Teledyne Technologies Incorporated (NYSE:TDY) reported fourth-quarter results on Wednesday that came in ahead of market expectations, supported by robust defense demand and a continued recovery across its commercial operations.
Shares of the imaging and aerospace technology group rose about 1.55% in premarket trading following the update.
Teledyne posted adjusted earnings of $6.30 per share, beating analysts’ consensus estimate of $5.84. Quarterly revenue reached $1.61 billion, exceeding the $1.57 billion expected by the market and marking a 7.3% increase from the same period a year earlier.
“We concluded 2025 with the best quarterly orders, sales, and non-GAAP earnings and operating margin in the company’s history,” said Executive Chairman Robert Mehrabian. “Throughout Teledyne, our defense businesses remained healthy, and our shorter cycle commercial businesses continued to recover.”
Performance was particularly strong in the Digital Imaging division, which includes Teledyne FLIR, driven by demand for unmanned systems and defense surveillance solutions. The Aerospace and Defense Electronics segment delivered the fastest growth, with revenue jumping 40.4% year on year to $275.9 million.
During the quarter, Teledyne generated $339.2 million in free cash flow and deployed around $850 million on acquisitions over the course of 2025, while keeping leverage at a manageable 1.4 times.
Looking ahead, the company issued full-year 2026 adjusted earnings guidance of $23.45 to $23.85 per share, well above the analyst consensus of $21.55. For the first quarter of 2026, Teledyne expects adjusted earnings of between $5.40 and $5.50 per share, compared with market expectations of $5.46.
Teledyne also disclosed that it completed the acquisition of DD-Scientific on January 14, 2026, continuing its strategy of expanding through targeted acquisitions.