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Danaher Reports Fourth Quarter and Full Year 2024 Results

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Danaher (NYSE: DHR) reported its Q4 and full-year 2024 results, showing mixed performance. In Q4 2024, revenues increased 2.0% year-over-year to $6.5 billion, with non-GAAP core revenue up 1.0%. Q4 net earnings reached $1.1 billion, or $1.49 per diluted share, with non-GAAP adjusted EPS of $2.14.

For full-year 2024, the company reported flat revenues at $23.9 billion, while non-GAAP core revenue decreased 1.5%. Net earnings were $3.9 billion, or $5.29 per diluted share, with non-GAAP adjusted EPS of $7.48. Operating cash flow was strong at $6.7 billion, with free cash flow of $5.3 billion.

Looking ahead to 2025, Danaher expects Q1 core revenue to decline low-single digits year-over-year, but projects full-year core revenue growth of approximately 3%.

Danaher (NYSE: DHR) ha riportato i risultati del quarto trimestre e dell'intero anno 2024, mostrando performance miste. Nel quarto trimestre del 2024, i ricavi sono aumentati del 2,0% rispetto all'anno precedente, raggiungendo $6,5 miliardi, con un aumento dell'1,0% nei ricavi core non-GAAP. Gli utili netti nel quarto trimestre hanno raggiunto $1,1 miliardi, ovvero $1,49 per azione diluita, con un EPS aggiustato non-GAAP di $2,14.

Per l'intero anno 2024, l'azienda ha riportato ricavi stabili a $23,9 miliardi, mentre i ricavi core non-GAAP sono diminuiti dell'1,5%. Gli utili netti sono stati di $3,9 miliardi, equivalenti a $5,29 per azione diluita, con un EPS aggiustato non-GAAP di $7,48. Il flusso di cassa operativo è stato forte, ammontando a $6,7 miliardi, con un flusso di cassa libero di $5,3 miliardi.

Guardando al 2025, Danaher prevede una diminuzione dei ricavi core del primo trimestre a un cifra bassa rispetto all'anno precedente, ma prevede una crescita dei ricavi core per l'intero anno di circa il 3%.

Danaher (NYSE: DHR) informó sus resultados del cuarto trimestre y del año fiscal 2024, mostrando un desempeño mixto. En el cuarto trimestre de 2024, los ingresos aumentaron un 2,0% interanual, alcanzando $6.5 mil millones, con un incremento del 1,0% en los ingresos centrales no-GAAP. Las ganancias netas del cuarto trimestre alcanzaron $1.1 mil millones, o $1.49 por acción diluida, con un EPS ajustado no-GAAP de $2.14.

Para el año fiscal 2024, la compañía reportó ingresos estables en $23.9 mil millones, mientras que los ingresos centrales no-GAAP disminuyeron un 1,5%. Las ganancias netas fueron de $3.9 mil millones, equivalentes a $5.29 por acción diluida, con un EPS ajustado no-GAAP de $7.48. El flujo de caja operativo fue fuerte, alcanzando $6.7 mil millones, con un flujo de caja libre de $5.3 mil millones.

De cara al 2025, Danaher espera que los ingresos centrales del primer trimestre disminuyan en cifras de un solo dígito bajo en comparación con el año anterior, pero proyecta un crecimiento de los ingresos centrales del 3% aproximadamente para todo el año.

Danaher (NYSE: DHR)는 2024년 4분기 및 연간 실적을 발표하며 혼합된 성과를 보였습니다. 2024년 4분기 동안 수익은 작년 대비 2.0% 증가하여 $65억에 도달하였고, 비-GAAP 핵심 수익은 1.0% 상승했습니다. 4분기 순이익은 $11억, 즉 희석 주당 $1.49에 달하며, 비-GAAP 조정 EPS는 $2.14입니다.

2024년 전체에 대해 회사는 수익이 $239억로 변동이 없다고 보고했으며, 비-GAAP 핵심 수익은 1.5% 감소했습니다. 순이익은 $39억, 즉 희석 주당 $5.29이며, 비-GAAP 조정 EPS는 $7.48입니다. 운영 현금 흐름은 견조하게 $67억에 달하고, 잉여 현금 흐름은 $53억입니다.

2025년을 전망하면서 Danaher는 1분기 핵심 수익이 지난해 대비 저단위 수익 감소를 예상하고 있지만, 연평균 핵심 수익 성장은 약 3%에 이를 것으로 예상하고 있습니다.

Danaher (NYSE: DHR) a rapporté ses résultats du quatrième trimestre et de l'année complète 2024, montrant des performances mitigées. Au quatrième trimestre 2024, les revenus ont augmenté de 2,0 % par rapport à l'année précédente, atteignant 6,5 milliards USD, avec un revenu principal non-GAAP en hausse de 1,0 %. Les bénéfices nets du quatrième trimestre ont atteint 1,1 milliard USD, soit 1,49 USD par action diluée, avec un BPA ajusté non-GAAP de 2,14 USD.

