Danaher Corporation (DHR) Earnings
Danaher Corporation is expected to report next earnings on July 21, 2026 (in NaN days), with a consensus EPS estimate of $1.84. DHR has beaten EPS estimates in 11 of its last 12 reported quarters (average surprise +7.3% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 21, 2026 | $1.94 | $2.06 | +6.2% | $6.0B | -0.5% |
| Jan 28, 2026 | $2.16 | $2.23 | +3.2% | $6.8B | +0.4% |
| Oct 21, 2025 | $1.72 | $1.89 | +9.9% | $6.1B | +0.9% |
| Jul 22, 2025 | $1.64 | $1.80 | +9.8% | $5.9B | +1.7% |
| Apr 22, 2025 | $1.63 | $1.88 | +15.3% | $5.7B | +3.0% |
| Jan 29, 2025 | $2.14 | $2.14 | +0.0% | $6.5B | +1.4% |
| Oct 22, 2024 | $1.57 | $1.71 | +8.9% | $5.8B | +3.8% |
| Jul 23, 2024 | $1.57 | $1.72 | +9.6% | $5.7B | +2.8% |
| Jan 30, 2024 | $1.90 | $2.09 | +10.0% | $2.7B | -51.9% |
| Jul 25, 2023 | $2.00 | $2.05 | +2.5% | $7.2B | +12.9% |
| Jan 24, 2023 | $2.54 | $2.87 | +13.0% | $8.4B | +5.9% |
| Oct 20, 2022 | $2.26 | $2.56 | +13.3% | $7.7B | +7.1% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q2 FY2026 · July 21, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
- Overall Q2 2026 Performance - Delivered better-than-expected revenue, earnings, and free cash flow, with 150 basis points of core growth acceleration versus Q1 2026, driven by strong commercial execution - Gross profit margin was 57.6%; adjusted operating profit margin was 27.1% (down 20 basis year-over-year, as lower respiratory revenue offset benefits from higher non-respiratory volume and disciplined cost management) - Adjusted diluted EPS was $1.94, up ~8% year-over-year. Generated $1.3 billion in free cash flow in Q2 and $2.4 billion in H1 2026, with a 124% year-to-date free cash flow to net income conversion ratio - Developed markets core revenue declined slightly (impacted by shipment timing in biotech and lower respiratory revenue), while high growth markets core revenue increased more than 10%, including mid-single digit growth in China - Product Innovation Updates - Cytiva launched the Biacor 8S SPR system, an automated high-throughput screening platform with AI-powered data analysis to speed identification of promising drug candidates - CyX launched the AI-enabled Novus V55 triple quadrupole mass spectrometry system, which delivers enhanced sensitivity, higher throughput, and lower operating costs for multiple end markets - Beckman-Coulter launched an ACCESS brain-derived pTAU217 research-use Alzheimer's blood biomarker assay and received CE-MARC approval for its clinical ACCESS pTAU217 assay for the DXi9000 platform, strengthening its position in neurodegenerative diagnostics - Capital Deployment and M&A Activity - Closed the acquisition of MassML (Massimo) in early June 2026, ahead of initial expectations. The business delivered high single-digit H1 2026 revenue growth, and recently secured 510(k) clearance for an AI-enabled opioid-induced respiratory depression detection solution. The acquisition is expected to be immediately accretive to adjusted EPS - Leica Biosystems announced the pending acquisition of Stetlab, a leading anatomical pathology consumable manufacturer with ~$250 million 2025 revenue and >85% recurring revenue. The acquisition is expected to close by end of 2026, grow high single digits long-term, and be accretive to adjusted EPS in the first full year of ownership - Repurchased ~5 million shares of Danaher common stock for ~$900 million in capital deployed - End Market Trends - Large pharma/biopharma demand remains healthy; improved biotech funding has supported stronger funnel and order activity - Academic and government markets have largely stabilized (still below pre-downturn levels), while clinical and applied markets remain consistent sources of growth - In China, biotechnology continues to deliver solid growth, life sciences market conditions are stabilizing, and diagnostics have improved sequentially as the company moves past the largest impacts of 2024 volume-based procurement and reimbursement changes
Guidance
- Full year 2026 core revenue growth guidance is maintained at 3-4%: higher expected core growth in the Life Sciences segment (faster market recovery than initial expectations) offsets a more conservative full year outlook for Bioprocessing due to Q2 customer-driven shipment timing shifts - Full year 2026 adjusted diluted EPS guidance is raised to $8.45 to $8.60, from the prior range of $8.35 to $8.55. The upward revision reflects a better-than-expected Q2 performance and the earlier-than-expected close of the Massimo acquisition - Q3 2026 total core revenue growth is expected to be ~2-3%, which includes a 250 basis point year-over-year respiratory headwind. Core growth excluding respiratory is expected to be ~5%, an acceleration from Q2 2026's 4.5% core ex-respiratory growth - The company expects to exit Q4 2026 with a mid-single digit core revenue growth rate as early year headwinds abate - Q3 2026 adjusted operating profit margin is expected to be approximately 26.5% - Long-term bioprocessing growth outlook remains high single digits, supported by onshoring trends, robust commercial biologic production, and a strong pipeline of new molecules moving into commercialization
Segment performance
