Slide 1: Q3 2024 Earnings Call Presentation
Q3 2024 Earnings Call Presentation November 1, 2024
Slide 2: Forward-Looking Statements & Non-GAAP Financial Measures
Forward-Looking Statements & Non-GAAP Financial Measures This presentation contains forward-looking statements regarding future results and events, including financial and operational guidance and projected estimates. For this purpose, any statements that are not statements of historical fact may be
Slide 3: Key Messages
Key Messages Strong Execution Continues Instruments Return to Growth Exceptional Portfolio in Improving Market ©2024 Waters Corporation 2
Slide 4: Q3 2024 Results
Q3 2024 Results Q3 2024 Revenue CC Revenue Growth Q3 2024 EPS Non-GAAP $740M +4% $2.93 Reported: +4% FX: 0% CC Instrument CC Recurring Revenue Growth Growth Growth +1% +7% +3% Ex-China: +3% CC: Constant Currency; growth rates are versus prior year Note: A reconciliation of these non-GAAP financial m
Slide 5: End-Markets Return to Positive Growth
End-Markets Return to Positive Growth Total 3Q24 Y/Y Sales Growth in Constant Currency Ex. China Inc. China Pharma +5% +3% Non-Pharma +5% +5% 3Q24 Total +5% +4% Note: A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures is included in the Appe
Slide 6: Revitalized Portfolio Enhancing our Results
Revitalized Portfolio Enhancing our Results Liquid Chromatography Mass Spectrometry Precision Chemistry Next-Gen Flagship HPLC For PFAS, Pharma, Clinical High Growth Consumables for Large Mol The World’s Most Sensitive Sharper Peaks & Smartest HPLC Tandem Quad Minimal Statistical Noise Now offered w
Slide 7: Excellent Operational Performance
Excellent Operational Performance Better-Than-Expected 3Q Margin Results add to Resilient Performance 1 Pricing 3Q23 3Q24 3Q22 59.1% 59.3% Gross Margin 56.7% 2 Productivity Proactive Cost 3 3Q23 3Q24 Alignment Adj. Operating 3Q22 31.5% 30.8% Margin 27.7% …offsetting y/y headwinds from FX & Inflation
Slide 8: Instruments: Well-Positioned for Above-Average Long-Term Future Growth
Well-Positioned for Above-Average Long-Term Future Growth Pre-Covid Historical Growth is MSD Instruments; HSD Recurring Future Long-Term Growth Potential Higher Volume Growth 15% 6% 1 Faster Prescription growth & PFAS Incremental Instruments Average1 Growth New Applications 5% 2009-2019 Vectors 2 La
Slide 9: Actively Shaping our Future in Bioseparations
Actively Shaping our Future in Bioseparations Peptides/ Synthetic Viral Vector Small Molecule mAbs mRNA Cell Tx Proteins Oligos Gene Tx GLP-1s, cancer inhibitors Cancer treatments Diabetes & obesity Vaccines, enzyme Cures for genetic New therapies for Societal RNA interference for diseases & Safer d
Slide 10: Q3 2024 Revenue Stratification
Q3 2024 Revenue Stratification Academic & 11% Government Service 0% Pharma +6%** Instruments 37% +3% +1% c Growth %* 58% END PRODUCTS 44% 31% Growth %* MARKETS & SERVICES Industrial +7% Chemistry 19% +8%** TA 11% Europe 28% +2% 34% +4% GEOGRAPHY c Growth %* Asia +6% OPERATING SEGMENTS c Growth %* Wa
Slide 11: FY & Q4 2024 Guidance
FY & Q4 2024 Guidance Organic Constant Currency Constant Currency Revenue Growth vs. FY 2023 Revenue Growth vs. Q4 20231 FX (1.2%); M&A +1.3% FX (1.7%) Reported Growth (0.8%) to (0.2%) Reported Growth +3.3% to +5.3% NON-GAAP EPS NON-GAAP EPS $11.67 to $11.87 $3.90 to $4.10 Based on current FX rate a
Slide 12: Appendix: GAAP to Non-GAAP Reconciliations
Appendix GAAP to Non-GAAP Reconciliations
Slide 13: Sales Stratification – Q3 2024 Reported & CC Growth
Sales Stratification – Q3 2024 Reported & CC Growth % Growth % Growth (in millions USD) 2024 2023 Impact of Currency Reported Constant Currency Waters 655.7 629.3 4% 0% 4% Operating Segments TA 84.7 82.3 3% 1% 2% Pharmaceutical 430.1 421.5 2% (1%) 3% End Industrial 227.7 209.4 9% 2% 7% Markets Acade
Slide 14: Sales Stratification – Q3 2024 Reported & CC Growth
Sales Stratification – Q3 2024 Reported & CC Growth % Growth % Growth (in millions USD) 2024 2023 Impact of Currency Reported Constant Currency Pharmaceutical 384.9 369.3 4% (1%) 5% End Markets (Ex-China) Non-Pharma 255.4 240.3 6% 1% 5% Total Sales Ex-China – Q3 QTD 640.3 609.6 5% 0% 5% The Company
Slide 15: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Operating Income Reconciliation of GAAP to Adjusted Non-GAAP Q3 2024 Q3 2024 Operating Q3 2023 Q3 2023 Operating Q3 2022 Q3 2022 Operating (in thousands USD) Operating Income Income Percentage Operating Income Income Percentage Operating Income Income Percentage GAAP
Slide 16: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Earnings Per Share FY 2024 and Q4 2024 Guidance Q3 2024 Q3 2023 Projected Sales FY 2024 Q4 2024 Organic constant currency GAAP $ 2.71 $ 2.27 (0.9%) - (0.3%) 5.0% - 7.0% sales growth rate* Adjustments: Impact of: Currency translation (1.2%) - (1.2%) (1.7%) - (1.7%) Pu
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