UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
______________________________________ 

FORM 8-K
________________________________
 
CURRENT REPORT
Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 19, 2016 
________________________________
 
DOVER CORPORATION
(Exact name of registrant as specified in its charter)
________________________________

 	
 	 	 	
State of Delaware	1-4018	53-0257888	
(State or other jurisdiction of incorporation)	 (Commission File Number)	(I.R.S. Employer Identification No.)	
 	 	 	
3005 Highland Parkway	 	 	
Downers Grove, Illinois	 	60515	
(Address of principal executive offices)	 	(Zip Code)	
(630) 541-1540
(Registrant’s telephone number, including area code)
 
______________________

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 	 	
¨	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)	
¨	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)	
¨	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))	
¨	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))	

 	

Item 2.02 Results of Operations and Financial Condition.
 
On October 19, 2016, Dover Corporation (i) issued the Press Release attached hereto as Exhibit 99.1 announcing its results of operations for the quarter ended September 30, 2016; and (ii) posted on its website at
http://www.dovercorporation.com the presentation slides attached hereto as Exhibit 99.2 for the quarter ended September 30, 2016.
 
The information in this Current Report on Form 8-K, including exhibits, is being furnished to the Securities and Exchange Commission (the “SEC”) and shall not be deemed to be incorporated by reference into any of Dover’s filings with the SEC under the Securities Act of 1933.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

The following exhibits are furnished as part of this report:
 
99.1 Dover Corporation Press Release dated October 19, 2016.
99.2 Presentation Slides posted on Dover Corporation’s website at http://www.dovercorporation.com.

SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Current Report on Form 8-K to be signed on its behalf by the undersigned hereunto duly authorized.

 	 	 	 	
Date:	October 19, 2016	DOVER CORPORATION	 	
 	 	(Registrant)	 	
 	 	 	 	 	
 	 	By:	/s/ Ivonne M. Cabrera	 	
 	 	 	Ivonne M. Cabrera	 	
 	 	 	Senior Vice President, General Counsel & Secretary	 	

EXHIBIT INDEX

Number	 	Exhibit	
99.1	 	Press Release of Dover Corporation dated October 19, 2016	
 	 	 	
99.2	 	Presentation Slides posted on Dover Corporation’s website at http://www.dovercorporation.com	

Exhibit 99.1

                                            

Investor Contact:	 	Media Contact:	
Paul Goldberg	 	Adrian Sakowicz	
Vice President - Investor Relations	 	Vice President - Communications	
(212) 922-1640	 	(630) 743-5039	
peg@dovercorp.com	 	asakowicz@dovercorp.com	

DOVER REPORTS THIRD QUARTER 2016 RESULTS
 	 	
•	Reports quarterly revenue of $1.7 billion, a decrease of 4% from the prior year	
 	 	
•	Delivers quarterly diluted earnings per share from continuing operations of $0.83, including third quarter restructuring costs of $0.04	
 	 	
•	Reaffirms recently reduced guidance for diluted earnings per share from continuing operations to be in the range of $3.00 to $3.05 for full year 2016	

Downers Grove, Illinois, October 19, 2016 — Dover (NYSE: DOV) announced today that for the third quarter ended September 30, 2016, revenue was $1.7 billion, a decrease of 4% from the prior year. Organic revenue declined 7% and acquisition revenue, net of dispositions, provided 3% growth in the quarter. Earnings from continuing operations were $130.1 million, a decrease of 30% as compared to $186.5 million for the prior year period. Diluted earnings per share from continuing operations ("EPS") for the third quarter ended September 30, 2016, were $0.83, compared to $1.19 EPS in the prior year period, representing a decrease of 30%. Third quarter 2016 EPS of $0.83 decreased 27% as compared to third quarter 2015 adjusted EPS of $1.14, which excludes $0.05 of discrete tax benefits. There were no discrete tax benefits in the third quarter of 2016. EPS for the quarters ended September 30, 2016, and September 30, 2015, includes restructuring costs of $0.04 EPS and $0.05 EPS, respectively.

Revenue for the nine months ended September 30, 2016, was $5.0 billion, a decrease of 5% from the prior year, reflecting an organic revenue decline of 7% and an unfavorable impact from foreign exchange of 1%, offset by 3% growth from acquisition revenue, net of dispositions. Earnings from continuing operations for the nine months ended September 30, 2016, were $347.7 million, a decrease of 24% as compared to $459.3 million for the prior year period. Diluted EPS for the nine months ended September 30, 2016, was $2.22, compared to $2.87 EPS in the prior year period, representing a decrease of 23%. EPS from continuing operations for the nine months ended September 30, 2016, includes discrete tax benefits of $0.04 and a gain on disposition of $0.07. Excluding discrete tax benefits and the gain on disposition, adjusted EPS from continuing operations decreased 25% to $2.11 from a comparable EPS of $2.82 in the prior year period. EPS for the nine months ended September 30, 2016, and September 30, 2015, also includes restructuring costs of $0.14 EPS and $0.17 EPS, respectively.

Dover’s President and Chief Executive Officer, Robert A. Livingston, said, “Our third quarter results were disappointing. The continuing weak macro environment, further declines in longer cycle oil & gas exposed markets, and production inefficiencies in our retail refrigeration business impacted both volume and earnings. These results were well below our expectations, and more than offset solid improvements in our upstream drilling and production businesses, as well as continued strong performance in our Printing & Identification platform.

“As we announced on October 10, given these factors, we expect 2016 full year EPS to be in the range of $3.00 to $3.05. Within this guidance, organic revenue is forecasted to decline 7% to 8%.

