IDEX 8K Third Quarter 2012 Earnings Release | IEX 25 Oct 12

Third Quarter 2012 Earnings Release

October 23, 2012

Exhibit 99.1

Agenda

•

Strategic Plan Summary (2013

–

2015)

•

Capital Allocation

•

Q3 2012 Summary

•

2012 Segment Performance

Fluid & Metering

Health & Science

Fire & Safety / Diversified

•

2012 Guidance Update

•

Q&A

IDEX Proprietary & Confidential

Replay Information

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IDEX Proprietary & Confidential

Cautionary Statement Under the Private Securities

Litigation Reform Act

This presentation and discussion will include forward-looking statements.

Our actual performance may differ materially from that indicated

or suggested

by any such statements. There are a number of factors that could cause those

differences, including those presented in our most recent annual

report and

other company filings with the SEC.

IDEX Proprietary & Confidential

Focus on accelerating organic growth close to the core

–

Platform Strategy

–

Better alignment to end markets and regions with GDP+ growth

–

Invest in Business Development and Product Management teams & NPD

Improve execution around core customers & products

–

Drive OTD, lead-time, cost and quality improvements

–

Reduce complexity through business segmentation and simplification

Improve capital deployment

–

Strategic M&A (to bolster our Platform growth strategies)

–

Share repurchases when advantageous

Strategic Plan Summary (2013 –

2015)

Consistently deliver double digit earnings growth, exceptional

cash conversion and superior return on invested capital.

Objective

Strategy

To build global platforms and defensible niches in attractive,

highly engineered markets where we can create a leadership

position and successfully apply the IDEX Operating Model.

IDEX Proprietary & Confidential

•

M&A market presents attractive

growth and ROIC for assets that fulfill

IDEX’s strategic priorities

Capital Allocation

•

IDEX balance sheet and strong cash generation enables strong & consistent total

shareholder returns

•

Over $1.5B to allocate over the next 3 years

–

Organic investments = always top priority

–

Dividend = consistent payout ~30% of earnings

–

Acquisitions = will continue to use majority of excess capacity…….continued disciplined approach

–

Share repurchases = will repurchase minimum of 1-2% of outstanding shares annually…..with the

ability to flex higher as management deems valuation is attractive relative to DCF intrinsic value

•

M&A market pricing results in lower than

acceptable ROIC returns

•

IDEX is trading at significant discount to

intrinsic value

Bias Towards M&A

Bias Towards Share Repurchase

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Total Revenue

Operating Margin*

Free Cash Flow

EPS*

IDEX Q3 2012 Financial Performance

Continued growth, margin expansion and strong cash flow in a volatile market

* EPS / Op Margin data adjusted for $7.1M restructuring expense (2012) and $2.9M restructuring expense and $12.8M CVI inventory step-up expense (2011)

Q3 2011 benefited

from CEO costs and

tax true-up

Organic: 1% growth

flat year over year

7% growth

7% decline

$0.00

$1.00

$0.71

$0.66

2011

2012

$250

$500

$477

$480

2011

2012

15%

16%

17%

18%

19%

20%

18.3%

2011

2012

$50

$70

$90

$86

$92

2011

2012

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Fluid & Metering

Productivity and strong execution generated margin expansion of 130 bps

Q3 Sales Mix:

Organic

-1%

Acquisition

-3%

Total

-4%

Q3 Summary:

Energy and Ag markets strong in NA

Chemical project activity has slowed

Water municipal recovery could push beyond 2013

Excellent operational execution and productivity

Q4 market environment will remain challenged; expecting continued slower

markets in Europe and Asia

Total Orders

Total Revenue

Operating Margin*

Organic: 1% decline

130 bps expansion

Organic: 3% growth

* Op Margin data adjusted for restructuring expense

$100

$200

$300

$197

$198

2011

2012

$100

$200

$300

$206

$198

2011

2012

10%

15%

20%

25%

20.1%

21.4%

2011

2012

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Health & Science

Operating Margins of 17.3% up 70 bps sequentially

Q3 Sales Mix:

Organic

-4%

Acquisition

+7%

-1%

Total

+2%

Q3 Summary:

Optics & Photonics backlog improving

Backlog reduction of $10M due to softness in MPT (Capital Equipment) and

HST Industrial

Completed Matcon acquisition (part of MPT platform)

Scientific Fluidics leveled out, Q4 comps are favorable

* Op Margin data adjusted for restructuring expense (2012 and 2011) and CVI inventory step-up expense (2011)

Total Orders

Total Revenue

Operating Margin*

Organic: 4% decline

150 bps contraction

Organic: 9% decline

$100

$200

$300

$171

$166

2011

2012

$100

$200

$300

$173

$176

2011

2012

10%

15%

20%

25%

18.8%

17.3%

2011

2012

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Fire & Safety/Diversified

Tremendous performance across all of the diversified businesses

Q3 Sales Mix:

Organic

+13%

Acquisition

-3%

Total

+10%

Q3 Summary:

North American Fire markets stabilized, restructuring activities completed by

year end and will generate benefit in FY13

Rescue experiencing delays in China resulting from provincial elections

Dispensing domestic markets improving, continued strength in emerging

markets while European markets are uncertain

Op margins are up 360 bps driven by structural cost actions, productivity and

volume leverage

* Op Margin data adjusted for restructuring expense

Total Orders

Total Revenue

Operating Margin*

Organic: 13% growth

360 bps expansion

Organic: 7% decline

$50

$100

$150

$112

$101

2011

2012

$50

$100

$150

$99

$108

2011

2012

10%

20%

30%

21.2%

24.8%

2011

2012

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Outlook: 2012 Guidance Summary

FY 2012

EPS estimate range: $2.65 –

$2.70

Organic revenue growth ~ 3%

Positive acquisition impact ~ 5%

Operating margin ~ 18.5%

Negative Fx impact ~ 2% to sales (at

September

rates)

Other modeling items

Tax rate ~ 30%

Cap Ex ~ $38M

Free Cash Flow will significantly exceed net income

Continued opportunistic share repurchases

EPS estimate excludes future restructuring, acquisitions and acquisition–related costs and charges

IDEX Proprietary & Confidential

Q&A

IDEX (IEX) 8-KThird Quarter 2012 Earnings Release