Agilent Technologies Reports Fourth-Quarter 2012 Results

Fourth-quarter GAAP net income was $425 million, or $1.20 per share. Last year's fourth-quarter GAAP net income was $289 million, or $0.82 per share.

During the fourth quarter, Agilent had intangible amortization of $52 million; acquisition, integration and transformation costs of $40 million; and a donation to the Agilent Technologies Foundation of $10 million. The company also recognized a tax benefit of $227 million. Excluding these items and $3 million of other net charges, Agilent reported fourth-quarter adjusted net income of $303 million, or $0.86 per share.

Agilent CEO Bill Sullivan said, "Agilent's performance in the fiscal fourth quarter met our revenue guidance and exceeded EPS guidance. Despite a very challenging economic environment, the strength of our operating model was evident, with operating margins for the quarter and the year at an all-time high."

Electronic Measurement fourth-quarter revenues declined 5 percent compared to the prior year. Revenues declined across all key markets with the exception of computer and semiconductor markets. Operating margins were 23 percent.

Chemical Analysis revenues were down 3 percent compared to a year ago. Environmental and chemical markets were down, offset by growth in the food and forensics markets. Operating margins were 25 percent.

Life Sciences revenues were flat with last year. Growth in the pharma and environmental markets was offset by a decline in academia and government markets. Operating margins were 18 percent.

Diagnostics and Genomics, which includes the Dako acquisition, had revenues of $156 million, up 125 percent over last year or 1 percent excluding the effects of the Dako acquisition. Operating margins were 17 percent.

Agilent generated $485 million of cash from operations in the quarter. Fourth-quarter ROIC was 19 percent.

Fiscal first-quarter 2013 revenues are expected to be in the range of $1.68 billion to $1.70 billion. Fiscal first-quarter non-GAAP earnings are expected to be in the range of $0.65 to $0.67 per share.

For the full fiscal year 2013, Agilent expects revenue of $7.0 billion to $7.20 billion and non-GAAP earnings of $2.80 to $3.10 per share.