Slide 1: Second Quarter 2022 Earnings Release
DANAHER CORPORATION Second Quarter 2022 Earnings Release July 21, 2022
Slide 2: Forward Looking Statements
Forward Looking Statements Statements in this presentation that are not strictly historical, including any statements regarding Danaher’s anticipated future financial performance and any other statements regarding events or developments that we anticipate will or may occur in the future are "forward
Slide 3: Second Quarter 2022 Performance Summary
Second Quarter 2022 Performance Summary ADJUSTED DILUTED NET REVENUE EARNINGS PER COMMON SHARE +7.5% +12.0% Core +9.5% Acquisitions +2.5% FX -4.5% $2.76 $7,751 $2.46 $7,218 Q2 2021 Q2 2022 Q2 2021 ($ millions) Q2 2022 Throughout this presentation, with respect to revenue performance, for the definit
Slide 4: Second Quarter 2022 Performance Summary: Operating Profit Margin
Second Quarter 2022 Performance Summary OPERATING PROFIT MARGIN +60 BPS Core +100 bps Acquisitions -30 bps Other -10 bps 27.8% 28.4% Q2 2021 Q2 2022 Throughout this presentation when referred to in connection with operating profit margins, “Acquisitions” refers to the impact of businesses owned for
Slide 5: Second Quarter 2022: Life Sciences
Second Quarter 2022: Life Sciences REVENUE OPERATING PROFIT MARGIN +6.0% -100 BPS Core +7.0% Acquisitions -100 bps Acquisitions +4.0% FX -5.0% $3,967 30.6% 29.6% $3,734 Q2 2021 ($ millions) Q2 2022 Q2 2021 Q2 2022 5
Slide 6: Second Quarter 2022: Diagnostics
Second Quarter 2022: Diagnostics REVENUE OPERATING PROFIT MARGIN +9.5% +340 BPS Core +12.5% Core +295 bps Acquisitions +1.0% Acquisitions +45 bps FX -4.0% $2,561 $2,336 31.2% 27.8% Q2 2021 ($ millions) Q2 2022 Q2 2021 Q2 2022 6
Slide 7: Second Quarter 2022: Environmental & Applied Solutions
Second Quarter 2022: Environmental & Applied Solutions REVENUE OPERATING PROFIT MARGIN +6.5% +70 bps Core +10.0% Core +130 bps FX -3.5% Divestitures +10 bps Other -70 bps $1,223 25.1% $1,148 24.4% Q2 2021 ($ millions) Q2 2022 Q2 2021 Q2 2022 7
Slide 8: Guidance
GUIDANCE 8
Slide 9: Q&A
Q&A 9
Slide 10: DANAHER
DANAHER
Slide 11: Reconciliation of GAAP to Non-GAAP Financial Measures and Supplemental Information
DANAHER CORPORATION RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES AND SUPPLEMENTAL INFORMATION THREE AND SIX-MONTH PERIODS ENDED JULY 1, 2022 AND JULY 2, 2021
Slide 12: Table of Contents
TABLE OF CONTENTS Page 1 Core Sales Growth by Segment and Base Business Core Sales Growth 2 Forecasted Core Sales Growth and Base Business Core Sales Growth 3 Segment Sales, Operating Profit and Adjusted Operating Profit 4 Adjusted EBITDA and Adjusted EBITDA Margin 8 Other Non-GAAP Adjusted P&L Meas
Slide 13: Core Sales Growth by Segment and Base Business Core Sales Growth
DANAHER CORPORATION Core Sales Growth by Segment and Base Business Core Sales Growth % Change Three-Month Period Ended July 1, 2022 vs. Comparable 2021 Period Segments Environmental & Total Company Life Sciences Diagnostics Applied Solutions Total sales growth (GAAP) 7.5 % 6.0 % 9.5 % 6.5 % Impact o
Slide 14: Forecasted Core Sales Growth and Base Business Core Sales Growth
DANAHER CORPORATION Forecasted Core Sales Growth and Base Business Core Sales Growth 1 % Change Three-Month % Change Year Ending Period Ending September December 31, 2022 vs. 30, 2022 vs. Comparable Comparable 2021 2021 Period Period Core sales growth (non-GAAP) +Low-single digit +Mid-single digit I
Slide 15: Segment Sales, Operating Profit and Adjusted Operating Profit
DANAHER CORPORATION Segment Sales, Operating Profit and Adjusted Operating Profit ($ in millions) Three-Month Period Ended Six-Month Period Ended July 1, 2022 July 2, 2021 July 1, 2022 July 2, 2021 Sales (GAAP) Life Sciences $ 3,967 $ 3,734 $ 7,849 $ 7,280 Diagnostics 2,561 2,336 5,205 4,514 Environ
Slide 16: Adjusted EBITDA and Adjusted EBITDA Margin (Q2 2022)
DANAHER CORPORATION Adjusted EBITDA and Adjusted EBITDA Margin ($ in millions) Three-Month Period Ended July 1, 2022 Environmental & Applied Life Sciences Diagnostics Solutions Other Total Company Net Earnings from Continuing Operations (GAAP) $ 1,680 Interest, Net 49 Other Nonoperating (Income) Exp
Slide 17: Adjusted EBITDA and Adjusted EBITDA Margin (Q2 2021)
DANAHER CORPORATION Adjusted EBITDA and Adjusted EBITDA Margin ($ in millions) Three-Month Period Ended July 2, 2021 Environmental & Applied Life Sciences Diagnostics Solutions Other Total Company Net Earnings from Continuing Operations (GAAP) $ 1,699 Interest, Net 59 Other Nonoperating (Income) Exp
Slide 18: Adjusted EBITDA and Adjusted EBITDA Margin (Six months 2022)