Pour l'année entière 2024, l'entreprise a déclaré des revenus stables à 23,9 milliards USD, tandis que le revenu principal non-GAAP a diminué de 1,5 %. Les bénéfices nets s'élevaient à 3,9 milliards USD, soit 5,29 USD par action diluée, avec un BPA ajusté non-GAAP de 7,48 USD. Le flux de trésorerie d'exploitation était solide à 6,7 milliards USD, avec un flux de trésorerie libre de 5,3 milliards USD.

En regardant vers 2025, Danaher s'attend à ce que les revenus principaux du premier trimestre diminuent de quelques pourcentages faibles par rapport à l'année précédente, mais prévoit une croissance des revenus principaux d'environ 3 % pour l'ensemble de l'année.

Danaher (NYSE: DHR) hat seine Ergebnisse für das vierte Quartal und das gesamte Jahr 2024 veröffentlicht, wobei gemischte Leistungen gezeigt wurden. Im vierten Quartal 2024 stiegen die Einnahmen im Jahresvergleich um 2,0% auf 6,5 Milliarden USD, während die Non-GAAP-Kernumsätze um 1,0% zunahmen. Der Nettogewinn des vierten Quartals erreichte 1,1 Milliarden USD, was 1,49 USD pro verwässerter Aktie entspricht, mit einem Non-GAAP-angepassten EPS von 2,14 USD.

Für das gesamte Jahr 2024 berichtete das Unternehmen von stagnierenden Einnahmen in Höhe von 23,9 Milliarden USD, während die Non-GAAP-Kernumsätze um 1,5% zurückgingen. Der Nettogewinn belief sich auf 3,9 Milliarden USD, oder 5,29 USD pro verwässerter Aktie, mit einem Non-GAAP-angepassten EPS von 7,48 USD. Der Betriebs-Cashflow war stark und beläuft sich auf 6,7 Milliarden USD, mit einem freien Cashflow von 5,3 Milliarden USD.

Für 2025 erwartet Danaher, dass die Kernumsätze im ersten Quartal um niedrige einstellige Prozentzahlen im Jahresvergleich zurückgehen werden, rechnet jedoch für das gesamte Jahr mit einem Wachstum der Kernumsätze von etwa 3%.

Positive
  • Q4 2024 revenues increased 2.0% YoY to $6.5 billion
  • Strong operating cash flow of $6.7 billion for 2024
  • Solid Q4 performance with better-than-anticipated core revenue in all segments
  • Projected 3% core revenue growth for full-year 2025
Negative
  • Full-year 2024 non-GAAP core revenue decreased 1.5%
  • Expected decline in Q1 2025 core revenue (low-single digits)
  • Flat full-year 2024 revenues at $23.9 billion

Insights

Danaher's Q4 2024 performance reveals a company successfully navigating industry headwinds while positioning for future growth. The 2.0% revenue growth to $6.5 billion and core revenue growth of 1.0% outperformed expectations across all segments, indicating effective execution despite market challenges.

The standout metrics include robust cash generation, with free cash flow of $5.3 billion for the full year, representing an impressive conversion rate. This strong cash position provides significant flexibility for strategic investments and potential M&A activities in the life sciences and diagnostics sectors.

The company's transformation into a focused life sciences and diagnostics innovator is particularly noteworthy. This strategic repositioning should drive:

  • Higher organic growth potential in fast-growing markets
  • Improved operating margins through portfolio optimization
  • Enhanced recurring revenue streams from consumables and services

The 2025 guidance, projecting a temporary Q1 decline followed by 3% full-year growth, suggests a conservative but realistic outlook. This trajectory aligns with the broader life sciences tools sector's expected recovery pattern and Danaher's historical pattern of under-promising and over-delivering.

The margin expansion story remains compelling, driven by operational efficiency initiatives and a more focused portfolio. This should translate into sustained earnings growth even in a moderate revenue growth environment.

WASHINGTON, Jan. 29, 2025 /PRNewswire/ -- Danaher Corporation (NYSE: DHR) (the "Company") today announced results for the fourth quarter and full year 2024.  All results in this release reflect only continuing operations unless otherwise noted.

Key Fourth Quarter 2024 Results

  • Net earnings were $1.1 billion, or $1.49 per diluted common share and non-GAAP adjusted diluted net earnings per common share were $2.14.
  • Revenues increased 2.0% year-over-year to $6.5 billion and non-GAAP core revenue increased 1.0%.
  • Operating cash flow was $2.0 billion and non-GAAP free cash flow was $1.5 billion.

Key Full Year 2024 Results

  • Net earnings were $3.9 billion, or $5.29 per diluted common share and non-GAAP adjusted diluted net earnings per common share were $7.48.
  • Revenues of $23.9 billion were flat year-over-year and non-GAAP core revenue decreased 1.5%.
  • Operating cash flow was $6.7 billion and non-GAAP free cash flow was $5.3 billion.

Rainer M. Blair, President and Chief Executive Officer, stated, "We finished the year strong, with better-than-anticipated core revenue in all three of our segments.  Good execution by our team also drove solid cash flow and operating margin expansion."

Blair continued, "Looking ahead, we believe Danaher is better positioned than at any point in our 40-year history.  The transformation in our portfolio over the last several years has created a focused life sciences and diagnostics innovator, poised for higher long-term growth, expanded margins and stronger cash flow."

