Document_and_Entity_Informatio
Document and Entity Information (USD $) | 9 Months Ended | |
Sep. 30, 2013 | Dec. 31, 2012 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'Roper Industries Inc | ' |
Entity Central Index Key | '0000882835 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Public Float | ' | $9,748,714,212 |
Entity Common Stock, Shares Outstanding | 99,309,540 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-13 | ' |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Earnings (unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Condensed Consolidated Statements of Earnings | ' | ' | ' | ' |
Net sales | $827,810 | $747,641 | $2,348,955 | $2,183,579 |
Cost of sales | 345,185 | 331,086 | 999,247 | 978,223 |
Gross profit | 482,625 | 416,555 | 1,349,708 | 1,205,356 |
Selling, general and administrative expenses | 263,276 | 233,298 | 765,436 | 673,011 |
Income from operations | 219,349 | 183,257 | 584,272 | 532,345 |
Interest expense | 24,705 | 16,456 | 67,924 | 47,016 |
Loss on extinguishment of debt | 0 | 1,043 | 0 | 1,043 |
Other income/(expense) | 409 | -1,380 | 453 | -2,444 |
Earnings before income taxes | 195,053 | 164,378 | 516,801 | 481,842 |
Income taxes | 58,730 | 47,670 | 144,211 | 142,012 |
Net earnings | $136,323 | $116,708 | $372,590 | $339,830 |
Earnings per share: | ' | ' | ' | ' |
Basic | $1.37 | $1.19 | $3.76 | $3.49 |
Diluted | $1.36 | $1.17 | $3.72 | $3.41 |
Weighted average common shares outstanding: | ' | ' | ' | ' |
Basic | 99,207 | 97,876 | 99,058 | 97,460 |
Diluted | 100,302 | 99,757 | 100,152 | 99,543 |
Dividends declared per common share | $0.17 | $0.14 | $0.50 | $0.41 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Condensed Consolidated Statements of Comprehensive Income (unaudited) [Abstract] | ' | ' | ' | ' |
Net earnings | $136,323 | $116,708 | $372,590 | $339,830 |
Comprehensive income, net of tax | ' | ' | ' | ' |
Foreign currency translation adjustments | 31,902 | 36,395 | -10,219 | 22,348 |
Total other comprehensive income/(loss), net of tax | 31,902 | 36,395 | -10,219 | 22,348 |
Comprehensive income | $168,225 | $153,103 | $362,371 | $362,178 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (unaudited) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Cash and cash equivalents | $459,980 | $370,590 |
Accounts receivable, net | 505,284 | 526,408 |
Inventories, net | 204,722 | 190,867 |
Deferred taxes | 88,421 | 41,992 |
Unbilled receivables | 85,375 | 72,193 |
Other current assets | 45,417 | 43,492 |
Total current assets | 1,389,199 | 1,245,542 |
Property, plant and equipment, net | 117,785 | 110,397 |
Goodwill | 4,541,772 | 3,868,857 |
Other intangible assets, net | 2,051,685 | 1,698,867 |
Deferred taxes | 68,048 | 78,644 |
Other assets | 77,086 | 68,797 |
Total assets | 8,245,575 | 7,071,104 |
Liabilities and Stockholders' Equity | ' | ' |
Accounts payable | 142,987 | 138,340 |
Accrued Compensation | 100,901 | 110,724 |
Deferred Revenue, Current | 212,275 | 185,912 |
Accrued liabilities | 153,293 | 128,351 |
Deferred taxes | 12,431 | 3,868 |
Current portion of long-term debt, net | 12,250 | 519,015 |
Total current liabilities | 634,137 | 1,086,210 |
Long-term debt, net of current portion | 2,593,607 | 1,503,107 |
Deferred taxes | 862,986 | 707,278 |
Other liabilities | 92,032 | 86,783 |
Total liabilities | 4,182,762 | 3,383,378 |
Common stock | 1,013 | 1,006 |
Additional paid-in capital | 1,219,648 | 1,158,001 |
Retained earnings | 2,813,356 | 2,489,858 |
Accumulated other comprehensive earnings | 48,318 | 58,537 |
Treasury stock | -19,522 | -19,676 |
Total stockholders' equity | 4,062,813 | 3,687,726 |
Total liabilities and stockholders' equity | $8,245,575 | $7,071,104 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Cash flows from operating activities: | ' | ' |
Net earnings | $372,590 | $339,830 |
Adjustments to reconcile net earnings to cash flows from operating activities: | ' | ' |
Depreciation and amortization of property, plant and equipment | 28,269 | 28,402 |
Amortization of intangible assets | 111,210 | 82,398 |
Amortization of deferred financing costs | 2,916 | 1,750 |
Non-cash stock compensation | 40,040 | 30,143 |
Changes in operating assets and liabilities, net of acquired businesses: | ' | ' |
Accounts receivable | 43,101 | 6,685 |
Unbilled receivables | -13,257 | -2,698 |
Inventories | -15,202 | -2,985 |
Accounts payable and accrued liabilities | 13,055 | -8,617 |
Income taxes | -12,643 | -14,258 |
Other, net | -3,306 | 5,564 |
Cash provided by operating activities | 566,773 | 466,214 |
Cash flows from investing activities: | ' | ' |
Acquisitions of businesses, net of cash acquired | -1,014,952 | -1,445,549 |
Capital expenditures | -33,349 | -29,236 |
Proceeds from sale of assets | 1,740 | 1,196 |
Other, net | -144 | -542 |
Cash used in investing activities | -1,046,705 | -1,474,131 |
Cash flows from financing activities: | ' | ' |
Proceeds from Issuance of Senior Long-term Debt | 800,000 | 0 |
Proceeds from (Repayments of) Notes Payable | -500,000 | 0 |
Borrowings/(payments) under revolving line of credit, net | 290,000 | 1,050,000 |
Principal payments on convertible notes | -2,115 | -26,826 |
Cash dividends to stockholders | -32,706 | -40,102 |
Stock award tax excess windfall benefit | 7,763 | 19,873 |
Payments of Debt Issuance Costs | -7,717 | -4,551 |
Treasury stock sales | 1,833 | 1,623 |
Proceeds from stock based compensation, net | 16,839 | 40,105 |
Cash Premium on Convertible Debt | -5,100 | -19,149 |
Other | 723 | -979 |
Cash provided by/(used in) financing activities | 569,520 | 1,019,994 |
Effect of foreign currency exchange rate changes on cash | -198 | 4,931 |
Net increase/(decrease) in cash and cash equivalents | 89,390 | 17,008 |
Cash and cash equivalents, end of period | 370,590 | 338,101 |
Cash and cash equivalents, end of period | $459,980 | $355,109 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Changes in Stockholders' Equity (unaudited) (USD $) | Common stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive earnings | Treasury stock | Total |
In Thousands | ||||||
Beginning Balance at Dec. 31, 2012 | $1,006 | $1,158,001 | $2,489,858 | $58,537 | ($19,676) | $3,687,726 |
Net earnings | 0 | 0 | 372,590 | 0 | 0 | 372,590 |
Stock option exercises | 4 | 20,446 | 0 | 0 | 0 | 20,450 |
Treasury stock sold | 0 | 1,679 | 0 | 0 | 154 | 1,833 |
Currency translation adjustments, net of tax | 0 | 0 | 0 | -10,219 | 0 | -10,219 |
Stock based compensation | 0 | 40,201 | 0 | 0 | 0 | 40,201 |
Restricted stock activity | 3 | -3,598 | 0 | 0 | 0 | -3,595 |
Stock option tax benefit, net of shortfalls | 0 | 7,632 | 0 | 0 | 0 | 7,632 |
Conversion of senior subordinated convertible notes | ' | -4,713 | 0 | 0 | 0 | -4,713 |
Dividends declared | 0 | 0 | -49,092 | 0 | 0 | -49,092 |
Ending Balance at Sep. 30, 2013 | $1,013 | $1,219,648 | $2,813,356 | $48,318 | ($19,522) | $4,062,813 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended | |
Sep. 30, 2013 | ||
Notes to Financial Statements [Abstract] | ' | |
Basis of Presentation | ' | |
1 | Basis of Presentation | |
