) reported diluted earnings of 75 cents a share from continuing
operations in the first quarter of 2013, a 2.5% growth from
year-over- year earnings but missing the Zacks Consensus Estimate
of 76 cents by a penny. However, this was well within
In the first quarter, the company gained from selling the Apex
Tool Group LLC joint venture and also other discrete tax
benefits. Including these gains Net Diluted Earnings on a GAAP
basis were $691.9 million, or 98 cents per share up 34% from the
prior-year earnings of 73 cents per share. Gains from the sale of
Apex tool group LLC were 20 cents per share, while gains from
federal tax provisions and other discrete items were 3 cents per
The company generated total sales of $4.4 billion in the
quarter, up 3% year over year. Core revenues for the quarter were
up 1%. The increase in revenues was primarily attributable to
global growth factors.
The company's Operating Profit was $731 million down by 0.5%
from year over margin of $735 million. The company was able to
achieve organic growth and margin expansion driven by its Danaher
Business System (DBS).
DBS also helped in timely cash flow generation. Operating cash
flow for the quarter was $636 million. Multiple accretive
acquisitions over the past few quarters were also responsible for
fueling further growth for the company.
Revenues in the
Test & Measurement
segment edged up by 1% to $855 million. The segment recorded an
operating margin of 21.9% a decline of 0.7% from prior year level
revenues grew 4.5% during the quarter to $725 million. The
segment reported an operating profit margin of 18.6%, same as
that of its previous year level.
Life Sciences and Diagnostics
reported a revenue increase of 1.5% year over year to $1.5
million. The operating profit margin for the quarter was down
0.6% year over year to 12.7%.
Revenues from the
segment grew 3% year over year to $480 million with operating
profit margin growing 0.4% year over year to 13.1%.
segment, revenues grew 7% to $817 million with operating margin
growth of 0.3%. This strong revenue growth was mainly driven by
Concurrent with the earnings release, management provided its
guidance for second quarter and full year 2013. Danaher expects
to experience continued growth in the global front during the
remaining part of the year.
The company reaffirmed its previously announced full year 2013
earnings in the range of $3.32 to $3.47 a share. For the second
quarter of 2013, the company's expectations are in the range of
80 cents to 85 cents a share.
Danaher currently carries a Zacks Rank #3 (Hold). Other
companies in the industry like
Carlisle Companies Incorporated
), having a Zacks Rank #2 (Buy) each, are worth considering.
CRANE CO (CR): Free Stock Analysis Report
CARLISLE COS IN (CSL): Free Stock Analysis
DANAHER CORP (DHR): Free Stock Analysis
HONEYWELL INTL (HON): Free Stock Analysis
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