Core Viewpoint - Ralliant Corporation is under investigation for potential securities law violations following a significant drop in its stock price due to a $1.4 billion non-cash goodwill impairment related to its acquisition of EA Elektro-Automatik, which reflects revised long-term expectations and reduced industry forecasts for electric vehicle adoption [2][4]. Company Summary - Ralliant's shares fell over 30% on February 5 after the company reported Q4 and FY25 results, including a substantial goodwill impairment in its Test & Measurement segment [2]. - The impairment is attributed to revised long-term expectations for the EA business and a decrease in industry forecasts regarding future electric vehicle adoption [2]. - Despite previous statements from executives expressing confidence in EA Elektro-Automatik's long-term prospects, the recent disclosure has raised concerns among investors [2]. Investigation Details - Block & Leviton is investigating Ralliant's disclosures regarding the acquisition and potential securities law violations [4]. - The firm is reaching out to investors who have lost money in Ralliant's stock to discuss recovery options [3][5]. - Investors are encouraged to contact Block & Leviton for more information on the investigation and potential legal actions [5][7].

Core Viewpoint - Ralliant Corporation is under investigation for potential violations of federal securities laws following a significant financial impairment announcement that led to a sharp decline in its stock price [1][3]. Financial Performance - On February 4, 2026, Ralliant reported a fourth quarter and full year 2025 loss, including a non-cash goodwill impairment charge of $1.4 billion in the Test & Measurement segment, primarily due to revised expectations for the EA Elektro-Automatik business [3]. - Following this announcement, Ralliant's share price fell by $17.89, or approximately 31.8%, from $56.28 to $38.39 on the same day [3]. Legal Investigation - Kirby McInerney LLP is conducting an investigation on behalf of Ralliant investors to assess possible violations of federal securities laws or other unlawful business practices by the company or its senior management [1][4]. - As of now, no lawsuit has been filed, and the investigation is ongoing to determine if claims can be brought under federal securities laws [4].

Financial Performance - The company reported a 35% increase in top-line sales and a 380 basis point expansion in adjusted EBIT margin, resulting in a 73% year-over-year increase in adjusted earnings per share to a record $1.64 for Q1 [1][11] - Orders booked in the first quarter exceeded $550 million, marking a 143% increase compared to the previous year, with all segments experiencing double-digit growth [2][10] - Adjusted EBIT margins improved to 19.4%, with adjusted EBIT and adjusted EBITDA dollars more than doubling from the previous year's first quarter [11][12] Segment Highlights - The aerospace and defense segment saw orders over $380 million, a significant increase from $75 million in the prior year, driven by strong demand from commercial and military aircraft customers [11][12] - The utility solutions group experienced a 10% increase in orders, primarily from strong performance at Doble, although overall sales growth was modest at 1% due to declines in the renewables business [13][14] - The test business had a robust start with orders up over 17% and sales up nearly 27%, benefiting from strong market activity in various sectors [8][14] Guidance and Outlook - The company raised its full-year sales guidance by $20 million, now projecting sales between $1.29 billion and $1.33 billion, primarily driven by the test business [16][17] - Adjusted earnings per share for the full year are now expected to be in the range of $7.90 to $8.15, reflecting a growth of 31% to 35% compared to the previous year [17] - The company remains optimistic about long-term growth prospects in its markets, particularly in the aerospace and defense sectors, despite some near-term challenges in renewables [7][30]

Bryan Sayler President & CEO Chris Tucker Sr. Vice President & CFO February 5, 2026 1 Forward Looking Statement ESCO Technologies First Quarter FY 2026 Earnings Call Statements in this presentation regarding Management's intentions, expectations and guidance for fiscal 2026, including restructuring and cost reduction actions, sales, orders, revenues, margin, earnings, Adjusted EPS, acquisition related amortization, and any other statements which are not strictly historical, are "forward-looking statements" ...

Core Viewpoint - Ralliant Corporation is under investigation for potential securities law violations following a significant drop in its stock price after reporting a $1.4 billion non-cash goodwill impairment related to its acquisition of EA Elektro-Automatik, which reflects revised long-term expectations for the business and a reduction in industry forecasts for future electric vehicle adoption [2][4]. Group 1: Company Performance - Ralliant's shares fell over 30% on February 5, 2026, after the company disclosed a $1.4 billion non-cash goodwill impairment in its Test & Measurement segment [2]. - The impairment is attributed to revised long-term expectations for the EA Elektro-Automatik acquisition and a decrease in industry forecasts regarding future electric vehicle adoption [2]. Group 2: Legal Investigation - Block & Leviton is investigating Ralliant Corporation for potential securities law violations and may file an action to recover losses for investors [4]. - Investors who have lost money on their Ralliant investment are encouraged to contact Block & Leviton for more information on recovery options [3][5]. Group 3: Investor Eligibility - Any individual who purchased Ralliant Corporation common stock and experienced a decline in share value may be eligible to participate in the investigation, regardless of whether they have sold their investment [3]. Group 4: Whistleblower Information - Individuals with non-public information about Ralliant Corporation are encouraged to assist in the investigation or report to the Securities Exchange Commission under the whistleblower program, which offers rewards of up to 30% of any successful recovery [6].

