Operator

Hello. My name is Nikki, and I will be your conference operator this morning. At this time, I would like to welcome everyone to Veralto Corporation’s Second Quarter 2026 Conference Call.

[Operator Instructions]

I will now turn the call over to Ryan Taylor, Vice President of Investor Relations. Mr. Taylor, you may begin your conference.

Ryan Taylor
Vice President of Investor Relations

Good morning, everyone. Thanks for joining us on the call. With me today are Jennifer Honeycutt, our President and Chief Executive Officer; and Sameer Ralhan, our Senior Vice President and Chief Financial Officer. Today’s call is simultaneously being webcast.

A replay of the webcast will be available in the Investors section of our website later today under the heading Events & Presentations. A replay of this call will be available until August 7. Yesterday, we issued our second quarter 2026 earnings news release, earnings presentation, prepared remarks and supplemental materials, including information required by the SEC relating to adjusted or non-GAAP financial measures. These materials are also available on the Investors section of our website, www.veralto.com, under the heading Quarterly Earnings.

EXCLUSIVE: By next summer, Miami’s skyline will be shaped by a new architectural landmark, bringing a fresh wave of corporate titans and global elites into the heart of South Florida.

As Cipriani Residences Miami officially topped off its approximately 950-foot construction project — the tallest residential tower in the city — the 85-story tower stands as a physical monument to the Magic City’s evolution from a sun-soaked vacation spot into a permanent capital for international wealth.

Cipriani revealed to Fox News Digital that its first ground-up residential development in North America is more than 80% sold, and will welcome buyers from over 30 countries who are now calling Miami their primary home.

“Residential living is a natural extension of hospitality, but it was important to us to do it in the right way,” Giuseppe Cipriani exclusively told Fox Digital. “With Cipriani Residences Miami, we found the right city, location and a great partner… Our family has been closely involved in shaping the design and the overall experience so that it reflects the same traditions we have carried with us for generations. For us, it is not simply about putting the Cipriani name on a building. It is about creating a home where the way you live is the way we would live.”

MIAMI OVERTAKES N.Y.C. IN RETURN-TO-OFFICE RACE AS COMPANIES EXPAND SOUTH FLORIDA FOOTPRINT

“Every time I drive by it, my emotional reaction is, ‘Wow.’ I am humbled by the fact that we’re building something of this scale, because when I started my business, although I always aspired to get here, I didn’t know when it would happen — and it has happened,” Mast Capital founder and CEO Camilo Miguel Jr., the developer behind the building, also said. “One of the biggest challenges was actually the upfront planning part, because when you’re building a 950-foot building… the engineering that goes into that is quite different than building something that’s 20 stories.”

Cipriani Residences Miami just recently topped off the 950-foot project, making it the tallest offering in the Brickell skyline. (Photo courtesy: Inflight / FOXBusiness)

The leading international markets for buyers, in order, come from Mexico, Italy, Colombia, Brazil, Venezuela, Argentina, Canada, France, Spain and the United Kingdom. Domestic buyers continue to flood in from high-tax states like New York and California, too.

“There are countries that are having a lot of their own economic challenges and headwinds and political challenges and headwinds, as well… And people are not only buying in Miami as [an] investment, but people are actually buying in Miami to live. And people were looking at Cipriani and saying, ‘This is going to be home,’” Miguel said.

“We have some buyers who have bought for their whole family and intend to move everybody into the building,” he added.

“Every city has its own character, but what people appreciate about Cipriani is remarkably consistent: warmth, discretion, good service and a sense of familiarity,” Cipriani said. “Miami is a very international city, and that has always felt natural to us. People come here from all over the world, just as they do in Venice or New York. The lifestyle naturally is shaped by its beautiful weather, its connection to the water, its seamless relationship between indoor and outdoor spaces. Cipriani Residences Miami brings that way of living into our world.”

“People are increasingly choosing Miami not only as somewhere to visit, but somewhere to live,” Cipriani continued. “They want privacy, comfort, good service and a quality of life that feels effortless.”

Earlier this month, the New York Post reported that soccer superstar Lionel Messi had purchased four units in the building, followed by a wave of other Argentine players. Buyers also allegedly include executives from Citadel and Amazon who are relocating from New York and California.

“We don’t change who we are depending on the guest. That has never been our philosophy,” Cipriani said. “For nearly a century, our family has welcomed people from many different countries, culture[s], generations and paths of life. Royals, aristocrats, powerful businessmen but also writers, intellectuals and all kind[s] of interesting people have been coming to our locations — as human beings.”

“That sense of warmth and understated elegance that comes from our Italian heritage, and it remains at the heart of everything we do, fortunately has appealed to many of them,” the grandson of the Cipriani patriarch added.

“One of the main reasons that people are choosing Miami over New York City right now is the pro-business mentality. I mean you live in a business-friendly city and a business-friendly state, and the growth and the global nature of our city,” Miguel explained. “And you realize quickly that as a hedge fund or a financial institution, you no longer just need to be in New York City to be relevant and be successful.”

“These are big companies that are moving here, signing leases, taking space, and moving their top executives to Miami, their high-income earners. And these individuals are buying homes and condos across Miami,” Miguel said.

The development is also on track to become the only new residential tower in the Brickell neighborhood, delivering completed homes in 2027.

“We are very proud, of course, of what has been built, and of where the company is today, 95 years after the opening of that small bar in Venice. Seeing the tower reach its full height makes us even more excited to bring that spirit to life for the residents who will call it home,” Cipriani nodded to his grandfather’s founding of Harry’s Bar in 1931, where the Bellini was born and “warmth, simplicity and genuine care” became Cipriani’s brand.

“The principles have never changed,” he said. “Whether it is a restaurant, a club, a hotel or now a residence, the idea is the same: people should feel comfortable, free and at home. The world changes, but our hospitality values do not.”

GET FOX BUSINESS ON THE GO BY CLICKING HERE

“This is really about heritage, about people, about a family,” Miguel agreed, recalling his first time at a Cipriani restaurant. “What I really liked about it is that subtle elegance that you feel when you walk in, and the fact that everybody that works there is smiling, everybody that’s there is welcoming and everybody that is there is hyper-focused on making sure that you have a positive experience.”

“I never dreamed of Miami being what it is today,” Miguel said, “and I think the sky’s the limit.”

READ MORE FROM FOX BUSINESS

Middle income families who are struggling with the cost of living are being “failed” by the government, a Jersey parent has said.

It comes as families have shared frustration that a means-tested benefit to help buy school supplies has not been made available island-wide.

Mum of two Lisa McCabe said not being able to access the back to school bonus was a “kick in the teeth” for working parents just above the income threshold.

The social security minister said she would review the back to school bonus ahead of next year and that the government was looking at ways to make life more affordable for parents in Jersey.

McCabe runs a private health screening clinic in Jersey.

She said “every day” she was seeing parents struggling with the cost of raising a family in Jersey: “There’s the level of stress and burnout from people who are on what would have been considered very good wages a few years ago that just aren’t making ends meet.”

She said many middle-earners in the island had been squeezed by an increase in interest rates and the end of mortgage interest tax relief for homeowners.

For many working parents, she said, this was made worse by expensive nursery fees and the cost of covering children’s hot lunches and after school clubs.

“There are some really difficult decisions to be made,” she said.