Bio-Rad(BIO) - 2024 Q4 - Annual Results

Financial Performance - Fourth-quarter 2024 total net sales were $667.5 million, a decrease of 2.0% compared to$ 681.2 million in Q4 2023[4] - Full-year 2024 reported net sales decreased 3.9% to $2,566.5 million compared to$ 2,671.2 million in 2023[12] - Bio-Rad reported net sales of $667.5 million for Q4 2024, a decrease of 2.3% from$ 681.2 million in Q4 2023[37] - For the full year 2024, Bio-Rad's revenues totaled $2.566 billion, down from$ 2.671 billion in 2023, marking a decline of 3.9%[37] Segment Performance - Life Science segment net sales for Q4 2024 were $275.0 million, a decline of 5.5% year-over-year, driven by weakness in biotech and biopharma markets[5] - Clinical Diagnostics segment net sales for Q4 2024 were$ 392.5 million, an increase of 0.9% compared to Q4 2023, primarily due to increased demand for quality control and blood typing products[6] Profitability Metrics - Full-year 2024 gross margin was 53.7%, compared to 53.4% in 2023[14] - Non-GAAP gross margin for full-year 2024 was 55.0%, compared to 54.2% in 2023[17] - GAAP gross profit for Q4 2024 was $342.0 million, representing 51.2% of revenue, compared to$ 366.3 million and 53.8% in Q4 2023[45] - Non-GAAP gross profit for the year ended December 31, 2024, was $1,411.6 million, or 55.0% of revenue, compared to$ 1,448.3 million and 54.2% in 2023[45] Income and Loss - The company experienced a net loss of $715.8 million in Q4 2024, compared to a net income of$ 349.7 million in Q4 2023, resulting in a basic loss per share of $25.57[37] - GAAP net income for the period was$ (715.8) million, a decrease of 107.2% compared to the previous year[48] - The company reported a significant loss of $(1,844.2) million in GAAP net income for the year, a decrease of 71.9%[48] - Non-GAAP net income was$ 81.2 million, representing a 12.2% margin, while the previous year's figure was $89.3 million with a 13.1% margin[48] Expenses - Research and development expenses increased to$ 79.6 million in Q4 2024, up from $63.9 million in Q4 2023, reflecting a growth of 24.5%[37] - GAAP research and development expense for Q4 2024 was$ 79.6 million, up from $63.9 million in Q4 2023[46] - Non-GAAP research and development expense for the year ended December 31, 2024, was$ 281.8 million, compared to $254.8 million in 2023[46] - GAAP selling, general and administrative expense for Q4 2024 was$ 204.0 million, slightly down from $207.1 million in Q4 2023[45] - Non-GAAP selling, general and administrative expense for the year ended December 31, 2024, was$ 798.5 million, compared to $814.6 million in 2023[45] Cash Flow and Assets - Cash and cash equivalents at the end of 2024 were$ 488.1 million, an increase from $403.8 million at the end of 2023[40] - Total assets decreased to$ 9.364 billion in 2024 from $12.299 billion in 2023, a decline of 23.6%[40] - The company reported cash provided by operating activities of$ 455.2 million for the year ended December 31, 2024, compared to $374.9 million in 2023, an increase of 21.4%[42] Future Outlook - The company expects non-GAAP, currency-neutral revenue growth of approximately 1.5% to 3.5% for full-year 2025[20] - The company expects continued focus on market expansion and new product development in the upcoming quarters[46] - The anticipated acquisition of Stilla Technologies is expected to further Bio-Rad's planned transformation and commercial excellence[34] - Forecasted non-GAAP operating margin for 2025 excludes 87 basis points related to amortization of purchased intangibles[51] - The company noted that future financial expectations are subject to significant uncertainty and cannot be reasonably predicted[51] Tax and Liabilities - The effective tax rate for full-year 2024 was 21.3%, down from 25.0% in 2023[16] - Bio-Rad's total liabilities decreased to$ 2.794 billion in 2024 from $3.558 billion in 2023, a reduction of 21.5%[40] Acquisition and Restructuring Costs - Bio-Rad announced the intent to acquire Stilla Technologies, a digital PCR developer, expected to close by the end of Q3 2025[22] - The company incurred acquisition-related costs of$ 11.7 million and restructuring costs of $14.7 million during the reporting period[48]