Financial Performance - Q3 FY25 - Sales increased by $62.7 million, a 26.9% increase, reaching $296.3 million compared to $233.6 million in Q3'24[13] - Adjusted EBIT increased by $17.5 million, a 38.6% increase, reaching $62.7 million compared to $45.2 million in Q3'24[13] - Adjusted EPS increased by 25%, reaching $1.60 compared to $1.28 in Q3'24[12] - Record ending backlog of $1.17 billion, a 75% increase from September 30, 2024[14] Segment Performance - A&D - Entered Orders increased by $492.3 million, a 546.5% increase, reaching $582.4 million compared to $90.1 million in Q3'24[19] - Sales increased by $49.1 million, a 56.3% increase, reaching $136.3 million compared to $87.2 million in Q3'24[19] - Adjusted EBIT increased by $19.1 million, a 94.3% increase, reaching $39.3 million compared to $20.2 million in Q3'24[19] Segment Performance - USG - Entered Orders increased by $5.5 million, a 5.5% increase, reaching $105.5 million compared to $100.0 million in Q3'24[25] - Sales increased by $2.1 million, a 2.3% increase, reaching $92.4 million compared to $90.3 million in Q3'24[25] - Adjusted EBIT decreased by $0.4 million, a -2.0% decrease, reaching $21.8 million compared to $22.2 million in Q3'24[25] Segment Performance - Test - Sales increased by $11.6 million, a 20.7% increase, reaching $67.7 million compared to $56.1 million in Q3'24[30] - Adjusted EBIT increased by $1.4 million, a 15.4% increase, reaching $10.7 million compared to $9.3 million in Q3'24[30] - Entered Orders decreased by $3.6 million, a -5.7% decrease, reaching $61.2 million compared to $64.8 million in Q3'24[30] Financial Performance - YTD Q3 FY25 - Sales increased by $97.1 million, a 15.0% increase, reaching $742.7 million compared to $645.6 million in Q3 YTD '24[38] - Adjusted EBIT increased by $30.7 million, a 28.6% increase, reaching $138.0 million compared to $107.3 million in Q3 YTD '24[38] - Adjusted EPS increased by 24.1%, reaching $3.71 compared to $2.99 in Q3 YTD '24[38] FY25 Guidance - Full year revenue from Continuing Operations is expected to be $1.075 billion - $1.105 billion[52] - Full Year Adjusted EPS from Continuing Operations is now expected to be in the range of $5.75 - $5.90, a 21% - 24% growth over FY'24[52] - Q4 Adjusted EPS from Continuing Operations is expected to be in the range of $2.04 - $2.19, a 14% - 22% growth over Q4'24[51]

Ralliant Spin-Off - Fortive announced the public filing of Form 10 registration statement for the planned spin-off of Ralliant on May 5, 2025[1] - The target separation date for Ralliant is by the end of Q2 2025[8] - Investor Day for Fortive & Ralliant is scheduled for June 10, 2025[6] Ralliant Overview - Ralliant's 2024 revenue was $2.2 billion[16] - Ralliant has a 5-year core revenue CAGR of LSD+ (Low Single Digit plus)[16] - Ralliant serves 90,000 customers across 90+ countries[16] - The estimated market size for Ralliant is $26 billion[16] Ralliant Financials (2024) - Ralliant's Non-GAAP Pro Forma Adjusted Operating Profit for FY 2024 was $525.6 million[21] - The PT Segment Adjusted Operating Profit for FY 2024 was $566 million[21] Ralliant Financials (Q1 2025) - Ralliant's Non-GAAP Pro Forma Adjusted Operating Profit for Q1 2025 was $83.3 million[24] - The PT Segment Adjusted Operating Profit for Q1 2025 was $109.1 million[24]

Q1 2025 Performance - Revenue reached $1.47 billion, reflecting a (3)% total growth and a (2)% core growth[7] - Intelligent Operating Solutions (IOS) and Advanced Healthcare Solutions (AHS) experienced a combined growth of +2%[7] - Precision Technologies (PT) faced a decline of (8)%[7] - Adjusted operating profit was $373 million, with an adjusted operating margin expansion of +20 bps[7] - Adjusted EPS stood at $0.85, representing a +2% growth[7] - Adjusted Free Cash Flow was $222 million, a decrease of (4)%[7] Outlook and Strategy - The company expects Q2 2025 Adjusted EPS to be between $0.85 and $0.90, and FY 2025 Adjusted EPS to be between $3.80 and $4.00[25] - Estimated gross incremental tariff impacts for 2025 range from $190 million to $220 million[20] - Mitigation strategies include pricing actions, supply chain optimization, and cost productivity measures, aiming for full offset by Q4 2025 and complete mitigation in 2026[24] Separation Update - The separation into two independent companies, Fortive and Ralliant, is on track for completion by the end of Q2 2025[6,33] - Investor days are scheduled for June 10th[6,33]