- Fourth quarter revenue of $729 million; 5% reported growth;
6% organic growth
- Fourth quarter GAAP EPS of $0.78; Adjusted EPS from
continuing operations of $1.42
- Initiates full year 2025 guidance
Revvity, Inc. (NYSE: RVTY) today reported financial results for
the fourth quarter and full year ended December 29, 2024.
Fourth Quarter 2024
The Company reported GAAP earnings per share of $0.78, as
compared to $0.64 in the same period a year ago. GAAP revenue for
the quarter was $729 million, as compared to $696 million in the
same period a year ago. GAAP operating income from continuing
operations for the quarter was $119 million, as compared to $77
million for the same period a year ago. GAAP operating profit
margin from continuing operations was 16.3% as a percentage of
revenue, as compared to 11.1% in the same period a year ago.
Adjusted earnings per share from continuing operations for the
quarter was $1.42, as compared to $1.25 in the same period a year
ago. Adjusted revenue for the quarter was $730 million, as compared
to $696 million in the same period a year ago. Adjusted operating
income was $221 million, as compared to $192 million for the same
period a year ago. Adjusted operating profit margin was 30.3% as a
percentage of adjusted revenue, as compared to 27.5% in the same
period a year ago.
Full Year 2024
The Company reported GAAP earnings per share of $2.20 in 2024,
as compared to $5.55 in 2023. GAAP revenue for the year was $2,755
million, as compared to $2,751 million in 2023. GAAP operating
income from continuing operations for the year was $347 million, as
compared to $301 million for 2023. GAAP operating profit margin
from continuing operations for the year was 12.6% as a percentage
of revenue, as compared to 10.9% in 2023.
Adjusted earnings per share from continuing operations for the
year was $4.90, as compared to $4.65 in 2023. Adjusted revenue for
the year was $2,756 million, as compared to $2,751 million in 2023.
Adjusted operating income for the year was $779 million, as
compared to $770 million in 2023. Adjusted operating profit margin
for the year was 28.3% as a percentage of adjusted revenue, as
compared to 28.0% in 2023.
Adjustments for the Company’s non-GAAP financial measures have
been noted in the attached reconciliations.
“We finished last year on a strong note positioning us well as
we head into 2025,” said Prahlad Singh, president and chief
executive officer of Revvity. “I am confident that the full
potential of Revvity will be even more externally apparent as we
move through this year following the significant transformation our
business has undergone over the last several years.”
Financial Overview by Reporting Segment for the Fourth
Quarter and Full Year 2024
Life Sciences
- Fourth quarter 2024 revenue was $336 million, as compared to
$320 million in the same period a year ago. Reported revenue
increased 5% and organic revenue increased 5% as compared to the
same period a year ago.
- Full year 2024 revenue was $1,254 million, as compared to
$1,292 million in 2023. Reported revenue decreased 3% and organic
revenue decreased 3% as compared to the same period a year
ago.
- Fourth quarter 2024 adjusted operating income was $131 million,
as compared to $118 million in the same period a year ago. Adjusted
operating profit margin was 38.9% as a percentage of adjusted
revenue, as compared to 36.9% in the same period a year ago.
- Full year 2024 adjusted operating income was $448 million, as
compared to $489 million in 2023. Adjusted operating profit margin
was 35.7% as a percentage of adjusted revenue, as compared to 37.9%
in 2023.
Diagnostics
- Fourth quarter 2024 revenue was $393 million, as compared to
$376 million in the same period a year ago. Reported revenue
increased 4% and organic revenue increased 6% as compared to the
same period a year ago.
- Full year 2024 revenue was $1,502 million, as compared to
$1,459 million in 2023. Reported revenue increased 3% and organic
revenue increased 4% as compared to the same period a year
ago.
- Fourth quarter 2024 adjusted operating income was $98 million,
as compared to $80 million in the same period a year ago. Adjusted
operating profit margin was 25.0% as a percentage of adjusted
revenue, as compared to 21.1% in the same period a year ago.
- Full year 2024 adjusted operating income was $373 million, as
compared to $321 million in 2023. Adjusted operating profit margin
was 24.9% as a percentage of adjusted revenue, as compared to 22.0%
in 2023.
Initiates Full Year 2025 Guidance
For the full year 2025, the Company forecasts total revenue of
$2.80-$2.85 billion and adjusted earnings per share of
$4.90-$5.00.
