10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_________________________

FORM 10-Q

_________________________

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2022

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                     to                     

Commission File Number 1-12981

_________________________

AMETEK, Inc.

(Exact name of registrant as specified in its charter)

_________________________

Delaware

(State or other jurisdiction of

incorporation or organization)

1100 Cassatt Road

Berwyn, Pennsylvania

(Address of principal executive offices)

14-1682544

(I.R.S. Employer

Identification No.)

19312-1177

(Zip Code)

Registrant’s telephone number, including area code: (610) 647-2121

_________________________

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes ☒    No  ☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  ☒    No  ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐ (Do not check if a smaller reporting company)	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐    No  ☒

_________________________

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock	AME	New York Stock Exchange

The number of shares of the registrant’s common stock outstanding as of the latest practicable date was: Common Stock, $0.01 Par Value, outstanding at July 29, 2022 was 229,578,316 shares.

AMETEK, Inc.

Form 10-Q

Table of Contents

	Page
PART I. FINANCIAL INFORMATION
Item 1.Financial Statements
Consolidated Statement of Income for the three and six months ended June 30, 2022 and 2021	3
Condensed Consolidated Statement of Comprehensive Income for the three and six months ended June 30, 2022 and 2021	4
Consolidated Balance Sheet at June 30, 2022 and December 31, 2021	5
Consolidated Statement of Stockholders’ Equity for the three and six months ended June 30, 2022 and 2021	6
Condensed Consolidated Statement of Cash Flows for the six months ended June 30, 2022 and 2021	7
Notes to Consolidated Financial Statements	8
Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations	19
Item 4.Controls and Procedures	23
PART II. OTHER INFORMATION
Item 2.Unregistered Sales of Equity Securities and Use of Proceeds	24
Item 6.Exhibits	25
SIGNATURES	26

2

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

AMETEK, Inc.

Consolidated Statement of Income

(In thousands, except per share amounts)

(Unaudited)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net sales	$	1,514,552	$	1,386,346	$	2,973,077	$	2,602,088
Cost of sales	988,175		912,712		1,937,008		1,702,104
Selling, general and administrative	161,535		157,023		317,987		290,028
Total operating expenses	1,149,710		1,069,735		2,254,995		1,992,132
Operating income	364,842		316,611		718,082		609,956
Interest expense	(20,350)		(20,442)		(39,920)		(39,389)
Other income (expense), net	1,973		(4,414)		4,525		(6,356)
Income before income taxes	346,465		291,755		682,687		564,211
Provision for income taxes	64,092		60,076		127,867		113,299
Net income	$	282,373	$	231,679	$	554,820	$	450,912
Basic earnings per share	$	1.23	$	1.00	$	2.40	$	1.96
Diluted earnings per share	$	1.22	$	1.00	$	2.39	$	1.94
Weighted average common shares outstanding:
Basic shares	230,100		230,828		230,790		230,632
Diluted shares	231,247		232,841		232,156		232,569
Dividends declared and paid per share	$	0.22	$	0.20	$	0.44	$	0.40

See accompanying notes.

3

AMETEK, Inc.

Condensed Consolidated Statement of Comprehensive Income

(In thousands)

(Unaudited)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Total comprehensive income	$	222,033	$	237,673	$	479,334	$	448,499

See accompanying notes.

4

AMETEK, Inc.

Consolidated Balance Sheet

(In thousands)

	June 30, 2022		December 31, 2021
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	348,653	$	346,772
Receivables, net	885,080		829,213
Inventories, net	966,609		769,175
Other current assets	211,272		183,605
Total current assets	2,411,614		2,128,765
Property, plant and equipment, net	597,153		617,138
Right of use assets, net	168,829		169,924
Goodwill	5,173,411		5,238,726
Other intangibles, net	3,234,443		3,368,629
Investments and other assets	399,521		375,005
Total assets	$	11,984,971	$	11,898,187
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings and current portion of long-term debt, net	$	354,791	$	315,093
Accounts payable	540,667		470,252
Customer advanced payments	327,537		298,728
Income taxes payable	35,216		35,904
Accrued liabilities and other	374,818		443,337
Total current liabilities	1,633,029		1,563,314
Long-term debt, net	2,147,362		2,229,148
Deferred income taxes	711,541		719,675
Other long-term liabilities	542,948		514,166
Total liabilities	5,034,880		5,026,303
Stockholders’ equity:
Common stock	2,695		2,689
Capital in excess of par value	1,040,951		1,012,526
Retained earnings	8,353,735		7,900,113
Accumulated other comprehensive loss	(545,930)		(470,444)
Treasury stock	(1,901,360)		(1,573,000)
Total stockholders’ equity	6,950,091		6,871,884
Total liabilities and stockholders’ equity	$	11,984,971	$	11,898,187

See accompanying notes.

5

AMETEK, Inc.

Consolidated Statement of Stockholders’ Equity

(In thousands)

(Unaudited)

	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Capital stock
Common stock, $0.01 par value
Balance at the beginning of the period	$	2,693	$	2,678	$	2,689	$	2,676
Shares issued	2		6		6		8
Balance at the end of the period	2,695		2,684		2,695		2,684
Capital in excess of par value
Balance at the beginning of the period	1,018,433		928,412		1,012,526		921,752
Issuance of common stock under employee stock plans	9,562		24,226		5,898		19,446
Share-based compensation expense	12,956		12,153		22,527		23,593
Balance at the end of the period	1,040,951		964,791		1,040,951		964,791
Retained earnings
Balance at the beginning of the period	8,121,781		7,267,856		7,900,113		7,094,656
Net income	282,373		231,679		554,820		450,912
Cash dividends paid	(50,419)		(46,134)		(101,197)		(92,167)
Other	—		—		(1)		—
Balance at the end of the period	8,353,735		7,453,401		8,353,735		7,453,401
Accumulated other comprehensive (loss) income
Foreign currency translation:
Balance at the beginning of the period	(291,511)		(260,785)		(275,365)		(250,748)
Translation adjustments	(87,391)		7,547		(114,576)		(13,953)
Change in long-term intercompany notes	(16,252)		1,329		(23,119)		(5,566)
Net investment hedge instruments gain (loss), net of tax of $(13,777) and $1,459 for the quarter ended June 30, 2022 and 2021 and $(19,608) and $(4,479) for the six months ended June 30, 2022 and 2021, respectively	42,303		(4,512)		60,209		13,846
Balance at the end of the period	(352,851)		(256,421)		(352,851)		(256,421)
Defined benefit pension plans:
Balance at the beginning of the period	(194,079)		(252,090)		(195,079)		(253,720)
Amortization of net actuarial loss and other, net of tax of $(326) and $(527) for the quarter ended June 30, 2022 and 2021 and $(652) and $(1,054) for the six months ended June 30, 2022 and 2021, respectively	1,000		1,630		2,000		3,260
Balance at the end of the period	(193,079)		(250,460)		(193,079)		(250,460)
Accumulated other comprehensive loss at the end of the period	(545,930)		(506,881)		(545,930)		(506,881)
Treasury stock
Balance at the beginning of the period	(1,725,629)		(1,565,323)		(1,573,000)		(1,565,270)
Issuance of common stock under employee stock plans	(1,076)		(492)		3,019		7,452
Purchase of treasury stock	(174,655)		(4,881)		(331,379)		(12,878)
Balance at the end of the period	(1,901,360)		(1,570,696)		(1,901,360)		(1,570,696)
Total stockholders’ equity	$	6,950,091	$	6,343,299	$	6,950,091	$	6,343,299

See accompanying notes.

6

AMETEK, Inc.

Condensed Consolidated Statement of Cash Flows

(In thousands)

(Unaudited)

	Six months ended June 30,
	2022		2021
Cash provided by (used for):
Operating activities:
Net income	$	554,820	$	450,912
Adjustments to reconcile net income to total operating activities:
Depreciation and amortization	155,218		139,814
Deferred income taxes	(19,459)		27,482
Share-based compensation expense	22,527		23,593
Gain on sale of facilities	(7,054)		—
Net change in assets and liabilities, net of acquisitions	(245,958)		(58,497)
Pension contributions	(3,884)		(4,094)
Other, net	(18,973)		(7,767)
Total operating activities	437,237		571,443
Investing activities:
Additions to property, plant and equipment	(52,540)		(41,005)
Purchases of businesses, net of cash acquired	—		(1,840,845)
Proceeds from sale of facilities	11,754		—
Other, net	(247)		(292)
Total investing activities	(41,033)		(1,882,142)
Financing activities:
Net change in short-term borrowings	56,490		569,949
Repurchases of common stock	(331,379)		(12,878)
Cash dividends paid	(101,197)		(92,167)
Proceeds from stock option exercises	17,827		31,112
Other, net	(12,134)		(4,420)
Total financing activities	(370,393)		491,596
Effect of exchange rate changes on cash and cash equivalents	(23,930)		(3,075)
Increase (decrease) in cash and cash equivalents	1,881		(822,178)
Cash and cash equivalents:
Beginning of period	346,772		1,212,822
End of period	$	348,653	$	390,644

See accompanying notes.

7

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

1.    Basis of Presentation

The accompanying consolidated financial statements are unaudited. AMETEK, Inc. (the “Company”) believes that all adjustments (which primarily consist of normal recurring accruals) necessary for a fair presentation of the consolidated financial position of the Company at June 30, 2022, the consolidated results of its operations for the three and six months ended June 30, 2022 and 2021 and its cash flows for the six months ended June 30, 2022 and 2021 have been included. Quarterly results of operations are not necessarily indicative of results for the full year. The accompanying consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes presented in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 as filed with the U.S. Securities and Exchange Commission.

2.    Recent Accounting Pronouncements

Recently Adopted Accounting Pronouncement

In October 2021, the FASB issued ASU No. 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers ("ASU 2021-08"), which provides a single comprehensive accounting model for the acquisition of contract balances under ASC 805. ASU 2021-08 is effective for fiscal years beginning after December 15, 2022. Early adoption is permitted. The Company early adopted the ASU on January 1, 2022, and the amendments in this ASU were applied on a prospective basis to all periods presented. The adoption of ASU 2021-08 did not impact the Company's consolidated results of operations, financial position, cash flows, or financial statement disclosures.

3.    Revenues

The outstanding contract asset and liability accounts were as follows:

	2022		2021
	(In thousands)
Contract assets—January 1	$	95,274	$	68,971
Contract assets – June 30	107,902		73,853
Change in contract assets – increase (decrease)	12,628		4,882
Contract liabilities – January 1	328,816		215,093
Contract liabilities – June 30	369,926		333,409
Change in contract liabilities – (increase) decrease	(41,110)		(118,316)
Net change	$	(28,482)	$	(113,434)

The net change for the six months ended June 30, 2022 was primarily driven by contract liabilities, specifically broad-based growth in advance payments from customers. For the six months ended June 30, 2022 and 2021, the Company recognized revenue of $219.3 million and $145.2 million, respectively, that was previously included in the beginning balance of contract liabilities.

Contract assets are reported as a component of Other current assets in the consolidated balance sheet. At June 30, 2022 and December 31, 2021, $42.4 million and $30.1 million of Customer advanced payments (contract liabilities), respectively, were recorded in Other long-term liabilities in the consolidated balance sheets.

The remaining performance obligations not expected to be completed within one year as of June 30, 2022 and December 31, 2021 were $422.1 million and $342.5 million, respectively. Remaining performance obligations represent the transaction price of firm, non-cancelable orders, with expected delivery dates to customers greater than one year from the balance sheet date, for which the performance obligation is unsatisfied or partially unsatisfied. These performance obligations will be substantially satisfied within two to three years.

8

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

Geographic Areas

Net sales were attributed to geographic areas based on the location of the customer. Information about the Company’s operations in different geographic areas was as follows for the three and six months ended June 30:

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
United States	$	551,967	$	240,436	$	792,403	$	1,035,593	$	471,813	$	1,507,406
International(1):
United Kingdom	19,050		31,620		50,670		47,005		60,251		107,256
European Union countries	109,425		108,031		217,456		230,139		222,193		452,332
Asia	255,232		70,225		325,457		511,652		133,064		644,716
Other foreign countries	92,574		35,992		128,566		191,618		69,749		261,367
Total international	476,281		245,868		722,149		980,414		485,257		1,465,671
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

________________

(1)    Includes U.S. export sales of $394.7 million and $801.2 million for the three and six months ended June 30, 2022.

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
United States	$	495,039	$	225,912	$	720,951	$	883,940	$	436,094	$	1,320,034
International(1):
United Kingdom	20,649		28,568		49,217		42,596		58,619		101,215
European Union countries	117,856		103,604		221,460		221,521		198,901		420,422
Asia	217,854		65,449		283,303		415,415		126,643		542,058
Other foreign countries	82,536		28,879		111,415		161,386		56,973		218,359
Total international	438,895		226,500		665,395		840,918		441,136		1,282,054
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

______________

(1)    Includes U.S. export sales of $365.5 million and $696.4 million for the three and six months ended June 30, 2021.

9

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

Major Products and Services

The Company’s major products and services in the reportable segments were as follows:

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Process and analytical instrumentation	$	768,261	$	—	$	768,261	$	1,460,953	$	—	$	1,460,953
Aerospace and power	259,987		137,340		397,327		555,054		264,082		819,136
Automation and engineered solutions	—		348,964		348,964		—		692,988		692,988
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Process and analytical instrumentation	$	644,121	$	—	$	644,121	$	1,220,680	$	—	$	1,220,680
Aerospace and power	289,813		126,466		416,279		504,178		248,639		752,817
Automation and engineered solutions	—		325,946		325,946		—		628,591		628,591
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

Timing of Revenue Recognition

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Products transferred at a point in time	$	839,948	$	423,506	$	1,263,454	$	1,652,896	$	836,160	$	2,489,056
Products and services transferred over time	188,300		62,798		251,098		363,111		120,910		484,021
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Products transferred at a point in time	$	767,514	$	408,569	$	1,176,083	$	1,414,766	$	791,600	$	2,206,366
Products and services transferred over time	166,420		43,843		210,263		310,092		85,630		395,722
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

10

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

Product Warranties

The Company provides limited warranties in connection with the sale of its products. The warranty periods for products sold vary among the Company’s operations, but the majority do not exceed one year. The Company calculates its warranty expense provision based on its historical warranty experience and adjustments are made periodically to reflect actual warranty expenses. Product warranty obligations are reported as a component of Accrued liabilities and other in the consolidated balance sheet.

Changes in the accrued product warranty obligation were as follows:

	Six Months Ended June 30,
	2022		2021
	(In thousands)
Balance at the beginning of the period	$	27,478	$	27,839
Accruals for warranties issued during the period	5,143		5,964
Settlements made during the period	(6,023)		(6,620)
Warranty accruals related to acquired businesses and other during the period	(632)		2,169
Balance at the end of the period	$	25,966	$	29,352

Accounts Receivable

The Company maintains allowances for estimated losses resulting from the inability of customers to meet their financial obligations to the Company. The Company recognizes an allowance for credit losses, on all accounts receivable and contract assets, which considers risk of future credit losses based on factors such as historical experience, contract terms, as well as general and market business conditions, country, and political risk. Balances are written off when determined to be uncollectible.