First Quarter and Full Year 2025 Outlook

The Company provides forecasted sales only on a non-GAAP core revenue basis because of the difficulty in estimating the other components of GAAP revenue, such as currency translation, acquisitions and divested product lines.

For the first quarter 2025, the Company anticipates that non-GAAP core revenue will decline low-single digits year-over-year.  For full year 2025, the Company expects that non-GAAP core revenue will increase approximately 3% year-over-year.

Conference Call and Webcast Information

Danaher will discuss its fourth quarter results and financial guidance for the first quarter and full year 2025 during its investor conference call today starting at 8:00 a.m. ET.  The call and an accompanying slide presentation will be webcast on the "Investors" section of Danaher's website, www.danaher.com, under the subheading "Events & Presentations."  A replay of the webcast will be available in the same section of Danaher's website shortly after the conclusion of the presentation and will remain available until the next quarterly earnings call.

The conference call can be accessed by dialing 800-445-7795 within the U.S. or by dialing +1 785-424-1699 outside the U.S. a few minutes before the 8:00 a.m. ET start and telling the operator that you are dialing in for Danaher's earnings conference call (Conference ID: DHRQ424).  A replay of the conference call will be available shortly after the conclusion of the call and until February 12, 2025.  You can access the replay dial-in information on the "Investors" section of Danaher's website under the subheading "Events & Presentations."

ABOUT DANAHER

Danaher is a leading global life sciences and diagnostics innovator, committed to accelerating the power of science and technology to improve human health.  Our businesses partner closely with customers to solve many of the most important health challenges impacting patients around the world.  Danaher's advanced science and technology - and proven ability to innovate - help enable faster, more accurate diagnoses and help reduce the time and cost needed to sustainably discover, develop and deliver life-changing therapies.  Focused on scientific excellence, innovation and continuous improvement, our approximately 63,000 associates worldwide help ensure that Danaher is improving quality of life for billions of people today, while setting the foundation for a healthier, more sustainable tomorrow.  Explore more at www.danaher.com.

NON-GAAP MEASURES AND SUPPLEMENTAL MATERIALS

In addition to the financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), this earnings release also contains non-GAAP financial measures.  Calculations of these measures, explanations of what these measures represent and the reasons why we believe these measures provide useful information to investors, a reconciliation of these measures to the most directly comparable GAAP measures, as applicable, and other information relating to these non-GAAP measures are included in the supplemental reconciliation schedule attached.

In addition, this earnings release, the slide presentation accompanying the related earnings call, non-GAAP reconciliations and a note containing details of historical and anticipated, future financial performance have been posted to the "Investors" section of Danaher's website (www.danaher.com).

FORWARD-LOOKING STATEMENTS

Statements in this release that are not strictly historical, including the statements regarding the anticipated financial results for the first quarter and full year 2025, the Company's positioning for the future and any other statements regarding events or developments that we believe or anticipate will or may occur in the future are "forward-looking" statements within the meaning of the federal securities laws.  There are a number of important factors that could cause actual results, developments and business decisions to differ materially from those suggested or indicated by such forward-looking statements and you should not place undue reliance on any such forward-looking statements.  These factors include, among other things: unanticipated, further declines in demand for our COVID-19 related products, the impact of global health crises, the impact of our debt obligations on our operations and liquidity, deterioration of or instability in the global economy, the markets we serve and the financial markets, uncertainties with respect to the development, deployment, and use of artificial intelligence in our business and products, uncertainties relating to national laws or policies, including laws or policies to protect or promote domestic interests and/or address foreign competition, contractions or growth rates and cyclicality of markets we serve, competition, our ability to develop and successfully market new products and technologies and expand into new markets, the potential for improper conduct by our employees, agents or business partners, our compliance with applicable laws and regulations (including rules relating to off-label marketing and other regulations relating to medical devices and the health care industry), the results of our clinical trials and perceptions thereof, our ability to effectively address cost reductions and other changes in the health care industry, our ability to successfully identify and consummate appropriate acquisitions and strategic investments, our ability to integrate the businesses we acquire and achieve the anticipated growth, synergies and other benefits of such acquisitions, contingent liabilities and other risks relating to acquisitions, investments, strategic relationships and divestitures (including tax-related and other contingent liabilities relating to past and future IPOs, split-offs or spin-offs), security breaches or other disruptions of our information technology systems or violations of data privacy laws, the impact of our restructuring activities on our ability to grow, risks relating to potential impairment of goodwill and other intangible assets, currency exchange rates, tax audits and changes in our tax rate and income tax liabilities, changes in tax laws applicable to multinational companies, litigation and other contingent liabilities including intellectual property and environmental, health and safety matters, the rights of the United States government with respect to our production capacity in times of national emergency or with respect to intellectual property/production capacity developed using government funding, risks relating to product, service or software defects, product liability and recalls, risks relating to our manufacturing operations and fluctuations in the cost and availability of the supplies we use (including commodities) and labor we need for our operations, our relationships with and the performance of our channel partners, uncertainties relating to collaboration arrangements with third-parties, the impact of deregulation on demand for our products and services, the impact of climate change, legal or regulatory measures to address climate change and our ability to address stakeholder expectations relating to climate change, labor matters and our ability to recruit, retain and motivate talented employees representing diverse backgrounds, experiences and skill sets, non-U.S. economic, political, legal, compliance, social and business factors (including the impact of military conflicts), disruptions and other impacts relating to man-made and natural disasters, inflation and the impact of our By-law exclusive forum provisions.  Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in our SEC filings, including our 2023 Annual Report on Form 10-K and Quarterly Report on Form 10-Q for the third quarter of 2024.  These forward-looking statements speak only as of the date of this release and except to the extent required by applicable law, the Company does not assume any obligation to update or revise any forward-looking statement, whether as a result of new information, future events and developments or otherwise.

