Bruker revenues jump 16.4% to USD 864.4M in Q3 2024

Bruker Corporation announced financial results for its third quarter and for the nine months ended September 30, 2024.

Frank H. Laukien, Bruker’s President and CEO, commented: “Bruker has again posted double-digit year-over-year CER revenue growth, and above-market organic revenue growth, in Q3 and year-to-date. This is a testament to our Project Accelerate transformation, and to our operational excellence processes driving improvements in our strategic acquisitions. We have delivered sequential operating margin improvements in Q3, and we expect further sequential margin improvements, along with double-digit CER revenue growth, also in the fourth quarter.”

He continued: “Despite biopharma and China recovery delays, orders for our differentiated post-genomic, multiomics, cleantech, semicon and diagnostics solutions are gradually improving, with upper mid-single digit BSI organic bookings growth in Q3 year-over-year. However, nascent biopharma and China recoveries will not benefit our fiscal year 2024 anymore, and accordingly we are lowering our FY2024 guidance. Integrating and improving our strategic acquisitions is making good progress and will further accelerate Bruker’s remarkable transformation. We are confident in our ability to drive above-market organic revenue growth with significant margin expansion in 2025.”

Third quarter 2024 financial results
Bruker’s revenues for the third quarter of 2024 were $864.4 million, an increase of 16.4% compared to $742.8 million in the third quarter of 2023. In the third quarter of 2024, revenues increased 3.1% organically year-over-year, with constant-exchange rate (CER) revenue growth of 15.7%. Revenue growth from acquisitions was 12.5%, while foreign currency translation had a favorable impact of 0.7%.

Third quarter 2024 Bruker Scientific Instruments (BSI) revenues of $799.5 million increased 18.2% year-over-year, with organic revenue growth of 3.8%. Third quarter 2024 Bruker Energy & Supercon Technologies (BEST) revenues of $68.7 million decreased 2.7% year-over-year, with organic revenue, net of intercompany eliminations, decreasing by 3.2%.

Third quarter 2024 GAAP operating income was $68.1 million, compared to $124.5 million in the third quarter of 2023. Non-GAAP operating income was $129.1 million in the third quarter of 2024, a decrease of 12.9% compared to $148.3 million in the third quarter of 2023. Bruker’s third quarter 2024 non-GAAP operating margin was 14.9%, down 510 basis points due to our strategic acquisitions, from 20.0% in the third quarter of 2023.

Third quarter 2024 GAAP diluted earnings per share (EPS) were $0.27, compared to $0.60 in the third quarter of 2023. Third quarter 2024 non-GAAP diluted EPS were $0.60, a decrease of 18.9% compared to $0.74 in the third quarter of 2023.

First nine months of 2024 financial results
For the first nine months of 2024, Bruker’s revenues were $2.39 billion, an increase of 13.1% from $2.11 billion in the first nine months of 2023. In the first nine months of 2024, revenues increased 4.0% organically year-over-year, with constant-exchange rate (CER) revenue growth of 13.2%. Revenue growth from acquisitions was 9.2%, while foreign currency translation had an unfavorable impact of 0.1%.

In the first nine months of 2024, BSI revenues of $2.19 billion increased 14.0% compared to $1.92 billion in the first nine months of 2023, including organic growth of 4.1%. First nine months 2024 BEST revenues of $210.9 million increased 2.6%, compared to $205.5 million in the first nine months of 2023. Organic revenue growth for BEST, net of intercompany eliminations, was 3.7%.

In the first nine months of 2024, GAAP operating income was $181.0 million, compared to $333.4 million in the first nine months of 2023. Non-GAAP operating income in the first nine months of 2024 was $340.5 million, down 13.1% compared to $391.8 million in the first nine months of 2023. Bruker’s non-GAAP operating margin in first nine months of 2024 was 14.3%, a decrease of 430 bps compared to 18.5% in the first nine months of 2023.

First nine months 2024 GAAP diluted EPS was $0.67, compared to $1.50 in the first nine months of 2023. First nine months 2024 non-GAAP diluted EPS was $1.65, down 12.2% compared to $1.88 in the first nine months of 2023.

A reconciliation of non-GAAP to GAAP financial measures is provided in the tables accompanying this press release.

Fiscal year 2024 (FY 2024) financial outlook
For FY 2024, Bruker now expects revenues of $3.34 to $3.37 billion, compared to FY 2023 revenues of $2.96 billion, with 12.5% to 13.5% year-over-year reported revenue growth, including:

• Organic revenue growth of 3% to 4%,
• Contribution from M&A of approximately 9.5%,
• Foreign currency translation impact approximately neutral,
• CER revenue growth of approximately 13%.

Bruker now expects FY 2024 non-GAAP EPS of $2.36 to $2.41, compared to FY 2023 non-GAAP EPS of $2.58.

Updated FY 2024 revenue and non-GAAP EPS guidance is based on foreign currency exchange rates as of September 30, 2024.
MB Bureau