Q4 2024 Earnings Call Presentation February 12, 2025 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 (as w ...

Waters (WAT) came out with quarterly earnings of $4.10 per share, beating the Zacks Consensus Estimate of $4.02 per share. This compares to earnings of $3.62 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 1.99%. A quarter ago, it was expected that this maker of products used in drug discovery and development would post earnings of $2.68 per share when it actually produced earnings of $2.93, delivering a surprise of 9.33%.Over ...

Sales Performance - Fourth quarter 2024 sales were $873 million, a 6% increase from $819 million in Q4 2023, with a 2% decrease due to currency translation[4]. - Full-year 2024 sales were $2,958 million, flat compared to $2,956 million in 2023, with a 1% decrease from currency translation and a 1% increase from acquisitions[10]. - Sales in the pharmaceutical market increased 10% in constant currency during Q4 2024, while sales in the academic and government market increased 16%[8]. - Instrument system sales increased 8% in constant currency during Q4 2024, while recurring revenues grew 9% in constant currency[6]. - The pharmaceutical market generated $498,807,000 in net sales, an 8% increase from $463,698,000, with a constant currency growth rate of 10%[27]. - For the twelve months ended December 31, 2024, total net sales remained flat at $2,958,387,000 compared to $2,956,416,000 in 2023, with a 0% change[29]. - The service segment experienced a 6% increase in net sales for the twelve months, totaling $1,114,211,000, compared to $1,053,366,000 in the previous year[29]. - The academic and government market saw a 6% decrease in net sales, totaling $331,002,000 compared to $350,538,000 in 2023[29]. Earnings and Profitability - Non-GAAP EPS for Q4 2024 was $4.10, a 13% increase from $3.62 in Q4 2023, while GAAP EPS was $3.88 compared to $3.65 in Q4 2023[5]. - Non-GAAP EPS for full-year 2024 was $11.86, a 1% increase from $11.75 in 2023, while GAAP EPS was $10.71 compared to $10.84 in 2023[11]. - For the three months ended December 31, 2024, GAAP operating income was $292,263 thousand, representing a 33.5% margin, compared to $264,223 thousand and a 32.2% margin for the same period in 2023[31]. - The company’s operating income for the twelve months ended December 31, 2024, was $826,353 thousand, with a margin of 27.9%, compared to $817,676 thousand and a margin of 27.7% for 2023[31]. - Adjusted Non-GAAP diluted earnings per share for Q4 2024 was $4.10, up from $3.62 in Q4 2023, reflecting a 13.2% increase[31]. Cash Flow and Financial Health - Operating cash flow for full-year 2024 was $762 million, with free cash flow of $744 million, representing 25% of full-year sales[6]. - Net cash provided by operating activities for the twelve months ended December 31, 2024, was $762,123, up from $602,809 in 2023, representing a growth of about 26.4%[40]. - Free Cash Flow - Adjusted Non-GAAP for the twelve months ended December 31, 2024, was $744,307, compared to $554,040 in 2023, indicating an increase of approximately 34.4%[42]. - The company reported a significant reduction in total liabilities from $3,476,513 thousand in 2023 to $2,725,288 thousand in 2024, indicating improved financial health[38]. - The company reported a net cash used in investing activities of $144,023 for the twelve months ended December 31, 2024, compared to $1,442,265 in 2023, showing a significant reduction in cash outflow[40]. - The company experienced a net change in debt of $(730,000) for the twelve months ended December 31, 2024, compared to a net increase of $779,600 in 2023[40]. Future Projections - The company expects full-year 2025 constant currency sales growth of 4.5% to 7.0%, with reported sales growth expected to be 2.5% to 5.0%[13]. - First quarter 2025 non-GAAP EPS is projected to be between $2.17 and $2.25, including an estimated 7% headwind from unfavorable foreign exchange[17]. - Projected sales growth rate for the twelve months ending December 31, 2025, is expected to be 2.5% to 5.0%, with a constant currency sales growth rate of 4.5% to 7.0%[46]. - GAAP earnings per diluted share for the twelve months ending December 31, 2025, is projected to be between $11.83 and $12.13, with adjusted non-GAAP earnings per diluted share expected to range from $12.70 to $13.00[46]. - The company expects a currency translation impact of (2.0%) on sales growth for the twelve months ending December 31, 2025[46]. Assets and Equity - Total assets decreased from $4,626,854 thousand as of December 31, 2023, to $4,553,795 thousand as of December 31, 2024[38]. - Cash, cash equivalents, and investments decreased from $395,974 thousand in 2023 to $325,355 thousand in 2024, reflecting a decline of approximately 18%[38]. - The company’s total stockholders' equity increased from $1,150,341 thousand in 2023 to $1,828,507 thousand in 2024, showing a growth of 59%[38]. Research and Development - Research and development expenses for Q4 2024 were $46,914 thousand, slightly higher than $44,386 thousand in Q4 2023, indicating continued investment in innovation[31]. - The company incurred restructuring costs of $1,480 thousand in Q4 2024, compared to $1,036 thousand in Q4 2023, reflecting ongoing operational adjustments[31]. - The company plans to continue its ERP implementation and transformation, which involves one-time costs that do not represent ongoing business expenses[36]. Regional Performance - In the geographical breakdown, Europe saw the highest growth at 10%, with net sales reaching $278,806,000, up from $253,835,000 in 2023[27]. - The Asia region reported a 4% decline in net sales for the twelve months, totaling $969,222,000, down from $1,007,825,000[29].