DANAHER CORPORATION

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES


Diluted Net Earnings Per Common Share and Adjusted Diluted Net Earnings Per Common Share1 



 Three-Month Period Ended


Year Ended


December 31, 2024


December 31, 2023


December 31, 2024


December 31, 2023

Diluted Net Earnings Per Common Share
From Continuing Operations (GAAP)

$               1.49


$               1.50


$               5.29


$               5.65

Amortization of acquisition-related intangible
assetsA

0.56


0.51


2.21


2.00

Fair value net (gains) losses on
investmentsB

0.09


0.19


0.08


0.24

ImpairmentsC

0.06


0.05


0.36


0.10

Acquisition-related itemsD


0.13


0.03


0.13

Litigation gainsE


(0.01)



(0.01)

Contract termination expenseF

0.08



0.08


Tax effect of the above adjustmentsG

(0.13)


(0.18)


(0.51)


(0.47)

Discrete tax adjustmentsH

(0.01)


(0.10)


(0.07)


(0.06)

MCPS "as if converted"I




0.01

Rounding



0.01


(0.01)

Adjusted Diluted Net Earnings Per Common
Share From Continuing Operations (Non-
GAAP)

$               2.14


$               2.09


$               7.48


$               7.58



1

For the year ended December 31, 2023, each of the per share adjustment amounts above have been calculated assuming the Mandatory Convertible Preferred Stock ("MCPS") had been converted into shares of common stock as of all dates presented.

 


Notes to Above Reconciliation



A

Amortization of acquisition-related intangible assets in the following historical periods ($ in millions) (only the pretax amounts set forth below are reflected in the amortization line item above):









Three-Month Period Ended


Year Ended





December 31, 2024


December 31, 2023


December 31, 2024


December 31, 2023




Pretax

$                408


$                380


$             1,631


$             1,491




After-tax

338


317


1,346


1,226



B

Net (gains) losses, including impairments, on the Company's equity and limited partnership investments recorded in the following historical periods ($ in millions) (only the pretax amounts set forth below are reflected in the fair value net (gains) losses on investments line above): 










Three-Month Period Ended


Year Ended





December 31, 2024


December 31, 2023


December 31, 2024


December 31, 2023




Pretax

$                 64


$                139


$                 57


$                182




After-tax

48


98


39


130



C

Impairment charges related to a trade name in the Diagnostics segment recorded in the three-month period and year ended December 31, 2024 ($43 million pretax as reported in this line item, $32 million after-tax), a trade name in the Life Sciences segment recorded in the year ended December 31, 2024 ($222 million pretax as reported in this line item, $169 million after-tax), technology-based intangible assets in the Diagnostics segment recorded in the three-month period and year ended December 31, 2023 ($23 million pretax as reported in this line, $18 million after-tax) and technology-based intangible assets and other assets in the Biotechnology segment recorded in the three-month period and year ended December 31, 2023 ($12 million and $54 million pretax as reported in this line item, $8 million and $40 million after-tax, respectively).



D

Costs incurred for the fair value adjustment to inventory related to the acquisition of Abcam plc ("Abcam") for the year ended December 31, 2024 ($25 million pretax as reported in this line item, $19 million after-tax).  Transaction costs deemed significant, settlement of pre-acquisition share-based payment awards and fair value adjustments to inventory in each case related to the acquisition of Abcam in the three-month period and year ended December 31, 2023 ($95 million pretax as reported in this line item, $75 million after-tax).  The Company deems acquisition-related transaction costs incurred in a given period to be significant (generally relating to the Company's larger acquisitions) if it determines that such costs exceed the range of acquisition-related transaction costs typical for the Company in a given period. 



E

Gain related to settlement of litigation in the Life Sciences segment recorded in the three-month period and year ended December 31, 2023 ($10 million pretax as reported in this line, $8 million after-tax).  



F

Loss on the termination of a commercial agreement in the Diagnostics segment in the three-month period and year ended December 31, 2024 ($56 million pretax as reported in this line item, $56 million after-tax).



G

This line item reflects the aggregate tax effect of all non-tax adjustments reflected in the preceding line items of the table.  In addition, the footnotes above indicate the after-tax amount of each individual adjustment item.  Danaher estimates the tax effect of each adjustment item by applying Danaher's overall estimated effective tax rate to the pretax amount, unless the nature of the item and/or the tax jurisdiction in which the item has been recorded requires application of a specific tax rate or tax treatment, in which case the tax effect of such item is estimated by applying such specific tax rate or tax treatment.  The MCPS dividends are not tax deductible and therefore the tax effect of the adjustments does not include any tax impact of the MCPS dividends.



