Financial Performance - Net sales for Q3 2020 were $647.3 million, a 15.5% increase from $560.6 million in Q3 2019, with a currency neutral increase of approximately 14.9%[152] - Sales for the first nine months of 2020 were $1.76 billion, a 4.1% increase from $1.69 billion in the same period of 2019, with a currency neutral increase of approximately 5.0%[164] Segment Performance - Life Science segment sales for Q3 2020 were $324.0 million, a 50.2% increase compared to the same period last year, driven by products supporting COVID-19 testing and research[153] - Clinical Diagnostics segment sales for Q3 2020 were $322.2 million, a decrease of 5.7% compared to Q3 2019, primarily due to lower demand from COVID-19[154] - Life Science segment sales for the first nine months of 2020 were $803.2 million, a 24.7% increase compared to the same period last year, with significant contributions from COVID-19 related products[165] - Clinical Diagnostics segment sales for the first nine months of 2020 were $945.6 million, a decrease of 8.5% compared to the same period last year, impacted by COVID-19[166] Profitability and Margins - Consolidated gross margins for Q3 2020 were 56.7%, up from 54.8% in Q3 2019, with Life Science segment gross margins increasing by approximately 5.3 percentage points[155] Expenses - Selling, general and administrative expenses decreased to $198.2 million or 30.6% of sales in Q3 2020, down from $201.6 million or 36.0% of sales in Q3 2019[156] - SG&A expenses decreased to $581.1 million or 33.1% of sales for the first nine months of 2020, down from $610.5 million or 36.2% of sales in the same period of 2019[169] - Research and development expenses increased to $59.5 million or 9.2% of sales in Q3 2020, compared to $47.9 million or 8.6% of sales in Q3 2019[157] - R&D expenses increased to $160.8 million or 9.2% of sales for the first nine months of 2020, compared to $145.6 million or 8.6% of sales for the same period in 2019[170] Cash Flow and Investments - Net cash provided by operations was $290.6 million for the first nine months of 2020, a decrease from $298.1 million in the same period of 2019[180] - Net cash used in investing activities was $10.1 million for the first nine months of 2020, significantly lower than $147.7 million for the same period in 2019[183] - Net cash used in financing activities was $101.2 million for the first nine months of 2020, compared to $18.0 million for the same period in 2019, primarily due to an $80 million increase in cash used to purchase treasury stock[184] Market Value and Equity - Change in fair market value of equity securities was a gain of $1.58 billion in Q3 2020, compared to a loss of $390.6 million in Q3 2019[161] - The change in fair market value of equity securities resulted in a gain of $3.59 billion for the first nine months of 2020, compared to a gain of $1.38 billion in the same period of 2019[173] Tax and Cash Position - The effective income tax rate was 22.5% for the nine months ended September 30, 2020, slightly down from 22.8% in the same period of 2019[175] - As of September 30, 2020, the company had $1.15 billion in cash, cash equivalents, and short-term investments, with approximately 25% held in foreign subsidiaries[177] - The company had no outstanding borrowings under its $200 million unsecured revolving credit facility as of September 30, 2020[177] Share Repurchase Program - The Board of Directors authorized an increase in the Share Repurchase Program by an additional $200 million, with $273.1 million remaining under the program as of September 30, 2020[189]
Bio-Rad(BIO_B) - 2020 Q3 - Quarterly Report