Guidance for the full year 2025 for adjusted EPS is provided on
a non-GAAP basis and cannot be reconciled to the closest GAAP
measure without unreasonable effort due to the unpredictability of
the amounts and timing of events affecting the items the Company
excludes from this non-GAAP measure. The timing and amounts of such
events and items could be material to the Company’s results
prepared in accordance with GAAP.
Webcast Information
The Company will discuss its fourth quarter and full year 2024
results and its outlook for business trends during a webcast on
January 31, 2025, at 8:00 a.m. Eastern Time. A live audio webcast
and presentation will be available on the Investors section of the
Company’s website, ir.revvity.com.
Use of Non-GAAP Financial Measures
In addition to financial measures prepared in accordance with
generally accepted accounting principles (GAAP), this earnings
announcement also contains non-GAAP financial measures. The reasons
that we use these measures, a reconciliation of these measures to
the most directly comparable GAAP measures, and other information
relating to these measures are included below following our GAAP
financial statements.
Factors Affecting Future Performance
This press release contains "forward-looking" statements within
the meaning of the Private Securities Litigation Reform Act of
1995, including, but not limited to, statements relating to
estimates and projections of future earnings per share, cash flow
and revenue growth and other financial results, developments
relating to our customers and end-markets, and plans concerning
business development opportunities, acquisitions and divestitures.
Words such as "believes," "intends," "anticipates," "plans,"
"expects," "estimates," "projects," "forecasts," "will" and similar
expressions, and references to guidance, are intended to identify
forward-looking statements. Such statements are based on
management's current assumptions and expectations and no assurances
can be given that our assumptions or expectations will prove to be
correct. A number of important risk factors could cause actual
results to differ materially from the results described, implied or
projected in any forward-looking statements. These factors include,
without limitation: (1) markets into which we sell our products
declining or not growing as anticipated; (2) fluctuations in the
global economic and political environments; (3) our failure to
introduce new products in a timely manner; (4) our ability to
execute acquisitions and divestitures, license technologies, or to
successfully integrate acquired businesses or licensed technologies
into our existing businesses or to make them profitable; (5) our
ability to compete effectively; (6) fluctuation in our quarterly
operating results and our ability to adjust our operations to
address unexpected changes; (7) significant disruption in
third-party package delivery and import/export services or
significant increases in prices for those services; (8) disruptions
in the supply of raw materials and supplies; (9) our ability to
retain key personnel; (10) significant disruption in our
information technology systems, or cybercrime; (11) our ability to
realize the full value of our intangible assets; (12) our failure
to adequately protect our intellectual property; (13) the loss of
any of our licenses or licensed rights; (14) the manufacture and
sale of products exposing us to product liability claims; (15) our
failure to maintain compliance with applicable government
regulations; (16) our failure to comply with data privacy and
information security laws and regulations; (17) regulatory changes;
(18) our failure to comply with healthcare industry regulations;
(19) economic, political and other risks associated with foreign
operations; (20) our ability to obtain future financing; (21)
restrictions in our credit agreements; (22) significant
fluctuations in our stock price; (23) reduction or elimination of
dividends on our common stock; and (24) other factors which we
describe under the caption "Risk Factors" in our most recent
quarterly report on Form 10-Q and in our other filings with the
Securities and Exchange Commission. We disclaim any intention or
obligation to update any forward-looking statements as a result of
developments occurring after the date of this press release.
About Revvity
At Revvity, “impossible” is inspiration, and “can’t be done” is
a call to action. Revvity provides health science solutions,
technologies, expertise and services that deliver complete
workflows from discovery to development, and diagnosis to cure.
Revvity is revolutionizing what’s possible in healthcare, with
specialized focus areas in translational multi-omics technologies,
biomarker identification, imaging, prediction, screening, detection
and diagnosis, informatics and more.
With 2024 revenue of more than $2.7 billion and approximately
11,000 employees, Revvity serves customers across pharmaceutical
and biotech, diagnostic labs, academia and governments. It is part
of the S&P 500 index and has customers in more than 160
countries.
Stay updated by following our Newsroom, LinkedIn, X, YouTube,
Facebook and Instagram.
