IDEX looks financially healthy, supported by Q1 2026 Total Sales: $88700M, Reported Sales Growth: 900%, Organic Sales Growth: 500%, and EPS Growth: 1400% Profitability remains solid with Adjusted EBITDA Margin: 2600% and Net Margin: 1438% Cash quality is supported by Fiscal Year 2025 Free Cash Flow Conversion: 10300% Liquidity and leverage look manageable, with Current Ratio: 339, Debt-To-Equity Ratio: 046, and Return On Equity: 1529%
Financial Health Snapshot
What do IDEX Corporation's latest financial metrics show?
Strong. The biggest strength is liquidity and cash conversion, while the main concern is cyclical pressure and weak Q1 cash-flow growth.
The latest verified fiscal period is Q1 2026. This view combines growth, profitability, cash generation, balance-sheet capacity, and capital efficiency, and it should be read alongside IDEX Corporation’s Mission Statement, Vision, & Core Values (2026) of IDEX Corporation (IEX) because strategy and financial health are linked.
Free cash flow deserves deeper analysis first because it best explains whether IDEX Corporation can keep funding growth, dividends, and balance-sheet needs.
Revenue and Earnings Quality
Are IDEX Corporation's revenue and earnings high quality?
Mixed. IDEX Corporation showed very strong reported and organic sales growth, plus record orders, which supports demand quality. The clearest divergence is that sequential FMP figures for revenue, operating income, net income, and EPS need closer watch for mix, cost, and timing effects.
Growth is clearly strong in quantity, but quality depends on whether it turns into durable operating profit and EPS. Investors compare revenue durability with operating income, net income, and diluted EPS across compatible annual periods because revenue can rise faster than earnings if pricing, mix, or costs weaken. Mission Statement, Vision, & Core Values (2026) of IDEX Corporation (IEX) also helps frame how mission-critical applied solutions can support recurring demand and switching costs.
| Measure | Latest Period | Previous Period | Quality Test | Investor Meaning |
|---|---|---|---|---|
| Revenue | $88700M, 900% reported sales growth, Q1 2026 | $350B, Fiscal Year 2025 | Organic and reported growth were both strong, but the period mix is not directly comparable. | The growth source looks strong, but repeatability depends on conversion from orders and segment demand. |
| Operating Income | $17240M, 2026-03-31 | $18600M, 2025-12-31 | Operating income moved differently from revenue. | That suggests investors should watch margin, mix, and timing, not just top-line growth. |
| Net Income | $12000M, 2026-03-31 | $12830M, 2025-12-31 | Net income also moved differently from revenue, with no extra detail supplied on unusual items. | Final earnings do not fully mirror the revenue surge, so profit quality needs more scrutiny. |
| Diluted EPS | $161, 2026-03-31 | $171, 2025-12-31 | Per-share results did not keep pace with reported sales growth. | Shareholders saw weaker per-share progression than the business headline suggested. |
How durable is IDEX Corporation's revenue growth?
The strongest durability signal is $98800M in record orders and 1300% order growth, which improves visibility. The biggest limitation is concentration in specific end markets and the fact that order conversion still has to flow into revenue.
- Demand Quality: Orders rose sharply, and Health & Science demand is tied to semiconductor, AI infrastructure, and medical diagnostics.
- Pricing and Volume: Fire & Safety/Diversified Products organic sales growth of 200% came from pricing and higher municipal volumes; the split beyond that is unavailable.
- Diversification: Demand is spread across Health & Science and Fire & Safety/Diversified Products, but exposure to specific industrial and municipal end markets still matters.
That makes profitability and cash conversion the next tests.
Margins and cash
How strong are IDEX Corporation's margins and cash flow?
IDEX Corporation’s reported margins are extremely high, with Adjusted EBITDA Margin: 2600% for Q1 2026 and Net Margin: 1438% on June 08, 2026, but cash conversion is less clear near term. IDEX Corporation (IEX): History, Ownership, Mission, How It Works & Makes Money
Gross, operating, and net margins show how much profit IDEX Corporation keeps after product costs, overhead, interest, and taxes. Those accounting profits still need support from operating cash flow, capital expenditure, and free cash flow. The supplied Fiscal Year 2025 Free Cash Flow Conversion: 10300% supports cash quality, but the 2026-03-31 working-capital changes need monitoring.