At June 30, 2022, the Company had $885.1 million of accounts receivable, net of allowances of $11.2 million. Changes in the allowance were not material for the three and six months ended June 30, 2022.

4.    Earnings Per Share

The calculation of basic earnings per share is based on the weighted average number of common shares considered outstanding during the periods. The calculation of diluted earnings per share reflects the effect of all potentially dilutive securities (principally outstanding stock options and restricted stock grants). Securities that are anti-dilutive have been excluded and are not significant. The number of weighted average shares used in the calculation of basic earnings per share and diluted earnings per share was as follows:

	Three Months Ended June 30,		Six Months Ended June 30,
	2022	2021	2022	2021
	(In thousands)
Weighted average shares:
Basic shares	230,100	230,828	230,790	230,632
Equity-based compensation plans	1,147	2,013	1,366	1,937
Diluted shares	231,247	232,841	232,156	232,569

5.    Fair Value Measurements

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date.

The Company utilizes a valuation hierarchy for disclosure of the inputs to the valuations used to measure fair value. This hierarchy prioritizes the inputs into three broad levels as follows. Level 1 inputs are quoted prices (unadjusted) in active

11

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. Level 3 inputs are unobservable inputs based on the Company’s own assumptions used to measure assets and liabilities at fair value. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement.

The following table provides the Company’s assets that are measured at fair value on a recurring basis, consistent with the fair value hierarchy, at June 30, 2022 and December 31, 2021:

	June 30, 2022		December 31, 2021
	Fair Value		Fair Value
	(In thousands)
Mutual fund investments	$	11,365	$	10,703

The fair value of mutual fund investments, which are valued as level 1 investments, was based on quoted market prices. The mutual fund investments are shown as a component of investments and other assets on the consolidated balance sheet.

For the six months ended June 30, 2022 and 2021, gains and losses on the investments noted above were not significant. No transfers between level 1 and level 2 investments occurred during the six months ended June 30, 2022 and 2021.

Financial Instruments

Cash, cash equivalents and mutual fund investments are recorded at fair value at June 30, 2022 and December 31, 2021 in the accompanying consolidated balance sheet.

The following table provides the estimated fair values of the Company’s financial instrument liabilities, for which fair value is measured for disclosure purposes only, compared to the recorded amounts at June 30, 2022 and December 31, 2021:

	June 30, 2022				December 31, 2021
	Recorded Amount		Fair Value		Recorded Amount		Fair Value
	(In thousands)
Long-term debt (including current portion)	$	(2,150,381)	$	(2,071,751)	$	(2,233,705)	$	(2,378,930)

The fair value of net short-term borrowings approximates the carrying value. Net short-term borrowings are valued as level 2 liabilities as they are corroborated by observable market data. The Company’s net long-term debt is all privately held with no public market for this debt, therefore, the fair value of net long-term debt was computed based on comparable current market data for similar debt instruments and is considered a level 3 liability.

Foreign Currency

At June 30, 2022, the Company had a Euro forward contract for a total notional value of 40.0 million Euros and a Canadian dollar forward contract for a notional value of 8.0 million Canadian dollars. For the six months ended June 30, 2022, realized and unrealized gains and losses on the foreign currency forward contracts were not significant.

6.    Hedging Activities

The Company has designated certain foreign-currency-denominated long-term borrowings as hedges of the net investment in certain foreign operations. As of June 30, 2022, these net investment hedges included British-pound-and Euro-denominated long-term debt. These borrowings were designed to create net investment hedges in certain designated foreign subsidiaries. The Company designated the British-pound- and Euro-denominated loans referred to above as hedging instruments to offset translation gains or losses on the net investment due to changes in the British pound and Euro exchange rates. These net investment hedges are evidenced by management’s contemporaneous documentation supporting the hedge designation. Any gain or loss on the hedging instruments (the debt) following hedge designation is reported in

12

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

accumulated other comprehensive income in the same manner as the translation adjustment on the hedged investment based on changes in the spot rate, which is used to measure hedge effectiveness.

At June 30, 2022, the Company had $273.6 million of British-pound-denominated loans, which were designated as a hedge against the net investment in British pound functional currency foreign subsidiaries. At June 30, 2022, the Company had $559.9 million in Euro-denominated loans, which were designated as a hedge against the net investment in Euro functional currency foreign subsidiaries. As a result of the British-pound- and Euro-denominated loans designated and 100% effective as net investment hedges, $79.8 million of pre-tax currency remeasurement gains have been included in the foreign currency translation component of other comprehensive income for the six months ended June 30, 2022.

7.    Inventories, net

	June 30, 2022		December 31, 2021
	(In thousands)
Finished goods and parts	$	117,959	$	89,985
Work in process	148,998		122,356
Raw materials and purchased parts	699,652		556,834
Total inventories, net	$	966,609	$	769,175

8.    Leases

The Company has commitments under operating leases for certain facilities, vehicles and equipment used in its operations. Cash used in operations for operating leases was not materially different from operating lease expense for the six months ended June 30, 2022 and 2021. The Company's leases have initial lease terms ranging from four months to 16 years. Certain lease agreements contain provisions for future rent increases.

The components of lease expense were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Operating lease cost	$	15,346	$	12,006	$	30,724	$	23,523
Variable lease cost	2,399		1,402		4,652		2,872
Total lease cost	$	17,745	$	13,408	$	35,376	$	26,395

Supplemental balance sheet information related to leases was as follows:

	June 30, 2022		December 31, 2021
	(In thousands)
Right of use assets, net	$	168,829	$	169,924
Lease liabilities included in Accrued Liabilities and other	47,398		47,353
Lease liabilities included in Other long-term liabilities	127,174		129,101
Total lease liabilities	$	174,572	$	176,454

13

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

Maturities of lease liabilities as of June 30, 2022 were as follows:

Lease Liability Maturity Analysis	Operating Leases
	(In thousands)
Remaining 2022	$	27,042
2023	46,817
2024	35,024
2025	25,611
2026	18,758
Thereafter	28,245
Total lease payments	181,497
Less: imputed interest	6,925
	$	174,572

The Company does not have any significant leases that have not yet commenced.

9.    Goodwill

The changes in the carrying amounts of goodwill by segment were as follows:

	EIG		EMG		Total
	(In millions)
Balance at December 31, 2021	$	4,073.8	$	1,164.9	$	5,238.7
Purchase price allocation adjustments and other	4.2		—		4.2
Foreign currency translation adjustments	(38.8)		(30.7)		(69.5)
Balance at June 30, 2022	$	4,039.2	$	1,134.2	$	5,173.4

The Company finalized its measurements of certain tangible and intangible assets and liabilities for its November 2021 acquisition of Alphasense, which had no material impact to the consolidated statement of income and balance sheet.

10.    Income Taxes

At June 30, 2022, the Company had gross uncertain tax benefits of $161.2 million, of which $118.7 million, if recognized, would impact the effective tax rate.

The following is a reconciliation of the liability for uncertain tax positions (in millions):

Balance at December 31, 2021	$	147.0
Additions for tax positions	14.6
Reductions for tax positions	(0.4)
Balance at June 30, 2022	$	161.2

The additions above primarily reflect the tax positions for foreign tax planning initiatives. The Company recognizes interest and penalties accrued related to uncertain tax positions in income tax expense. The amounts recognized in income tax expense for interest and penalties during the three and six months ended June 30, 2022 and 2021 were not significant.

The effective tax rate for the three months ended June 30, 2022 was 18.5%, compared with 20.6% for the three months ended June 30, 2021. The lower effective tax rate in the second quarter of 2022 is primarily due to improved foreign-derived intangible income ("FDII") benefits on exported products and favorable foreign deferred taxes. The higher effective tax rate in 2021 included an increase in the foreign rate differential and the remeasurement of the deferred tax liabilities due to an increase in the UK tax rate in 2021.

14

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

11.    Debt

On May 12, 2022, the Company along with certain of its foreign subsidiaries amended and restated its credit agreement dated as of September 22, 2011, as amended and restated as of March 10, 2016 and as further amended and restated as of October 30, 2018, with the lenders, JPMorgan Chase Bank, N.A., as Administrative Agent and Bank of America, N.A., PNC Bank, National Association, Trust Bank and Wells Fargo Bank, National Association, as Co-Syndication Agents. The credit agreement amends and restates the Company’s existing revolving credit facility to increase the size from $1.5 billion to $2.3 billion and terminates the $800 million term loan. The credit agreement places certain restrictions on allowable additional indebtedness. At June 30, 2022, the Company had $360.0 million outstanding on the revolver with a maturity date of May 2027.

12.    Share-Based Compensation

The Company's share-based compensation plans are described in Note 11, Share-Based Compensation, to the consolidated financial statements in Part II, Item 8, filed on the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

Share Based Compensation Expense

Total share-based compensation expense was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Stock option expense	$	3,383	$	3,326	$	6,823	$	7,249
Restricted stock expense	5,253		5,690		10,031		11,917
Performance restricted stock unit expense	4,320		3,137		5,673		4,427
Total pre-tax expense	$	12,956	$	12,153	$	22,527	$	23,593

Pre-tax share-based compensation expense is included in the consolidated statement of income in either Cost of sales or Selling, general and administrative expenses, depending on where the recipient’s cash compensation is reported.

Stock Options

The fair value of each stock option grant is estimated on the grant date using a Black-Scholes-Merton option pricing model. The following weighted average assumptions were used in the Black-Scholes-Merton model to estimate the fair values of stock options granted during the periods indicated:

	Six Months Ended June 30, 2022			Year Ended December 31, 2021
Expected volatility	24.5		%	24.2		%
Expected term (years)	5.0			5.0
Risk-free interest rate	2.33		%	0.85		%
Expected dividend yield	0.65		%	0.66		%
Black-Scholes-Merton fair value per stock option granted	$	32.54		$	25.63

15

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

The following is a summary of the Company’s stock option activity and related information:

	Shares	Weighted Average Exercise Price		Weighted Average Remaining Contractual Life	Aggregate Intrinsic Value
	(In thousands)			(Years)	(In millions)
Outstanding at December 31, 2021	3,352	$	76.08
Granted	608	134.69
Exercised	(291)	62.97
Forfeited	(54)	99.43
Outstanding at June 30, 2022	3,615	$	86.64	6.5	$	104.8
Exercisable at June 30, 2022	2,438	$	72.77	5.4	$	92.6

The aggregate intrinsic value of stock options exercised during the six months ended June 30, 2022 was $18.3 million. The total fair value of stock options vested during the six months ended June 30, 2022 was $11.2 million. As of June 30, 2022, there was approximately $24.3 million of expected future pre-tax compensation expense related to the 1.2 million non-vested stock options outstanding, which is expected to be recognized over a weighted average period of approximately two years.

Restricted Stock

The following is a summary of the Company’s non-vested restricted stock activity and related information:

	Shares	Weighted Average  Grant Date Fair Value
	(In thousands)
Non-vested restricted stock outstanding at December 31, 2021	413	$	96.07
Granted	181	134.63
Vested	(155)	85.97
Forfeited	(25)	105.34
Non-vested restricted stock outstanding at June 30, 2022	414	$	116.13

The total fair value of restricted stock vested during the six months ended June 30, 2022 was $13.3 million. As of June 30, 2022, there was approximately $37.9 million of expected future pre-tax compensation expense related to the 0.4 million non-vested restricted shares outstanding, which is expected to be recognized over a weighted average period of approximately two years.

Performance Restricted Stock Units

In March 2022, the Company granted performance restricted stock units ("PRSU") to officers and certain key management-level employees. The PRSUs vest over a period up to three years from the grant date based on continuous service, with the number of shares earned (0% to 200% of the target award) depending upon the extent to which the Company achieves certain financial and market performance targets measured over the period from January 1 of the year of grant to December 31 of the third year. Half of the PRSUs were valued in a manner similar to restricted stock as the financial targets are based on the Company’s operating results, which represents a performance condition. The grant date fair value of these PRSUs are recognized as compensation expense over the vesting period based on the probable number of awards to vest at each reporting date.

The other half of the PRSUs were valued using a Monte Carlo model as the performance target is related to the Company’s total shareholder return compared to a group of peer companies, which represents a market condition. The Company recognizes the grant date fair value of these awards as compensation expense ratably over the vesting period.

16

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

The following is a summary of the Company’s non-vested performance restricted stock activity and related information:

	Shares	Weighted Average  Grant Date Fair Value
	(In thousands)
Non-vested performance restricted stock outstanding at December 31, 2021	289	$	85.29
Granted	87	134.69
Performance assumption change 1	66	81.76
Vested	(161)	81.76
Forfeited	(3)	96.93
Non-vested performance restricted stock outstanding at June 30, 2022	278	$	101.95

_________________________________________

1 Reflects the number of PRSUs above target levels based on performance metrics.

As of June 30, 2022, there was approximately $13.2 million of expected future pre-tax compensation expense related to the 0.3 million non-vested restricted shares outstanding, which is expected to be recognized over a weighted average period of less than one year.

13.    Retirement and Pension Plans

The components of net periodic pension benefit expense (income) were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Defined benefit plans:
Service cost	$	1,331	$	2,030	$	2,705	$	4,051
Interest cost	5,032		4,581		10,152		9,148
Expected return on plan assets	(15,033)		(14,221)		(30,301)		(28,395)
Amortization of net actuarial loss and other	2,123		4,379		4,297		8,732
Pension income	(6,547)		(3,231)		(13,147)		(6,464)
Other plans:
Defined contribution plans	9,811		7,961		23,072		16,416
Foreign plans and other	2,077		2,123		4,395		4,357
Total other plans	11,888		10,084		27,467		20,773
Total net pension expense	$	5,341	$	6,853	$	14,320	$	14,309

For defined benefit plans, the net periodic benefit income, other than the service cost component, is included in “Other (expense) income, net” in the consolidated statement of income.

For the six months ended June 30, 2022 and 2021, contributions to the Company’s defined benefit pension plans were $3.9 million and $4.1 million, respectively. The Company’s current estimate of 2022 contributions to its worldwide defined benefit pension plans is in line with the range disclosed in Note 12 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

17

AMETEK, Inc.

Notes to Consolidated Financial Statements

June 30, 2022

(Unaudited)

14.    Contingencies

Asbestos Litigation

The Company (including its subsidiaries) has been named as a defendant in a number of asbestos-related lawsuits. Certain of these lawsuits relate to a business which was acquired by the Company and do not involve products which were manufactured or sold by the Company. In connection with these lawsuits, the seller of such business has agreed to indemnify the Company against these claims (the “Indemnified Claims”). The Indemnified Claims have been tendered to, and are being defended by, such seller. The seller has met its obligations, in all respects, and the Company does not have any reason to believe such party would fail to fulfill its obligations in the future. To date, no judgments have been rendered against the Company as a result of any asbestos-related lawsuit. The Company believes that it has good and valid defenses to each of these claims and intends to defend them vigorously.

