Summary
Thermo Fisher Scientific Inc. (TMO) for the fiscal year ended December 30, 2016, reported revenues of $18.27 billion, a 7.8% increase from the previous year, driven by organic growth and strategic acquisitions. The company's mission to 'enable our customers to make the world healthier, cleaner and safer' is supported by its broad portfolio of products and services across four key segments: Life Sciences Solutions, Analytical Instruments, Specialty Diagnostics, and Laboratory Products and Services. Significant acquisitions in 2016 included Affymetrix, Inc. and FEI Company, which are expected to enhance the company's capabilities in genetic analysis and high-performance electron microscopy, respectively. Despite a strengthening US dollar impacting reported revenues, the company demonstrated robust performance, with increases in operating income and cash flow from operations. Management expressed confidence in the company's ability to meet its financial obligations and fund future operations through existing cash, cash flow, and credit facilities.
Financial Highlights
58 data points| Revenue | $18.27B |
| Cost of Revenue | $8.21B |
| Gross Profit | $10.06B |
| R&D Expenses | $754.00M |
| SG&A Expenses | $4.97B |
| Operating Expenses | $15.82B |
| Operating Income | $2.46B |
| Interest Expense | $469.00M |
| Net Income | $2.02B |
| EPS (Basic) | $5.12 |
| EPS (Diluted) | $5.09 |
| Shares Outstanding (Basic) | 395.00M |
| Shares Outstanding (Diluted) | 397.00M |
Key Highlights
- 1Reported revenues of $18.27 billion for the fiscal year 2016, a 7.8% increase from 2015.
- 2Completed two significant acquisitions in 2016: Affymetrix, Inc. for $1.34 billion and FEI Company for $4.08 billion.
- 3Maintained strong operational performance with operating income of $2.45 billion and operating income margin of 13.4% in 2016.
- 4Generated $3.16 billion in cash flow from operations in 2016, an increase from $2.82 billion in 2015.
- 5The company operates through four key business segments: Life Sciences Solutions, Analytical Instruments, Specialty Diagnostics, and Laboratory Products and Services.
- 6The backlog of firm orders at year-end 2016 was $2.79 billion, a significant increase from $1.89 billion in 2015, indicating strong future revenue potential.
- 7Thermo Fisher Scientific actively repurchased shares, with $1.25 billion in stock repurchases during the fourth quarter of 2016.