AI interpretation based on checked source excerpts. Issuer assertions and evidence limitations remain explicit.
Policy quality-scores-3: six equally weighted categories. The overall score requires full coverage. Missing inputs are not zero. Qualitative grades are sourced interpretations, not probabilities. 3/6 · 03/11/2026
Moat—
Awaiting a sourced assessment under the current scoring policy and financial basis.
Pricing power—
Awaiting a sourced assessment under the current scoring policy and financial basis.
Predictability84
5 consecutive published annual periods. Equal weights: nondeclining revenue frequency; revenue-growth volatility (5–40pp); positive FCF frequency; FCF-margin volatility (3–20pp). Stability indicator, not a growth forecast.
- Nondeclining revenue years (%)
- 75.00
- Revenue growth volatility (pp)
- 9.04
- Positive FCF years (%)
- 100.00
- FCF margin volatility (pp)
- 7.97
- observedAnnualPeriods
- 5.00
Financial strength33
Equal-weight grades: debt/FCF (1–8x), net debt/earnings before interest and tax (0–5x), interest service (1–12x), current ratio (0.75–2x). Earnings use reported operating income, an original issuer-reported unadjusted EBIT reconciled to net income, income tax and signed net interest, or reported pretax profit plus reported gross interest expense. Reported EBIT is distinct from GAAP operating income and gross interest. Interest service uses earnings/interest expense; if unavailable, it uses reported operating cash flow/cash interest paid, without relabeling cash paid as accrued expense. Nonpositive cash flow/earnings score 0 for their service component; reported zero interest with a positive numerator scores 100. Net cash scores 100 for net leverage. Missing disclosures remain unavailable. General nonfinancial-company rubric, not a credit rating; exceptional and nonoperating gains are not normalized out. IFRS finance-cost and cash-flow classifications retain their reported scope.
- debtFcfGrade
- 60.99
- netDebtEbitGrade
- 19.45
- interestCoverageGrade
- 53.44
- currentRatioGrade
- 0.00
- Debt / FCF (x)
- 3.73
- Net debt / operating income (x)
- 4.03
- Interest coverage (x)
- 6.88
- Current ratio (x)
- 0.52
Capital allocation80
Three-year equal-weight indicators: pretax return on average invested capital (0–25%; equity + debt − cash, each year and its prior year), share-count growth (0–5%, lower better), share-based cost/revenue (2–20%, lower better), consolidated FCF/net income (0–1x). Return uses reported operating income, an original issuer-reported unadjusted EBIT reconciled to net income, income tax and signed net interest, or EBIT calculated from reported pretax profit plus reported gross interest expense; the issuer-reported EBIT is distinct from GAAP operating income and gross interest; exceptional/nonoperating gains are not normalized out. Share-based cost uses the reported cash-flow add-back or, if absent, separately reported recognized compensation expense; the latter never becomes an FCF adjustment. Nonpositive net income scores 0 for cash conversion; absent income/FCF stays unavailable. ROIC remains undefined for nonpositive invested capital; the explicit asset-return alternative does not change the ROIC chart. Missing financial inputs alone never trigger an alternative. Does not establish acquisition quality or buyback timing.
- 3-year pre-tax operating return (%)
- 7.93
- 3-year average dilution (%)
- 0.47
- 3-year average SBC / revenue (%)
- 2.06
- cashConversionGrade
- 100.00
Management—
Awaiting a sourced assessment under the current scoring policy and financial basis.
Evidence
Increasingly, this includes AI-enabled products and functionality embedded within customers’ mission-critical workflows.
Part I, Item 1. Business – Market Share, Market Expansion, and Product Development · Filed 24/02/2026
We believe our market positions are attributable to the applications expertise used to create high value products and solutions for our customers, the underlying critical nature of our offerings, and the inherent customer intimacy of our chosen niche markets.
Part I, Item 1. Business – Market Share, Market Expansion, and Product Development · Filed 24/02/2026
As of December 31, 2025 and 2024, total remaining performance obligations were $5,204.2 and $4,754.9, respectively.
Part I, Item 1. Business – Remaining Performance Obligations · Filed 24/02/2026
Backlog was $3,424.6 at December 31, 2025 and $3,105.4 at December 31, 2024.
Part I, Item 1. Business – Backlog · Filed 24/02/2026
Revenue recognized that was included in the deferred revenue balance on December 31, 2025 and 2024 was $573.5 and $531.6 for the three months ended June 30, 2026 and 2025, respectively, and $1,422.8 and $1,306.0 for the six months ended June 30, 2026 and 2025, respectively.
