Published on 23 Apr 2024 on Zacks via Yahoo Finance

Danaher (DHR) Q1 Earnings Beat, Biotechnology Sales Dip Y/Y

Danaher Corporation’s DHR first-quarter 2024 adjusted earnings (excluding 47 cents from non-recurring items) of $1.92 per share surpassed the Zacks Consensus Estimate of $1.72. The bottom line declined 27.1% year over year.Danaher’s net sales of $5.8 billion outperformed the consensus estimate of $5.6 billion. However, the metric declined 2.5% year over year due to lower core sales in the Biotechnology segment.Organic sales in the quarter decreased 4%. Foreign-currency translations and acquisitions had a positive impact of 0.5% and 2.0%, respectively, on quarterly sales.

Segmental Discussion in Q1

On Sep 30, 2023, Danaher completed the separation of its Environmental & Applied Solutions segment. It currently operates under the operating segments discussed below.Revenues from the Life Sciences segment totaled $1.7 billion, up 2% year over year. We expected the Life Sciences segment’s revenues to be $1.6 billion. Core sales dipped 3% year over year. Acquisitions/divestitures led to a 6% increase in sales. Operating profit was $235 million for the quarter, down 26.8% year over year.Revenues from the Diagnostics segment totaled $2.5 billion, up 6.5% year over year. Our estimate for revenues in the quarter was $2.4 billion. Core sales increased 7.5% year over year. Foreign currency had a positive impact of 1%. Operating profit was $830 million for the quarter, up 22.6% on a year-over-year basis.Revenues from the Biotechnology segment totaled $1.52 billion, down 18% year over year. Our estimate for the quarter was $1.54 billion. Core sales dropped 17% for the segment. Operating profit was $325 million for the quarter, down 45.5% year over year.