ROP Earnings Prediction
The chart below shows how ROP performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ROP sees a -0.74% change in stock price 10 days leading up to the earnings, and a +1.20% change 10 days following the report. On the earnings day itself, the stock moves by -0.19%. This data can give you a slight idea of what to expect for the next quarter's release.
ROP Key Earning Data
ROP Earnings Analysis
Positive
Record Revenue Milestone: Revenue grew 14% in 2024, reaching over $7 billion, marking a new milestone for Roper Technologies.
Record Free Cash Flow Growth: Free cash flow increased by 16% to over $2 billion for the first time in history, with free cash flow margins at 32%.
Enterprise Software Growth: Enterprise software bookings accelerated to double-digit growth, contributing to a recurring revenue base of $460 million expected to grow in the high single digits in 2025.
Application Software Revenue Growth: The Application Software segment achieved 24% revenue growth, with organic recurring revenue growing by 8% in the quarter, driven by strong SaaS growth.
Acquisition Potential: Roper Technologies has over $5 billion in acquisition firepower, positioning the company well for attractive M&A opportunities in a favorable market.
Negative
EBITDA Margin Decline: Core EBITDA margin decreased by 30 basis points compared to the prior year, indicating a decline in profitability despite revenue growth.
Network Software Revenue Challenges: Organic revenue growth in the Network Software segment was only 3%, reflecting challenges in the freight matching business and overall market conditions.
Restructuring Impact on Profitability: The restructuring actions taken in some software businesses resulted in a $9 million charge, which could impact future profitability and operational efficiency.
TEP Segment Backlog Decline: The TEP segment's backlog was down approximately 30% year-over-year, suggesting potential future revenue challenges as demand may not be keeping pace with previous levels.
M&A Market Challenges: Despite a strong overall performance, the company faced a quieter M&A market in 2024 than initially expected, limiting growth opportunities through acquisitions.
ROP FAQs
How does ROP typically perform around its earnings report dates?
ROP's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a -0.74% change leading up to the report and a +1.20% change in the 10 days following the release.
Is Roper Technologies Inc (ROP) Q4 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
ROP Earning Call Sentiment
Earnings call transcript: Roper Technologies beats Q4 2024 expectations
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