01—Abstract
Summary
Summary of the 8-K filed January 4, 2024. Cited figures are marked; the original filing is the authoritative source.
Mettler-Toledo International Inc. issued a press release on January 4, 2024 (Exhibit 99.1) providing a preliminary update on its fourth quarter ended December 31, 2023.
The company said fourth-quarter sales and Adjusted EPS would fall below its previously issued guidance due to unexpected shipping delays with a new external European logistics service provider, which it expects to largely recover in the first quarter of 2024. Based on preliminary information, reported sales for the quarter declined approximately 12%a and local currency sales declined approximately 13%, with currency increasing sales growth by approximately 1%. This compares with prior guidance for a fourth-quarter local currency sales decline of approximately 7% to 8%.
The company is still evaluating the impact of the shipping delays on fourth-quarter Adjusted EPS and, as a result, withdrew its previously issued Adjusted EPS guidance. The company stated that the financial information is preliminary, subject to change upon completion of its standard closing procedures, and that it does not intend to update it before releasing full quarter and year-end results.
It plans to report fourth-quarter 2023 results after the market close on February 8, 2024, with a conference call on February 9, 2024, and will present at the 42nd Annual J.P. Morgan Healthcare Conference on January 10, 2024.
02—Key points
Key Highlights
- Fourth-quarter 2023 reported sales declined approximately 12%; local currency sales declined approximately 13%, with currency adding approximately 1% to sales growth.
- The local currency sales decline compares with previous fourth-quarter guidance of approximately 7% to 8%.
- Shortfall attributed to unexpected shipping delays with a new external European logistics service provider.
- Management expects the shipping-related impact to largely recover in the first quarter of 2024.
- The company withdrew its previously issued Adjusted EPS guidance for the fourth quarter while it evaluates the delays' impact on results.
- Full fourth-quarter and year-end 2023 results are scheduled for release after market close on February 8, 2024, with a conference call on February 9, 2024.
03—Questions
Frequently Asked Questions
Why did Mettler-Toledo's fourth-quarter 2023 sales fall short of expectations?
The company attributed the shortfall to unexpected shipping delays with a new external European logistics service provider. Local currency sales declined approximately 13% versus prior guidance of a 7% to 8% decline.
Did the company change its Adjusted EPS outlook?
Yes. Because it is still evaluating how the shipping delays affect fourth-quarter 2023 Adjusted EPS, the company withdrew its previously issued Adjusted EPS guidance.
Is the shipping problem expected to be temporary?
The company expects the impact to largely recover in the first quarter of 2024.
When will full fourth-quarter and year-end 2023 results be released?
The company will release fourth-quarter 2023 financial results after the market close on February 8, 2024, and hold a conference call at 8:30 a.m. Eastern Time on February 9, 2024.
Are these preliminary figures likely to change?
Yes. The company states the figures are preliminary and subject to change upon completion of its standard quarter- and year-end closing procedures, and it does not intend to update them before releasing full results.
04—Continue