Agilent Technologies, Inc. · NYSE:A
Agilent Technologies — Investor Day (May 2015)
85 slides from Agilent Technologies's investor day presentation, May 28, 2015
Slide 1: New Agilent: The Premier Laboratory Partner for a Better World
NEW AGILENT THE PREMIER LABORATORY PARTNER FOR A BETTER WORLD ANALYST & INVESTOR DAY 2015 NYSE, MAY 28
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements (including, without limitation, information and future guidance on the company’s goals, priorities, revenues, demand, growth opportunities, customer service and innovation plans, new product introductions, financial condition, earning
Slide 3: Agenda: Direction, Strategy & Financials
Section 1: Direction, Strategy & Financials Introducing New Agilent Mike McMullen Catalyzing Value Creation Mike McMullen 10:00 -11:30 Increasing & Predictable Value Creation Didier Hirsch & Distribution Q&A Panel Lunch Section 2: Group Market Strategies LSAG: Lead the Analytical Lab Patrick Kaltenb
Slide 4: The New Agilent
The New Agilent Revenue FY14 Operating Margin(1) FY14 $4B 19% Life Sciences (2) Applied Markets $45B TAM Diagnostics (1) Presented on a non-GAAP basis, reconciliations to closest GAAP equivalent provided; (2) Market size per Company estimates Analyst & Investor Day May 28, 2015 3
Slide 5: New Agilent
New Agilent Transformative solutions for global challenges Inspiring Discoveries For A Better World Safer World Better Resources Fighting Disease Analyst & Investor Day May 28, 2015 4
Slide 6: New Agilent at a Glance
New Agilent at a Glance Operating from a position of strength Leadership in steadily Attractive recurring Balanced across new growing end-markets revenue base and existing segments Most of the world’s (1) $45B 265,000 $4B TAM in 6 end-markets labs using Agilent solutions Revenue FY14 Balanced revenu
Slide 7: A Seasoned Executive Team Leading a New Organization
A Seasoned Executive Team Leading a New Organization Life Sciences & Agilent Diagnostics & Applied Markets (LSAG) CrossLabs (ACG) Genomics (DGG) (1) (1) (1) $2.1B $1.3B $0.6B (2) (2) (2) 18% 23% 14% Solutions and software for Lab Enterprise Management solutions Solutions and tools for Clinical Analy
Slide 8: New Agilent Leadership is Moving Quickly
New Agilent Leadership is Moving Quickly Launched Agile Agilent A multi-year cost reduction and rationalization program Rationalized portfolio Successfully closing down NMR, Sale of XRD Restructured for growth and margin Largest organizational change in history of Agilent Analyst & Investor Day May
Slide 9: Hallmarks of New Agilent
Hallmarks of New Agilent A holistic journey to customer centricity Inside-out Outside-in Complex silos One Agilent Technology driven & Application focus A cultural transformation Analyst & Investor Day May 28, 2015 8
Slide 10: New Agilent Catalyzing value creation
New Agilent Catalyzing value creation through market leadership In tune with our customers and our investors The The Expand Accelerate Analytical Clinical operating growth Lab Lab margin Lab Optimal Enterprise capital Mgmt. allocation Premium market positions Premium shareholder value Analyst & Inve
Slide 11: New Agilent Catalyzing Value Creation
New Agilent Catalyzing Value Creation President and Chief Executive Officer Mike McMullen Analyst & Investor Day May 28, 2015 10
Slide 12: Accelerated organic growth
5% 22% >85% Organic revenue Operating margin Free cash flow growth by 2017 to shareholders Accelerated Operating margin Optimal organic growth to historic highs capital allocation Analyst & Investor Day May 28, 2015 11
Slide 13: Strong positions across all end-markets
Strong positions across all end-markets #1 in Applied - strong in Life Sciences - emerging in Dx Market LT market Market Revenue End-markets(1) size growth position mix FY14 Chemical & $4.2B 2-4% 24% Energy Environment $5.2B 2-4% #1 16% Food $4.2B 4-6% 11% Pharma $11.5B 3-5% #2 26% Academia & $10.4B
