If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Revvity (RVTY) . This company, which is in the Zacks Medical Services industry, shows potential for another earnings beat.When looking at the last two reports, this maker of scientific instruments has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 4.81%, on average, in the last t ...

Key Takeaways RVTY projects Q2 revenues of $700M-$715M and EPS of $1.13-$1.15 amid tariff-related margin pressure.RVTY's Diagnostics gains are driven by immunodiagnostics strength and Genomics England collaboration.RVTY's Life Sciences growth is led by Signals Software, offsetting weak academic demand for instruments.Revvity, Inc. (RVTY) is slated to report second-quarter 2025 results on July 28, before market open.In the last reported quarter, the company delivered an earnings surprise of 5.21%. RVTY’s ear ...

Wall Street analysts expect Revvity (RVTY) to post quarterly earnings of $1.14 per share in its upcoming report, which indicates a year-over-year decline of 6.6%. Revenues are expected to be $711.27 million, up 2.8% from the year-ago quarter. Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period. Before a company announces its earnings, it is essential to take ...

Revvity (RVTY) is expected to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended June 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on July 28, might help the stock move higher if these key numbers are better than expectations. On ...

Revvity (RVTY) FY Conference Summary Company Overview - **Company**: Revvity (formerly PerkinElmer) - **Industry**: Life Sciences Tools and Diagnostics Key Points and Arguments Market Environment and Company Adaptation - The current market is dynamic with uncertainties due to policy changes, tariffs, and challenges in pharma, biotech, and academia sectors [3][4][5] - Revvity's diverse portfolio has demonstrated resilience amidst these challenges, with 60% of revenue now coming from diagnostics and software [4][5][8] Financial Performance and Growth - Revvity's growth rate is at the top end of its publicly traded peer group, with a long-range plan (LRP) growth target of 6-8%, compared to 3-5% previously [4][7] - The company has shifted to a recurring revenue model, with over 80% of revenue now from recurring sources, improving margins from 18-20% to 28% [7][8] - Organic growth guidance for the year is set at 3-5%, with confidence in achieving this despite market uncertainties [9][12] Life Sciences Segment Challenges - The life sciences segment faces challenges due to funding shifts towards clinical work, impacting preclinical discovery [14][15] - Revvity's differentiated product portfolio in consumables is expected to maintain growth despite these challenges [15][20] Software Business - Revvity's software business is unique, functioning as an ERP for researchers, with 48 out of the top 50 pharma companies using its software [26][28] - The software segment is expected to grow significantly, contributing to overall margin improvement [56] Diagnostics and Growth Opportunities - Immunodiagnostics represent a significant growth opportunity in the U.S., with current market penetration at 15-20% compared to a historical 35-40% [30][31] - The company is focusing on expanding its offerings in reproductive health and rare disease testing, leveraging partnerships for growth [40][41] Competitive Landscape in China - Revvity faces intense competition in China, but differentiates itself through proprietary assays and a focus on complex diseases [35][36] - The company is adapting to local market conditions and regulatory environments to maintain growth and profitability [36][39] Capital Allocation and M&A Strategy - Revvity has been active in M&A, completing 13 acquisitions in 22 months to enhance its portfolio [60][62] - Current capital allocation focuses on share buybacks, with a balanced approach to future M&A opportunities [64][68] Long-term Outlook - The company aims for mid-30s operating margins in a normalized market environment, with equal opportunities for margin expansion across life sciences and diagnostics [54][56] - Revvity's strong portfolio and execution strategy position it well for long-term growth despite current macroeconomic challenges [72][74] Additional Important Insights - The company emphasizes innovation and automation in its product offerings to enhance researcher productivity, especially in a budget-constrained environment [47] - Revvity's software and diagnostics segments are seen as critical to its long-term success, with ongoing efforts to improve customer stickiness and market penetration [25][28][70]

Revvity, Inc. (RVTY) announced the launch of its new IDS i20 analytical random-access platform from EUROIMMUN. Per management, it is expected to enable full automation of chemiluminescence immunoassays (ChLIA).The IDS i20 instrument is equipped with the ability to process up to 140 tests per hour (assay dependent) and is the latest addition to RVTY’s well-established IDS i-device series.The latest product availability is expected to boost Revvity’s Immunodiagnostics product line under the broader Diagnostic ...