Revvity, Inc. and
Subsidiaries
CONDENSED CONSOLIDATED INCOME
STATEMENTS
Three Months Ended
Twelve Months Ended
(In thousands, except per share
data)
December 29,
2024
December 31,
2023
December 29,
2024
December 31,
2023
Revenue
$
729,372
$
695,901
$
2,755,026
$
2,750,571
Cost of revenue
317,082
312,423
1,217,367
1,210,880
Selling, general and administrative
expenses
244,332
256,723
994,074
1,022,551
Research and development expenses
49,208
49,596
196,844
216,578
Operating income from continuing
operations
118,750
77,159
346,741
300,562
Interest income
(9,828
)
(18,363
)
(73,190
)
(72,131
)
Interest expense
22,781
24,582
96,278
98,813
Change in fair value of financial
securities
6,017
21,079
(7,958
)
33,921
Other expense, net
5,222
18,482
15,485
56,983
Income from continuing operations, before
income taxes
94,558
31,379
316,126
182,976
Provision for (benefit from) income
taxes
6,175
(32,188
)
33,055
3,473
Income from continuing
operations
88,383
63,567
283,071
179,503
Income (loss) from discontinued
operations
6,262
14,996
(12,686
)
513,591
Net income
$
94,645
$
78,563
$
270,385
$
693,094
Diluted earnings per share:
Income from continuing operations
$
0.73
$
0.52
$
2.30
$
1.44
Income (loss) from discontinued
operations
0.05
0.12
(0.10
)
4.11
Net income
$
0.78
$
0.64
$
2.20
$
5.55
Weighted average diluted shares of common
stock outstanding
121,581
123,412
122,822
124,812
ABOVE PREPARED IN ACCORDANCE WITH
GAAP
Additional supplemental
information(1):
(per share, continuing operations)
GAAP EPS from continuing operations
$
0.73
$
0.52
$
2.30
$
1.44
Amortization of intangible assets
0.72
0.73
2.93
2.93
Debt extinguishment costs
-
(0.00
)
-
(0.03
)
Purchase accounting adjustments
(0.06
)
0.02
(0.00
)
0.05
Acquisition and divestiture-related
costs
0.03
0.08
0.16
0.71
Change in fair value of financial
securities
0.05
0.17
(0.06
)
0.27
Asset impairment
0.19
-
0.19
-
Significant litigation matters and
settlements
0.01
0.00
0.06
0.00
Significant environmental matters
-
0.01
-
0.02
Mark to market on postretirement
benefits
0.01
0.08
0.01
0.08
Restructuring and other, net
(0.04
)
0.09
0.14
0.21
Tax on above items
(0.21
)
(0.29
)
(0.83
)
(1.02
)
Significant tax items
-
(0.14
)
-
(0.01
)
Adjusted EPS from continuing
operations
$
1.42
$
1.25
$
4.90
$
4.65
(1) amounts may not sum due to
rounding
Revvity, Inc. and
Subsidiaries
REVENUE AND OPERATING INCOME
(LOSS)
Three Months Ended
Twelve Months Ended
(In thousands, except
percentages)
December 29,
2024
December 31,
2023
December 29,
2024
December 31,
2023
Adjusted revenue and operating
income
Reported revenue
$
729,372
$
695,901
$
2,755,026
$
2,750,571
Revenue purchase accounting
adjustments
208
209
829
827
Adjusted revenue
$
729,580
$
696,110
$
2,755,855
$
2,751,398
Reported operating income from continuing
operations
$
118,750
$
77,159
$
346,741
$
300,562
OP%
16.3
%
11.1
%
12.6
%
10.9
%
Amortization of intangible assets
87,876
89,624
359,376
365,113
Purchase accounting adjustments
(7,427
)
2,899
(79
)
5,956
Acquisition and divestiture-related
costs
3,264
10,079
25,379
69,159
Asset impairment
22,814
—
22,814
—
Significant litigation matters and
settlements
689
12
7,775
12
Significant environmental matters
—
1,325
—
2,457
Restructuring and other, net
(4,665
)
10,665
17,454
26,601
Adjusted operating income
$
221,301
$
191,763
$
779,460
$
769,860
OP%
30.3
%
27.5
%
28.3
%
28.0
%
Segment revenue and segment operating
income
Life Sciences
$
336,340
$
319,691
$
1,254,145
$
1,292,340
Diagnostics
393,240
376,419
1,501,710
1,459,058
Revenue purchase accounting
adjustments
(208
)
(209
)
(829
)
(827
)
Reported revenue
$
729,372
$
695,901
$
2,755,026
$
2,750,571
Life Sciences
$
130,916
$
117,939
$
448,021
$
489,349
38.9
%
36.9
%
35.7
%
37.9
%
Diagnostics
98,414
79,514
373,193
320,928
25.0
%
21.1
%
24.9
%
22.0
%
Corporate
(8,029
)
(5,690
)
(41,754
)
(40,417
)
Subtotal reportable segments operating
income
221,301
191,763
779,460
769,860
Amortization of intangible assets
(87,876
)
(89,624
)
(359,376
)
(365,113
)
Purchase accounting adjustments
7,427
(2,899
)
79
(5,956
)
Acquisition and divestiture-related
