You might also like
Veralto is a company that operates through two main segments, focusing on enhancing water and product quality. The Water Quality segment aims to improve water quality and reliability through brands like Hach, Trojan Technologies, and ChemTreat, while the Product Quality & Innovation segment enhances consumer trust and product innovation with brands such as Videojet, Linx, Esko, X-Rite, and Pantone . In 2023, Veralto generated $5.0 billion in sales, with a significant portion derived from consumables, spare parts, services, and software, indicating a strong recurring revenue model . The company maintains a resilient financial performance across economic cycles due to its business model, which supports a strong margin profile with limited capital expenditure requirements .
- Water Quality (WQ) - Focuses on improving the quality and reliability of water through brands like Hach, Trojan Technologies, and ChemTreat, offering solutions for water analysis, treatment, and management.
- Product Quality & Innovation (PQI) - Promotes consumer trust and product innovation through brands such as Videojet, Linx, Esko, X-Rite, and Pantone, providing solutions for product identification, packaging, and color management.
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
James A. Tanaka Executive | VP, Securities & Governance and Secretary | None | James A. Tanaka serves as VP, Securities & Governance and Secretary at Veralto. Further details about his career are not provided in the documents. | |
Jennifer L. Honeycutt Executive | President and CEO | None | Jennifer L. Honeycutt has been leading Veralto since its spin-off from Danaher in 2023. She previously held leadership roles at Danaher, including EVP of Environmental & Applied Solutions. | View Report → |
Lesley Beneteau Executive | SVP and Chief Human Resources Officer | None | Lesley Beneteau has been leading HR at Veralto since its formation. She previously served as VP, Talent Management at Danaher. | |
Mattias Byström Executive | SVP, Product Quality and Innovation | None | Mattias Byström has been leading Product Quality and Innovation since November 2021. He previously served as President of Esko and other leadership roles within Danaher. | |
Melissa Aquino Executive | SVP, Water Quality | None | Melissa Aquino oversees Veralto's Water Quality segment. She joined Veralto in January 2023 after holding leadership roles at Danaher and IDEX Corporation. | |
Sameer Ralhan Executive | SVP and CFO | None | Sameer Ralhan joined Veralto in June 2023 as CFO. He previously served as CFO at The Chemours Company and has extensive experience in financial leadership. | |
Surekha Trivedi Executive | SVP, Strategy & Sustainability | None | Surekha Trivedi transitioned to Veralto from Danaher, where she served as VP of Strategy for the Environmental & Applied Solutions segment. | |
Sylvia Stein Executive | SVP and General Counsel | None | Sylvia Stein joined Veralto in June 2023. She previously served as General Counsel at Modine Manufacturing Company. | |
Cindy L. Wallis-Lage Board | Director | Director at Comfort Systems USA | Cindy L. Wallis-Lage joined Veralto's Board in 2023. She has extensive expertise in water treatment, sustainability, and governance, with a long career at Black & Veatch. | |
Daniel L. Comas Board | Director | Board Member at Fortive Corporation | Daniel L. Comas joined Veralto's Board in 2023. He previously served as EVP and CFO at Danaher and is an advisor to Danaher. | |
Heath A. Mitts Board | Director | EVP and CFO at TE Connectivity; Director at TE Connectivity | Heath A. Mitts joined Veralto's Board in 2023. He is the CFO of TE Connectivity and has extensive financial leadership experience. | |
John T. Schwieters Board | Director | Board Member at Danaher Corporation | John T. Schwieters joined Veralto's Board in 2023. He has extensive experience in public accounting, tax, and finance, and chairs Veralto's Audit Committee. | |
Linda H. Filler Board | Chair of the Board | Lead Independent Director at Danaher; Board Member at The Carlyle Group Inc. | Linda H. Filler has been Chair of Veralto's Board since 2023. She brings extensive experience in corporate governance and strategy, having held executive roles at Walgreens and other major corporations. | |
Shyam P. Kambeyanda Board | Director | CEO and Director at ESAB Corporation | Shyam P. Kambeyanda joined Veralto's Board in 2023. He is the CEO of ESAB Corporation and has extensive experience in global business leadership. | |
Thomas L. Williams Board | Director | Director at Goodyear Tire & Rubber Company; Director at Sherwin-Williams | Thomas L. Williams joined Veralto's Board in 2023. He is the former CEO of Parker Hannifin and has extensive governance and operational leadership experience. | |
Vijay Sankaran Board | Director | CTO at Johnson Controls International | Vijay Sankaran joined Veralto's Board in 2024. He is the CTO at Johnson Controls and has expertise in digital technology and innovation. | |
Walter G. Lohr, Jr. Board | Director | Board Member at Danaher Corporation | Walter G. Lohr, Jr. joined Veralto's Board in 2023. He is a legal expert with extensive experience in M&A and corporate governance. | |
William H. King Board | Director | None | William H. King joined Veralto's Board in 2023. He previously served as SVP of Strategic Development at Danaher. |
- Given TraceGains is expected to be modestly dilutive to 2025 earnings due to planned investments, can you elaborate on what specific investments are required and how they will drive growth to achieve your double-digit ROI target by year six?
- With Latin America showing 10% core sales growth driven by factors like reshoring and privatization of water utilities, how sustainable is this growth, and what risks do you anticipate that could potentially slow down this momentum?
- You reported a 3% decline in sales into China; can you provide more insight into the underlying factors contributing to this decline and what strategies you have in place to address this market challenge?
- The PQI segment is experiencing a gradual U-shaped recovery rather than the V-shaped recoveries seen in the past; what are the key barriers preventing a faster rebound, and how are you addressing these to accelerate growth in this segment?
- In the context of your M&A strategy and the acquisition of TraceGains, how do you navigate paying high entry multiples while ensuring you meet your long-term ROI targets, especially given the competitive environment for high-quality assets?
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
AQUAFIDES | 2025 | Planned acquisition valued at approximately $20 million; AQUAFIDES is an Austria-based specialist in high-quality UV treatment systems designed for drinking water, wastewater reuse, and industrial high purity water applications. The deal is expected to close in Q2 2025 to enhance Veralto’s Trojan Technologies portfolio in the European market. |
Information Exchange Holdings, Inc. | 2024 | Completed acquisition on October 4, 2024 for $350 million; the acquisition of 100% of Information Exchange Holdings, Inc.—the holding company behind TraceGains—brings cloud-based software solutions for food and beverage compliance and innovation into Veralto's Product Quality and Innovation segment, along with customary post-closing adjustments. |
Recent press releases and 8-K filings for VLTO.
- Sales increased 6.9% year-over-year to $1,332 million with 7.8% non-GAAP core sales growth
- Adjusted operating margin reached an all-time high of 25.0% (non-GAAP), with a 24.2% GAAP operating profit margin reported
- Net earnings reached $225 million (or $0.90 per diluted share), with adjusted net earnings of $237 million and EPS up 13% to $0.95
- The company reaffirmed its full-year 2025 guidance, expecting adjusted diluted EPS of $3.60–$3.70 and Q2 EPS of $0.84–$0.88
- Projected free cash flow conversion is between 90%-100%
- Implemented strategic countermeasures against tariffs by enhancing supply chain flexibility and launching its first U.S. manufacturing facility in Grand Rapids, Michigan, while advancing M&A initiatives via the AQUAFIDES acquisition for $20 million and TraceGains integration