PerkinElmer Announces Financial Results for the Fourth Quarter and Full Year of 2022

Original from: business wire

PerkinElmer, Inc., a global leader committed to innovating for a healthier world, today reported financial results for the fourth quarter and full year ended January 1, 2023.

Fourth Quarter 2022

The Company reported GAAP earnings per share from continuing operations of $0.85, as compared to GAAP earnings per share from continuing operations of $1.45 in the same period a year ago. GAAP revenue for the quarter from continuing operations was $741 million, as compared to $1,028 million in the same period a year ago. GAAP operating income from continuing operations for the quarter was $137 million, as compared to $300 million for the same period a year ago. GAAP operating profit margin from continuing operations was 18.5% as a percentage of revenue, as compared to 29.2% in the same period a year ago.

Adjusted operating income from continuing operations was $240 million, as compared to $432 million for the same period a year ago. Adjusted operating profit margin from continuing operations was 32.3% as a percentage of revenue, as compared to 42.0% in the same period a year ago.

Combined adjusted earnings per share for the quarter was $1.70, as compared to $2.56 in the same period a year ago. Combined adjusted revenue for the quarter was $1,089 million, as compared to $1,365 million in the same period a year ago. Combined adjusted operating income for the quarter was $298 million, as compared to $459 million for the same period a year ago. Combined adjusted operating profit margin was 27.3% as a percentage of adjusted revenue, as compared to 33.6% in the same period a year ago.

Full Year 2022

The Company reported GAAP earnings per share from continuing operations of $4.13 in 2022, as compared to GAAP earnings per share from continuing operations of $7.62 in 2021. GAAP revenue from continuing operations for the year was $3,312 million, as compared to $3,828 million in 2021. GAAP operating income from continuing operations for the year was $743 million, as compared to $1,258 million in 2021. GAAP operating profit margin from continuing operations was 22.4% as a percentage of revenue, as compared to 32.9% in 2021.

Adjusted operating income from continuing operations for the year was $1,212 million, as compared to $1,637 million in 2021. Adjusted operating profit margin from continuing operations was 36.6% as a percentage of revenue, as compared to 42.7% in 2021.

Combined adjusted earnings per share for the year was $7.95, as compared to $11.36 in 2021. Combined adjusted revenue for the year was $4,611 million, as compared to $5,070 million in 2021. Combined adjusted operating income for the year was $1,381 million, as compared to $1,771 million in 2021. Combined adjusted operating profit margin was 30.0% as a percentage of adjusted revenue, as compared to 34.9% in 2021.

Adjustments for the Company's non-GAAP financial measures have been noted in the attached reconciliations.

*Combined financial metrics are defined as the combination of continuing operations and discontinued operations. Discontinued operations consist of the Applied, Food and Enterprise Services (AES) businesses currently held for sale.

“2022 was an excellent year for the Company, both operationally and financially, setting us up extremely well to take the next exciting step in our corporate journey by soon separating into two standalone companies,” said Prahlad Singh, president and chief executive officer of PerkinElmer. “In 2023, we enter into the next chapter in our history which will uniquely focus on providing breakthrough scientific tools to fuel our customers' development and delivery of the next generation of novel therapies and diagnostics.”

Financial Overview by Reporting Segment for the Fourth Quarter and Full Year 2022

Discovery & Analytical Solutions Continuing Operations

- Fourth quarter 2022 revenue was $347 million, as compared to $318 million in the same period a year ago. Reported revenue increased 9% and organic revenue increased 13% as compared to the same period a year ago.

- Full year revenue was $1,293 million, as compared to $898 million in 2021. Reported revenue increased 44% and organic revenue increased 15% as compared to 2021.

- Fourth quarter 2022 segment operating income was $146 million, as compared to $117 million for the same period a year ago. Segment operating profit margin was 41.9% as a percentage of revenue, as compared to 36.9% in the same period a year ago.

- Full year 2022 segment operating income was $503 million, as compared to $282 million in 2021. Full year segment operating profit margin was 38.9% as a percentage of revenue, as compared to 31.4% in 2021.

Discovery & Analytical Solutions Combined* Operations

- Fourth quarter 2022 combined revenue was $695 million, as compared to $655 million in the same period a year ago. Combined revenue increased 6% and combined organic revenue increased 11% as compared to the same period a year ago.

- Full year combined revenue was $2,591 million, as compared to $2,137 million in 2021. Combined reported revenue increased 21% and organic revenue increased 12% as compared to 2021.

- Fourth quarter 2022 combined segment operating income was $204 million, as compared to $144 million for the same period a year ago. Combined segment operating profit margin was 29.3% as a percentage of revenue, as compared to 22.0% in the same period a year ago.

- Full year combined segment operating income was $673 million, as compared to $415 million in 2021. Full year combined segment operating profit margin was 26.0% as a percentage of revenue, as compared to 19.4% in 2021.

Diagnostics

- Fourth quarter 2022 revenue was $394 million, as compared to $710 million for the same period a year ago. Reported revenue decreased 44% and organic revenue decreased 39% as compared to the same period a year ago.

- Full year revenue was $2,020 million, as compared to $2,933 million in 2021. Reported revenue decreased 31% and organic revenue decreased 29% as compared to 2021.

- Fourth quarter 2022 segment operating income was $113 million, as compared to $335 million for the same period a year ago. Segment operating profit margin was 28.7% as a percentage of revenue, as compared to 47.1% in the same period a year ago.

- Full year segment operating income was $782 million, as compared to $1,433 million in 2021. Full year segment operating profit margin was 38.7% as a percentage of revenue, as compared to 48.9% in 2021.

Initiates Full Year 2023 Guidance

For the full year 2023, the Company forecasts total revenue from continuing operations of $2.94 billion and adjusted earnings per share of $5.05. This guidance assumes no contribution from COVID related revenues.

Guidance for the full year 2023 is provided on a non-GAAP basis and cannot be reconciled to the closest GAAP measures without unreasonable effort due to the unpredictability of the amounts and timing of events affecting the items the Company excludes from these non-GAAP measures. The timing and amounts of such events and items could be material to the Company’s results prepared in accordance with GAAP.

About PerkinElmer

PerkinElmer is a leading, global provider of end-to-end solutions that help scientists, researchers and clinicians better diagnose disease, discover new and more personalized drugs, monitor the safety and quality of our food, and drive environmental and applied analysis excellence. With an 85-year legacy of advancing science and a mission of innovating for a healthier world, our dedicated team of more than 16,000 collaborates closely with commercial, government, academic and healthcare customers to deliver reagents, assays, instruments, automation, informatics and strategic services that accelerate workflows, deliver actionable insights and support improved decision making. We are also deeply committed to good corporate citizenship through our dynamic ESG and sustainability programs. The Company reported revenues of approximately $4.6 billion1 in 2022, serves customers in 190 countries, and is a component of the S&P 500 index. 

Source: PerkinElmer Announces Financial Results for the Fourth Quarter and Full Year of 2022