DANAHER CORPORATION Adjusted EBITDA and Adjusted EBITDA Margin ($ in millions) Six-Month Period Ended July 1, 2022 Environmental & Applied Life Sciences Diagnostics Solutions Other Total Company Net Earnings from Continuing Operations (GAAP) $ 3,405 Interest, Net 102 Other Nonoperating (Income) Expe
Slide 19: Adjusted EBITDA and Adjusted EBITDA Margin (Six months 2021)
DANAHER CORPORATION Adjusted EBITDA and Adjusted EBITDA Margin ($ in millions) Six-Month Period Ended July 2, 2021 Environmental & Applied Life Sciences Diagnostics Solutions Other Total Company Net Earnings from Continuing Operations (GAAP) $ 3,401 Interest, Net 113 Other Nonoperating (Income) Expe
Slide 20: Other Non-GAAP Adjusted P&L Measures (Q2 2022)
DANAHER CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) Three-Month Period Ended July 1, 2022 Earnings Net earnings from Diluted net from continuing earnings per continuing operations for common operations calculation of share from Gross profit Operating Opera
Slide 21: Other Non-GAAP Adjusted P&L Measures (Q2 2021)
DANAHER CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) Three-Month Period Ended July 2, 2021 Earnings Net earnings from Diluted net from continuing earnings per continuing operations for common operations calculation of share from Gross profit Operating Opera
Slide 22: Other Non-GAAP Adjusted P&L Measures (Six months 2022)
DANAHER CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) Six-Month Period Ended July 1, 2022 Earnings Net earnings from Diluted net from continuing earnings per continuing operations for common share operations calculation of from Gross profit Operating Operati
Slide 23: Other Non-GAAP Adjusted P&L Measures (Six months 2021)
DANAHER CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) Six-Month Period Ended July 2, 2021 Earnings Net earnings from Diluted net from continuing earnings per continuing operations for common share operations calculation of from Gross profit Operating Operati
Slide 24: Other Non-GAAP Adjusted P&L Measures: Footnotes
DANAHER CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) A Amortization of acquisition-related intangible assets in the following historical periods ($ in millions) (only the pretax amounts set forth below are reflected in the amortization line item above): Thr
Slide 25: Other Non-GAAP Adjusted P&L Measures: MCPS Notes
DANAHER CORPORATION Other Non-GAAP Adjusted P&L Measures ($ in millions, except per share data) I In March 2019, the Company issued $1.65 billion in aggregate liquidation preference of 4.75% MCPS Series A. In May 2020, the Company issued $1.72 billion in aggregate liquidation preference of 5.0% MCPS
Slide 26: Adjusted Average Common Stock and Common Equivalent Diluted Shares Outstanding
DANAHER CORPORATION Adjusted Average Common Stock and Common Equivalent Diluted Shares Outstanding (shares in millions) Forecasted Three-Month Three-Month Period Ended Six-Month Period Ended Period Ending Year Ending September 30, December 31, July 1, 2022 July 2, 2021 July 1, 2022 July 2, 2021 2022
Slide 27: Year-Over-Year Core Operating Margin Changes from Continuing Operations
DANAHER CORPORATION Year-Over-Year Core Operating Margin Changes from Continuing Operations Segments Environmental & Applied Total Company Life Sciences Diagnostics Solutions Three-Month Period Ended July 2, 2021 Operating Profit Margins from Continuing Operations (GAAP) 27.80 % 30.60 % 27.80 % 24.4
Slide 28: Free Cash Flow from Continuing Operations and Conversion Ratio
DANAHER CORPORATION Free Cash Flow from Continuing Operations and Free Cash Flow from Continuing Operations to Net Earnings from Continuing Operations Conversion Ratio ($ in millions) Three-Month Period Ended Six-Month Period Ended Year-over-Year Year-over-Year July 1, 2022 July 2, 2021 Change July
Slide 29: Statement Regarding Non-GAAP Measures
DANAHER CORPORATION Statement Regarding Non-GAAP Measures Each of the non-GAAP measures set forth above should be considered in addition to, and not as a replacement for or superior to, the comparable GAAP measure, and may not be comparable to similarly titled measures reported by other companies. M
Slide 30: Statement Regarding Non-GAAP Measures (continued)
DANAHER CORPORATION Statement Regarding Non-GAAP Measures ◦ Other Adjustments. With respect to the other items excluded from Adjusted Diluted Net Earnings Per Common Share from Continuing Operations, we exclude these items because they are of a nature and/or size that occur with inconsistent frequen
Slide 31: Supplemental Information
DANAHER CORPORATION Supplemental Information ($ in millions) Three-Month Period Ending Year Ending September 30, 2022 December 31, 2022 COVID-19 testing sales ~$325 ~$2,500 8 Impact of currency exchange rates on sales ~(6.0)% ~(4.5)% Operating profit fall-through 9 ~25.0% 10 Corporate expense ~$(75)
Slide 32: DANAHER
DANAHER