Danaher Q3 adjusted EPS beats, FY guidance raised

By Reuters News


Overview

  • US life sciences and diagnostics firm's Q3 revenue up 8.5%, slight miss versus analyst expectations

  • Adjusted EPS grew 11.5% in Q3, beating analyst expectations

  • Company raised full-year adjusted EPS guidance


Outlook

  • Danaher sees Q4 non-GAAP core revenue excluding respiratory revenue up 4%-5% year-over-year

  • Company expects Q4 core revenue growth of about 3.0% due to respiratory revenue headwind

  • Danaher raises 2026 adjusted diluted EPS guidance to $8.57-$8.62 from $8.45-$8.60


Result Drivers

  • CORE REVENUE ACCELERATION - Co said faster growth in core revenue excluding respiratory revenue helped drive Q3 results

  • IMPROVING END MARKETS - CEO said improving trends across end markets contributed to better-than-expected Q3 revenue, earnings and cash flow

  • DBS EXECUTION - Co attributed strong financial performance to execution of Danaher Business System


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Slight Miss*

$6.55 bln

$6.56 bln (20 Analysts)

Q3 Adjusted EPS

Beat

$2.11

$1.92 (21 Analysts)

Q3 EPS

$1.71

Q3 Operating Cash Flow

$1.90 bln

*Applies to a deviation of less than 1%; not applicable for per-share numbers.


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 24 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the advanced medical equipment & technology peer group is "buy"

  • Wall Street's median 12-month price target for Danaher Corporation is $242.17, about 8% above its October 20 closing price of $224.24

  • The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 22 three months ago


Reuters Recommended Reads

  • Oct 20 - Intuitive Surgical Q3 results top estimates on higher da Vinci system placements

  • Oct 20 - RTX beats Q3 earnings expectations, lifts guidance amid robust demand

  • Oct 20 - Switzerland's ABB Q3 revenue rises 14%, to form joint venture with Mitsubishi Electric


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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