“Regarding the fourth quarter, we expect further improvements in our early cycle upstream oil & gas markets, strong performance in Printing & Identification, and continued sequential growth in Fluids. We also expect a seasonal decline in Refrigeration & Food Equipment. These factors will result in our fourth quarter EPS to be largely in-line with the third quarter.”

Net earnings for the third quarter ended September 30, 2016, were $130.1 million, or $0.83 EPS, compared to net earnings of $186.1 million, or $1.19 EPS, for the same period of 2015, which included earnings from discontinued operations of $0.4 million.

Net earnings for the nine months ended September 30, 2016, were $347.7 million, or $0.83 EPS, compared to net earnings of $728.0 million, or $1.19 EPS, for the same period of 2015, which included earnings from discontinued operations of $268.7 million, or $1.68 EPS. 2015 earnings from discontinued operations included gains of $265.6 million, or $1.66 EPS, resulting from the disposition of two businesses held for sale.

Dover will host a webcast of its third quarter 2016 conference call at 10:00 A.M. Eastern Time (9:00 A.M. Central Time) on Wednesday, October 19, 2016. The webcast can be accessed on the Dover website at www.dovercorporation.com. The conference call will also be made available for replay on the website. Additional information on Dover’s third quarter results and its operating segments can also be found on the Company’s website.

About Dover:

Dover is a diversified global manufacturer with annual revenue approaching $7 billion. We deliver innovative equipment and components, specialty systems and support services through four major operating segments: Energy, Engineered Systems, Fluids, and Refrigeration & Food Equipment. Dover combines global scale with operational agility to lead the markets we serve.  Recognized for our entrepreneurial approach for over 60 years, our team of 26,000 employees takes an ownership mindset, collaborating with customers to redefine what’s possible.  Headquartered in Downers Grove, Illinois, Dover trades on the New York Stock Exchange under “DOV.” Additional information is available at www.dovercorporation.com.

Forward-Looking Statements:

This press release contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such statements relate to, among other things, operating and strategic plans, income, earnings, cash flows, foreign exchange, changes in operations, acquisitions, industries in which Dover businesses operate, anticipated market conditions and our positioning, global economies, and operating improvements. Forward-looking statements may be indicated by words or phrases such as “anticipates,” “expects,” “believes,” “suggests,” “will,” “plans,” “should,” “would,” “could,” and “forecast”, or the use of the future tense and similar words or phrases. Forward-looking statements are subject to inherent risks and uncertainties that could cause actual results to differ materially from current expectations, including, but not limited to, oil and natural gas demand, production growth, and prices; changes in exploration and production spending by Dover’s customers and changes in the level of oil and natural gas exploration and development; changes in customer demand and capital spending; economic conditions generally and changes in economic conditions globally and in markets served by Dover businesses, including well activity and U.S. industrials activity; Dover's ability to achieve expected savings from integration and other cost-control initiatives, such as lean and productivity programs as well as efforts to reduce sourcing input costs; the impact of interest rate and currency exchange

rate fluctuations; the ability of Dover's businesses to expand into new geographic markets; Dover's ability to identify and successfully consummate value-adding acquisition opportunities or planned divestitures; the impact of loss of a significant customer, or loss or non-renewal of significant contracts; the ability of Dover's businesses to develop and launch new products, timing of such launches and risks relating to market acceptance by customers; the relative mix of products and services which impacts margins and operating efficiencies; increased competition and pricing pressures; the impact of loss of a single-source manufacturing facility; short-term capacity constraints; increases in the cost of raw materials; domestic and foreign governmental and public policy changes or developments, including environmental regulations, conflict minerals disclosure requirements, tax policies, trade sanctions, and export/import laws; protection and validity of patent and other intellectual property rights; the impact of legal matters and legal compliance risks; conditions and events affecting domestic and global financial and capital markets; and a downgrade in Dover's credit ratings which, among other matters, could make obtaining financing more difficult and costly. Dover refers you to the documents that it files from time to time with the Securities and Exchange Commission, such as its reports on Form 10-K, Form 10-Q and Form 8-K, for a discussion of these and other risks and uncertainties that could cause its actual results to differ materially from its current expectations and from the forward-looking statements contained herein. Dover undertakes no obligation to update any forward-looking statement, except as required by law.

INVESTOR SUPPLEMENT - THIRD QUARTER 2016 

DOVER CORPORATION
CONSOLIDATED STATEMENTS OF EARNINGS
(unaudited)(in thousands, except per share data)

 	Three Months Ended September 30,	 	Nine Months Ended September 30,	
 	2016	 	2015	 	2016	 	2015	
Revenue	$	1,707,763	
 	 	$	1,787,582	
 	 	$	5,016,381	
 	 	$	5,261,711	
 	
Cost of goods and services	1,075,975	
 	 	1,114,974	
 	 	3,164,116	
 	 	3,307,376	
 	
Gross profit	631,788	
 	 	672,608	
 	 	1,852,265	
 	 	1,954,335	
 	
Selling and administrative expenses	421,042	
 	 	395,688	
 	 	1,301,901	
 	 	1,233,017	
 	
Operating earnings	210,746	
 	 	276,920	
 	 	550,364	
 	 	721,318	
 	
Interest expense, net	32,994	
 	 	31,983	
 	 	96,865	
 	 	96,008	
 	
Other income, net	(3,424	)	 	(367	)	 	(19,800	)	 	(5,810	)	
Earnings before provision for income taxes and discontinued operations	181,176	
 	 	245,304	
 	 	473,299	
 	 	631,120	
 	
Provision for income taxes	51,092	
 	 	58,821	
 	 	125,569	
 	 	171,813	
 	
Earnings from continuing operations	130,084	
 	 	186,483	
 	 	347,730	
 	 	459,307	
 	
