Ralliant to Share Vision for the Future as Standalone Precision Technologies Leader
Well-Positioned for Profitable Growth with Proven Leadership Team
As previously disclosed, Ralliant Corporation ("Ralliant" or the "Company") is hosting its 2025 Investor Day today where members of the Company's newly formed leadership team will discuss its growth strategy and financial priorities as a standalone public company following the pending separation from Fortive Corporation ("Fortive") (NYSE:FTV) on June 28, 2025.
Tami Newcombe, President and Chief Executive Officer of Ralliant, stated: "Over the last five years, our Precision Technologies business has evolved as a global leader of mission critical technologies with increased focus on innovation and a sharpened growth strategy. As we prepare for our journey as a standalone public company, we believe we are well-positioned with the operational and financial profile to capitalize on long-term secular trends, strengthen our leadership position in an electrified world, and generate consistent free cash flow. The energized leadership team is fueling our high-performance culture connected by the Ralliant Business System, and we are prepared to continue executing on our value proposition to the benefit of our shareholders, customers, and employees."
Ralliant: Precision Technologies Leader With a Long Runway for Success as a Standalone Public Company
As a standalone public company, we believe Ralliant will be well-positioned to build on its foundation as a precision technologies leader and execute clear financial priorities to create long-term shareholder value:
- Leverage Ralliant Business System to continue the operating discipline across our portfolio to drive scale, efficiency, and profitability. Driving efficiency in SG&A, R&D, and Operations by continuing customer-centric innovation and platform approach and optimizing manufacturing capability, supply chain resilience, and improving working capital.
- Building on stronghold position as a trusted global technology leader with enduring brands, and expanding our portfolio aligned to secular growth drivers in an approximately $16 billion serviceable addressable market. With key product launches on the horizon, Ralliant expects to leverage its proven track record of innovation and its extensive installed base, deep customer relationships, and loyal channel partners on a global scale to deliver enhanced value to customers.
- Leveraging a high margin profile and durable cash flow generation to execute a more targeted capital allocation strategy. Ralliant has clear levers in place to maintain a strong margin profile and leverage the strength of its balance sheet with a disciplined focus on returning capital to shareholders, reinvesting in the business, and executing strategic tuck-in acquisitions.
- Expecting to extend strong track record of strong financial performance with clear financial priorities to achieve long-term shareholder value creation. Going forward, through the cycle Ralliant expects to grow annual Revenue by 3-5%, grow Adjusted EBITDA faster than Revenue, and maintain over 95% Free Cash Flow conversion, leading to over $1 billion of cumulative Free Cash Flow through 2028. A strong balance sheet and disciplined capital allocation approach is expected to support the Company's focus on returning capital to shareholders and investing in high-growth vectors.
James Lico, Fortive President and Chief Executive Officer, stated, "As Ralliant launches as an independent company, it is uniquely positioned to lead with purpose and innovation, leveraging a strong culture of continuous improvement through the Fortive Business System. Today's investor day will showcase a bold strategic vision with focused growth vectors aligned to favorable secular trends. With Tami's exceptional leadership and a talented, mission-driven team, I am confident Ralliant will thrive and deliver lasting value in the years to come."
2025 Investor Day Presenters
The Investor Day will feature presentations from the following members of Ralliant's leadership team:
- Tami Newcombe, Chief Executive Officer
- Neill Reynolds, Chief Financial Officer
- Chris Bohn, President, Tektronix
- Andrew McCauley, President, Sensor Systems
- Corey Christmann, President, PacSci EMC
- Nathan McCurren, Vice President, Investor Relations
Webcast and Supplemental Material
A live webcast of Ralliant's Investor Day will begin at 10:00 a.m. ET and conclude at approximately 12:30 p.m. ET today. The webcast and accompanying slide presentation will be available on the "Investors" section of Ralliant's Investor Relations website, investors.ralliant.com, under "IR Calendar". A replay of the webcast will be available at the same location shortly after the conclusion of the presentation and will remain accessible through June 10, 2026.