The accompanying condensed consolidated financial statements for the three and nine month periods ended September 30, 2013 and 2012 are unaudited. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which include only normal recurring adjustments, necessary to state fairly the financial position, results of operations, comprehensive income and cash flows of Roper Industries, Inc. and its subsidiaries ("Roper" or the "Company") for all periods presented. The December 31, 2012 financial position data included herein was derived from the audited consolidated financial statements included in the 2012 Annual Report on Form 10-K ("Annual Report") filed on February 25, 2013 with the Securities and Exchange Commission ("SEC") but does not include all disclosures required by U.S. generally accepted accounting principles ("GAAP"). | ||
Roper's management has made a number of estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities to prepare these condensed consolidated financial statements in conformity with GAAP. Actual results could differ from those estimates. | ||
The results of operations for the three and nine month periods ended September 30, 2013 are not necessarily indicative of the results to be expected for the full year. You should read these unaudited condensed consolidated financial statements in conjunction with Roper's consolidated financial statements and the notes thereto included in its Annual Report. |
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements | 9 Months Ended | |
Sep. 30, 2013 | ||
Notes to Financial Statements [Abstract] | ' | |
Recent Accounting Pronouncements | ' | |
2 | Recent Accounting Pronouncements | |
The Financial Accounting Standards Board ("FASB") establishes changes to accounting principles under GAAP in the form of accounting standards updates ("ASUs") to the FASB's Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. Any ASUs not listed below were assessed and determined to be either not applicable or are expected to have an immaterial impact on the Company's results of operations, financial position or cash flows. | ||
In July 2012, the FASB issued an amendment to accounting rules related to the testing of indefinite-lived intangibles. The new accounting rules permit an entity to first assess qualitative factors to determine if it is more likely than not that an indefinite-lived asset is impaired as a basis for determining whether it is necessary to perform the quantitative impairment test prescribed under current accounting rules. Roper adopted this guidance on January 1, 2013. The guidance did not have an impact on the Company's results of operations, financial position or cash flows. |
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||||
Earnings Per Share | ' | ||||||||||||||||
3 | Earnings Per Share | ||||||||||||||||
Basic earnings per share were calculated using net earnings and the weighted average number of shares of common stock outstanding during the respective period. Diluted earnings per share were calculated using net earnings and the weighted average number of shares of common stock and potential common stock outstanding during the respective period. Potentially dilutive common stock consisted of stock options and the premium over the conversion price on Roper's senior subordinated convertible notes based upon the trading price of Roper's common stock. The effects of potential common stock were determined using the treasury stock method. Weighted average shares outstanding are as shown below (in thousands): | |||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Basic shares outstanding | 99,207 | 97,876 | 99,058 | 97,460 | |||||||||||||
Effect of potential common stock: | |||||||||||||||||
Common stock awards | 905 | 1,017 | 894 | 1,077 | |||||||||||||
Senior subordinated convertible notes | 190 | 864 | 200 | 1,006 | |||||||||||||
Diluted shares outstanding | 100,302 | 99,757 | 100,152 | 99,543 | |||||||||||||
For the three and nine month periods ended September 30, 2013 there were 551,850 and 601,350 outstanding stock options, respectively, that were not included in the determination of diluted earnings per share because doing so would have been antidilutive; this compares to 540,266 and 589,666 outstanding stock options, respectively, that would have been antidilutive for the three and nine month periods ended September 30, 2012. |
Business_Acquisitions
Business Acquisitions | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Business Acquisitions [Abstract] | ' | ||||||||
Business Acquisitions [Text Block] | ' | ||||||||
4 | Business Acquisitions | ||||||||
On May 1, 2013, Roper acquired 100% of the shares of Managed Health Care Associates, Inc. ("MHA"), in a $1.0 billion all-cash transaction. MHA is a leading provider of services and technologies to support the diverse and complex needs of alternate site health care providers who deliver services outside of an acute care hospital setting. The acquisition of MHA complements and expands the Company's medical platform. MHA is reported in the Medical & Scientific Imaging segment. | |||||||||
During the nine month period ended September 30, 2013, the Company expensed transaction costs of $2.5 million related to the acquisition as corporate general and administrative expenses, as incurred. | |||||||||
The following table (in thousands) summarizes the fair values of the assets acquired and liabilities assumed at the date of acquisition. The allocation of the purchase price is considered preliminary pending tax-related adjustments. Pro forma data has not been provided as the acquisition of MHA was not material to the Company's operations. | |||||||||
Current assets | $ 59,813 | ||||||||
Identifiable intangibles | 465,500 | ||||||||
Goodwill | 680,732 | ||||||||
Other assets | 5,798 | ||||||||
Total assets acquired | 1,211,843 | ||||||||
Current liabilities | (24,717 | ) | |||||||
Long-term deferred tax liability | (165,052 | ) | |||||||
Other liabilities | (6,524 | ) | |||||||
Net assets acquired | $ 1,015,550 | ||||||||
The fair value of current assets acquired also includes an adjustment of $35.0 million for administrative fees related to customer purchases that occurred prior to the acquisition date but not reported to MHA until after the acquisition date. In the ordinary course, these administrative fees are recorded as revenue when reported; however, GAAP accounting for business acquisitions requires the Company to estimate the amount of purchases occurring prior to the acquisition date and record the fair value of the administrative fees to be received from those purchases as an accounts receivable at the date of acquisition. The Company also recorded a fair value liability of $8.6 million included in current liabilities related to corresponding revenue-share obligation owed to customers that generated the administrative fees. Both of these fair value adjustments were fully amortized as of September 30, 2013. | |||||||||
The majority of the goodwill is not expected to be deductible for tax purposes. Of the $466 million of intangible assets acquired, $28 million was assigned to trade names that are not subject to amortization. The remaining $438 million of acquired intangible assets have a weighted-average useful life of approximately 20 years. The intangible assets that make up that amount include customer relationships of $433 million (20 year weighted-average useful life) and technology of $5 million (3 year weighted-average useful life). | |||||||||