Earnings (loss) from discontinued operations, net	—	
 	 	(385	)	 	—	
 	 	268,697	
 	
Net earnings	$	130,084	
 	 	$	186,098	
 	 	$	347,730	
 	 	$	728,004	

Basic earnings per common share:	 	 	 	 	 	 	 	
Earnings from continuing operations	$	0.84	
 	 	$	1.20	
 	 	$	2.24	
 	 	$	2.90	
 	
Earnings from discontinued operations, net	—	
 	 	—	
 	 	—	
 	 	1.70	
 	
Net earnings	0.84	
 	 	1.20	
 	 	2.24	
 	 	4.59	

Weighted average shares outstanding	155,300	 	155,300	 	155,182	 	158,507	
 	 	 	 	 	 	 	 	
Diluted earnings per common share:	 	 	 	 	 	 	 	
Earnings from continuing operations	$	0.83	
 	 	$	1.19	
 	 	$	2.22	
 	 	$	2.87	
 	
Earnings from discontinued operations, net	—	
 	 	—	
 	 	—	
 	 	1.68	
 	
Net earnings	0.83	
 	 	1.19	
 	 	2.22	
 	 	4.55	

Weighted average shares outstanding	156,798	 	156,560	 	156,562	 	160,112	
 	 	 	 	 	 	 	 	
Dividends paid per common share	$	0.44	
 	 	$	0.42	
 	 	$	1.28	
 	 	$	1.22	

DOVER CORPORATION
QUARTERLY SEGMENT INFORMATION
(unaudited)(in thousands)

 	2016	 	2015	
 	Q1	Q2	Q3	Q3 YTD	 	Q1	Q2	Q3	Q3 YTD	Q4	FY 2015	
REVENUE	 	 	 	 	 	 	 	 	 	 	 	
Energy	$	283,230	
 	$	259,008	
 	$	273,248	
 	$	815,486	
 	 	$	430,423	
 	$	366,044	
 	$	363,872	
 	$	1,160,339	
 	$	323,341	
 	$	1,483,680	

Engineered Systems	 	 	 	 	 	 	 	 	 	 	 	
Printing & Identification	239,681	
 	263,648	
 	253,091	
 	756,420	
 	 	230,181	
 	229,934	
 	227,992	
 	688,107	
 	255,563	
 	943,670	
 	
Industrials	337,314	
 	328,784	
 	317,471	
 	983,569	
 	 	343,015	
 	363,157	
 	351,404	
 	1,057,576	
 	341,667	
 	1,399,243	
 	
 	576,995	
 	592,432	
 	570,562	
 	1,739,989	
 	 	573,196	
 	593,091	
 	579,396	
 	1,745,683	
 	597,230	
 	2,342,913	

Fluids	399,062	
 	405,838	
 	412,822	
 	1,217,722	
 	 	340,236	
 	351,511	
 	352,018	
 	1,043,765	
 	355,508	
 	1,399,273	

Refrigeration & Food Equipment	363,252	
 	429,386	
 	451,328	
 	1,243,966	
 	 	372,097	
 	448,115	
 	492,460	
 	1,312,672	
 	418,758	
 	1,731,430	

Intra-segment eliminations	(266	)	(319	)	(197	)	(782	)	 	(451	)	(133	)	(164	)	(748	)	(237	)	(985	)	
Total consolidated revenue	$	1,622,273	
 	$	1,686,345	
 	$	1,707,763	
 	$	5,016,381	
 	 	$	1,715,501	
 	$	1,758,628	
 	$	1,787,582	
 	$	5,261,711	
 	$	1,694,600	
 	$	6,956,311	

NET EARNINGS	 	 	 	 	 	 	 	 	 	 	 	
Segment Earnings:	 	 	 	 	 	 	 	 	 	 	 	
Energy	$	11,244	
 	$	(75	)	$	13,279	
 	$	24,448	
 	 	$	52,305	
 	$	40,909	
 	$	48,726	
 	$	141,940	
 	$	31,250	
 	$	173,190	
 	
Engineered Systems	93,748	
 	104,034	
 	97,240	
 	295,022	
 	 	88,149	
 	96,702	
 	102,866	
 	287,717	
 	89,244	
 	376,961	
 	
Fluids	46,047	
 	54,033	
 	66,178	
 	166,258	
 	 	54,634	
 	70,168	
 	74,911	
 	199,713	
 	62,404	
 	262,117	
 	
Refrigeration & Food Equipment	38,161	
 	63,230	
 	64,111	
 	165,502	
 	 	36,150	
 	65,732	
 	76,665	
 	178,547	
 	42,752	
 	221,299	
 	
Total segments	189,200	
 	221,222	
 	240,808	
 	651,230	
 	 	231,238	
 	273,511	
 	303,168	
 	807,917	
 	225,650	
 	1,033,567	
 	
Corporate expense / other	29,862	
 	24,566	
 	26,638	
 	81,066	
 	 	34,526	
 	20,382	
 	25,881	
 	80,789	
 	24,911	
 	105,700	
 	
Interest expense, net	31,714	
 	32,157	
 	32,994	
 	96,865	
 	 	32,037	
 	31,988	
 	31,983	
 	96,008	
 	31,249	
 	127,257	
 	
Earnings from continuing operations before provision for income taxes	127,624	
 	164,499	
 	181,176	
 	473,299	
 	 	164,675	
 	221,141	
 	245,304	
 	631,120	
 	169,490	
 	800,610	
 	
Provision for income taxes	28,268	
 	46,209	
 	51,092	
 	125,569	
 	 	47,485	
 	65,507	
 	58,821	
 	171,813	
 	32,916	
 	204,729	
 	
