Illumina 8-K Report, Financial Results (Jan 14, 2025)

Illumina, Inc. furnished an Item 2.02 Form 8-K on January 14, 2025, ahead of its presentation at the J.P.

Morgan Healthcare Conference, announcing unaudited preliminary results for the fourth quarter and fiscal year ended December 29, 2024, along with a preliminary outlook for fiscal 2025. The filing states that Q4 2024 revenue was approximately $1.10 billion^a, up 1% from Q4 2023, and full-year 2024 revenue was approximately $4.33 billion, down 2% from 2023 on a constant currency basis. Full-year 2024 GAAP operating margin was approximately 34.2% versus a non-GAAP operating margin of approximately 21.3%, and full-year GAAP diluted EPS was approximately $5.65 to $5.67 versus non-GAAP diluted EPS of approximately $4.12 to $4.14.

Preliminary 2024 cash flow from operations was approximately $1.21 billion^b and free cash flow was approximately $1.07 billion. For fiscal 2025, the company expects constant currency revenue growth in the low single digits, with reported revenue in the range of approximately $4.28 billion to $4.4 billion, non-GAAP operating margin of approximately 23%, and non-GAAP diluted EPS growth of approximately 10%. The company stated that the results are preliminary, subject to completion of accounting and annual audit procedures, and may be adjusted.

Full fourth quarter and fiscal 2024 results are scheduled for release after market close on February 6, 2025. The large gap between GAAP and non-GAAP figures in fiscal 2024 is driven, per the filing's reconciliation, largely by a legal contingency and settlement item (a reversal of the accrued EC fine, including interest, which the filing shows as a $10.7 million^c operating margin adjustment and a $2.92 per share adjustment), along with contingent consideration liability fair value adjustments related to GRAIL. The filing also references the divestment of GRAIL as a continuing risk factor.