Slide 14: Winning Strategy
Winning Strategy The World’s Premier Laboratory Partner Chemical Academia & Clinical & The Environment & Energy Food Pharma Government Diagnostics $45B (1) Opportunity $13B(1) $22B(1) $10B(1) Premium value creation Premium market positions A Accelerated Organic Growth 1 Lead The Analytical Lab B Ope
Slide 15: Accelerating Organic Growth
Accelerating Organic Growth A Drive the science and the economics of the lab Drive the science and Leverage analytical strengths economics of the lab to drive success in diagnostics Instruments & Tools Analytical Analytical lab solutions Lab and lab enterprise services Services & Consulting Clinical
Slide 16: Productivity Solutions
Accelerating Organic Growth A Outgrow market through market focus and innovation Market Rev. Market Key Segments (FY14)(1) growth(2) growth drivers Position Routine and Mass Spec, Applied 51% 3-4% municipal Spectroscopy, #1 Productivity Solutions Markets labs Chromatography Lab Enterprise and Life P
Slide 17: Expanding Operating Margins
Expanding Operating Margins B A multi-year cost reduction and rationalization program Operating margin to historic highs Agile Agilent 1 Restructured operations 410 bps 50% 2 Rationalized portfolio FY14 FY17 50% 3 Optimize infrastructure Rationalize and cost-out FY15-FY17 50% 4 Streamline R&D $1
Slide 18: Optimal Capital Allocation
Optimal Capital Allocation C A balanced approach to capital allocation Capital allocation principles Support ongoing business Enable investments for growth Deliver predictable and sustainable returns to shareholders Maintain appropriate leverage / utilizing debt markets Capital allocation priorities
Slide 19: Optimal Capital Allocation
Optimal Capital Allocation C Committing to increasing returns to shareholders Expand Accelerate operating growth margin Optimal capital allocation $1.7B 86% 2.3x Capital returns of free cash flow to Adjusted debt / 2016-18 shareholders EBITDA ratio 2016-18 Analyst & Investor Day May 28, 2015 18
Slide 20: Group Measures of Success
Group Measures of Success Aligned plans to deliver our strategy Strategic Aspiration Measures of success Lead the Analytical Lab Expand Pharma & A&G LSAG Revenue FY14 Directional growth $2.1B 4-5% Grow share in LC-MS Win in Lab Enterprise Mgmt. Expand OpenLAB ACG Revenue FY14 Directional growth $1.3
Slide 21: How We Will Win
How We Will Win Execution of key strategic priorities next 3 years FY17 FY16 FY15 Lead Leverage Transition Restructured operations Streamline R&D Drive commercial excellence Agile SG&A Optimize infrastructure Integrate Dako businesses Agilent Rationalized portfolio Continuous portfolio reviews Drive
Slide 22: Increasing and Predictable Value Creation and Distribution
Increasing and Predictable Value Creation and Distribution Chief Financial Officer Didier Hirsch Analyst & Investor Day May 28, 2015 21
Slide 23: Increasing Value Creation
22% >85% Free cash flow Operating margin in 2017 to shareholders Leveraging the Sustainable and Increasing strong balance predictable value creation sheet capital returns Analyst & Investor Day May 28, 2015 22
Slide 24: 2015-2017 Roadmap
Increasing Value Creation Financial results are on-track Past Future Core Last 3 years Next 3 years revenue growth(1) 4.6% 5.5% 23% Operating FY11 FY14 FY17 LSAG+ACG margin(2) 16.6% 18.8% 22.0% 20% DGG Over 20% beyond 2017 (1) Core growth is reported growth less the effects of FX and M&A. (2) Presen
Slide 25: 2015-2017 Roadmap: Path to 22% Operating Margin
2015-2017 Roadmap Firmly moving on a path to 22% adj. Operating Margin March 2014 Analyst Day FY2014 FY2015 FY2016 FY2017 Core Revenue(1) Growth 4.8% 5.4% 5.8% 6.0% OM% – unadjusted 19.5% 19.6% 21.1% 22.0% Today Core Revenue(1) Growth 4.3% 6.7% 5.0% 5.0% OM%(2) – unadjusted 18.8% 18.4% 20.7% 21.7% -