Earnings from continuing operations	99,356	
 	118,290	
 	130,084	
 	347,730	
 	 	117,190	
 	155,634	
 	186,483	
 	459,307	
 	136,574	
 	595,881	
 	
Earnings (loss) from discontinued operations, net	—	
 	—	
 	—	
 	—	
 	 	92,320	
 	176,762	
 	(385	)	268,697	
 	5,251	
 	273,948	
 	
Net earnings	$	99,356	
 	$	118,290	
 	$	130,084	
 	$	347,730	
 	 	$	209,510	
 	$	332,396	
 	$	186,098	
 	$	728,004	
 	$	141,825	
 	$	869,829	

SEGMENT OPERATING MARGIN	 	 	 	 	 	 	 	 	 	
Energy	4.0	%	—	 %	4.9	%	3.0	%	 	12.2	%	11.2	%	13.4	%	12.2	%	9.7	%	11.7	%	
Engineered Systems	16.2	%	17.6	 %	17.0	%	17.0	%	 	15.4	%	16.3	%	17.8	%	16.5	%	14.9	%	16.1	%	
Fluids	11.5	%	13.3	 %	16.0	%	13.7	%	 	16.1	%	20.0	%	21.3	%	19.1	%	17.6	%	18.7	%	
Refrigeration & Food Equipment	10.5	%	14.7	 %	14.2	%	13.3	%	 	9.7	%	14.7	%	15.6	%	13.6	%	10.2	%	12.8	%	
Total segment operating margin	11.7	%	13.1	 %	14.1	%	13.0	%	 	13.5	%	15.6	%	17.0	%	15.4	%	13.3	%	14.9	%	
 	 	 	 	 	 	 	 	 	 	 	 	
DEPRECIATION AND AMORTIZATION EXPENSE	 	 	 	 	 	 	 	 	 	
Energy	$	34,160	
 	$	33,289	
 	$	32,605	
 	$	100,054	
 	 	$	34,427	
 	$	32,740	
 	$	31,858	
 	$	99,025	
 	$	42,754	
 	$	141,779	
 	
Engineered Systems	16,036	
 	16,075	
 	16,238	
 	48,349	
 	 	14,526	
 	14,392	
 	14,503	
 	43,421	
 	16,493	
 	59,914	
 	
Fluids	20,511	
 	20,981	
 	20,833	
 	62,325	
 	 	13,848	
 	13,648	
 	13,367	
 	40,863	
 	15,215	
 	56,078	
 	
Refrigeration & Food Equipment	16,728	
 	16,881	
 	16,146	
 	49,755	
 	 	16,458	
 	16,406	
 	16,609	
 	49,473	
 	16,601	
 	66,074	
 	
Corporate	1,169	
 	868	
 	901	
 	2,938	
 	 	923	
 	841	
 	837	
 	2,601	
 	643	
 	3,244	
 	
Total depreciation and amortization expense	$	88,604	
 	$	88,094	
 	$	86,723	
 	$	263,421	
 	 	$	80,182	
 	$	78,027	
 	$	77,174	
 	$	235,383	
 	$	91,706	
 	$	327,089	

DOVER CORPORATION
QUARTERLY SEGMENT INFORMATION
(continued)
(unaudited)(in thousands)

 	2016	 	2015	
 	Q1	Q2	Q3	Q3 YTD	 	Q1	Q2	Q3	Q3 YTD	Q4	FY 2015	
BOOKINGS	 	 	 	 	 	 	 	 	 	 	 	
Energy	$	273,445	
 	$	246,021	
 	$	270,685	
 	$	790,151	
 	 	$	416,628	
 	$	345,079	
 	$	351,557	
 	$	1,113,264	
 	$	315,996	
 	$	1,429,260	

Engineered Systems	 	 	 	 	 	 	 	 	 	 	 	
Printing & Identification	242,569	
 	266,490	
 	248,443	
 	757,502	
 	 	235,617	
 	224,203	
 	226,756	
 	686,576	
 	250,639	
 	937,215	
 	
Industrials	329,957	
 	304,345	
 	331,435	
 	965,737	
 	 	337,070	
 	336,173	
 	338,744	
 	1,011,987	
 	357,451	
 	1,369,438	
 	
 	572,526	
 	570,835	
 	579,878	
 	1,723,239	
 	 	572,687	
 	560,376	
 	565,500	
 	1,698,563	
 	608,090	
 	2,306,653	

Fluids	418,345	
 	413,767	
 	413,535	
 	1,245,647	
 	 	339,310	
 	333,695	
 	357,032	
 	1,030,037	
 	321,154	
 	1,351,191	

Refrigeration & Food Equipment	411,367	
 	468,661	
 	429,134	
 	1,309,162	
 	 	419,659	
 	486,793	
 	430,681	
 	1,337,133	
 	379,967	
 	1,717,100	

Intra-segment eliminations	(90	)	(944	)	(245	)	(1,279	)	 	(628	)	(417	)	(385	)	(1,430	)	(486	)	(1,916	)	
 	 	 	 	 	 	 	 	 	 	 	 	
Total consolidated bookings	$	1,675,593	
 	$	1,698,340	
 	$	1,692,987	
 	$	5,066,920	
 	 	$	1,747,656	
 	$	1,725,526	
 	$	1,704,385	
 	$	5,177,567	
 	$	1,624,721	
 	$	6,802,288	

BACKLOG	 	 	 	 	 	 	 	 	 	 	 	
Energy	$	144,828	
 	$	129,873	
 	$	126,519	
 	 	 	$	212,060	
 	$	194,819	
 	$	156,631	
 	 	$	155,586	