Revvity (RVTY) 2025 Conference Summary Company Overview - **Company**: Revvity (RVTY) - **Date**: May 13, 2025 - **Industry**: Life Sciences Tools and Diagnostics Key Points 1. Q1 Performance and Guidance - The first quarter showed solid performance despite a different macro environment than initially assumed for 2025 guidance [4][5] - The diagnostics and software businesses performed exceptionally well, contributing to the overall strength of the portfolio [4][5] - The company maintained full-year guidance despite a weaker macro backdrop due to prudent initial guidance [5] 2. Tariff Impact and Mitigation Strategies - Gross tariff headwinds were estimated at $135 million, with a net impact of approximately $0.12 on EPS after operational mitigation [6][12] - The majority of tariff impacts are expected in the second quarter, with operational mitigation strategies being implemented [6][12] - The company has a dual manufacturing strategy to enhance supply chain resiliency, including a GMP facility in San Diego and another outside the US [10] 3. Academic and Government Market Exposure - Academic and government customers account for 12% of global revenue, with over 5% in the US [21] - There is cautiousness in these segments due to uncertainties around indirect expense reimbursements and NIH funding levels [22][24] 4. Pharma and Biotech Market Trends - The pharma and biotech sectors showed positive growth in Q1, but there is uncertainty due to macroeconomic factors and tariffs [28] - Instrumentation sales are expected to face continued pressure, particularly from mid and large-sized pharma customers [29][30] 5. Geographic Performance - China represents 16% of total revenue, with diagnostics showing high single-digit growth while life sciences experienced a slight decline [34] - The company anticipates continued choppiness in the China life sciences market but modest growth in diagnostics [34][35] 6. Software Business Strength - The software business is highlighted as a major area of strength, with new product launches and a focus on large molecule capabilities [48][49] - The company is expanding into new customer groups and markets, such as material science, which has shown good traction [49] 7. Margin Expectations and Cost Management - The company expects balanced margin expectations for the year, with temporary belt-tightening measures in place to mitigate tariff impacts [50][51] - There are no plans for additional structural cost reductions, but ongoing monitoring will occur [51] 8. Capital Allocation and M&A Strategy - Revvity has adopted a balanced approach to capital deployment, including share buybacks and selective M&A opportunities [55][56] - The company is cautious about M&A in the current market, noting that private companies are not in a rush to sell despite lower valuations [57][59] 9. Underappreciated Aspects of Revvity - The company’s differentiated portfolio and execution capabilities are not fully recognized in the market [61][62] - There is potential for margin expansion that has yet to be demonstrated due to current market pressures [62][63] 10. Future Outlook - The company remains optimistic about its long-term growth potential, particularly in the reagents business and software capabilities [41][48] - Continued execution and clarity in macroeconomic conditions are essential for demonstrating the company's margin expansion opportunities [63] This summary encapsulates the key insights and data points from the Revvity conference, providing a comprehensive overview of the company's current performance, challenges, and strategic outlook.

