Item 1. Financial Statements

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Item 1. Financial Statements

TELEDYNE TECHNOLOGIES INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS)

FOR THE FIRST QUARTER ENDED MARCH 29, 2026 AND MARCH 30, 2025

(Unaudited — Amounts in millions, except per share amounts)


	First Quarter
	2026		2025
Net sales	$	1,560.1	$	1,449.9
Costs and expenses
Cost of sales	886.3		830.4
Selling, general and administrative	237.4		233.9
Research and development	84.6		74.3
Acquired intangible asset amortization	57.6		52.0
Total costs and expenses	1,265.9		1,190.6
Operating income (loss)	294.2		259.3
Interest and debt income (expense), net	(12.3)		(17.3)

Non-service retirement benefit income (expense), net	2.7		2.8
Other income (expense), net	(5.9)		(5.9)
Income (loss) before income taxes	278.7		238.9
Provision (benefit) for income taxes	51.9		50.1
Net income (loss) including noncontrolling interest	226.8		188.8
Less: Net income (loss) attributable to noncontrolling interest	—		0.2
Net income (loss) attributable to Teledyne	$	226.8	$	188.6

Basic earnings per common share	$	4.90	$	4.03
Weighted average common shares outstanding	46.3		46.8

Diluted earnings per common share	$	4.85	$	3.99
Weighted average diluted common shares outstanding	46.8		47.3

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

TELEDYNE TECHNOLOGIES INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

FOR THE FIRST QUARTER ENDED MARCH 29, 2026 AND MARCH 30, 2025

(Unaudited — Amounts in millions)


	First Quarter
	2026		2025
Net income (loss) including noncontrolling interest	$	226.8	$	188.8
Other comprehensive income (loss):
Foreign exchange translation adjustment	(63.9)		150.8
Hedge activity, net of tax	(0.8)		1.3
Pension and postretirement benefit adjustments, net of tax	2.5		1.5
Other comprehensive income (loss)	(62.2)		153.6
Comprehensive income (loss) including noncontrolling interest	164.6		342.4
Less: Comprehensive income (loss) attributable to noncontrolling interest	—		0.2
Comprehensive income (loss) attributable to Teledyne	$	164.6	$	342.2

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

TELEDYNE TECHNOLOGIES INCORPORATED

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited — Amounts in millions, except share amounts)


	March 29, 2026		December 28, 2025
Assets
Current Assets
Cash and cash equivalents	$	521.4	$	352.4

Accounts receivable, net	969.2		992.4
Unbilled receivables, net	419.0		374.6
Inventories, net	1,121.6		1,043.3

Prepaid expenses and other current assets	291.8		292.9

Total current assets	3,323.0		3,055.6
Property, plant and equipment, net of accumulated depreciation and amortization of $1,125.5 at March 29, 2026 and $1,107.9 at December 28, 2025	836.8		839.1
Goodwill	8,687.5		8,687.6
Acquired intangibles, net	2,047.6		2,100.1
Prepaid pension assets	290.8		286.2

Other assets, net	307.3		316.7
Total Assets	$	15,493.0	$	15,285.3
Liabilities, Redeemable Noncontrolling Interest and Stockholders’ Equity
Current Liabilities
Accounts payable	$	541.4	$	486.6
Accrued liabilities	900.6		923.4
Current portion of long-term debt	450.1		450.1

Total current liabilities	1,892.1		1,860.1
Long-term debt, net of current portion	2,026.2		2,025.3

Long-term deferred tax liabilities	383.6		369.6
Other long-term liabilities	486.7		516.4
Total Liabilities	4,788.6		4,771.4
Commitments and contingencies (see Note 15)
Redeemable Noncontrolling Interest	—		—
Stockholders’ Equity
Preferred stock, $0.01 par value; outstanding shares—none	—		—
Common stock, $0.01 par value; issued shares: 47,417,939 at March 29, 2026 and 47,424,847 at December 28, 2025; outstanding shares: 46,328,578 at March 29, 2026 and 46,185,578 at December 28, 2025	0.5		0.5
Additional paid-in capital	4,353.6		4,383.2
Retained earnings	7,367.6		7,140.8
Treasury stock, 1,089,361 shares at March 29, 2026 and 1,239,269 at December 28, 2025	(529.7)		(585.2)
Accumulated other comprehensive income (loss)	(487.6)		(425.4)
Total Stockholders’ Equity	10,704.4		10,513.9


Total Liabilities, Redeemable Noncontrolling Interest and Stockholders’ Equity	$	15,493.0	$	15,285.3

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

TELEDYNE TECHNOLOGIES INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(Unaudited — Amounts in millions)


	Common Stock		Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Total
Balance, December 28, 2025	$	0.5	$	4,383.2	$	(585.2)	$	7,140.8	$	(425.4)	$	10,513.9
Net income (loss)	—		—		—		226.8		—		226.8
Other comprehensive income (loss), net of tax	—		—		—		—		(62.2)		(62.2)
Treasury stock issued	—		(58.4)		58.4		—		—		—
Treasury stock repurchased, including excise tax	—		—		(2.9)		—		—		(2.9)
Stock-based compensation and other	—		(0.1)		—		—		—		(0.1)
Exercise of stock options	—		28.9		—		—		—		28.9
Balance, March 29, 2026	$	0.5	$	4,353.6	$	(529.7)	$	7,367.6	$	(487.6)	$	10,704.4


