Thermo Fisher Lifts Annual Forecast On Improved Demand, Despite Q1 Revenue Dip

On Wednesday, Thermo Fisher Scientific Inc. (NYSE: TMO) posted a first-quarter revenue of $10.34 billion, down 3% year over year, beating the consensus of $10.17 billion.

Organic revenue was 4% lower, and core organic revenue growth declined by 3%.

Revenue from the Life Sciences Solutions Segment declined by 12.5% to $2.29 billion. Analytical Instruments Segment sales were down 2.1% to $1.69 billion. 

Specialty Diagnostics Segment revenues were almost flat at $1.1 billion, and Laboratory Products and Biopharma Services segment sales were down 0.7% to $5.72 billion.

Adjusted EPS of $5.11 beat the consensus of $4.71 and grew from $5.03 a year ago. 

Adjusted operating margin improved from 21.8% to 22%.

“We had a great start to the year, driven by our proven growth strategy and the impact of our PPI Business System. Our team continues to enable the success of our customers while demonstrating incredibly strong commercial execution and operational discipline. This positions us to deliver differentiated performance in 2024 as we continue to create value for all of our stakeholders and build an even brighter future for our company,” said Marc Casper, chairman, president, and CEO.

Guidance: Thermo Fisher raises its 2024 sales guidance to $42.3 billion—$43.3 billion, compared to its previous guidance of $42.1 billion—$43.3 billion and consensus of $42.83 billion.

The company is raising its adjusted EPS guidance to $21.14-$22.02 versus its previous guidance of $20.95-$22.00 and consensus of $21.53.

Price Action: TMO shares are down 0.96% at $569.09 at the last check Wednesday.

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