01—Abstract
Summary
Summary of the 10-K filed December 17, 2021. Cited figures are marked; the original filing is the authoritative source.
Agilent Technologies, Inc. reported strong performance in its fiscal year ended October 31, 2021, with an 18% increase in net revenue to $6,319 milliona.
This growth was driven by robust demand across all business segments – Life Sciences and Applied Markets, Diagnostics and Genomics, and Agilent CrossLab – and key end markets, particularly pharmaceutical, chemical and energy, and diagnostics and clinical. The company successfully completed the acquisition of Resolution Bioscience, Inc., bolstering its precision oncology solutions. Financially, Agilent demonstrated strong operational leverage, with total operating margin increasing to 21.3%b.
The company continued to return value to shareholders through share repurchases and dividends, with $1.577 billionc remaining authorization for share repurchases under its 2021 program. Agilent also maintained a strong liquidity position with $1,484 million in cash and cash equivalents, and no borrowings outstanding under its credit facilities. The company is well-positioned to navigate ongoing market dynamics, including supply chain pressures, and remains optimistic about long-term growth opportunities.
02—Key points
Key Highlights
- Achieved 18% year-over-year revenue growth, reaching $6,319 million in fiscal year 2021.
- Experienced broad-based growth across all three business segments: Life Sciences and Applied Markets, Diagnostics and Genomics, and Agilent CrossLab.
- Successfully acquired Resolution Bioscience, Inc. for $561 million to enhance its precision oncology capabilities.
- Reported a significant increase in net income to $1,210 million, up from $719 million in the prior year.
- Maintained a strong operating margin of 21.3%, reflecting effective cost management and volume leverage.
- Continued robust share repurchase program with $1.577 billion authorized remaining as of October 31, 2021.
- Ended the fiscal year with a healthy cash and cash equivalents balance of $1,484 million, indicating strong liquidity.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2021, Agilent Technologies, Inc. kept $0.19.
- Revenue$6.32B100.0%
- Cost of revenue−$2.91B46.1%
- Gross profit$3.41B53.9%
- Operating costs−$2.06B32.6%
- Operating income$1.35B21.3%
- Interest, other & tax−$137.0M2.2%
- Net income$1.21B19.1%
Where FY2021 revenue went
$6.32B- Cost of revenue: $2.91B, 46% of revenue
- SG&A: $1.62B, 26% of revenue
- Net income: $1.21B, 19% of revenue
- R&D: $441.0M, 7.0% of revenue
- Interest, other & tax: $137.0M, 2.2% of revenue
Kept 19% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2021filed December 17, 2021Financial Statements
FY2021 against FY2020
| Line item | FY2021FY2020 | Change |
|---|---|---|
| Revenue | $6.32B$5.34B | +18.4% |
| Cost of Revenue | $2.91B$2.50B | +16.4% |
| Gross Profit | $3.41B$2.84B | +20.1% |
| R&D Expenses | $441.00M$495.00M | −10.9% |
| SG&A Expenses | $1.62B$1.50B | +8.2% |
| Operating Expenses | $4.97B$4.49B | +10.7% |
| Operating Income | $1.35B$846.00M | +59.2% |
| Interest Expense | $81.00M$78.00M | +3.8% |
| Net Income | $1.21B$719.00M | +68.3% |
| EPS (Basic) | $3.98$2.33 | +70.8% |
| EPS (Diluted) | $3.94$2.30 | +71.3% |
| Shares Outstanding (Basic) | 304.00M309.00M | −1.6% |
| Shares Outstanding (Diluted) | 307.00M312.00M | −1.6% |
05—Questions
Frequently Asked Questions
What was Agilent's overall financial performance in fiscal year 2021?
Agilent Technologies demonstrated strong financial performance in fiscal year 2021, with a significant 18% increase in net revenue to $6,319 million. This growth was broad-based across all segments and key markets. Net income also saw a substantial increase to $1,210 million, reflecting improved operational leverage and strategic acquisitions.
What are the key drivers of Agilent's revenue growth in fiscal year 2021?
The primary drivers of Agilent's revenue growth included strong demand in the pharmaceutical, chemical and energy, and diagnostics and clinical markets. Growth was also supported by contributions from recent acquisitions, such as Resolution Bioscience, and a general recovery in customer demand across various end markets.
How is Agilent managing its cash and capital allocation?
Agilent maintained a strong liquidity position with $1,484 million in cash and cash equivalents. The company actively returned capital to shareholders through share repurchases, repurchasing $423 million under its 2021 repurchase program, and by paying dividends. Agilent also invested in strategic growth initiatives, including the acquisition of Resolution Bioscience.
What impact did COVID-19 have on Agilent's business in fiscal year 2021?
While the COVID-19 pandemic continued to present economic challenges and supply chain pressures, Agilent reported that its overall business performance in fiscal year 2021 was strong and largely non-COVID related. The company took proactive measures to protect employee safety and adapt to changing market conditions, but noted that the ongoing effects remain difficult to predict due to numerous uncertainties.
06—Continue