Engineered Systems	 	 	 	 	 	 	 	 	 	 	 	
Printing & Identification	102,640	
 	104,509	
 	101,190	
 	 	 	108,151	
 	103,403	
 	100,476	
 	 	98,288	
 	 	
Industrials	235,384	
 	210,646	
 	224,892	
 	 	 	276,598	
 	248,592	
 	236,298	
 	 	250,725	
 	 	
 	338,024	
 	315,155	
 	326,082	
 	 	 	384,749	
 	351,995	
 	336,774	
 	 	349,013	

Fluids	286,457	
 	315,786	
 	318,246	
 	 	 	259,504	
 	240,389	
 	236,608	
 	 	243,459	

Refrigeration & Food Equipment	303,479	
 	332,312	
 	309,462	
 	 	 	337,084	
 	373,193	
 	307,351	
 	 	247,352	

Intra-segment eliminations	(36	)	(265	)	(252	)	 	 	(595	)	(354	)	(598	)	
 	(808	)	 	
 	 	 	 	 	 	 	 	 	 	 	 	
Total consolidated backlog	$	1,072,752	
 	$	1,092,861	
 	$	1,080,057	
 	 	 	$	1,192,802	
 	$	1,160,042	
 	$	1,036,766	
 	 	$	994,602	

DOVER CORPORATION
QUARTERLY EARNINGS PER SHARE
(unaudited)(in thousands, except per share data*)

Earnings Per Share	 	 	 	 	 	 	 	 	 	 	 	
 	2016	 	2015	
 	Q1	Q2	Q3	Q3 YTD	 	Q1	Q2	Q3	Q3 YTD	Q4	FY 2015	
Basic earnings (loss) per common share:	 	 	 	 	 	 	 	 	 	
Continuing operations	$	0.64	
 	$	0.76	
 	$	0.84	
 	$	2.24	
 	 	$	0.72	
 	$	0.98	
 	$	1.20	
 	$	2.90	
 	$	0.88	
 	$	3.78	
 	
Discontinued operations	—	
 	—	
 	—	
 	—	
 	 	0.57	
 	1.11	
 	—	
 	1.70	
 	0.03	
 	1.74	
 	
Net earnings	$	0.64	
 	$	0.76	
 	$	0.84	
 	$	2.24	
 	 	$	1.30	
 	$	2.10	
 	$	1.20	
 	$	4.59	
 	$	0.92	
 	$	5.52	

Diluted earnings (loss) per common share:	 	 	 	 	 	 	 	 	 	
Continuing operations	$	0.64	
 	$	0.76	
 	$	0.83	
 	$	2.22	
 	 	$	0.72	
 	$	0.97	
 	$	1.19	
 	$	2.87	
 	$	0.87	
 	$	3.74	
 	
Discontinued operations	—	
 	—	
 	—	
 	—	
 	 	0.57	
 	1.10	
 	—	
 	1.68	
 	0.03	
 	1.72	
 	
Net earnings	$	0.64	
 	$	0.76	
 	$	0.83	
 	$	2.22	
 	 	$	1.28	
 	$	2.07	
 	$	1.19	
 	$	4.55	
 	$	0.91	
 	$	5.46	

Net earnings (loss) and average shares used in calculated earnings (loss) per share amounts are as follows:	
 	 	 	 	 	 	 	 	 	 	 	 	
Net earnings (loss):	 	 	 	 	 	 	 	 	 	 	 	
Continuing operations	$	99,356	
 	$	118,290	
 	$	130,084	
 	$	347,730	
 	 	$	117,190	
 	$	155,634	
 	$	186,483	
 	$	459,307	
 	$	136,574	
 	$	595,881	
 	
Discontinued operations	—	
 	—	
 	—	
 	—	
 	 	92,320	
 	176,762	
 	(385	)	268,697	
 	5,251	
 	273,948	
 	
Net earnings	$	99,356	
 	$	118,290	
 	$	130,084	
 	$	347,730	
 	 	$	209,510	
 	$	332,396	
 	$	186,098	
 	$	728,004	
 	$	141,825	
 	$	869,829	

Average shares outstanding:	 	 	 	 	 	 	 	 	 	
Basic	155,064	
 	155,180	
 	155,300	
 	155,182	
 	 	161,650	
 	158,640	
 	155,300	
 	158,507	
 	154,986	
 	157,619	
 	
Diluted	156,161	
 	156,595	
 	156,798	
 	156,562	
 	 	163,323	
 	160,398	
 	156,560	
 	160,112	
 	156,254	
 	159,172	

 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted Earnings Per Share (Non-GAAP)	 	 	 	 	 	 	 	 	 	 	
Earnings from continuing operations are adjusted by gains (losses) from discrete and other tax items and gain on disposition of business to derive adjusted earnings from continuing operations and adjusted diluted earnings per common share as follows:	
 	 	 	 	 	 	 	 	 	 	 	 	
 	2016	 	2015	
 	Q1	Q2	Q3	Q3 YTD	 	Q1	Q2	Q3	Q3 YTD	Q4	FY 2015	
Adjusted earnings from continuing operations:	 	 	 	 	 	 	 	 	
Earnings from continuing operations	$	99,356	
 	$	118,290	
 	$	130,084	
 	$	347,730	
 	 	$	117,190	
 	$	155,634	
 	$	186,483	
 	$	459,307	
 	$	136,574	
 	$	595,881	
 	
Gains (losses) from discrete and other tax items	7,348	
 	(1,221	)	(304	)	5,823	
 	 	—	
 	—	
 	8,131	
 	8,131	
 	9,382	
 	17,513	
 	
Gain on disposition of business	11,228	
 	—	
 	—	
 	11,228	
 	 	—	
 	—	
 	—	
 	—	
 	—	
 	—	
 	
