Mettler-Toledo Q4 Earnings Top Estimates, Sales Up Y/Y, Shares Rise

Core Insights - Mettler-Toledo International (MTD) reported fourth-quarter 2024 adjusted earnings of $12.41 per share, exceeding the Zacks Consensus Estimate by 6.16%, with a year-over-year increase of 32% [1] - Net sales reached $1.045 billion, surpassing the Zacks Consensus Estimate by 3.51%, and reflecting a 12% increase from the previous year [1] Financial Performance - MTD's revenue segments included Laboratory Instruments ($603 million, 57.7% of net sales), Industrial Instruments ($398 million, 38.1%), and Food Retail ($44 million, 4.2%), with Laboratory and Industrial segments growing 18% and 8% year-over-year, respectively, while Food Retail declined by 14% [3] - Sales distribution showed the Americas at $424 million (40.6% of net sales), Europe at $308 million (29.5%), and Asia/Rest of the World at $313 million (30%), with Europe and Asia/Rest of the World growing 19% and 14% year-over-year, respectively [4] - The gross margin improved to 61.2%, an increase of 210 basis points year-over-year, while adjusted operating margin rose to 33.7%, expanding 350 basis points from the prior year [5][6] Expenses and Cash Flow - Research & development expenses were $50.1 million, up 7.8% year-over-year, while selling, general & administrative expenses increased 6.2% to $237.3 million, with both expenses as a percentage of sales declining [5] - As of December 31, 2024, cash and cash equivalents totaled $59.4 million, down from $71.6 million as of September 30, 2024, with long-term debt at $1.83 billion [7] - Operating cash flow was $266.2 million, compared to $254.7 million in the previous quarter, with free cash flow reported at $229.8 million [7] Future Guidance - For Q1 2025, Mettler-Toledo expects sales to decrease by 3-4% in local currency, with adjusted earnings anticipated between $7.75 and $7.95 per share, indicating an 11-13% decline year-over-year [9] - For the full year 2025, the company projects a 3% increase in sales in local currency and adjusted earnings between $42.35 and $43 per share, representing 3-5% growth over 2024 [9]