1. Biotechnology: Core revenue increased 2.5% year-over-year. Within this segment: - Discovery and medical: Mid-single digit core revenue growth, driven by solid pharma/biopharma growth and a more stable academic/research funding environment - Bioprocessing: Low single digit core revenue growth, with low single digit growth in both consumables and equipment. Revenue was impacted by delayed large customer shipments, but underlying demand remained healthy with mid-teens order growth in both consumables and equipment. This segment contributes approximately 30-35% of total company revenue. 2. Life Sciences: Core revenue increased 5.5% year-over-year. Within this segment: - Pall's applied filtration business: ~10% core revenue growth, led by strength in the microelectronics/semiconductor product line - Life sciences instruments: Mid-single digit core revenue growth, with strong large pharma/biopharma investment, improving biotech demand, and modestly improved (still below normal) academic demand - Life sciences consumables: Low single digit core revenue growth overall. IDT grew led by MRD testing demand, while Abcam delivered its strongest quarter post-acquisition on accelerating growth from improving academic markets and growing commercial traction in biopharma/diagnostics. This segment contributes approximately 25-30% of total company revenue. 3. Diagnostics: Core revenue increased 2% year-over-year; core revenue excluding respiratory testing was up 5%. Within this segment: - Clinical diagnostics: Mid-single digit core revenue growth, with high single digit growth outside of China. Leica Biosystems and Radiometer delivered collective high single digit growth across instruments and consumables. Beckman Coulter Diagnostics grew mid-single digits globally, with solid immunoassay and installed base growth, and moderating declines in China as pricing stabilized and volumes improved. - Molecular diagnostics: Cepheid's core non-respiratory revenue grew low double digits, led by growth in hospital-acquired infection and sexual health assays, supported by new menu expansion adoption and key account wins. Respiratory revenue declined year-over-year as expected due to lower seasonal infection rates. This segment contributes approximately 35-40% of total company revenue. Total company Q2 2026 sales were $6.3 billion, with core revenue up 3% year-over-year (4.5% core growth excluding respiratory testing).
Risks & headwinds
- Forward-looking statements regarding future financial and operational performance are subject to material risks and uncertainties, and actual results may differ materially from projections, as detailed in the company's SEC filings - Bioprocessing revenue is subject to unpredictable customer shipment timing shifts: over $100 million of planned 2026 bioprocessing resin shipments were delayed to 2027 at customer request due to production schedule changes and site readiness challenges, and there is no guarantee these revenues will materialize as expected in 2027 - Academic market recovery depends on constructive government funding policy, and a sustained lack of policy support could delay or prevent a return to normal growth levels in this end market - M&A transactions are subject to customary closing risks, including regulatory approval delays that could push the Stetlab acquisition closing beyond the expected end of 2026 timeline - Foreign exchange and product mix shifts create partial offsetting impacts to positive earnings momentum from better-than-expected Q2 performance and the early Massimo acquisition close
Analyst Q&A
Q: Bioprocessing revenue was meaningfully light in Q2 2026, and full year guidance was lowered from high to mid single digits, with the shortfall not recouped in H2 2026. Is this a multi-quarter demand rebase, when can we expect the delayed revenue to return?
A: The shortfall is concentrated in a small number of large chromatography resin shipments that customers requested to push out of 2026 into 2027, due to customer production schedule changes and site readiness challenges. There is no change to underlying demand: both equipment and consumables orders grew mid-teens in Q2, and broad-based market inventory levels are already much lower than in prior post-pandemic years. Roughly $100 million of 2026 planned revenue shifted to 2027, and management did not include a potential return of any of this revenue in Q4 2026 in current guidance.
Q: Bioprocessing equipment returned to growth in Q2 after four straight quarters of order growth. Can management confirm a turn in equipment demand, and what is the outlook driven by reshoring?
A: Management confirms the return of equipment revenue growth reflects a real turn in demand, driven by early reshoring and brownfield capacity expansion that is now moving from order growth into recognized revenue. There is a multi-year, early-inning CapEx cycle for bioprocessing capacity to support growing biologic therapeutic volumes and ongoing reshoring; large greenfield projects will take 2-3 years to flow through to revenue.
Q: What is driving the stronger-than-expected performance and improved outlook for life sciences consumables, and is biotech funding finally converting to customer spending?
A: Improved biotech funding is indeed starting to convert from funnel activity to actual orders and revenue, which is supporting growth across IDT, Aldevron, and Abcam. IDT continues to see strong demand for its MRD testing solutions, while Abcam delivered its strongest quarter post-acquisition, driven by improved commercial execution, end market diversification into pharma and diagnostics, and stabilizing academic demand. Academic markets are still not back to normal levels, but the sequential improvement is supporting broad-based growth.
Q: Only a month after closing the Massimo acquisition, can management share an early update on performance? Also, what is the recovery outlook for academic markets?
A: The Massimo acquisition is off to a strong start, and management confirmed it delivered high single-digit revenue growth in Q2 2026, in line with expectations with potential upside going forward. For academic markets, recovery depends on more constructive government funding policy, so for now management only expects stable (not rapidly growing) demand. Academia makes up less than 5% of Danaher's total revenue, so even a delayed recovery has limited impact on overall company growth.