Notes to Condensed Consolidated Financial Statements – Contract balances · Filed 31/07/2026
Revenue recognized that was included in the deferred revenue balance on December 31, 2025 and 2024 was $849.3 and $774.4 for the three months ended March 31, 2026 and 2025, respectively.
Notes to Condensed Consolidated Financial Statements – Contract balances · Filed 01/05/2026
The change in our net contract assets/(liabilities) from December 31, 2025 to June 30, 2026 was primarily due to the timing of payments and invoicing related to SaaS and PCS renewals, driven predominantly by the SaaS renewal cycle of our Frontline business which primarily occurs in the third quarter.
Notes to Condensed Consolidated Financial Statements – Contract balances · Filed 31/07/2026
Backlog increased 11.0% to $3,286.0 at June 30, 2026 as compared to $2,961.3 at June 30, 2025 due primarily to acquisitions and organic growth in our software segments.
MD&A – Backlog discussion · Filed 31/07/2026
Backlog was $3,105.4 at December 31, 2024 and $3,156.6 at December 31, 2023.
Part I, Item 1. Business – Backlog · Filed 24/02/2025
We face intense competition. If we do not compete effectively, our business may suffer.
Part I, Item 1A. Risk Factors – Competition · Filed 24/02/2026
Moreover, competition may require us to adjust prices to stay competitive.
Part I, Item 1A. Risk Factors – Competition/Pricing · Filed 24/02/2025
In many situations, government entities can unilaterally terminate or modify existing contracts without cause and without penalty to the government agency, and government contracts may be subject to specialized compliance obligations, audits, investigations, and bid processes that can delay awards and increase costs.
Part I, Item 1. Business – Governmental Regulations/Contracts · Filed 24/02/2026
Selling, general and administrative expenses:
Application Software
(42.3)
%
(41.9)
%
(42.3)
%
(41.7)
%
Network Software
(43.4)
%
(39.3)
%
(43.5)
%
(39.5)
%
Technology Enabled Products
(23.6)
%
(23.1)
%
(24.0)
%
(23.4)
%
Total
(38.1)
%
(36.9)
%
(38.3)
%
(37.0)
%
Segment operating margin:
Application Software
27.4
%
26.9
%
27.1
%
26.4
%
Network Software
41.0
%
43.9
%
40.8
%
44.1
%
Technology Enabled Products
33.3
%
35.4
%
32.9
%
35.2
%
Total
31.6
%
32.3
%
31.2
%
32.0
%
Corporate administrative expenses *
(3.9)
%
(4.1)
%
(3.8)
%
(3.9)
%
Income from operations
27.7
%
28.2
%
27.5
%
28.1
%
Interest expense, net
(5.3)
%
(4.1)
%
(5.0)
%
(3.7)
%
Equity investment gain (loss), net
39.6
%
0.9
%
23.8
%
(0.7)
%
Other expense, net
—
%
—
%
(0.1)
%
—
%
Earnings before income taxes
62.0
%
25.0
%
46.2
%
23.6
%
Income taxes
(6.6)
%
(5.5)
%
(6.3)
%
(5.1)
%
Net earnings
55.4
%
19.5
%
39.9
%
18.5
%
* Includes unallocated corporate general and administrative expenses and enterprise-wide stock-based compensation.
MD&A – Segment operating margin · Filed 31/07/2026
The resulting operating margin was 32.4% in the first quarter of 2026 as compared to 35.0% in the first quarter of 2025.
MD&A – Segment operating margin · Filed 01/05/2026
New AI offerings may disrupt our offerings or transform workforce needs and may negatively impact demand for our offerings, or our competitors may be able to incorporate AI into their offerings more efficiently or successfully than we are able to.
Part II, Item 1A. Risk Factors – AI risk · Filed 31/07/2026
(“PowerPlan”), is a defendant in an action pending in the U.S.
Part I, Item 3. Legal Proceedings – Lucasys Inc. v. PowerPlan · Filed 22/02/2024
By leveraging our deep domain expertise, proprietary data, and long-standing customer relationships, we believe these AI capabilities enhance product differentiation, and drive incremental automation and improved customer outcomes which support expanded monetization opportunities.
Part I, Item 1. Business – Market Share, Market Expansion, and Product Development · Filed 24/02/2026
Given the depth of our customer relationships, our proprietary and unique data sets, and our embedded position inside mission-critical workflows, we are well positioned to create value for customers with AI.
