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Tamara S. Newcombe, Director, President and Chief Executive Officer

Tami Newcombe was appointed CEO of Ralliant in June 2025. She has been instrumental in the evolution of the Precision Technologies business, which ultimately became Ralliant, focusing on innovation and growth strategy.

Neill P. Reynolds, Senior Vice President and Chief Financial Officer

Neill Reynolds joined Ralliant as CFO on June 2, 2025, bringing over 25 years of financial leadership experience in global, publicly traded organizations. Prior to Ralliant, he served as Executive Vice President and CFO of Wolfspeed, where he was key in its strategic transformation into a leading silicon carbide materials and power semiconductor supplier. Before Wolfspeed, Mr. Reynolds held significant finance leadership roles at Freescale Semiconductor, where he oversaw operational integration following its $40 billion merger with NXP Semiconductors. He was recognized as "CFO of the Year – Mid-Cap Semiconductor" by Institutional Investor in 2023.

Karen M. Bick, Senior Vice President and Chief People Officer

Karen Bick is a newly appointed executive officer at Ralliant, bringing extensive functional expertise from various industry-leading companies.

Amir A. Kazmi, Senior Vice President, Chief Technology and Growth Officer

Amir Kazmi is a newly appointed executive officer for Ralliant, contributing deep functional expertise gained from diverse industry-leading companies.

Teo Osben, Chief Accounting Officer

Teo Osben serves as the Chief Accounting Officer for Ralliant.

Here are the key risks to Ralliant's business:

1. Significant Goodwill Impairment and Execution Challenges Post Spin-off: Ralliant has recently reported a substantial non-cash goodwill impairment charge of $1.4 billion, primarily attributed to its Test & Measurement segment. This charge stems from revised and slower expectations for electric vehicle (EV) adoption affecting its EA Elektro-Automatik business, highlighting potential integration and valuation risks related to acquisitions and market forecasts. The company also faces ongoing execution challenges following its spin-off from Fortive, with recent financial results and guidance falling short of expectations due to margin pressure and corporate cost allocations.
2. Declining Profitability and Negative Financial Metrics: Ralliant has not been profitable over the past twelve months, exhibiting a negative net margin of -247.73%, a return on equity (ROE) of -59.75%, and a return on assets (ROA) of -30.24%. This indicates significant challenges in maintaining profitability and efficiently utilizing its equity capital and assets. The company's adjusted earnings per share (EPS) forecasts for 2026 are also considerably below consensus estimates, largely due to higher operating expenses associated with operating as a standalone public entity.
3. High Debt Level: Ralliant carries a high level of debt, reflected in its debt-to-equity ratio of 0.7. This elevated debt, especially in the context of the company's declining earnings and profitability challenges, poses a potential financial strain and could impact its financial flexibility and ability to service its obligations.

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Ralliant (symbol: RAL) operates in the global markets for Test and Measurement equipment and Sensors and Safety Systems.

The global addressable market for Test and Measurement equipment was estimated to be approximately USD 35.32 billion in 2025 and is projected to grow to about USD 50.63 billion by 2033, with a compound annual growth rate (CAGR) of 4.8% from 2026 to 2033. Other estimates place the global Test and Measurement equipment market at USD 38.91 billion in 2024, expecting it to reach USD 47.01 billion by 2029 at a CAGR of 3.9% during the forecast period.

For the Sensors and Safety Systems segment, the global industrial sensor market was valued at approximately USD 27.13 billion in 2024 and is expected to reach USD 56.48 billion by 2032, exhibiting a CAGR of 9.6% from 2025 to 2032. Another report estimates the global industrial sensor market at USD 53.7 billion in 2025, projected to reach USD 98.1 billion in 2035, growing at a CAGR of 6.4% from 2026.