H

Discrete tax adjustments and other tax-related adjustments for the three-month period ended December 31, 2024, include the impact of net discrete tax benefits of $4 million due principally to net discrete tax benefits resulting from the release of reserves for uncertain tax positions due to the expiration of statutes of limitation and changes in estimates related to prior year tax filing positions, net of charges related to changes in estimates associated with prior period uncertain tax positions.  Discrete tax adjustments and other tax-related adjustments for the year ended December 31, 2024 include the impact of net discrete tax benefits of $49 million due principally to net discrete tax benefits resulting from excess tax benefits from stock compensation, the release of reserves for uncertain tax positions due to the expiration of statutes of limitation and changes in estimates related to prior year tax filing positions, net of charges related to changes in estimates associated with prior period uncertain tax positions.  Discrete tax adjustments for the three-month period ended December 31, 2023, include the impact of net discrete tax benefits of $71 million due principally to net deferred tax benefits resulting from changes in estimates related to prior year tax filing positions and the release of reserves for uncertain tax positions due to the expiration of statutes of limitation, net of charges related to changes in estimates associated with prior period uncertain tax positions.  Discrete tax adjustments and other tax-related adjustments for the year ended December 31, 2023 include the impact of net discrete tax benefits of $47 million due principally to net discrete tax benefits from changes in estimates related to prior year tax filing positions, the release of reserves for uncertain tax positions due to the expiration of statutes of limitation and excess tax benefits from stock-based compensation, net of charges related to tax costs related to the separation of Veralto Corporation, tax costs from legal and operational actions undertaken to realign certain of its businesses and changes in estimates associated with prior period uncertain tax positions.  The Company anticipates excess tax benefits from stock compensation of approximately $7 million per quarter and therefore excludes benefits in excess of this amount in the calculation of adjusted diluted net earnings from continuing operations per common share.



I

In May 2020, the Company issued $1.72 billion in aggregate liquidation preference of 5.0% MCPS.  Dividends on the MCPS were payable on a cumulative basis at an annual rate of 5.0% on the liquidation preference of $1,000 per share.  Each share of MCPS converted on April 17, 2023 into 5.0175 shares of Danaher's common stock.  For the calculation of net earnings per common share from continuing operations, the impact of the dilutive MCPS is calculated under the "if-converted" method and the related MCPS dividends are excluded.  For the purposes of calculating adjusted earnings per common share from continuing operations, the Company has excluded the paid MCPS cash dividends and assumed the "if-converted" method of share dilution (the incremental shares of common stock deemed outstanding applying the "if-converted" method of calculating share dilution only with respect to any MCPS the conversion of which would be dilutive in the particular period are referred to as the "Converted Shares") for any MCPS that were anti-dilutive for the given period.  For additional information about the impact of the MCPS on the calculation of diluted EPS, see note 2 in the Average and Adjusted Average Common Stock and Common Equivalent Diluted Shares Outstanding table below.

 

Average and Adjusted Average Common Stock and Common Equivalent Diluted Shares Outstanding

(shares in millions)



Three-Month Period Ended


Year Ended


December 31, 2024


December 31, 2023


December 31, 2024


December 31, 2023

Average common stock and common 
equivalent shares outstanding - diluted
(GAAP)2

728.2


746.1


737.2


743.1

Converted shares3




2.5

Adjusted average common stock and common
equivalent shares outstanding - diluted (non-
GAAP)

728.2


746.1


737.2


745.6



2

The impact of the MCPS calculated under the if-converted method was anti-dilutive for the year ended December 31, 2023 and as such, approximately 2.5 million shares underlying the MCPS were excluded from the calculation of diluted EPS for the period and the related MCPS dividends of $21 million were included in the calculation of net earnings for diluted EPS for the period.   As of April 17, 2023, all outstanding shares of the MCPS converted into 8.6 million shares of the Company's common stock.

3

The number of converted shares assumes the conversion of all MCPS and issuance of the underlying shares applying the "if-converted" method of accounting and using the actual conversion rates as of December 31, 2023.

 

Sales Growth (Decline) by Segment, Core Sales Growth (Decline) by Segment



% Change Three-Month Period Ended December 31, 2024 vs. Comparable
2023 Period




Segments


Total Company


Biotechnology


Life Sciences


Diagnostics

Total sales growth (decline) (GAAP)

2.0 %


6.5 %


5.5 %


(3.0) %

Impact of:








Acquisitions

(1.5) %


— %


(5.0) %


— %

Currency exchange rates

0.5 %


1.5 %


0.5 %


1.0 %

Core sales growth (decline) (non-GAAP)

1.0 %


8.0 %


1.0 %


(2.0) %




% Change Year Ended December 31, 2024 vs. Comparable 2023 Period




Segments


Total Company


Biotechnology


Life Sciences


Diagnostics

Total sales growth (decline) (GAAP)

— %


(6.0) %


2.5 %


2.0 %

Impact of:








Acquisitions

(2.0) %


— %


(6.0) %


— %

Currency exchange rates

0.5 %


1.5 %


1.5 %


1.0 %

Core sales (decline) growth (non-GAAP)

(1.5) %


(4.5) %


(2.0) %


3.0 %

 

Forecasted Core Sales (Decline) Growth

The Company provides forecasted sales only on a non-GAAP core revenue basis because of the difficulty in estimating the other components of GAAP revenue, such as currency translation, acquisitions and divested product lines.  



