Roper Technologies, Inc. has recently released its 10-Q report, showcasing its diverse operations in the design and development of vertical software and technology-enabled products across various global markets. The company operates through three segments: Application Software, Network Software, and Technology Enabled Products, and its financial results for the three months ended March 31, 2025, indicate significant growth and performance.
In the Application Software segment, net revenues for the first quarter of 2025 increased by 19.3% to $1,068.2 million compared to the same period in 2024. This growth was primarily attributed to acquisitions from Transact and Procare, with organic revenue growth of 5.9%. However, the gross margin decreased to 67.5% due to a lower gross margin profile associated with higher payments revenue mix at Transact and Procare.
In the Network Software segment, net revenues for the first quarter of 2025 grew by 1.4% to $375.9 million compared to the first quarter of 2024. The growth in organic revenues was 0.7%, primarily driven by network software businesses serving the construction and freight match markets. However, the gross margin decreased to 84.0% due to new product investment and reduced leverage.
In the Technology Enabled Products segment, net revenues for the first quarter of 2025 grew by 5.8% to $438.7 million compared to the first quarter of 2024. The growth in organic revenues was 6.0%, led by certain medical products businesses and water meter technology business. The gross margin increased to 58.7% due to improved leverage on higher organic revenues and revenue mix.
Following these announcements, the company's shares moved 1.5%, and are now trading at a price of $566.04. If you want to know more, read the company's complete 10-Q report here.