Adjusted earnings from continuing operations	$	80,780	
 	$	119,511	
 	$	130,388	
 	$	330,679	
 	 	$	117,190	
 	$	155,634	
 	$	178,352	
 	$	451,176	
 	$	127,192	
 	$	578,368	

Adjusted diluted earnings per common share:	 	 	 	 	 	 	 	 	 	
Earnings from continuing operations	$	0.64	
 	$	0.76	
 	$	0.83	
 	$	2.22	
 	 	$	0.72	
 	$	0.97	
 	$	1.19	
 	$	2.87	
 	$	0.87	
 	$	3.74	
 	
Gains (losses) from discrete and other tax items	0.05	
 	(0.01	)	—	
 	0.04	
 	 	—	
 	—	
 	0.05	
 	0.05	
 	0.06	
 	0.11	
 	
Gain on disposition of business	0.07	
 	—	
 	—	
 	0.07	
 	 	—	
 	—	
 	—	
 	—	
 	—	
 	—	
 	
Adjusted earnings from continuing operations	$	0.52	
 	$	0.76	
 	$	0.83	
 	$	2.11	
 	 	$	0.72	
 	$	0.97	
 	$	1.14	
 	$	2.82	
 	$	0.81	
 	$	3.63	

* Per share data may not add due to rounding.	 	 	 	 	 	 	 	

DOVER CORPORATION
ADDITIONAL INFORMATION
(unaudited)(in thousands)

Quarterly Cash Flow

 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	2016	 	2015	
 	Q1	Q2	Q3	Q3 YTD	 	Q1	Q2	Q3	Q3 YTD	Q4	FY 2015	
Net Cash Flows Provided By (Used In):	 	 	 	 	 	 	 	 	 	 	 	
Operating activities	$	133,413	
 	$	207,868	
 	$	231,665	
 	$	572,946	
 	 	$	131,332	
 	$	218,911	
 	$	282,213	
 	$	632,456	
 	$	316,603	
 	$	949,059	
 	
Investing activities	(425,857	)	(69,415	)	(66,110	)	(561,382	)	 	156,585	
 	457,875	
 	(33,454	)	581,006	
 	(615,584	)	(34,578	)	
Financing activities	178,507	
 	(127,678	)	98,491	
 	149,320	
 	 	(416,603	)	(608,329	)	(86,033	)	(1,110,965	)	19,079	
 	(1,091,886	)	

Quarterly Free Cash Flow (Non-GAAP)

 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	2016	 	2015	
 	Q1	Q2	Q3	Q3 YTD	 	Q1	Q2	Q3	Q3 YTD	Q4	FY 2015	
Cash flow from operating activities	$	133,413	
 	$	207,868	
 	$	231,665	
 	$	572,946	
 	 	$	131,332	
 	$	218,911	
 	$	282,213	
 	$	632,456	
 	$	316,603	
 	$	949,059	
 	
Less: Capital expenditures	(37,230	)	(35,422	)	(43,116	)	(115,768	)	 	(27,956	)	(43,807	)	(39,516	)	(111,279	)	(42,972	)	(154,251	)	
Free cash flow	$	96,183	
 	$	172,446	
 	$	188,549	
 	$	457,178	
 	 	$	103,376	
 	$	175,104	
 	$	242,697	
 	$	521,177	
 	$	273,631	
 	$	794,808	

Free cash flow as a percentage of earnings from continuing operations	96.8	%	145.8	%	144.9	%	131.5	%	 	88.2	%	112.5	%	130.1	%	113.5	%	200.4	%	133.4	%	
 	 	 	 	 	 	 	 	 	 	 	 	
Free cash flow as a percentage of revenue	5.9	%	10.2	%	11.0	%	9.1	%	 	6.0	%	10.0	%	13.6	%	9.9	%	16.1	%	11.4	%	

Revenue Growth Factors

 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Three Months Ended September 30, 2016	 	
 	Energy	 	Engineered Systems	 	Fluids	 	Refrigeration & Food Equipment	 	Total	 	
Organic (decline) growth	(24	)%	 	1	 %	 	(9	)%	 	(2	)%	 	(7	)%	 	
Acquisitions	—	 %	 	3	 %	 	27	 %	 	—	 %	 	6	 %	 	
Dispositions	—	 %	 	(5	)%	 	—	 %	 	(7	)%	 	(3	)%	 	
Currency translation	(1	)%	 	(1	)%	 	(1	)%	 	—	 %	 	(1	)%	 	
 	(25	)%	 	(2	)%	 	17	 %	 	(9	)%	 	(5	)%	 	

 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	Nine Months Ended September 30, 2016	 	
 	Energy	 	Engineered Systems	 	Fluids	 	Refrigeration & Food Equipment	 	Total	 	
Organic (decline) growth	(29	)%	 	2	 %	 	(7	)%	 	1	 %	 	(7	)%	 	
Acquisitions	—	 %	 	3	 %	 	25	 %	 	—	 %	 	6	 %	 	
Dispositions	—	 %	 	(4	)%	 	—	 %	 	(6	)%	 	(3	)%	 	
Currency translation	(1	)%	 	(1	)%	 	(1	)%	 	—	 %	 	(1	)%	 	
 	(30	)%	 	—	 %	 	17	 %	 	(5	)%	 	(5	)%	 	