Slide 26: LSAG+ACG Positioning vis-à-vis peers
LSAG+ACG Positioning vis-à-vis peers Peer group Positioning vis-à-vis peers Operating margin% (non-GAAP) Agilent – LSAG+ACG (FY14) (FY14) Average 16.9% Rev OM%(1) R&D% Waters 28.2% $3,385M 19.8% 7.7% LSAG/ACG(1) 19.8% TMO A.I. 17.9% Higher R&D spend than TMO, but higher OM and higher revenue growth
Slide 27: DGG Positioning vis-à-vis peers
DGG Positioning vis-à-vis peers Peer group Positioning vis-à-vis peers FY14 OM% R&D% Hologic 32.3% Illumina 20.8% Agilent – DGG (FY14) Illumina 29.4% Cepheid 20.6% Rev OM%(2) R&D% TMO(1) 27.4% Affymetrix 14.4% Qiagen 23.2% DGG 13.0% $663M 14.0% 13.0% Roche Diagn. 19.5% Qiagen 12.2% Alere 15.6% bioMé
Slide 28: Bridge to adj. 22% Operating Margin
Bridge to adj. 22% Operating Margin Revenue Operating Operating (M$) Profit (M$)(1) Margin(1) 60% from FY14 4,048 763 18.8% operating leverage Topline Growth(2) 442 263 423 NMR/XRD Exit -80 20 COS/OpEx Reductions 140 40% from cost Employee Bonus related to OM reductions improvement -25 Split Dis-syn
Slide 29: Operating Margin improvements
Operating Margin improvements Equal balance between GM and OpEx FY14 FY15 FY16 FY17 FY14-17 (1) (2) Reported Proforma GM% 53.5% 53.3% 54.0% 55.0% 55.6% +230 bps OpEx%(3) 34.7% 35.4% 35.0% 34.0% 33.6% +180 bps OM%(3) 18.8% 17.9% 19.0% 21.0% 22.0% +410 bps (1) Presented on a non-GAAP basis, reconcilia
Slide 30: Capital Structure and Returns
Capital Structure and Returns Increasing returns from FCF and Debt FY15 FY16 FY17 FY18 FCF(1) (M$) 555 620 650 690 FCF(1) % of Revenue 14% 14% 15% 15% Capital Returns - Share Repurchases 365 380 380 380 - Dividend 135 155 180 210 Total (M$) 500 535 560 590 Capital Returns % of FCF(1) 90% 86% 86% 86%
Slide 31: Q&A: Direction, Strategy, Financials
Q&A Direction I Strategy I Financials Analyst & Investor Day May 28, 2015 30
Slide 32: LSAG: Lead The Analytical Lab
LSAG Lead The Analytical Lab President, Life Sciences & Applied Markets Group Patrick Kaltenbach Analyst & Investor Day May 28, 2015 31
Slide 33: LSAG Leads the Analytical Labs
$2.1B 18% $35B (2) FY14 revenue FY14 OM(1) Market opportunity Expand Customer centric Exceptional value market share approach proposition (1) Presented on a non-GAAP basis, reconciliations to closest GAAP equivalent provided; (2) Market size per Company estimates Analyst & Investor Day May 28, 2015
Slide 34: LSAG Opportunity: One Global Go-to-Market Model
LSAG Leads the Analytical Labs Through One Global Go-to-Market Model Key challenges of our Analytical Lab customers Lab manager: Research Scientist: Procurement: How do I secure Which solution will Who provides the 100% uptime with best support our lowest cost-of- round-the-clock diverse discovery o
Slide 35: LSAG Opportunity: Large and growing end-markets
LSAG Opportunity Large and growing end-markets DGG platform – Genomics for A&G LSAG addressed markets(1) $35.5B $11.5B $10.4B $5.2B $4.2B $4.2B LSAG TAM LT growth 3-5% 3-5% 2-4% 2-4% 4-6% Market position #2 #5 #1 #1 #1 FY14 revenue 26% 12% 16% 24% 11% % of Agilent (1) Market size, growth and positio
Slide 36: Platform leverage: Competitive platforms across end-markets
Platform leverage Competitive platforms across end-markets Chemical & Academia & Food Environment Pharma Energy Government Mass Spectrometry Liquid Chromatography Gas Chromatography Spectroscopy & Vacuum Software & Informatics Analyst & Investor Day May 28, 2015 35
Slide 37: LSAG Customers
LSAG Customers Leveraging technologies routinely across purposes Markets Customer Types Workflow & technique Food processing companies Nestle Monsanto Routine testing of food Academia and government Mars safety and qualify Contract testing companies 7010 GC-QQQ Petroleum companies Dow Shell
Slide 38: Innovative Key Products