	Common Stock		Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Total
Balance, December 29, 2024	$	0.5	$	4,414.5	$	(292.4)	$	6,266.7	$	(839.9)	$	9,549.4
Net income (loss)	—		—		—		188.6		—		188.6
Other comprehensive income (loss), net of tax	—		—		—		—		153.6		153.6
Treasury stock issued	—		(61.3)		61.3		—		—		—
Stock-based compensation and other	—		4.1		—		—		—		4.1
Exercise of stock options	—		29.5		—		—		—		29.5
Balance, March 30, 2025	$	0.5	$	4,386.8	$	(231.1)	$	6,455.3	$	(686.3)	$	9,925.2

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

TELEDYNE TECHNOLOGIES INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE THREE MONTHS ENDED MARCH 29, 2026 AND MARCH 30, 2025

(Unaudited — Amounts in millions)


	Three Months
	2026		2025
Operating Activities
Net income (loss) including noncontrolling interest	$	226.8	$	188.8
Adjustments to reconcile net income (loss) including noncontrolling interest to net cash provided by (used in) operating activities:
Depreciation and amortization	87.2		80.7
Stock-based compensation	5.6		8.9

Changes in operating assets and liabilities excluding the effect of business acquired:
Accounts receivable and unbilled receivables	(28.5)		(5.6)
Inventories	(86.7)		(33.5)
Accounts payable	60.4		53.1
Deferred taxes and income taxes receivable (payable), net	11.7		19.2
Prepaid expenses and other assets	(13.6)		(3.0)
Accrued expenses and other liabilities	(43.7)		(57.3)
Other operating, net	14.8		(8.7)
Net cash provided by (used in) operating activities	234.0		242.6
Investing Activities
Purchases of property, plant and equipment	(29.7)		(18.0)
Purchases of businesses, net of cash acquired	(53.4)		(757.6)
Other investing, net	—		0.6
Net cash provided by (used in) investing activities	(83.1)		(775.0)
Financing Activities
Net proceeds from (repayments on) credit facility	—		315.0

Proceeds from (payments on) other debt	(0.2)		(0.1)



Proceeds from exercise of stock options	28.9		29.5
Other financing, net	(10.3)		(4.8)
Net cash provided by (used in) financing activities	18.4		339.6
Effects of exchange rate changes on cash	(0.3)		4.5
Change in cash and cash equivalents	169.0		(188.3)
Cash and cash equivalents—beginning of period	352.4		649.8
Cash and cash equivalents—end of period	$	521.4	$	461.5

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

TELEDYNE TECHNOLOGIES INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

March 29, 2026

Note 1. General

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared by Teledyne Technologies Incorporated (“Teledyne” or the “Company”) pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Certain information and disclosures normally included in notes to consolidated financial statements have been condensed or omitted pursuant to such rules and regulations, but resultant disclosures are in accordance with generally accepted accounting principles in the United States (“GAAP”) as they apply to interim reporting. The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the related notes in Teledyne’s Annual Report on Form 10-K for the fiscal year ended December 28, 2025 (“2025 Form 10-K”).

In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) necessary to present fairly, in all material respects, Teledyne’s consolidated financial position as of March 29, 2026, and the consolidated results of operations, consolidated comprehensive income (loss) and consolidated cash flows for the first quarter ended March 29, 2026. The results of operations and cash flows for the first quarter ended March 29, 2026, are not necessarily indicative of the results of operations or cash flows to be expected for any subsequent quarter or the full fiscal year.

Recent Accounting Standards

In November 2024, the FASB issued ASU No. 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses. This standard requires public entities, on an interim and annual basis, to provide disclosure of specified information about costs and expenses in the notes to the financial statements. The new standard is effective for fiscal years beginning after December 15, 2026, and interim periods with fiscal years beginning after December 15, 2027, with early adoption permitted. The Company is evaluating the impact of adopting this guidance on its consolidated financial statements.

Other ASUs issued but not effective until after March 29, 2026, are not expected to have a material effect on the Company’s consolidated financial position, annual results of operations and/or cash flows.

Note 2. Business Acquisitions

2026 Acquisitions

DD-Scientific

In the first quarter of 2026, the Company acquired DD-Scientific Holdings Limited and its subsidiary DD-Scientific Limited (together, “DD-Scientific”) for approximately $53.4 million in cash, net of cash acquired and subject to certain adjustments. DD-Scientific, founded in 2011 and headquartered in Fareham, UK, develops and manufactures high-performance gas sensors for critical applications in industries including industrial safety, healthcare and environmental compliance. DD-Scientific will be included within the Instrumentation segment. Goodwill resulting from the DD-Scientific acquisition will not be deductible for tax purposes.

2025 Acquisitions

TransponderTech

During the fourth quarter of 2025, the Company acquired the TransponderTech business headquartered in Linkoping, Sweden from Saab AB for approximately $58.2 million in cash, net of cash acquired. The TransponderTech business includes a portfolio of connected commercial maritime products, including Automatic Identification System, Very High Frequency Data Exchange System and Global Navigation Satellite System technologies. TransponderTech is part of the Digital Imaging segment. The Company funded the acquisition from cash on hand. Goodwill resulting from the TransponderTech acquisition will not be deductible for tax purposes.

NL Acoustics

During the third quarter of 2025, the Company acquired the redeemable noncontrolling interest of NL Acoustics for $27.2 million in cash, with the acquisition of the noncontrolling interest treated as an equity transaction during the period.

Maretron

During the third quarter of 2025, the Company acquired the assets of Maretron, including the brand’s Octoplex, MPower and MConnect product lines from Littelfuse, Inc. The Maretron assets are part of the Digital Imaging segment, and the acquisition is not material for further disclosure.

Micropac

During the first quarter of 2025, the Company acquired Micropac Industries, Inc. (“Micropac”) for approximately $51.2 million in cash, net of cash acquired. Micropac, founded in 1963 and headquartered in Garland, Texas, designs and manufactures microelectronic circuits, optoelectronic components and sensor and display assemblies primarily for military, aerospace and medical applications. Micropac is part of the Aerospace and Defense Electronics segment. The Company funded the acquisition from cash on hand. Goodwill resulting from the Micropac acquisition will not be deductible for tax purposes.

