutual fund investments is based on quoted market prices. The mutual fund investments are shown as a component of investments and other assets on the consolidated balance sheet.
For the six months ended June 30, 2026 and 2025, gains and losses on the investments noted above were not significant. No transfers between level 1 and level 2 investments occurred during the six months ended June 30, 2026 and 2025.
Financial Instruments
Cash, cash equivalents and mutual fund investments are recorded at fair value at June 30, 2026 and December 31, 2025 in the accompanying consolidated balance sheet.
The following table provides the estimated fair values of the Company’s financial instrument liabilities, for which fair value is measured for disclosure purposes only, compared to the recorded amounts at June 30, 2026 and December 31, 2025:
| June 30, 2026 | December 31, 2025 | ||||||||||||||||||||||
| Recorded Amount | Fair Value | Recorded Amount | Fair Value | ||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||
| Long-term debt (including current portion) | $ | (1,504,731) | $ | (1,464,015) | $ | (1,527,238) | $ | (1,488,009) |
The fair value of net short-term borrowings approximates the carrying value. The Company’s net long-term debt is all privately held with no public market for this debt, therefore, the fair value of net long-term debt was computed based on comparable current market data for similar debt instruments and is considered a level 3 liability.
6. Hedging Activities
The Company has designated certain foreign-currency-denominated long-term borrowings as hedges of the net investment in certain foreign operations. As of June 30, 2026, these net investment hedges included British-pound and Euro-denominated long-term debt. These borrowings were designed to create net investment hedges in certain designated foreign subsidiaries. The Company designated the British-pound- and Euro-denominated loans as hedging instruments to offset
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
translation gains or losses on the net investment due to changes in the British pound and Euro exchange rates. These net investment hedges are evidenced by management’s contemporaneous documentation supporting the hedge designation. Any gain or loss on the hedging instruments (the debt) following hedge designation is reported in accumulated other comprehensive income in the same manner as the translation adjustment on the hedged investment based on changes in the spot rate, which is used to measure hedge effectiveness.
At June 30, 2026, the Company had $298.3 million of British-pound-denominated loans and $656.4 million in Euro-denominated loans, which were designated as a hedge against the net investment in British pound and Euro functional currency foreign subsidiaries. As a result of the British-pound- and Euro-denominated loans designated and 100% effective as net investment hedges, $22.5 million of pre-tax currency remeasurement gains have been included in the foreign currency translation component of other comprehensive income for the six months ended June 30, 2026.
7. Inventories, net
| June 30, 2026 | December 31, 2025 | ||||||||||
| (In thousands) | |||||||||||
| Finished goods and parts | $ | 106,701 | $ | 112,300 | |||||||
| Work in process | 202,826 | 179,792 | |||||||||
| Raw materials and purchased parts | 885,856 | 814,313 | |||||||||
| Total inventories, net | $ | 1,195,383 | $ | 1,106,405 |
8. Leases and Other Commitments
The Company has commitments under operating leases for certain facilities, vehicles and equipment used in its operations. Cash used in operations for operating leases was not materially different from operating lease expense for the six months ended June 30, 2026 and 2025. The Company's leases have a weighted average remaining lease term of approximately six years.