| Measure | Latest Period | Previous Period | Verified Driver | Investor Meaning |
|---|---|---|---|---|
| Gross Margin | Unavailable from the supplied data. | Unavailable from the supplied data. | 2026-03-31 Gross Profit: $39810M versus Cost Of Revenue: $48880M, but no revenue figure is supplied. | Product economics look supported by strong gross profit, but the exact margin cannot be verified here. |
| Operating Margin | Unavailable; no verified operating-margin value supplied. | Unavailable; no verified compatible prior value supplied. | 2026-03-31 Operating Income: $17240M, EBITDA: $22610M, Selling General And Administrative Expenses: $21830M, and no verified operating-margin disclosure. | Scale appears favorable, but the margin itself should not be inferred without a verified figure. |
| Net Margin | 1438% on June 08, 2026. | Unavailable; no verified compatible prior value supplied. | 2026-03-31 Interest Expense: $1600M and Income Tax Expense: $3710M affect final profit after operating earnings. | Final profitability is very strong, but the reported percentage should be read alongside interest and tax effects. |
| Operating Cash Flow | Unavailable; only 2026-03-31 Operating Cash Flow Growth: -5050% is supplied. | Unavailable; no compatible prior absolute value supplied. | Receivables Growth: 600% and Inventory Growth: 451% suggest working-capital pressure in the quarter. | Accounting earnings may be slower to convert into cash while receivables and inventory build. |
| Free Cash Flow | Fiscal Year 2025 Free Cash Flow Conversion: 10300%. | Unavailable; no compatible prior value supplied. | 2026-03-31 Growth Capital Expenditure: 1015% raises reinvestment intensity, even though the supplied FCF conversion remains strong. | Cash left after reinvestment can still support flexibility, but capex pressure matters for future funding capacity. |
What most affects IDEX Corporation's cash conversion?
Working capital is the main near-term factor: Receivables Growth: 600% and Inventory Growth: 451% can absorb cash even when margins stay strong.
- Main Driver: Working-capital timing looks temporary unless it persists across later quarters.
- Evidence Gap: The supplied data does not give absolute operating cash flow or free cash flow dollars.
- Metric to Monitor: Track receivables, inventory, and free cash flow conversion next.
Balanced Liquidity
Can IDEX Corporation fund operations and handle debt?
Mixed. IDEX Corporation has strong near-term liquidity and modest short-term debt protection, but the main concern is the large $187B total debt load against $405B equity and only limited refinancing detail.
Cash is only part of the picture. For IDEX Corporation, the real test is whether working capital, asset quality, debt service, solvency, liquidity, and refinancing all fit together. The strongest protection is liquidity, but the financing concern is the scale of debt relative to capital and the lack of maturity detail.
| Area | Latest Evidence | Assessment | Investor Meaning |
|---|---|---|---|
| Cash and Working Capital | At 2026-03-31, Cash And Cash Equivalents: $58620M, Cash And Short Term Investments: $58620M, Total Current Assets: $172B, Total Current Liabilities: $50600M, Current Ratio: 339; Net Receivables: $55300M, Inventory: $50100M, Total Payables: $22480M, Other Current Liabilities: $28070M. | Strong | Near-term obligations look covered, so operations and routine investment should not be forced by immediate liquidity stress. |
| Total and Net Debt | Short Term Debt: $50000K, Long Term Debt: $187B, Total Debt: $187B, Net Debt: $129B, Debt-To-Equity Ratio: 046. | Mixed | Leverage is meaningful, so debt limits flexibility even though the capital base is still substantial. |
| Debt Service and Refinancing | Net Interest Income: -$1600M, Interest Expense: $1600M at 2026-03-31; Net Debt-To-Adjusted EBITDA Ratio: 18x as of Q1 2025; maturities, rates, and credit-access details were not supplied. | Mixed | Interest coverage looks manageable from the supplied data, but refinancing risk cannot be fully judged without maturity timing and borrowing terms. |
| Asset Quality | Goodwill: $339B and Intangible Assets: $120B; no verified impairment information was supplied. | Mixed | Large intangible assets raise write-down risk, so investors should watch for any future impairment pressure. |
| Liabilities and Equity | Total Liabilities: $287B, Total Stockholders Equity: $405B, Total Assets: $692B at 2026-03-31. | Mixed | The equity base is large, but liabilities are still material, so the balance sheet can absorb shocks only if earnings stay steady. |
What balance-sheet risk matters most for IDEX Corporation?
The main risk is leverage and refinancing, because $187B of debt and limited maturity detail matter more than the strong current ratio.
- Current Exposure: Current Ratio: 339 and Total Current Liabilities: $50600M at 2026-03-31.
- Protection: Cash And Cash Equivalents: $58620M and Total Stockholders Equity: $405B.
- Warning Signal: Watch debt, interest cost, and any future signs that goodwill or intangibles need impairment.
If you’re using this topic for a paper or case study, a structured SWOT Analysis, PESTLE Analysis, or Business Model Canvas can help you organize the research into clear arguments. For deeper academic or investment research, a DCF valuation model or company financial analysis template can help connect IDEX Corporation’s strategy with revenue, margins, cash flow, and valuation assumptions. For context on purpose and governance, see Mission Statement, Vision, & Core Values (2026) of IDEX Corporation (IEX).
