Ecolab Inc. (NYSE:ECL) Q2 2024 Earnings Conference Call July 30, 2024 1:00 PM ET Company Participants Andy Hedberg - Vice President, Investor Relations Christophe Beck - Chairman & Chief Executive Officer Scott Kirkland - Chief Financial Officer Conference Call Participants Tim Mulrooney - William Blair Ashish Sabadra - RBC Capital Markets Ronan Kennedy - Barclays John Roberts - Mizuho Securities Lucas Beaumont - UBS Chris Parkinson - Wolfe Research John McNulty - BMO Capital Markets Jeff Zekauskas - JPMorg ...

Ecolab Inc. (ECL) reported second-quarter 2024 adjusted earnings per share (EPS) of $1.68, up 35.5% year over year. The bottom line exceeded the Zacks Consensus Estimate by 1.2%. The year-over-year uptick in the second-quarter organic sales was driven by strong growth in the Institutional & Specialty and Pest Elimination segments and modest growth in the Industrial segment. Effective in the first quarter of 2024, Ecolab has modified its segment reporting, where Global Pest Elimination is now a standalone re ...

ECOLAB Second Quarter 2024 Supplemental Forward-Looking Information This communication contains forward looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements regarding delivered product costs, and demand; our financial and business performance and prospects, including sales, earnings, margins, pricing, volume, productivity, new business, and investments; the opportunities, savings and c ...

For the quarter ended June 2024, Ecolab (ECL) reported revenue of $3.99 billion, up 3.5% over the same period last year. EPS came in at $1.68, compared to $1.24 in the year-ago quarter. The reported revenue compares to the Zacks Consensus Estimate of $4.03 billion, representing a surprise of -1.22%. The company delivered an EPS surprise of +1.20%, with the consensus EPS estimate being $1.66. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they comp ...

Core Insights - Ecolab reported quarterly earnings of $1.68 per share, exceeding the Zacks Consensus Estimate of $1.66 per share, and showing an increase from $1.24 per share a year ago, resulting in an earnings surprise of 1.20% [1] - The company posted revenues of $3.99 billion for the quarter ended June 2024, which was below the Zacks Consensus Estimate by 1.22%, but an increase from $3.85 billion year-over-year [2] - Ecolab's stock has increased approximately 25% since the beginning of the year, outperforming the S&P 500's gain of 14.5% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.78 on revenues of $4.1 billion, and for the current fiscal year, it is $6.58 on revenues of $15.98 billion [6] - The estimate revisions trend for Ecolab is mixed, leading to a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [5] Industry Context - The Chemical - Specialty industry, to which Ecolab belongs, is currently in the top 40% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [7] - Another company in the same industry, Valvoline, is expected to report quarterly earnings of $0.49 per share, reflecting a year-over-year increase of 14%, with revenues projected at $422.41 million, up 12.3% from the previous year [8][9]

Exhibit 99.1 News Release Investor Contact: Media Contact: Andrew Hedberg (651) 250-2185 Nigel Glennie (651) 250-2576 Cairn Clark (651) 250-2291 ST. PAUL, Minn., July 30, 2024 ECOLAB DELIVERS CONTINUED STRONG PERFORMANCE IN THE SECOND QUARTER REPORTED DILUTED EPS $1.71; ADJUSTED DILUTED EPS $1.68, +35% INCREASED 2024 ADJUSTED DILUTED EPS OUTLOOK: $6.50 - $6.70, +25% - 29% SECOND QUARTER HIGHLIGHTS OUTLOOK | | | | Second Quarter Ended June 30 | | | | | --- | --- | --- | --- | --- | --- | --- | | | Reported | ...