The components of lease expense were as follows:
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||
| Operating lease cost | $ | 21,752 | $ | 22,962 | $ | 42,952 | $ | 43,237 | |||||||||||||||
| Variable lease cost | 4,112 | 3,857 | 7,808 | 7,202 | |||||||||||||||||||
| Total lease cost | $ | 25,864 | $ | 26,819 | $ | 50,760 | $ | 50,439 |
Supplemental balance sheet information related to leases was as follows:
| June 30, 2026 | December 31, 2025 | ||||||||||
| (In thousands) | |||||||||||
| Right of use assets, net | $ | 259,308 | $ | 273,142 | |||||||
| Lease liabilities included in Accrued Liabilities and other | 61,826 | 61,133 | |||||||||
| Lease liabilities included in Other long-term liabilities | 212,944 | 227,066 | |||||||||
| Total lease liabilities | $ | 274,770 | $ | 288,199 |
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
Maturities of lease liabilities as of June 30, 2026 were as follows:
| Lease Liability Maturity Analysis | Operating Leases | ||||
| (In thousands) | |||||
| Remaining 2026 | $ | 37,517 | |||
| 2027 | 68,429 | ||||
| 2028 | 52,927 | ||||
| 2029 | 43,994 | ||||
| 2030 | 35,431 | ||||
| Thereafter | 82,319 | ||||
| Total lease payments | 320,617 | ||||
| Less: imputed interest | 45,847 | ||||
| $ | 274,770 |
The Company does not have any significant leases that have not yet commenced.
Other Commitments
In the ordinary course of its business, the Company issues guarantees, stand-by letters of credit and surety bonds to provide financial or performance assurance to third parties on behalf of its consolidated subsidiaries to support or enhance the subsidiary's stand-alone creditworthiness. At June 30, 2026, the maximum amount of future payment obligations relative to these various guarantees was $326.4 million and the outstanding liability under certain of those guarantees was $187.9 million.
9. Acquisitions
The Company spent $424.5 million in cash, net of cash acquired, to acquire LKC Technologies ("LKC") in January 2026 and First Aviation Services, Inc. ("First Aviation") in May 2026. LKC is a leading provider of innovative technologies to enable the effective diagnosis and management of ophthalmic conditions. LKC is part of EIG. First Aviation is a leading provider of highly engineered, mission-critical defense and aviation maintenance, repair and overhaul services and a manufacturer of related proprietary components. First Aviation has annual sales of approximately $80 million. First Aviation is part of EMG.
The following table represents the allocation of the purchase price for the net assets of the LKC and First Aviation acquisitions based on the estimated fair values at acquisition (in millions):
| Property, plant and equipment | $ | 19.2 | |||||||||||||||
| Goodwill | 188.8 | ||||||||||||||||
| Other intangible assets | 211.5 | ||||||||||||||||
| Deferred income taxes | (43.6) | ||||||||||||||||
| Net working capital and other(1) | 59.7 | ||||||||||||||||
| Total purchase price | $ | 435.6 | |||||||||||||||
| Less: Acquisition date fair value of cash acquired | (11.1) | ||||||||||||||||
| Total cash paid | $ | 424.5 |
(1)Includes $7.1 million in accounts receivable, whose fair value, contractual cash flows and expected cash flows are approximately equal.
The amount allocated to goodwill is reflective of the benefits the Company expects to realize from the acquisitions. LKC's design and engineering capabilities complement the Company's existing ultra precision technologies business. First Aviation's proprietary products and services complement the Company's existing maintenance, repair and overhaul business.
At June 30, 2026, the purchase price allocated to other intangible assets of $211.5 million consists of $30.2 million of indefinite-lived intangible trade names, which are not subject to amortization. The remaining $181.3 million of other intangible
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
assets consists of $148.1 million of customer relationships, which are being amortized over a period of 17 to 20 years, and $33.2 million of purchased technology, which is being amortized over a period of 15 to 17 years. Amortization expense for each of the next five years for the 2026 acquisition is expected to approximate $10 million per year.
The LKC and First Aviation acquisitions had an immaterial impact on reported net sales, net income, and diluted earnings per share for the three and six months ended June 30, 2026. Had the acquisitions been made at the beginning of 2026 or 2025, pro forma net sales, net income, and diluted earnings per share for the three and six months ended June 30, 2026 and 2025, would not have been materially different than the amounts reported.
The Company finalized its measurements of tangible and intangible assets and liabilities, as well as the associated income tax considerations, for its July 2025 acquisition of FARO Technologies and its January 2026 acquisition of LKC, which had no material impact to the consolidated statement of income. The Company is in the process of finalizing the measurement of the intangible assets and tangible assets and liabilities, as well as the associated income tax considerations, for its May 2026 acquisition of First Aviation.
