Teledyne Technologies Incorporated

Welcome to Teledyne's fourth quarter earnings release conference call. Here's our first speaker, Mr. Jason Van Weese.

Good morning, everyone. This is Jason Van Weese, Vice Chairman. I'd like to welcome everyone to Teledyne's fourth quarter and full year 2024 earnings release conference call. We released our earnings release this morning before the market opened. Joining me today are Teledyne's Executive Chairman, Robert Morabian, CEO, Edwin Rocks, President and CEO of Bob, Senior Vice President and CFO Steve Blackwood, and Melanie Sivek, EVP, General Counsel, Chief Compliance Officer, and Secretary. After remarks by Robert, Edwin, George, and Steve, we will ask your questions. Of course, though, before we get started, our attorneys have reminded me to tell you that all forward-looking statements made this morning are subject to various assumptions, risks, and caveats as noted in the earnings release and our periodic ethics and values. And, of course, actual results may differ materially. In order to avoid potential selective disclosures, this call is simultaneously being webcast and a replay, both via webcast and dial-in, will be available for approximately one month. Here is Robert.

Thank you, Jason, and good morning, everyone, and thank you for adjourning our earnings call. In the first fourth quarter, we achieved many all-time records. Record sales increased 5.4%, and accelerated from the third quarter. Fourth quarter and full year non-GAAP earnings per share were records, as were fourth quarter and full year non-GAAP operating margins. Finally, our record annual free cash flow, given that we ended the year with a very low leverage despite $1.1 billion of capital deployment in fiscal 2024. We successfully closed the MiroPak acquisition at the beginning of fiscal 2025, and we continue to expect the completion of the Xelatos Carbot transaction in the first quarter. We entered 2025 optimistic about our business portfolio in both commercial and defense markets. Our short cycle commercial businesses improved throughout 2024 and comparison eased in 2025. We also believe our defense businesses, which favor purchase orders versus protected appropriations, Unmanned versus manned platforms and standard products versus highly customized solutions are well positioned in the current environment. Nevertheless, especially given the very strong U.S. dollar, we believe it's prudent to be a bit cautious in our 2025 outlook. Including the acquisition of Micropak, But excluding the Xelatos carve-out, since this acquisition has not yet closed, we believe 2025 sales may grow approximately 4%, with non-GAAP earnings double that amount at approximately 8% at the center of our outlook range. I will now turn the call over to Edwin, who will further comment. on the performance of our digital imaging segment.