Non-GAAP Disclosures

In an effort to provide investors with additional information regarding our results as determined by GAAP, Management also discloses non-GAAP information that Management believes provides useful information to investors. Adjusted earnings from continuing operations, adjusted diluted earnings per common share, free cash flow and organic revenue growth are not financial measures under GAAP and should not be considered as a substitute for earnings from continuing operations, diluted earnings per common share, cash flows from operating activities, or revenue as determined in accordance with GAAP, and they may not be comparable to similarly titled measures reported by other companies.  Adjusted earnings from continuing operations represents earnings from continuing operations adjusted for gains or losses from discrete and other tax items and for gain on disposition of business. Adjusted diluted earnings per common share represents adjusted earnings from continuing operations divided by average diluted shares. Management believes this information is useful to investors to better understand the company’s ongoing profitability and facilitates easier comparisons of the company’s profitability to prior and future periods and to its peers. Free cash flow represents net cash provided by operating activities minus capital expenditures. Management believes that free cash flow is an important measure of operating performance because it provides management and investors a measurement of cash generated from operations that is available for mandatory payment obligations and investment opportunities, such as funding acquisitions, paying dividends, repaying debt and repurchasing our common stock. Management believes that reporting organic revenue growth, which excludes the impact of foreign currency exchange rates and the impact of acquisitions, provides a useful comparison of our revenue performance and trends between periods.

Earnings Conference Call Third Quarter 2016     October 19, 2016 – 9:00am CT 

 

2 Forward looking statements and non-GAAP measures We want to remind everyone that our comments may contain forward-looking statements that are inherently subject to uncertainties and risks. We caution everyone to be guided in their analysis of Dover Corporation by referring to the documents we file from time to time with the SEC, including our Form 10-K for 2015, for a list of factors that could cause our results to differ from those anticipated in any such forward-looking statements.  We would also direct your attention to our website, www.dovercorporation.com,  where considerably more information can be found.  This document contains non-GAAP financial information. Reconciliations of non-GAAP measures are included either in this presentation or Dover’s earnings release and investor supplement for the third quarter, which are available on our website. 2 

 

3 $0.00 $0.25 $0.50 $0.75 $1.00 $1.25 Q1 Q2 Q3* Q4* Q1* Q2 Q3 Earnings per share Adj. EPS* Q3 2016 Performance Earnings Per Share (continuing operations) Q3 Q3/Q3 * Excludes discrete tax benefits of $0.05 in Q3 2015, $0.06 in Q4 2015, $0.05 in Q1 2016, a $0.01 discrete tax expense in Q2 2016, and $0.07 gain on a disposition in Q1 2016 (d) See Press Release for free cash flow reconciliation 3 Quarterly Comments 2015 2016  Revenue growth from acquisitions and strong markets in Product ID, offset by the impact of weak macro environment, further declines in longer cycle oil & gas markets, and dispositions  Lower US and China activity, improved European activity  Segment margin impacted by lower volume, production inefficiencies, acquisition-related costs and deal costs  Bookings decline largely driven by oil & gas exposure and dispositions, partially offset by impact of acquisitions  Book-to-bill of 0.99 Note: EPS and Adj. EPS include restructuring costs of $0.10 in Q1 2015, $0.01 in Q2 2015, $0.05 in Q3 2015, $0.08 in Q4 2015, $0.07 in Q1 2016, $0.04 in Q2 2016 and $0.04 in Q3 2016 Revenue $1.7B -4% $5.0B -5% EPS (cont.) $0.83 -30% $2.22 -23% Adj. EPS (cont.) $0.83 -27% $2.11 -25% Bookings $1.7B -1% $5.1B -2% Seg. Margin 14.1% -290 bps 13.0% -240 bps Adj. Seg. Margin (a) 14.6% -300 bps 13.6% -250 bps Organic Rev. (b) -7% -7% Net Acq. Growth (c) 3% 3% Cash flow from Ops $232M -18% $573M -9% FCF (d) $189M -22% $457M -12% (a) Adjusted for $7.7M of restructuring in Q3 2016, $9.2M in Q2 2016, $14.4M in Q1 2016, $11.5M in Q3 2015, $3.1M in Q2 2015 and $24.1M in Q1 2015 9M 9M/9M (b) Change in revenue from businesses owned over 12 months, excluding FX impact (c) Change in revenue from acquisitions, less revenue from dispositions 

 

4 Revenue  Q3 2016  Energy Engineered Systems  Fluids Refrigeration & Food Equip Total Dover Organic -24% 1% -9% -2% -7% Acquisitions - 3% 27% - 6% Dispositions - -5% - -6% -4% Currency -1% -1% -1% - - Total -25% -2% 17% -8% -5%  9M 2016  Energy Engineered Systems  Fluids Refrigeration & Food Equip Total Dover Organic -29% 2% -7% 1% -7% Acquisitions - 3% 25% - 6% Dispositions - -4% - -6% -3% Currency -1% -1% -1% - -1% Total -30% - 17% -5% -5% 

 

5 Energy  Revenue decrease driven by year-over-year declines in oil & gas market fundamentals – Q3 2016 revenue up 5% sequentially  Market macros were more constructive – NA rig count grew in Q3 – Oil prices in $45 - $50 range  Adjusted margin of 6.8% reflects volume and price declines  Bookings decline of 23% reflects weak market conditions – Bookings up 10% sequentially  Book-to-bill at 0.99 5 $ in millions * Q3 2016 earnings adjusted for $5M restructuring, Q3 2015 adjusted for $6M in restructuring costs Q3 2016 Q3 2015 % Change % Organic Revenue $273 $364 -25% -24% Earnings $ 13 $ 49 -73% Margin 4.9% 13.4% -850 bps Adj. Earnings* $ 18 $ 55 -67% Adj. Margin* 6.8% 15.1% -830 bps Bookings $271 $352 -23% -22%  Revenue by End-Market % of Q3 Revenue Q3/Q3 Growth Organic Growth Drilling & Production 65% -28% -27% Bearings & Compression 26% -13% -12% Automation 9% -32% -32% 

