2023 INVESTOR DAY
Veralto / Long-term value creation algorithm and modeling framework
VALUE CREATION ALGORITHM
Core Revenue Growth
+
Margin Expansion
+
Strong Free Cash Flow
+
Acquisitions
LONG-TERM MODELING FRAMEWORK
MSD core sales growth
30% to 35% incremental OP margin
~100% free cash flow conversion
Disciplined capital deployment with
bias toward M&A
COMPOUNDING EPS GROWTH & RETURNS
Note: LT modeling framework reflects management's estimate of the long-term financial profile of Veralto. The company provides LT modeling framework for core sales
growth only on a non-GAAP basis due to the difficulty of estimating other components of GAAP sales, such as currency translation, acquisitions and divestitures
Organic Execution + Selective Pursuit of Value Creation Opportunities
Veralto
2023 INVESTOR DAY | 57View entire presentation