In January 2025, the Company acquired Kern Microtechnik ("Kern"). The Kern acquisition included an $8.9 million estimated fair value contingent payment due upon Kern achieving certain cumulative revenue and EBITDA targets over the period January 1, 2025 to January 1, 2027. The contingent liability was based on a probabilistic approach using level 3 inputs. At June 30, 2026, there was no material change to the estimated fair value of the contingent payment liability.
Indicor, LLC Agreement
On May 5, 2026, the Company announced that it has entered into a definitive agreement to acquire a portfolio of instrumentation business from Indicor, LLC ("Indicor Instrumentation") in an all-cash transaction valued at approximately $5.0 billion. Indicor Instrumentation is a collection of leading businesses that design and manufacture mission critical solutions for demanding industrial and scientific applications. Its products serve customers across end markets that align closely with the Company's existing portfolio of instrumentation businesses. Indicor Instrumentation has annual sales of approximately $1.1 billion. The transaction is subject to customary closing conditions, including applicable regulatory approvals, and is expected to close in the second half of 2026. Following closing of the transaction, the businesses will be integrated into EIG or EMG based on product offerings and market alignment.
10. Goodwill
The changes in the carrying amounts of goodwill by segment were as follows:
| EIG | EMG | Total | |||||||||||||||
| (In millions) | |||||||||||||||||
| Balance at December 31, 2025 | $ | 5,008.2 | $ | 2,162.6 | $ | 7,170.8 | |||||||||||
| Goodwill acquired from 2026 acquisitions | 126.0 | 62.8 | 188.8 | ||||||||||||||
| Purchase price allocation adjustments and other | 87.1 | — | 87.1 | ||||||||||||||
| Foreign currency translation adjustments | (21.3) | (7.1) | (28.4) | ||||||||||||||
| Balance at June 30, 2026 | $ | 5,200.0 | $ | 2,218.3 | $ | 7,418.3 |
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
11. Income Taxes
The effective tax rate for the three months ended June 30, 2026 was 17.4%, compared with 19.0% for the three months ended June 30, 2025. The decrease in the quarterly effective tax rate primarily reflects favorable international tax planning initiatives and favorable return to provision adjustments.
At June 30, 2026, the Company had gross uncertain tax benefits of $243.3 million, of which $192.6 million, if recognized, would impact the effective tax rate.
The following is a reconciliation of the liability for uncertain tax positions (in millions):
| Balance at December 31, 2025 | $ | 229.3 | |||
| Additions for tax positions | 23.5 | ||||
| Reductions for tax positions | (9.5) | ||||
| Balance at June 30, 2026 | $ | 243.3 |
The additions above primarily reflect the tax positions for foreign tax planning initiatives. The Company recognizes interest and penalties accrued related to uncertain tax positions in income tax expense. The amounts recognized in income tax expense for interest and penalties during the three and six months ended June 30, 2026 and 2025 were not significant.
The Organization for Economic Cooperation and Development’s (“OECD”) Pillar Two initiative set a 15% global minimum tax for certain multinationals, effective January 1, 2024, in most countries where the Company operates. In January 2026, new OECD guidance proposed a Side‑by‑Side (“SbS”) framework to limit Pillar Two taxes for U.S.-parented groups. Relief is contingent upon the implementation of the SbS framework within each respective jurisdiction's domestic legislation. For the six months ended June 30, 2026, the Company has recorded $12.5 million of top-up tax in its income tax expense, based on the currently enacted Pillar Two framework, in jurisdictions where the effective tax rate does not meet the 15% minimum threshold.