Industry Overview - The life sciences industry has faced significant challenges over the past couple of years, with ongoing speculation about an impending recovery since 2023 [1] - Reports of potential recovery indicators have been frequent, but the industry has yet to see a substantial turnaround [1] Analyst Background - The analyst has a decade of experience in hedge fund analysis and has conducted extensive research in Latin American markets, focusing on countries like Mexico, Colombia, and Chile [2] - Specialization includes identifying high-quality compounders and growth stocks at reasonable prices in both the US and developed markets [2]

[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Unaudited Financial Statements](index=4&type=section&id=Item%201.%20Unaudited%20Financial%20Statements) Revvity, Inc. reports total revenues of $664.8 million for the first quarter of 2025, a 2% increase year-over-year, with net income rising to $42.2 million from $26.0 million in the prior year. Diluted EPS from continuing operations was $0.35. The balance sheet remains stable with total assets of $12.36 billion. Cash flow from operations was strong at $128.2 million, though slightly lower than the previous year [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) For the three months ended March 30, 2025, Revvity reported total revenues of $664.8 million, up from $649.9 million in the same period of 2024. Operating income significantly increased to $72.2 million from $44.1 million year-over-year. Net income for the quarter was $42.2 million, or $0.35 per diluted share, compared to $26.0 million, or $0.21 per diluted share, in the prior-year period Q1 2025 vs Q1 2024 Statement of Operations Highlights | Metric | Three Months Ended March 30, 2025 | Three Months Ended March 31, 2024 | Change (%) | | :--- | :--- | :--- | :--- | | **Total Revenue** | $664,762 | $649,920 | +2.3% | | **Operating Income from Continuing Operations** | $72,230 | $44,116 | +63.7% | | **Income from Continuing Operations** | $41,669 | $28,696 | +45.2% | | **Net Income** | $42,237 | $26,013 | +62.4% | | **Diluted EPS (Continuing Operations)** | $0.35 | $0.23 | +52.2% | | **Diluted EPS (Net Income)** | $0.35 | $0.21 | +66.7% | (In thousands, except per share data) [Condensed Consolidated Statements of Comprehensive Income](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) The company reported a comprehensive income of $121.9 million for the first quarter of 2025, a significant turnaround from a comprehensive loss of $22.6 million in the same period of 2024. This change was primarily driven by a positive foreign currency translation adjustment of $79.7 million Q1 2025 vs Q1 2024 Comprehensive Income | Metric | Three Months Ended March 30, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net Income | $42,237 | $26,013 | | Foreign currency translation adjustments | $79,654 | $(48,927) | | **Comprehensive Income (Loss)** | **$121,891** | **$(22,649)** | (In thousands) [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of March 30, 2025, Revvity's balance sheet showed total assets of $12.36 billion, a slight decrease from $12.39 billion at year-end 2024. Cash and cash equivalents stood at $1.14 billion. Total liabilities were stable at $4.72 billion, and total stockholders' equity was $7.64 billion Balance Sheet Highlights | Metric | March 30, 2025 | December 29, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $1,137,620 | $1,163,396 | | Total current assets | $2,317,938 | $2,349,608 | | Goodwill | $6,511,488 | $6,463,619 | | **Total assets** | **$12,360,724** | **$12,392,478** | | Total current liabilities | $648,187 | $653,100 | | Long-term debt | $3,168,384 | $3,150,476 | | **Total liabilities** | **$4,723,594** | **$4,725,604** | | **Total stockholders' equity** | **$7,637,130** | **$7,666,874** | (In thousands) [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the first quarter of 2025, net cash provided by operating activities was $128.2 million, compared to $147.6 million in the prior-year period. Net cash used in investing activities was $6.4 million. Financing activities used $163.7 million, primarily due to $153.6 million in common stock repurchases. The quarter ended with a total cash position of $1.14 billion Q1 2025 vs Q1 2024 Cash Flow Summary | Activity | Three Months Ended March 30, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $128,155 | $147,563 | | Net cash used in investing activities | $(6,378) | $(18,181) | | Net cash used in financing activities | $(163,664) | $(35,013) | | **Net (decrease) increase in cash** | **$(25,765)** | **$85,092** | (In thousands) - The significant increase in cash used for financing activities was driven by common stock repurchases totaling **$153.6 million** in Q1 2025, compared to **$10.8 million** in Q1 2024[22](index=22&type=chunk)[113](index=113&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail the basis of presentation, revenue disaggregation, discontinued