On August 22, 2012, Roper acquired 100% of the shares of Sunquest Information Systems, Inc. ("Sunquest"). Roper's results for the quarter ended September 30, 2012 included results from Sunquest between August 22, 2012 and September 30, 2012. In that period, Sunquest contributed $21.0 million in revenue and $0.2 million of earnings (inclusive of deal-related costs) to Roper's results. The following unaudited pro forma summary presents consolidated information as if the acquisition of Sunquest had occurred on January 1, 2011. This supplemental pro forma information does not purport to be indicative of what would have occurred had the acquisition of Sunquest been completed on January 1, 2011, nor is it indicative of any future results. Amounts shown are in thousands, except per share data: | |||||||||
Three months ended | Nine months ended | ||||||||
30-Sep-12 | 30-Sep-12 | ||||||||
Sales | $ | 780,278 | $ | 2,320,497 | |||||
Net income | 128,226 | 380,046 | |||||||
Earnings per share, basic | 1.31 | 3.9 | |||||||
Earnings per share, diluted | 1.29 | 3.82 | |||||||
Pro forma earnings for the three and nine months ended September 30, 2012 were adjusted by $41.3 million and $50.6 million, respectively, for non-recurring acquisition and other costs as well as recurring changes in amortization, interest expense and taxes related to the acquisition. |
Stock_Based_Compensation
Stock Based Compensation | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
5 | Stock Based Compensation | ||||||||||||||||
The Roper Industries, Inc. Amended and Restated 2006 Incentive Plan (the "Plan") is a stock based compensation plan used to grant incentive stock options, nonqualified stock options, restricted stock, stock appreciation rights or equivalent instruments to Roper's employees, officers and directors. | |||||||||||||||||
Roper's stock purchase plan allows employees in the U.S. and Canada to designate up to 10% of eligible earnings to purchase Roper's common stock at a 5% discount to the average closing price of the stock at the beginning and end of a quarterly offering period. The common stock sold to the employees may be either treasury stock, stock purchased on the open market, or newly issued shares. | |||||||||||||||||
The following table provides information regarding the Company's stock based compensation expense (in thousands): | |||||||||||||||||
Three months ended September 30, | Nine months ended | ||||||||||||||||
September 30, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Stock based compensation | $ | 13,756 | $ | 10,439 | $ | 40,040 | $ | 30,143 | |||||||||
Tax effect recognized in net income | 4,814 | 3,654 | 14,014 | 10,550 | |||||||||||||
Windfall tax benefit, net | 2,075 | 9,009 | 7,632 | 19,975 | |||||||||||||
Stock Options - In the nine month period ended September 30, 2013, 560,350 options were granted with a weighted average fair value of $36.87 per option. During the same period in 2012, 531,100 options were granted with a weighted average fair value of $30.19 per option. All options were issued at grant date fair value, which is defined by the Plan as the closing price of Roper's common stock on the date of grant. | |||||||||||||||||
Roper records compensation expense for employee stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes option-pricing model. Historical data, among other factors, is used to estimate the expected price volatility, the expected dividend yield, the expected option life and the expected forfeiture rate. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the estimated life of the option. The following weighted average assumptions were used to estimate the fair value of options granted during the current and prior year periods using the Black-Scholes option-pricing model: | |||||||||||||||||
Nine months ended September 30, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Fair value per share ($) | 36.87 | 30.19 | |||||||||||||||
Risk-free interest rate (%) | 0.8 | 0.77 | |||||||||||||||
Expected option life (years) | 5.19 | 5.24 | |||||||||||||||
Expected volatility (%) | 36.2 | 36.51 | |||||||||||||||
Expected dividend yield (%) | 0.57 | 0.58 | |||||||||||||||
Cash received from option exercises for the nine months ended September 30, 2013 and 2012 was $20.5 million and $40.1 million, respectively. | |||||||||||||||||
Restricted Stock Awards - During the nine months ended September 30, 2013, 357,240 restricted stock awards were granted with a weighted average fair value of $116.76 per restricted share. During the same period in 2012, 358,807 awards were granted with a weighted average fair value of $95.10 per restricted share. All grants were issued at grant date fair value. | |||||||||||||||||
During the nine months ended September 30, 2013, 123,762 restricted awards vested with a weighted average grant date fair value of $63.65 per restricted share, at a weighted average vest date fair value of $120.92 per restricted share. | |||||||||||||||||
Employee Stock Purchase Plan - During the nine month periods ended September 30, 2013 and 2012, participants of the employee stock purchase plan purchased 15,458 and 17,410 shares, respectively, of Roper's common stock for total consideration of $1.8 million and $1.6 million, respectively. All shares were purchased from Roper's treasury shares. |
Inventories
Inventories | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Notes to Financial Statements [Abstract] | ' | |||||||
Inventories | ' | |||||||
6 | Inventories | |||||||
The components of inventories at September 30, 2013 and December 31, 2012 were as follows (in thousands) | ||||||||
September 30, | December 31, | |||||||
2013 | 2012 | |||||||
Raw materials and supplies | $ | 128,809 | $ | 121,573 | ||||
Work in process | 33,133 | 29,725 | ||||||
Finished products | 88,614 | 81,536 | ||||||
Inventory reserves | (45,834 | ) | (41,967 | ) | ||||
$ | 204,722 | $ | 190,867 |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Text Block] | ' | ||||||||||||||||
7 | Goodwill and Other Intangible Assets | ||||||||||||||||
The carrying value of goodwill by segment is as follows (in thousands): | |||||||||||||||||
Industrial Technology | Energy Systems & Controls | Medical & Scientific | RF | Total | |||||||||||||
Imaging | Technology | ||||||||||||||||
Balances at December 31, 2012 | $ | 421,755 | $ | 404,057 | $ | 1,772,402 | $ | 1,270,643 | $ | 3,868,857 | |||||||
Additions | - | - | 680,732 | - | 680,732 | ||||||||||||
Other | - | 2,660 | (4,283 | ) | 445 | (1,178 | ) | ||||||||||
Currency translation adjustments | 1,929 | (215 | ) | (7,084 | ) | (1,269 | ) | (6,639 | ) | ||||||||
Balances at September 30, 2013 | $ | 423,684 | $ | 406,502 | $ | 2,441,767 | $ | 1,269,819 | $ | 4,541,772 | |||||||
Other intangible assets are comprised of (in thousands): | |||||||||||||||||
Cost | Accumulated | Net book | |||||||||||||||
amortization | value | ||||||||||||||||
Assets subject to amortization: | |||||||||||||||||
Customer related intangibles | $ | 1,509,339 | $ | (379,535 | ) | $ | 1,129,804 | ||||||||||
Unpatented technology | 198,609 | (97,487 | ) | 101,122 | |||||||||||||
Software | 160,520 | (44,256 | ) | 116,264 | |||||||||||||
Patents and other protective rights | 40,399 | (20,312 | ) | 20,087 | |||||||||||||
Trade secrets | 1,500 | (1,500 | ) | - | |||||||||||||
Assets not subject to amortization: | |||||||||||||||||
Trade names | 331,590 | - | 331,590 | ||||||||||||||
Balances at December 31, 2012 | $ | 2,241,957 | $ | (543,090 | ) | $ | 1,698,867 | ||||||||||
Assets subject to amortization: | |||||||||||||||||
Customer related intangibles | $ | 1,939,270 | $ | (456,068 | ) | $ | 1,483,202 | ||||||||||
Unpatented technology | 212,049 | (116,355 | ) | 95,694 | |||||||||||||
Software | 160,496 | (54,777 | ) | 105,719 | |||||||||||||