Capital efficiency
Does IDEX Corporation earn enough to reinvest effectively?
Mixed. IDEX Corporation shows strong return support from 1529% ROE, but internal cash looks only partly sufficient because buybacks, dividends, and acquisition spending are all active at the same time.
Return metrics need context from leverage, asset intensity, capital expenditure, working capital, and outside funding needs. IDEX Corporation has a $405B equity base, $187B of debt, and a Debt-To-Equity Ratio: 046, so the return profile reflects both operating strength and balance sheet support. For a related ownership view, Exploring IDEX Corporation (IEX) Investor Profile: Who's Buying and Why? can help connect capital policy to investor demand.
| Capital Measure | Latest Evidence | Quality Test | Investor Meaning |
|---|---|---|---|
| ROIC | Unavailable in the supplied data. | Operating margin and capital efficiency cannot be verified directly from the available figures. | Investors cannot confirm whether invested capital is creating operating value from ROIC alone. |
| ROE and ROA | ROE: 1529%; ROA: unavailable. | ROE is supported by earnings power, but leverage can inflate it; ROA cannot be checked without asset data. | Shareholder return quality looks strong, but asset efficiency remains unverified. |
| Maintenance and Growth Investment | Fiscal Year 2024 R&D Investment: $16000M, representing approximately 450% of annual revenue; 75 new product launches for 2025. | The spending and launch pipeline point to growth-oriented reinvestment, not just maintenance. | Capital appears heavily directed toward future product growth and segment expansion. |
| Internal Funding Capacity | Fiscal Year 2025 Share Repurchases: $24800M; Q1 2026 Share Repurchases: $7600M; Dividends Paid: $5300M; Quarterly Dividend Payment: $073 per share; Annualized Dividend: $292; Payout Ratio: 4320%; repurchase authorization raised to $100B from approximately $44000M; M&A budget: $150B to $200B for 2024–2026. | Investment is partly internally funded, but large capital returns and acquisitions can require strong cash generation or balance sheet flexibility. | Shareholder returns are active, but reinvestment and deal funding could pressure leverage, dilution risk, and flexibility. |
Are IDEX Corporation’s returns on capital sustainable?
Partly. The strongest durability source is the 75 new product launches for 2025 and ongoing R&D, but returns could weaken if buybacks, dividends, and Health & Science acquisitions outpace cash generation.
- Operating Source: Product pipeline breadth and R&D-backed innovation support returns.
- Funding Requirement: The largest verified capital need is the combined buyback, dividend, and M&A program.
- Durability Test: Returns would weaken if payout ratio, debt use, or free cash flow coverage stops supporting reinvestment.
Balance Sheet Cushion
What could weaken IDEX Corporation's financial health?
IDEX Corporation looks Mixed. The main buffer is liquidity, supported by a 339 current ratio and $58620M in cash. The most important verified warning sign is -5050% operating cash flow growth, which shows cash conversion can weaken even when orders are strong.
IDEX Corporation has enough balance-sheet cushion to absorb some stress, but weaker cash conversion could still pressure debt service and investment. Cost inflation, labor availability, and cyclicality in the energy and chemical sectors matter because they can hit margins and working capital at the same time. The mission and strategy context at Mission Statement, Vision, & Core Values (2026) of IDEX Corporation (IEX) helps frame how resilience depends on turning orders into cash.
| Pressure | Financial Effect | Existing Protection | Warning Signal |
|---|---|---|---|
| Revenue or Margin Pressure | Cost inflation, labor shortages, and cyclical demand can reduce operating leverage, earnings, cash flow, and debt capacity if volume softens. | Adjusted EBITDA Margin: 2600%, Net Margin: 1438%, and Record Orders: $98800M with Order Growth: 1300% support near-term resilience. | Watch for weaker revenue, margin compression, or declining cash flow that would show order conversion is slipping. |
| Working-Capital or Investment Pressure | Receivables, inventory, and growth spending can absorb cash when operations expand faster than collections. | Current Ratio: 339 and Cash And Cash Equivalents: $58620M provide internal funding flexibility. | Monitor 2026-03-31 Operating Cash Flow Growth: -5050%, Free Cash Flow Growth: -5469%, Receivables Growth: 600%, and Inventory Growth: 451%. |
| Interest or Refinancing Pressure | Net debt and interest expense can reduce free cash flow, coverage, and financing flexibility if profits or cash generation weaken. | Net Debt: $129B is manageable only if cash generation stays steady, and the current liquidity position helps bridge pressure. | Track rising debt, higher interest expense, or a deterioration in liquidity if refinancing needs increase. |
What financial warning signs should investors monitor at IDEX Corporation?