Optical Systems and Advanced Electronics Systems (“Qioptiq”) businesses

During the first quarter of 2025, the Company acquired select aerospace and defense electronics businesses of Excelitas Technologies Corp. (“Excelitas”) for approximately $702.8 million in cash, net of cash acquired, and subject to certain adjustments. The acquisition includes the Optical Systems (“OS”) business which is based in Northern Wales, UK, as well as the U.S.-based Advanced Electronics Systems (“AES”) business (collectively, “OS and AES businesses”, or “Qioptiq”). Qioptiq is part of the Aerospace and Defense Electronics segment. The Company funded the acquisition from available borrowings on the credit facility as well as from cash on hand. Goodwill resulting from the acquisition of the UK operations will not be deductible for tax purposes, but goodwill resulting from the acquisition of the U.S. operations will be deductible for tax purposes.

The following tables show the purchase price (net of cash acquired), goodwill acquired, and acquired intangible assets for the acquisitions made in 2026 and 2025 (in millions):


	2026
Acquisitions	Acquisition Date	Consideration Transferred (a)		Goodwill Acquired		Acquired Intangible Assets
DD-Scientific	January 14, 2026	$	53.4	$	35.5	$	11.0
Total		$	53.4	$	35.5	$	11.0

(a) Net of cash acquired


	2025
Acquisitions	Acquisition Date	Consideration Transferred (a)		Goodwill Acquired		Acquired Intangible Assets
TransponderTech	October 31, 2025	$	58.2	$	40.1	$	14.8
Qioptiq	February 3, 2025	702.8		428.7		208.2
Micropac	December 30, 2024	51.2		5.0		8.1
Total		$	812.2	$	473.8	$	231.1

(a) Net of cash acquired

The Company’s cost to acquire these acquisitions was allocated to the assets acquired and liabilities assumed based upon their respective fair values as of the date of the completion of the acquisition. The differences between the fair value of the consideration paid and the estimated fair value of the assets and liabilities acquired was recorded as goodwill. The fair value of the acquired identifiable assets and liabilities for TransponderTech and DD-Scientific are provisional pending finalization of the Company’s acquisition accounting, including the measurement of tax basis in certain jurisdictions and the resulting deferred taxes that might arise from book and tax basis differences, if any. Pro forma results of operations, the revenue and net income subsequent to the acquisition date, and a more detailed breakout of the major classes of assets and liabilities acquired for these acquisitions have not been presented because the effects of these acquisitions both individually and in the aggregate were not material to the Company’s financial results. The significant factors that resulted in recognition of goodwill for the 2026 and 2025 acquisitions included the acquired businesses’ market positions, growth opportunities in the markets in which they operate, experienced work force and established operating infrastructures. The results of these acquisitions have been included in Teledyne’s results since the dates of their respective acquisition.

Note 3. Business Segments

Teledyne is a leading provider of sophisticated digital imaging products and software, instrumentation, aerospace and defense electronics, and engineered systems. The Company’s customers include government agencies, aerospace prime contractors, energy exploration and production companies, major industrial companies, and airlines. The Company has four reportable segments: Digital Imaging, Instrumentation, Aerospace and Defense Electronics, and Engineered Systems.

Segment results include net sales and operating income by segment but exclude corporate expenses. Corporate expense primarily includes administrative expenses relating to the corporate office not allocated to the segments.

In the first quarter of 2026, the Company completed one acquisition, and the financial results of this acquisition have been included since the date of the acquisition and is part of the Instrumentation segment. In 2025, the Company completed four acquisitions, and the financial results of these acquisitions have been included since the date of the acquisition and are part of the Digital Imaging and Aerospace and Defense Electronics segments. See Note 2 to these condensed consolidated financial statements for information regarding these 2026 and 2025 acquisitions.

Information for the Company’s business segments was as follows (in millions):


	First Quarter Ended March 29, 2026
	Digital Imaging		Instrumentation		Aerospace and Defense Electronics		Engineered Systems		Total
Net sales (a)	$	816.9	$	361.4	$	277.5	$	104.3	$	1,560.1
Costs and expenses
Cost of sales	447.6		190.2		162.7		85.8		886.3
Selling, general and administrative	127.2		54.2		30.4		6.6		218.4
Research and development	52.4		25.1		6.9		0.2		84.6
Acquired intangible asset amortization	48.0		3.5		6.1		—		57.6

Segment Operating income (loss)	$	141.7	$	88.4	$	71.4	$	11.7	$	313.2
Reconciliation to Income (loss) before income taxes
Corporate expense									(19.0)
Interest and debt expense, net									(12.3)
Non-service retirement benefit income									2.7

Other income (expense), net									(5.9)
Income (loss) before income taxes									$	278.7

(a) Net sales exclude inter-segment sales of $5.3 million for the first quarter of 2026.


	First Quarter Ended March 30, 2025
	Digital Imaging		Instrumentation		Aerospace and Defense Electronics		Engineered Systems		Total
Net sales (a)	$	757.0	$	343.3	$	242.5	$	107.1	$	1,449.9
Costs and expenses
Cost of sales	422.5		173.5		144.2		90.2		830.4
Selling, general and administrative	122.7		49.7		33.2		6.1		211.7
Research and development	44.1		24.2		6.0		—		74.3
Acquired intangible asset amortization	45.4		3.2		3.4		—		52.0

Segment Operating income (loss)	$	122.3	$	92.7	$	55.7	$	10.8	$	281.5
Reconciliation to Income (loss) before income taxes
Corporate expense									(22.2)
Interest and debt expense, net									(17.3)
Non-service retirement benefit income									2.8

Other income (expense), net									(5.9)
Income (loss) before income taxes									$	238.9

(a) Net sales exclude inter-segment sales of $3.8 million for the first quarter of 2025.