Environmental Matters

Certain historic processes in the manufacture of products have resulted in environmentally hazardous waste by-products as defined by federal and state laws and regulations. At June 30, 2022, the Company is named a Potentially Responsible Party (“PRP”) at 13 non-AMETEK-owned former waste disposal or treatment sites (the “non-owned” sites). The Company is identified as a “de minimis” party in 12 of these sites based on the low volume of waste attributed to the Company relative to the amounts attributed to other named PRPs. In eight of these sites, the Company has reached a tentative agreement on the cost of the de minimis settlement to satisfy its obligation and is awaiting executed agreements. The tentatively agreed-to settlement amounts are fully reserved. In the other four sites, the Company is continuing to investigate the accuracy of the alleged volume attributed to the Company as estimated by the parties primarily responsible for remedial activity at the sites to establish an appropriate settlement amount. At the remaining site where the Company is a non-de minimis PRP, the Company is participating in the investigation and/or related required remediation as part of a PRP Group and reserves have been established to satisfy the Company’s expected obligations. The Company historically has resolved these issues within established reserve levels and reasonably expects this result will continue. In addition to these non-owned sites, the Company has an ongoing practice of providing reserves for probable remediation activities at certain of its current or previously owned manufacturing locations (the “owned” sites). For claims and proceedings against the Company with respect to other environmental matters, reserves are established once the Company has determined that a loss is probable and estimable. This estimate is refined as the Company moves through the various stages of investigation, risk assessment, feasibility study and corrective action processes. In certain instances, the Company has developed a range of estimates for such costs and has recorded a liability based on the best estimate. It is reasonably possible that the actual cost of remediation of the individual sites could vary from the current estimates and the amounts accrued in the consolidated financial statements; however, the amounts of such variances are not expected to result in a material change to the consolidated financial statements. In estimating the Company’s liability for remediation, the Company also considers the likely proportionate share of the anticipated remediation expense and the ability of the other PRPs to fulfill their obligations.

Total environmental reserves at June 30, 2022 and December 31, 2021 were $37.6 million and $37.2 million, respectively, for both non-owned and owned sites. For the six months ended June 30, 2022, the Company recorded $4.5 million in reserves. Additionally, the Company spent $4.1 million on environmental matters for the six months ended June 30, 2022.

The Company has agreements with other former owners of certain of its acquired businesses, as well as new owners of previously owned businesses. Under certain of the agreements, the former or new owners retained, or assumed and agreed to indemnify the Company against, certain environmental and other liabilities under certain circumstances. The Company and some of these other parties also carry insurance coverage for some environmental matters.

The Company believes it has established reserves for the environmental matters described above, which are sufficient to perform all known responsibilities under existing claims and consent orders. In the opinion of management, based on presently available information and the Company’s historical experience related to such matters, an adequate provision for probable costs has been made and the ultimate cost resulting from these actions is not expected to materially affect the consolidated results of operations, financial position or cash flows of the Company.

18

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Results of Operations

The following table sets forth net sales and income by reportable segment and on a consolidated basis:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Net sales:
Electronic Instruments	$	1,028,248	$	933,934	$	2,016,007	$	1,724,858
Electromechanical	486,304		452,412		957,070		877,230
Consolidated net sales	$	1,514,552	$	1,386,346	$	2,973,077	$	2,602,088
Operating income and income before income taxes:
Segment operating income:
Electronic Instruments	$	265,115	$	226,637	$	509,889	$	433,534
Electromechanical	124,371		112,434		252,580		217,467
Total segment operating income	389,486		339,071		762,469		651,001
Corporate administrative expenses	(24,644)		(22,460)		(44,387)		(41,045)
Consolidated operating income	364,842		316,611		718,082		609,956
Interest expense	(20,350)		(20,442)		(39,920)		(39,389)
Other income (expense), net	1,973		(4,414)		4,525		(6,356)
Consolidated income before income taxes	$	346,465	$	291,755	$	682,687	$	564,211

Recent Events and Market Conditions

Recent events and market conditions impacting our business include the COVID-19 pandemic, increased material and transportation cost inflation, supply chain constraints, and the ongoing conflict in Ukraine. As a result of these events and conditions, we anticipate a challenging global economic environment for the remainder of 2022. There still remains uncertainty around the COVID-19 pandemic, its effect on labor, government mandated lockdowns and other restrictive measures, and the pandemic's ultimate duration. The recent lockdowns in China limited our ability to access customer sites, operate certain facilities, and placed additional constraints on our supply chain during the second quarter. Depending on the course of the pandemic, additional lockdowns in China or elsewhere could impact our operations and results of operations. Beginning in 2021, we experienced heightened levels of inflation in material and transportation costs and we expect elevated levels of cost inflation to persist throughout 2022. We have taken steps to mitigate the impacts of inflation by implementing pricing actions. We experienced additional pressure in our supply chain due to component shortages and strained transportation capacity, as well as the impact of continued elevated customer demand. In response to these supply chain pressures, we have taken actions to build inventory and seek alternative sources of supply to support sales and backlog growth. The invasion of Ukraine by Russia and the sanctions imposed in response to this conflict have increased global economic and political uncertainty. Russia and Ukraine represent an insignificant portion of our business, but a significant expansion of the conflict's current scope could further complicate the economic environment. While the ultimate impact of these events remains uncertain, we will continue to evaluate the extent to which these factors will impact our business, financial condition, and results of operations.

Results of operations for the second quarter of 2022 compared with the second quarter of 2021

For the quarter ended June 30, 2022, the Company posted record sales, operating income, and backlog as well as strong orders. The Company achieved these results from organic sales growth in both EIG and EMG, as well as the Company's Operational Excellence initiatives.

Net sales for the second quarter of 2022 were a record $1,514.6 million, an increase of $128.3 million or 9.2%, compared with net sales of $1,386.3 million for the second quarter of 2021. The increase in net sales for the second quarter of 2022 was due to a 12% increase in organic sales, a 1% increase from acquisitions, partially offset by an unfavorable 3% effect of foreign currency translation.

Total international sales for the second quarter of 2022 were $721.4 million or 47.6% of net sales, an increase of $55.7 million or 8.4%, compared with international sales of $665.7 million or 48.0% of net sales for the second quarter of 2021. The increase in international sales was primarily driven by strong demand in Asia during the quarter as well as contributions from recent acquisitions.

19

Orders for the second quarter of 2022 were $1,644.5 million, a decrease of $269.2 million or 14.1%, compared with $1,913.7 million for the second quarter of 2021. The decrease in orders for the second quarter of 2022 was due to a 20% decrease from $371 million of acquired backlog from the 2021 acquisitions, an unfavorable 5% effect of foreign currency translation, partially offset by an 11% increase in organic orders. As a result, the Company's backlog of unfilled orders at June 30, 2022 was a record $3,104.4 million, an increase of $374.3 million or 13.7% compared with $2,730.1 million at December 31, 2021.

Segment operating income for the second quarter of 2022 was $389.5 million, an increase of $50.4 million or 14.9%, compared with segment operating income of $339.1 million for the second quarter of 2021. Segment operating income was positively impacted in 2022 by the increase in sales discussed above. Segment operating margins, as a percentage of net sales, increased to 25.7% for the second quarter of 2022, compared with 24.5% for the second quarter of 2021. Excluding the dilutive impact of the 2021 acquisitions, segment operating margins for the core businesses increased 130 basis points compared to the second quarter of 2021, due to benefits from the Company's Operational Excellence initiatives.

Cost of sales for the second quarter of 2022 was $988.2 million or 65.2% of net sales, an increase of $75.5 million or 8.3%, compared with $912.7 million or 65.8% of net sales for the second quarter of 2021. The cost of sales increase was primarily due to the net sales increase discussed above.

Selling, general and administrative expenses for the second quarter of 2022 were $161.5 million or 10.7% of net sales, an increase of $4.5 million or 2.9%, compared with $157.0 million or 11.3% of net sales for the second quarter of 2021.

Consolidated operating income was a record $364.8 million or 24.1% of net sales for the second quarter of 2022, an increase of $48.2 million or 15.2%, compared with $316.6 million or 22.8% of net sales for the second quarter of 2021.

Other income, net was $2.0 million for the second quarter of 2022, compared with $4.4 million of other expense, net for the second quarter of 2021, a change of $6.4 million. The second quarter of 2022 includes higher pension income of $2.5 million and lower due diligence expense compared to the second quarter of 2021.

The effective tax rate for the second quarter of 2022 was 18.5%, compared with 20.6% for the second quarter of 2021. The lower effective tax rate in the second quarter of 2022 is primarily due to improved foreign-derived intangible income ("FDII") benefits on exported products and favorable foreign deferred taxes.

Net income for the second quarter of 2022 was a record $282.4 million, an increase of $50.7 million or 21.9%, compared with $231.7 million for the second quarter of 2021.

Diluted earnings per share for the second quarter of 2022 were $1.22, an increase of $0.22 or 22.0%, compared with $1.00 per diluted share for the second quarter of 2021.

Segment Results

EIG’s net sales totaled $1,028.2 million for the second quarter of 2022, an increase of $94.3 million or 10.1%, compared with $933.9 million for the second quarter of 2021. The net sales increase was due to a 12% increase in organic sales, a 1% increase from acquisitions, partially offset by an unfavorable 3% effect of foreign currency translation.

EIG’s operating income was $265.1 million for the second quarter of 2022, an increase of $38.5 million or 17.0%, compared with $226.6 million for the second quarter of 2021. EIG’s operating margins were 25.8% of net sales for the second quarter of 2022, compared with 24.3% for the second quarter of 2021. Excluding the dilutive impact of recent acquisitions, EIG operating margins for the core business increased 170 basis points compared to the second quarter of 2021, due to benefits from the Company's Operational Excellence initiatives.

EMG’s net sales totaled $486.3 million for the second quarter of 2022, an increase of $33.9 million or 7.5%, compared with $452.4 million for the second quarter of 2021. The net sales increase was due to an 11% organic sales increase, partially offset by an unfavorable 3% effect of foreign currency translation.

EMG’s operating income was $124.4 million for the second quarter of 2022, an increase of $12.0 million or 10.6%, compared with $112.4 million for the second quarter of 2021. EMG’s operating margins were 25.6% of net sales for the second quarter of 2022, compared with 24.9% for the second quarter of 2021. EMG operating margins increased compared to the second quarter of 2021 due to benefits from the Company's Operational Excellence initiatives.

20

Results of operations for the first six months of 2022 compared with the first six months of 2021

Net sales for the first six months of 2022 were $2,973.1 million, an increase of $371.0 million or 14.3%, compared with net sales of $2,602.1 million for the first six months of 2021. The increase in net sales for the first six months of 2022 was due to a 13% organic sales increase, a 3% increase from acquisitions, partially offset by an unfavorable 2% effect of foreign currency translation.

Total international sales for the first six months of 2022 were $1,465.7 million or 49.3% of net sales, an increase of $183.6 million or 14.3%, compared with international sales of $1,282.1 million or 49.3% of net sales for the first six months of 2021. The increase in international sales was primarily driven by strong demand in Europe and Asia as well as contributions from recent acquisitions.

Orders for the first six months of 2022 were $3,347.4 million, an increase of $36.0 million or 1.1%, compared with $3,311.4 million for the first six months of 2021. The increase in orders for the first six months of 2022 was due to a 14% organic order increase, partially offset by a 10% decrease from acquisitions, as well as a 3% unfavorable effect of foreign currency translation.

Segment operating income for the first six months of 2022 was $762.5 million, an increase of $111.5 million or 17.1%, compared with segment operating income of $651.0 million for the first six months of 2021. Segment operating income was positively impacted in 2022 by the increase in sales discussed above, as well as a $7.1 million gain on the sale of a facility. Segment operating margins, as a percentage of net sales, increased to 25.6% for the first six months of 2022, compared with 25.0% for the first six months of 2021. Segment operating margins for the first six months of 2022 were negatively impacted by the dilutive impact of recent acquisitions. Excluding the dilutive impact of recent acquisitions and the gain on the sale of a facility, segment operating margins for the core businesses increased 140 basis points compared to the first six months of 2021, due to the Company's Operational Excellence initiatives.

Cost of sales for the first six months of 2022 was $1,937.0 million or 65.2% of net sales, an increase of $234.9 million or 13.8%, compared with $1,702.1 million or 65.4% of net sales for the first six months of 2021. The cost of sales increase was primarily due to the net sales increase discussed above.

Selling, general and administrative expenses for the first six months of 2022 were $318.0 million or 10.7% of net sales, an increase of $28.0 million or 9.6%, compared with $290.0 million or 11.1% of net sales for the first six months of 2021. Selling, general and administrative expenses increased primarily due to the net sales increase discussed above.

Consolidated operating income was $718.1 million or 24.2% of net sales for the first six months of 2022, an increase of $108.1 million or 17.7%, compared with $610.0 million or 23.4% of net sales for the first six months of 2021. The consolidated operating income and operating income margins for the first six months of 2022 were positively impacted by the increase in net sales discussed above as well as the benefits of the Company's Operational Excellence initiatives.

Other income, net was $4.5 million for the first six months of 2022, compared with $6.4 million of other expense, net for the first six months of 2021, a change of $10.9 million. The first six months of 2022 includes higher pension income of $5.0 million and lower acquisition-related due diligence expense compared to the first six months of 2021.

The effective tax rate for the first six months of 2022 was 18.7%, compared with 20.1% for the first six months of 2021. The lower effective tax rate in 2022 is primarily due to improved FDII benefits and a favorable foreign tax rate differential.

Net income for the first six months of 2022 was $554.8 million, an increase of $103.9 million or 23.0%, compared with $450.9 million for the first six months of 2021.

Diluted earnings per share for the first six months of 2022 were $2.39, an increase of $0.45 or 23.2%, compared with $1.94 per diluted share for the first six months of 2021.

21

Segment Results

EIG’s net sales totaled $2,016.0 million for the first six months of 2022, an increase of $291.1 million or 16.9%, compared with $1,724.9 million for the first six months of 2021. The net sales increase was due to a 14% organic sales increase, a 5% increase from acquisitions, partially offset by an unfavorable 2% effect of foreign currency translation.

EIG’s operating income was $509.9 million for the first six months of 2022, an increase of $76.4 million or 17.6%, compared with $433.5 million for the first six months of 2021. EIG’s operating margins were 25.3% of net sales for the first six months of 2022, compared with 25.1% for the first six months of 2021. EIG's operating margins in the first six months of 2022 were negatively impacted by the dilutive impact of the 2021 acquisitions. Excluding the dilutive impact of recent acquisitions, EIG operating margins increased 160 basis points compared to the first six months of 2021, due to benefits from the Company's Operational Excellence initiatives.

EMG’s net sales totaled $957.1 million for the first six months of 2022, an increase of $79.9 million or 9.1%, compared with $877.2 million for the first six months of 2021. The net sales increase was due to an 11% organic sales increase, partially offset by an unfavorable 2% effect of foreign currency translation.

EMG’s operating income was $252.6 million for the first six months of 2022, an increase of $35.1 million or 16.1%, compared with $217.5 million for the first six months of 2021. EMG's operating income included a $7.1 million gain on the sale of a facility during the first six months of 2022. EMG’s operating margins were 26.4% of net sales for the first six months of 2022, compared with 24.8% for the first six months of 2021. Excluding the gain on the sale of a facility, EMG operating margins increased 90 basis points compared to the first six months of 2021, due to the Company's Operational Excellence initiatives.

Financial Condition

Liquidity and Capital Resources

Cash provided by operating activities totaled $437.2 million for the first six months of 2022, a decrease of $134.2 million or 23.5%, compared with $571.4 million for the first six months of 2021. The decrease in cash provided by operating activities for the first six months of 2022 was primarily due to higher investments in inventory to support sales and backlog growth, and to mitigate inventory supply chain constraints, partially offset by higher net income.