Patents and other protective rights | 30,390 | (22,017 | ) | 8,373 | |||||||||||||
Trade secrets | 1,500 | (1,500 | ) | - | |||||||||||||
Assets not subject to amortization: | |||||||||||||||||
Trade names | 358,697 | - | 358,697 | ||||||||||||||
Balances at September 30, 2013 | $ | 2,702,402 | $ | (650,717 | ) | $ | 2,051,685 | ||||||||||
Amortization expense of other intangible assets was $108,223 and $79,335 during the nine months ended September 30, 2013 and 2012, respectively. |
Debt
Debt | 9 Months Ended | |
Sep. 30, 2013 | ||
Notes to Financial Statements [Abstract] | ' | |
Debt | ' | |
8 | Debt | |
On June 6, 2013, the Company completed a public offering of $800 million aggregate principal amount of 2.05% senior unsecured notes due October 1, 2018. The notes were issued at 99.791% of their principal amount. The net proceeds were used to pay a portion of the outstanding revolver balance under Roper's revolving credit facility. | ||
The notes bear interest at a fixed rate of 2.05% per year, payable semi-annually in arrears on April 1 and October 1 of each year, beginning October 1, 2013. | ||
Roper may redeem some or all of these notes at any time or from time to time, at 100% of their principal amount, plus a make-whole premium based on a spread to U.S. Treasury securities. | ||
The notes are unsecured senior obligations of the Company and rank equally in right of payment with all of its existing and future unsecured and unsubordinated indebtedness. The notes are effectively subordinated to any existing and future secured indebtedness to the extent of the value of the collateral securing such indebtedness. The notes are not guaranteed by any of Roper's subsidiaries and are effectively subordinated to all existing and future indebtedness and other liabilities of its subsidiaries. | ||
On August 15, 2013, $500 million of senior notes matured, and were repaid using borrowings from the Company's $1.5 billion revolving credit facility. | ||
Roper's 3.75% senior subordinated convertible notes due 2034 became convertible on January 15, 2009. During the nine month period ended September 30, 2013, 4,471 notes were converted for $7.1 million in cash. No gain or loss was recorded upon these conversions. In addition, a related $0.4 million deferred tax liability associated with excess deductions recorded for tax purposes was relieved to additional paid-in capital upon the conversions. | ||
At September 30, 2013, the conversion price on the outstanding notes was $470.55. If converted at September 30, 2013, the value would exceed the $10 million principal amount of the notes by approximately $25 million and could result in the issuance of 190,306 shares of Roper's common stock. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 9 Months Ended | |
Sep. 30, 2013 | ||
Notes to Financial Statements [Abstract] | ' | |
Fair Value of Financial Instruments | ' | |
9 | Fair Value of Financial Instruments | |
Roper's debt at September 30, 2013 included $2.2 billion of fixed-rate senior notes with the following fair values (in millions): | ||
$400 million senior notes due 2017 | $ 398 | |
$800 million senior notes due 2018 | 786 | |
$500 million senior notes due 2019 | 583 | |
$500 million senior notes due 2022 | 468 | |
The fair values of the senior notes are based on the trading prices of the notes, which the Company has determined to be Level 2 in the FASB fair value hierarchy. Short-term debt included $10 million of fixed-rate convertible notes which were at fair value due to the ability of note holders to exercise the conversion option of the notes. | ||
On August 15, 2013, an aggregate notional amount of $500 million in interest rate swaps expired. The swaps had been designated as fair value hedges which had effectively changed Roper's $500 million senior notes due 2013 with a fixed interest rate of 6.625% to a variable-rate obligation at a weighted average spread of 4.377% plus the 3 month London Interbank Offered Rate ("LIBOR"). |
Contingencies
Contingencies | 9 Months Ended | ||||
Sep. 30, 2013 | |||||
Notes to Financial Statements [Abstract] | ' | ||||
Contingencies | ' | ||||
10 | Contingencies | ||||
Roper, in the ordinary course of business, is the subject of, or a party to, various pending or threatened legal actions, including product liability and employment practices. The Company is vigorously contesting all lawsuits that, in general, are based upon claims of the kind that have been customary over the past several years. After analyzing the Company's contingent liabilities on a gross basis and, based upon past experience with resolution of its product liability and employment practices claims and the limits of the primary, excess, and umbrella liability insurance coverages that are available with respect to pending claims, management believes that adequate provision has been made to cover any potential liability not covered by insurance, and that the ultimate liability, if any, arising from these actions should not have a material adverse effect on Roper's consolidated financial position, results of operations or cash flows. | |||||
Over recent years there has been an increase in certain U.S. states in asbestos-related litigation claims against numerous industrial companies. Roper or its subsidiaries have been named defendants in some such cases. No significant resources have been required by Roper to respond to these cases and the Company believes it has valid defenses to such claims and, if required, intends to defend them vigorously. Given the state of these claims it is not possible to determine the potential liability, if any. | |||||
Roper's financial statements include accruals for potential product liability and warranty claims based on its claims experience. Such costs are accrued at the time revenue is recognized. A summary of the warranty accrual activity for the nine months ended September 30, 2013 is presented below (in thousands): | |||||
Balance at December 31, 2012 | $ | 9,755 | |||
Additions charged to costs and expenses* | 17,659 | ||||
Deductions | (11,251 | ) | |||
Other | -168 | ||||
Balance at September 30, 2013 | $ | 15,995 | |||
* During the second quarter of 2013, the Company identified a vendor-supplied component within a refrigeration system valve that did not meet its quality standards, and $9.1 million was expensed to cover the estimated cost of replacing the faulty components for customers. |
Business_Segments
Business Segments | 9 Months Ended | ||||||||||||||
Sep. 30, 2013 | |||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||
Business Segments | ' | ||||||||||||||
11 | Business Segments | ||||||||||||||
Sales and operating profit by industry segment are set forth in the following table (dollars in thousands): | |||||||||||||||
Three months ended | Nine months ended | ||||||||||||||
September 30, | September 30, | ||||||||||||||
2013 | 2012 | Change | 2013 | 2012 | Change | ||||||||||
Net sales: | |||||||||||||||
Industrial Technology | $ | 200,684 | $ | 199,008 | 0.8 | % | $ | 580,466 | $ | 598,088 | (2.9 | )% | |||
Energy Systems & Controls | 155,058 | 158,169 | (2.0 | ) | 456,031 | 461,508 | (1.2 | ) | |||||||
Medical & Scientific Imaging | 237,338 | 172,475 | 37.6 | 645,739 | 486,207 | 32.8 | |||||||||
RF Technology | 234,730 | 217,989 | 7.7 | 666,719 | 637,776 | 4.5 | |||||||||
Total | $ | 827,810 | $ | 747,641 | 10.7 | % | $ | 2,348,955 | $ | 2,183,579 | 7.6 | % | |||
Gross profit: | |||||||||||||||