Product Lines

The Instrumentation segment includes three product lines: Marine Instrumentation, Environmental Instrumentation and Test and Measurement Instrumentation. All other segments each contain one product line.

The table below provides a summary of the net sales by product line for the Instrumentation segment (in millions):


	First Quarter
Instrumentation	2026		2025
Marine Instrumentation	$	175.3	$	161.8
Environmental Instrumentation	116.2		108.9
Test and Measurement Instrumentation	69.9		72.6
Total	$	361.4	$	343.3

Identifiable assets are those assets used in the operations of the segments. Corporate assets primarily consist of cash and cash equivalents, deferred taxes, pension assets and other assets.

Identifiable assets for the Company’s business segments was as follows (in millions):


Identifiable assets:	March 29, 2026		December 28, 2025
Digital Imaging	$	11,325.2	$	11,303.3
Instrumentation	1,870.9		1,794.3
Aerospace and Defense Electronics	1,509.3		1,498.2
Engineered Systems	205.3		184.1
Total segment identifiable assets	14,910.7		14,779.9
Corporate	582.3		505.4
Total Teledyne identifiable assets	$	15,493.0	$	15,285.3

Note 4. Revenue Recognition and Contract Balances

Approximately 60% of the Company’s revenue was recognized at a point in time, with the remaining 40% of revenue recognized over time. The Company disaggregates its revenue from contracts with customers by customer type and geographic region for each segment, as management believes it best depicts how the nature, amount, timing and uncertainty of its revenue and cash flows are affected by economic factors.


	First Quarter Ended March 29, 2026						First Quarter Ended March 29, 2026
	Customer Type						Geographic Region (c)
(in millions)	U.S. Govt. (a)		Other (b)		Total		United States		Europe		Asia		All Other		Total
Net sales:
Digital Imaging	$	185.4	$	631.5	$	816.9	$	402.7	$	224.1	$	125.6	$	64.5	$	816.9
Instrumentation	30.8		330.6		361.4		143.3		113.8		60.1		44.2		361.4
Aerospace and Defense Electronics	100.7		176.8		277.5		169.3		72.2		24.1		11.9		277.5
Engineered Systems	88.2		16.1		104.3		103.2		—		0.1		1.0		104.3
Total	$	405.1	$	1,155.0	$	1,560.1	$	818.5	$	410.1	$	209.9	$	121.6	$	1,560.1

(a) U.S. Government sales include sales as a prime contractor or subcontractor.

(b) Primarily commercial sales


	First Quarter Ended March 30, 2025						First Quarter Ended March 30, 2025
	Customer Type						Geographic Region (c)
(in millions)	U.S. Govt. (a)		Other (b)		Total		United States		Europe		Asia		All Other		Total
Net sales:
Digital Imaging	$	161.7	$	595.3	$	757.0	$	355.9	$	188.2	$	139.7	$	73.2	$	757.0
Instrumentation	27.3		316.0		343.3		148.0		102.5		58.8		34.0		343.3
Aerospace and Defense Electronics	90.2		152.3		242.5		159.1		50.9		23.0		9.5		242.5
Engineered Systems	92.6		14.5		107.1		106.3		—		0.3		0.5		107.1
Total	$	371.8	$	1,078.1	$	1,449.9	$	769.3	$	341.6	$	221.8	$	117.2	$	1,449.9

(a) U.S. Government sales include sales as a prime contractor or subcontractor.

(b) Primarily commercial sales

With the exception of the Engineered Systems segment, net sales in each segment are primarily derived from fixed-price contracts. Net sales in the Engineered Systems segment are typically between 45% and 55% fixed-price contracts in a given reporting period, with the balance of net sales derived from cost-reimbursable type contracts. For the first quarter ended March 29, 2026, approximately 46% of net sales in the Engineered Systems segment was derived from fixed-price contracts.

Contract Liabilities


	Balance at
Contract Liabilities by Balance Sheet Location (in millions)	March 29, 2026		December 28, 2025
Accrued liabilities	$	404.4	$	369.6
Other long-term liabilities	32.6		33.6



Total contract liabilities	$	437.0	$	403.2

The Company recognized revenue of $95.2 million during the first quarter ended March 29, 2026, from contract liabilities that existed at the beginning of the year.

Remaining Performance Obligations

Remaining performance obligations represent the transaction price of firm orders for which work has not been performed as of the period end date and exclude unexercised contract options and potential orders under ordering-type contracts (e.g., indefinite-delivery, indefinite-quantity). As of March 29, 2026, the aggregate amount of the transaction price allocated to remaining performance obligations was $4,867.4 million. The Company expects approximately 71% of remaining performance obligations to be recognized into revenue within the next 12 months, with the remaining 29% recognized thereafter.

Changes in Contract Estimates at Completion

For over time contracts using the cost-to-cost method, the Company has an Estimate at Completion (“EAC”) process in which management reviews the progress and execution of the performance obligations. This EAC process requires management’s judgment relative to assessing risks, estimating contract revenue, determining reasonably dependable cost estimates and making assumptions for scheduling and technical issues. The majority of revenue recognized over time uses an EAC process. Since certain contracts extend over a long period of time, the impact of revisions in cost and revenue estimates during the progress of work may adjust the current period earnings through a cumulative catch-up basis. This method recognizes, in the current period, the cumulative effect of the changes on current and prior quarters. Additionally, if the current contract estimate indicates a loss, a provision is made for the total anticipated loss in the period that it becomes evident. Contract cost and revenue estimates for significant contracts are generally reviewed and reassessed quarterly.