Free cash flow (cash flow provided by operating activities less capital expenditures) was $384.7 million for the first six months of 2022, compared with $530.4 million for the first six months of 2021. EBITDA (earnings before interest, income taxes, depreciation and amortization) was $877.2 million for the first six months of 2022, compared with $742.5 million for the first six months of 2021. Free cash flow and EBITDA are presented because the Company is aware that they are measures used by third parties in evaluating the Company.

Cash used by investing activities totaled $41.0 million for the first six months of 2022, compared with cash used by investing activities of $1,882.1 million for the first six months of 2021. For the first six months of 2022, the Company received proceeds of $11.8 million from the sale of a facility. For the first six months of 2021, the Company paid $1,840.8 million, net of cash acquired, to purchase Abaco Systems, Magnetrol International, NSI-MI Technologies, Crank Software, and EGS Automation. Additions to property, plant and equipment totaled $52.5 million for the first six months of 2022, compared with $41.0 million for the first six months of 2021.

Cash used by financing activities totaled $370.4 million for the first six months of 2022, compared with cash provided by financing activities of $491.6 million for the first six months of 2021. At June 30, 2022, total debt, net was $2,502.2 million, compared with $2,544.2 million at December 31, 2021. For the first six months of 2022, total borrowings increased by $56.5 million compared with a $569.9 million increase for the first six months of 2021. At June 30, 2022, the Company had available borrowing capacity of $2,600.1 million under its revolving credit facility, including the $700 million accordion feature.

On May 12, 2022, the Company along with certain of its foreign subsidiaries amended and restated its credit agreement dated as of September 22, 2011, as amended and restated as of March 10, 2016 and as further amended and restated as of October 30, 2018, with the lenders, JPMorgan Chase Bank, N.A., as Administrative Agent and Bank of America, N.A., PNC Bank, National Association, Trust Bank and Wells Fargo Bank, National Association, as Co-Syndication Agents. The credit agreement amends and restates the Company’s existing revolving credit facility to increase the size from $1.5 billion to $2.3 billion and terminates the $800 million term loan. The credit agreement places certain restrictions on allowable additional

22

indebtedness. At June 30, 2022, the Company had $360.0 million outstanding on the revolver with a maturity date of May 2027.

The debt-to-capital ratio was 26.5% at June 30, 2022, compared with 27.0% at December 31, 2021. The net debt-to-capital ratio (total debt, net less cash and cash equivalents divided by the sum of net debt and stockholders’ equity) was 23.7% at June 30, 2022, compared with 24.2% at December 31, 2021. The net debt-to-capital ratio is presented because the Company is aware that this measure is used by third parties in evaluating the Company.

Additional financing activities for the first six months of 2022 included cash dividends paid of $101.2 million, compared with $92.2 million for the first six months of 2021. Effective February 9, 2022, the Company’s Board of Directors approved a 10% increase in the quarterly cash dividend on the Company’s common stock to $0.22 per common share from $0.20 per common share. The Company repurchased $331.4 million of its common stock for the first six months of 2022, compared with $12.9 million for the first six months of 2021. Effective May 5, 2022, the Company's Board of Directors approved a $1 billion share repurchase authorization. This authorization replaces an earlier $500 million share repurchase authorization approved by the Board in February 2019. Proceeds from stock option exercises were $17.8 million for the first six months of 2022, compared with $31.1 million for the first six months of 2021.

As a result of all of the Company’s cash flow activities for the first six months of 2022, cash and cash equivalents at June 30, 2022 totaled $348.7 million, compared with $346.8 million at December 31, 2021. At June 30, 2022, the Company had $326.8 million in cash outside the United States, compared with $334.0 million at December 31, 2021. The Company utilizes this cash to fund its international operations, as well as to acquire international businesses. The Company is in compliance with all covenants, including financial covenants, for all of its debt agreements. The Company believes it has sufficient cash-generating capabilities from domestic and unrestricted foreign sources, available credit facilities and access to long-term capital funds to enable it to meet its operating needs and contractual obligations in the foreseeable future.

Critical Accounting Policies

The Company’s critical accounting policies are detailed in Part II, Item 7, Management’s Discussion and Analysis of Financial Condition of its Annual Report on Form 10-K for the year ended December 31, 2021. Primary disclosure of the Company’s significant accounting policies is also included in Note 1 to the Consolidated Financial Statements included in Part II, Item 8 of its Annual Report on Form 10-K.

Forward-Looking Information

Information contained in this discussion, other than historical information, is considered “forward-looking statements” and is subject to various factors and uncertainties that may cause actual results to differ significantly from expectations. These factors and uncertainties include risks related to the COVID-19 pandemic and its potential impact on AMETEK’s operations, supply chain, and demand across key end markets; general economic conditions affecting the industries the Company serves; changes in the competitive environment or the effects of competition in the Company’s markets; risks associated with international sales and operations; the Company’s ability to consummate and successfully integrate future acquisitions; the Company’s ability to successfully develop new products, open new facilities or transfer product lines; the price and availability of raw materials; compliance with government regulations, including environmental regulations; and the ability to maintain adequate liquidity and financing sources. A detailed discussion of these and other factors that may affect the Company’s future results is contained in AMETEK’s filings with the U.S. Securities and Exchange Commission, including its most recent reports on Form 10-K, 10-Q, and 8-K. AMETEK disclaims any intention or obligation to update or revise any forward-looking statements, unless required by the securities laws to do so.

Item 4. Controls and Procedures

The Company maintains a system of disclosure controls and procedures that is designed to provide reasonable assurance that information, which is required to be disclosed, is accumulated and communicated to management in a timely manner. Under the supervision and with the participation of our management, including the Company’s principal executive officer and principal financial officer, we have evaluated the effectiveness of our system of disclosure controls and procedures as required by Exchange Act Rule 13a-15(b) as of June 30, 2022. Based on that evaluation, the Company’s principal executive officer and principal financial officer concluded that the Company’s disclosure controls and procedures are effective at the reasonable assurance level.

Such evaluation did not identify any change in the Company’s internal control over financial reporting during the quarter ended June 30, 2022 that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

23

PART II. OTHER INFORMATION

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

(c) Purchase of equity securities by the issuer and affiliated purchasers.

The following table reflects purchases of AMETEK, Inc. common stock by the Company during the three months ended June 30, 2022:

Period	Total Number of Shares Purchased (1)(2)	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plan (2)	Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plan
April 1, 2022 to April 30, 2022	—	$	—	—	$	313,006,100
May 1, 2022 to May 31, 2022	1,444,565	120.91		1,444,565	825,344,405
June 1, 2022 to June 30, 2022	—	—		—	825,344,405
Total	1,444,565	$	120.91	1,444,565

________________

(1)    Includes 14,945 shares surrendered to the Company to satisfy tax withholding obligations in connection with employees’ share-based compensation awards.

(2)     Consists of the number of shares purchased pursuant to the Company’s Board of Directors $1 billion authorization for the repurchase of its common stock announced in May 2022, which replaces the previous $500 million authorization for the repurchase of its common stock announced in February 2019. Such purchases may be effected from time to time in the open market or in private transactions, subject to market conditions and at management’s discretion.

24

Item 6. Exhibits

Exhibit Number	Description
31.1*	Certification of Chief Executive Officer, Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2*	Certification of Chief Financial Officer, Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1*	Certification of Chief Executive Officer, Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2*	Certification of Chief Financial Officer, Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS*	XBRL Instance Document.
101.SCH*	XBRL Taxonomy Extension Schema Document.
101.CAL*	XBRL Taxonomy Extension Calculation Linkbase Document.
101.DEF*	XBRL Taxonomy Extension Definition Linkbase Document.
101.LAB*	XBRL Taxonomy Extension Label Linkbase Document.
101.PRE*	XBRL Taxonomy Extension Presentation Linkbase Document.
104	Cover Page Interactive Data File (formatted as inline XBRL with applicable taxonomy extension information contained in Exhibits 101).

________________

*    Filed electronically herewith.

25

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		AMETEK, Inc.
	By:	/s/ WILLIAM J. BURKE
		William J. Burke
		Executive Vice President – Chief Financial Officer
August 2, 2022

26

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, David A. Zapico, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of AMETEK, Inc. (the “registrant”);

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 2, 2022

/s/ DAVID A. ZAPICO

David A. Zapico

Chairman of the Board and Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, William J. Burke, certify that:

1.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

2.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

3.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

b)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 2, 2022

/s/ WILLIAM J. BURKE

William J. Burke

Executive Vice President – Chief Financial Officer

EX-32.1

Exhibit 32.1

AMETEK, Inc.

Certification Pursuant to

18 U.S.C. Section 1350,

as Adopted Pursuant to

Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of AMETEK, Inc. (the “Company”) on Form 10-Q for the quarter ended June 30, 2022 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, David A. Zapico, Chairman of the Board and Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(a)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(b)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ DAVID A. ZAPICO

David A. Zapico

Chairman of the Board and Chief Executive Officer

Date: August 2, 2022

A signed original of this written statement required by Section 906 has been provided to AMETEK, Inc. and will be retained by AMETEK, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

Exhibit 32.2

AMETEK, Inc.

Certification Pursuant to

18 U.S.C. Section 1350,

as Adopted Pursuant to

Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of AMETEK, Inc. (the “Company”) on Form 10-Q for the quarter ended June 30, 2022 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, William J. Burke, Executive Vice President – Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(a)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(b)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ WILLIAM J. BURKE

William J. Burke

Executive Vice President – Chief Financial Officer

Date: August 2, 2022

A signed original of this written statement required by Section 906 has been provided to AMETEK, Inc. and will be retained by AMETEK, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Cover Page - shares	6 Months Ended
	Jun. 30, 2022	Jul. 29, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	1-12981
Entity Registrant Name	AMETEK, Inc.
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	1100 Cassatt Road
Entity Address, City or Town	Berwyn
Entity Address, State or Province	PA
Entity Tax Identification Number	14-1682544
Entity Address, Postal Zip Code	19312-1177
City Area Code	610
Local Phone Number	647-2121
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Title of 12(b) Security	Common Stock
Trading Symbol	AME
Security Exchange Name	NYSE
Entity Common Stock, Shares Outstanding		229,578,316
Amendment Flag	false
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001037868
Current Fiscal Year End Date	--12-31

XML

Consolidated Statement of Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement [Abstract]
Net sales	$ 1,514,552	$ 1,386,346	$ 2,973,077	$ 2,602,088
Cost of sales	988,175	912,712	1,937,008	1,702,104
Selling, general and administrative	161,535	157,023	317,987	290,028
Total operating expenses	1,149,710	1,069,735	2,254,995	1,992,132
Operating income	364,842	316,611	718,082	609,956
Interest expense	(20,350)	(20,442)	(39,920)	(39,389)
Other income (expense), net	1,973	(4,414)	4,525	(6,356)
Income before income taxes	346,465	291,755	682,687	564,211
Provision for income taxes	64,092	60,076	127,867	113,299
Net income	$ 282,373	$ 231,679	$ 554,820	$ 450,912
Basic earnings per share (in usd per share)	$ 1.23	$ 1.00	$ 2.40	$ 1.96
Diluted earnings per share (in usd per share)	$ 1.22	$ 1.00	$ 2.39	$ 1.94
Weighted average common shares outstanding:
Basic shares (in shares)	230,100	230,828	230,790	230,632
Diluted shares (in shares)	231,247	232,841	232,156	232,569
Dividends declared and paid per share (in usd per shares)	$ 0.22	$ 0.20	$ 0.44	$ 0.40

XML

Condensed Consolidated Statement of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Comprehensive Income [Abstract]
Total comprehensive income	$ 222,033	$ 237,673	$ 479,334	$ 448,499

XML

Consolidated Balance Sheet - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 348,653	$ 346,772
Receivables, net	885,080	829,213
Inventories, net	966,609	769,175
Other current assets	211,272	183,605
Total current assets	2,411,614	2,128,765
Property, plant and equipment, net	597,153	617,138
Right of use assets, net	168,829	169,924
Goodwill	5,173,411	5,238,726
Other intangibles, net	3,234,443	3,368,629
Investments and other assets	399,521	375,005
Total assets	11,984,971	11,898,187
Current liabilities:
Short-term borrowings and current portion of long-term debt, net	354,791	315,093
Accounts payable	540,667	470,252
Customer advanced payments	327,537	298,728
Income taxes payable	35,216	35,904
Accrued liabilities and other	374,818	443,337
Total current liabilities	1,633,029	1,563,314
Long-term debt, net	2,147,362	2,229,148
Deferred income taxes	711,541	719,675
Other long-term liabilities	542,948	514,166
Total liabilities	5,034,880	5,026,303
Stockholders’ equity:
Common stock	2,695	2,689
Capital in excess of par value	1,040,951	1,012,526
Retained earnings	8,353,735	7,900,113
Accumulated other comprehensive loss	(545,930)	(470,444)
Treasury stock	(1,901,360)	(1,573,000)
Total stockholders’ equity	6,950,091	6,871,884
Total liabilities and stockholders’ equity	$ 11,984,971	$ 11,898,187

