Ametek — Income Statement, Cash Flows & Balance Sheet
Is AMETEK profitable?
AMETEK delivers consistent, growing profitability with solid operating margins.
| Metric | 2023 | 2024 | 2025 | Change (2023–2025) |
|---|---|---|---|---|
| Net sales ($M) | $6,597 | $6,941 | $7,401 | +12.2% |
| Operating income ($M) | $1,707 | $1,780 | $1,910 | +11.9% |
| Operating margin | 25.9% | 25.6% | 25.8% | ~flat |
| Net income ($M) | $1,313 | $1,376 | $1,480 | +12.7% |
| Diluted EPS | $5.67 | $5.93 | $6.40 | +12.9% |
Revenue has grown steadily, and AMETEK has held its operating margin near 26% throughout — a sign the business is efficiently converting each new dollar of sales into profit. Earnings per share have grown slightly faster than net income, partly because the company has been buying back its own stock, reducing the share count.
Interest expense was notably lower in 2025, adding a tailwind to net income.
| Item | 2024 | 2025 | Change |
|---|---|---|---|
| Interest expense ($M) | $113.0 | $81.3 | -$31.7M |
| Effective tax rate | 17.2% | 17.7% | +0.5 pts |
Lower interest costs in 2025 reflect debt repayments made in 2024, and they meaningfully helped bottom-line results. The effective tax rate (what the company actually pays, after credits and international arrangements) remained well below the 21% US statutory rate.
Where does AMETEK's revenue come from?
EIG (instruments) is the larger, faster-growing segment; EMG (engineered materials and solutions) provides a steady but smaller contribution.
| Segment | 2023 Sales | 2024 Sales | 2025 Sales | Change (2024–2025) |
|---|---|---|---|---|
| EIG ($M) | $4,624 | $4,660 | $4,919 | +5.6% |
| EMG ($M) | $1,973 | $2,281 | $2,482 | +8.8% |
| Total ($M) | $6,597 | $6,941 | $7,401 | +6.6% |
EIG — which makes precision instruments for industries like aerospace, oil & gas, and semiconductors — accounts for roughly two-thirds of sales and drives the majority of operating income. EMG, focused on medical components, automation, and specialty metals, grew faster in 2025, aided by acquisitions. About half of total revenue comes from outside the US, with Asia and the EU being the largest international regions.
Aerospace & power and process & analytical instrumentation are the two largest product lines.
| Product Line | 2024 Sales | 2025 Sales | Change |
|---|---|---|---|
| Process & analytical instrumentation ($M) | $3,233 | $3,464 | +7.1% |
| Aerospace & power ($M) | $2,052 | $2,187 | +6.6% |
| Automation & engineered solutions ($M) | $1,657 | $1,750 | +5.6% |
All three product lines grew, with no obvious weak spot — a sign of broad-based demand across AMETEK's markets.
Does AMETEK generate cash?
AMETEK is a strong cash generator, producing over $1.8 billion from operations in 2025.
| Metric | 2023 | 2024 | 2025 | Change |
|---|---|---|---|---|
| Operating cash flow ($M) | $1,735 | $1,829 | $1,802 | -1.5% |
| Capital expenditures ($M) | $136 | $127 | $130 | +2.4% |
| Free cash flow (GAAP operating CF minus capex) ($M) | $1,599 | $1,702 | $1,672 | -1.8% |
Operating cash flow is close to net income in magnitude, which is a healthy sign — it means earnings are backed by real cash. Capital spending is modest relative to the size of the business, reflecting the asset-light nature of AMETEK's instrument and technology businesses.
AMETEK deployed cash aggressively in 2025: acquisitions, buybacks, and dividends all increased.
| Use of Cash | 2024 | 2025 | Change |
|---|---|---|---|
| Acquisitions, net ($M) | $118 | $933 | +$816M |
| Share repurchases ($M) | $212 | $434 | +$222M |
| Dividends paid ($M) | $259 | $285 | +$26M |
The company prioritizes acquisitions as its primary growth lever, supplemented by returning cash to shareholders. The step-up in buybacks reflects a fresh $1.25 billion repurchase authorization approved in early 2025.
How strong is AMETEK's balance sheet?
Debt increased in 2025 due to acquisitions, but remains manageable and well-structured.
| Metric | 2024 | 2025 | Change |
|---|---|---|---|
| Total debt, net ($M) | $2,080 | $2,283 | +$204M |
| Cash & equivalents ($M) | $374 | $458 | +$84M |
| Total stockholders' equity ($M) | $9,655 | $10,629 | +$974M |
The net debt increase is modest given AMETEK spent over $930 million on acquisitions. The company confirmed it was in compliance with all debt covenants at year-end, and its weighted average interest rate on total debt is a low 3.2%, with maturities spread out through 2035.
Goodwill and intangibles are large, reflecting AMETEK's acquisition-driven growth model.
| Asset | 2024 | 2025 | Change |
|---|---|---|---|
| Goodwill ($M) | $6,556 | $7,171 | +$615M |
| Other intangibles, net ($M) | $3,915 | $4,128 | +$213M |
| Total as % of total assets | 71.6% | 70.8% | ~flat |
Nearly 71% of total assets are goodwill and intangibles — common for a company that grows through acquisitions of niche technology businesses. Annual impairment testing found no write-downs required in 2025, though this remains something investors in acquisition-heavy companies should monitor over time.