The net aggregate effects of these changes in estimates on contracts accounted for under the cost-to-cost method in the first quarter of 2026 was $8.6 million of favorable operating income compared with $2.3 million of favorable operating income in the first quarter of 2025, with the first quarter of 2026 primarily related to favorable changes within the Digital Imaging segment. None of the effects of changes in estimates on any individual contract were material to the condensed consolidated statements of income (loss) for any period presented.

Note 5. Goodwill and Acquired Intangible Assets

Goodwill

The carrying value of goodwill by segment was as follows (in millions):


	Digital Imaging		Instrumentation		Aerospace and Defense Electronics		Engineered Systems		Total
Balance at December 28, 2025	$	7,065.8	$	986.9	$	617.3	$	17.6	$	8,687.6
Current year acquisitions	—		35.5		—		—		35.5
Foreign currency changes and other	(26.6)		(7.4)		(1.6)		—		(35.6)
Balance at March 29, 2026	$	7,039.2	$	1,015.0	$	615.7	$	17.6	$	8,687.5

Acquired intangible assets

Acquired intangible assets consisted of the following (in millions):


	March 29, 2026						December 28, 2025
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Proprietary technology	$	1,822.5	$	1,045.4	$	777.1	$	1,838.1	$	1,014.5	$	823.6
Customer list/relationships/backlog	787.8		336.1		451.7		788.8		326.9		461.9
Patents	0.6		0.6		—		0.6		0.6		—
Non-compete agreements	0.9		0.9		—		0.9		0.9		—
Definite-lived trademarks	42.9		15.8		27.1		34.8		13.6		21.2

Total acquired intangible assets subject to amortization	2,654.7		1,398.8		1,255.9		2,663.2		1,356.5		1,306.7
Acquired intangible assets not subject to amortization:
Indefinite-lived trademarks	791.7		—		791.7		793.4		—		793.4
Total acquired intangible assets	$	3,446.4	$	1,398.8	$	2,047.6	$	3,456.6	$	1,356.5	$	2,100.1

An evaluation of the carrying value of goodwill and indefinite-lived intangibles is required to be performed on an annual basis and on an interim basis if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value.

Based on the results of the Company’s annual assessment in the fourth quarter of 2025, all reporting units with the exception of the FLIR reporting unit in the Digital Imaging segment had estimated fair values that significantly exceeded their respective carrying value. For all reporting units, including the FLIR reporting unit, there have been no events or changes in circumstances which indicate that it is more likely than not that the fair value of the reporting unit is below its carrying value. As such, no interim impairment review was required. The Company will perform its annual analysis during the fourth quarter of 2026.

Based on the results of the Company’s annual assessment in the fourth quarter of 2025, the estimated fair value of all material indefinite-lived trademarks, with the exception of the FLIR indefinite-lived trademark, significantly exceeded their respective carrying value. For all indefinite-lived trademarks, including the FLIR trademark, there have been no events or changes in circumstances which indicate that it is more likely than not that the fair value of the trademark is below its carrying value. As such, no interim impairment review was required. The Company will perform its annual analysis during the fourth quarter of 2026.

Note 6. Supplemental Balance Sheet Information

Cash Equivalents

The Company had $298.9 million and $136.0 million of cash equivalents at March 29, 2026, and December 28, 2025, respectively. Cash equivalents consist of highly liquid money-market mutual funds with maturities of three months or less when purchased.

Accounts Receivable, Net

Accounts receivable is presented net of an allowance for estimated credit losses of $11.1 million at March 29, 2026 and $11.0 million at December 28, 2025.

Inventories, Net

Inventories are stated at the lower of cost or net realizable value and primarily valued on an average cost or first-in, first-out method. Inventory adjustments are recorded when inventory is considered to be excess or obsolete based upon an analysis of actual on-hand quantities on a part-level basis to forecasted product demand and historical usage. Inventory balances are summarized as follows (in millions):


	Balance at
	March 29, 2026		December 28, 2025
Raw materials and supplies	$	711.4	$	648.9
Work in process	234.5		210.0
Finished goods	175.7		184.4
Total inventories, net	$	1,121.6	$	1,043.3

Product Warranty Costs

Some of the Company’s products are subject to specified warranties, and the Company reserves for the estimated cost of product warranties on a product-specific basis. Facts and circumstances related to a product warranty matter and cost estimates to return, repair and/or replace the product are considered when establishing a product warranty reserve. The adequacy of the preexisting warranty reserve is assessed regularly, and the reserve is adjusted as necessary based on a review of historical warranty experience with respect to the applicable business or products, as well as the length and actual terms of the warranties, which are typically one year. The product warranty reserve is included in current accrued liabilities and other long-term liabilities on the condensed consolidated balance sheets.


	Three Months
Warranty Reserve (in millions):	2026		2025
Balance at beginning of year	$	56.9	$	50.2
Product warranty expense	6.7		7.4
Deductions	(7.5)		(3.8)
Acquisition	0.1		0.4
Balance at end of period	$	56.2	$	54.2

Note 7. Long-Term Debt


	Balance at
Long-Term Debt (in millions):	March 29, 2026		December 28, 2025
$1.2 billion credit facility due June 2029	$	—	$	—
1.60% Fixed Rate Senior Notes due April 2026	450.0		450.0
2.25% Fixed Rate Senior Notes due April 2028	700.0		700.0
2.50% Fixed Rate Senior Notes due August 2030	427.3		427.3
2.75% Fixed Rate Senior Notes due April 2031	910.8		910.7
Other debt	0.9		1.0
Debt discount and debt issuance costs	(12.7)		(13.6)
Total debt, net	2,476.3		2,475.4
Less: Current portion of long-term debt	(450.1)		(450.1)
Total long-term debt, net of current portion	$	2,026.2	$	2,025.3

At March 29, 2026, $1,165.8 million was available under the $1.2 billion credit facility after reductions of $34.2 million in outstanding letters of credit. The Company’s bank credit agreements require the Company to comply with various financial and operating covenants, and at March 29, 2026, the Company was in compliance with these covenants. At March 29, 2026, Teledyne has $56.7 million in outstanding letters of credit, including $34.2 million against our credit facility.

