Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Commission File Number: 01-14010 Waters Corporation (Exact name of registrant as specified in its charter) Delaware 13-3668640 (State or other jurisdiction of incorporation or organization) Form 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 19 ...

Financial Data and Key Metrics Changes - In Q4 2023, sales declined 4.5% as reported, aligning with expectations, while non-GAAP earnings per fully diluted share reached $3.62, at the high end of guidance [14][44] - For the full year, sales declined 0.5% as reported and 2% in organic constant currency, with non-GAAP earnings per fully diluted share at $11.75, reflecting underlying growth of approximately 2% before foreign exchange headwinds [15][44] - The full-year gross margin was 59.6%, an improvement of 160 basis points year-over-year, and adjusted operating margin was 30.9%, expanding by 70 basis points [20][43] Business Line Data and Key Metrics Changes - In Q4, pharma sales declined 11%, industrial sales declined 4%, and academic and government sales declined 9% in organic constant currency [35] - For the full year, pharma sales declined 5%, industrial remained flat, and academic and government grew 10%, with strong growth in recurring revenues outside of China [38] - Instruments sales declined 20% in Q4, while recurring revenues grew mid-single-digits, with high-single-digit growth outside of China [39][42] Market Data and Key Metrics Changes - Sales in Asia fell 16% due to weakness in China, which declined more than 20%, while the Americas declined 2% and Europe declined 6% [37] - China sales for the full year declined more than 20%, contributing a 5% headwind to total growth [18] - The spending environment for instruments remained challenging, but Q4 revenue increased across all geographies compared to Q3, reflecting a 15% ramp [16] Company Strategy and Development Direction - The company initiated the next phase of transformation with the acquisition of Wyatt, which is expected to create value through M&A and accelerate entry into high-growth adjacent markets [10] - Investments in high-growth adjacencies, such as bioseparations and diagnostics, have been made, with large molecule applications now representing 35% of pharma revenues [23] - The company aims to sustain long-term growth through increased use of analytical instruments and pricing strategies, projecting organic constant currency sales growth of negative 0.5% to positive 1.5% for 2024 [31][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current market environment and anticipates gradual recovery in sales growth throughout 2024, despite ongoing challenges in China [49][50] - The company expects customer spending caution to continue in Q1 2024, with a projected decline of approximately 40% in China year-over-year [53] - Management highlighted the importance of proactive cost actions and pricing strategies that contributed to margin expansion despite lower sales volumes [62] Other Important Information - The company was recognized as one of the world's most sustainable companies, achieving a top five ranking on Barron's Most Sustainable Companies list [12] - Free cash flow for Q4 was $192 million, and for the full year, it was $554 million, reflecting strong cash generation capabilities [45] - The share buyback program has been temporarily suspended to prioritize debt repayment from the Wyatt acquisition [48] Q&A Session Summary Question: Annual guidance and end market assumptions - Management expects low-single-digit growth in pharma and industrial markets, with a significant decline in China [59][61] Question: Operating margin expansion despite flat revenues - Margin expansion was driven by pricing gains and proactive cost actions, with a 70 basis point increase in operating margin [65][66] Question: Replacement cycle impact post-COVID - Replacement cycles are ongoing, with new products driving conversations and sales, particularly outside of China [70][72] Question: PFAS market expansion into food testing - The food market is expected to grow, but current contributions to revenue growth are primarily from water testing [75] Question: Q1 guidance and sequential growth assumptions - Q1 is expected to show a decline due to tough comps in China, with gradual improvement anticipated later in the year [78][80] Question: Large vs. small molecule growth trends - Large molecule applications now account for over 35% of pharma revenues, with significant growth in biologics [91]

Waters™ Q4 2023 Earnings Call Presentation February 6, 2024 Forward-Looking Statements & Non-GAAP Financial Measures This presentation contains forward-looking statements regarding future results and events, including financial and operational guidance and projected estimates. For this purpose, any statements that are not statements of historical fact may be deemed forward-looking statements. Words such as "may," "will," "expect," "plan," "anticipate," "estimate," "intend," "outlook," and similar expression ...