operations from the 2023 sale of the Applied, Food and Enterprise Services businesses, and segment reporting changes effective in 2025. Key details include a stock repurchase program with $707.2 million remaining, a quarterly dividend of $0.07 per share, and total debt of $3.17 billion. No goodwill impairment was recorded - Effective at the beginning of fiscal year 2025, the company integrated its Applied Genomics business into the Life Sciences segment. Prior period financial information has been reclassified for consistent comparison[41](index=41&type=chunk)[42](index=42&type=chunk) - During Q1 2025, the company repurchased **1.32 million shares** of common stock for **$150.0 million** under its Repurchase Program. As of March 30, 2025, **$707.2 million** remained available for future repurchases[48](index=48&type=chunk) - The company declared a quarterly cash dividend of **$0.07 per share** for Q1 2025 and subsequently for Q2 2025[51](index=51&type=chunk) - Total long-term debt stood at **$3.17 billion** as of March 30, 2025. In January 2025, the company replaced its credit facility with a new **$1.5 billion** senior unsecured revolving credit facility expiring in 2030[37](index=37&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=22&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management reports a 2% revenue increase to $664.8 million in Q1 2025, driven by growth in both the Diagnostics (3%) and Life Sciences (1%) segments. Gross margin improved by 186 basis points to 56.5% due to higher volume and favorable mix, while operating margin expanded from 7% to 11%. The company highlights investments in new products and digital capabilities, and discusses its liquidity position, including a new $1.5 billion credit facility and an ongoing stock repurchase program [Overview](index=22&type=section&id=Overview) In Q1 2025, Revvity's revenue grew 2% to $664.8 million, with the Diagnostics segment up 3% and Life Sciences up 1%. The growth in Diagnostics was driven by Immunodiagnostics and Reproductive Health, while Life Sciences growth was led by Software revenue. Consolidated gross margins increased by 186 basis points, and operating margins expanded from 7% to 11% year-over-year Q1 2025 Performance Summary | Metric | Q1 2025 vs Q1 2024 | Key Drivers | | :--- | :--- | :--- | | Overall Revenue | +2% ($664.8M) | Growth in both segments | | Diagnostics Segment Revenue | +3% | Increased demand in Immunodiagnostics and Reproductive Health | | Life Sciences Segment Revenue | +1% | Growth in Software, offset by decrease in Life Sciences Solutions | | Gross Margin | +186 bps | Higher sales volume, productivity, favorable product mix | | Operating Margin | 11% (from 7%) | Gross margin expansion and cost containment | [Consolidated Results of Continuing Operations](index=23&type=section&id=Consolidated%20Results%20of%20Continuing%20Operations) Revenue for Q1 2025 increased by 2% to $664.8 million. Cost of revenue decreased by 2%, leading to a gross margin improvement to 56.5%. SG&A expenses fell 4% to $249.7 million, while R&D expenses rose 6% to $53.6 million, reflecting continued investment in innovation. The effective tax rate increased to 20.5% from 16.9% in the prior year - Cost of revenue as a percentage of revenue decreased from **45.4%** to **43.5%**, resulting in a gross margin increase of **186 basis points** to **56.5%**, primarily due to higher sales volume, productivity, and favorable product mix[89](index=89&type=chunk) - The company estimates that recently enacted tariffs could increase its gross cost of revenue by approximately **$135 million** for the fiscal year, but mitigation actions are expected to limit the operating income impact to approximately **$20 million**[90](index=90&type=chunk) - R&D expenses increased by **6%** to **$53.6 million**, representing **8.1%** of revenue, driven by investments in new product development[93](index=93&type=chunk) - The effective tax rate for Q1 2025 was **20.5%**, up from **16.9%** in Q1 2024, primarily due to projected higher income in higher tax rate jurisdictions. The company expects a full-year effective tax rate of approximately **20%**[96](index=96&type=chunk) [Reporting Segment Results of Continuing Operations](index=24&type=section&id=Reporting%20Segment%20Results%20of%20Continuing%20Operations) In Q1 2025, the Life Sciences segment revenue grew 1% to $340.4 million, with operating income up 5% to $105.7 million. The Diagnostics segment revenue increased 3% to $324.4 million, but its operating income decreased 3% to $74.0 million due to investments in growth initiatives Q1 2025 Segment Performance | Segment | Revenue (Q1 2025) | Revenue Change (YoY) | Operating Income (Q1 2025) | Operating Income Change (YoY) | | :--- | :--- | :--- | :--- | :--- | | Life Sciences | $340.4M | +1% | $105.7M | +5% | | Diagnostics | $324.4M | +3% | $74.0M | -3% | - Life Sciences revenue growth was driven by a **$9.0 million** increase in Software revenue, partially offset