Subsequent to the end of the quarter, the Company repaid $450.0 million of its Fixed Rate Senior Notes due April 2026 primarily from cash on hand.

Note 8. Income Taxes

The income tax provision is calculated using an estimated annual effective tax rate based upon estimates of annual income, permanent items, statutory tax rates and planned tax strategies in the various jurisdictions in which the Company operates, except that certain loss jurisdictions and discrete items such as the resolution of uncertain tax positions and stock-based accounting income tax benefits are treated separately.


	First Quarter
(dollars in millions)	2026		2025
Provision (benefit) for income taxes (a)	$	51.9	$	50.1
Income (loss) before income taxes	$	278.7	$	238.9
Effective tax rate	18.6%		21.0%

(a) The first quarter of 2026 and 2025 includes net discrete income tax benefits of $8.0 million and $3.7 million, respectively.

Note 9. Pension Plans


	First Quarter
(in millions)	2026		2025
Service cost—benefits earned during the period	$	1.2	$	1.5

Pension non-service cost (income)
Interest cost on benefit obligation	$	7.3	$	7.9
Expected return on plan assets	(13.2)		(13.4)
Amortization of net prior service cost (income)	0.1		0.1
Amortization of net actuarial loss (gain)	3.2		2.8

Pension non-service cost (income)	$	(2.6)	$	(2.6)

Note 10. Stock-Based Compensation

Teledyne has long-term incentive plans pursuant to which it has granted non-qualified stock options, restricted stock awards and restricted stock units. The Company also has non-employee director stock compensation plans pursuant to which common stock, stock options and restricted stock units have been issued to its directors. The Company issues shares of common stock upon the exercise of stock options. The Company uses the Black–Scholes option pricing model to determine the fair value of stock options.

Stock-based compensation expense was $5.6 million and $8.9 million for the first quarter of 2026 and 2025, respectively.

Stock option activity for the first quarter of 2026 is as follows:


	First Quarter
	Shares	Weighted Average Exercise Price
Beginning balance	946,782	$	306.37

Exercised	(136,243)	$	212.41
Canceled	(4,432)	$	237.90
Ending balance	806,107	$	322.63
Exercisable at end of period	730,304	$	308.11

On April 22, 2026 the Company granted approximately 47,000 stock options at an exercise price of $659.69 per share and a grant date fair value of $253.85 per share.

Restricted stock activity for the first quarter of 2026 is as follows:


	First Quarter
	Shares	Weighted Average Fair Value per Share
Beginning balance	173,727	$	434.60
Granted	22,940	$	511.31
Vested	(30,724)	$	420.84
Forfeited/canceled	(7,605)	$	416.77
Ending balance	158,338	$	449.24

On April 22, 2026, the Company granted approximately 52,000 time-based restricted stock units with a grant date fair value of $659.69 per share.

Note 11. Earnings Per Share

The weighted average number of common shares used in the calculation of basic and diluted earnings per share consisted of the following (in millions):


	First Quarter
	2026	2025

Weighted average basic common shares outstanding	46.3	46.8
Effect of dilutive securities (primarily stock options)	0.5	0.5
Weighted average diluted common shares outstanding	46.8	47.3

For the first quarter of 2026 and 2025, the Company did not have any stock options that would have been anti-dilutive.

Stock Repurchases

In July 2025, the Company’s Board of Directors approved a stock repurchase program authorizing the Company to repurchase up to $2.0 billion of Teledyne’s common stock. As of March 29, 2026, $1.6 billion remained available under the repurchase authorization. The authorized stock repurchase program does not have a stated expiration date. Shares may be repurchased from time to time in open-market transactions at prevailing market prices, in privately negotiated transactions or via an accelerated stock repurchase program. Shares could be repurchased in a plan pursuant to Rule 10b5-1 of the Securities Exchange Act of 1934. The repurchase program is expected to remain open continuously, and the number of shares purchased will depend on a variety of factors such as share price, levels of cash available, acquisitions and alternative investment opportunities available immediately or longer-term, and other regulatory, market or economic conditions. The Company currently intends to fund future share repurchases, if any, with cash on hand and available borrowings under the Company’s credit facility. No repurchases under any authorizations were made in the first quarter of 2026.

Note 12. Accumulated Other Comprehensive Income (Loss)

The changes in accumulated other comprehensive income (loss) (“AOCI”) by component, net of tax, as applicable, for the first quarter ended March 29, 2026, and March 30, 2025, are as follows (in millions):


	Foreign Currency Translation		Cash Flow Hedges		Pension and Postretirement Benefits		Total
Balance at December 28, 2025	$	(225.5)	$	0.5	$	(200.4)	$	(425.4)
Other comprehensive income (loss) before reclassifications	(63.9)		(0.4)		—		(64.3)
Amounts reclassified from AOCI	—		(0.4)		2.5		2.1
Net other comprehensive income (loss)	(63.9)		(0.8)		2.5		(62.2)
Balance at March 29, 2026	$	(289.4)	$	(0.3)	$	(197.9)	$	(487.6)