The two strongest signals are operating cash flow and working capital, especially the -5050% cash flow growth, -5469% free cash flow growth, and the jump in receivables and inventory. Cyclical demand is a future risk; the cash decline is the confirmed deterioration.
Cash Conversion Is Weakening
Operating Cash Flow Growth: -5050% and Free Cash Flow Growth: -5469% show cash generation pressure. The offset is strong liquidity, but the next metric to watch is whether operating cash flow stabilizes as orders convert.
Working Capital Is Absorbing Cash
Receivables Growth: 600% and Inventory Growth: 451% suggest cash is tied up in operations. This matters because growth only helps if collections and inventory turnover stay efficient, so monitor receivables and inventory levels next.
Cyclical End Markets Could Slow Orders
Exposure to energy and chemical cycles can hit revenue and margins if industrial demand softens. Record Orders: $98800M and Order Growth: 1300% are supporting factors, but investors should watch whether those orders continue to convert into sales.
Financial Health Scorecard
What does IDEX Corporation’s financial health mean for investors?
IDEX Corporation rates Strong. The best factor is liquidity and cash conversion, while the weakest is cyclical pressure. The most important investment condition is whether cash flow stays resilient enough to support capital allocation through end-market volatility.
| Financial Factor | Rating | Evidence and Investor Meaning |
|---|---|---|
| Revenue and Earnings Quality | Strong | Q1 2026 Reported Sales Growth: 900%, Organic Sales Growth: 500%, Adjusted Diluted EPS: $200, and EPS Growth: 1400% point to strong per-share momentum, with FMP sequential softness as a caveat. |
| Profitability and Cash | Mixed | Adjusted EBITDA Margin: 2600% and Fiscal Year 2025 Free Cash Flow Conversion: 10300% are strong, but 2026-03-31 Operating Cash Flow Growth: -5050% and Free Cash Flow Growth: -5469% need follow-up. |
| Balance Sheet and Liquidity | Strong | Current Ratio: 339, Cash And Cash Equivalents: $58620M, Debt-To-Equity Ratio: 046, and Net Debt: $129B suggest solid liquidity and manageable leverage. |
| Capital Efficiency | Strong | Return On Equity: 1529%, plus internal funding, dividends, repurchases, and acquisition capacity, points to efficient capital use with limited dependence on outside financing. |
| Financial Resilience | Mixed | Liquidity and orders help, but cost inflation, labor availability, and energy and chemical cyclicality remain pressure points. See Mission Statement, Vision, & Core Values (2026) of IDEX Corporation (IEX). |
- What Supports the Thesis: Strong liquidity, manageable leverage, and healthy adjusted profitability give IDEX Corporation room to fund dividends, buybacks, and acquisitions.
- What Challenges the Thesis: Cash-flow volatility and end-market cyclicality create uncertainty around the durability of near-term performance.
- What to Monitor: Organic sales growth, adjusted EBITDA margin, and current ratio.
Those three inputs will shape forecasts, scenario analysis, and valuation assumptions by showing whether growth, margins, and balance-sheet strength stay aligned.
FAQ
What Do Investors Ask About 's Financial Health?
Investors most often ask about the company's revenue quality, profitability, cash generation, debt, liquidity, capital efficiency, and ability to withstand financial pressure.
What does IDEX's 10300% cash conversion mean?
Fiscal Year 2025 Free Cash Flow Conversion: 10300% means IDEX converted reported earnings into free cash flow at a strong rate for that period It supports financial health, but investors should also review 2026-03-31 Free Cash Flow Growth: -5469%
Why is IDEX's current ratio above three?
IDEX reported Current Ratio: 339, supported by Total Current Assets: $172B and Total Current Liabilities: $50600M at 2026-03-31 This points to strong short-term liquidity, but it should be assessed with receivables, inventory, and cash-flow timing
How much debt does IDEX carry relative to equity?
IDEX reported Debt-To-Equity Ratio: 046, Total Debt: $187B, and Total Stockholders Equity: $405B That indicates manageable leverage under the supplied data, while Net Debt: $129B shows debt remains an important funding consideration
What does ROE tell investors about IDEX?
Return On Equity: 1529% shows how effectively IDEX generates profit relative to shareholder equity Investors should view it with leverage, margins, and cash conversion because ROE alone does not prove balance sheet strength or reinvestment quality
Can IDEX fund acquisitions without balance-sheet strain?
IDEX has a capital allocation budget of $150B to $200B for 2024–2026 targeting Health & Science segment acquisitions Its Current Ratio: 339 and Debt-To-Equity Ratio: 046 support capacity, but deal size, timing, debt terms, and cash conversion still matter