costs
(3,264
)
(10,079
)
(25,379
)
(69,159
)
Asset impairment
(22,814
)
—
(22,814
)
—
Significant litigation matters and
settlements
(689
)
(12
)
(7,775
)
(12
)
Significant environmental matters
—
(1,325
)
—
(2,457
)
Restructuring and other, net
4,665
(10,665
)
(17,454
)
(26,601
)
Reported operating income from continuing
operations
$
118,750
$
77,159
$
346,741
$
300,562
REPORTED REVENUE AND REPORTED
OPERATING INCOME (LOSS) PREPARED IN ACCORDANCE WITH GAAP
Revvity, Inc. and
Subsidiaries
CONDENSED CONSOLIDATED BALANCE
SHEETS
(In thousands)
December 29,
2024
December 31,
2023
Current assets:
Cash and cash equivalents
$
1,163,396
$
913,163
Marketable securities
—
689,916
Accounts receivable, net
632,400
632,811
Inventories, net
367,587
428,062
Other current assets
186,225
337,139
Total current assets
2,349,608
3,001,091
Property, plant and equipment, net
482,217
509,654
Operating lease right-of-use assets,
net
167,716
155,083
Intangible assets, net
2,640,921
3,022,321
Goodwill
6,463,619
6,533,550
Other assets, net
288,397
342,966
Total assets
$
12,392,478
$
13,564,665
Current liabilities:
Current portion of long-term debt
$
242
$
721,872
Accounts payable
167,463
204,121
Accrued expenses and other current
liabilities
485,395
524,470
Total current liabilities
653,100
1,450,463
Long-term debt
3,150,476
3,177,770
Long-term liabilities
770,523
930,946
Operating lease liabilities
151,505
132,747
Total liabilities
4,725,604
5,691,926
Total stockholders' equity
7,666,874
7,872,739
Total liabilities and stockholders'
equity
$
12,392,478
$
13,564,665
PREPARED IN ACCORDANCE WITH
GAAP
Revvity, Inc. and
Subsidiaries
CONSOLIDATED STATEMENTS OF
CASH FLOWS
Three Months Ended
Twelve Months Ended
(In thousands)
December 29,
2024
December 31,
2023
December 29,
2024
December 31,
2023
Operating activities:
Net income
$
94,645
$
78,563
$
270,385
$
693,094
(Income) loss from discontinued
operations, net of income taxes
(6,262
)
(14,996
)
12,686
(513,591
)
Income from continuing operations
88,383
63,567
283,071
179,503
Adjustments to reconcile income from
continuing operations to net cash provided by continuing
operations:
Stock-based compensation
5,053
7,181
37,809
41,410
Restructuring and other, net
(4,665
)
10,665
17,454
26,601
Depreciation and amortization
105,033
105,568
427,849
431,769
Pension and other postretirement
expenses
9,381
23,089
9,381
23,089
Change in fair value of contingent
consideration
(7,875
)
2,450
(1,869
)
4,168
Deferred taxes
(102,232
)
(123,664
)
(102,232
)
(123,664
)
Contingencies and non-cash tax matters
(8,073
)
26,183
(8,073
)
26,183
Amortization of deferred debt financing
costs and
accretion of discounts
1,022
1,549
6,073
7,349
Change in fair value of financial
securities
6,017
21,079
(7,958
)
33,921
Debt extinguishment gain
—
(263
)
—
(3,685
)
Unrealized foreign exchange loss
(gain)
4
410
(1,059
)
24,089
Asset impairment
22,814
—
22,814
—
Changes in assets and liabilities which
provided (used) cash, excluding effects from companies
acquired:
Accounts receivable, net
(49,260
)
21,916
(15,969
)
(8,997
)
Inventories, net
18,269
20,725
45,086
(14,109
)
Accounts payable
(1,243
)
8,968
(26,025
)
(76,426
)
Accrued expenses and other
92,839
31,181
(21,397
)
(291,814
)
Net cash provided by operating
activities of continuing operations
175,467
220,604
664,955
279,387
Net cash used in operating activities
of discontinued operations
(1,237
)
(23,991
)
(36,656
)
(188,115
)
Net cash provided by operating
activities
174,230
196,613
628,299
91,272
Investing activities:
Capital expenditures
(24,454
)
(24,116
)
(86,648
)
(81,368
)
Purchases of investments and notes
receivables
(2,250
)
(300
)
(6,587
)
(6,300
)
Proceeds from investments and notes
receivables
—
—
2,500
—
Purchases of U.S. Treasury Securities
—
(390,390
)
—
(1,221,609
)
Proceeds from U.S. Treasury Securities
—
—
710,000
550,000
Proceeds from disposition of businesses
and assets
—
—
—
153
Cash paid for acquisitions, net of cash
acquired
—
—
—
(2,086
)
Net cash (used in) provided by
investing activities of continuing operations
(26,704
)
(414,806
)
619,265
(761,210
)
