Senior Vice President and Chief Financial Officer at IDEX
Thanks, Eric. I'll start with our consolidated financial results on slide eight. Q2 orders of 839 million were up 12% overall and up 7% organically. We experienced strong orders growth in HST and FMT, but saw contraction in FSD driven by dispensing North America's strong replenishment orders received last year. Second quarter sales of $796 million were up 16% overall and up 12% organically. We experienced record sales with double-digit increases across all three of our segments. Second quarter operating margin was 23.4%, up 30 basis points compared to prior year. Adjusted operating margin was 23.8%, down 60 basis points.
Incremental amortization related to Airtech, Nexsight and KZValve acquisitions unfavorably impacted adjusted operating margin by 80 basis points. Second quarter net income was $138 million, which resulted in EPS of $1.81. Adjusted net income was $154 million, resulting in an adjusted EPS of $2.02, up $0.27 or 15% over prior year. Finally, free cash flow for the quarter was $97 million or 63% of adjusted net income. This reflects higher accounts receivables driven by the significant increase in sales versus last year as well as elevated inventory levels. Inventory has increased to buffer supply chain challenges and leveraged material availability as a competitive tool to take share in the market.
We have spent a lot of time with our teams reviewing their inventory reduction plans and are targeting to bleed down our inventory positions in the second half of the year. Moving on to slide nine, which details the drivers of our adjusted operating income. Second quarter adjusted operating income increased $23 million compared to last year. Our 12% organic growth contributed approximately $22 million flowing through at our prior year gross margin rate. We levered well on the volume increase. Our teams drove operational productivity, and we had strong price capture to offset inflation headwinds.
Price cost was accretive to margins and is trending towards our historic levels. We experienced positive mix of $2 million across the portfolio. We reinvested $4 million, mainly in the form of engineering and commercial resources, to drive long-term growth and additional resources to support our accelerated M&A activity. Lastly, discretionary spending increased by $9 million versus last year and up $7 million versus the first quarter of 2022. Our teams across the globe are back to in-person partnering with our customers, actively marketing our products and investing to support innovation. As we look ahead to the second half of the year, we do not expect this level of sequential increase to continue. We've now ramped to our pre-pandemic spending rate, but on significantly higher sales.
Our organic flow-through was 23%, in line with the flow-through expectations we set at the beginning of the year, but most likely the lowest rate we will experience this year. Flow-through is then negatively impacted by the dilutive impact of acquisitions and FX getting us to a reported flow-through of 21%. With that, I'd like to provide a deeper look at our segment performance. I'm on page 10. In our Fluid & Metering Technologies segment, we experienced a strong second quarter for both orders and sales with organic growth of 8% and 13%, respectively. FMT adjusted operating margin expanded by 170 basis points versus last year.
The increase included 60 basis points of headwind due to incremental amortization related to the Nexsight and KZValve acquisitions. Volume leverage, strong operational productivity and favorable price costs were the main drivers of the increased adjusted operating margin. Our industrial markets are exhibiting stable demand with consistent quote activity over the last few quarters. We are seeing small to midsized projects coming through in the oil and gas and petrochemical markets as well as in applications tied to mining, asphalt and lithium-ion battery production. Agriculture continues to perform well. Farmers are experiencing record inflation and look to our technology and precision ag to drive productivity. The KZValve integration is going extremely well, and our automation project at Banjo is on track. Market conditions remain favorable in our municipal water business.
We continue to see a strong commercial funnel and long-term optimism, driven by government funding and ESG initiatives. On the energy side, upstream markets are experiencing healthy demand with oil prices providing strong support. Midstream investments have yet to see a bump in activity due to customer supply chain constraints and caution our long-term price sustainability. Moving on to Health & Science/Technology. Stellar commercial performance continues with organic orders up 13% and organic sales up 12%. HST adjusted operating margin contracted by 130 basis points versus the second quarter of 2021.
Incremental amortization related to the Airtech acquisition unfavorably impacted adjusted operating margin by 130 basis points. Additionally, adjusted operating margin was driven by strong volume leverage and positive price cost, partially offset by increased employee-related costs, discretionary spending and resource investments. HST continues to benefit from strong secular growth trends within life science, analytical instrumentation, semiconductor and food and pharma markets. The life sciences market is experiencing strong demand for next-gen sequencing instruments and consistent core diagnostic market performance. Analytical instrumentation and material processing results remain strong on continued pharma and biopharma demand. On the semiconductor side, we continue to see growth, but at a slower pace. We've been able to offer shorter lead times than our competitors, enabling share gain across a variety of applications.
We continue to see strong growth in our optics businesses tied to broadband satellite technology and strength in our industrial businesses similar to the FMT results. Finally, turning to our Fire & Safety/Diversified product segment. Orders contracted by 5%, but sales were strong with an organic increase of 11%. FSD adjusted operating margin contracted by 280 basis points versus the second quarter of last year. This was driven by higher volume being more than offset by higher employee-related costs and discretionary spending as well as pressure on price cost due to aged OEM backlogs on the fire side and automotive exposure with more metal content within BAND-IT.
As we noted in prior calls, we have taken action to address this gap and expect the price/cost will improve in the second half of 2022 as those increases pull through our backlog. Our dispensing business performed well, driven by delivery of North American project volume and an overall positive global paint market. BAND-IT had strong results across the industrial, automotive and oil and gas markets. On the automotive side, we continue to outperform the market and capture share on new platforms. In Energy, we see strong downhole market demand and capture share due to material availability with shorter lead times for our customers. Within Fire & Safety, we are seeing strong demand with our E3 rescue tools. On the fire side, core North American and European markets remain choppy due to OEM supply chain constraints, but we are starting to see some modest improvement.
With that, I'll like to provide an outlook for the third quarter and our full year 2022 results. I'm on slide 11, which lays out our updated guidance. For the third quarter of 2022, we are projecting organic revenue growth of 9% to 10% and operating margin of approximately 24%. Q3 forecasted op margin is up slightly versus second quarter due to improved price cost, partially offset by lower seasonal volume leverage. We expect GAAP EPS to range from $1.80 to $1.85 and adjusted EPS to range from $1.98 to $2.03. Turning to the full year. Given our strong performance in the first half of the year, we are raising our full year guidance. We now expect full year organic revenue growth of approximately 10%. This reflects our confidence in line of sight for the third quarter, but some caution in the fourth quarter due to the short-cycle nature of our business.
We expect GAAP EPS to range between $7.19 to $7.29 and adjusted EPS to range from $7.88 to $7.98. Our operating margin for the full year is expected to be approximately 24%. We are expecting free cash flow as a percent of adjusted net income to range from 75% to 80%, down from our previous guidance. With our higher revenue expectations for the back half of the year, elevating our year-end receivables balance and a slower-than-expected inventory bleed, this is our best estimate as we head into the second half of the year. Our long-term goal remains to be above 100% and consider the current guidance a reflection of the volatile external environment versus a structural shift in our cash generation capabilities.
With that, let me pause and turn it over to the operator for your questions.