% Change Three-Month
Period Ending March
28, 2025 vs.
Comparable 2024
Period


% Change Year Ending
December 31, 2025 vs.
Comparable 2024
Period

Core sales (decline) growth (non-GAAP)

-Low single digit


~3.0%

 

Cash Flow from Continuing Operations and Free Cash Flow from Continuing Operations

($ in millions)



Three-Month Period Ended


Year-over-
Year
Change


Year Ended


Year-over-
Year
Change


December 31,
2024


December 31,
2023



December 31,
2024


December 31,
2023


Total Cash Flows from Continuing
Operations:












Total cash provided by operating
activities from continuing operations
(GAAP)

$        2,019


$        1,591




$        6,688


$        6,490



Total cash used in investing activities
from continuing operations (GAAP)

$          (694)


$       (6,017)




$       (1,981)


$       (7,048)



Total cash (used in) provided by
financing activities from continuing
operations (GAAP)

$       (1,692)


$       (1,819)




$       (8,385)


$           154















Free Cash Flow from Continuing
Operations:












Total cash provided by operating
activities from continuing operations
(GAAP)

$        2,019


$        1,591


         ~27.0         %


$        6,688


$        6,490


       ~3.0       %

Less: payments for additions to
property, plant & equipment (capital
expenditures) from continuing
operations (GAAP)

(516)


(434)




(1,392)


(1,383)



Plus: proceeds from sales of property,
plant & equipment (capital disposals)
from continuing operations (GAAP)

1


6




13


12



Free cash flow from continuing
operations (non-GAAP)

$        1,504


$        1,163


         ~29.5         %


$        5,309


$        5,119


       ~3.5       %


Note: The Company defines free cash flow as operating cash flows from continuing operations, less payments for additions to property, plant and equipment from continuing operations ("capital expenditures") plus the proceeds from sales of plant, property and equipment from continuing operations ("capital disposals").  All amounts presented above reflect only continuing operations.  

Statement Regarding Non-GAAP Measures

Each of the non-GAAP measures set forth above should be considered in addition to, and not as a replacement for or superior to, the comparable GAAP measure, and may not be comparable to similarly titled measures reported by other companies.  Management believes that these measures provide useful information to investors by offering additional ways of viewing Danaher Corporation's ("Danaher" or the "Company") results that, when reconciled to the corresponding GAAP measure, help our investors:

  • with respect to the profitability-related non-GAAP measures, understand the long-term profitability trends of our business and compare our profitability to prior and future periods and to our peers;
  • with respect to core sales, identify underlying growth trends in our business and compare our sales performance with prior and future periods and to our peers; and
  • with respect to free cash flow from continuing operations (the "FCF Measure"), understand Danaher's ability to generate cash without external financings, strengthen its balance sheet, invest in its business and grow its business through acquisitions and other strategic opportunities (although a limitation of free cash flow is that it does not take into account the Company's debt service requirements and other non-discretionary expenditures, and as a result the entire free cash flow amount is not necessarily available for discretionary expenditures).

Management uses the non-GAAP measures referenced above to measure the Company's operating and financial performance, and uses core sales and non-GAAP measures similar to Adjusted Diluted Net Earnings Per Common Share from Continuing Operations and the FCF Measure in the Company's executive compensation program.

  • The items excluded from the non-GAAP profitability measures set forth above have been excluded for the following reasons:
    • Amortization of Intangible Assets: We exclude the amortization of acquisition-related intangible assets because the amount and timing of such charges are significantly impacted by the timing, size, number and nature of the acquisitions we consummate. While we have a history of significant acquisition activity we do not acquire businesses on a predictable cycle, and the amount of an acquisition's purchase price allocated to intangible assets and related amortization term are unique to each acquisition and can vary significantly from acquisition to acquisition. Exclusion of this amortization expense facilitates more consistent comparisons of operating results over time between our newly acquired and long-held businesses, and with both acquisitive and non-acquisitive peer companies. We believe however that it is important for investors to understand that such intangible assets contribute to sales generation and that intangible asset amortization related to past acquisitions will recur in future periods until such intangible assets have been fully amortized.
    • Restructuring Charges: We exclude costs incurred pursuant to discrete restructuring plans that are fundamentally different (in terms of the size, strategic nature and planning requirements, as well as the inconsistent frequency, of such plans) from the ongoing productivity improvements that result from application of the Danaher Business System. Because these restructuring plans are incremental to the core activities that arise in the ordinary course of our business and we believe are not indicative of Danaher's ongoing operating costs in a given period, we exclude these costs to facilitate a more consistent comparison of operating results over time.
    • Other Adjustments: With respect to the other items excluded from Adjusted Diluted Net Earnings Per Common Share from Continuing Operations, we exclude these items because they are of a nature and/or size that occur with inconsistent frequency, occur for reasons that may be unrelated to Danaher's commercial performance during the period and/or we believe that such items may obscure underlying business trends and make comparisons of long-term performance difficult.
  • With respect to adjusted average common stock and common equivalent shares outstanding, Danaher's MCPS mandatorily converted into Danaher common stock on the mandatory conversion date of April 17, 2023 (unless converted or redeemed earlier in accordance with the terms of the applicable certificate of designations). With respect to the calculation of Adjusted Diluted Net Earnings Per Common Share from Continuing Operations, we apply the "if converted" method of share dilution to the MCPS in all applicable periods irrespective of whether such preferred shares were dilutive or anti-dilutive in the period. We believe this presentation provides useful information to investors by helping them understand the net impact on Danaher's earnings per share-related measures irrespective of the period.
  • With respect to core sales, (1) we exclude the impact of currency translation because it is not under management's control, is subject to volatility and can obscure underlying business trends, and (2) we exclude the effect of acquisitions and divested product lines because the timing, size, number and nature of such transactions can vary significantly from period-to-period and between us and our peers, which we believe may obscure underlying business trends and make comparisons of long-term performance difficult.
  • With respect to the FCF Measure, we exclude payments for additions to property, plant and equipment (net of the proceeds from capital disposals) to demonstrate the amount of operating cash flow for the period that remains after accounting for the Company's capital expenditure requirements.

