Vontier Corporation is a global technology company specializing in the design, production, marketing, and distribution of advanced equipment, software, components, and services. ...
Vontier Corporation, headquartered in Raleigh, North Carolina, is a global technology company that specializes in advanced equipment, software, components, and services for the mobility infrastructure. The company operates through two main segments: Mobility Technologies and Diagnostics and Repair Technologies. The Mobility Technologies segment provides fuel dispensing systems, remote management, point-of-sale ...Vontier Corporation, headquartered in Raleigh, North Carolina, is a global technology company that specializes in advanced equipment, software, components, and services for the mobility infrastructure. The company operates through two main segments: Mobility Technologies and Diagnostics and Repair Technologies. The Mobility Technologies segment provides fuel dispensing systems, remote management, point-of-sale and payment solutions, environmental monitoring, vehicle tracking, and traffic management software. The Diagnostics and Repair Technologies segment offers specialized tools and equipment for automotive professionals, including brands like Matco Tools, Ammco, and Coats, covering diagnostic equipment, toolboxes, and wheel service machinery. Vontier's customers include fueling station operators, convenience stores, car washes, fleet owners, municipalities, and repair shops. The company utilizes a distribution network of mobile distributors, direct sales, and partners across North America, Asia Pacific, Europe, and Latin America. Financially, Vontier has a market cap of about $4.94 billion, with a price-to-earnings ratio around 14.44 and a net profit margin of 11.3%. Under the leadership of President and CEO Mark D. Morelli, the company focuses on innovation and connectivity to enhance the mobility ecosystem. Established in 2019 as a spin-off from Fortive, Vontier aims to drive growth through its trusted brands and strategic initiatives, while maintaining a commitment to corporate responsibility through the Vontier Foundation.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$3.1B
+3.2%
+0.8%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$406.1M
-3.8%
-70.9%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+47.2%
-1.3%
+8.0%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+18.3%
+1.3%
+4.2%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+13.2%
-6.8%
-71.2%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$441.1M
+27.9%
+72.2%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+14.3%
+23.9%
+70.8%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
171.6%
-17.9%
+5.1%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
1.16x
-23.2%
+1.9%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: And welcome to the Vontier Second Quarter 2026 Earnings Call. [Operator Instructions] This call is being recorded on Thursday, August 6, 2026, and a replay will be made available shortly after. I would now like to turn the conference over to Ryan Edelman, Vontier's Vice President of Investor Relations. Please go ahead.
Ryan Edelman: Good morning, everyone, and thank you for joining us on the call this morning to discuss our second quarter results. With me on the call today are Mark Morelli, our President and Chief Executive Officer; and Anshooman Aga, our Executive Vice President and Chief Financial Officer. You can find both our press release as well as our slide presentation that we'll refer to during today's call on the Investor Relations section of our website at investors.vontier.com. Please note that during today's call, we will present certain non-GAAP financial measures. We will also make forward-looking statements within the meaning of the federal securities laws, including statements regarding events or developments that we expect or anticipate will or may occur in the future. These forward-looking statements are subject to risks and uncertainties. Actual results might differ materially from any forward-looking statements that we make today, and we do not assume any obligation to update them. Information regarding these factors that may cause actual results to differ materially from these forward-looking statements is available on our website and in our SEC filings. With that, please turn to Slide 3, and I'll turn the call over to Mark.
Mark Morelli: Thanks, Ryan, and good morning, everyone. Thank you for joining us today. Let me begin with a few high-level takeaways from the quarter. We delivered a strong second quarter with results that came in ahead of our expectations on both the top and bottom line. We see healthy underlying demand across much of the portfolio, particularly in the convenience retail-facing businesses, made important progress on our cost and simplification actions and remain disciplined in how we deploy capital. Our performance this quarter reinforces our confidence in the full year outlook and in the second half growth expectations. Core sales were flat in the quarter, slightly ahead of our guide, driven by upside in Environmental & Fueling Solutions. This performance came against a difficult prior year comparison with approximately 11% core growth in the second quarter of last year. Adjusted operating margin increased 190 basis points year-over-year, led by strong performance at Mobility Technologies. Notably, after adjusting for tariff refunds in the quarter, we exceeded our expectations. Orders were up low single digits in the quarter, and book-to-bill was above 1, led by strength in Mobility Tech and Environmental & Fueling Solutions. In Environmental & Fueling, we've seen strong growth in dispensers and aftermarket parts. The broader backdrop is strong with customers continuing to invest in site …