Actionable news
All posts from Actionable news
Actionable news in DHR: DANAHER CORPORATION,

Danaher Delivers Better Than Expected Q2 Earnings

Danaher Corporation DHR announced a 5.61 percent drop in its profit for the second quarter hurt by higher expenses and taxes despite revenue recording 16.5 percent growth. However, adjusted earnings grew 17 percent and came in above the Street analysts' expectations.

Danaher reported net income of $656.7 million or $0.94 a share compared to $695.7 million or $0.97 a share in the year-ago quarter. On an adjusted basis, its earnings would have been $1.25 a share representing a 17 percent year-over-year increase. Analysts estimated the company to report earnings of $1.22 a share.

The company's top line advanced 16.5 percent to $5.78 billion from $4.96 billion in the previous year quarter. Analysts' were looking for $5.76 billion revenue for the three-month period.

President and CEO, Thomas Joyce, Jr., commented on the results, "We were pleased with our performance in the second quarter. Our team continued to execute well in challenging economic conditions, delivering high-teens adjusted earnings per share growth, and strong operating and free cash flow from continuing operations in the quarter."

Joyce added, "We also successfully completed the spin-off of Fortive on July 2nd. Going forward, Danaher will be a diversified, multi-industry, science and technology company with the Danaher Business System continuing as our foundation and competitive advantage."

Moving ahead for the third quarter, the Company expects GAAP earnings per share from continuing operations to be $0.47-$0.51 and adjusted earnings per share from continuing operations to be $0.80 - $0.84. This was lower than the Street estimation of $0.86 a share.

For the full year 2016, Danaher sees net earnings per share from continuing operations to be $2.79-$2.86 while Non-GAAP adjusted earnings per share from continuing operations is estimated to be $3.53-$3.60, reflecting the adjustments identified on the attached reconciliation schedule. Analysts are looking for earnings of $4.29 a share.

The company clarified that both the third quarter and full year 2016 outlook treated Fortive as a discontinued operation for the current year.

On Monday, the stock moved up by 2.97 percent following the results and outlook.

© 2016 Benzinga does not provide investment advice. All rights reserved.