The Company provides forecasted sales only on a non-GAAP basis because of the difficulty in estimating the other components of GAAP revenue, such as currency translation, acquisitions and divested product lines.

DANAHER CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS (unaudited)

($ in millions, except per share amount)



As of December 31


2024


2023

ASSETS




Current assets:




Cash and equivalents

$          2,078


$          5,864

Trade accounts receivable, less allowance for doubtful accounts of $113 as of
December 31, 2024 and $120 as of December 31, 2023

3,537


3,922

Inventories

2,330


2,594

Prepaid expenses and other current assets

1,552


1,557

Total current assets

9,497


13,937

Property, plant and equipment, net

4,990


4,553

Other long-term assets

3,990


3,644

Goodwill

40,497


41,608

Other intangible assets, net

18,568


20,746

Total assets

$        77,542


$        84,488





LIABILITIES AND STOCKHOLDERS' EQUITY




Current liabilities:




Notes payable and current portion of long-term debt

$             505


$          1,695

Trade accounts payable

1,753


1,766

Accrued expenses and other liabilities

4,540


4,813

Total current liabilities

6,798


8,274

Other long-term liabilities

5,694


6,017

Long-term debt

15,500


16,707

Stockholders' equity:




Common stock - $0.01 par value, 2.0 billion shares authorized; 884.3 million issued
and 719.1 million outstanding as of December 31, 2024; 880.5 million issued and
739.2 million outstanding as of December 31, 2023

9


9

Additional paid-in capital

16,727


16,170

Treasury stock

(8,163)


(2,019)

Retained earnings

44,188


41,074

Accumulated other comprehensive income (loss)

(3,218)


(1,748)

Total Danaher stockholders' equity

49,543


53,486

Noncontrolling interests

7


4

Total stockholders' equity

49,550


53,490

Total liabilities and stockholders' equity

$        77,542


$        84,488


This information is presented for reference only.  Final audited financial statements will include footnotes, which should be
referenced when available, to more fully understand the contents of this information. 

 

 

DANAHER CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF EARNINGS (unaudited)

($ and shares in millions, except per share amounts)





Three-Month Period Ended


Year Ended



December 31,
2024


December 31,
2023


December 31,
2024


December 31,
2023


Sales

$          6,538


$          6,405


$        23,875


$        23,890


Cost of sales

(2,648)


(2,626)


(9,669)


(9,856)


Gross profit

3,890


3,779


14,206


14,034


Operating costs:









Selling, general and administrative expenses

(2,023)


(2,035)


(7,759)


(7,329)


Research and development expenses

(442)


(407)


(1,584)


(1,503)


Operating profit

1,425


1,337


4,863


5,202


Nonoperating income (expense):









Other income (expense), net

(63)


(137)


(56)


(175)


Interest expense

(61)


(85)


(278)


(286)


Interest income

14


117


117


303


Earnings from continuing operations before
income taxes

1,315


1,232


4,646


5,044


Income taxes

(229)


(111)


(747)


(823)


Net earnings from continuing operations

1,086


1,121


3,899


4,221


Earnings from discontinued operations, net of
income taxes


(42)



543


Net earnings

1,086


1,079


3,899


4,764


Mandatory convertible preferred stock
dividends




(21)


Net earnings attributable to common
stockholders

$          1,086


$          1,079


$          3,899


$          4,743











Net earnings per common share from
continuing operations:









Basic

$            1.50


$            1.52


$            5.33


$            5.70

(a)

Diluted

$            1.49


$            1.50


$            5.29

(a)

$            5.65


Net earnings per common share from
discontinued operations:









Basic

$               —


$          (0.06)


$               —


$            0.74


Diluted

$               —


$          (0.06)


$               —


$            0.73

(a)

Net earnings per common share:









Basic

$            1.50


$            1.46


$            5.33


$            6.44

(a)

Diluted

$            1.49


$            1.45

(b)

$            5.29

(a)

$            6.38

(a)

Average common stock and common
equivalent shares outstanding:









Basic

722.7


739.8


731.0


736.5


Diluted

728.2


746.1


737.2


743.1




(a) Net earnings per common share amount for the relevant three-month periods do not add to the full year period amount due to rounding.

