Agilent Technologies, Inc. (NYSE:A) 15.Feb 2017 reported revenue of $1.07 billion, up 3.8 percent year over year (up 4.8 percent on a core basis(2)) for the first fiscal quarter ended Jan. 31, 2017.
First-quarter GAAP net income was $168 million, or $0.52 per share. Last year’s first-quarter GAAP net income was $121 million, or $0.36 per share.
During the first quarter, Agilent had intangible amortization of $31 million, acquisition and integration costs of $16 million, transformation costs of $2 million and $2 million of other costs. Excluding these items, a pension settlement gain of $32 million and a tax benefit of $15 million, Agilent reported first-quarter non-GAAP net income of $172 million, or $0.53 per share(1).
“The Agilent team started 2017 with another strong quarter, despite currency headwinds,” said Mike McMullen, Agilent president and CEO. “Our first-quarter revenue and non-GAAP earnings per share(1) exceeded the high end of November’s guidance.
“Our strong revenue results were driven by a return to growth in our Chemical & Energy business and higher-than-expected China growth. Overall, we are confident in the company’s prospects, and we are raising our full-year core revenue growth expectations,” McMullen added.
First-quarter revenue of $540 million from Agilent’s Life Sciences and Applied Markets Group (LSAG) grew 3 percent year over year (up 4 percent on a core basis(2)), with strength in pharma, food, chemical and energy. LSAG’s Q1 operating margin for the quarter was 23.4 percent.
First-quarter revenue of $363 million from the Agilent CrossLab Group (ACG) grew 6 percent year over year (up 7 percent on a core basis(2)). Both services and consumables experienced healthy growth across all geographies. ACG’s operating margin for the quarter was 20.3 percent.
First-quarter revenue of $164 million from Agilent’s Diagnostics and Genomics Group (DGG) grew 4 percent year over year (also up 4 percent on a core basis(2)), led by strength in Dako-branded products and nucleic acid solutions. DGG’s operating margin for the quarter was 14.3 percent.
Agilent expects second-quarter 2017 revenue in the range of $1.04 billion to $1.06 billion. Second-quarter non-GAAP earnings are expected to be in the range of $0.47 to $0.49 per share(3).
For fiscal year 2017, Agilent expects revenue of $4.33 billion to $4.35 billion and non-GAAP earnings of $2.10 to $2.16 per share(3). The guidance is based on Jan. 31, 2017 currency exchange rates.