Thermo Fisher reports results, lowers guidance
Thermo Fisher Scientific Inc., a Waltham company that provides laboratory equipment and makes scientific instruments, reported declining first-quarter revenues and profit and lowered its guidance for full-year 2009.
Citing the "tough economy," the company said that first-quarter revenues decreased 12 percent to $2.26 billion from a year ago and that those results reflected the negative impact of foreign currency translation, which lowered revenues by 5 percent.
First quarter 2009 net income fell 35 percent to $148.9 million, versus $229.7 million in the same quarter a year ago, the company said. The AP reported that the drop was partly attributable to writedowns of recently acquired assets.
"The tough economy had a significant impact on our results for the first quarter, particularly in our instrumentation and equipment businesses," Thermo Fisher Scientific president and chief executive Marijn E. Dekkers said in a statement. "Our customers are clearly delaying their capital purchases in the current environment. In addition, our revenue growth was affected by considerable foreign currency exchange headwinds. On a positive note, we generated record free cash flow of more than $310 million for the quarter. This underscores the strength of our company, even in these unprecedented times, and gives us the ability to invest for the future."
Dekkers added: "With the global economy showing little sign of improvement at this point in the year, we are lowering our revenue guidance for 2009 by $400 million, to a range of $9.6 to $9.9 billion. This would result in a 6 percent to 9 percent decline in revenues from our strong performance in 2008. We are also lowering our adjusted EPS (earnings-per-share) guidance for the year by $.20, to a range of $2.80 to $3.10. This revised estimate would lead to a 1 percent to 11 percent decline in adjusted EPS, compared with our 2008 adjusted EPS of $3.13."
To read the company's press release, please click here.
(By Chris Reidy, Globe staff)