by a **$5.2 million** decrease in Life Sciences Solutions revenue[97](index=97&type=chunk) - Diagnostics revenue growth was driven by an **$8.9 million** increase in Immunodiagnostics and a **$2.1 million** increase in Reproductive Health[99](index=99&type=chunk) [Liquidity and Capital Resources](index=25&type=section&id=Liquidity%20and%20Capital%20Resources) As of March 30, 2025, Revvity had $1.14 billion in cash and cash equivalents and $1.5 billion available under a new credit facility. The company expects internal operations to fund operating expenses, capital expenditures, and dividends for the foreseeable future. Key uses of cash include debt service, potential acquisitions, and share repurchases under a $1.0 billion program, of which $707.2 million remained available - The company's principal sources of funds are internal operations, a **$1.5 billion** senior unsecured revolving credit facility, and access to debt markets[103](index=103&type=chunk)[104](index=104&type=chunk) - A stock repurchase program authorized up to **$1.0 billion**. As of March 30, 2025, **$707.2 million** remained available for repurchases[106](index=106&type=chunk) - Net cash from operating activities decreased to **$134.1 million** in Q1 2025 from **$150.1 million** in Q1 2024, primarily due to timing of collections and payments[111](index=111&type=chunk) - In January 2025, the company replaced its prior credit facility with a new **$1.5 billion** senior unsecured revolving credit facility available through January 7, 2030[116](index=116&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=27&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to market risks, including changes in interest rates and currency exchange rates. It uses derivative instruments to manage volatility. The company states that its market risks have not materially changed from the disclosures provided in its 2024 Form 10-K - The company's market risks, primarily related to interest rates and foreign currency exchange rates, have not materially changed from the disclosures in its Annual Report on Form 10-K for the fiscal year ended December 29, 2024[119](index=119&type=chunk) [Controls and Procedures](index=27&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures as of March 30, 2025, and concluded they were effective at a reasonable assurance level. There were no material changes in internal control over financial reporting during the quarter - Based on an evaluation as of March 30, 2025, the Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective at the reasonable assurance level[124](index=124&type=chunk) - No changes occurred in the company's internal control over financial reporting during the first fiscal quarter of 2025 that materially affected, or are reasonably likely to materially affect, these controls[125](index=125&type=chunk) [PART II. OTHER INFORMATION](index=29&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=29&type=section&id=Item%201.%20Legal%20Proceedings) The company is subject to various claims and legal proceedings in the ordinary course of business. Management has established accruals for probable and estimable losses and believes that the ultimate resolution of these matters will not have a material adverse effect on its financial statements - Revvity is involved in various legal proceedings and has established accruals for potential losses. Management does not expect the outcomes to have a material adverse effect on the company's financial condition[128](index=128&type=chunk) [Risk Factors](index=29&type=section&id=Item%201A.%20Risk%20Factors) The company outlines significant risks that could impact its business. These include dependency on market conditions and government funding, global economic and political instability, failure to innovate, challenges in executing M&A, intense competition, supply chain disruptions, IT system breaches, and potential impairment of its $9.1 billion in intangible assets. Other risks involve intellectual property protection, regulatory compliance (FDA, data privacy), foreign operations, substantial debt levels with restrictive covenants, and stock price volatility - Business operations are sensitive to declines in customer markets, changes in government funding, and global economic conditions, including tariffs and political conflicts[129](index=129&type=chunk)[130](index=130&type=chunk) - The company faces risks from rapid technological change and must successfully introduce new products to remain competitive. Failure to do so could lead to market share loss[133](index=133&type=chunk) - As of March 30, 2025, the company had **$9.1 billion** of net intangible assets, including goodwill, which are subject to impairment risk if business conditions deteriorate[149](index=149&type=chunk) - The company has a substantial amount of debt, which includes restrictive covenants that may limit business activities. Failure to comply could result in debt