Industrial Technology | $ | 101,259 | $ | 102,569 | (1.3 | )% | $ | 296,414 | $ | 304,002 | (2.5 | )% | |||
Energy Systems & Controls | 88,104 | 87,782 | 0.4 | 256,431 | 254,325 | 0.8 | |||||||||
Medical & Scientific Imaging | 167,433 | 112,013 | 49.5 | 440,718 | 314,411 | 40.2 | |||||||||
RF Technology | 125,829 | 114,191 | 10.2 | 356,145 | 332,618 | 7.1 | |||||||||
Total | $ | 482,625 | $ | 416,555 | 15.9 | % | $ | 1,349,708 | $ | 1,205,356 | 12 | % | |||
Operating profit*: | |||||||||||||||
Industrial Technology | $ | 60,753 | $ | 60,628 | 0.2 | % | $ | 164,278 | $ | 180,211 | (8.8 | )% | |||
Energy Systems & Controls | 41,076 | 42,890 | (4.2 | ) | 118,432 | 118,749 | (0.3 | ) | |||||||
Medical & Scientific Imaging | 71,968 | 46,190 | 55.8 | 179,433 | 125,231 | 43.3 | |||||||||
RF Technology | 66,469 | 58,002 | 14.6 | 183,828 | 166,516 | 10.4 | |||||||||
Total | $ | 240,266 | $ | 207,710 | 15.7 | % | $ | 645,971 | $ | 590,707 | 9.4 | % | |||
Long-lived assets: | |||||||||||||||
Industrial Technology | $ | 49,055 | $ | 42,970 | |||||||||||
Energy Systems & Controls | 19,501 | 19,016 | |||||||||||||
Medical & Scientific Imaging | 43,105 | 44,784 | |||||||||||||
RF Technology | 28,360 | 29,230 | |||||||||||||
Total | $ | 140,021 | $ | 136,000 | |||||||||||
*Segment operating profit is before unallocated corporate general and administrative expenses. These expenses were $20,917 and $24,453 for the three months ended September 30, 2013 and 2012, respectively, and $61,699 and $58,362 for the nine months ended September 30, 2013 and 2012, respectively. |
Earnings_Per_Share_Policies
Earnings Per Share (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Notes to Financial Statements [Abstract] | ' |
Earnings Per Share Policy | ' |
Basic earnings per share were calculated using net earnings and the weighted average number of shares of common stock outstanding during the respective period. Diluted earnings per share were calculated using net earnings and the weighted average number of shares of common stock and potential common stock outstanding during the respective period. Potentially dilutive common stock consisted of stock options and the premium over the conversion price on Roper's senior subordinated convertible notes based upon the trading price of Roper's common stock. The effects of potential common stock were determined using the treasury stock method. Weighted average shares outstanding are as shown below (in thousands): |
Stock_Based_Compensation_Polic
Stock Based Compensation (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Notes to Financial Statements [Abstract] | ' |
Stock Based Compensation | ' |
Roper records compensation expense for employee stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes option-pricing model. Historical data, among other factors, is used to estimate the expected price volatility, the expected dividend yield, the expected option life and the expected forfeiture rate. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the estimated life of the option. The following weighted average assumptions were used to estimate the fair value of options granted during the current and prior year periods using the Black-Scholes option-pricing model: |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||||
Schedule Of Weighted Average Number Of Shares Outstanding Basic To Diluted | ' | ||||||||||||||||
Basic earnings per share were calculated using net earnings and the weighted average number of shares of common stock outstanding during the respective period. Diluted earnings per share were calculated using net earnings and the weighted average number of shares of common stock and potential common stock outstanding during the respective period. Potentially dilutive common stock consisted of stock options and the premium over the conversion price on Roper's senior subordinated convertible notes based upon the trading price of Roper's common stock. The effects of potential common stock were determined using the treasury stock method. Weighted average shares outstanding are as shown below (in thousands): | |||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Basic shares outstanding | 99,207 | 97,876 | 99,058 | 97,460 | |||||||||||||
Effect of potential common stock: | |||||||||||||||||
Common stock awards | 905 | 1,017 | 894 | 1,077 | |||||||||||||
Senior subordinated convertible notes | 190 | 864 | 200 | 1,006 | |||||||||||||
Diluted shares outstanding | 100,302 | 99,757 | 100,152 | 99,543 |
Business_Acquisitions_Tables
Business Acquisitions (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Business Acquisitions [Abstract] | ' | ||||||||
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | ' | ||||||||
Current assets | $ 59,813 | ||||||||
Identifiable intangibles | 465,500 | ||||||||
Goodwill | 680,732 | ||||||||
Other assets | 5,798 | ||||||||
Total assets acquired | 1,211,843 | ||||||||
Current liabilities | (24,717 | ) | |||||||
Long-term deferred tax liability | (165,052 | ) | |||||||
Other liabilities | (6,524 | ) | |||||||
Net assets acquired | $ 1,015,550 | ||||||||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustments [Table Text Block] | ' | ||||||||
Three months ended | Nine months ended | ||||||||
30-Sep-12 | 30-Sep-12 | ||||||||
Sales | $ | 780,278 | $ | 2,320,497 | |||||
Net income | 128,226 | 380,046 | |||||||
Earnings per share, basic | 1.31 | 3.9 | |||||||
Earnings per share, diluted | 1.29 | 3.82 |
Stock_Based_Compensation_Table
Stock Based Compensation (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||||
Stock Based Compensation Expense | ' | ||||||||||||||||
The following table provides information regarding the Company's stock based compensation expense (in thousands): | |||||||||||||||||
Three months ended September 30, | Nine months ended | ||||||||||||||||
September 30, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Stock based compensation | $ | 13,756 | $ | 10,439 | $ | 40,040 | $ | 30,143 | |||||||||
Tax effect recognized in net income | 4,814 | 3,654 | 14,014 | 10,550 | |||||||||||||
Windfall tax benefit, net | 2,075 | 9,009 | 7,632 | 19,975 | |||||||||||||
Weighted average assumptions used to value option grants | ' | ||||||||||||||||
Nine months ended September 30, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Fair value per share ($) | 36.87 | 30.19 | |||||||||||||||
Risk-free interest rate (%) | 0.8 | 0.77 | |||||||||||||||
Expected option life (years) | 5.19 | 5.24 | |||||||||||||||
Expected volatility (%) | 36.2 | 36.51 | |||||||||||||||
Expected dividend yield (%) | 0.57 | 0.58 |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||||
Goodwill | ' | ||||||||||||||||
The carrying value of goodwill by segment is as follows (in thousands): | |||||||||||||||||
Industrial Technology | Energy Systems & Controls | Medical & Scientific | RF | Total | |||||||||||||
Imaging | Technology | ||||||||||||||||
Balances at December 31, 2012 | $ | 421,755 | $ | 404,057 | $ | 1,772,402 | $ | 1,270,643 | $ | 3,868,857 | |||||||
Additions | - | - | 680,732 | - | 680,732 | ||||||||||||
Other | - | 2,660 | (4,283 | ) | 445 | (1,178 | ) | ||||||||||
Currency translation adjustments | 1,929 | (215 | ) | (7,084 | ) | (1,269 | ) | (6,639 | ) | ||||||||
Balances at September 30, 2013 | $ | 423,684 | $ | 406,502 | $ | 2,441,767 | $ | 1,269,819 | $ | 4,541,772 | |||||||
Other Intangible Assets | ' | ||||||||||||||||
Other intangible assets are comprised of (in thousands): | |||||||||||||||||
Cost | Accumulated | Net book | |||||||||||||||
