Roper deployed approximately $1,380 million in capital toward acquisitions in 2023, including Syntellis Performance Solutions, a leading provider of SaaS solutions. In January 2024, they announced an agreement to acquire Procare Solutions for $1,860 million.

The divestiture of a majority stake in industrial businesses in 2022 has resulted in a reduced cyclicality and asset intensity of the Company, as well as an increased mix of recurring revenue and a higher margin profile.

Roper continues to focus on acquiring and growing businesses that offer high value-added software, services, and technology-enabled products in defensible niche markets, with a global presence and diversified end markets.

Roper utilizes a decentralized operating model where each business operates as an individual unit with managers empowered to make day-to-day decisions, subject to oversight and guidance from Roper executive management.

Roper maintains a global Cybersecurity Program with controls managed locally by each business unit, while also implementing cyber tools and managed services to centrally monitor aspects of the program.

Roper has identified and implemented human capital priorities, including providing competitive wages and benefits, and promoting a diverse and inclusive work environment.

The company acknowledges risks related to integrating acquired businesses, cybersecurity threats, and compliance with data privacy laws, which could materially affect their business, financial condition, and results of operations.

Roper relies on third-party cloud platforms, and any unavailability of these platforms could result in service interruptions and loss of data, impacting operations and financial results.

The company's level of indebtedness and debt servicing costs could limit their ability to borrow additional funds, complete future acquisitions, pay dividends, and make capital expenditures.

Roper believes it is a market leader or a competitive alternative to the market leader in most of its chosen niche markets, attributing its position to application expertise, critical offerings, and customer intimacy.

Roper faces intense competition from numerous competitors in its various businesses, requiring continuous innovation and product development to remain competitive.

Roper competes primarily on product quality, performance, innovation, technology, price, applications expertise, system and service flexibility, distribution channel access, and customer service capabilities.

Gross margin remained relatively consistent at 69.7% in 2023 compared to 69.9% in 2022, indicating stable cost management despite revenue growth.

Selling, general, and administrative expenses increased to 37.8% of net revenues in 2023 from 37.6% in 2022, due to higher amortization of acquired intangibles and restructuring-related expenses.

The company implemented cost structure rationalization at its businesses serving the freight match market, contributing to a decrease in SG&A expenses in the Network Software segment.

Roper emphasizes the importance of proprietary technology and intellectual property protection through patents, copyrights, trade secrets, and confidentiality agreements for its future success.

R&D expenses totaled $646.1 million in 2023, compared to $529.8 million in 2022, and $484.8 in 2021, demonstrating a commitment to innovation and development.

The company acknowledges the risks associated with the use of artificial intelligence, including potential reputational harm, competitive harm, and legal liability.

Roper's capital allocation strategy includes reducing outstanding debt, with a $700 million repayment of senior notes in 2023, while continuing to pursue strategic acquisitions.

The company has a history of increasing its dividend rate annually since its initial public offering and has authorized share repurchases, indicating a balanced approach to capital allocation.

Roper anticipates that its businesses will generate positive cash flows from operating activities, which will permit the reduction of currently outstanding debt in accordance with the repayment schedule.

The company acknowledges the focus of stakeholders on environmental, social, and governance (ESG) considerations, which can expose the company to potential liabilities, increased costs, and reputational harm.

Roper is committed to increasing diversity and fostering an inclusive work environment that supports its global workforce and helps it innovate for customers.

The company makes statements about ESG goals and initiatives through information provided on its website, press statements, and other communications, including through its annual ESG Report.

Roper's international operations are subject to varying degrees of risk inherent in doing business outside of the U.S., including adverse changes in political or economic conditions and trade protection measures.

The company acknowledges that its business, financial condition, and results of operations could be adversely affected by disruptions in the global economy caused by the conflict between Russia and Ukraine and the conflict in the Middle East.

Increased regulation with respect to the collection, use, and handling of personal information, including GDPR and state-level privacy laws, could adversely affect sales and increase compliance costs.