12. Debt
On June 9, 2026, the Company, along with certain of its foreign subsidiaries, entered into an amended and restated revolving credit agreement (the “Revolving Credit Agreement”) and a separate term loan credit agreement (the “Term Loan Agreement”). The Revolving Credit Agreement increased the aggregate commitments from $2.3 billion to $3.5 billion and extended the maturity to June 9, 2031. The facility is subject to customary financial and restrictive covenants and may be used for general corporate purposes, including working capital, debt refinancing, and up to $1.0 billion to fund a portion of the consideration for the previously announced acquisition of Indicor Holdings, LLC (the “Indicor Acquisition”). At June 30, 2026, the Company had no borrowings outstanding under the revolver.
The Term Loan Agreement provides for a senior unsecured term loan facility of up to $4.0 billion, consisting of three tranches: $1.625 billion maturing three years after funding, $1.625 billion maturing four years after funding, and $750 million maturing five years after funding. Funding under the Term Loan Agreement is subject to customary conditions, including the consummation of the Indicor Acquisition, and the proceeds may be used solely to finance the acquisition. The term loans will be available in a single borrowing on the closing date of the Indicor Acquisition. At June 30, 2026, the Company had no borrowings outstanding under the term loans.
Both agreements contain customary affirmative and negative covenants, financial maintenance covenants, and events of default. Borrowings under the facilities bear interest at variable rates based on either a secured overnight financing rate (“SOFR”) or an alternate base rate, in each case plus an applicable margin determined by reference to the Company’s credit rating or leverage. The Company may prepay borrowings at any time without premium or penalty, subject to customary breakage costs.
In connection with entering into the purchase agreement for the Indicor Acquisition, the Company previously obtained $5.0 billion in bridge financing commitments. Upon execution of the Revolving Credit Agreement and the Term Loan Agreement, these bridge commitments were automatically reduced and terminated in full.
At June 30, 2026, the Company had $545.0 million outstanding under its commercial paper program.
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
13. Share-Based Compensation
The Company's share-based compensation plans are described in Note 11, Share-Based Compensation, to the consolidated financial statements in Part II, Item 8, filed on the Company’s Annual Report on Form 10-K for the year ended December 31, 2025.
Share Based Compensation Expense
Total share-based compensation expense was as follows:
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||
| Stock option expense | $ | 2,553 | $ | 2,853 | $ | 5,375 | $ | 6,116 | |||||||||||||||
| Restricted stock expense | 5,914 | 5,270 | 11,176 | 10,325 | |||||||||||||||||||
| Performance restricted stock unit expense | 5,425 | 4,726 | 7,049 | 5,872 | |||||||||||||||||||
| Total pre-tax expense | $ | 13,892 | $ | 12,849 | $ | 23,600 | $ | 22,313 |
Pre-tax share-based compensation expense is included in the consolidated statement of income in either Cost of sales or Selling, general and administrative expenses, depending on where the recipient’s cash compensation is reported.
Stock Options
The fair value of each stock option grant is estimated on the grant date using a Black-Scholes-Merton option pricing model. The following weighted average assumptions were used in the Black-Scholes-Merton model to estimate the fair values of stock options granted during the periods indicated:
| Six Months Ended June 30, 2026 | Year Ended December 31, 2025 | ||||||||||
| Expected volatility | 20.1 | % | 22.7 | % | |||||||
| Expected term (years) | 5.0 | 5.0 | |||||||||
| Risk-free interest rate | 3.87 | % | 4.07 | % | |||||||
| Expected dividend yield | 0.64 | % | 0.70 | % | |||||||
| Black-Scholes-Merton fair value per stock option granted | $ | 51.29 | $ | 46.21 |
The following is a summary of the Company’s stock option activity and related information:
| Shares | Weighted Average Exercise Price | Weighted Average Remaining Contractual Life | Aggregate Intrinsic Value | ||||||||||||||||||||
| (In thousands) | (Years) | (In millions) | |||||||||||||||||||||
| Outstanding at December 31, 2025 | 1,950 | $ | 126.07 | ||||||||||||||||||||
| Granted | 234 | 212.77 | |||||||||||||||||||||
| Exercised | (180) | 115.02 | |||||||||||||||||||||
| Forfeited | (25) | 183.97 | |||||||||||||||||||||
| Outstanding at June 30, 2026 | 1,979 | $ | 136.59 | 6.1 | $ | 208.5 | |||||||||||||||||
| Exercisable at June 30, 2026 | 1,531 | $ | 119.35 | 5.2 | $ | 187.7 |
The aggregate intrinsic value of stock options exercised during the six months ended June 30, 2026 was $20.4 million. The total fair value of stock options vested during the six months ended June 30, 2026 was $11.7 million. As of June 30, 2026,
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
there was approximately $19.0 million of expected future pre-tax compensation expense related to the 0.5 million non-vested stock options outstanding, which is expected to be recognized over a weighted average period of approximately two years.