amortization | value | ||||||||||||||||
Assets subject to amortization: | |||||||||||||||||
Customer related intangibles | $ | 1,509,339 | $ | (379,535 | ) | $ | 1,129,804 | ||||||||||
Unpatented technology | 198,609 | (97,487 | ) | 101,122 | |||||||||||||
Software | 160,520 | (44,256 | ) | 116,264 | |||||||||||||
Patents and other protective rights | 40,399 | (20,312 | ) | 20,087 | |||||||||||||
Trade secrets | 1,500 | (1,500 | ) | - | |||||||||||||
Assets not subject to amortization: | |||||||||||||||||
Trade names | 331,590 | - | 331,590 | ||||||||||||||
Balances at December 31, 2012 | $ | 2,241,957 | $ | (543,090 | ) | $ | 1,698,867 | ||||||||||
Assets subject to amortization: | |||||||||||||||||
Customer related intangibles | $ | 1,939,270 | $ | (456,068 | ) | $ | 1,483,202 | ||||||||||
Unpatented technology | 212,049 | (116,355 | ) | 95,694 | |||||||||||||
Software | 160,496 | (54,777 | ) | 105,719 | |||||||||||||
Patents and other protective rights | 30,390 | (22,017 | ) | 8,373 | |||||||||||||
Trade secrets | 1,500 | (1,500 | ) | - | |||||||||||||
Assets not subject to amortization: | |||||||||||||||||
Trade names | 358,697 | - | 358,697 | ||||||||||||||
Balances at September 30, 2013 | $ | 2,702,402 | $ | (650,717 | ) | $ | 2,051,685 |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 9 Months Ended | |
Sep. 30, 2013 | ||
Notes to Financial Statements [Abstract] | ' | |
Fair Value, Liabilities Measured on Recurring and Nonrecurring Basis [Table Text Block] | ' | |
Roper's debt at September 30, 2013 included $2.2 billion of fixed-rate senior notes with the following fair values (in millions): | ||
$400 million senior notes due 2017 | $ 398 | |
$800 million senior notes due 2018 | 786 | |
$500 million senior notes due 2019 | 583 | |
$500 million senior notes due 2022 | 468 |
Contingencies_Tables
Contingencies (Tables) | 9 Months Ended | ||||
Sep. 30, 2013 | |||||
Notes to Financial Statements [Abstract] | ' | ||||
Warranty Accrual Activity Table | ' | ||||
Balance at December 31, 2012 | $ | 9,755 | |||
Additions charged to costs and expenses* | 17,659 | ||||
Deductions | (11,251 | ) | |||
Other | -168 | ||||
Balance at September 30, 2013 | $ | 15,995 |
Business_Segments_Tables
Business Segments (Tables) | 9 Months Ended | ||||||||||||||
Sep. 30, 2013 | |||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||
Sales and operating profit by business segment Table | ' | ||||||||||||||
Sales and operating profit by industry segment are set forth in the following table (dollars in thousands): | |||||||||||||||
Three months ended | Nine months ended | ||||||||||||||
September 30, | September 30, | ||||||||||||||
2013 | 2012 | Change | 2013 | 2012 | Change | ||||||||||
Net sales: | |||||||||||||||
Industrial Technology | $ | 200,684 | $ | 199,008 | 0.8 | % | $ | 580,466 | $ | 598,088 | (2.9 | )% | |||
Energy Systems & Controls | 155,058 | 158,169 | (2.0 | ) | 456,031 | 461,508 | (1.2 | ) | |||||||
Medical & Scientific Imaging | 237,338 | 172,475 | 37.6 | 645,739 | 486,207 | 32.8 | |||||||||
RF Technology | 234,730 | 217,989 | 7.7 | 666,719 | 637,776 | 4.5 | |||||||||
Total | $ | 827,810 | $ | 747,641 | 10.7 | % | $ | 2,348,955 | $ | 2,183,579 | 7.6 | % | |||
Gross profit: | |||||||||||||||
Industrial Technology | $ | 101,259 | $ | 102,569 | (1.3 | )% | $ | 296,414 | $ | 304,002 | (2.5 | )% | |||
Energy Systems & Controls | 88,104 | 87,782 | 0.4 | 256,431 | 254,325 | 0.8 | |||||||||
Medical & Scientific Imaging | 167,433 | 112,013 | 49.5 | 440,718 | 314,411 | 40.2 | |||||||||
RF Technology | 125,829 | 114,191 | 10.2 | 356,145 | 332,618 | 7.1 | |||||||||
Total | $ | 482,625 | $ | 416,555 | 15.9 | % | $ | 1,349,708 | $ | 1,205,356 | 12 | % | |||
Operating profit*: | |||||||||||||||
Industrial Technology | $ | 60,753 | $ | 60,628 | 0.2 | % | $ | 164,278 | $ | 180,211 | (8.8 | )% | |||
Energy Systems & Controls | 41,076 | 42,890 | (4.2 | ) | 118,432 | 118,749 | (0.3 | ) | |||||||
Medical & Scientific Imaging | 71,968 | 46,190 | 55.8 | 179,433 | 125,231 | 43.3 | |||||||||
RF Technology | 66,469 | 58,002 | 14.6 | 183,828 | 166,516 | 10.4 | |||||||||
Total | $ | 240,266 | $ | 207,710 | 15.7 | % | $ | 645,971 | $ | 590,707 | 9.4 | % | |||
Long-lived assets: | |||||||||||||||
Industrial Technology | $ | 49,055 | $ | 42,970 | |||||||||||
Energy Systems & Controls | 19,501 | 19,016 | |||||||||||||
Medical & Scientific Imaging | 43,105 | 44,784 | |||||||||||||
RF Technology | 28,360 | 29,230 | |||||||||||||
Total | $ | 140,021 | $ | 136,000 | |||||||||||
*Segment operating profit is before unallocated corporate general and administrative expenses. These expenses were $20,917 and $24,453 for the three months ended September 30, 2013 and 2012, respectively, and $61,699 and $58,362 for the nine months ended September 30, 2013 and 2012, respectively. |
Earnings_Per_Share_Details
Earnings Per Share (Details) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Schedule Of Weighted Average Number Of Shares Outstanding Basic To Diluted | ' | ' | ' | ' |
Basic shares outstanding | 99,207 | 97,876 | 99,058 | 97,460 |
Effect of potential common stock | ' | ' | ' | ' |
Common stock awards | 905 | 1,017 | 894 | 1,077 |
Senior subordinated convertible notes | 190 | 864 | 200 | 1,006 |
Diluted shares outstanding | 100,302 | 99,757 | 100,152 | 99,543 |
Antidilutive stock options | 551,850 | 540,266 | 601,350 | 589,666 |
Business_Acquisitions_Details
Business Acquisitions (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | 1-May-13 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2012 |
Mha Acquisition [Member] | Mha Acquisition [Member] | Mha Acquisition [Member] | Mha Acquisition [Member] | Sunquest Acquisition [Member] | Sunquest Acquisition [Member] | |||
Customer Relationships [Member] | Unpatented Technology [Member] | |||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Business Acquisition, Effective Date of Acquisition | ' | ' | 1-May-13 | ' | ' | ' | ' | 22-Aug-12 |
Payments to Acquire Businesses, Gross | ' | ' | $1,000,000,000 | ' | ' | ' | ' | ' |
Business Acquisition, Percentage of Voting Interests Acquired | ' | ' | 100.00% | ' | ' | ' | 100.00% | 100.00% |
Name of Acquired Entity | ' | ' | 'Managed Health Care Associates, Inc. ("MHA") | ' | ' | ' | ' | 'Sunquest Information Systems, Inc. ("Sunquest") |
Description of Acquired Entity | ' | ' | 'MHA is a leading provider of services and technologies to support the diverse and complex needs of alternate site health care providers who deliver services outside of an acute care hospital setting. The acquisition of MHA complements and expands the Company's medical platform. MHA is reported in the Medical & Scientific Imaging segment. | ' | ' | ' | ' | ' |
Reason for Business Combination | ' | ' | 'The acquisition of MHA complements and expands the Company's medical platform. | ' | ' | ' | ' | ' |
Cost of Acquired Entity Transaction Costs | ' | ' | 2,500,000 | ' | ' | ' | ' | ' |
Business Combination, Admin Fee Receivables [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' |
Business Combination, Acquired Receivables, Description | ' | ' | 'The fair value of current assets acquired also includes an adjustment of $35.0 million for administrative fees related to customer purchases that occurred prior to the acquisition date but not reported to MHA until after the acquisition date. In the ordinary course, these administrative fees are recorded as revenue when reported; however, GAAP accounting for business acquisitions requires the Company to estimate the amount of purchases occurring prior to the acquisition date and record the fair value of the administrative fees to be received from those purchases as an accounts receivable at the date of acquisition. | ' | ' | ' | ' | ' |