Core Insights - Waters Corporation reported fourth quarter 2024 sales of $873 million, a 6% increase from $819 million in the same quarter of 2023, with a 2% negative impact from currency translation [1][4] - The company achieved a GAAP diluted EPS of $3.88 for Q4 2024, up from $3.65 in Q4 2023, while non-GAAP EPS increased by 13% to $4.10, compared to $3.62 in the prior year [2][14] - Full-year 2024 sales were $2,958 million, flat compared to $2,956 million in 2023, with currency translation negatively impacting sales by approximately 1% [6][14] Fourth Quarter 2024 Performance - Sales in the pharmaceutical market rose by 8% as reported and 10% in constant currency, while industrial market sales increased by 1% as reported and 2% in constant currency [4] - Instrument system sales grew by 6% as reported and 8% in constant currency, and recurring revenues increased by 7% as reported and 9% in constant currency [5] - Geographically, sales in Asia increased by 4% as reported and 9% in constant currency, while sales in the Americas and Europe grew by 6% and 10% respectively [5] Full-Year 2024 Overview - The company reported a GAAP EPS of $10.71 for 2024, down from $10.84 in 2023, while non-GAAP EPS increased by 1% to $11.86 [7][14] - The GAAP operating income margin for 2024 was 27.9%, with an adjusted operating income margin expansion to 31.0% [14] - Operating cash flow for the year was $762 million, with free cash flow of $744 million, representing 25% of full-year sales [14] Financial Guidance for 2025 - Waters Corporation expects full-year 2025 constant currency sales growth to be in the range of 4.5% to 7.0%, with a currency translation impact expected to decrease sales growth by approximately 2% [9][10] - The projected non-GAAP EPS for 2025 is estimated to be between $12.70 and $13.00, accounting for an estimated 4% headwind from unfavorable foreign exchange [10][36] - For the first quarter of 2025, the company anticipates constant currency sales growth of 4.0% to 7.0%, with a currency translation impact expected to decrease growth by approximately 3.0% [11][12]

Core Insights - Waters Corporation has launched the TA Instruments™ ElectroForce™ Apex 1 Mechanical Testing Instrument, designed for enhanced versatility, speed, and ease of use in tensile and fatigue testing of high-performance polymers and composites [2][4]. Product Features - The ElectroForce Apex 1 Instrument offers a motor stroke range that is at least 43% greater than competitors, allowing for a wider variety of material testing [4][7]. - The instrument can speed up testing by up to 30%, which aids in early development by identifying weaknesses in material selection and design [4][7]. - It includes new software features such as TuneIQ™ Technology for automatic tuning without operator intervention, enhancing testing efficiency [5][7]. Industry Relevance - The demand for material strength and durability testing is increasing in industries such as medical devices, aerospace, automotive, and additive manufacturing [4][5]. - As manufacturers shift towards high-quality sustainable materials, the need for accurate and affordable mechanical testing solutions is becoming more critical [5][7]. Availability - The Waters ElectroForce™ Apex 1 Mechanical Testing Instrument is available for order as of the announcement date [6].

Group 1 - The Biotech Forum has been focusing on profitable buy-write or covered call strategies for selected biotech stocks in recent months [1] - Waters Corporation (NYSE: WAT) is highlighted for its analytical workflow solutions in the healthcare sector, based in Milford, MA [2] - The Biotech Forum offers a model portfolio featuring 12-20 high upside biotech stocks, along with live discussions and weekly market commentary [2] Group 2 - The article does not provide any specific financial data or performance metrics related to Waters Corporation or the biotech sector [3][4]

News Summary: New and proprietary product enabling laboratories to analyze atmosphere-sensitive materials used to develop batteries, advanced polymers, and medicines in a standard laboratory benchtop-installed thermogravimetric analyzer (TGA). Reduces the cost and footprint of the TGA system by up to 50%i by helping eliminate the need for environment-controlled housing, or glovebox. Enables laboratories to increase throughput without sacrificing data quality and reliability. MILFORD, Mass., Jan. 22, 2025 /P ...

MILFORD, Mass., Jan. 17, 2025 /PRNewswire/ -- Waters Corporation (NYSE:WAT) will hold its Q4 2024 financial results conference call live on Wednesday, February 12th, 2025 at 8:00 a.m. Eastern Time. A live webcast of the presentation will be available on Waters Investor Relations website at https://ir.waters.com. A replay of the webcast will also be available until at least March 12th, 2025, at midnight Eastern Time. About Waters Corporation Waters Corporation (NYSE: WAT), a global leader in analytical instr ...

Hosted by Martin Luther King III, Arndrea Waters King, Craig Kielburger and Marc Kielburger, the podcast explores the defining moments and untold struggles shaping the legacies of extraordinary leadersLaunching on MLK Day, podcast guests include Mel Robbins, Dr. Sanjay Gupta, David Oyelowo, Billy Porter, Martin Sheen, and many moreIn celebration of Dr. Martin Luther King, Jr.'s legacy, iHeartMedia will award a $5 Million Spotlight Media Grant to 'Realize the Dream'NEW YORK, Jan. 16, 2025 /PRNewswire/ -- iHe ...

MILFORD, Mass., Jan. 10, 2025 /PRNewswire/ -- Waters Corporation (NYSE:WAT) announced that it will host an Investor Day on Wednesday, March 5th, 2025, in New York City, starting at 8:30 AM ET. The event will feature presentations by members of the senior management team, who will discuss business initiative achievements, new strategic priorities, and our vision for future shareholder value creation. A Q&A session will follow. In-Person AttendanceTo request in-person attendance at this event, please click he ...