Restricted Stock
The following is a summary of the Company’s non-vested restricted stock activity and related information:
| Shares | Weighted Average Grant Date Fair Value | ||||||||||
| (In thousands) | |||||||||||
| Non-vested restricted stock outstanding at December 31, 2025 | 280 | $ | 173.25 | ||||||||
| Granted | 143 | 213.81 | |||||||||
| Vested | (125) | 167.44 | |||||||||
| Forfeited | (19) | 185.42 | |||||||||
| Non-vested restricted stock outstanding at June 30, 2026 | 279 | $ | 195.78 |
The total fair value of restricted stock vested during the six months ended June 30, 2026 was $21.0 million. As of June 30, 2026, there was approximately $45.1 million of expected future pre-tax compensation expense related to the 0.3 million non-vested restricted shares outstanding, which is expected to be recognized over a weighted average period of approximately two years.
Performance Restricted Stock Units
The following is a summary of the Company’s non-vested performance restricted stock activity and related information:
| Shares | Weighted Average Grant Date Fair Value | ||||||||||
| (In thousands) | |||||||||||
| Non-vested performance restricted stock outstanding at December 31, 2025 | 240 | $ | 166.06 | ||||||||
| Granted | 79 | 212.77 | |||||||||
| Performance assumption change 1 | 2 | 138.46 | |||||||||
| Vested | (77) | 138.46 | |||||||||
| Forfeited | (5) | 182.76 | |||||||||
| Non-vested performance restricted stock outstanding at June 30, 2026 | 239 | $ | 189.80 |
1 Reflects the number of PRSUs above target levels based on performance metrics.
As of June 30, 2026, there was approximately $17.7 million of expected future pre-tax compensation expense related to the 0.2 million non-vested restricted shares outstanding, which is expected to be recognized over a weighted average period of less than one year.
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
14. Retirement and Pension Plans
The components of net periodic pension benefit expense (income) were as follows:
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| (In thousands) | |||||||||||||||||||||||
| Defined benefit plans: | |||||||||||||||||||||||
| Service cost | $ | 505 | $ | 596 | $ | 1,011 | $ | 1,168 | |||||||||||||||
| Interest cost | 7,121 | 7,325 | 14,253 | 14,500 | |||||||||||||||||||
| Expected return on plan assets | (14,441) | (13,236) | (28,894) | (26,330) | |||||||||||||||||||
| Amortization of net actuarial loss and other | 1,469 | 2,066 | 2,941 | 4,085 | |||||||||||||||||||
| Pension income | (5,346) | (3,249) | (10,689) | (6,577) | |||||||||||||||||||
| Other plans: | |||||||||||||||||||||||
| Defined contribution plans | 13,120 | 11,187 | 26,599 | 23,691 | |||||||||||||||||||
| Foreign plans and other | 1,857 | 1,184 | 3,601 | 2,988 | |||||||||||||||||||
| Total other plans | 14,977 | 12,371 | 30,200 | 26,679 | |||||||||||||||||||
| Total net pension expense | $ | 9,631 | $ | 9,122 | $ | 19,511 | $ | 20,102 |
For defined benefit plans, the net periodic benefit income, other than the service cost component, is included in “Other (expense) income, net” in the consolidated statement of income.