Net cash provided by investing
activities of discontinued operations
9,375
—
156,897
2,074,734
Net cash (used in) provided by
investing activities
(17,329
)
(414,806
)
776,162
1,313,524
Financing Activities:
Payments of debt financing costs
—
—
—
(15
)
Payments of senior unsecured notes
—
(5,835
)
(711,479
)
(523,808
)
Net (payments) proceeds on other credit
facilities
(822
)
(895
)
(11,593
)
6,323
Payments for acquisition-related
contingent consideration
—
—
(8,832
)
(10,117
)
Proceeds from issuance of common stock
under stock
plans
1,528
623
7,701
4,344
Purchases of common stock
(185,157
)
(4,868
)
(369,578
)
(388,882
)
Dividends paid
(8,539
)
(8,639
)
(34,454
)
(34,966
)
Net cash used in financing activities
of continuing operations
(192,990
)
(19,614
)
(1,128,235
)
(947,121
)
Effect of exchange rate changes on cash,
cash equivalents, and restricted cash
(30,267
)
14,222
(26,147
)
(14,048
)
Net (decrease) increase in cash, cash
equivalents, and restricted cash
(66,356
)
(223,585
)
250,079
443,627
Cash, cash equivalents, and restricted
cash at beginning of period
1,230,808
1,137,958
914,373
470,746
Cash, cash equivalents, and restricted
cash at end of period
$
1,164,452
$
914,373
$
1,164,452
$
914,373
Supplemental disclosure of cash flow
information:
Reconciliation of cash, cash equivalents
and restricted cash reported within the consolidated balance sheets
that sum to the total shown in the consolidated statements of cash
flows:
Cash and cash equivalents
$
1,163,396
$
913,163
$
1,163,396
$
913,163
Restricted cash included in other current
assets
1,056
1,210
1,056
1,210
Total cash, cash equivalents and
restricted cash
$
1,164,452
$
914,373
$
1,164,452
$
914,373
PREPARED IN ACCORDANCE WITH
GAAP
Revvity, Inc. and
Subsidiaries
RECONCILIATION OF GAAP TO
NON-GAAP FINANCIAL MEASURES (1)
Continuing Operations
Three Months Ended
December
29, 2024
Organic revenue growth:
Reported revenue growth from continuing
operations
5%
Less: effect of foreign exchange rates
-1%
Less: effect of acquisitions including
purchase accounting adjustments and impact of divested
businesses
0%
Organic revenue growth from continuing
operations
6%
Life Sciences
Three Months Ended
December
29, 2024
Organic revenue growth:
Reported revenue growth from continuing
operations
5%
Less: effect of foreign exchange rates
0%
Less: effect of acquisitions including
purchase accounting adjustments and impact of divested
businesses
0%
Organic revenue growth from continuing
operations
5%
Diagnostics
Three Months Ended
December
29, 2024
Organic revenue growth:
Reported revenue growth from continuing
operations
4%
Less: effect of foreign exchange rates
-1%
Less: effect of acquisitions including
purchase accounting adjustments and impact of divested
businesses
0%
Organic revenue growth from continuing
operations
6%
(1) amounts may not sum due to
rounding
Revvity, Inc. and
Subsidiaries
RECONCILIATION OF GAAP TO
NON-GAAP FINANCIAL MEASURES (1)
Continuing Operations
Twelve Months Ended
December
29, 2024
Organic revenue growth:
Reported revenue growth from continuing
operations
0%
Less: effect of foreign exchange rates
0%
Less: effect of acquisitions including
purchase accounting adjustments and impact of divested
businesses
0%
Organic revenue growth from continuing
operations
1%
Life Sciences
Twelve Months Ended
December
29, 2024
Organic revenue growth:
Reported revenue growth from continuing
operations
-3%
Less: effect of foreign exchange rates
0%
Less: effect of acquisitions including
purchase accounting adjustments and impact of divested
businesses
0%
Organic revenue growth from continuing
operations
-3%
Diagnostics
Twelve Months Ended
December
29, 2024
Organic revenue growth:
Reported revenue growth from continuing
operations
3%
Less: effect of foreign exchange rates
-1%
Less: effect of acquisitions including
purchase accounting adjustments and impact of divested
businesses
0%
Organic revenue growth from continuing
operations
4%
(1) amounts may not sum due to
rounding
Explanation of Non-GAAP Financial Measures
We report our financial results in accordance with GAAP.
