On October 24, 2023, Danaher Corp (DHR, Financial) released its Q3 2023 earnings report, revealing a net earnings of $1.1 billion, or $1.51 per diluted common share. Despite a 10.5% year-over-year decrease in revenues to $6.9 billion, the company's earnings surpassed expectations, demonstrating resilience in a challenging operating environment.
Financial Highlights
According to the report, Danaher's non-GAAP core revenue decreased by 11.5%, including a 3.0% non-GAAP base business core revenue decline. The company's operating cash flow for the third quarter was $1.7 billion, and non-GAAP free cash flow was $1.3 billion.
Moreover, the company successfully completed the spin-off of Veralto Corporation. Rainer M. Blair, President and Chief Executive Officer, stated,
We also successfully completed the spin-off of Veralto. Going forward, Danaher is dedicated to accelerating the power of science and technology to improve human health."
Future Outlook
For the fourth quarter of 2023, Danaher anticipates that non-GAAP base business core revenue from continuing operations will be down mid-single digits year-over-year. For the full year 2023, the company expects that non-GAAP base business core revenue from continuing operations will be down slightly year-over-year.
Financial Tables Summary
The company's consolidated condensed statements of earnings showed a gross profit of $4 billion for the third quarter of 2023, down from $4.584 billion in the same period in 2022. The operating profit was $1.438 billion, compared to $2.015 billion in Q3 2022. The diluted net earnings per common share were $1.51, down from $2.10 in the same period last year.
In terms of non-GAAP financial measures, the adjusted diluted net earnings per common share for Q3 2023 were $2.02, compared to $2.56 in Q3 2022.
Despite the challenging operating environment, Danaher Corp (DHR, Financial) has demonstrated resilience and adaptability, delivering better-than-expected earnings and cash flow. The company remains committed to leveraging science and technology to improve human health and create long-term shareholder value.
