Roper Technologies Stock Gains On Q4 Beat, Solid Outlook

Roper Technologies Inc ROP reported fourth-quarter revenue growth of 13% year-over-year to $1.51 billion, beating the consensus of $1.50 billion.
Sales by segments: Application Software $609 million (+11% Y/Y), Network Software & Systems $355.1 million (+14.7% Y/Y), Measurement & Analytical Solutions $412.8 million (+14.6% Y/Y) and Process Technologies $135.4 million (+15.6% Y/Y).
Segment operating profit margin expanded by 150 bps to 30.9%
Adjusted EPS improved by 14% Y/Y to $3.73, beating the consensus of $3.67.
The gross margin contracted by 14 bps to 67.3%. Income from operations decreased by 6.5% Y/Y to $320.6 million, and the margin contracted by 450 bps to 21.2%.
Adjusted EBITDA was $576 million, an increase of 12% Y/Y, and margin contracted by 10 bps to 38.1%
Roper Technologies' cash provided by operating activities for FY21 totaled $2.01 billion, compared to $1.52 billion a year ago. It ended the quarter with cash and cash equivalents of $351.5 million.
"Roper is entering 2022 with considerable tailwinds. Specifically, we head into this year with software recurring revenue momentum, strong demand, record levels of backlog, and favorable market conditions," commented CEO Neil Hunn.
Outlook: Roper expects Q1 Adjusted EPS of $3.63 - $3.67 versus the consensus of $$3.65.
Roper expects FY22 adjusted EPS of $15.25 - $15.55 versus the consensus of $15.25.
Price Action: ROP shares traded higher by 2.37% at $452.46 on the last check Wednesday.

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