Business Combination, Liability Related to Acquired Receivables, Description | ' | ' | 'The Company also recorded a fair value liability of $8.6 million included in current liabilities related to corresponding revenue-share obligation owed to customers that generated the administrative fees. | ' | ' | ' | ' | ' |
Business Combination, Acquired Receivables, Fair Value | ' | ' | 0 | 35,000,000 | ' | ' | ' | ' |
Business Combination, Liability Related to Acquired Receivables, Fair Value | ' | ' | 0 | 8,600,000 | ' | ' | ' | ' |
Business Combination, Acquired Receivables, Fair Value Net of Liability | ' | ' | 0 | ' | ' | ' | ' | ' |
Indefinite-lived Intangible Assets Acquired | ' | ' | 28,000,000 | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other | ' | ' | 59,813,000 | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill, Total | ' | ' | 465,500,000 | ' | ' | ' | ' | ' |
Goodwill | 4,541,772,000 | 3,868,857,000 | 680,732,000 | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other Noncurrent Assets | ' | ' | 5,798,000 | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets, Total | ' | ' | 1,211,843,000 | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other | ' | ' | 24,717,000 | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Liabilities Noncurrent | ' | ' | 165,052,000 | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other | ' | ' | 6,524,000 | ' | ' | ' | ' | ' |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net, Total | ' | ' | 1,015,550,000 | ' | ' | ' | ' | ' |
Business Acquisition, Pro Forma Revenue | ' | ' | ' | ' | ' | ' | 780,278,000 | 2,320,497,000 |
Business Acquisition, Pro Forma Net Income (Loss) | ' | ' | ' | ' | ' | ' | 128,226,000 | 380,046,000 |
Business Acquisition, Pro Forma Earnings Per Share, Basic | ' | ' | ' | ' | ' | ' | $1.31 | $3.90 |
Business Acquisition, Pro Forma Earnings Per Share, Diluted | ' | ' | ' | ' | ' | ' | $1.29 | $3.82 |
Business Acquisition, Pro Forma Information, Description | ' | ' | ' | ' | ' | ' | ' | 'Pro forma earnings for the three and nine months ended September 30, 2012 were adjusted by $41.3 million and $50.6 million, respectively, for non-recurring acquisition and other costs as well as recurring changes in amortization, interest expense and taxes related to the acquisition. |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Finite-lived Intangible Assets Acquired | ' | ' | ' | ' | $433,000,000 | $5,000,000 | ' | ' |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | ' | ' | ' | ' | '20 years | '3 years | ' | ' |
Stock_Based_Compensation_Detai
Stock Based Compensation (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Notes to Financial Statements [Abstract] | ' | ' | ' | ' |
Percentage of eligible earnings to purchase common stock through the employee stock purchase plan | 10.00% | ' | 10.00% | ' |
Discount on the average closing price for the employee stock purchase plan | ' | ' | 5.00% | ' |
Stock Based Compensation Expense Table | ' | ' | ' | ' |
Stock based compensation | $13,756,000 | $10,439,000 | $40,040,000 | $30,143,000 |
Tax effect recognized in net income | 4,814,000 | 3,654,000 | 14,014,000 | 10,550,000 |
Windfall tax benefit/(shortfall), net | 2,075,000 | 9,009,000 | 7,632,000 | 19,975,000 |
Employee stock options granted during the period | ' | ' | 560,350 | 531,100 |
Weighted average assumptions used to value option grants Table | ' | ' | ' | ' |
Fair value per share ($) | ' | ' | $36.87 | $30.19 |
Risk-free interest rate (%) | ' | ' | 0.80% | 0.77% |
Expected option life (years) | ' | ' | '5 years 3 months 9 days | '5 years 3 months 27 days |
Expected volatility (%) | ' | ' | 36.20% | 36.51% |
Expected dividend yield (%) | ' | ' | 0.57% | 0.58% |
Cash received from exercise of options | ' | ' | 20,500,000 | 40,100,000 |
Restricted stock awards granted during period | ' | ' | 357,240 | 358,807 |
Weighted average fair value per share of restricted stock awards granted during the period | ' | ' | $116.76 | $95.10 |
Restricted stock awards vested during period | ' | ' | 123,762 | ' |
Weighted average grant date fair value per share | ' | ' | $63.65 | ' |
Weighted average vest date fair value per share | ' | ' | $120.92 | ' |
Shares of stock purchased during the period by participants in the employee stock purchase plan | ' | ' | 15,458 | 17,410 |
Amount paid for stock purchased during the period by participants in the employee stock purchase plan | ' | ' | $1,800,000 | $1,600,000 |
Inventories_Details
Inventories (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Inventories | ' | ' |
Raw materials and supplies | $128,809 | $121,573 |
Work in process | 33,133 | 29,725 |
Finished products | 88,614 | 81,536 |
Inventory reserves | -45,834 | -41,967 |
Total Inventory | $204,722 | $190,867 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Details) (USD $) | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Goodwill [Line Items] | ' | ' | ' |
Balances | $3,868,857 | ' | ' |
Goodwill acquired | 680,732 | ' | ' |
Goodwill, Other Changes | -1,178 | ' | ' |
Currency translation adjustments | -6,639 | ' | ' |
Balances | 4,541,772 | ' | ' |
Schedule Of Other Intangible Assets By Major Class [Line Items] | ' | ' | ' |
Cost | 2,702,402 | ' | 2,241,957 |
Accumulated amortization | -650,717 | ' | -543,090 |
Net book value | 2,051,685 | ' | 1,698,867 |
Amortization expense of other intangible assets | 108,223 | 79,335 | ' |
Assets subject to amortization | Customer related intangibles | ' | ' | ' |
Schedule Of Other Intangible Assets By Major Class [Line Items] | ' | ' | ' |
Cost | 1,939,270 | ' | 1,509,339 |
Accumulated amortization | -456,068 | ' | -379,535 |
Net book value | 1,483,202 | ' | 1,129,804 |
Assets subject to amortization | Unpatented technology | ' | ' | ' |
Schedule Of Other Intangible Assets By Major Class [Line Items] | ' | ' | ' |
Cost | 212,049 | ' | 198,609 |
Accumulated amortization | -116,355 | ' | -97,487 |
Net book value | 95,694 | ' | 101,122 |
Assets subject to amortization | Software | ' | ' | ' |
Schedule Of Other Intangible Assets By Major Class [Line Items] | ' | ' | ' |
Cost | 160,496 | ' | 160,520 |
Accumulated amortization | -54,777 | ' | -44,256 |
Net book value | 105,719 | ' | 116,264 |
Assets subject to amortization | Patents and other protective rights | ' | ' | ' |
Schedule Of Other Intangible Assets By Major Class [Line Items] | ' | ' | ' |
Cost | 30,390 | ' | 40,399 |
Accumulated amortization | -22,017 | ' | -20,312 |
Net book value | 8,373 | ' | 20,087 |
Assets subject to amortization | Trade secrets | ' | ' | ' |
Schedule Of Other Intangible Assets By Major Class [Line Items] | ' | ' | ' |
Cost | 1,500 | ' | 1,500 |
Accumulated amortization | -1,500 | ' | -1,500 |
Net book value | 0 | ' | 0 |
Assets not subject to amortization | Trade names | ' | ' | ' |
Schedule Of Other Intangible Assets By Major Class [Line Items] | ' | ' | ' |
Cost | 358,697 | ' | 331,590 |
Accumulated amortization | 0 | ' | 0 |
Net book value | 358,697 | ' | 331,590 |
Industrial Technology | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Balances | 421,755 | ' | ' |
Goodwill acquired | 0 | ' | ' |
Goodwill, Other Changes | 0 | ' | ' |