For the six months ended June 30, 2026 and 2025, contributions to the Company’s defined benefit pension plans were $2.5 million and $3.0 million, respectively. The Company’s current estimate of 2026 contributions to its worldwide defined benefit pension plans is in line with the range disclosed in Note 12 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2025.
15. Contingencies
Asbestos Litigation
The Company (including its subsidiaries) has been named as a defendant in a number of asbestos-related lawsuits. Certain of these lawsuits relate to a business which was acquired by the Company and do not involve products which were manufactured or sold by the Company. In connection with these lawsuits, the seller of such business has agreed to indemnify the Company against these claims (the “Indemnified Claims”). The Indemnified Claims have been tendered to, and are being defended by, such seller. The seller has met its obligations, in all respects, and the Company does not have any reason to believe such party would fail to fulfill its obligations in the future. To date, no judgments have been rendered against the Company as a result of any asbestos-related lawsuit. The Company believes that it has good and valid defenses to each of these claims and intends to defend them vigorously.
Environmental Matters
Certain historic processes in the manufacture of products have resulted in environmentally hazardous waste by-products as defined by federal and state laws and regulations. At June 30, 2026, the Company is named a Potentially Responsible Party (“PRP”) at 13 non-AMETEK-owned former waste disposal or treatment sites (the “non-owned” sites). The Company is identified as a “de minimis” party in a majority of these sites based on the low volume of waste attributed to the Company relative to the amounts attributed to other named PRPs. The Company is participating in the investigation and/or related required remediation as part of a PRP Group and reserves have been established to satisfy the Company’s expected obligations. The Company historically has resolved these issues within established reserve levels and reasonably expects this result will continue. In addition to these non-owned sites, the Company has an ongoing practice of providing reserves for probable remediation activities at certain of its current or previously owned manufacturing locations (the “owned” sites). For claims and proceedings against the Company with respect to other environmental matters, reserves are established once the Company has determined that a loss is probable and estimable. This estimate is refined as the Company moves through the various stages of investigation, risk assessment, feasibility study and corrective action processes. In certain instances, the Company has developed a range of estimates for such costs and has recorded a liability based on the best estimate. It is
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
reasonably possible that the actual cost of remediation of the individual sites could vary from the current estimates and the amounts accrued in the consolidated financial statements; however, the amounts of such variances are not expected to result in a material change to the consolidated financial statements. In estimating the Company’s liability for remediation, the Company also considers the likely proportionate share of the anticipated remediation expense and the ability of the other PRPs to fulfill their obligations.
Total environmental reserves at June 30, 2026 and December 31, 2025 were $40.1 million and $37.4 million, respectively, for both non-owned and owned sites. For the six months ended June 30, 2026, the Company recorded $7.0 million in reserves. Additionally, the Company spent $4.3 million on environmental matters for the six months ended June 30, 2026.
The Company has agreements with other former owners of certain of its acquired businesses, as well as new owners of previously owned businesses. Under certain of the agreements, the former or new owners retained, or assumed and agreed to indemnify the Company against, certain environmental and other liabilities under certain circumstances. The Company and some of these other parties also carry insurance coverage for some environmental matters.
The Company believes it has established reserves for the environmental matters described above, which are sufficient to perform all known responsibilities under existing claims and consent orders. In the opinion of management, based on presently available information and the Company’s historical experience related to such matters, an adequate provision for probable costs has been made and the ultimate cost resulting from these actions is not expected to materially affect the consolidated results of operations, financial position or cash flows of the Company.
16. Reportable Segments
The Company has two reportable segments, Electronic Instruments Group and Electromechanical Group. The Company identifies its operating segments for segment reporting purposes primarily on the basis of product type, production processes, distribution methods and management organizations.