About Ralliant
Ralliant is a global provider of precision technologies that specializes in designing, developing, manufacturing and servicing precision instruments and highly engineered products. Ralliant's strategic segments — Test and Measurement and Sensors and Safety Systems - include well-known brands with leading positions in their markets. The Company's businesses empower engineers with precision technologies essential for breakthrough innovation that brings advanced technologies to the market faster and more efficiently. With over 150 years of operating experience and enduring customer trust, we are known for delivering innovative, high-quality products with the precision that mission-critical systems demand. Ralliant is headquartered in Raleigh, North Carolina and employs a team of over 7,000 research and development, manufacturing, sales, distribution, service and administrative employees. The Company's global footprint enables a unique 'engineer to engineer' approach, which allows it to build enduring trust, credibility, and partnerships with customers across both Fortune 1000 companies and next generation start-up enterprises. With a culture rooted in continuous improvement, the core of our company's operating model is the Ralliant Business System. For more information please visit: www.ralliant.com.
About Fortive
Fortive is a provider of essential technologies for connected workflow solutions across a range of attractive end-markets. Fortive's strategic segments - Intelligent Operating Solutions, Advanced Healthcare Solutions, and Precision Technologies - include well-known brands with leading positions in their markets. The company's businesses design, develop, service, manufacture, and market professional and engineered products, software, and services, building upon leading brand names, innovative technologies, and significant market positions. Fortive is headquartered in Everett, Washington and employs a team of more than 18,000 research and development, manufacturing, sales, distribution, service and administrative employees in more than 50 countries around the world. With a culture rooted in continuous improvement, the core of our company's operating model is the Fortive Business System. For more information please visit: www.fortive.com.
Non-GAAP Financial Measures
This press release references Adjusted EBITDA growth, Free Cash Flow, and Free Cash Flow conversion, which are non-GAAP financial measures. The Company has not reconciled these forward-looking statements regarding non-GAAP financial measures because it is unable to do so without unreasonable efforts or to reasonably estimate the projected outcome of certain significant items, including currency impacts, impacts of acquisitions and divestitures and similar adjustments. These items are uncertain, depend on various factors out of its control and could have a material impact on the corresponding measures calculated in accordance with GAAP.
Forward-Looking Statements
Certain statements included in this press release are "forward-looking statements" within the meaning of the U.S. federal securities laws. All statements other than historical factual information are forward-looking statements, including, without limitation, statements regarding: business outlook and priorities; future financial performance and results, including outlook and guidance; revenue growth; cash flows, our liquidity position or other financial measures; management's plans and strategies for future operations, including statements relating to anticipated operating performance, cost reductions, restructuring activities, new product and service developments, competitive strengths or market position, acquisitions, divestitures, strategic opportunities, shareholder value creation, capital allocation, stock repurchases, dividends; the effects of the separation or the distribution, if consummated, on our business; growth, declines and other trends in markets we sell into, including the expected impact of trade and tariff policies; changes in government contracting requirements and reductions in federal spending; new or modified laws, regulations and accounting pronouncements; outstanding claims, legal proceedings, tax audits and assessments and other contingent liabilities; foreign currency exchange rates and fluctuations in those rates; tax rates, tax provisions, and the impact of changes to tax laws; general economic and capital markets conditions, including expected impact of inflation or interest rate changes; impact of geopolitical events and other hostilities; the timing of any of the foregoing; assumptions underlying any of the foregoing; and any other statements that address events or developments that we intend or believe will or may occur in the future.
Terminology such as "believe", "expect", "anticipate", "forecast", "positioned", "intend", "plan", "project", "estimate", "grow", "will", "should", "could", "would", "may", "strategy", "opportunity", "possible", "potential", "outlook", "target", and "guidance" and similar references to future periods are intended to identify forward-looking statements, although not all forward-looking statements are accompanied by such words. Forward-looking statements are based on assumptions and assessments made by our management in light of their experience and perceptions of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. These forward-looking statements are subject to a number of risks and uncertainties, including but not limited to the risks and uncertainties set forth under "Cautionary Statement Concerning Forward-Looking Statements", "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" within Ralliant's Form 10 filed with the U.S. Securities and Exchange Commission ("SEC") on May 5, 2025 (including the amendments thereto), and in other documents that we have filed with, or furnished to, the SEC.
Forward-looking statements are not guarantees of future performance and actual results may differ materially from the results, developments and business decisions contemplated by our forward-looking statements. Accordingly, you should not place undue reliance on any such forward-looking statements. Forward-looking statements speak only as of the date they are made (or such earlier date as may be specified in such statement). Except to the extent required by applicable law, Ralliant assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events, and developments or otherwise.
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Elena Rosman
Vice President, Investor Relations
Fortive Corporation
6920 Seaway Boulevard
Everett, WA 98203
Telephone: (425) 446-5000
Nathan McCurren
Vice President, Investor Relations
Ralliant Corporation
[email protected]