XML

Consolidated Statement of Stockholders' Equity - USD ($) $ in Thousands	Total	Capital stock	Capital in excess of par value	Retained earnings	Accumulated foreign currency adjustment attributable to parent	Accumulated defined benefit plans adjustment attributable to parent	Accumulated other comprehensive (loss) income	Treasury stock
Balance at the beginning of the year at Dec. 31, 2020		$ 2,676	$ 921,752	$ 7,094,656	$ (250,748)	$ (253,720)		$ (1,565,270)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued		8
Issuance of common stock under employee stock plans			19,446					7,452
Share-based compensation expense			23,593
Net income	$ 450,912			450,912
Cash dividends paid				(92,167)
Other				0
Translation adjustments					(13,953)
Change in long-term intercompany notes					(5,566)
Net investment hedge instruments gain (loss), net of tax of $(13,777) and $1,459 for the quarter ended June 30, 2022 and 2021 and $(19,608) and $(4,479) for the six months ended June 30, 2022 and 2021, respectively					13,846
Amortization of net actuarial loss and other, net of tax of $(326) and $(527) for the quarter ended June 30, 2022 and 2021 and $(652) and $(1,054) for the six months ended June 30, 2022 and 2021, respectively						3,260
Purchase of treasury stock								(12,878)
Balance at the end of the year at Jun. 30, 2021	6,343,299	2,684	964,791	7,453,401	(256,421)	(250,460)	$ (506,881)	(1,570,696)
Balance at the beginning of the year at Mar. 31, 2021		2,678	928,412	7,267,856	(260,785)	(252,090)		(1,565,323)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued		6
Issuance of common stock under employee stock plans			24,226					(492)
Share-based compensation expense			12,153
Net income	231,679			231,679
Cash dividends paid				(46,134)
Other				0
Translation adjustments					7,547
Change in long-term intercompany notes					1,329
Net investment hedge instruments gain (loss), net of tax of $(13,777) and $1,459 for the quarter ended June 30, 2022 and 2021 and $(19,608) and $(4,479) for the six months ended June 30, 2022 and 2021, respectively					(4,512)
Amortization of net actuarial loss and other, net of tax of $(326) and $(527) for the quarter ended June 30, 2022 and 2021 and $(652) and $(1,054) for the six months ended June 30, 2022 and 2021, respectively						1,630
Purchase of treasury stock								(4,881)
Balance at the end of the year at Jun. 30, 2021	6,343,299	2,684	964,791	7,453,401	(256,421)	(250,460)	(506,881)	(1,570,696)
Balance at the beginning of the year at Dec. 31, 2021	6,871,884	2,689	1,012,526	7,900,113	(275,365)	(195,079)		(1,573,000)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued		6
Issuance of common stock under employee stock plans			5,898					3,019
Share-based compensation expense			22,527
Net income	554,820			554,820
Cash dividends paid				(101,197)
Other				(1)
Translation adjustments					(114,576)
Change in long-term intercompany notes					(23,119)
Net investment hedge instruments gain (loss), net of tax of $(13,777) and $1,459 for the quarter ended June 30, 2022 and 2021 and $(19,608) and $(4,479) for the six months ended June 30, 2022 and 2021, respectively					60,209
Amortization of net actuarial loss and other, net of tax of $(326) and $(527) for the quarter ended June 30, 2022 and 2021 and $(652) and $(1,054) for the six months ended June 30, 2022 and 2021, respectively						2,000
Purchase of treasury stock								(331,379)
Balance at the end of the year at Jun. 30, 2022	6,950,091	2,695	1,040,951	8,353,735	(352,851)	(193,079)	(545,930)	(1,901,360)
Balance at the beginning of the year at Mar. 31, 2022		2,693	1,018,433	8,121,781	(291,511)	(194,079)		(1,725,629)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued		2
Issuance of common stock under employee stock plans			9,562					(1,076)
Share-based compensation expense			12,956
Net income	282,373			282,373
Cash dividends paid				(50,419)
Other				0
Translation adjustments					(87,391)
Change in long-term intercompany notes					(16,252)
Net investment hedge instruments gain (loss), net of tax of $(13,777) and $1,459 for the quarter ended June 30, 2022 and 2021 and $(19,608) and $(4,479) for the six months ended June 30, 2022 and 2021, respectively					42,303
Amortization of net actuarial loss and other, net of tax of $(326) and $(527) for the quarter ended June 30, 2022 and 2021 and $(652) and $(1,054) for the six months ended June 30, 2022 and 2021, respectively						1,000
Purchase of treasury stock								(174,655)
Balance at the end of the year at Jun. 30, 2022	$ 6,950,091	$ 2,695	$ 1,040,951	$ 8,353,735	$ (352,851)	$ (193,079)	$ (545,930)	$ (1,901,360)

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Consolidated Statement of Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Stockholders' Equity [Abstract]
Common stock, par value (in usd per share)	$ 0.01	$ 0.01	$ 0.01	$ 0.01
Tax related to investment hedge instruments gain (loss)	$ (13,777)	$ 1,459	$ (19,608)	$ (4,479)
Tax related to amortization of net actuarial loss (gain)	$ (326)	$ (527)	$ (652)	$ (1,054)

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Condensed Consolidated Statement of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Operating activities:
Net income	$ 554,820	$ 450,912
Adjustments to reconcile net income to total operating activities:
Depreciation and amortization	155,218	139,814
Deferred income taxes	(19,459)	27,482
Share-based compensation expense	22,527	23,593
Gain on sale of facilities	(7,054)	0
Net change in assets and liabilities, net of acquisitions	(245,958)	(58,497)
Pension contributions	(3,884)	(4,094)
Other, net	(18,973)	(7,767)
Total operating activities	437,237	571,443
Investing activities:
Additions to property, plant and equipment	(52,540)	(41,005)
Purchases of businesses, net of cash acquired	0	(1,840,845)
Proceeds from sale of facilities	11,754	0
Other, net	(247)	(292)
Total investing activities	(41,033)	(1,882,142)
Financing activities:
Net change in short-term borrowings	56,490	569,949
Repurchases of common stock	(331,379)	(12,878)
Cash dividends paid	(101,197)	(92,167)
Proceeds from stock option exercises	17,827	31,112
Other, net	(12,134)	(4,420)
Total financing activities	(370,393)	491,596
Effect of exchange rate changes on cash and cash equivalents	(23,930)	(3,075)
Increase (decrease) in cash and cash equivalents	1,881	(822,178)
Cash and cash equivalents:
Beginning of period	346,772	1,212,822
End of period	$ 348,653	$ 390,644

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Basis of Presentation	6 Months Ended
	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of PresentationThe accompanying consolidated financial statements are unaudited. AMETEK, Inc. (the “Company”) believes that all adjustments (which primarily consist of normal recurring accruals) necessary for a fair presentation of the consolidated financial position of the Company at June 30, 2022, the consolidated results of its operations for the three and six months ended June 30, 2022 and 2021 and its cash flows for the six months ended June 30, 2022 and 2021 have been included. Quarterly results of operations are not necessarily indicative of results for the full year. The accompanying consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes presented in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 as filed with the U.S. Securities and Exchange Commission.

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Recent Accounting Pronouncements

6 Months Ended

Jun. 30, 2022

Accounting Changes and Error Corrections [Abstract]

Recent Accounting Pronouncements

Recent Accounting Pronouncements

Recently Adopted Accounting Pronouncement

In October 2021, the FASB issued ASU No. 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers ("ASU 2021-08"), which provides a single comprehensive accounting model for the acquisition of contract balances under ASC 805. ASU 2021-08 is effective for fiscal years beginning after December 15, 2022. Early adoption is permitted. The Company early adopted the ASU on January 1, 2022, and the amendments in this ASU were applied on a prospective basis to all periods presented. The adoption of ASU 2021-08 did not impact the Company's consolidated results of operations, financial position, cash flows, or financial statement disclosures.

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Revenues

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenues

Revenues

The outstanding contract asset and liability accounts were as follows:

	2022		2021
	(In thousands)
Contract assets—January 1	$	95,274	$	68,971
Contract assets – June 30	107,902		73,853
Change in contract assets – increase (decrease)	12,628		4,882
Contract liabilities – January 1	328,816		215,093
Contract liabilities – June 30	369,926		333,409
Change in contract liabilities – (increase) decrease	(41,110)		(118,316)
Net change	$	(28,482)	$	(113,434)

The net change for the six months ended June 30, 2022 was primarily driven by contract liabilities, specifically broad-based growth in advance payments from customers. For the six months ended June 30, 2022 and 2021, the Company recognized revenue of $219.3 million and $145.2 million, respectively, that was previously included in the beginning balance of contract liabilities.

Contract assets are reported as a component of Other current assets in the consolidated balance sheet. At June 30, 2022 and December 31, 2021, $42.4 million and $30.1 million of Customer advanced payments (contract liabilities), respectively, were recorded in Other long-term liabilities in the consolidated balance sheets.

The remaining performance obligations not expected to be completed within one year as of June 30, 2022 and December 31, 2021 were $422.1 million and $342.5 million, respectively. Remaining performance obligations represent the transaction price of firm, non-cancelable orders, with expected delivery dates to customers greater than one year from the balance sheet date, for which the performance obligation is unsatisfied or partially unsatisfied. These performance obligations will be substantially satisfied within two to three years.

Geographic Areas

Net sales were attributed to geographic areas based on the location of the customer. Information about the Company’s operations in different geographic areas was as follows for the three and six months ended June 30:

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
United States	$	551,967	$	240,436	$	792,403	$	1,035,593	$	471,813	$	1,507,406
International(1):
United Kingdom	19,050		31,620		50,670		47,005		60,251		107,256
European Union countries	109,425		108,031		217,456		230,139		222,193		452,332
Asia	255,232		70,225		325,457		511,652		133,064		644,716
Other foreign countries	92,574		35,992		128,566		191,618		69,749		261,367
Total international	476,281		245,868		722,149		980,414		485,257		1,465,671
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

________________

(1)    Includes U.S. export sales of $394.7 million and $801.2 million for the three and six months ended June 30, 2022.

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
United States	$	495,039	$	225,912	$	720,951	$	883,940	$	436,094	$	1,320,034
International(1):
United Kingdom	20,649		28,568		49,217		42,596		58,619		101,215
European Union countries	117,856		103,604		221,460		221,521		198,901		420,422
Asia	217,854		65,449		283,303		415,415		126,643		542,058
Other foreign countries	82,536		28,879		111,415		161,386		56,973		218,359
Total international	438,895		226,500		665,395		840,918		441,136		1,282,054
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

______________

(1)    Includes U.S. export sales of $365.5 million and $696.4 million for the three and six months ended June 30, 2021.

Major Products and Services

The Company’s major products and services in the reportable segments were as follows:

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Process and analytical instrumentation	$	768,261	$	—	$	768,261	$	1,460,953	$	—	$	1,460,953
Aerospace and power	259,987		137,340		397,327		555,054		264,082		819,136
Automation and engineered solutions	—		348,964		348,964		—		692,988		692,988
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Process and analytical instrumentation	$	644,121	$	—	$	644,121	$	1,220,680	$	—	$	1,220,680
Aerospace and power	289,813		126,466		416,279		504,178		248,639		752,817
Automation and engineered solutions	—		325,946		325,946		—		628,591		628,591
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

Timing of Revenue Recognition

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Products transferred at a point in time	$	839,948	$	423,506	$	1,263,454	$	1,652,896	$	836,160	$	2,489,056
Products and services transferred over time	188,300		62,798		251,098		363,111		120,910		484,021
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Products transferred at a point in time	$	767,514	$	408,569	$	1,176,083	$	1,414,766	$	791,600	$	2,206,366
Products and services transferred over time	166,420		43,843		210,263		310,092		85,630		395,722
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

Product Warranties

The Company provides limited warranties in connection with the sale of its products. The warranty periods for products sold vary among the Company’s operations, but the majority do not exceed one year. The Company calculates its warranty expense provision based on its historical warranty experience and adjustments are made periodically to reflect actual warranty expenses. Product warranty obligations are reported as a component of Accrued liabilities and other in the consolidated balance sheet.

Changes in the accrued product warranty obligation were as follows:

	Six Months Ended June 30,
	2022		2021
	(In thousands)
Balance at the beginning of the period	$	27,478	$	27,839
Accruals for warranties issued during the period	5,143		5,964
Settlements made during the period	(6,023)		(6,620)
Warranty accruals related to acquired businesses and other during the period	(632)		2,169
Balance at the end of the period	$	25,966	$	29,352

Accounts Receivable

The Company maintains allowances for estimated losses resulting from the inability of customers to meet their financial obligations to the Company. The Company recognizes an allowance for credit losses, on all accounts receivable and contract assets, which considers risk of future credit losses based on factors such as historical experience, contract terms, as well as general and market business conditions, country, and political risk. Balances are written off when determined to be uncollectible.

At June 30, 2022, the Company had $885.1 million of accounts receivable, net of allowances of $11.2 million. Changes in the allowance were not material for the three and six months ended June 30, 2022.

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Earnings Per Share

6 Months Ended

Jun. 30, 2022

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

The calculation of basic earnings per share is based on the weighted average number of common shares considered outstanding during the periods. The calculation of diluted earnings per share reflects the effect of all potentially dilutive securities (principally outstanding stock options and restricted stock grants). Securities that are anti-dilutive have been excluded and are not significant. The number of weighted average shares used in the calculation of basic earnings per share and diluted earnings per share was as follows:

	Three Months Ended June 30,		Six Months Ended June 30,
	2022	2021	2022	2021
	(In thousands)
Weighted average shares:
Basic shares	230,100	230,828	230,790	230,632
Equity-based compensation plans	1,147	2,013	1,366	1,937
Diluted shares	231,247	232,841	232,156	232,569

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Fair Value Measurements

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date.

The Company utilizes a valuation hierarchy for disclosure of the inputs to the valuations used to measure fair value. This hierarchy prioritizes the inputs into three broad levels as follows. Level 1 inputs are quoted prices (unadjusted) in active

markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. Level 3 inputs are unobservable inputs based on the Company’s own assumptions used to measure assets and liabilities at fair value. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement.

The following table provides the Company’s assets that are measured at fair value on a recurring basis, consistent with the fair value hierarchy, at June 30, 2022 and December 31, 2021:

	June 30, 2022		December 31, 2021
	Fair Value		Fair Value
	(In thousands)
Mutual fund investments	$	11,365	$	10,703

The fair value of mutual fund investments, which are valued as level 1 investments, was based on quoted market prices. The mutual fund investments are shown as a component of investments and other assets on the consolidated balance sheet.

For the six months ended June 30, 2022 and 2021, gains and losses on the investments noted above were not significant. No transfers between level 1 and level 2 investments occurred during the six months ended June 30, 2022 and 2021.

Financial Instruments

Cash, cash equivalents and mutual fund investments are recorded at fair value at June 30, 2022 and December 31, 2021 in the accompanying consolidated balance sheet.

The following table provides the estimated fair values of the Company’s financial instrument liabilities, for which fair value is measured for disclosure purposes only, compared to the recorded amounts at June 30, 2022 and December 31, 2021:

	June 30, 2022				December 31, 2021
	Recorded Amount		Fair Value		Recorded Amount		Fair Value
	(In thousands)
Long-term debt (including current portion)	$	(2,150,381)	$	(2,071,751)	$	(2,233,705)	$	(2,378,930)

The fair value of net short-term borrowings approximates the carrying value. Net short-term borrowings are valued as level 2 liabilities as they are corroborated by observable market data. The Company’s net long-term debt is all privately held with no public market for this debt, therefore, the fair value of net long-term debt was computed based on comparable current market data for similar debt instruments and is considered a level 3 liability.

Foreign Currency

At June 30, 2022, the Company had a Euro forward contract for a total notional value of 40.0 million Euros and a Canadian dollar forward contract for a notional value of 8.0 million Canadian dollars. For the six months ended June 30, 2022, realized and unrealized gains and losses on the foreign currency forward contracts were not significant.

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Hedging Activities

6 Months Ended

Jun. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Hedging Activities

Hedging ActivitiesThe Company has designated certain foreign-currency-denominated long-term borrowings as hedges of the net investment in certain foreign operations. As of June 30, 2022, these net investment hedges included British-pound-and Euro-denominated long-term debt. These borrowings were designed to create net investment hedges in certain designated foreign subsidiaries. The Company designated the British-pound- and Euro-denominated loans referred to above as hedging instruments to offset translation gains or losses on the net investment due to changes in the British pound and Euro exchange rates. These net investment hedges are evidenced by management’s contemporaneous documentation supporting the hedge designation. Any gain or loss on the hedging instruments (the debt) following hedge designation is reported in

accumulated other comprehensive income in the same manner as the translation adjustment on the hedged investment based on changes in the spot rate, which is used to measure hedge effectiveness.

At June 30, 2022, the Company had $273.6 million of British-pound-denominated loans, which were designated as a hedge against the net investment in British pound functional currency foreign subsidiaries. At June 30, 2022, the Company had $559.9 million in Euro-denominated loans, which were designated as a hedge against the net investment in Euro functional currency foreign subsidiaries. As a result of the British-pound- and Euro-denominated loans designated and 100% effective as net investment hedges, $79.8 million of pre-tax currency remeasurement gains have been included in the foreign currency translation component of other comprehensive income for the six months ended June 30, 2022.