Innovative Key Products Leading the category in 2014 Mass Liquid Gas Software & Spectroscopy Spec. Chromatography Chromatography Informatics 6495 LC/QQQ 1290 Infinity II 7200 GC-Q/TOF 5100 ICP-OES OpenLAB Most sensitive Best-in-class Highly Most productive Unified Data LC/QQQ system performance, dif
Slide 39: Differentiated New Solution: Environmental water analysis
Differentiated New Solution (1) Environmental analysis of water and waste water Industry challenge Agilent response Increasing push for efficiency and reducing Atomic Spectroscopy: cost of analysis of environmental water and The Agilent 5100 waste water in contract laboratories, ICP-OES municipal la
Slide 40: Differentiated New Solution: Metabolomics portfolio
Differentiated New Solution (2) Industry-leading metabolomics portfolio Industry challenge Agilent response To identify and quantitate cellular metabolites Agilent 6550 LC QTOF from complex datasets; understand metabolic Agilent 6495 LC QQQ pathways, measure toxicity, or elucidate Agilent 7200 GC QT
Slide 41: China: A significant and growing market for Agilent
China A significant and growing market for Agilent Revenue growth in China FY14-17 Key growth drivers LSAG LSAG China Demand for solutions supporting nationwide Rest of World food safety and authenticity testing Growth in fine chemicals for LC, Spectroscopy and informatics solutions >9% GC, ICP and
Slide 42: LSAG Outlook
LSAG Outlook Continued strong growth trajectory Key growth initiatives Outlook Maximize oligo synthesis FY14 FY15-17 for DNA/RNA research revenue growth Expand Pharma & A&G New solutions for Biopharmaceutical analysis $2.1B 4-5% Grow Accelerate Mass spec and FY14 Future share in multi-omics market p
Slide 43: ACG: Win in Lab Productivity
ACG Win in Lab Productivity President, Agilent CrossLab Group Mark Doak Analyst & Investor Day May 28, 2015 42
Slide 44: ACG Addresses a Growing Demand
$1.3B 23% FY14 Revenue FY14 OM(1) Attractive and Leverage unique Trends point to growing market lab access and lab-wide solutions potential presence (1) Presented on a non-GAAP basis, reconciliations to closest GAAP equivalent provided Analyst & Investor Day May 28, 2015 43
Slide 45: ACG Value Proposition
ACG Addresses a Growing Demand for Lab-wide Economic Value and Productivity Key challenges of our CrossLab customers Lab manager: Team Lead: Procurement: How do I reduce the How do I optimize How can we lower complexity of the the instrument overall cost of enterprise? performance? ownership across
Slide 46: ACG's Response to Customer Preferences
ACG Value Proposition Innovation keeping the lab effective and productive Leveraging scale, customer access and core competencies 40,000 + consumables / parts 1.4 million interactions per year (on- 6,000+ customers touched shipments per month site and contact combined) every day Chemistries & Servic
Slide 47: A single source for integrated solutions
ACG’s Response to Customer Preferences A single source for integrated solutions Bruker Lab Enterprise Platform PerkinElmer Specific Waters Management OneSource Solutions Services Shimadzu Thermo Fisher Unity Lab Services The value Reducing total Optimizing flow and TCO TAT proposition cost of owners
Slide 48: A Large Untapped Opportunity
A Large Untapped Opportunity Capture growth across multiple vectors A large installed base Across markets, vendors and platforms Grow lab-wide business services and integrated productivity solutions Informatics Engaging the enterprise Throughout the lab Across workflows Expand asset optimization and
Slide 49: The ACG Offering in Action: Pharma API manufacturing
The ACG Offering in Action Multi-national pharma API manufacturing Lab challenge ACG solution Disjointed Service strategy in client CrossLab Life Cycle solution for Laboratory instruments, services and consumables Challenging management of compliance On-site technical and site mgmt. risk thr