acceleration[164](index=164&type=chunk)[166](index=166&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=37&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During the first quarter of 2025, Revvity repurchased a total of 1,355,665 shares of its common stock at an average price of $113.28 per share. Of this total, 1,324,629 shares were repurchased under the publicly announced stock repurchase program. As of March 30, 2025, approximately $707.2 million remained available for repurchase under this program Q1 2025 Stock Repurchase Activity | Period | Total Shares Purchased | Average Price Paid Per Share | Shares Purchased Under Program | Remaining Authorization | | :--- | :--- | :--- | :--- | :--- | | Q1 ended Mar 30, 2025 | 1,355,665 | $113.28 | 1,324,629 | $707,209,819 | - The company repurchased **31,036 shares** for **$3.6 million** to satisfy tax withholding obligations related to employee equity awards, separate from the main repurchase program[175](index=175&type=chunk) [Other Information](index=38&type=section&id=Item%205.%20Other%20Information) During the first quarter of 2025, three executive officers, Joel S. Goldberg, Prahlad Singh, and Tajinder S. Vohra, adopted Rule 10b5-1 trading arrangements for future sales of company stock. No directors or officers terminated any such arrangements during the quarter - Three Section 16 officers, including the CEO, adopted Rule 10b5-1 trading plans during the quarter ended March 30, 2025[177](index=177&type=chunk)[178](index=178&type=chunk) [Exhibits](index=39&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including the company's articles of organization, by-laws, a new credit agreement, and certifications by the CEO and CFO as required by the Sarbanes-Oxley Act. It also includes the Inline XBRL documents

Financial Data and Key Metrics Changes - The company generated revenue of $665 million in Q1 2025, resulting in 4% organic growth, with a 1% headwind from foreign exchange [27][31] - Adjusted EPS for the quarter was $1.01, exceeding expectations of $0.93 to $0.95 [7][29] - Adjusted operating margins were reported at 25.6%, slightly up year-over-year and above expectations [28] Business Line Data and Key Metrics Changes - Life Sciences segment revenue was $340 million, up 1% reported and 2% organically, with low single-digit growth in pharma biotech customers and a decline in academic and government customers [32] - Diagnostics segment revenue reached $324 million, up 3% reported and 5% organically, driven by high single-digit growth in immunodiagnostics [33] Market Data and Key Metrics Changes - The Americas and Europe experienced mid-single-digit growth, while Asia saw low single-digit growth, with China also growing in low single digits [31] - U.S. academic customers, representing over 5% of total revenue, showed cautious spending due to uncertainties in funding [23][24] Company Strategy and Development Direction - The company is focused on maintaining strong organic growth and operational agility to navigate macroeconomic challenges [5][20] - A recent expanded alliance with Genomics England aims to enhance newborn genomic sequencing capabilities, positioning the company as a leader in this area [9] - The software business, representing about 8% of total revenue, grew over 20% organically in Q1 and is expected to continue strong growth [13][15] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's resilience and ability to adapt to changing market conditions, reaffirming a full-year adjusted EPS outlook of $4.9 to $5 [19][37] - The company anticipates a gross impact of approximately $135 million from tariffs, but expects to mitigate most of this through proactive measures [18][19] Other Important Information - The company repurchased $154 million of its shares in Q1, reducing the outstanding share count to 119.4 million [7][29] - The net debt to adjusted EBITDA leverage ratio was reported at 2.4 times, with all debt being fixed rate [30] Q&A Session Summary Question: Can you talk about the tariff impact and what products are affected? - Management indicated that they have been proactive in adjusting their supply chain to mitigate the $135 million gross tariff impact, focusing on products sold from the U.S. to China [41][43] Question: What are the expectations for the Life Sciences segment? - The Life Sciences segment is expected to see low single-digit growth, with instrumentation under pressure but solid growth in reagents [45][48] Question: How is the company managing its exposure in China? - The company expects low single-digit growth in China, with a slight decline in Life Sciences and mid-single-digit growth in Diagnostics [56] Question: What is the outlook for the software business? - The software business is expected to continue strong double-digit growth, with a focus on expanding into new markets [62][90] Question: What are the long-term margin expectations? - Long-term operating margin expectations remain unchanged, with a focus on SG&A volume leverage as growth continues [104]