DANAHER CORP /DE/ Q1 FY2025 earnings call

• Navigated dynamic macro environment from a position of strength using the Danaher Business System. - First quarter revenue, earnings, and cash flow ahead of expectations. - Key product launches: Cytiva's Xcellerex X-platform bioreactor, Beckman Coulter's CytoFLEX spectral flow cytometry, and Danaher's primary antibodies for cancer research. - Invested ~$2 billion since 2020 to expand capacity and ensure supply security for bioprocessing.

Biotechnology segment core revenue increased 7%, with Bioprocessing up high-single digits and Discovery and Medical up low-single digits. Life Sciences segment core revenue decreased by 4%, with instrument businesses collectively declining low-single digits and genomics consumables down. Diagnostics segment core revenue declined 1.5%, with clinical diagnostics essentially flat and Cepheid's respiratory revenue exceeding expectations. Revenue contribution details: more than 80% of revenues are recurring, majority being consumables specified into regulated processes.

• Full year 2025 core revenue growth expected at ~3%, with bioprocessing strength offsetting life sciences. - Initiated full year adjusted diluted EPS guidance range of $7.60 to $7.75. - Second quarter core revenue expected to grow in low-single digits, adjusted operating profit margin ~25.5% reflecting seasonality and productivity investments.

• Geopolitical and trade tensions contributing to market uncertainty. - Tariff impacts with potential ~$350 million gross headwind, but levers like supply chain adjustments and manufacturing footprint changes to offset. - Uncertainty in macro environment affecting end market demand.

Q: On bioprocess order strength and tariff offsets A: Rainer Blair discusses bioprocess order growth and Matt McGrew talks about tariff offset levers including manufacturing rebalancing and surcharges Q: On genomics segment and earnings guidance A: Rainer Blair addresses genomics segment pressure and Matt McGrew explains earnings guidance framework and margin considerations