Slide 50: The ACG Offering in Action: Drug research in bio-pharma
The ACG Offering in Action Drug research in bio-pharma Lab challenge ACG response and solution Lab services management over multiple One, simplified and integrated CrossLab cost centers. delivery model Multiple in-house/vendor service models Single interface for R&D Diverse protocols Inv
Slide 51: The New ACG: Expanding higher tier offerings
The New ACG Our recognized and expanding higher tier offerings Lab type Core and adjacent offerings Integrated The routine Benchmarking workflows testing Inventory Supplies Management laboratory Education Business Relocation solutions Sample Prep Application The research support laboratory Maintenan
Slide 52: ACG Outlook
ACG Outlook Leveraging strong presence in the lab Key growth initiatives Outlook Introduce unified informatics FY14 FY15-17 solutions revenue growth Expand OpenLAB Expand informatics enabled $1.3B 5-6% enterprise solutions FY14 Future Evolve enterprise solutions to OM%(1) OM direction deliver greate
Slide 53: DGG: Advance Clinical Diagnostics
DGG Advance Clinical Diagnostics President, Diagnostics & Genomics Group Jacob Thaysen Analyst & Investor Day May 28, 2015 52
Slide 54: DGG Leads Agilent's Strategy
$663M 14% $10B (2) FY14 Revenue FY14 OM(1) Market opportunity Back on the Winning strategy for Cancer & growth track Agilent’s clinical play Genetic Disorders (1) ) Presented on a non-GAAP basis, reconciliations to closest GAAP equivalent provided (2) Market size per Company estimates Analyst & Inve
Slide 55: DGG in Clinical Research & Diagnostics Market
DGG Leads Agilent’s Strategy in Clinical Research (CR) & Diagnostics (Dx) Key challenges of our CR & Dx customers Lab manager: Lab tech: Physician: How can I maximize How can we How can we better productivity and optimize work-flow treat maladies earlier reduce overall cost and obtain real-time and
Slide 56: A $4.0B addressable opportunity
CR & Dx Market A $4.0B addressable opportunity LSAG platforms DGG platforms Breakdown of the DGG markets Agilent CR & Dx Market Agilent A&G market $10.0B(1) $10.4B $5.9B(2) SAM $4B $4.5B $2.3B $1.4B $0.3B CR/Dx Pathology Genomics Analytical LSR Genomics Analytical TAM tools TAM tools Clinical & A&G
Slide 57: Synergies Across the Different Labs
Synergies Across the Different Labs Capability and platform leverage across Agilent Leverage strength in the Analytical Lab to drive success in the Diagnostic Lab Clinical Research Analytical Diagnostic Lab Lab Early adopters Advance disease research Enable transition from Diagnose and advise and dr
Slide 58: Revolution in disease profiling and precision medicine
Agilent’s Growth Opportunity Revolution in disease profiling and precision medicine Advanced Agilent clinical Personalized disease profiling opportunity treatment profiling Anatomic Molecular Companion pathology diagnostics diagnostics Accelerated Increased maturity of Big-pharma discovery of new mo
Slide 59: CR & Dx Strategy
CR & Dx Strategy Leverage strongholds in select clinical domains Fight cancer by regaining staining leadership Lead clinical adoption of genomics Improve quality of life through genomic solutions for identifying genetic disorders Analyst & Investor Day May 28, 2015 58
Slide 60: Cancer and Genetic Disorders: Two Focused Strategic Plays
Two Focused Strategic Plays Cancer and Genetic Disorders Cancer Staining > Pathology Lab Genomics Agilent in unique position to lead Technologies + 10% $4.2B Strong domain expertise and know-how $3.2B Recognized diagnostics brand (Dako) Disease areas Unique access to the pathology lab Fast-gro
Slide 61: Key Differentiating Products