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Inventories, net

6 Months Ended

Jun. 30, 2022

Inventory Disclosure [Abstract]

Inventories, net

Inventories, net

	June 30, 2022		December 31, 2021
	(In thousands)
Finished goods and parts	$	117,959	$	89,985
Work in process	148,998		122,356
Raw materials and purchased parts	699,652		556,834
Total inventories, net	$	966,609	$	769,175

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Leases

6 Months Ended

Jun. 30, 2022

Leases [Abstract]

Leases

Leases

The Company has commitments under operating leases for certain facilities, vehicles and equipment used in its operations. Cash used in operations for operating leases was not materially different from operating lease expense for the six months ended June 30, 2022 and 2021. The Company's leases have initial lease terms ranging from four months to 16 years. Certain lease agreements contain provisions for future rent increases.

The components of lease expense were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Operating lease cost	$	15,346	$	12,006	$	30,724	$	23,523
Variable lease cost	2,399		1,402		4,652		2,872
Total lease cost	$	17,745	$	13,408	$	35,376	$	26,395

Supplemental balance sheet information related to leases was as follows:

	June 30, 2022		December 31, 2021
	(In thousands)
Right of use assets, net	$	168,829	$	169,924
Lease liabilities included in Accrued Liabilities and other	47,398		47,353
Lease liabilities included in Other long-term liabilities	127,174		129,101
Total lease liabilities	$	174,572	$	176,454

Maturities of lease liabilities as of June 30, 2022 were as follows:

Lease Liability Maturity Analysis	Operating Leases
	(In thousands)
Remaining 2022	$	27,042
2023	46,817
2024	35,024
2025	25,611
2026	18,758
Thereafter	28,245
Total lease payments	181,497
Less: imputed interest	6,925
	$	174,572

The Company does not have any significant leases that have not yet commenced.

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Goodwill

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

Goodwill

The changes in the carrying amounts of goodwill by segment were as follows:

	EIG		EMG		Total
	(In millions)
Balance at December 31, 2021	$	4,073.8	$	1,164.9	$	5,238.7
Purchase price allocation adjustments and other	4.2		—		4.2
Foreign currency translation adjustments	(38.8)		(30.7)		(69.5)
Balance at June 30, 2022	$	4,039.2	$	1,134.2	$	5,173.4

The Company finalized its measurements of certain tangible and intangible assets and liabilities for its November 2021 acquisition of Alphasense, which had no material impact to the consolidated statement of income and balance sheet.

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Income Taxes

6 Months Ended

Jun. 30, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

At June 30, 2022, the Company had gross uncertain tax benefits of $161.2 million, of which $118.7 million, if recognized, would impact the effective tax rate.

The following is a reconciliation of the liability for uncertain tax positions (in millions):

Balance at December 31, 2021	$	147.0
Additions for tax positions	14.6
Reductions for tax positions	(0.4)
Balance at June 30, 2022	$	161.2

The additions above primarily reflect the tax positions for foreign tax planning initiatives. The Company recognizes interest and penalties accrued related to uncertain tax positions in income tax expense. The amounts recognized in income tax expense for interest and penalties during the three and six months ended June 30, 2022 and 2021 were not significant.

The effective tax rate for the three months ended June 30, 2022 was 18.5%, compared with 20.6% for the three months ended June 30, 2021. The lower effective tax rate in the second quarter of 2022 is primarily due to improved foreign-derived intangible income ("FDII") benefits on exported products and favorable foreign deferred taxes.

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Debt	6 Months Ended
	Jun. 30, 2022
Debt Disclosure [Abstract]
Debt	DebtOn May 12, 2022, the Company along with certain of its foreign subsidiaries amended and restated its credit agreement dated as of September 22, 2011, as amended and restated as of March 10, 2016 and as further amended and restated as of October 30, 2018, with the lenders, JPMorgan Chase Bank, N.A., as Administrative Agent and Bank of America, N.A., PNC Bank, National Association, Trust Bank and Wells Fargo Bank, National Association, as Co-Syndication Agents. The credit agreement amends and restates the Company’s existing revolving credit facility to increase the size from $1.5 billion to $2.3 billion and terminates the $800 million term loan. The credit agreement places certain restrictions on allowable additional indebtedness. At June 30, 2022, the Company had $360.0 million outstanding on the revolver with a maturity date of May 2027.

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Share-Based Compensation

6 Months Ended

Jun. 30, 2022

Share-Based Payment Arrangement [Abstract]

Share-Based Compensation

Share-Based Compensation

The Company's share-based compensation plans are described in Note 11, Share-Based Compensation, to the consolidated financial statements in Part II, Item 8, filed on the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

Share Based Compensation Expense

Total share-based compensation expense was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Stock option expense	$	3,383	$	3,326	$	6,823	$	7,249
Restricted stock expense	5,253		5,690		10,031		11,917
Performance restricted stock unit expense	4,320		3,137		5,673		4,427
Total pre-tax expense	$	12,956	$	12,153	$	22,527	$	23,593

Pre-tax share-based compensation expense is included in the consolidated statement of income in either Cost of sales or Selling, general and administrative expenses, depending on where the recipient’s cash compensation is reported.

Stock Options

The fair value of each stock option grant is estimated on the grant date using a Black-Scholes-Merton option pricing model. The following weighted average assumptions were used in the Black-Scholes-Merton model to estimate the fair values of stock options granted during the periods indicated:

	Six Months Ended June 30, 2022			Year Ended December 31, 2021
Expected volatility	24.5		%	24.2		%
Expected term (years)	5.0			5.0
Risk-free interest rate	2.33		%	0.85		%
Expected dividend yield	0.65		%	0.66		%
Black-Scholes-Merton fair value per stock option granted	$	32.54		$	25.63

The following is a summary of the Company’s stock option activity and related information:

	Shares	Weighted Average Exercise Price		Weighted Average Remaining Contractual Life	Aggregate Intrinsic Value
	(In thousands)			(Years)	(In millions)
Outstanding at December 31, 2021	3,352	$	76.08
Granted	608	134.69
Exercised	(291)	62.97
Forfeited	(54)	99.43
Outstanding at June 30, 2022	3,615	$	86.64	6.5	$	104.8
Exercisable at June 30, 2022	2,438	$	72.77	5.4	$	92.6

The aggregate intrinsic value of stock options exercised during the six months ended June 30, 2022 was $18.3 million. The total fair value of stock options vested during the six months ended June 30, 2022 was $11.2 million. As of June 30, 2022, there was approximately $24.3 million of expected future pre-tax compensation expense related to the 1.2 million non-vested stock options outstanding, which is expected to be recognized over a weighted average period of approximately two years.

Restricted Stock

The following is a summary of the Company’s non-vested restricted stock activity and related information:

	Shares	Weighted Average  Grant Date Fair Value
	(In thousands)
Non-vested restricted stock outstanding at December 31, 2021	413	$	96.07
Granted	181	134.63
Vested	(155)	85.97
Forfeited	(25)	105.34
Non-vested restricted stock outstanding at June 30, 2022	414	$	116.13

The total fair value of restricted stock vested during the six months ended June 30, 2022 was $13.3 million. As of June 30, 2022, there was approximately $37.9 million of expected future pre-tax compensation expense related to the 0.4 million non-vested restricted shares outstanding, which is expected to be recognized over a weighted average period of approximately two years.

Performance Restricted Stock Units

In March 2022, the Company granted performance restricted stock units ("PRSU") to officers and certain key management-level employees. The PRSUs vest over a period up to three years from the grant date based on continuous service, with the number of shares earned (0% to 200% of the target award) depending upon the extent to which the Company achieves certain financial and market performance targets measured over the period from January 1 of the year of grant to December 31 of the third year. Half of the PRSUs were valued in a manner similar to restricted stock as the financial targets are based on the Company’s operating results, which represents a performance condition. The grant date fair value of these PRSUs are recognized as compensation expense over the vesting period based on the probable number of awards to vest at each reporting date.

The other half of the PRSUs were valued using a Monte Carlo model as the performance target is related to the Company’s total shareholder return compared to a group of peer companies, which represents a market condition. The Company recognizes the grant date fair value of these awards as compensation expense ratably over the vesting period.

The following is a summary of the Company’s non-vested performance restricted stock activity and related information:

	Shares	Weighted Average  Grant Date Fair Value
	(In thousands)
Non-vested performance restricted stock outstanding at December 31, 2021	289	$	85.29
Granted	87	134.69
Performance assumption change 1	66	81.76
Vested	(161)	81.76
Forfeited	(3)	96.93
Non-vested performance restricted stock outstanding at June 30, 2022	278	$	101.95

_________________________________________

1 Reflects the number of PRSUs above target levels based on performance metrics.

As of June 30, 2022, there was approximately $13.2 million of expected future pre-tax compensation expense related to the 0.3 million non-vested restricted shares outstanding, which is expected to be recognized over a weighted average period of less than one year.

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Retirement and Pension Plans

6 Months Ended

Jun. 30, 2022

Retirement Benefits [Abstract]

Retirement and Pension Plans

Retirement and Pension Plans

The components of net periodic pension benefit expense (income) were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Defined benefit plans:
Service cost	$	1,331	$	2,030	$	2,705	$	4,051
Interest cost	5,032		4,581		10,152		9,148
Expected return on plan assets	(15,033)		(14,221)		(30,301)		(28,395)
Amortization of net actuarial loss and other	2,123		4,379		4,297		8,732
Pension income	(6,547)		(3,231)		(13,147)		(6,464)
Other plans:
Defined contribution plans	9,811		7,961		23,072		16,416
Foreign plans and other	2,077		2,123		4,395		4,357
Total other plans	11,888		10,084		27,467		20,773
Total net pension expense	$	5,341	$	6,853	$	14,320	$	14,309

For defined benefit plans, the net periodic benefit income, other than the service cost component, is included in “Other (expense) income, net” in the consolidated statement of income.

For the six months ended June 30, 2022 and 2021, contributions to the Company’s defined benefit pension plans were $3.9 million and $4.1 million, respectively. The Company’s current estimate of 2022 contributions to its worldwide defined benefit pension plans is in line with the range disclosed in Note 12 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

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Contingencies

6 Months Ended

Jun. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Contingencies

Contingencies

Asbestos Litigation

The Company (including its subsidiaries) has been named as a defendant in a number of asbestos-related lawsuits. Certain of these lawsuits relate to a business which was acquired by the Company and do not involve products which were manufactured or sold by the Company. In connection with these lawsuits, the seller of such business has agreed to indemnify the Company against these claims (the “Indemnified Claims”). The Indemnified Claims have been tendered to, and are being defended by, such seller. The seller has met its obligations, in all respects, and the Company does not have any reason to believe such party would fail to fulfill its obligations in the future. To date, no judgments have been rendered against the Company as a result of any asbestos-related lawsuit. The Company believes that it has good and valid defenses to each of these claims and intends to defend them vigorously.

Environmental Matters

Certain historic processes in the manufacture of products have resulted in environmentally hazardous waste by-products as defined by federal and state laws and regulations. At June 30, 2022, the Company is named a Potentially Responsible Party (“PRP”) at 13 non-AMETEK-owned former waste disposal or treatment sites (the “non-owned” sites). The Company is identified as a “de minimis” party in 12 of these sites based on the low volume of waste attributed to the Company relative to the amounts attributed to other named PRPs. In eight of these sites, the Company has reached a tentative agreement on the cost of the de minimis settlement to satisfy its obligation and is awaiting executed agreements. The tentatively agreed-to settlement amounts are fully reserved. In the other four sites, the Company is continuing to investigate the accuracy of the alleged volume attributed to the Company as estimated by the parties primarily responsible for remedial activity at the sites to establish an appropriate settlement amount. At the remaining site where the Company is a non-de minimis PRP, the Company is participating in the investigation and/or related required remediation as part of a PRP Group and reserves have been established to satisfy the Company’s expected obligations. The Company historically has resolved these issues within established reserve levels and reasonably expects this result will continue. In addition to these non-owned sites, the Company has an ongoing practice of providing reserves for probable remediation activities at certain of its current or previously owned manufacturing locations (the “owned” sites). For claims and proceedings against the Company with respect to other environmental matters, reserves are established once the Company has determined that a loss is probable and estimable. This estimate is refined as the Company moves through the various stages of investigation, risk assessment, feasibility study and corrective action processes. In certain instances, the Company has developed a range of estimates for such costs and has recorded a liability based on the best estimate. It is reasonably possible that the actual cost of remediation of the individual sites could vary from the current estimates and the amounts accrued in the consolidated financial statements; however, the amounts of such variances are not expected to result in a material change to the consolidated financial statements. In estimating the Company’s liability for remediation, the Company also considers the likely proportionate share of the anticipated remediation expense and the ability of the other PRPs to fulfill their obligations.

Total environmental reserves at June 30, 2022 and December 31, 2021 were $37.6 million and $37.2 million, respectively, for both non-owned and owned sites. For the six months ended June 30, 2022, the Company recorded $4.5 million in reserves. Additionally, the Company spent $4.1 million on environmental matters for the six months ended June 30, 2022.

The Company has agreements with other former owners of certain of its acquired businesses, as well as new owners of previously owned businesses. Under certain of the agreements, the former or new owners retained, or assumed and agreed to indemnify the Company against, certain environmental and other liabilities under certain circumstances. The Company and some of these other parties also carry insurance coverage for some environmental matters.

The Company believes it has established reserves for the environmental matters described above, which are sufficient to perform all known responsibilities under existing claims and consent orders. In the opinion of management, based on presently available information and the Company’s historical experience related to such matters, an adequate provision for probable costs has been made and the ultimate cost resulting from these actions is not expected to materially affect the consolidated results of operations, financial position or cash flows of the Company.

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Recent Accounting Pronouncements (Policies)

6 Months Ended

Jun. 30, 2022

Accounting Changes and Error Corrections [Abstract]

Basis of Presentation

The accompanying consolidated financial statements are unaudited. AMETEK, Inc. (the “Company”) believes that all adjustments (which primarily consist of normal recurring accruals) necessary for a fair presentation of the consolidated financial position of the Company at June 30, 2022, the consolidated results of its operations for the three and six months ended June 30, 2022 and 2021 and its cash flows for the six months ended June 30, 2022 and 2021 have been included. Quarterly results of operations are not necessarily indicative of results for the full year. The accompanying consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes presented in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 as filed with the U.S. Securities and Exchange Commission.

Recently Adopted Accounting Pronouncement

Recently Adopted Accounting Pronouncement

In October 2021, the FASB issued ASU No. 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers ("ASU 2021-08"), which provides a single comprehensive accounting model for the acquisition of contract balances under ASC 805. ASU 2021-08 is effective for fiscal years beginning after December 15, 2022. Early adoption is permitted. The Company early adopted the ASU on January 1, 2022, and the amendments in this ASU were applied on a prospective basis to all periods presented. The adoption of ASU 2021-08 did not impact the Company's consolidated results of operations, financial position, cash flows, or financial statement disclosures.

Accounts Receivable

Accounts Receivable

The Company maintains allowances for estimated losses resulting from the inability of customers to meet their financial obligations to the Company. The Company recognizes an allowance for credit losses, on all accounts receivable and contract assets, which considers risk of future credit losses based on factors such as historical experience, contract terms, as well as general and market business conditions, country, and political risk. Balances are written off when determined to be uncollectible.