 

6 Engineered Systems  Organic revenue growth of 1% – 5% organic growth in P & I driven by strong marking & coding and digital textile markets – Industrial’s organic decline of 2% primarily driven by activity deferrals and tough comps in Environmental Solutions  Margin of 17.0% primarily reflects unfavorable product mix in Industrial platform  Bookings growth reflects strong Environmental Solutions order activity and acquisition growth, partially offset by dispositions and FX  Book-to-bill of 1.02  6 Q3 2016 Q3 2015 % Change % Organic Revenue(a) $571 $579 -2% 1% Earnings $ 97 $103 -5% Margin 17.0% 17.8% -80 bps Adj. Earnings* $ 99 $107 -7% Adj. Margin* 17.3% 18.5% -120 bps Bookings(b) $580 $565 3% 5%  Revenue by End-Market % of Q3 Revenue Q3/Q3 Growth Organic Growth Printing & Identification 44% 11% 5% Industrial 56% -10% -2% $ in millions (a) Revenue declined 2% overall, reflecting organic growth of 1% and acquisition growth of 3%, offset by a 4% impact from dispositions and a 2% unfavorable impact from FX (b) Bookings growth of 3% reflects organic growth of 5% and acquisition growth of 3%, partially offset by a 4% impact from dispositions and a 1% unfavorable impact from FX * Q3 2016 earnings adjusted for $1M restructuring, Q3 2015 adjusted for $4M in restructuring costs 

 

7 Fluids  Revenue growth driven by acquisitions and strong hygienic & pharma markets – Organic revenue decline driven by  Project timing  Weak longer cycle upstream & midstream markets  Lower capital spending from integrated energy customers  Margin impacted by lower organic volume, acquisitions, and deal costs  Bookings growth driven by acquisitions  Book-to-bill at 1.00  7 $ in millions Q3 2016 Q3 2015 % Change % Organic Revenue $413 $352 17% -9% Earnings $ 66 $ 75 -12% Margin 16.0% 21.3% -530 bps Bookings $414 $357 16% -9%  Revenue by End-Market % of Q3 Revenue Q3/Q3 Growth Organic Growth Pumps 38% 4% -16% Fluid Transfer 62% 27% -4% 

 

8 Refrigeration & Food Equipment  Organic revenue decline of 2% primarily driven by project timing in can-shaping equipment business   Margin performance reflects production inefficiencies at Hillphoenix and product mix   Organic bookings growth of 6% driven by strong order activity in can-shaping business that will ship in 2017   Book-to-bill at 0.95  8 $ in millions Q3 2016 Q3 2015 % Change % Organic Revenue(a) $451 $492 -8% -2% Earnings $ 64 $ 77 -16% Margin 14.2% 15.6% -140 bps Bookings(b) $429 $431 ≈ Flat 6%  Revenue by End-Market % of Q3 Revenue Q3/Q3 Growth Organic Growth Refrigeration 79% -9% Flat Food Equipment 21% -8% -8% (a) Revenue decline of 8% reflects organic decline of 2% and a 6% impact from dispositions (b) Flat bookings reflects organic growth of 6%, offset by a 6% impact from dispositions 

 

9 Q3 2016 Overview 9 Q3 2016 Net Interest Expense $33 million, in-line with forecast  Corporate Expense $27 million, in-line with forecast Effective Tax Rate (ETR) Q3 rate was 28% Capex $43 million, generally in-line with forecast Share Repurchases No activity 

 

10 FY 2016 Guidance   Revenue – Organic revenue: (8% - 7%) – Acquisitions: ≈ 7% – Dispositions: (≈ 3%) – FX impact: (≈ 1%) – Total revenue: (5% - 4%)   Corporate expense: ≈ $110 million   Interest expense: ≈ $128 million   Full-year tax rate: ≈ 27.5% - 28%   Capital expenditures: ≈ 2.3% of revenue   FY free cash flow: ≈ 11% of revenue 2016 organic growth rate Energy (29% - 26%) Engineered Systems 0% - 1% Fluids (7% - 6%) Refrigeration & Food Equipment (-1%) - 0% Total organic (8% - 7%) Acquisitions ≈ 7% Dispositions (≈ 3%) FX Impact (≈ 1%) Total revenue (5% - 4%) 

 

11 2016F EPS Guidance – Bridge  2015 EPS – Continuing Ops (GAAP) $ 3.74 – Less 2015 tax items(1): (0.11)  2015 Adjusted EPS $ 3.63  – Net restructuring(2): ≈ 0.05 – Performance including restructuring benefits(3): (0.73 - 0.71) – Compensation & investment: (0.11 - 0.09) – Net acquisitions(4): ≈ 0.07 – Shares(5): ≈ 0.08 – Interest / Corp. / Tax rate / Other (net): (0.03 - 0.02) – 2016 tax items(6): ≈ 0.04   2016F EPS – Continuing Ops $3.00 - $3.05 (1) Includes discrete tax benefits of $0.05 in Q3 2015 and $0.06 in Q4 2015 (4) Reflects operating earnings of acquisitions completed less dispositions completed, as well as the associated gain on disposition (5) Based on carryover benefit from 2015 share repurchase activity (2) Includes restructuring costs of $0.25 in FY 2015 and approximately $0.20 in FY 2016 (3) Includes restructuring benefits of $0.44 - $0.48, $0.02 of Q2 2016 deal costs, $0.04 of Q2 2016 one-time costs, $0.03 of Q3 2016 deal costs, and $0.01 of anticipated Q4 2016 deal costs (6) Includes discrete tax benefits of $0.05 in Q1 2016 and a discrete tax cost of $0.01 in Q2 2016