(b) Net earnings per common share amount does not add due to rounding.




This information is presented for reference only.  Final audited financial statements will include footnotes, which should be
referenced when available, to more fully understand the contents of this information.


 

DANAHER CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)

($ in millions)



Year Ended December 31


2024


2023

Cash flows from operating activities:




Net earnings

$              3,899


$              4,764

Less: earnings from discontinued operations, net of income taxes


(543)

Net earnings from continuing operations

3,899


4,221

Noncash items:




Depreciation

721


675

Amortization of intangible assets

1,631


1,491

Amortization of acquisition-related inventory fair value step-up

25


8

Stock-based compensation expense

288


306

Investment losses

57


182

Impairment charges

265


77

Change in deferred income taxes

(483)


(1,204)

Change in trade accounts receivable, net

331


322

Change in inventories

147


185

Change in trade accounts payable

19


(149)

Change in prepaid expenses and other assets

274


419

Change in accrued expenses and other liabilities

(486)


(43)

Total operating cash provided by continuing operations

6,688


6,490

Total operating cash provided by discontinued operations


674

Net cash provided by operating activities

6,688


7,164

Cash flows from investing activities:




Cash paid for acquisitions

(558)


(5,610)

Payments for additions to property, plant and equipment

(1,392)


(1,383)

Proceeds from sales of property, plant and equipment

13


12

Payments for purchases of investments

(331)


(172)

Proceeds from sales of investments

253


61

All other investing activities

34


44

Total cash used in investing activities from continuing operations

(1,981)


(7,048)

Total investing cash used in discontinued operations


(33)

Net cash used in investing activities

(1,981)


(7,081)

Cash flows from financing activities:




Proceeds from the issuance of common stock in connection with stock-based compensation

162


68

Payment of dividends

(768)


(821)

Net proceeds from (repayments of) borrowings (maturities of 90 days or less)

5


(1,006)

Repayments of borrowings (maturities longer than 90 days)

(1,674)


(620)

Distribution from discontinued operations


2,600

Payments for repurchase of common stock

(5,979)


All other financing activities

(131)


(67)

Net cash (used in) provided by financing activities for continuing operations

(8,385)


154

Cash distributions to Veralto Corporation, net


(427)

Net cash used in financing activities

(8,385)


(273)

Effect of exchange rate changes on cash and equivalents

(108)


59

Net change in cash and equivalents

(3,786)


(131)

Beginning balance of cash and equivalents

5,864


5,995

Ending balance of cash and equivalents

$              2,078


$              5,864


This information is presented for reference only.  Final audited financial statements will include footnotes, which should be
referenced when available, to more fully understand the contents of this information.

 

DANAHER CORPORATION AND SUBSIDIARIES

SEGMENT INFORMATION (unaudited)

($ in millions)



Three-Month Period Ended


Year Ended


December 31, 2024


December 31, 2023


December 31, 2024


December 31, 2023

Sales:








Biotechnology

$          1,869


$          1,759


$          6,759


$          7,172

Life Sciences

2,032


1,930


7,329


7,141

Diagnostics

2,637


2,716


9,787


9,577

Total Company

$          6,538


$          6,405


$        23,875


$        23,890









Operating Profit:








Biotechnology

$             508


$             416


$          1,685


$          1,909

Life Sciences

376


235


879


1,209

Diagnostics

624


766


2,625


2,406

Other

(83)


(80)


(326)


(322)

Total Company

$          1,425


$          1,337


$          4,863


$          5,202









Operating Profit Margins:








Biotechnology

27.2 %


23.6 %


24.9 %


26.6 %

Life Sciences

18.5 %


12.2 %


12.0 %


16.9 %

Diagnostics

23.7 %


28.2 %


26.8 %


25.1 %

Total Company

21.8 %


20.9 %


20.4 %


21.8 %


This information is presented for reference only.  Final audited financial statements will include footnotes, which should be
referenced when available, to more fully understand the contents of this information.

 

 

Cision View original content:https://www.prnewswire.com/news-releases/danaher-reports-fourth-quarter-and-full-year-2024-results-302362722.html

SOURCE Danaher Corporation

FAQ

What were Danaher's (DHR) Q4 2024 earnings per share?

Danaher reported Q4 2024 net earnings of $1.49 per diluted common share, with non-GAAP adjusted diluted net earnings per share of $2.14.

How much revenue did DHR generate in full-year 2024?

Danaher generated revenues of $23.9 billion in full-year 2024, which was flat compared to the previous year.

What is Danaher's (DHR) revenue guidance for 2025?

Danaher expects non-GAAP core revenue to decline low-single digits in Q1 2025, but projects approximately 3% growth for the full year 2025.

What was DHR's operating cash flow for 2024?

Danaher's operating cash flow for 2024 was $6.7 billion, with non-GAAP free cash flow of $5.3 billion.

How did Danaher's core revenue perform in Q4 2024?

Danaher's non-GAAP core revenue increased 1.0% in Q4 2024 compared to the previous year.

Danaher Corporation

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Diagnostics & Research
Industrial Instruments for Measurement, Display, and Control
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