However, management believes that, in order to more fully
understand our short-term and long-term financial and operational
trends, investors may wish to consider the impact of certain
non-cash, non-recurring or other items, which result from facts and
circumstances that vary in frequency and impact on continuing
operations. Accordingly, we present non-GAAP financial measures as
a supplement to the financial measures we present in accordance
with GAAP. These non-GAAP financial measures provide management
with additional means to understand and evaluate the operating
results and trends in our ongoing business by adjusting for certain
non-cash expenses and other items that management believes might
otherwise make comparisons of our ongoing business with prior
periods more difficult, obscure trends in ongoing operations, or
reduce management's ability to make useful forecasts. Management
believes these non-GAAP financial measures provide additional means
of evaluating period-over-period operating performance. In
addition, management understands that some investors and financial
analysts find this information helpful in analyzing our financial
and operational performance and comparing this performance to our
peers and competitors.
We use the term “adjusted revenue” to refer to GAAP revenue,
including purchase accounting adjustments for revenue from
contracts acquired in acquisitions that will not be fully
recognized due to accounting rules. We use the related term
“adjusted revenue growth” to refer to the measure of comparing
current period adjusted revenue with the corresponding period of
the prior year.
We use the term “organic revenue” to refer to GAAP revenue,
excluding the effect of foreign currency changes and revenue from
recent acquisitions and divestitures and including purchase
accounting adjustments for revenue from contracts acquired in
acquisitions that will not be fully recognized due to accounting
rules. We use the related term “organic revenue growth” or "organic
growth" to refer to the measure of comparing current period organic
revenue with the corresponding period of the prior year.
We use the term “adjusted gross margin” to refer to GAAP gross
margin, excluding amortization of intangible assets and inventory
fair value adjustments related to business acquisitions, asset
impairments, and including purchase accounting adjustments for
revenue from contracts acquired in acquisitions that will not be
fully recognized due to business combination accounting rules. We
use the related term “adjusted gross margin percentage” to refer to
adjusted gross margin as a percentage of adjusted revenue.
We use the term “adjusted SG&A expense” to refer to GAAP
SG&A expense, excluding amortization of intangible assets,
purchase accounting adjustments, acquisition and
divestiture-related expenses, significant litigation matters and
settlements, asset impairments, significant environmental charges,
and restructuring and other charges. We use the related term
“adjusted SG&A percentage” to refer to adjusted SG&A
expense as a percentage of adjusted revenue.
We use the term “adjusted R&D expense” to refer to GAAP
R&D expense, excluding amortization of intangible assets and
purchase accounting adjustments. We use the related term “adjusted
R&D percentage” to refer to adjusted R&D expense as a
percentage of adjusted revenue.
We use the term “adjusted net interest and other expense” to
refer to GAAP net interest and other expense, excluding adjustments
for mark-to-market accounting on post-retirement benefits, changes
in foreign exchange and interest associated with acquisitions and
divestitures, changes in the value of financial securities and debt
extinguishment costs.