Company and Industry Overview * **Company**: Waters Corporation (NYSE: WAT) * **Industry**: Life Science Tools and Diagnostics * **Focus**: Serving regulated markets with large unmet needs, including pharmaceuticals, clinical, food and environmental, and materials testing. Key Points Business Model and Market * **Market Size**: Approximately $12 billion, growing mid-single digits. * **Pharmaceuticals**: Largest market, growing high single digits, driven by demand for high-quality medicines and biologics. * **Clinical**: Expected to grow high single digits, focused on early disease detection and biomarker identification. * **Food and Environmental**: Mid-single digit growth, driven by the need for more sensitive testing for PFAS and other impurities. * **Materials**: Mid-single digit growth, driven by the need for safe and renewable energy, particularly in batteries and electric vehicles. Business Model * **Deep understanding of customer needs**. * **Development of complex instruments into simple, yet sophisticated systems**. * **Focus on QA/QC in the pharmaceutical space**. * **High recurring revenue**. * **Industry-leading profitability**. Transformation and Execution * **Three-year transformation plan**: * Strengthen execution. * Revitalize innovation. * Enter faster-growing adjacencies. * **Revenue growth**: Flat year-to-date, despite China's decline, driven by strong performance outside of China, particularly in pharmaceuticals. * **Execution of commercial initiatives**: * Replacement of instruments. * Increase in service attachment rates. * Increase in e-commerce adoption of chemistry portfolio. * Increase in footprint with contract research and contract manufacturing customers. * Focus on innovation. * **Margin expansion**: Achieved through cost management and operational excellence. Innovation * **Liquid chromatography**: Alliance iS, reducing errors by over 50%. * **Mass spectrometry**: Xevo TQ Absolute, setting a new standard in sensitivity. * **Thermal analysis**: TAM IV battery cycler microcalorimeter, detecting early heat signatures of parasitic reactions in batteries. * **Precision chemistry**: MaxPeak Premier Column, growing well into the 20%. * **Acquisition of Wyatt Technology**: Adding capabilities in light scattering and expanding into new adjacencies. Adjacencies * **Biologics**: Revenue growth from large molecules exceeding 35%. * **Clinical**: Growth from low single digits to double digits. * **Battery**: Growth tenfold compared to three years ago. * **Other adjacencies**: Substantial progress in bioseparations, bioanalytical characterization, early disease detection, battery testing, and sustainable polymers. M&A * **Acquisition of Wyatt Technology**: Largest acquisition in Waters' history, adding capabilities in light scattering and expanding into new adjacencies. * **Integration of Wyatt Technology**: On track to deliver synergies, including increased attachment rates and integration of data and software. Future Outlook * **Growth drivers**: Secular tailwinds, including increased prescription growth, demand for high-volume testing, and new applications in biologics. * **Volume growth**: Expected from new therapies, PFAS testing, and biologics characterization. * **Pricing**: Expected to increase by 100 basis points. * **EPS growth**: Expected to benefit from revenue growth, margin expansion, and capital deployment, including M&A. ESG * **Renewable energy**: Over 75% of electricity comes from renewable low-carbon sources. * **Corporate Equality Index**: Scored 100 out of 100 in 2023 and 2024. * **Governance**: Board selected as the 2024 Public Company Board of the Year by the National Academy of Corporate Directors in New England.

Financial Data and Key Metrics Changes - In Q3 2023, sales grew less than 1% as reported, while organic constant currency sales declined by 4% compared to the previous year [11][30] - Non-GAAP earnings per fully diluted share were $2.84, an 8% increase, while GAAP earnings per fully diluted share were $2.27 [13][37] - Gross margin expanded by 240 basis points to 59.1%, and adjusted operating margin increased by 380 basis points to 31.5% [12][19] Business Line Data and Key Metrics Changes - In the Pharma segment, U.S. pharma grew by 6% and Europe by 5%, but China saw a decline of over 30% [13][31] - The Industrial segment experienced a low-teens decline in China, while outside of China, it declined by 6% [15][31] - Academic and government sales grew low-double digits in Europe and mid-single digits in the Americas, but overall declined over 30% in China [16][32] Market Data and Key Metrics Changes - Sales in Asia declined by 12%, while the Americas remained flat and Europe grew by 3% [33] - Excluding China, Asia grew by 3%, with India growing low double digits and Japan mid-teens [33] - Overall, the academic and government segment outside of China grew by 8% [32] Company Strategy and Development Direction - The company is focusing on operational excellence and digitization, with the opening of a new Global Capability Center in Bangalore, India [20] - The long-term growth strategy includes addressing global prescription drug sales and improving pricing strategies [21][22] - The revitalized product portfolio, including significant innovations in mass spectrometry and chromatography, positions the company well for future growth [23][24] Management's Comments on Operating Environment and Future Outlook - Management noted that despite a challenging macro environment, the company delivered solid performance through strong commercial execution [10] - The outlook for China has deteriorated, with expectations of a 25% decline for the year, impacting overall growth guidance [28][41] - The company remains optimistic about long-term fundamentals in its end markets, despite current challenges [21][59] Other Important Information - Free cash flow for Q3 was $123 million, with a strong balance sheet and a net debt position of $2.2 billion [38][40] - The company has temporarily suspended its share buyback program to pay down debt from the Wyatt acquisition [40] Q&A Session Summary Question: What were the exit rates and what is the Q4 guidance implying? - Management discussed the exit rates from Q3 to Q4, noting a muted ramp compared to historical levels due to various factors including customer conversations and funnel velocities [52][54] Question: Is the decline in China done for this year or will it spill over into fiscal 2024? - Management indicated that while some pressures in China are subsiding, new challenges have emerged, and they will not comment on 2024 until the Q4 earnings call [55][56] Question: Can you provide more details on pharma trends and expectations for Q4? - Management highlighted strong growth in pharma outside of China, with expectations for continued growth despite challenges in the Chinese market [61][64] Question: What is the outlook for recurring revenue and instruments? - Recurring revenue showed mid-single-digit growth overall, while instruments experienced a decline, particularly in China [68][69] Question: What are the expectations for pricing in Q4 and 2024? - Management expects pricing to remain strong in Q4, contributing significantly to margin expansion [75][78]

