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Agilent Q3 Earnings Beat Estimates, Revenues Up Y/Y, Shares Rise
ZACKSยท 2025-08-28 19:01
Core Insights - Agilent Technologies reported Q3 fiscal 2025 earnings of $1.37 per share, exceeding the Zacks Consensus Estimate by 0.74% and reflecting a 3.8% year-over-year increase [1][9] - Revenues reached $1.74 billion, surpassing the Zacks Consensus Estimate by 4.6%, with a reported increase of 10.1% and an 8% rise on a core basis year over year [1][9] Revenue Breakdown - The Life Sciences and Diagnostics Markets Group (LDG) generated $670 million, accounting for 38.6% of total revenues, with a reported increase of 14.5% and a core increase of 9% year over year [3] - The Agilent CrossLab Group (ACG) reported revenues of $744 million, representing 42.8% of total revenues, with a reported growth of 7.7% and an 8% core growth year over year [4] - The Applied Markets Group (AMG) saw revenues increase by 7.3% year over year to $324 million, accounting for 18.6% of total revenues, with a 7% core growth [4] Operating Results - The non-GAAP operating margin for Q3 was 25.1%, down 220 basis points year over year [7] - LDG's operating margin decreased to 17.6%, ACG's to 33.3%, and AMG's to 21.9%, reflecting declines of 190 bps, 260 bps, and 130 bps respectively [7] Expenses - Research and development (R&D) expenses on a non-GAAP basis were $109 million, down 3.5% from the prior year, while selling, general and administrative (SG&A) expenses rose to $374 million, marking a 2.2% increase [6] - As a percentage of revenues, R&D expenses fell to 6.3%, and SG&A expenses decreased to 21.6% year over year [6] Guidance - For Q4 fiscal 2025, Agilent expects revenues between $1.822 billion and $1.842 billion, indicating a rise of 7.1% to 8.3% on a reported basis [11] - For the full fiscal year 2025, the company anticipates revenues between $6.91 billion and $6.93 billion, reflecting an increase of 6.2% to 6.5% on a reported basis [12]