Dover (DOV) Q4 2025 earnings summary

Executive summary

• Fourth quarter 2025 delivered the highest organic growth rate of the year at 5%, with Q4 revenue up 9% to $2.1 billion and strong bookings momentum across all segments.

• Full-year 2025 revenue reached $8.1 billion, up 4% all-in and 2% organically, with adjusted EPS up 16% to $9.61 and Q4 adjusted EPS up 14% to $2.51.

• Acquisitions completed in 2025 outperformed expectations, with $660–$700 million deployed across four deals, mainly in Pumps & Process Solutions and Clean Energy & Fueling.

• Over $500 million in share repurchases were executed, including a $500 million accelerated program in Q4.

• The 2026 outlook is constructive, with no material headwinds in any end market and continued strong demand supported by a robust order book.

Financial highlights

• Q4 adjusted segment EBITDA margin was 24.8%, up 60 bps year-over-year; full-year margin was 25.0–25.1%.

• Free cash flow for 2025 was $1.12 billion (13.8% of revenue), up nearly $200 million year-over-year; Q4 FCF was $487 million (23% of revenue).

• Bookings for Q4 grew 10% year-over-year to $2.1 billion; full-year bookings rose 6% to $8.1 billion, with a Q4 book-to-bill ratio of 1.02.

• Reported earnings from continuing operations were $1.1 billion for the year, up 15% year-over-year.

Outlook and guidance

• 2026 revenue growth is projected at 5–7% all-in (3–5% organic), with adjusted EPS guidance of $10.45–$10.65, representing double-digit growth at the midpoint.

• Free cash flow for 2026 is expected at 14–16% of revenue; capex guided at $190–$210 million.

• Price increases of 1.5–2% are embedded in 2026 guidance to offset commodity cost pressures.

• Management expects continued margin improvement from restructuring and productivity initiatives.