Veralto Corp (VLTO) News & EventsVLTONews & EventsVeralto Corp

Veralto to Acquire Cleanwater for $465M

Veralto announced it has entered into a definitive agreement to acquire Cleanwater for $465M, subject to customary closing adjustments. After considering estimated tax benefits, the net purchase price is approximately $452M. The transaction is expected to be completed in the Q4, subject to customary closing conditions. Cleanwater is a leading provider of on-site hypochlorite disinfection, solids management and odor filtration technologies with an installed base of approximately 25,000 units across municipal drinking water, wastewater and industrial applications. The net purchase price, after considering estimated tax benefits, of $452M represents approximately 17x Cleanwater1's last twelve months adjusted EBITDA as of June 30. Over the LTM period, Cleanwater generated approximately $135M in sales, of which approximately 25% were aftermarket sales. The acquisition is expected to be neutral to modestly accretive to Veralto's adjusted earnings per share in 2027 and generate a return on invested capital at or above the Company's weighted average cost of capital by year four.

Company Reports Q2 Revenue of $1.47B, Beating Expectations

Reports Q2 revenue $1.47B, consensus $1.45B. "In the second quarter, total sales grew approximately 8%, adjusted earnings per share increased 19%, and we generated robust free cash flow. We delivered 4.2% core sales growth year-over-year, led by Water Quality at 5.7%, with sequential acceleration in both segments. We continue to advance long-term value creation through strategic bolt-on acquisitions - including In-Situ, GlobalVision and, most recently, Alfaa UV - as well as opportunistic share repurchases. These actions reflect the accelerating growth profile of our portfolio, our VES-driven execution and commitment to disciplined capital allocation," said Jennifer Honeycutt, President and Chief Executive Officer.

Company Raises FY26 Core Sales Growth to 4.0%-4.5%

FY26 consensus $4.25. For the full year 2026, the company raised its non-GAAP core sales growth to a range of 4.0% to 4.5% year-over-year, up from the prior guidance range of 3.0% to 4.5%. Adjusted operating profit margin is expected to expand 25 to 50 basis points year-over-year, including the benefit of IEEPA tariff refunds received in the second quarter. FY26 revenue consensus $5.87B.