01—Abstract
Summary
Summary of the 10-Q filed July 28, 2025. Cited figures are marked; the original filing is the authoritative source.
Teledyne Technologies Incorporated (TDY) reported second-quarter 2025 net sales of $1,513.7 milliona, up 10.2% from $1,374.1 million, and net income attributable to Teledyne of $209.9 million, up 16.5% from $180.2 million.
Diluted earnings per share were $4.43b versus $3.77. For the first six months, net sales were $2,963.6 million, up 8.8%, and diluted EPS was $8.41 versus $7.49. Operating income rose 12.6% in the quarter to $278.2 million.
Growth was led by Aerospace and Defense Electronics, where sales rose 36.2% in the quarter, and the company cited $70.1 millionc of incremental quarterly sales from recent acquisitions, primarily in that segment. Cash flow and balance sheet activity were shaped by acquisitions. Net cash from operating activities was $469.2 million for the first six months of 2025, down from $609.7 million, which the company attributed mainly to higher income tax payments and the timing of receivable collections.
Purchases of businesses totaled $757.6 milliond, including the Qioptiq (OS and AES businesses) acquisition for $706.4 million net of cash acquired. Cash and cash equivalents fell to $310.9 million from $649.8 million at year-end 2024, while total debt, net, was $2,617.4 million, with $450.2 million classified as current. The company disclosed a new $2.0 billion stock repurchase authorization approved in July 2025, which superseded prior programs.
No repurchases were made in the second quarter or first six months of 2025. The filing also flags ongoing trade and tariff pressures, a Department of Justice civil investigation related to an ejection seat sequencer program, and voluntary export-control disclosures involving Teledyne FLIR shipments. Management stated that no material adverse effect on financial condition is expected from pending matters.
02—Key points
Key Highlights
- Second-quarter net sales rose 10.2% to $1,513.7 million; first-half net sales rose 8.8% to $2,963.6 million.
- Net income attributable to Teledyne increased 16.5% to $209.9 million in the quarter; diluted EPS was $4.43 versus $3.77.
- Aerospace and Defense Electronics net sales increased 36.2% in the quarter, including $64.3 million of incremental sales from recent acquisitions.
- Operating cash flow fell to $469.2 million for the first six months from $609.7 million, mainly due to higher income tax payments.
- The company spent $757.6 million on acquisitions in the first half, including Qioptiq for $706.4 million net of cash acquired.
- Cash fell to $310.9 million and $450.2 million of debt is classified as current; $1,168.0 million remained available under the $1.20 billion credit facility.
- A new $2.0 billion share repurchase program was approved in July 2025, with no repurchases made in the first half of 2025.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in Q2 FY2025, Teledyne Technologies kept $0.14.
- Revenue$1.51B100.0%
- Cost of revenue−$869.1M57.4%
- Gross profit$644.6M42.6%
- Operating costs−$366.4M24.2%
- Operating income$278.2M18.4%
- Interest, other & tax−$68.3M4.5%
- Net income$209.9M13.9%
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2025filed July 28, 2025Financial Statements
Q2 FY2025 against Q2 FY2024
| Line item | Q2 FY2025Q2 FY2024 | Change |
|---|---|---|
| Revenue | $1.51B$1.37B | +10.2% |
| Cost of Revenue | $869.10M$781.50M | +11.2% |
| Gross Profit | $644.60M$592.60M | +8.8% |
| R&D Expenses | $82.40M$71.70M | +14.9% |
| SG&A Expenses | $229.40M$224.80M | +2.0% |
| Operating Expenses | $1.24B$1.13B | +9.6% |
| Operating Income | $278.20M$247.00M | +12.6% |
| Net Income | $209.90M$180.20M | +16.5% |
| EPS (Basic) | $4.48$3.82 | +17.3% |
| EPS (Diluted) | $4.43$3.77 | +17.5% |
| Shares Outstanding (Basic) | 46.90M47.20M | −0.6% |
| Shares Outstanding (Diluted) | 47.40M47.80M | −0.8% |
05—Questions
Frequently Asked Questions
How did Teledyne perform in the second quarter of 2025?
Net sales rose 10.2% to $1,513.7 million from $1,374.1 million, operating income increased 12.6% to $278.2 million, and net income attributable to Teledyne rose 16.5% to $209.9 million. Diluted EPS was $4.43 compared with $3.77 a year earlier.
What drove the growth in the quarter?
Every segment posted higher net sales. Aerospace and Defense Electronics grew 36.2%, partly from $64.3 million of incremental sales from recent acquisitions. Digital Imaging sales rose 4.3% and Instrumentation rose 10.2%.
Why did operating cash flow decline, and how was cash used?
Operating cash flow was $469.2 million for the first six months of 2025 versus $609.7 million, driven mainly by higher income tax payments and the timing of receivable collections. Cash was used mostly for $757.6 million of acquisitions, and cash and equivalents declined to $310.9 million.
What is the status of the new share repurchase program?
In July 2025 the Board authorized repurchases of up to $2.0 billion of common stock, with no stated expiration. The company intends to fund repurchases with cash on hand and available credit facility borrowings. No shares were repurchased in the second quarter or first six months of 2025.
What legal and trade risks does the filing disclose?
The company is working to resolve a U.S. Department of Justice civil investigation related to an ejection seat sequencer program and deliveries between 2006 and 2018. It has also made voluntary export-control disclosures involving Teledyne FLIR shipments, and tariffs and trade restrictions could affect revenue and costs. Management does not believe pending matters are likely to have a material adverse effect on financial condition.
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