1) Strong Financial Performance
- Organic sales grew 5% YoY, with adjusted EBITDA margin expanding 70 basis points to 28.1%.
- Adjusted EPS increased 12% to $2.32, exceeding guidance of $2.07 to $2.12.
- Orders surged 28% organically, with Health & Science Technologies (HST) leading at 47% growth.
- Adjusted gross margin rose 110 basis points to 46.4%, aided by productivity gains and tariff refunds.

2) Segment Highlights and Growth Drivers
- HST's growth was driven by demand in data centers, semiconductors, and space & defense markets.
- Fluid & Metering Technologies (FMT) saw 11% order growth, primarily from water and mining platforms.
- Fire & Safety (FSDP) orders increased 19%, supported by aerospace demand.
- The company is investing in throughput improvements and supply chain readiness to meet customer needs.

3) Operational Challenges and Tariff Impact
- The IEEPA tariff refunds modestly impacted organic growth but provided a slight benefit to margins and earnings.
- Tariff refunds reduced organic growth by 2% but contributed positively to adjusted EBITDA margin by 130 basis points.
- The company anticipates potential customer rebates related to these refunds, which were accounted for in Q2 results.

4) Guidance and Outlook for 2026
- Full-year organic growth guidance raised to 5%-6% from 3%-4%, driven by strong order books in HST.
- Adjusted EBITDA margin expectations increased to 27%-27.3%, with adjusted EPS guidance raised to $8.70-$8.85.
- For Q3, the company expects 5%-7% organic growth, adjusted EBITDA margin of 27%-27.5%, and adjusted EPS of $2.20-$2.25.
- Capital expenditures forecast increased to approximately $110 million to support growth initiatives.

5) Strategic Focus and Future Opportunities
- IDEX is focused on leveraging its growth platforms and enhancing shareholder value through disciplined capital allocation.
- The company is exploring M&A opportunities to complement its growth strategy, particularly in high-growth areas.
- There is confidence in sustaining momentum into 2027, with a growing backlog and increasing contributions from targeted markets.

Bottom line: IDEX's strong Q2 performance, driven by robust order growth across its segments, positions the company favorably for continued growth in 2026, supported by strategic investments and a focus on high-demand markets.