Waters™ Q3 2023 Earnings Call Presentation November 7, 2023 Forward-Looking Statements & Non-GAAP Financial Measures This presentation contains forward-looking statements regarding future results and events, including financial and operational guidance and projected estimates. For this purpose, any statements that are not statements of historical fact may be deemed forward-looking statements. Words such as "may," "will," "expect," "plan," "anticipate," "estimate," "intend," "outlook," and similar expression ...

Table of Contents Form 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission File Number: 01-14010 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Milford, Massachusetts 01757 (Address, including zip code, of principal executive offices) (508) 478-2000 (Re ...

Summary of Waters Corporation Conference Call Company Overview - **Company**: Waters Corporation (NYSE: WAT) - **Event**: Bank of America Global Healthcare Conference 2023 - **Date**: September 13, 2023 - **Participants**: Udit Batra (President and CEO), Derik De Bruin (Bank of America Merrill Lynch) Key Points Company Performance and Strategy - Udit Batra joined Waters in September 2020 during a challenging market period and has since focused on restoring commercial momentum and innovation [4][5] - The company has successfully navigated market fluctuations, with Q2 results showing resilience in the U.S. and Europe, while China remains a concern [6][10] - Waters has made significant investments in innovation and capital allocation, including the acquisition of Wyatt, which is expected to enhance their capabilities [5][19] Market Insights - **China's Biopharma Market**: The Chinese government is pushing for innovation in the biotech and pharma sectors, which is expected to lead to a more innovative economy [11][20] - The biotech segment in China has seen fluctuations, with a recent crash but signs of recovery [12] - The branded generics market is facing challenges due to government price cuts and an anticorruption campaign, impacting commercial strategies [13][14] - Contract manufacturing in China is declining, influenced by reduced demand from both local and international customers [15][17] Growth Drivers - Waters' business in China is heavily reliant on the biopharma sector, accounting for 60% to 70% of its operations [21] - The academic and government segments are growing rapidly, although this growth may not be sustainable long-term [22] - The company anticipates that the focus on innovation will lead to increased demand for their products, particularly in translational medicine [19][20] Financial Performance - Over the past 18 years, Waters has grown approximately 6% overall, with China contributing significantly at 16% growth during the same period [36][38] - In the last three years, Waters has seen a 9% CAGR in China, matching the growth of the rest of the world [38][40] - Despite challenges in China, Waters has shown strong performance in other regions, with high single-digit growth in the U.S. and Europe [40] Industry Trends - The tools market is experiencing a slowdown, reminiscent of the genomics bubble in the early 2000s, but there are signs of recovery driven by innovation [8][9] - The company is focusing on high-volume testing in compliance-heavy areas, which requires additional investments but is expected to yield margin expansion [75][76] - Waters is also expanding its capabilities in battery testing and PFAS remediation, which are emerging growth areas [49][48] Competitive Landscape - Waters maintains a competitive edge in complex analytical techniques, particularly in the development of new columns and mass spectrometry [31][32] - The company is positioned as a premium provider in the market, with a strong emphasis on quality and innovation [29][30] Future Outlook - The company is optimistic about the long-term growth potential in the biopharma sector, particularly as China transitions to a more innovative economy [20][19] - Waters plans to continue investing in technology development and expanding its market presence, particularly in high-growth areas [19][76] Conclusion - Waters Corporation is navigating a complex market landscape with a focus on innovation and strategic investments. While challenges remain, particularly in China, the company is well-positioned for future growth driven by its strong product offerings and commitment to quality [84][85]

Waters™ Q2 2023 Earnings Call Presentation August 2, 2023 Forward-Looking Statements & Non-GAAP Financial Measures This presentation contains forward-looking statements regarding future results and events, including financial and operational guidance and projected estimates. For this purpose, any statements that are not statements of historical fact may be deemed forward-looking statements. Words such as "may," "will," "expect," "plan," "anticipate," "estimate," "intend," "outlook," and similar expressions ...

Waters Corporation (NYSE:WAT) Q2 2023 Earnings Conference Call August 2, 2023 8:00 AM ET Company Participants Caspar Tudor - Head, Investor Relations Udit Batra - President & Chief Executive Officer Amol Chaubal - Senior Vice President & Chief Financial Officer Conference Call Participants Vijay Kumar - Evercore ISI Luke Sergott - Barclays Dan Brennan - TD Cowen Derik De Bruin - Bank of America Matt Sykes - Goldman Sachs Josh Waldman - Cleveland Research Operator Good morning. Welcome to the Waters Corporat ...