	Foreign Currency Translation		Cash Flow Hedges		Pension and Postretirement Benefits		Total
Balance at December 29, 2024	$	(602.3)	$	(2.2)	$	(235.4)	$	(839.9)
Other comprehensive income (loss) before reclassifications	150.8		0.6		—		151.4
Amounts reclassified from AOCI	—		0.7		1.5		2.2
Net other comprehensive income (loss)	150.8		1.3		1.5		153.6
Balance at March 30, 2025	$	(451.5)	$	(0.9)	$	(233.9)	$	(686.3)

The reclassifications out of AOCI to net income for the first quarter ended March 29, 2026, and March 30, 2025, are as follows (in millions):


	Amount Reclassified From AOCI for the Quarter Ended March 29, 2026		Amount Reclassified From AOCI for the Quarter Ended March 30, 2025		Statement of Income (Loss) Presentation
(Gain) loss on cash flow hedges:
(Gain) loss recognized in income on derivatives	$	(0.5)	$	0.9	See Note 13
Income tax impact	0.1		(0.2)		Provision for income taxes
Total	$	(0.4)	$	0.7

Amortization of defined benefit pension and postretirement plan items:
Amortization of net prior service cost (income)	$	0.1	$	0.1	Costs and expenses
Amortization of net actuarial loss	3.2		1.8		Costs and expenses
Total before tax	3.3		1.9
Income tax impact	(0.8)		(0.4)		Provision for income taxes
Total	$	2.5	$	1.5

Note 13. Derivative Instruments and Hedging Activities

The Company’s primary exposure to market risk relates to changes in foreign currency exchange rates and interest rates. The Company’s primary foreign currency risk management objective is to protect the U.S. dollar value of future cash flows and minimize the volatility of reported earnings. During 2025, the Company entered into certain derivative contracts to reduce the volatility from translation of the Company’s euro denominated net investments. The Company does not use foreign currency forward contracts for speculative or trading purposes.

The Company mitigates exposure to foreign currency exchange rates and interest rates primarily through the following:

Designated Hedging Activities

The Company utilizes foreign currency forward contracts to reduce the volatility of cash flows primarily related to forecasted revenue and expenses denominated in Canadian dollars for the Canadian companies, and in British pounds for the UK companies. As of March 29, 2026, foreign currency forward contracts in Canadian dollars designated as cash flow hedges have maturities ranging from June 2026 to February 2027. As of March 29, 2026, foreign currency forward contracts in British pounds designated as cash flow hedges have maturities ranging from June 2026 to February 2027.

The Company utilizes cross-currency swaps to hedge portions of the Company’s euro denominated net investments against the effect of exchange rate fluctuations on the translation of foreign currency balances to the U.S. dollar. The Company has cross-currency swaps designated as net investment hedges with a total notional amount of €450.0 million to hedge portions of the Company’s euro denominated net investments against the effect of exchange rate fluctuations on the translation of foreign currency balances to the U.S. dollar. These cross-currency swaps mature between September 2026 and September 2030.

Non-Designated Hedging Activities

The Company utilizes foreign currency forward contracts to mitigate foreign exchange rate risk associated with foreign currency denominated monetary assets and liabilities, including intercompany receivables and payables. These foreign currency forward contracts are not designated as accounting hedges. The gain or loss resulting from a change in fair value of a derivative instrument that is not designated an accounting hedge is recognized immediately in earnings and intended to, at a minimum, partially offset the transaction gains and losses recognized in earnings.

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Derivative Instruments

The following is a summary of the gain (loss) included in the condensed consolidated statements of income (loss) and comprehensive income (loss) related to the derivative instruments described above (in millions):


	First Quarter
	2026		2025
Net gain (loss) recognized in AOCI—Foreign Exchange Contracts (a)	$	(0.4)	$	0.8
Net gain (loss) recognized in AOCI—Cross-Currency Swap Contracts (a)	$	12.1	$	(5.5)
Net gain (loss) reclassified from AOCI into revenue/cost of sales—Foreign Exchange Contracts (a)	$	0.5	$	(0.9)


Net gain (loss) recognized in other income and expense, net—Foreign Exchange Contracts	$	(14.0)	$	11.4

(a) Effective portion, pre-tax

Net deferred losses recorded in AOCI for the forward contracts that will mature in the next 12 months total $0.3 million, net of taxes. These losses are expected to be offset by anticipated gains in the value of the forecasted underlying hedged item.

The following is a summary of notional amounts and fair values of the Company’s derivatives recorded in the condensed consolidated balance sheets presented by instrument type and use (in millions):


	Notional Amount				Fair Value Asset				Fair Value Liability
	March 29, 2026		December 28, 2025		March 29, 2026		December 28, 2025		March 29, 2026		December 28, 2025
Derivatives designated as hedging instruments:
Foreign currency forward contracts	$	106.4	$	52.2	$	0.1	$	0.5	$	(0.5)	$	—
Cross-currency swap agreements	518.7		530.0		6.7		6.0		(27.0)		(40.4)
Total derivatives designated as hedging instruments	$	625.1	$	582.2	$	6.8	$	6.5	$	(27.5)	$	(40.4)
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	$	641.9	$	815.6	$	1.4	$	15.5	$	(16.4)	$	(1.4)
Total derivatives	$	1,267.0	$	1,397.8	$	8.2	$	22.0	$	(43.9)	$	(41.8)

All derivative assets are presented in Other current assets or Other non-current assets. All derivative liabilities are presented in Accrued liabilities or Other non-current liabilities.

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Note 14. Fair Value Measurement

The Company’s financial assets and liabilities carried at fair value are primarily comprised of derivative contracts used to hedge the Company’s foreign currency risk. The Company has not elected to measure any additional financial instruments or other items at fair value.

