The Company concluded that the 2021 Divestitures and the Indicor Transaction each represented a strategic shift that will have a major effect on the Company’s operations and financial results. These transactions have greatly reduced the cyclicality and asset intensity of the Company. In addition, the Company has an increased mix of recurring revenue and a higher margin profile. Accordingly, the financial results related to the 2021 Divestitures and Indicor are presented in the Consolidated Financial Statements as discontinued operations for all periods presented. Current and non-current assets and liabilities of the 2021 Divestitures and Indicor are presented in the Consolidated Balance Sheets as assets and liabilities of discontinued operations classified as held for sale for periods presented, as applicable.

•On March 17, 2022, Roper closed on the divestiture of our TransCore business to an affiliate of Singapore Technologies Engineering Ltd., for approximately $2,680 in cash. The sale resulted in a pretax gain of $2,073.7 and income tax expense of $550.5, which are reported within “Gain on disposition of discontinued operations, net of tax” in the Consolidated Statements of Earnings for the year ended December 31, 2022. TransCore was previously included in the historical Network Software & Systems reportable segment.

•On January 5, 2022, Roper closed on the divestiture of our Zetec business to Eddyfi NDT Inc. for approximately $350 in cash. The sale resulted in a pretax gain of $255.3 and income tax expense of $60.9, which are reported within “Gain on disposition of discontinued operations, net of tax” in the Consolidated Statements of Earnings for the year ended December 31, 2022. Zetec was previously included in the historical Process Technologies reportable segment.

•On November 1, 2021, Roper closed on the divestiture of our CIVCO Radiotherapy business to an affiliate of Blue Wolf Capital Partners LLC, for approximately $120 in cash. The sale resulted in a pretax gain of $77.2 and income tax expense of $21.3, which are reported within “Gain on disposition of discontinued operations, net of tax” in the Consolidated Statements of Earnings for the year ended December 31, 2021. The CIVCO Radiotherapy business was previously included in the historical Measurement & Analytical Solutions reportable segment.

The following table summarizes the major classes of assets and liabilities related to the discontinued operations of the TransCore and Zetec businesses as reported in the Consolidated Balance Sheets at December 31:


	December 31, 2021 (1)
Accounts receivable, net	$	74.7
Inventories, net	47.8
Unbilled receivables	158.2
Goodwill	405.5
Other intangible assets, net	31.0
Other current assets	71.4
Current assets held for sale	$	788.6






Accounts payable	$	40.3
Accrued compensation	27.0
Deferred taxes	29.5
Other current liabilities	62.3
Current liabilities held for sale	$	159.1

(1) All assets and liabilities held for sale were classified as current as it was probable that the sale of TransCore and Zetec would be completed within one year from the balance sheet date.

The following table summarizes the major classes of revenue and expenses constituting net earnings from discontinued operations attributable to the TransCore, Zetec and CIVCO Radiotherapy businesses:


	Year ended December 31,
	2022		2021		2020
Net revenues	$	100.4	$	638.0	$	672.9
Cost of sales	71.2		372.9		400.7
Gross profit	29.2		265.1		272.2

Selling, general and administrative expenses (1)	19.9		124.0		114.6
Income from operations	9.3		141.1		157.6

Other income, net	0.1		1.5		0.3

Earnings before income taxes (2)	9.4		142.6		157.9

Income taxes	(6.2)		28.5		33.7

Earnings from discontinued operations, net of tax	15.6		114.1		124.2

Gain on disposition of discontinued operations, net of tax (3)	1,717.5		55.9		—

Net earnings from discontinued operations	$	1,733.1	$	170.0	$	124.2

(1) Includes stock-based compensation expense of $0.9, $5.4 and $4.8 for the years ended December 31, 2022, 2021, and 2020, respectively. Stock-based compensation for discontinued operations was previously reported as a component of unallocated corporate general and administrative expenses.

(2) During the year ended December 31, 2022, there was no depreciation of property, plant and equipment or amortization of intangible assets given the asset classification as held for sale during the period. Depreciation and amortization of $5.2 and $7.9 for the years ended December 31, 2021, and 2020, respectively.

(3) In connection with the 2021 Divestitures, we recognized $4.5 and $0.9 associated with accelerated vesting of share-based awards for the years ended December 31, 2022 and 2021, respectively.

Indicor - On November 22, 2022, Roper completed the divestiture of a majority 51% stake in Indicor to CD&R for approximately $2,604 in cash. The consideration was comprised of a cash distribution of approximately $1,775 funded by third-party indebtedness incurred by Indicor and approximately $829 related to the majority 51% equity stake. The Company retained an initial 49% minority equity interest. The sale resulted in a pre-tax gain of $2,046.0, which included $142.6 of foreign currency translation losses and $535.0 associated with the initial remaining 49% interest in Indicor (described further in Note 10). The Company recognized income tax expense of $407.2 associated with the gain. The following table summarizes the major classes of assets and liabilities related to the discontinued operations of Indicor, as reported in the Consolidated Balance Sheets:


	December 31, 2021
Accounts receivable, net	$	151.8
Inventories, net	106.9




Other current assets	30.7
Current assets held for sale	$	289.4


Goodwill	618.2
Other intangible assets, net	79.4
Deferred taxes	51.1

Other assets	56.2
Assets held for sale	$	804.9

Accounts payable	$	52.5
Accrued compensation	47.9
Deferred revenue	23.9

Income taxes payable	14.7

Other current liabilities	42.0
Current liabilities held for sale	$	181.0

Deferred taxes	$	13.3
Noncurrent operating lease liabilities	24.1
Other liabilities	12.0
Liabilities held for sale	$	49.4


	Year ended December 31,
	2022		2021		2020
Net revenues	$	916.1	$	944.0	$	831.8
Cost of sales	432.1		434.2		389.3
Gross profit	484.0		509.8		442.5

Selling, general and administrative expenses(1)	250.5		265.7		251.9
Impairment of intangible assets	—		5.1		—
Income from operations	233.5		239.0		190.6

Other income (expense), net	(0.7)		0.1		(0.5)

Earnings before income taxes (2)	232.8		239.1		190.1

Income taxes	45.6		61.8		38.4

Earnings from discontinued operations, net of tax	187.2		177.3		151.7

Gain on disposition of discontinued operations, net of tax	1,638.8		—		—

Net earnings from discontinued operations	$	1,826.0	$	177.3	$	151.7

(1) Certain costs previously reported as a component of unallocated corporate general and administrative expenses have been reclassified to discontinued operations. These costs primarily include stock-based compensation expense of $10.3, $13.1, and $8.7 for the years ended December 31, 2022, 2021, and 2020, respectively.