Reportable Segment Financial Information (in thousands):
| Three Months Ended June 30, 2026 | |||||||||||||||||||||||
| EMG | EIG | Corporate | Total Consolidated | ||||||||||||||||||||
| Net Sales | $ | 723,244 | $ | 1,321,153 | $ | — | $ | 2,044,397 | |||||||||||||||
| Cost of sales (1) | 509,125 | 800,231 | — | 1,309,356 | |||||||||||||||||||
| Selling expense | 24,802 | 151,200 | — | 176,002 | |||||||||||||||||||
| Segment Operating Income | 189,317 | 369,722 | — | 559,039 | |||||||||||||||||||
| Corporate G&A | — | — | 30,846 | 30,846 | |||||||||||||||||||
| Operating Income | 189,317 | 369,722 | (30,846) | 528,193 | |||||||||||||||||||
| Interest expense (2) | — | — | (30,101) | (30,101) | |||||||||||||||||||
| Other (expense) income, net | — | — | (5,720) | (5,720) | |||||||||||||||||||
| Income before Income Taxes | $ | 189,317 | $ | 369,722 | $ | (66,667) | $ | 492,372 | |||||||||||||||
| Depreciation | 15,732 | 19,417 | 1,655 | 36,804 | |||||||||||||||||||
| Amortization | 18,811 | 50,316 | — | 69,127 | |||||||||||||||||||
| Total depreciation and amortization | $ | 34,543 | $ | 69,733 | $ | 1,655 | $ | 105,931 | |||||||||||||||
| Research, Development & Engineering costs (3) | $ | 22,099 | $ | 88,822 | $ | — | $ | 110,921 | |||||||||||||||
| Assets | $ | 5,119,728 | $ | 10,684,591 | $ | 790,394 | $ | 16,594,713 | |||||||||||||||
| Capital Expenditures | $ | 10,908 | $ | 15,675 | $ | 5,428 | $ | 32,011 |
(1)Includes $16.2 million of acquisition-related costs.
(2)Includes $10.0 million of acquisition-related financing fees.
(3)Included in cost of sales.
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
| Three Months Ended June 30, 2025 | |||||||||||||||||||||||
| EMG | EIG | Corporate | Total Consolidated | ||||||||||||||||||||
| Net Sales | $ | 618,485 | $ | 1,159,571 | $ | — | $ | 1,778,056 | |||||||||||||||
| Cost of sales | 452,132 | 690,035 | — | 1,142,167 | |||||||||||||||||||
| Selling expense | 22,465 | 125,108 | — | 147,573 | |||||||||||||||||||
| Segment Operating Income | 143,888 | 344,428 | — | 488,316 | |||||||||||||||||||
| Corporate G&A | — | — | 26,690 | 26,690 | |||||||||||||||||||
| Operating Income | 143,888 | 344,428 | (26,690) | 461,626 | |||||||||||||||||||
| Interest expense | — | — | (16,857) | (16,857) | |||||||||||||||||||
| Other (expense) income, net | — | — | (2,600) | (2,600) | |||||||||||||||||||
| Income before Income Taxes | $ | 143,888 | $ | 344,428 | $ | (46,147) | $ | 442,169 | |||||||||||||||
| Depreciation | $ | 15,665 | $ | 19,130 | $ | 1,481 | $ | 36,276 | |||||||||||||||
| Amortization | 26,812 | 44,613 | — | 71,425 | |||||||||||||||||||
| Total depreciation and amortization | $ | 42,477 | $ | 63,743 | $ | 1,481 | $ | 107,701 | |||||||||||||||
| Research, Development & Engineering costs (1) | $ | 21,032 | $ | 73,195 | $ | — | $ | 94,227 | |||||||||||||||
| Assets | $ | 4,847,262 | $ | 9,541,110 | $ | 878,174 | $ | 15,266,546 | |||||||||||||||
| Capital Expenditures | $ | 10,193 | $ | 11,266 | $ | 7,810 | $ | 29,269 |
(1)Included in cost of sales.