Core Insights - Ecolab (ECL) is expected to report quarterly earnings of $1.66 per share, reflecting a 33.9% increase year-over-year, with revenues projected at $4.03 billion, a 4.7% increase from the previous year [1] Earnings Estimates - Over the last 30 days, the consensus EPS estimate has been revised upward by 0.1%, indicating analysts' reassessment of their forecasts [2] - Revisions to earnings estimates are significant indicators for predicting investor actions regarding the stock [3] Sales Projections - The consensus estimate for 'Sales- Global Healthcare and Life Sciences (Fixed currency)' is $397.17 million, showing a 1.6% increase from the prior year [5] - 'Sales- Global Industrial (Public Currency rates)' is expected to reach $1.96 billion, indicating an 8.3% year-over-year increase [5] - 'Sales- Global Institutional & Specialty (Public Currency rates)' is projected at $1.39 billion, reflecting a 9.1% increase from the previous year [6] - 'Sales- Other (Fixed currency)' is estimated at $277.79 million, indicating a 23.4% decrease year-over-year [6] - 'Sales- Other (Public Currency rates)' is expected to be $294.25 million, showing a 19.1% decline from the prior year [6] - 'Sales- Global Industrial (Fixed currency)' is projected at $1.93 billion, reflecting a 7.5% increase year-over-year [7] - 'Sales- Global Institutional & Specialty (Fixed currency)' is expected to reach $1.35 billion, indicating a 6.3% increase from the previous year [7] - 'Sales- Global Healthcare & Life Sciences (Public Currency rates)' is projected at $397.64 million, reflecting a 2.6% increase year-over-year [8] Operating Income Estimates - 'Operating Income- Global Healthcare and Life Sciences (Fixed currency)' is expected to be $41.15 million, up from $33.30 million in the same quarter last year [8] - 'Operating Income- Other (Public Currency rates)' is projected at $58.41 million, down from $63.50 million in the previous year [9] - 'Operating Income- Global Institutional & Specialty (Public Currency rates)' is expected to be $292.62 million, up from $209.20 million in the same quarter last year [9] - 'Operating Income- Global Industrial (Fixed currency)' is projected at $323.46 million, compared to $255.40 million in the previous year [10] Stock Performance - Ecolab shares have increased by 1.7% over the past month, contrasting with a -1.2% change in the Zacks S&P 500 composite [10]

Effective in the first quarter of 2024, Ecolab has modified its segment reporting, where Global Pest Elimination is now a standalone reportable segment. This is expected to provide improved transparency on this high-growth and high-margin business. The Global Industrial segment, comprising the Water, Food & Beverage, Paper and Downstream units, witnessed a sales uptick in the first quarter of 2024. Per the company's first-quarter earnings call in April, the Global Industrial segment has made good underlying ...

Core Insights - BioProcess360 Partners has launched a new investment fund aimed at supporting businesses in the bioprocessing sector, particularly focusing on traditional monoclonal antibodies (mAbs) and newer drug modalities [1] - The fund combines investment capital with support from industry experts and connections to leading global biopharmaceutical companies to address R&D and commercialization challenges [1][2] - The founding partners bring significant experience, including Chris Major's leadership in the Purolite Bioprocessing division, which was acquired for $3.7 billion by Ecolab in 2021 [1] Investment Focus - The fund emphasizes a hands-on, collaborative approach to bioprocessing, filling a market gap for specialized operating partners in this field [3] - BioProcess360 Partners is positioned to make quick investments due to its deep expertise in bioprocessing, allowing for rapid support to businesses [3] Expert Support - The team consists of 14 subject matter experts who provide strategic, operational, and technical guidance across various areas, including R&D, manufacturing, regulatory compliance, and commercial operations [2] - The goal is to offer practical, hands-on support to innovative bioprocessing technologies, ultimately benefiting patients [5] Industry Challenges - Businesses in the bioprocessing space often face challenges due to a lack of access to industry experience and knowledge necessary for navigating growth challenges [4] - BioProcess360 Partners aims to mitigate these challenges by providing direct access to experienced industry experts [5]

It has been about a month since the last earnings report for Ecolab (ECL) . Shares have added about 0.5% in that time frame, underperforming the S&P 500. Will the recent positive trend continue leading up to its next earnings release, or is Ecolab due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts. Ecolab Q1 Earnings Surpass Estimates, Margins Rise Ec ...