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Revenues (Tables)

6 Months Ended

Jun. 30, 2022

Revenue from Contract with Customer [Abstract]

Schedule of Outstanding Contract Asset and (Liability) Accounts

The outstanding contract asset and liability accounts were as follows:

	2022		2021
	(In thousands)
Contract assets—January 1	$	95,274	$	68,971
Contract assets – June 30	107,902		73,853
Change in contract assets – increase (decrease)	12,628		4,882
Contract liabilities – January 1	328,816		215,093
Contract liabilities – June 30	369,926		333,409
Change in contract liabilities – (increase) decrease	(41,110)		(118,316)
Net change	$	(28,482)	$	(113,434)

Schedule of Revenue From External Customers by Geographic Areas

Information about the Company’s operations in different geographic areas was as follows for the three and six months ended June 30:

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
United States	$	551,967	$	240,436	$	792,403	$	1,035,593	$	471,813	$	1,507,406
International(1):
United Kingdom	19,050		31,620		50,670		47,005		60,251		107,256
European Union countries	109,425		108,031		217,456		230,139		222,193		452,332
Asia	255,232		70,225		325,457		511,652		133,064		644,716
Other foreign countries	92,574		35,992		128,566		191,618		69,749		261,367
Total international	476,281		245,868		722,149		980,414		485,257		1,465,671
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

________________

(1)    Includes U.S. export sales of $394.7 million and $801.2 million for the three and six months ended June 30, 2022.

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
United States	$	495,039	$	225,912	$	720,951	$	883,940	$	436,094	$	1,320,034
International(1):
United Kingdom	20,649		28,568		49,217		42,596		58,619		101,215
European Union countries	117,856		103,604		221,460		221,521		198,901		420,422
Asia	217,854		65,449		283,303		415,415		126,643		542,058
Other foreign countries	82,536		28,879		111,415		161,386		56,973		218,359
Total international	438,895		226,500		665,395		840,918		441,136		1,282,054
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

______________

(1)    Includes U.S. export sales of $365.5 million and $696.4 million for the three and six months ended June 30, 2021.

Schedule of Revenue From External Customers by Products and Services

The Company’s major products and services in the reportable segments were as follows:

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Process and analytical instrumentation	$	768,261	$	—	$	768,261	$	1,460,953	$	—	$	1,460,953
Aerospace and power	259,987		137,340		397,327		555,054		264,082		819,136
Automation and engineered solutions	—		348,964		348,964		—		692,988		692,988
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Process and analytical instrumentation	$	644,121	$	—	$	644,121	$	1,220,680	$	—	$	1,220,680
Aerospace and power	289,813		126,466		416,279		504,178		248,639		752,817
Automation and engineered solutions	—		325,946		325,946		—		628,591		628,591
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

Schedule of Disaggregation of Revenue

	Three months ended June 30, 2022						Six months ended June 30, 2022
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Products transferred at a point in time	$	839,948	$	423,506	$	1,263,454	$	1,652,896	$	836,160	$	2,489,056
Products and services transferred over time	188,300		62,798		251,098		363,111		120,910		484,021
Consolidated net sales	$	1,028,248	$	486,304	$	1,514,552	$	2,016,007	$	957,070	$	2,973,077

	Three months ended June 30, 2021						Six months ended June 30, 2021
	EIG		EMG		Total		EIG		EMG		Total
	(In thousands)
Products transferred at a point in time	$	767,514	$	408,569	$	1,176,083	$	1,414,766	$	791,600	$	2,206,366
Products and services transferred over time	166,420		43,843		210,263		310,092		85,630		395,722
Consolidated net sales	$	933,934	$	452,412	$	1,386,346	$	1,724,858	$	877,230	$	2,602,088

Schedule of Product Warranty Liability

Changes in the accrued product warranty obligation were as follows:

	Six Months Ended June 30,
	2022		2021
	(In thousands)
Balance at the beginning of the period	$	27,478	$	27,839
Accruals for warranties issued during the period	5,143		5,964
Settlements made during the period	(6,023)		(6,620)
Warranty accruals related to acquired businesses and other during the period	(632)		2,169
Balance at the end of the period	$	25,966	$	29,352

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Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2022

Earnings Per Share [Abstract]

Schedule of Number of Weighted Average Shares

The number of weighted average shares used in the calculation of basic earnings per share and diluted earnings per share was as follows:

	Three Months Ended June 30,		Six Months Ended June 30,
	2022	2021	2022	2021
	(In thousands)
Weighted average shares:
Basic shares	230,100	230,828	230,790	230,632
Equity-based compensation plans	1,147	2,013	1,366	1,937
Diluted shares	231,247	232,841	232,156	232,569

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value of Assets Measured on Recurring Basis

The following table provides the Company’s assets that are measured at fair value on a recurring basis, consistent with the fair value hierarchy, at June 30, 2022 and December 31, 2021:

	June 30, 2022		December 31, 2021
	Fair Value		Fair Value
	(In thousands)
Mutual fund investments	$	11,365	$	10,703

Fair Value Disclosures of Financial Instrument Liabilities

The following table provides the estimated fair values of the Company’s financial instrument liabilities, for which fair value is measured for disclosure purposes only, compared to the recorded amounts at June 30, 2022 and December 31, 2021:

	June 30, 2022				December 31, 2021
	Recorded Amount		Fair Value		Recorded Amount		Fair Value
	(In thousands)
Long-term debt (including current portion)	$	(2,150,381)	$	(2,071,751)	$	(2,233,705)	$	(2,378,930)

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Inventories, net (Tables)

6 Months Ended

Jun. 30, 2022

Inventory Disclosure [Abstract]

Inventories

	June 30, 2022		December 31, 2021
	(In thousands)
Finished goods and parts	$	117,959	$	89,985
Work in process	148,998		122,356
Raw materials and purchased parts	699,652		556,834
Total inventories, net	$	966,609	$	769,175

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Leases (Tables)

6 Months Ended

Jun. 30, 2022

Leases [Abstract]

Components of Lease Expense

The components of lease expense were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Operating lease cost	$	15,346	$	12,006	$	30,724	$	23,523
Variable lease cost	2,399		1,402		4,652		2,872
Total lease cost	$	17,745	$	13,408	$	35,376	$	26,395

Supplemental Balance Sheet Information Related to Leases

Supplemental balance sheet information related to leases was as follows:

	June 30, 2022		December 31, 2021
	(In thousands)
Right of use assets, net	$	168,829	$	169,924
Lease liabilities included in Accrued Liabilities and other	47,398		47,353
Lease liabilities included in Other long-term liabilities	127,174		129,101
Total lease liabilities	$	174,572	$	176,454

Maturities of Lease Liabilities

Maturities of lease liabilities as of June 30, 2022 were as follows:

Lease Liability Maturity Analysis	Operating Leases
	(In thousands)
Remaining 2022	$	27,042
2023	46,817
2024	35,024
2025	25,611
2026	18,758
Thereafter	28,245
Total lease payments	181,497
Less: imputed interest	6,925
	$	174,572

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Goodwill (Tables)

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Changes in Carrying Amounts of Goodwill by Segment

The changes in the carrying amounts of goodwill by segment were as follows:

	EIG		EMG		Total
	(In millions)
Balance at December 31, 2021	$	4,073.8	$	1,164.9	$	5,238.7
Purchase price allocation adjustments and other	4.2		—		4.2
Foreign currency translation adjustments	(38.8)		(30.7)		(69.5)
Balance at June 30, 2022	$	4,039.2	$	1,134.2	$	5,173.4

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Income Taxes (Tables)

6 Months Ended

Jun. 30, 2022

Income Tax Disclosure [Abstract]

Reconciliation of Liability for Uncertain Tax Positions

The following is a reconciliation of the liability for uncertain tax positions (in millions):

Balance at December 31, 2021	$	147.0
Additions for tax positions	14.6
Reductions for tax positions	(0.4)
Balance at June 30, 2022	$	161.2

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Share-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2022

Share-Based Payment Arrangement [Abstract]

Total Share-Based Compensation Expense

Total share-based compensation expense was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Stock option expense	$	3,383	$	3,326	$	6,823	$	7,249
Restricted stock expense	5,253		5,690		10,031		11,917
Performance restricted stock unit expense	4,320		3,137		5,673		4,427
Total pre-tax expense	$	12,956	$	12,153	$	22,527	$	23,593

Weighted Average Assumptions Used for Estimating Fair Values of Stock Options Granted

The following weighted average assumptions were used in the Black-Scholes-Merton model to estimate the fair values of stock options granted during the periods indicated:

	Six Months Ended June 30, 2022			Year Ended December 31, 2021
Expected volatility	24.5		%	24.2		%
Expected term (years)	5.0			5.0
Risk-free interest rate	2.33		%	0.85		%
Expected dividend yield	0.65		%	0.66		%
Black-Scholes-Merton fair value per stock option granted	$	32.54		$	25.63

Summary of Stock Option Activity and Related Information

The following is a summary of the Company’s stock option activity and related information:

	Shares	Weighted Average Exercise Price		Weighted Average Remaining Contractual Life	Aggregate Intrinsic Value
	(In thousands)			(Years)	(In millions)
Outstanding at December 31, 2021	3,352	$	76.08
Granted	608	134.69
Exercised	(291)	62.97
Forfeited	(54)	99.43
Outstanding at June 30, 2022	3,615	$	86.64	6.5	$	104.8
Exercisable at June 30, 2022	2,438	$	72.77	5.4	$	92.6

Summary of Nonvested Restricted Stock Activity and Related Information

The following is a summary of the Company’s non-vested restricted stock activity and related information:

	Shares	Weighted Average  Grant Date Fair Value
	(In thousands)
Non-vested restricted stock outstanding at December 31, 2021	413	$	96.07
Granted	181	134.63
Vested	(155)	85.97
Forfeited	(25)	105.34
Non-vested restricted stock outstanding at June 30, 2022	414	$	116.13

The following is a summary of the Company’s non-vested performance restricted stock activity and related information:

	Shares	Weighted Average  Grant Date Fair Value
	(In thousands)
Non-vested performance restricted stock outstanding at December 31, 2021	289	$	85.29
Granted	87	134.69
Performance assumption change 1	66	81.76
Vested	(161)	81.76
Forfeited	(3)	96.93
Non-vested performance restricted stock outstanding at June 30, 2022	278	$	101.95

_________________________________________

1 Reflects the number of PRSUs above target levels based on performance metrics.

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Retirement and Pension Plans (Tables)

6 Months Ended

Jun. 30, 2022

Retirement Benefits [Abstract]

Components of Net Periodic Pension Benefit Expense (Income)

The components of net periodic pension benefit expense (income) were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Defined benefit plans:
Service cost	$	1,331	$	2,030	$	2,705	$	4,051
Interest cost	5,032		4,581		10,152		9,148
Expected return on plan assets	(15,033)		(14,221)		(30,301)		(28,395)
Amortization of net actuarial loss and other	2,123		4,379		4,297		8,732
Pension income	(6,547)		(3,231)		(13,147)		(6,464)
Other plans:
Defined contribution plans	9,811		7,961		23,072		16,416
Foreign plans and other	2,077		2,123		4,395		4,357
Total other plans	11,888		10,084		27,467		20,773
Total net pension expense	$	5,341	$	6,853	$	14,320	$	14,309

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Revenues - Outstanding Contract Asset and (Liability) Accounts (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021	Dec. 31, 2020
Revenue from Contract with Customer [Abstract]
Contract assets	$ 107,902	$ 73,853	$ 95,274	$ 68,971
Change in contract assets – increase (decrease)	12,628	4,882
Contract liabilities	369,926	333,409	$ 328,816	$ 215,093
Change in contract liabilities – (increase) decrease	(41,110)	(118,316)
Net change	$ (28,482)	$ (113,434)

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Revenues - Additional Information (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Revenue recognized from contract liabilities	$ 219,300	$ 145,200
Customer advanced payments	42,400		$ 30,100
Accounts and notes receivable, net	885,080		829,213
Allowance for notes and loans receivable	11,200
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01
Revenue, remaining performance obligation	$ 422,100
Performance obligation, expected timing of satisfaction, period	6 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, remaining performance obligation			$ 342,500
Performance obligation, expected timing of satisfaction, period			1 year
Minimum | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01
Performance obligation, expected timing of satisfaction, period	2 years
Maximum | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Performance obligation, expected timing of satisfaction, period	3 years

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Revenues - Information About Operations in Different Geographic Areas (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Segment Reporting Information [Line Items]
Net sales	$ 1,514,552	$ 1,386,346	$ 2,973,077	$ 2,602,088
United States
Segment Reporting Information [Line Items]
Net sales	792,403	720,951	1,507,406	1,320,034
United Kingdom
Segment Reporting Information [Line Items]
Net sales	50,670	49,217	107,256	101,215
European Union countries
Segment Reporting Information [Line Items]
Net sales	217,456	221,460	452,332	420,422
Asia
Segment Reporting Information [Line Items]
Net sales	325,457	283,303	644,716	542,058
Other foreign countries
Segment Reporting Information [Line Items]
Net sales	128,566	111,415	261,367	218,359
International
Segment Reporting Information [Line Items]
Net sales	722,149	665,395	1,465,671	1,282,054
Non-US
Segment Reporting Information [Line Items]
Net sales	394,700	365,500	801,200	696,400
Electronic Instruments Group
Segment Reporting Information [Line Items]
Net sales	1,028,248	933,934	2,016,007	1,724,858
Electronic Instruments Group | United States
Segment Reporting Information [Line Items]
Net sales	551,967	495,039	1,035,593	883,940
Electronic Instruments Group | United Kingdom
Segment Reporting Information [Line Items]
Net sales	19,050	20,649	47,005	42,596
Electronic Instruments Group | European Union countries
Segment Reporting Information [Line Items]
Net sales	109,425	117,856	230,139	221,521
Electronic Instruments Group | Asia
Segment Reporting Information [Line Items]
Net sales	255,232	217,854	511,652	415,415
Electronic Instruments Group | Other foreign countries
Segment Reporting Information [Line Items]
Net sales	92,574	82,536	191,618	161,386
Electronic Instruments Group | International
Segment Reporting Information [Line Items]
Net sales	476,281	438,895	980,414	840,918
Electromechanical Group
Segment Reporting Information [Line Items]
Net sales	486,304	452,412	957,070	877,230
Electromechanical Group | United States
Segment Reporting Information [Line Items]
Net sales	240,436	225,912	471,813	436,094
Electromechanical Group | United Kingdom
Segment Reporting Information [Line Items]
Net sales	31,620	28,568	60,251	58,619
Electromechanical Group | European Union countries
Segment Reporting Information [Line Items]
Net sales	108,031	103,604	222,193	198,901
Electromechanical Group | Asia
Segment Reporting Information [Line Items]
Net sales	70,225	65,449	133,064	126,643
Electromechanical Group | Other foreign countries
Segment Reporting Information [Line Items]
Net sales	35,992	28,879	69,749	56,973
Electromechanical Group | International
Segment Reporting Information [Line Items]
Net sales	$ 245,868	$ 226,500	$ 485,257	$ 441,136