Key Differentiating Products Leading portfolio of staining and genomics solutions Improve quality of life through Fight cancer by regaining genomic solutions for identifying staining leadership genetic disorders Global commercial Pfizer Array for rapid uptake of Omnis screening of embryos Amgen BMS
Slide 62: Pathology Vision
Pathology Vision Integrating multiple workflows + diagnostics cockpit Patient case LIS Pathologist Lab Advanced Staining Information System IHC & FISH Scan for digital pathology Primary Staining Lab Sample ID, Protocol, Status, Quality Control, Result... manager H&E(1) Lab control software platform
Slide 63: Growth Strategy: Integrated clinical workflow
Growth Strategy From mix & match to an integrated clinical workflow Today 2016 2017 2020 Targeted application Develop integrated development clinical workflow Regain pathology leadership Realize the diagnostics cockpit vision (leverage OpenLAB) From: To: Mix & Match Complete Workflow Work-flow made
Slide 64: Roadmap to 20% OM FY2017
Roadmap to 20% OM FY2017 Focused execution to bring OM beyond 20% Deliver core growth above market Top-line leverage Cost-reduction Omnis acceleration Full Dako integration CDx growth / PD-L1 FDA normalization Genomics workflow Gross Margin BioReagents FY17 20% OM and more beyond 2017 Analyst & Inve
Slide 65: DGG Outlook
DGG Outlook Back on the growth track with OM nearing 20% Key growth initiatives Outlook FY14 FY15-17 Accelerate OMNIS market uptake revenue growth Regain pathology leadership Commercialize new CDx assays $663M 6-7% driving precision medicine FY14 Future Build-out genomic workflows and OM%(1) OM dire
Slide 66: OFS: The Power of One
OFS The Power of One President, Order Fulfillment & Supply Chain Henrik Ancher-Jensen Analyst & Investor Day May 28, 2015 65
Slide 67: Power of One
$75M cost-savings FY15-17 One operating On-track for 2015 OFS staying model savings target the course Analyst & Investor Day May 28, 2015 66
Slide 68: Power of One: All Hands on Deck
Power of One Driving rationalization and simplification The “Power of One” in a nutshell Act as 1 company 1 Implement the new stream- 1 New global operating model lined OFS operating model 2 Streamlined global support processes # 1 quality & delivery #1 Manage transition to perform in regulated envi
Slide 69: All Hands on Deck: New Operating Model
All Hands on Deck Global and local OFS team aligned behind strategy Example: Shop floor All major sites Roadmap for Roadmaps for OFS management Centers of excellence Analyst & Investor Day May 28, 2015 68
Slide 70: New Operating Model: Value Engineering
New Operating Model A foundation for operational excellence Global Supply Chain & Logistics Instrument Chemistries Bio Reagents Manufacturing (IM) (CH) (BR) Value New Product Continuous Business Engineering Introduction Improvement Solutions Optimize cost and quality Position OFS as Deliver CI proje
Slide 71: Value Engineering: Product cost and quality improvements
Value Engineering Driving product cost and quality improvements New global VE set-up Relocation to Low-Cost-Region (LCR) Pre-launch (NPI) Post-launch (VE) • Localization of raw materials is a natural G1 G2 G3 G4 Marketed product continuation of our transformation and Launch integration activities Ma
Slide 72: Staying the Course
Staying the Course Sizable cost-savings in support of Agile Agilent Supporting Agilent growth and margin expansion Grow Pharma & A&G Rationalization and simplification across supply chain Driving operational excellence and quality Grow share in LC-MS Centers of excellence and new global processes Al
Slide 73: Q&A: LSAG, ACG, DGG, OFS
Q&A LSAG I ACG I DGG I OFS Analyst & Investor Day May 28, 2015 72
Slide 74: Growth Opportunities
Growth Opportunities President and Chief Executive Officer Mike McMullen Analyst & Investor Day May 28, 2015 73
Slide 75: Are we changing as fast as the world around us?