We use the term “adjusted operating income” to refer to GAAP
operating income, including revenue from contracts acquired in
acquisitions that will not be fully recognized due to accounting
rules, and excluding amortization of intangible assets, other
purchase accounting adjustments, acquisition and
divestiture-related expenses, significant litigation matters and
settlements, significant environmental charges, asset impairments,
and restructuring and other charges. We use the related terms
“adjusted operating profit percentage,” “adjusted operating profit
margin,” and “adjusted operating margin” to refer to adjusted
operating income as a percentage of adjusted revenue.
We use the term “free cash flow” to refer net cash provided by
(used in) operating activities of 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”).
We use the term “adjusted net income,” to refer to GAAP income
from continuing operations, including revenue from contracts
acquired in acquisitions that will not be fully recognized due to
accounting rules, and excluding amortization of intangible assets,
debt extinguishment costs, other purchase accounting adjustments,
acquisition and divestiture-related expenses, significant
litigation matters and settlements, significant environmental
charges, changes in the value of financial securities, disposition
of businesses and assets, net, changes in foreign exchange and
interest associated with acquisitions and divestitures, asset
impairments and restructuring and other charges. We also exclude
adjustments for mark-to-market accounting on post-retirement
benefits, therefore only our projected costs have been used to
calculate this non-GAAP measure. We also adjust for any tax impact
related to the above items and exclude the impact of significant
tax events.
We use the term “adjusted earnings per share from continuing
operations”, “adjusted earnings per share,” “adjusted EPS," or
"adjusted EPS from continuing operations" to refer to GAAP earnings
per share from continuing operations, including revenue from
contracts acquired in acquisitions that will not be fully
recognized due to accounting rules, and excluding amortization of
intangible assets, debt extinguishment costs, other purchase
accounting adjustments, acquisition and divestiture-related
expenses, significant litigation matters and settlements,
significant environmental charges, changes in the value of
financial securities, disposition of businesses and assets, net,
changes in foreign exchange and interest associated with
acquisitions and divestitures, asset impairments and restructuring
and other charges. We also exclude adjustments for mark-to-market
accounting on post-retirement benefits, therefore only our
projected costs have been used to calculate this non-GAAP measure.
We also adjust for any tax impact related to the above items and
exclude the impact of significant tax events.
Management includes or excludes the effect of each of the items
identified below in the applicable non-GAAP financial measure
referenced above for the reasons set forth below with respect to
that item:
- Amortization of intangible
assets—purchased intangible assets are amortized over their
estimated useful lives and generally cannot be changed or
influenced by management after the acquisition. Accordingly, this
item is not considered by management in making operating decisions.
Management does not believe such charges accurately reflect the
performance of our ongoing operations for the period in which such
charges are incurred.
- Debt extinguishment costs—we incur
costs and income related to the extinguishment of debt; including
make-whole payments to debt holders, accelerated amortization of
debt fees and discounts, and expense or income from hedges to lock
in make-whole payments. We exclude the impact of these items from
our non-GAAP measures because we believe they do not reflect the
performance of our ongoing operations.
- Revenue from contracts acquired in
acquisitions that will not be fully recognized due to accounting
rules—accounting rules require us to account for the fair
value of revenue from contracts assumed in connection with our
acquisitions. As a result, our GAAP results reflect the fair value
of those revenues, which is not the same as the revenue that
otherwise would have been recorded by the acquired entity. We
include such revenue in our non-GAAP measures because we believe
the fair value of such revenue does not accurately reflect the
performance of our ongoing operations for the period in which such
revenue is recorded.
- Other purchase accounting
adjustments—accounting rules require us to adjust various
balance sheet accounts, including inventory, fixed assets and
deferred rent balances to fair value at the time of the
acquisition. As a result, the expenses for these items in our GAAP
results are not the same as what would have been recorded by the
acquired entity. Accounting rules also require us to estimate the
fair value of contingent consideration at the time of the
acquisition, and any subsequent changes to the estimate or payment
of the contingent consideration and purchase accounting adjustments
are charged to expense or income. We exclude the impact of any
changes to contingent consideration from our non-GAAP measures
because we believe these expenses or benefits do not accurately
reflect the performance of our ongoing operations for the period in
which such expenses or benefits are recorded.
- Acquisition and divestiture-related
expenses—we incur legal, due diligence, stay bonuses,
incentive awards, stock-based compensation, interest, foreign
exchange gains and losses, integration expenses, rebranding
expenses, and other costs related to acquisitions and divestitures.
We exclude these expenses from our non-GAAP measures because we
believe they do not reflect the performance of our ongoing
operations.
