Fortive Corporation (FTV) Q1 2020 Earnings Call Transcript

Fortive Corporation (FTV) Q1 2020 Earnings Call Transcript

I would now like to turn the call over to Mr. Griffin Whitney, Vice President of Investor Relations.. With us today are Jim Lico, our President and Chief Executive Officer; and Chuck McLaughlin, our Senior Vice President and Chief Financial Officer.. We submitted a request to the SEC to withdraw the Vontier registration statement.. Sales grew 7.6% to $1.7 billion as growth from acquisitions more than offset a 3.8% decline in core revenue.. Despite the top-line headwinds, core operating margin increased 150 basis points, resulting in adjusted operating margin of 20.4%.. The free cash flow performance in the first quarter, reflecting the underlying resilience of our free cash flow generation, as well as proactive shift by our operating companies to manage their cash expenditures and maximize free cash flow generation as the macroeconomic outlook deteriorated in the back half of the quarter.. Industrial Technologies posted a sales decline of 1% as core revenue growth of 1.6% was more than offset by an unfavorable foreign currency exchange rate of 230 basis points.. Each of our sites was operating at 80-plus percent of total capacity.. We saw a mid-teens decline in the Middle East and a high single-digit increase in Latin America..