01—Abstract
Summary
Summary of the 10-K filed February 20, 2026. Cited figures are marked; the original filing is the authoritative source.
Teledyne Technologies Incorporated (TDY) reported fiscal 2025 net sales of $6,115.4 milliona, up 7.9% from $5,670.0 million in 2024, and net income attributable to Teledyne of $894.8 million, up 9.2%.
Diluted earnings per share rose to $18.88b from $17.21, a 9.7% increase. Operating income grew 16.2% to $1,149.8 million, helped by acquisitions and by the absence of the $52.5 million trademark impairment recorded in 2024. Aerospace and Defense Electronics was the fastest-growing segment, with net sales up 36.3%, largely from the Qioptiq acquisition completed in February 2025 and other 2025 deals.
U.S. Government sales were $1,559.4 millionc, or 25.5% of net sales. Cash flow from operations was $1,191.3 million, roughly flat with 2024, and free cash flow was $1,074.0 million. Cash and cash equivalents fell to $352.4 million from $649.8 million, as the company spent $821.4 million on business acquisitions and $402.9 million on share repurchases, and repaid $162.0 million of senior notes.
Total debt was $2,475.4 milliond at year end, and the $1.20 billion credit facility was undrawn. In July 2025 the Board authorized a new $2.0 billion repurchase program, and the company does not expect to pay cash dividends. The filing also flags material risks.
Management cites exposure to tariffs and Chinese export restrictions, U.S. Government shutdowns (one lasting 43 days in fall 2025), NASA budget cuts, and a January 2026 executive order that could restrict stock buybacks and dividends for major defense contractors. The FLIR reporting unit had goodwill of $5,193.4 million, and its estimated fair value exceeded carrying value by approximately $619.2 million, or 8%.
02—Key points
Key Highlights
- Net sales rose 7.9% to $6,115.4 million, and operating income rose 16.2% to $1,149.8 million.
- Diluted EPS was $18.88, up 9.7% from $17.21, and net income attributable to Teledyne was $894.8 million, up 9.2%.
- Aerospace and Defense Electronics net sales grew 36.3% to $1,058.7 million, driven by the February 2025 Qioptiq acquisition and other 2025 deals.
- Four acquisitions were completed in 2025 for $821.4 million in cash, and one more (DD-Scientific, about $53.0 million) was completed in the first quarter of 2026.
- Operating cash flow was $1,191.3 million and free cash flow was $1,074.0 million, compared with $1,191.9 million and $1,108.2 million in 2024.
- Total debt was $2,475.4 million, the $1.20 billion credit facility was undrawn, and $400.0 million of stock was repurchased in 2025 under a new $2.0 billion authorization.
- U.S. Government sales were $1,559.4 million, or 25.5% of net sales, and the filing flags risks from government shutdowns and a January 2026 executive order affecting defense contractor buybacks and dividends.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Teledyne Technologies kept $0.15.
- Revenue$6.12B100.0%
- Cost of revenue−$3.50B57.2%
- Gross profit$2.61B42.8%
- Operating costs−$1.47B24.0%
- Operating income$1.15B18.8%
- Interest, other & tax−$255.0M4.2%
- Net income$894.8M14.6%
Where FY2025 revenue went
$6.12B- Cost of revenue: $3.50B, 57% of revenue
- SG&A: $931.1M, 15% of revenue
- Net income: $894.8M, 15% of revenue
- R&D: $317.3M, 5.2% of revenue
- Other operating costs: $216.6M, 3.5% of revenue
- Interest, other & tax: $255.0M, 4.2% of revenue
Kept 15% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 20, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $6.12B$5.67B | +7.9% |
| Cost of Revenue | $3.50B$3.24B | +8.2% |
| Gross Profit | $2.61B$2.43B | +7.4% |
| R&D Expenses | $317.30M$292.60M | +8.4% |
| SG&A Expenses | $931.10M$902.60M | +3.2% |
| Operating Expenses | $4.97B$4.68B | +6.1% |
| Operating Income | $1.15B$989.10M | +16.2% |
| Interest Expense | $59.60M$57.90M | +2.9% |
| Net Income | $894.80M$819.20M | +9.2% |
| EPS (Basic) | $19.12$17.43 | +9.7% |
| EPS (Diluted) | $18.88$17.21 | +9.7% |
| Shares Outstanding (Basic) | 46.80M47.00M | −0.4% |
| Shares Outstanding (Diluted) | 47.40M47.60M | −0.4% |
05—Questions
Frequently Asked Questions
How did Teledyne perform financially in 2025?
Net sales were $6,115.4 million, up 7.9% from $5,670.0 million. Operating income was $1,149.8 million, up 16.2%, and net income attributable to Teledyne was $894.8 million, up 9.2%. Diluted EPS was $18.88 versus $17.21 in 2024. The 2024 results included a $52.5 million non-cash trademark impairment that was not repeated in 2025.
Which segments drove growth?
Aerospace and Defense Electronics net sales rose 36.3% to $1,058.7 million, with $244.2 million from current-year acquisitions. Instrumentation net sales rose 5.4% to $1,457.1 million, and Digital Imaging net sales rose 3.0% to $3,163.9 million. Engineered Systems net sales declined 0.9% to $435.7 million, mainly due to lower NASA-related revenue.
How much cash did Teledyne return to shareholders and how much did it spend on acquisitions?
The company repurchased about 0.8 million shares for $400.0 million in 2025. It did not pay cash dividends and does not expect to in the foreseeable future. It spent $821.4 million on business acquisitions, including Qioptiq and TransponderTech. Cash and cash equivalents ended the year at $352.4 million, compared with $649.8 million a year earlier.
What are the main risks to Teledyne's business that the filing highlights?
The filing cites tariffs and trade tensions with China and Europe, Chinese export restrictions on rare earth materials and permanent magnets, and reliance on U.S. Government funding. Government shutdowns, including one lasting 43 days in fall 2025, delayed awards and payments. A January 2026 executive order could restrict stock buybacks, dividends, and certain executive compensation for major defense contractors, and its effect on Teledyne is still unclear. Goodwill and trademark impairment risk is also significant, particularly for the FLIR reporting unit.
What is the outlook for capital spending and debt?
The company plans about $150 million in capital expenditures in 2026, mainly for facility and equipment upgrades. Scheduled debt maturities include $450.1 million in 2026 and $700.1 million in 2028. The credit facility runs through June 2029, and the company states it expects cash on hand, operating cash flow and facility borrowings to be sufficient for the next 12 months.
06—Continue