Shares of Veralto Corporation (VLTO) are surging 5.27% in pre-market trading on Wednesday, following the company's impressive first-quarter earnings report released after market close on Tuesday. The water treatment solutions provider significantly outperformed analyst expectations for both revenue and earnings, demonstrating robust demand for its services.

Veralto reported adjusted earnings per share of $0.95 for the quarter ended April 4, surpassing the FactSet analyst consensus of $0.87 and showing substantial growth from $0.84 in the same period last year. The company's sales for Q1 reached $1.33 billion, up from $1.25 billion a year earlier and exceeding analyst projections of $1.28 billion. This strong performance underscores Veralto's ability to capitalize on sustained demand for its chemical treatment and UV filtration services.

Despite the impressive Q1 results, Veralto provided a cautious outlook for the second quarter, projecting adjusted EPS between $0.84 and $0.88, slightly below analyst expectations of $0.91. However, the company reaffirmed its full-year 2025 guidance of adjusted EPS between $3.60 and $3.70, in line with market consensus. CEO Jennifer L. Honeycutt noted that the company has implemented measures to mitigate the impact of tariffs, addressing concerns about potential headwinds in the global economic landscape.