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Life Science Tools Firm Avantor Reports Mixed Q4 Earnings, Forecasts Organic Sales Growth In 2025
AVTRAvantor(AVTR) Benzinga·2025-02-07 14:15

Core Insights - Avantor Inc reported fourth-quarter net sales of 1.69billion,a21.69 billion, a 2% decrease year-over-year, missing the consensus estimate of 1.71 billion [1] - The company experienced a net income increase to 500.4millionfrom500.4 million from 98.5 million a year ago, with adjusted net income at 183.9millioncomparedto183.9 million compared to 166.7 million in the prior period [1][2] - Adjusted EBITDA was reported at 307.7millionwithamarginof18.2307.7 million with a margin of 18.2%, while adjusted operating income was 279.4 million with a margin of 16.6% [2] - The adjusted EPS was 27 cents, slightly down from 29 cents a year ago, but beating the consensus of 26 cents [2] - Operating cash flow was 173.3million,andfreecashflowwas173.3 million, and free cash flow was 222.1 million [2] Sales Performance - Laboratory Solutions' net sales were 1.13billion,down51.13 billion, down 5%, with a 1% organic sales decline due to foreign currency translation and Clinical Services divestiture [4] - Bioscience Production net sales were 560.8 million, up 4%, with a 4% organic sales increase [4] Future Guidance - Avantor expects organic revenue growth of 1%-3% in 2025 compared to a 2% decline in 2024, with an adjusted EBITDA margin of 18%-19% [4] - The company forecasts adjusted EPS of 1.021.02-1.10 versus the consensus of 1.10andexpectedfreecashflowof1.10 and expected free cash flow of 650 million to 700million[4]MarketReactionAVTRstockisdown3.73700 million [4] Market Reaction - AVTR stock is down 3.73% at 20.89 during the premarket session [5]