Donaldson(US:DCI)2024-08-27 22:15Financial Performance - Fourth quarter sales reached $935 million, an increase of 6.4% compared to the same period in fiscal 2023[1] - Full year sales totaled $3.6 billion, reflecting a 4.5% increase from fiscal 2023[1] - Total company sales for the twelve months ended July 31, 2024, were $3,586.3 million, a 4.5% increase from $3,430.8 million in the previous year[19] - Net sales for Q4 2024 were $935.4 million, a 6.4% increase from $879.5 million in Q4 2023[14] - Total Life Sciences segment revenue increased to $41.2 million, up from $23.2 million, showing a significant growth of 77.0%[22] Earnings and Margins - GAAP EPS for the fourth quarter was $0.90, up 20.0% year-over-year, while adjusted EPS was $0.94[1] - Basic net EPS for Q4 2024 was $0.91, up 19.7% from $0.76 in Q4 2023[14] - Operating income rose by 21.4% to $146.2 million from $120.5 million year-over-year[14] - Operating margin for the fourth quarter was 15.6%, an increase of 190 basis points year-over-year[5] - Gross margin improved to 35.8%, up 170 basis points from 34.1% in the previous year[4] Segment Performance - Mobile Solutions segment sales increased by 6.1%, driven by a 12.6% growth in Aftermarket sales[3] - Aerospace and Defense sales surged by 39.7% in the Industrial Solutions segment due to strong end-market conditions[4] - Life Sciences segment sales increased by 20.7% to $72.3 million in Q4 2024 from $59.9 million in Q4 2023[19] - The Aerospace and Defense segment showed a revenue increase to $15.5 million, with a significant growth of 25.0% in the APAC region[22] - The Mobile Solutions segment experienced a total revenue growth of 3.6%, with notable performance in the Aftermarket category, which grew by 8.2%[22] Cash Flow and Shareholder Returns - The company returned approximately $286 million to shareholders through share repurchases and dividends in fiscal 2024[1] - Free cash flow for the fiscal fourth quarter was $106.9 million, compared to $165.4 million in the prior year, reflecting a decrease of 35.3%[23] - Cash and cash equivalents increased to $232.7 million from $187.1 million year-over-year[15] Future Outlook - Fiscal 2025 sales growth is expected to be between 2% and 6%, with adjusted EPS projected to be between $3.56 and $3.72[7] - Capital expenditures for fiscal 2025 are forecasted to be between $85 million and $105 million[9] - The company provided fiscal 2025 adjusted EPS guidance, but specific figures were not disclosed due to the variability in projected GAAP EPS[24] Tax and Expenses - The effective tax rate for the fiscal year 2024 was 22.7%, down from 23.4% in the previous year[17] - Effective tax rate decreased to 21.5% in Q4 2024 from 21.8% in Q4 2023[18] - Research and development expenses increased by 15.6% to $25.4 million in Q4 2024, compared to $22.0 million in Q4 2023[14]