Q3 2026 Earnings Release – Management commentary · Filed 22/10/2026
Other intangible assets, net
9,347.3
9,764.2
Deferred taxes
67.8
73.3
Equity investment
1,792.2
796.3
Other assets
554.3
517.0
Total assets
$
35,169.5
$
34,577.0
LIABILITIES AND STOCKHOLDERS’ EQUITY:
Accounts payable
$
174.1
$
150.3
Accrued compensation
232.0
293.0
Deferred revenue
1,707.8
1,906.8
Other accrued liabilities
588.9
642.3
Income taxes payable
49.4
28.0
Current portion of long-term debt, net
718.3
705.2
Total current liabilities
3,470.5
3,725.6
Long-term debt, net of current portion
10,601.1
8,595.8
Deferred taxes
1,897.4
1,883.1
Other liabilities
500.2
491.0
Total liabilities
16,469.2
14,695.5
Common stock, 350.0 shares authorized; 109.4 shares issued and 98.9 outstanding at June 30, 2026 and 109.3 shares issued and 106.6 outstanding at December 31, 2025
1.1
1.1
Additional paid-in capital
3,391.9
3,292.2
Retained earnings
18,697.6
17,205.7
Accumulated other comprehensive loss
(135.5)
(101.4)
Treasury stock, 10.5 shares at June 30, 2026 and 2.7 shares at December 31, 2025
(3,254.8)
(516.1)
Total stockholders’ equity
18,700.3
19,881.5
Total liabilities and stockholders’ equity
$
35,169.5
$
34,577.0
7
Roper Technologies, Inc.
Q2 2026 Earnings Release (financial schedules) – Condensed Consolidated Balance Sheets · Filed 23/07/2026
PowerPlan – financial and compliance management software and solutions to large complex companies in asset-intensive industries.
Part I, Item 1. Business – Application Software segment descriptions · Filed 24/02/2026
The growth of 4.8% in organic revenues was broad-based across the segment, led by our application software businesses serving the legal, project-based private sector, higher education, and property and casualty insurance markets.
MD&A – Application Software growth detail · Filed 31/07/2026
The resulting operating margin was 32.9% in the six months ended June 30, 2026 as compared to 35.2% in the six months ended June 30, 2025.
MD&A – Technology Enabled Products margin discussion · Filed 31/07/2026
Third quarter 2026 highlights
•Revenue increased 8% to $2.17 billion; organic revenue was +7% and acquisition contribution was +1%
Q3 2026 Earnings Release – Highlights · Filed 22/10/2026
Net revenues for the three months ended March 31, 2026 were $2,095.3 as compared to $1,882.8 for the three months ended March 31, 2025, an increase of 11.3%.
MD&A – Q1 2026 revenue growth · Filed 01/05/2026
•
Pay for Performance. Similar to prior years, in 2025, total direct compensation at target that was at risk and tied to stock price and performance objectives was 96% for the CEO, and 91% on average for our other named executive officers.
2026 Proxy – Pay for Performance · Filed 07/04/2026
Independent Chair of the Board: Our Chair of the Board is independent.
2026 Proxy – Independent Chair of the Board · Filed 07/04/2026
The Clawback Policy provides for the prompt recovery (or clawback) of certain excess incentive-based compensation received during an applicable three-year recovery period by current or former executive officers in the event we are required to prepare an accounting restatement due to material noncompliance with any financial reporting requirement under the securities laws.
2026 Proxy – Compensation Clawback Policy · Filed 07/04/2026
In the last three years, we have deployed approximately $8,960 of capital toward acquisitions.
Part I, Item 1. Business – Acquisition deployment · Filed 24/02/2026
10
During the six months ended June 30, 2026, the Company repurchased 7.865 shares of its common stock for an aggregate purchase price of $2,724.1 and an average price paid per share of $346.34.
Notes to Condensed Consolidated Financial Statements – Share repurchases · Filed 31/07/2026
Borrowings under revolving credit facility, net
2,000.0
1,275.0
Debt issuance costs
(3.9)
—
Cash dividends to stockholders
(191.4)
(177.2)
Repurchases of common stock
(2,726.7)
—
Proceeds from (tax withholding payments for) stock-based compensation, net
(8.6)
73.8
Treasury stock sales under employee stock purchase plan
12.7
12.5
Other, net
12.8
(43.9)
Cash provided by (used in) financing activities
(905.1)
1,140.2
Effect of exchange rate changes on cash
(16.7)
32.5
Net increase in cash and cash equivalents
67.5
54.2
Cash and cash equivalents, beginning of period
297.4
188.2
Cash and cash equivalents, end of period
$
364.9
$
242.4
10
Condensed Consolidated Statements of Cash Flows – Financing activities (Q2 2026) · Filed 23/07/2026
The future success of our business will depend, in part, on our ability to design and manufacture new competitive products, including the development of software, and to enhance existing product and software offerings, including through the development and deployment of AI.
Part I, Item 1A. Risk Factors – Product development risk (including AI) · Filed 24/02/2026
