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Software firm Roper lifts annual forecasts above estimates on strong demand
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Software firm Roper lifts annual forecasts above estimates on strong demand
Oct 23, 2024 5:25 AM

Oct 23 (Reuters) - Roper Technologies ( ROP ) raised its

full-year profit and revenue forecasts above Wall Street

estimates on Wednesday on improved demand for its enterprise

software services that cater to industries including healthcare

and legal.

The results are a positive sign for the company that had

been struggling with weak spending on its diverse software

portfolio in a tough economy, leading to delayed contract

renewals.

Roper in August agreed

to buy

Transact Campus for $1.5 billion to strengthen its business

that serves higher education institutions and healthcare

facilities, in a bid to improve its fortunes.

The company updated the lower end of its annual adjusted

profit forecast to between $18.21 and $18.25 per share, compared

with the prior view of $18.10 to $18.25.

The mid-point of the revised forecast is above analysts'

average estimate of $18.21, according to data compiled by LSEG.

The company expects its full-year revenue growth to be more

than 13%, compared with estimates of 11.9%.

It sees its fourth-quarter adjusted profit in the range of

$4.70 to $4.74 per share, the mid-point of which was below

estimates of $4.77.

Revenue from its application software business, Roper's

biggest, was $984.4 million for the quarter ended Sept. 30,

beating estimates of $950.5 million.

The company reported a revenue of $1.76 billion in the third

quarter, above estimates of $1.73 billion.

Its quarterly adjusted profit came in at $4.62 per share,

compared with estimates of $4.53.

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