Are we changing as fast as the world around us? Analyst & Investor Day May 28, 2015 74
Slide 76: Growth Opportunities for Agilent
Growth Opportunities for Agilent Synthetic Precision Biology Medicine Analytical Clinical Clinical Lab Research Diagnostics Clinical Integrated Sequencing Biology Amgen Synthetic Precision BMS Clinical Integrated Biology Medicine Pfizer Sequencing Biology Merck Analyst & Investor Day May 28, 2015 75
Slide 77: Agilent Vision and Strategy
Agilent Vision and Strategy In line with the next frontiers of growth A safer Better world resources Fighting disease Analyst & Investor Day May 28, 2015 76
Slide 78: Closing remarks
Closing remarks President and Chief Executive Officer Mike McMullen Analyst & Investor Day May 28, 2015 77
Slide 79: New Agilent: Catalyzing value creation
New Agilent Catalyzing value creation through market leadership In tune with our customers and our investors The The Expand Accelerate Analytical Clinical operating growth Lab Lab margin Lab Optimal Enterprise capital Mgmt. allocation Premium market positions Premium shareholder value Analyst & Inve
Slide 80: Key Takeaways
Key Takeaways Increasing and sustained value creation Accelerated Operating Margin Increased Organic Growth to Historic Highs Capital Returns 5% 22% >85% Organic growth (1 pp / year) Free cash flow to shareholders Analyst & Investor Day May 28, 2015 79
Slide 81: Thank you
Thank you Analyst & Investor Day May 28, 2015 80
Slide 82: Financial Reconciliations
Financial Reconciliations Analyst & Investor Day May 28, 2015 81
Slide 83: Reconciliation of Income from Operations to Segment Income
AGILENT TECHNOLOGIES, INC. RECONCILIATION OF INCOME FROM OPERATIONS TO REPORTABLE SEGMENT INCOME FROM OPERATIONS AND OPERATING MARGINS (In millions, except margin data) (Unaudited) Operating Operating FY 2014 Margin % FY 2011 Margin % Revenue: Life Sciences and Applied Markets Group $ 2,078 Agilent
Slide 84: Reconciliation from GAAP to Non-GAAP, Twelve Months Ended October 31, 2014
AGILENT TECHNOLOGIES, INC. RECONCILIATION FROM GAAP TO NON-GAAP TWELVE MONTHS ENDED OCTOBER 31, 2014 (Unaudited) NON-GAAP ADJUSTMENTS Acceleration of Share-based Compensation Business Restructuring Asset Related to Transform- Acquisition & Pre- Net Loss on Exit and Unallocated and Other Impairments
Slide 85: Reconciliations of Revenue Excluding Currency Adjustments (Core)
AGILENT TECHNOLOGIES, INC. RECONCILIATIONS OF REVENUE EXCLUDING THE IMPACT OF CURRENCY ADJUSTMENTS (CORE) (in millions) (Unaudited) Year-over-Year Currency GAAP Adjustments (a) Currency-Adjusted Year-over-Year Year-over-Year Revenue YTD 2014 YTD 2013 % Change YTD 2014 YTD 2014 YTD 2013 % Change Agil