Danaher Corporation (NYSE:DHR) traded ~4% lower iin the premarket on Tuesday following the company’s Q2 2025 financial results, which exceeded Street expectations for both revenue and profits, suggested that its LifeSciences unit underperformed.
The firm announced $5.9 billion in revenue for the quarter, surpassing analyst projections by $60 million, with its Biotechnology and Diagnostics divisions contributing approximately $1.9 billion and $2.3 billion to the total, indicating 8% and 2% year-over-year growth, respectively, while Life Sciences brought in around $1.8 billion with roughly 1% year-over-year growth.
In the meantime, analysts had forecasted DHR to generate $1.84B and $2.28B in revenue from the Biotechnology and Diagnostics segments, respectively, with Life Sciences anticipated to contribute $1.72B, as per Bloomberg data.
However, the Life Sciences unit reported an operating loss of $239 million for the quarter, compared to $233 million in profits during the same period last year and $199 million in profits anticipated by analysts. In contrast, operating profit at the Biotechnology division reached $531 million, indicating a 15% year-over-year increase, while the Diagnostics division achieved $554 million in operating profit, remaining largely stable from the previous year, compared to $500 million and $463.5 million as expected by analysts, respectively.
DHR’s adjusted earnings amounted to $1.80 per share, surpassing analyst expectations by $0.16, with its adjusted operating profit margin remaining consistent from the previous year at 27.3%, compared to 25.4% in the consensus.
A healthcare company based in Washington, DC, also raised its full-year adjusted EPS forecast to $7.70 – $7.80 from the $7.60 – $7.75 range previously estimated in April, matching the market’s expectations, and revealed that the current Chief Financial Officer, Matthew McGrew, will be retiring after more than 20 years with the organization.
Matthew Gugino, the financial officer for the company’s Life Sciences Innovations Group, is anticipated to take over from McGrew.effective Feb. 28, 2026.
More on Danaher
- Danaher: Biotech Growth, Expense Reductions, and a Valuation Upturn Could Fuel Gains
- Danaher: Significant Capital Expenditure and Minimal Debt Despite Trump-related Laws
- Danaher Corporation (DHR) BofA Securities 2025 Healthcare Conference (Transcript)
- Danaher appoints new head of finance
- Danaher’s non-GAAP earnings per share of $1.80 exceeded expectations by $0.16, with revenue reaching $5.9 billion, surpassing estimates by $60 million.
