CIMdata PLM Industry Summary Online Archive
14 May 2013
Financial News
Agilent Technologies Reports Second-Quarter 2013 Results, Increases Stock Repurchase Program to $1 Billion
Agilent Technologies Inc. reported orders of $1.69 billion, down 8 percent compared with one year ago, and revenues of $1.73 billion for the second fiscal quarter ended April 30, 2013, flat with one year ago. Second-quarter GAAP net income was $166 million, or $0.48 per share. Last year's second-quarter GAAP net income was $255 million, or $0.72 per share.
During the second quarter, Agilent had restructuring costs of $55 million, intangible amortization of $51 million, and acquisition, integration and transformation costs of $9 million. The company also recognized a tax benefit of $18 million. Excluding these items and $6 million of other net charges, Agilent reported second-quarter adjusted net income of $269 million, or $0.77 per share(1).
Agilent CEO Bill Sullivan said, "We were pleased to have exceeded EPS guidance for the quarter, reflecting our focus on cost control and profitability in the face of the worldwide economic slowdown and the impact of U.S. sequestration. We expect the macroeconomic environment to remain challenging throughout the second half of 2013 and are taking additional actions to strengthen our operating performance."
Electronic Measurement second-quarter revenues were down 13 percent compared with the prior year, with particular weakness in wireless manufacturing. Operating margins were 21 percent.
Chemical Analysis revenues were up 3 percent compared with a year ago, led by growth in food markets. Operating margins were 22 percent.
Life Sciences revenues were up 2 percent over a year ago, with continued strength in pharmaceutical markets. Operating margins were 15 percent.
Diagnostics and Genomics revenues grew 124 percent, down 3 percent excluding the effects of the Dako acquisition. Operating margins were 17 percent.
Agilent generated $315 million of cash from operations in the quarter. Second-quarter ROIC was 17 percent(3).
Third-quarter 2013 revenues are expected to be in the range of $1.63 billion to $1.66 billion. Third-quarter non-GAAP earnings are expected to be in the range of $0.60 to $0.64 per share(2).
For the full fiscal year 2013, Agilent now expects revenue of $6.75 billion to $6.85 billion and non-GAAP earnings of $2.70 to $2.85 per share(2).
Stock Repurchase Program
Agilent announced that its board of directors has authorized an increase of $500 million to its existing stock repurchase program. Under the increased program, the company is authorized to repurchase up to $1 billion of its common stock, inclusive of amounts repurchased since Nov. 1, 2012. Agilent expects the program to be completed by the end of calendar year 2013.
During the first quarter of 2013, Agilent purchased 2 million shares of common stock, and in the second quarter, 3.3 million shares were purchased. Under the increased program, approximately $781 million of stock remains to be repurchased.
To view an unabridged version of this press release, visit: http://www.agilent.com/about/newsroom/presrel/2013/14may-gp13006.html
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