01—Abstract
Summary
Summary of the 10-K filed December 21, 2022. Cited figures are marked; the original filing is the authoritative source.
Agilent Technologies, Inc. (Agilent) reported strong performance for the fiscal year ended October 31, 2022, with net revenue of $6.85 billiona, an increase of 8% compared to the prior year, despite navigating challenges like supply chain pressures, inflation, and a COVID-related shutdown in China.
All three business segments—Life Sciences and Applied Markets, Diagnostics and Genomics, and Agilent CrossLab—experienced revenue growth. The company's financial health remains robust, with significant cash on hand and a strong operating margin of 23.6%b. Agilent also demonstrated a commitment to shareholder returns through substantial share repurchases and consistent dividend payments.
Looking ahead, Agilent anticipates continued inflationary and logistical pressures but remains optimistic about growth opportunities across its key end markets. The company continues to invest in research and development and strategic initiatives to enhance its product and service offerings, positioning itself for sustained long-term growth in the life sciences, diagnostics, and applied chemical markets.
02—Key points
Key Highlights
- Net revenue increased by 8% to $6.85 billion in fiscal year 2022, with growth reported across all business segments.
- The company maintained a strong operating margin of 23.6% despite inflationary and supply chain pressures.
- Agilent repurchased approximately $1.14 billion of its common stock in fiscal year 2022, demonstrating a commitment to shareholder returns.
- The Life Sciences and Applied Markets segment saw a 9% revenue increase, driven by demand in pharmaceutical and chemicals and advanced materials markets.
- The Diagnostics and Genomics segment grew revenue by 7%, with strong performance in nucleic acid solutions.
- Agilent CrossLab services reported a 7% revenue increase, supported by contract repair, compliance, and installation services.
- The company ended the fiscal year with $1.05 billion in cash and cash equivalents, indicating a healthy liquidity position.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2022, Agilent Technologies, Inc. kept $0.18.
- Revenue$6.85B100.0%
- Cost of revenue−$3.13B45.6%
- Gross profit$3.72B54.4%
- Operating costs−$2.10B30.7%
- Operating income$1.62B23.6%
- Interest, other & tax−$364.0M5.3%
- Net income$1.25B18.3%
Where FY2022 revenue went
$6.85B- Cost of revenue: $3.13B, 46% of revenue
- SG&A: $1.64B, 24% of revenue
- Net income: $1.25B, 18% of revenue
- R&D: $467.0M, 6.8% of revenue
- Interest, other & tax: $364.0M, 5.3% of revenue
Kept 18% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2022filed December 21, 2022Financial Statements
FY2022 against FY2021
| Line item | FY2022FY2021 | Change |
|---|---|---|
| Revenue | $6.85B$6.32B | +8.4% |
| Cost of Revenue | $3.13B$2.91B | +7.3% |
| Gross Profit | $3.72B$3.41B | +9.2% |
| R&D Expenses | $467.00M$441.00M | +5.9% |
| SG&A Expenses | $1.64B$1.62B | +1.1% |
| Operating Expenses | $5.23B$4.97B | +5.2% |
| Operating Income | $1.62B$1.35B | +20.1% |
| Interest Expense | $84.00M$81.00M | +3.7% |
| Net Income | $1.25B$1.21B | +3.6% |
| EPS (Basic) | $4.19$3.98 | +5.3% |
| EPS (Diluted) | $4.18$3.94 | +6.1% |
| Shares Outstanding (Basic) | 299.00M304.00M | −1.6% |
| Shares Outstanding (Diluted) | 300.00M307.00M | −2.3% |
05—Questions
Frequently Asked Questions
What was Agilent's overall financial performance in fiscal year 2022?
In fiscal year 2022, Agilent Technologies reported a net revenue of $6.85 billion, an increase of 8% compared to the prior year. The company experienced growth across all three of its business segments and maintained a strong operating margin of 23.6%, demonstrating resilience despite facing supply chain disruptions, inflation, and a COVID-related shutdown in China.
How did Agilent manage supply chain and inflationary pressures?
Agilent navigated supply chain and inflationary pressures through strategies such as targeted pricing increases and various sourcing initiatives. While these factors impacted costs, the company was able to offset them with higher sales volumes and improved gross margins in some areas.
What is Agilent's outlook for fiscal year 2023?
Agilent anticipates continued inflationary and logistical pressures in fiscal year 2023 but remains optimistic about growth opportunities across its key end markets. The company plans to continue investing in research and development and strategic initiatives to expand its product and service offerings.
How does Agilent prioritize shareholder returns?
Agilent demonstrates its commitment to shareholder returns through a combination of consistent dividend payments and a robust share repurchase program. In fiscal year 2022, the company repurchased approximately $1.14 billion of its common stock under its 2021 repurchase program, in addition to paying out $250 million in dividends.
06—Continue