Currency translation adjustments | 1,929 | ' | ' |
Balances | 423,684 | ' | ' |
Energy Systems And Controls | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Balances | 404,057 | ' | ' |
Goodwill acquired | 0 | ' | ' |
Goodwill, Other Changes | 2,660 | ' | ' |
Currency translation adjustments | -215 | ' | ' |
Balances | 406,502 | ' | ' |
Medical And Scientific Imaging | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Balances | 1,772,402 | ' | ' |
Goodwill acquired | 680,732 | ' | ' |
Goodwill, Other Changes | -4,283 | ' | ' |
Currency translation adjustments | -7,084 | ' | ' |
Balances | 2,441,767 | ' | ' |
RF Technology | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Balances | 1,270,643 | ' | ' |
Goodwill acquired | 0 | ' | ' |
Goodwill, Other Changes | 445 | ' | ' |
Currency translation adjustments | -1,269 | ' | ' |
Balances | $1,269,819 | ' | ' |
Debt_Extinguishment_Details
Debt, Extinguishment (Details) (USD $) | 9 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2013 |
Extinguishment of Debt [Line Items] | ' |
Stated Interest Rate Percentage - Debt Instruments | 3.75% |
Maturity Date - Debt Instrument | 15-Jan-34 |
First Conversion Date | 15-Jan-09 |
Number of Notes Converted | 4,471 |
Cash Payments for Debt Conversions (in millions) | $7.10 |
Deferred Tax Liability (in millions) | 0.4 |
Per Note Conversion Price | $471 |
Excess above Principal Note Amount (in millions) | $25 |
If converted, issuance of common stock shares | 190,306 |
Debt_Details
Debt (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
Debt Instrument [Line Items] | ' |
Maturity Date | 15-Jan-34 |
Interest Rate (in hundredths) | 3.75% |
Senior Notes 2013 [Member] | ' |
Debt Instrument [Line Items] | ' |
Debt Instrument, Description | 'On August 15, 2013, $500 million of senior notes matured, and were repaid using borrowings from the Company's $1.5 billion revolving credit facility. |
Senior Notes due 2018 [Member] | ' |
Debt Instrument [Line Items] | ' |
Debt Instrument, Description | 'On June 6, 2013, the Company completed a public offering of $800 million aggregate principal amount of 2.05% senior unsecured notes due October 1, 2018. The notes were issued at 99.791% of their principal amount. The net proceeds were used to pay a portion of the outstanding revolver balance under Roper's revolving credit facility. The notes bear interest at a fixed rate of 2.05% per year, payable semi-annually in arrears on April 1 and October 1 of each year, beginning October 1, 2013. Roper may redeem some or all of these notes at any time or from time to time, at 100% of their principal amount, plus a make-whole premium based on a spread to U.S. Treasury securities.The notes are unsecured senior obligations of the Company and rank equally in right of payment with all of its existing and future unsecured and unsubordinated indebtedness. The notes are effectively subordinated to any existing and future secured indebtedness to the extent of the value of the collateral securing such indebtedness. The notes are not guaranteed by any of Roper's subsidiaries and are effectively subordinated to all existing and future indebtedness and other liabilities of its subsidiaries. |
Issuance Date | 6-Jun-13 |
Principal amount (in millions) | 800 |
Maturity Date | 1-Oct-18 |
Periodic interest payments | 'semi-annually in arrears on April 1 and October 1 of each year |
Periodic interest payments, start | 'October 1, 2013 |
Interest Rate (in hundredths) | 2.05% |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Sep. 30, 2013 |
In Millions, unless otherwise specified | |
Convertible Notes | ' |
Short-term Debt [Line Items] | ' |
ST Debt Instrument, Face Amount | $10 |
Fair Value of Debt Instrument | 10 |
Senior notes due 2017 | ' |
Debt Instrument [Line Items] | ' |
Face Value of Debt Instrument | 400 |
Long-term Debt, Fair Value | 398 |
Senior Notes due 2018 | ' |
Debt Instrument [Line Items] | ' |
Face Value of Debt Instrument | 800 |
Long-term Debt, Fair Value | 786 |
Senior Notes due 2019 | ' |
Debt Instrument [Line Items] | ' |
Face Value of Debt Instrument | 500 |
Long-term Debt, Fair Value | 583 |
Senior notes due 2022 | ' |
Debt Instrument [Line Items] | ' |
Face Value of Debt Instrument | 500 |
Long-term Debt, Fair Value | $468 |
Contingencies_Details
Contingencies (Details) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 |
Notes to Financial Statements [Abstract] | ' |
Standard Product Warranty Description | 'Roper's financial statements include accruals for potential product liability and warranty claims based on its claims experience. Such costs are accrued at the time revenue is recognized. During the second quarter of 2013, the Company identified a vendor-supplied component within a refrigeration system valve that did not meet its quality standards, and $9.1 million was expensed to cover the estimated cost of replacing the faulty components for customers. |
Warranty Accrual Activity Table | ' |
Balance | $9,755 |
Additions charged to costs and expenses | 17,659 |
Deductions | -11,251 |
Other | -168 |
Balance | $15,995 |
Business_Segments_Details
Business Segments (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | $827,810 | $747,641 | $2,348,955 | $2,183,579 |
Percent change in Net Sales | 0.107 | ' | 0.076 | ' |
Gross Profit | 482,625 | 416,555 | 1,349,708 | 1,205,356 |
Percent change in Gross Profit | 0.159 | ' | 0.12 | ' |
Operating profit | 240,266 | 207,710 | 645,971 | 590,707 |
Percent change in Operating Profit | 0.157 | ' | 0.094 | ' |
Long-Lived assets | 140,021 | 136,000 | 140,021 | 136,000 |
Unallocated corporate general and administrative expenses | 20,917 | 24,453 | 61,699 | 58,362 |
Industrial Technology | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 200,684 | 199,008 | 580,466 | 598,088 |
Percent change in Net Sales | 0.008 | ' | -0.029 | ' |
Gross Profit | 101,259 | 102,569 | 296,414 | 304,002 |
Percent change in Gross Profit | -0.013 | ' | -0.025 | ' |
Operating profit | 60,753 | 60,628 | 164,278 | 180,211 |
Percent change in Operating Profit | 0.002 | ' | -0.088 | ' |
Long-Lived assets | 49,055 | 42,970 | 49,055 | 42,970 |
Energy Systems And Controls | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 155,058 | 158,169 | 456,031 | 461,508 |
Percent change in Net Sales | -2 | ' | -1.2 | ' |
Gross Profit | 88,104 | 87,782 | 256,431 | 254,325 |
Percent change in Gross Profit | 0.4 | ' | 0.8 | ' |
Operating profit | 41,076 | 42,890 | 118,432 | 118,749 |
Percent change in Operating Profit | -4.2 | ' | -0.3 | ' |
Long-Lived assets | 19,501 | 19,016 | 19,501 | 19,016 |
Medical And Scientific Imaging | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 237,338 | 172,475 | 645,739 | 486,207 |
Percent change in Net Sales | 37.6 | ' | 32.8 | ' |
Gross Profit | 167,433 | 112,013 | 440,718 | 314,411 |
Percent change in Gross Profit | 49.5 | ' | 40.2 | ' |
Operating profit | 71,968 | 46,190 | 179,433 | 125,231 |
Percent change in Operating Profit | 55.8 | ' | 43.3 | ' |
Long-Lived assets | 43,105 | 44,784 | 43,105 | 44,784 |
RF Technology | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 234,730 | 217,989 | 666,719 | 637,776 |
Percent change in Net Sales | 7.7 | ' | 4.5 | ' |
Gross Profit | 125,829 | 114,191 | 356,145 | 332,618 |
Percent change in Gross Profit | 10.2 | ' | 7.1 | ' |
Operating profit | 66,469 | 58,002 | 183,828 | 166,516 |
Percent change in Operating Profit | 14.6 | ' | 10.4 | ' |
Long-Lived assets | $28,360 | $29,230 | $28,360 | $29,230 |