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Revenues - Major Products and Services in Reportable Segments (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Disaggregation of Revenue [Line Items]
Net sales	$ 1,514,552	$ 1,386,346	$ 2,973,077	$ 2,602,088
Process and analytical instrumentation
Disaggregation of Revenue [Line Items]
Net sales	768,261	644,121	1,460,953	1,220,680
Aerospace and power
Disaggregation of Revenue [Line Items]
Net sales	397,327	416,279	819,136	752,817
Automation and engineered solutions
Disaggregation of Revenue [Line Items]
Net sales	348,964	325,946	692,988	628,591
Electronic Instruments Group
Disaggregation of Revenue [Line Items]
Net sales	1,028,248	933,934	2,016,007	1,724,858
Electronic Instruments Group | Process and analytical instrumentation
Disaggregation of Revenue [Line Items]
Net sales	768,261	644,121	1,460,953	1,220,680
Electronic Instruments Group | Aerospace and power
Disaggregation of Revenue [Line Items]
Net sales	259,987	289,813	555,054	504,178
Electronic Instruments Group | Automation and engineered solutions
Disaggregation of Revenue [Line Items]
Net sales	0	0	0	0
Electromechanical Group
Disaggregation of Revenue [Line Items]
Net sales	486,304	452,412	957,070	877,230
Electromechanical Group | Process and analytical instrumentation
Disaggregation of Revenue [Line Items]
Net sales	0	0	0	0
Electromechanical Group | Aerospace and power
Disaggregation of Revenue [Line Items]
Net sales	137,340	126,466	264,082	248,639
Electromechanical Group | Automation and engineered solutions
Disaggregation of Revenue [Line Items]
Net sales	$ 348,964	$ 325,946	$ 692,988	$ 628,591

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Revenues - Timing of Revenue Recognition (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Disaggregation of Revenue [Line Items]
Net sales	$ 1,514,552	$ 1,386,346	$ 2,973,077	$ 2,602,088
Products transferred at a point in time
Disaggregation of Revenue [Line Items]
Net sales	1,263,454	1,176,083	2,489,056	2,206,366
Products and services transferred over time
Disaggregation of Revenue [Line Items]
Net sales	251,098	210,263	484,021	395,722
Electronic Instruments Group
Disaggregation of Revenue [Line Items]
Net sales	1,028,248	933,934	2,016,007	1,724,858
Electronic Instruments Group | Products transferred at a point in time
Disaggregation of Revenue [Line Items]
Net sales	839,948	767,514	1,652,896	1,414,766
Electronic Instruments Group | Products and services transferred over time
Disaggregation of Revenue [Line Items]
Net sales	188,300	166,420	363,111	310,092
Electromechanical Group
Disaggregation of Revenue [Line Items]
Net sales	486,304	452,412	957,070	877,230
Electromechanical Group | Products transferred at a point in time
Disaggregation of Revenue [Line Items]
Net sales	423,506	408,569	836,160	791,600
Electromechanical Group | Products and services transferred over time
Disaggregation of Revenue [Line Items]
Net sales	$ 62,798	$ 43,843	$ 120,910	$ 85,630

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Revenues - Changes in Accrued Product Warranty Obligation (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Movement in Standard Product Warranty Accrual [Roll Forward]
Balance at the beginning of the period	$ 27,478	$ 27,839
Accruals for warranties issued during the period	5,143	5,964
Settlements made during the period	(6,023)	(6,620)
Warranty accruals related to acquired businesses and other during the period	(632)	2,169
Balance at the end of the period	$ 25,966	$ 29,352

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Earnings Per Share - Number of Weighted Average Shares (Detail) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Weighted average common shares outstanding:
Basic shares	230,100	230,828	230,790	230,632
Equity-based compensation plans	1,147	2,013	1,366	1,937
Diluted shares	231,247	232,841	232,156	232,569

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Fair Value Measurements - Fair Value of Assets Measured on Recurring Basis (Detail) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mutual fund investments	$ 11,365	$ 10,703

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Fair Value Measurements - Additional Information (Detail) € in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 EUR (€)	Jun. 30, 2022 CAD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value, measurement with unobservable inputs reconciliation, recurring basis, asset, transfers, net	$ 0	$ 0	$ 0	$ 0
Euro Forward Contract
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Foreign currency contract, asset, fair value disclosure | €					€ 40.0
Canadian Dollar Forward Contract
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Foreign currency contract, asset, fair value disclosure						$ 8.0

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Fair Value Measurements - Fair Value Disclosures of Financial Instrument Liabilities (Detail) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Recorded Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, net (including current portion)	$ (2,150,381)	$ (2,233,705)
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, net (including current portion)	$ (2,071,751)	$ (2,378,930)

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Hedging Activities - Additional Information (Detail) - Foreign Exchange Contract - Designated as Hedging Instrument $ in Millions	6 Months Ended
	Jun. 30, 2022 USD ($)
Derivative [Line Items]
Percentage of effectiveness on net investment hedges	100.00%
Currency remeasurement gain	$ 79.8
British-Pound-Denominated Loans
Derivative [Line Items]
Hedge against net investment in foreign subsidiaries	273.6
Euro Loan
Derivative [Line Items]
Hedge against net investment in foreign subsidiaries	$ 559.9

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Inventories, net - Inventories (Detail) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Inventory Disclosure [Abstract]
Finished goods and parts	$ 117,959	$ 89,985
Work in process	148,998	122,356
Raw materials and purchased parts	699,652	556,834
Total inventories, net	$ 966,609	$ 769,175

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Leases - Additional Information (Details)	Jun. 30, 2022
Minimum
Lessee, Lease, Description [Line Items]
Initial lease term	4 months
Maximum
Lessee, Lease, Description [Line Items]
Initial lease term	16 years

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Leases- Components of Lease Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Leases [Abstract]
Operating lease cost	$ 15,346	$ 12,006	$ 30,724	$ 23,523
Variable lease cost	2,399	1,402	4,652	2,872
Total lease cost	$ 17,745	$ 13,408	$ 35,376	$ 26,395

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Leases - Supplemental Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Leases [Abstract]
Right of use assets, net	$ 168,829	$ 169,924
Operating lease, liability, current, statement of financial position	Accrued liabilities and other	Accrued liabilities and other
Lease liabilities included in Accrued Liabilities and other	$ 47,398	$ 47,353
Operating lease, liability, noncurrent, statement of financial position	Other long-term liabilities	Other long-term liabilities
Lease liabilities included in Other long-term liabilities	$ 127,174	$ 129,101
Total lease liabilities	$ 174,572	$ 176,454

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Leases - Maturities of lease liabilities (Detail) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Lessee, Operating Lease, Liability, Payment, Due [Abstract]
Remaining 2022	$ 27,042
2023	46,817
2024	35,024
2025	25,611
2026	18,758
Thereafter	28,245
Total lease payments	181,497
Less: imputed interest	6,925
Total lease liabilities	$ 174,572	$ 176,454

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Goodwill - Changes in Carrying Amounts of Goodwill by Segment (Detail) $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($)
Goodwill [Roll Forward]
Goodwill, beginning balance	$ 5,238,726
Purchase price allocation adjustments and other	4,200
Foreign currency translation adjustments	(69,500)
Goodwill, ending balance	5,173,411
Electronic Instruments Group
Goodwill [Roll Forward]
Goodwill, beginning balance	4,073,800
Purchase price allocation adjustments and other	4,200
Foreign currency translation adjustments	(38,800)
Goodwill, ending balance	4,039,200
Electromechanical Group
Goodwill [Roll Forward]
Goodwill, beginning balance	1,164,900
Purchase price allocation adjustments and other	0
Foreign currency translation adjustments	(30,700)
Goodwill, ending balance	$ 1,134,200

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Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Income Tax Disclosure [Abstract]
Gross unrecognized tax benefits	$ 161.2		$ 147.0
The total amount of unrecognized tax benefits that would impact tax rate, if recognized	$ 118.7
Effective tax rate	18.50%	20.60%

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Income Taxes - Reconciliation of Liability for Uncertain Tax Positions (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2022 USD ($)
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Balance at the beginning of the year	$ 147.0
Additions for tax positions	14.6
Reductions for tax positions	(0.4)
Balance at the end of the year	$ 161.2

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Debt (Details) - USD ($)	May 12, 2022	Jun. 30, 2022	May 11, 2022
Secured Debt
Debt Instrument [Line Items]
Extinguishment of debt, amount	$ 800,000,000
Long-term debt, gross		$ 360,000,000
Line of Credit | Revolving Credit Facility | JPMorgan Chase Bank, N.A.
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 2,300,000,000		$ 1,500,000,000

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Share-Based Compensation - Total Share-Based Compensation Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share-Based Payment Arrangement [Abstract]
Stock option expense	$ 3,383	$ 3,326	$ 6,823	$ 7,249
Restricted stock expense	5,253	5,690	10,031	11,917
Performance restricted stock unit expense	4,320	3,137	5,673	4,427
Total pre-tax expense	$ 12,956	$ 12,153	$ 22,527	$ 23,593

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Share-Based Compensation - Weighted Average Assumptions Used for Estimating Fair Values of Stock Options Granted (Detail) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Share-Based Payment Arrangement [Abstract]
Expected volatility	24.50%	24.20%
Expected term (years)	5 years	5 years
Risk-free interest rate	2.33%	0.85%
Expected dividend yield	0.65%	0.66%
Black-Scholes-Merton fair value per stock option granted (in usd per share)	$ 32.54	$ 25.63

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Share-Based Compensation - Summary of Stock Option Activity and Related Information (Detail) $ / shares in Units, shares in Thousands, $ in Millions	6 Months Ended
	Jun. 30, 2022 USD ($) $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Beginning balance, outstanding (in shares) | shares	3,352
Granted (in shares) | shares	608
Exercised (in shares) | shares	(291)
Forfeited (in shares) | shares	(54)
Ending balance, outstanding (in shares) | shares	3,615
Ending balance, exercisable (in shares) | shares	2,438
Weighted Average Exercise Price
Beginning balance, outstanding, weighted average exercise price (in usd per share) | $ / shares	$ 76.08
Granted, weighted average exercise price (in usd per share) | $ / shares	134.69
Exercised, weighted average exercise price (in usd per share) | $ / shares	62.97
Forfeited, weighted average exercise price (in usd per share) | $ / shares	99.43
Ending balance, outstanding, weighted average exercise price (in shares) | $ / shares	86.64
Ending balance, exercisable, weighted average exercise price (in usd per share) | $ / shares	$ 72.77
Weighted Average Remaining Contractual Life
Ending balance, outstanding, weighted average remaining contractual life	6 years 6 months
Ending balance, exercisable, weighted average remaining contractual life	5 years 4 months 24 days
Aggregate Intrinsic Value
Ending balance, outstanding, aggregate intrinsic value | $	$ 104.8
Ending balance, exercisable, aggregate intrinsic value | $	$ 92.6

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Share-Based Compensation - Additional Information (Detail) - USD ($) shares in Thousands, $ in Millions	1 Months Ended	6 Months Ended
	Mar. 31, 2022	Jun. 30, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate intrinsic value of stock options exercised		$ 18.3
Total fair value of stock options vested		11.2
Expected future pre-tax compensation expense, nonvested stock options		$ 24.3
Weighted average period to recognize expected future pre-tax compensation expense		2 years
Nonvested restricted stock outstanding (in shares)		400
Share-based payment arrangement, nonvested award, cost not yet recognized, amount		$ 13.2
Share-based payment award, options, outstanding (in shares)		3,615	3,352
Non vested Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Nonvested stock options outstanding (in shares)		1,200
Restricted Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average period to recognize expected future pre-tax compensation expense		2 years
Total fair value of vested restricted stock		$ 13.3
Expected future pre-tax compensation expense, nonvested restricted shares		$ 37.9
Nonvested restricted stock outstanding (in shares)		414	413
Performance Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average period to recognize expected future pre-tax compensation expense		1 year
Nonvested restricted stock outstanding (in shares)		278	289
Share-based payment award, options, outstanding (in shares)		300
Officers And Key Management Employees | Performance Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Cliff vesting period	3 years
Minimum | Officers And Key Management Employees | Performance Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation, vesting rate	0.00%
Maximum | Officers And Key Management Employees | Performance Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation, vesting rate	200.00%

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Share-Based Compensation - Summary of Nonvested Restricted Stock Activity and Related Information (Detail) shares in Thousands	6 Months Ended
	Jun. 30, 2022 $ / shares shares
Shares
Non-vested restricted stock outstanding at end of period (in shares)	400
Restricted Shares
Shares
Non-vested restricted stock outstanding at beginning of period (in shares)	413
Granted (in shares)	181
Vested (in shares)	(155)
Forfeited (in shares)	(25)
Non-vested restricted stock outstanding at end of period (in shares)	414
Weighted Average  Grant Date Fair Value
Non-vested restricted stock outstanding at beginning of period (in usd per share) | $ / shares	$ 96.07
Granted (in usd per share) | $ / shares	134.63
Vested (in usd per share) | $ / shares	85.97
Forfeited (in usd per share) | $ / shares	105.34
Non-vested restricted stock outstanding at end of period (in usd per share) | $ / shares	$ 116.13
Performance Restricted Stock Units
Shares
Non-vested restricted stock outstanding at beginning of period (in shares)	289
Granted (in shares)	87
Performance assumption change (in shares)	66
Vested (in shares)	(161)
Forfeited (in shares)	(3)
Non-vested restricted stock outstanding at end of period (in shares)	278
Weighted Average  Grant Date Fair Value
Non-vested restricted stock outstanding at beginning of period (in usd per share) | $ / shares	$ 85.29
Granted (in usd per share) | $ / shares	134.69
Performance assumption change (in usd per share) | $ / shares	81.76
Vested (in usd per share) | $ / shares	81.76
Forfeited (in usd per share) | $ / shares	96.93
Non-vested restricted stock outstanding at end of period (in usd per share) | $ / shares	$ 101.95

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Retirement and Pension Plans - Components of Net Periodic Pension Benefit Expense (Income) (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Defined benefit plans:
Service cost	$ 1,331	$ 2,030	$ 2,705	$ 4,051
Interest cost	5,032	4,581	10,152	9,148
Expected return on plan assets	(15,033)	(14,221)	(30,301)	(28,395)
Amortization of net actuarial loss and other	2,123	4,379	4,297	8,732
Pension income	(6,547)	(3,231)	(13,147)	(6,464)
Other plans:
Defined contribution plans	9,811	7,961	23,072	16,416
Foreign plans and other	2,077	2,123	4,395	4,357
Total other plans	11,888	10,084	27,467	20,773
Total net pension expense	$ 5,341	$ 6,853	$ 14,320	$ 14,309

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Retirement and Pension Plans - Additional Information (Detail) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Retirement Benefits [Abstract]
Defined benefit pension plan contributions	$ 3.9	$ 4.1

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Contingencies - Additional Information (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2022 USD ($) site	Dec. 31, 2021 USD ($)
Site Contingency [Line Items]
Number of non-owned sites company is named potentially responsible party	13
Number of non-owned sites the Company is identified as a de minimis party	12
Number of non-owned sites company is in agreement on amount of de minimis settlement	8
Number of non-owned sites company is continuing to investigate	4
Total environmental reserves | $	$ 37.6	$ 37.2
Payments for environmental liabilities | $	(4.1)
HCC Industries
Site Contingency [Line Items]
Environmental expense | $	$ 4.5