Operator: The Roper Industries' First Quarter 2013 Financial Results Conference Call will now begin.
I will now turn the conference over to John Humphrey, Chief Financial Officer.
John Humphrey - EVP and CFO: Thank you, Halle, and thank you all for joining us this morning as we discuss the results of our first quarter. Joining me this morning is Brian Jellison, Chairman, President, and Chief Executive Officer; Paul Soni, Vice President and Controller; (Jason Conley), who heads our Planning and Investor Relations.
Earlier this morning, we issued a press release announcing our financial results. The press release also includes replay information for today's call. In addition, we've prepared slides to accompany today's call, which are available through the webcast, and also available on our website at www.roperind.com.
Now if you turn to Slide 2; we begin with our Safe Harbor statement. During the course of today's call, we will be making forward-looking statements, which are subject to risks and uncertainties as described on this page and as detailed in our SEC filings. You should listen to today's call in the context of that information.
Now, if you will please turn to Slide 3, today, we will be discussing our income statement results for the quarter primarily on a non-GAAP basis. A full reconciliation between GAAP and non-GAAP measures is in our press release this morning and also included as a part of this presentation and on our website.
For the first quarter, the difference between GAAP and non-GAAP is a fair value adjustment to acquire deferred revenue at Sunquest. For the quarter, this impact was $3.6 million to revenue and operating profit. This adjustment represents revenue that absent our acquisition Sunquest would have recognized. We believe showing our results on this basis provides additional insight into the ongoing and recurring results of the business.
Now, if you please turn to Slide 4, I will turn the call over to Brian Jellison, Chairman, President and Chief Executive Officer. After his prepared remarks, we will take questions from our telephone participants. Brian?
Brian D. Jellison - Chairman, President and CEO: Thank you, John, and good morning, everybody. We look at the Q1 enterprise financial results. It was an all-time record for the first quarter; most level of orders, highest level of sales, biggest net earnings, the most EBITDA, and the highest operating and free cash flow. One of the incredible things about the first quarter is that all of our margins again increased; the gross margins, the operating margin, the EBITDA margin, and the net earnings margins all established records for Roper.
Our orders at $794 million are particularly strong and that last year we had about $15 million out of the Neptune cancellation, which of course didn't recur, making that $794 million look even stronger on a comparative basis.
Revenue was $741 million and our book-to-bill was 1.07, which is well above our norm. We have a little over $1 billion in backlog now, which is up 18% over last year at this time. Our gross margin went up 240 basis points to 57.4%, and all four segments actually increased our gross margin, so it's not just the benefit of higher margin at Sunquest, but execution in all four segments.