The global industrial safety systems market, a component of the Sensors and Safety Systems segment, was valued at USD 8.24 billion in 2024 and is anticipated to reach USD 8.78 billion in 2025, growing to USD 14.65 billion by 2033, at a CAGR of 6.6% during the 2025 to 2033 period. Another source reported the industrial safety market size at USD 5.8 billion in 2025, with a projection to reach USD 11.9 billion by the end of 2035, at a CAGR of 8.4% during the forecast period of 2026-2035.

Here are 3-5 expected drivers of future revenue growth for Ralliant (RAL) over the next 2-3 years:

1. Growth in Defense and Space Sector Demand: Ralliant anticipates continued revenue growth from its Defense and Space end market, driven by robust demand, increased shipments, and a substantial backlog, particularly in missile programs. The company's Sensors & Safety Systems segment experienced record revenue in this area, and analysts note that the defense sector's backlog provides high visibility for future revenues.
2. Investment in Grid Modernization and Electrification: Expanding investments by utilities and Original Equipment Manufacturers (OEMs) in grid modernization and expansion initiatives are expected to be a secular tailwind for Ralliant. This growth is largely fueled by the increasing demand for electrification and data centers, where Ralliant's solutions, such as electric grid monitoring, play a crucial role.
3. New Product Launches and Innovation: Ralliant is focused on driving innovation and launching new products, particularly within its Test & Measurement segment, to address market challenges and capitalize on new opportunities. Recent quarters have seen the introduction of major new products, indicating a commitment to refreshing its offerings and stimulating growth.
4. Recovery in the Semiconductor Market: While the semiconductor market has presented challenges, Ralliant has observed stable to improving orders and early signs of recovery in diversified electronics. The company expresses cautious optimism for an improvement in semiconductor spending in 2026, which is expected to contribute to the stabilization and rebound of its Test & Measurement unit.
5. Strategic "Tuck-in" Acquisitions: As part of its capital allocation strategy, Ralliant plans to pursue selective "tuck-in" acquisitions. These strategic acquisitions are aimed at complementing organic growth, expanding market presence, and enhancing product and service offerings, thereby contributing to future revenue expansion.

Share Repurchases

• Ralliant's Board of Directors authorized a share repurchase program of up to $200 million of its common stock on June 30, 2025, with no specified expiration date.
• As of February 16, 2026, the company had repurchased 935,000 shares for $39.2 million, with approximately $160 million remaining under the authorization.
• Activist investor Irenic Capital Management has advocated for a larger and faster share buyback program as of February 2026.

Share Issuance

• Ralliant became an independent public company on June 30, 2025, following Fortive's pro rata distribution of 112.7 million shares of Ralliant common stock to its stockholders.
• As of Q4 2025, the company had 113 million shares outstanding.
• In March 2026, Ralliant's CEO received an award of 54,855 common shares as a stock incentive, and the company withheld shares totaling 5,999 and 1,977 units at $45.89 per share in late February 2026 to cover tax liabilities from vesting restricted stock units (RSUs).

Inbound Investments

• Capital World Investors acquired a new stake of approximately $67.89 million in Ralliant during the third quarter (reported March 2026).
• Gamco Investors Inc. ET AL purchased a new stake in Ralliant worth approximately $2.24 million in the third quarter (reported March 2026).
• Activist investor Irenic Capital Management built a roughly 2% stake in Ralliant, as reported in February 2026.

Outbound Investments

• Ralliant's capital allocation strategy includes prioritizing selective "tuck-in acquisitions" that align with its growth vectors.
• The company reported a significant $1.4 billion non-cash goodwill impairment charge in Q4 2025 related to its EA Elektro-Automatik business, which was acquired by its former parent company Fortive in early 2024. This impairment was primarily due to a revised outlook for the electric vehicle market.

Capital Expenditures

• Capital expenditures amounted to $39.2 million in 2025, $34.3 million in 2024, and $29.2 million in 2023.
• Ralliant invested $10.0 million in capital expenditures during Q4 2025.
• The company's capital allocation strategy emphasizes organic reinvestment in innovation and manufacturing.