Q3 2024 Avantor Inc Earnings Call Transcript
Key Points
- Avantor Inc (AVTR) reported sequential revenue growth to $1.71 billion, with strong performance in bioprocessing and laboratory solutions.
- The company successfully reduced its net leverage to 3.8x by paying down over $200 million of debt, supported by best-in-class free cash flow conversion.
- Avantor Inc (AVTR) raised its free cash flow guidance for the year, driven by strong cash generation and the divestiture of clinical services assets.
- The company made significant progress in its long-term growth strategy, including the expansion of its magnetic mixing systems portfolio and the opening of a new flagship innovation center.
- Avantor Inc (AVTR) continues to advance its sustainability initiatives, receiving a high rating from Covatis and signing a virtual power purchase agreement to reduce energy costs.
- Organic revenue declined by 0.7% year-over-year, indicating challenges in maintaining growth momentum.
- The divestiture of clinical services assets is expected to be dilutive to full-year adjusted EBITDA margin and EPS.
- Advanced technologies sales were below expectations, impacting the bioscience production segment.
- The semiconductor market, particularly in the US, faced headwinds, affecting Avantor Inc (AVTR)'s advanced technologies platform.
- The cautious spending environment in biopharma and healthcare continues to pressure certain parts of Avantor Inc (AVTR)'s portfolio.
Good morning. My name is Emily, and I will be your conference operator today. At this time, I would like to welcome everyone to Avantor's third-quarter 2024 earnings results conference call. (Operator Instructions)
I will now turn the call over to Christina Jones, Vice President of Investor Relations. Ms. Jones, you may begin the conference.
Good morning. Thank you for joining us. Our speakers today are Michael Stubblefield, President and Chief Executive Officer; and Brent Jones, Executive Vice President and Chief Financial Officer. The press release and the presentation accompanying this call are available on our Investor Relations website at ir.avantorsciences.com. A replay of this webcast will also be made available on our website after the call. Following our prepared remarks, we will open the line for questions.
During this call, we will be making forward-looking statements within the meaning of the US federal securities laws, including statements regarding events or
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
