01—Abstract
Summary
Summary of the 10-K filed February 26, 2014. Cited figures are marked; the original filing is the authoritative source.
AMETEK, Inc. reported strong performance in its 2013 fiscal year, achieving record orders, net sales, operating income, net income, and diluted earnings per share.
The company's strategic growth plan, focused on Operational Excellence, New Product Development, Global and Market Expansion, and Strategic Acquisitions, continues to drive results. AMETEK expanded its global reach and product portfolio through three key acquisitions in 2013, which contributed positively to the year's financial performance. The company's commitment to innovation is evident in its continued investment in research and development, with new products introduced across its operating segments.
02—Key points
Key Highlights
- AMETEK reported record net sales of $3.6 billion in 2013, a 7.8% increase from 2012.
- Net income rose by 12.6% to $517.0 million in 2013, with diluted EPS reaching $2.10.
- The company completed three strategic acquisitions in 2013: Controls Southeast, Creaform, and Powervar, all part of the Electronic Instruments Group (EIG).
- International sales represented 55.2% of total net sales in 2013, demonstrating significant global reach.
- Operating income margin improved to 22.7% of net sales in 2013, up from 22.4% in 2012.
- Research and development expenses were $178.7 million in 2013, highlighting a focus on new product development.
- The backlog of unfilled orders increased to $1.14 billion by the end of 2013, indicating strong future demand.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-KFY2013filed February 26, 2014Financial Statements
FY2013 against FY2012
| Line item | FY2013FY2012 | Change |
|---|---|---|
| Revenue | $3.59B$3.33B | +7.8% |
| R&D Expenses | $93.90M$84.90M | +10.6% |
| SG&A Expenses | $398.18M$380.53M | +4.6% |
| Operating Expenses | $2.78B$2.59B | +7.4% |
| Operating Income | $815.08M$745.87M | +9.3% |
| Interest Expense | $73.57M$75.47M | −2.5% |
| Net Income | $517.00M$459.13M | +12.6% |
| EPS (Basic) | $2.12$1.90 | +11.6% |
| EPS (Diluted) | $2.10$1.88 | +11.7% |
| Shares Outstanding (Basic) | 243.91M241.51M | +1.0% |
| Shares Outstanding (Diluted) | 246.06M243.99M | +0.9% |
05—Questions
Frequently Asked Questions
What were AMETEK's key growth drivers in 2013?
AMETEK's growth in 2013 was driven by its core strategies: Operational Excellence, New Product Development, Global and Market Expansion, and Strategic Acquisitions. The company successfully integrated three acquisitions during the year and saw contributions from previously acquired businesses. Investments in R&D also fueled growth through new product introductions.
How significant was the contribution of acquisitions to AMETEK's performance?
Acquisitions played a significant role in AMETEK's performance. The company completed three acquisitions in 2013 (Controls Southeast, Creaform, and Powervar) and noted their positive impact on sales and earnings. Acquisitions from 2012 also continued to contribute to the strong financial results.
What is AMETEK's international sales performance?
AMETEK has a substantial international presence, with international sales accounting for 55.2% of total net sales in 2013, an increase from 51.2% in 2012. This growth was driven by both acquisitions and increased export sales from U.S. operations, highlighting the company's global market penetration.
What are the main risks facing AMETEK?
Key risks identified include potential downturns in the aerospace, defense, process instrumentation, or power markets. The company also faces risks related to its acquisition strategy, including the ability to identify and integrate future acquisitions successfully. Furthermore, its substantial international operations expose it to risks associated with global economic conditions, currency fluctuations, and trade regulations.
06—Continue