- Asset impairments—we incur expense
related to asset impairments. Management does not believe such
charges accurately reflect the performance of our ongoing
operations for the periods in which such charges were
incurred.
- Restructuring and other
charges—restructuring and other charges consist of employee
severance, other exit costs as well as the cost of terminating
certain lease agreements or contracts as well as costs associated
with relocating facilities. Management does not believe such costs
accurately reflect the performance of our ongoing operations for
the period in which such costs are reported.
- Adjustments for mark-to-market accounting
on post-retirement benefits—we exclude adjustments for
mark-to-market accounting on post-retirement benefits, and
therefore only our projected costs are used to calculate our
non-GAAP measures. We exclude these adjustments because they do not
represent what we believe our investors consider to be costs of
producing our products, investments in technology and production,
and costs to support our internal operating structure.
- Significant litigation matters and
settlements—we incur expenses related to significant
litigation matters, including the costs to settle or resolve
various claims and legal proceedings. Management does not believe
such charges accurately reflect the performance of our ongoing
operations for the periods in which such charges were
incurred.
- Significant environmental
charges—we incur expenses related to significant
environmental charges. Management does not believe such charges
accurately reflect the performance of our ongoing operations for
the periods in which such charges were incurred.
- Disposition of businesses and assets,
net—we exclude the impact of gains or losses from the
disposition of businesses and assets from our adjusted earnings per
share. Management does not believe such gains or losses accurately
reflect the performance of our ongoing operations for the period in
which such gains or losses are reported.
- Impact of foreign currency changes on the
current period—we exclude the impact of foreign currency
associated with acquisitions and divestitures from these measures
by using the prior period’s foreign currency exchange rates for the
current period because foreign currency exchange rates are subject
to volatility and can obscure underlying trends.
- Impact of significant tax
events—we exclude the impact of significant tax events.
Management does not believe the impact of significant tax events
accurately reflects the performance of our ongoing operations for
the periods in which the impact of such events was recorded.
- Changes in value of financial
securities—we exclude the impact of changes in the value of
financial securities. Management does not believe such gains or
losses accurately reflect the performance of our ongoing operations
for the period in which such gains or losses are reported.
The tax effect for discontinued operations is calculated based
on the authoritative guidance in the Financial Accounting Standards
Board’s Accounting Standards Codification 740, Income Taxes. The
tax effect for amortization of intangible assets, inventory fair
value adjustments related to business acquisitions, changes to the
fair values assigned to contingent consideration, debt
extinguishment costs, other costs related to business acquisitions
and divestitures, significant litigation matters and settlements,
significant environmental charges, changes in the fair value of
financial securities, adjustments for mark-to-market accounting on
post-retirement benefits, disposition of businesses and assets,
net, restructuring and other charges, and the revenue from
contracts acquired with various acquisitions is calculated based on
operational results and applicable jurisdictional law, which
contemplates tax rates currently in effect to determine our tax
provision. The tax effect for the impact from foreign currency
exchange rates on the current period is calculated based on the
average rate currently in effect to determine our tax
provision.
The non-GAAP financial measures described above are not meant to
be considered superior to, or a substitute for, our financial
statements prepared in accordance with GAAP. There are material
limitations associated with non-GAAP financial measures because
they exclude charges that have an effect on our reported results
and, therefore, should not be relied upon as the sole financial
measures by which to evaluate our financial results. Management
compensates and believes that investors should compensate for these
limitations by viewing the non-GAAP financial measures in
conjunction with the GAAP financial measures. In addition, the
non-GAAP financial measures included in this earnings announcement
may be different from, and therefore may not be comparable to,
similar measures used by other companies.
Each of the non-GAAP financial measures listed above is also
used by our management to evaluate our operating performance,
communicate our financial results to our Board of Directors,
benchmark our results against our historical performance and the
performance of our peers, evaluate investment opportunities
including acquisitions and discontinued operations, and determine
the bonus payments for senior management and employees.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20250131866226/en/
Investor Relations: Steve Willoughby
steve.willoughby@revvity.com
Media Relations: Chet Murray (781) 462-5126
chet.murray@revvity.com
Grafico Azioni Revvity (NYSE:RVTY)
Storico
Da Gen 2025 a Feb 2025
Grafico Azioni Revvity (NYSE:RVTY)
Storico
Da Feb 2024 a Feb 2025