| Six Months Ended June 30, 2026 | |||||||||||||||||||||||
| EMG | EIG | Corporate | Total Consolidated | ||||||||||||||||||||
| Net Sales | $ | 1,387,145 | $ | 2,585,689 | $ | — | $ | 3,972,834 | |||||||||||||||
| Cost of sales (1) | 979,217 | 1,541,017 | — | 2,520,234 | |||||||||||||||||||
| Selling expense | 47,845 | 301,012 | — | 348,857 | |||||||||||||||||||
| Segment Operating Income | 360,083 | 743,660 | — | 1,103,743 | |||||||||||||||||||
| Corporate G&A | — | — | 60,614 | 60,614 | |||||||||||||||||||
| Operating Income | 360,083 | 743,660 | (60,614) | 1,043,129 | |||||||||||||||||||
| Interest expense (2) | — | — | (51,010) | (51,010) | |||||||||||||||||||
| Other (expense) income, net | — | — | (6,767) | (6,767) | |||||||||||||||||||
| Income before Income Taxes | $ | 360,083 | $ | 743,660 | $ | (118,391) | $ | 985,352 | |||||||||||||||
| Depreciation | $ | 31,178 | $ | 38,595 | $ | 3,292 | $ | 73,065 | |||||||||||||||
| Amortization | 37,214 | 101,142 | — | 138,356 | |||||||||||||||||||
| Total depreciation and amortization | $ | 68,392 | $ | 139,737 | $ | 3,292 | $ | 211,421 | |||||||||||||||
| Research, Development & Engineering costs (3) | $ | 44,630 | $ | 177,867 | $ | — | $ | 222,497 | |||||||||||||||
| Capital Expenditures | $ | 20,252 | $ | 28,516 | $ | 8,711 | $ | 57,479 |
(1)Includes $17.8 million of acquisition-related costs.
(2)Includes $10.0 million of acquisition-related financing fees.
(3)Included in cost of sales.
AMETEK, Inc.
Notes to Consolidated Financial Statements
June 30, 2026
(Unaudited)
| Six Months Ended June 30, 2025 | |||||||||||||||||||||||
| EMG | EIG | Corporate | Total Consolidated | ||||||||||||||||||||
| Net Sales | $ | 1,206,783 | $ | 2,303,244 | $ | — | $ | 3,510,027 | |||||||||||||||
| Cost of sales | 889,920 | 1,359,218 | — | 2,249,138 | |||||||||||||||||||
| Selling expense | 44,257 | 245,548 | — | 289,805 | |||||||||||||||||||
| Segment Operating Income | 272,606 | 698,478 | — | 971,084 | |||||||||||||||||||
| Corporate G&A | — | — | 54,629 | 54,629 | |||||||||||||||||||
| Operating Income | 272,606 | 698,478 | (54,629) | 916,455 | |||||||||||||||||||
| Interest expense | — | — | (35,850) | (35,850) | |||||||||||||||||||
| Other (expense) income, net | — | — | (4,214) | (4,214) | |||||||||||||||||||
| Income before Income Taxes | $ | 272,606 | $ | 698,478 | $ | (94,693) | $ | 876,391 | |||||||||||||||
| Depreciation | $ | 31,058 | $ | 37,887 | $ | 2,917 | $ | 71,862 | |||||||||||||||
| Amortization | 53,455 | 88,751 | — | 142,206 | |||||||||||||||||||
| Total depreciation and amortization | $ | 84,513 | $ | 126,638 | $ | 2,917 | $ | 214,068 | |||||||||||||||
| Research, Development & Engineering costs (1) | $ | 42,275 | $ | 146,817 | $ | — | $ | 189,092 | |||||||||||||||
| Capital Expenditures | $ | 17,357 | $ | 21,669 | $ | 13,312 | $ | 52,338 |
(1)Included in cost of sales.
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