Financial Instruments Recorded at Fair Value

The fair values of the Company’s derivative financial instruments are presented below. All fair values for these derivatives were measured using Level 2 hierarchy information as defined by the accounting policies (in millions):


	Balance at
	March 29, 2026		December 28, 2025
Assets:
Foreign currency forward contracts	$	1.5	$	16.0
Cross-currency swaps	6.7		6.0
Total assets recorded at fair value	$	8.2	$	22.0
Liabilities:
Foreign currency forward contracts	$	(16.9)	$	(1.4)
Cross-currency swaps	(27.0)		(40.4)
Total liabilities recorded at fair value	$	(43.9)	$	(41.8)
Net derivatives at fair value	$	(35.7)	$	(19.8)

Gross derivative assets and liabilities are subject to legally enforceable master netting agreements, for which the Company has not elected to present net amounts on the condensed consolidated balance sheets. The effect of such right of setoff on the Company’s financial position was $0.5 million and $0.4 million as of March 29, 2026, and December 28, 2025, respectively.

Financial Instruments Not Recorded at Fair Value

The carrying amounts of cash and cash equivalents, accounts receivable and accounts payable approximate their fair values due to the short-term maturities of these assets and liabilities.

Teledyne estimates the fair value of its long-term debt based on debt of similar type, rating and maturity and at comparable interest rates. The Company’s long-term debt is considered a Level 2 and is valued based on observable market data. As of March 29, 2026, and December 28, 2025, the aggregate fair values of the Company’s borrowings were $2,338.8 million and $2,359.5 million, respectively, and the carrying value was $2,489.0 million as of March 29, 2026 and December 28, 2025.

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Note 15. Commitments and Contingencies

Trade Compliance Matters

The Company has made voluntary disclosures for certain potential violations of trade compliance laws to applicable U.S. Government authorities, including the U.S. Department of State and the U.S. Department of Commerce. The Company has also made voluntary disclosures to authorities in jurisdictions outside the United States for certain potential violations of local export and import laws. The Company accrues amounts associated with potential violations to the extent a loss, penalty or other government action becomes probable and can be reasonably estimated. An unfavorable outcome could result in substantial fines and penalties or loss or suspension of export privileges or of particular authorizations that could be material to the Company’s financial position, results of operations or cash flows in and following the period in which such outcome becomes estimable or known.

In February 2026, Teledyne FLIR LLC, together with certain of its legacy affiliates, reached a settlement agreement with the U.S. Department of Commerce’s Bureau of Industry and Security (BIS), concerning alleged export control compliance issues and subsequently paid a civil penalty of $1.0 million. These matters largely relate to historical conduct at FLIR Systems, Inc., which was acquired by Teledyne in May 2021. There were 19 proposed charges of alleged export violations, including inaccurate application of the BIS “de minimis” rule to foreign-produced products exported from abroad, failure of an affiliate in China to maintain the required records, and several export shipments to an address in Hong Kong on the BIS Entity List that were not identified by the screening software used by the company. The settlement amount reflects that these matters were voluntarily disclosed and that Teledyne cooperated fully with the government’s review and worked to enhance Teledyne FLIR’s export compliance program since the acquisition.

Environmental Remediation Obligations

At March 29, 2026, the Company’s reserves for environmental remediation obligations totaled $5.9 million, of which $3.0 million is included in current accrued liabilities. At December 28, 2025, the Company’s reserves for environmental remediation obligations totaled $6.0 million. The Company evaluates whether it may be able to recover a portion of future costs for environmental liabilities from its insurance carriers and from third parties. The timing of expenditures depends on a number of factors that vary by site, including the nature and extent of contamination, the number of potentially responsible parties, the timing of regulatory approvals, the complexity of the investigation and remediation, and the standards for remediation. The Company expects that it will pay the amounts recorded over many years and will complete remediation of all sites with which it has been identified in up to 30 years.

Other Claims and Legal Matters

In December 2025, Teledyne RISI, Inc. d/b/a Teledyne Electronic Safety Products (“TESP”) reached a final settlement agreement with the U.S. Department of Justice, on behalf of the Department of the Air Force and the Department of the Navy, regarding a civil false claims investigation relating to certain electronic modules manufactured between November 2011 and June 2012 for an ejection seat sequencer program. By entering a negotiated settlement, which included the payment by TESP of $1.5 million, TESP admitted no wrongdoing and sought to avoid the costs and expense of potential protracted litigation.

Various claims (whether based on U.S. Government or Company audits and investigations or otherwise) may be asserted against the Company related to its U.S. Government contract work, including claims based on business practices and cost classifications and actions under the False Claims Act. Although such claims are generally resolved by detailed fact-finding and negotiation, on those occasions when they are not so resolved, civil or criminal legal or administrative proceedings may ensue. Depending on the circumstances and the outcome, such proceedings could result in fines, penalties, compensatory and treble damages or the cancellation or suspension of payments under one or more U.S. Government contracts. Under government regulations, a company, or one or more of its operating divisions or units, can also be suspended or debarred from government contracts based on the results of investigations. However, although the outcome of these matters cannot be predicted with certainty, management does not believe there is any audit, review or investigation currently pending against the Company of which management has knowledge that is likely to result in suspension or debarment of the Company, or that is otherwise likely to have a material adverse effect on the Company’s financial condition or liquidity, although the resolution in any reporting period of one or more of these matters could have a material adverse effect on the Company’s results of operations for that period.

A number of other lawsuits, claims and proceedings have been or may be asserted against the Company, including those pertaining to product liability, acquisitions, patent infringement, commercial contracts, employment and employee benefits. While the outcome of litigation cannot be predicted with certainty, and some of these lawsuits, claims or proceedings may be determined adversely to the Company, management does not believe that the disposition of any such pending matters is likely to have a material adverse effect on the Company’s financial condition.

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