The chart below shows how BRKR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, BRKR sees a +1.26% change in stock price 10 days leading up to the earnings, and a -0.38% change 10 days following the report. On the earnings day itself, the stock moves by +0.10%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Rapid Revenue Growth: Bruker continues to grow rapidly and has once again posted double-digit year-over-year CER constant exchange rate revenue and above market organic revenue growth in Q3 and year-to-date.
Q3 2024 Revenue Growth: Our Q3 2024 CER revenue growth was 15.7% year-over-year, including several strategic acquisitions that have closed earlier in the year.
Q3 Organic Revenue Growth: Our Q3 2024 organic revenue growth of 3.1% and Bruker Scientific Instruments or BSI segment organic revenue growth of 3.8% year-over-year were above market at the high end of the Life Science tools market and come on top of our strong organic growth of 10.9% in the prior year, Q3 2023, which obviously made for a tougher year-over-year comparison than what our peers typically faced in Q3.
Project Acceleration Transformation: This is a testament to our multi-year project acceleration transformation into a fast growth company with increased exposure to many of the most powerful secular trends in our industry.
Sequential Operating Improvements: We have already delivered sequential operating improvements in Q3, which was our first full quarter including all acquisitions and we also expect further sequential margin improvements in Q4.
Negative
Earnings Per Share Decline: Q3 2024 GAAP diluted EPS was $0.27, down from $0.60 reported in Q3 2023, indicating a significant decline in profitability.
Operating Margin Decline: Non-GAAP operating margin decreased by 510 basis points year-over-year to 14.9%, primarily due to expected dilution from recent strategic acquisitions.
Cash Flow Decline: Operating cash flow in Q3 2024 was $38.4 million, compared to $44.1 million in Q3 2023, reflecting a decline in cash generation capabilities.
Organic Revenue Decline: The company reported a decrease in organic revenue growth to 3.1% in Q3 2024, down from 10.9% in the same quarter last year, indicating a slowdown in business momentum.
Lowered Revenue Growth Guidance: The guidance for fiscal year 2024 was lowered, with expected revenue growth now projected in the range of 3% to 4%, down from previous expectations, reflecting ongoing challenges.
Bruker Corporation (BRKR) Q3 2024 Earnings Call Transcript
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