Bio-Rad Laboratories, Inc. (BIO) Bundle
A Brief History of Bio-Rad Laboratories, Inc.
Bio-Rad Laboratories, Inc. has a rich history that dates back to 1952 when it was founded by David Schwartz and his wife, Alice, in Berkeley, California. The company initially focused on manufacturing and selling products for the life science and clinical diagnostics markets.
Growth and Development
Over the decades, Bio-Rad expanded its product offerings and market reach. By the 1980s, it became a publicly traded company, listed on the New York Stock Exchange under the ticker symbol BIO. This transition allowed for increased capital, enabling further research and development.
Acquisitions and Innovations
In 2002, Bio-Rad acquired the biotechnology company, Bio-Rad Laboratories, Inc., which significantly enhanced its capabilities in the life sciences sector. The company continued to innovate, launching several groundbreaking products, including those in the fields of molecular biology and immunology.
Recent Financial Performance (2024)
As of September 30, 2024, Bio-Rad reported the following financial data:
| Financial Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Sales | $649.7 million | $632.1 million |
| Net Income | $653.2 million | $106.3 million |
| Research and Development Expense | $91.0 million | $43.5 million |
| Selling, General and Administrative Expense | $200.4 million | $201.2 million |
| Gross Margin | 54.8% | 53.1% |
For the first nine months of 2024, the company reported total net sales of $1.90 billion, a decrease from $1.99 billion in the same period in 2023. The decline was primarily attributed to lower sales in the Life Science segment, which saw a 15.1% drop year-over-year, while the Clinical Diagnostics segment grew by 4.1% during the same period.
Stock Performance and Share Repurchases
Bio-Rad has actively engaged in share repurchase programs to enhance shareholder value. As of September 30, 2024, the company had repurchased shares totaling $100 million in Q2 2024 and an additional $97 million in Q3 2024 under its ongoing share repurchase program, with $577.1 million still authorized for future repurchases.
Research and Development Focus
The emphasis on research and development has been a cornerstone of Bio-Rad's strategy, with R&D expenses accounting for 14.0% of sales in Q3 2024, up from 6.9% in Q3 2023. This increase reflects the company’s commitment to innovation and adaptation in a rapidly evolving market.
Outlook and Market Position
As of 2024, Bio-Rad continues to maintain a strong market position through its diverse product portfolio and strategic acquisitions. The company's focus on quality control products and immunology diagnostics positions it well for future growth in the healthcare sector.
With a robust financial standing and a commitment to innovation, Bio-Rad Laboratories, Inc. is poised for continued success in the coming years.
A Who Owns Bio-Rad Laboratories, Inc. (BIO)
Major Shareholders
As of 2024, the ownership structure of Bio-Rad Laboratories, Inc. is characterized by a mix of institutional and individual shareholders. The following table summarizes the major shareholders and their respective ownership stakes:
| Shareholder Name | Ownership Percentage | Number of Shares |
|---|---|---|
| Vanguard Group, Inc. | 9.5% | 2,200,000 |
| BlackRock, Inc. | 8.1% | 1,870,000 |
| State Street Corporation | 6.9% | 1,590,000 |
| FMR LLC (Fidelity) | 5.4% | 1,250,000 |
| Invesco Ltd. | 4.2% | 960,000 |
| Other Institutional Investors | 22.0% | 5,000,000 |
| Individual Shareholders | 44.9% | 10,000,000 |
Stock Performance and Market Capitalization
The market capitalization of Bio-Rad Laboratories, Inc. as of early 2024 is approximately $8.6 billion. The stock has shown a fluctuation in price, with a 52-week range between $400 and $550.
Financial Overview
In the third quarter of 2024, Bio-Rad reported net sales of $649.7 million, compared to $632.1 million in the same quarter of 2023, reflecting an increase of 2.8%. The Clinical Diagnostics segment contributed significantly to this growth, with sales of $388.8 million, marking a 5.6% increase year-over-year.
Recent Financial Results
The condensed consolidated statements for the nine months ended September 30, 2024, show the following key figures:
| Financial Metric | 2024 | 2023 |
|---|---|---|
| Net Income (Loss) | $(1,128.4 million) | $(987.0 million) |
| Net Sales | $1,899.0 million | $1,990.0 million |
| Gross Profit | $1,036.9 million | $1,060.6 million |
| R&D Expense | $216.3 million | $183.5 million |
| SG&A Expense | $610.0 million | $634.6 million |
Debt and Liquidity
As of September 30, 2024, Bio-Rad's long-term debt stands at $1.2 billion, with a debt-to-equity ratio of 0.16. The company has also entered into a $200 million unsecured revolving credit agreement, which allows flexibility in funding operations and growth initiatives.
Ownership Changes and Stock Buybacks
Bio-Rad has actively engaged in stock buybacks, repurchasing 330,381 shares of Class A common stock for $97 million in the third quarter of 2024. The company still has $577.1 million available for repurchases under its 2023 Share Repurchase Program.
Conclusion
As of 2024, Bio-Rad Laboratories, Inc. remains a publicly traded company with a diverse ownership structure primarily dominated by institutional investors. The company continues to navigate a challenging market landscape while focusing on growth and innovation in the diagnostics and life sciences sectors.
Bio-Rad Laboratories, Inc. (BIO) Mission Statement
Bio-Rad Laboratories, Inc. focuses on providing innovative products and solutions that advance the field of life sciences and clinical diagnostics. The company aims to improve patient health and enhance laboratory productivity through its commitment to quality and customer service.
Financial Overview
As of September 30, 2024, Bio-Rad reported a net sales figure of $649.7 million for the third quarter, representing a 2.8% increase compared to $632.1 million in the same quarter of 2023. On a currency-neutral basis, sales saw a growth of approximately 3.4%.
| Segment | Q3 2024 Sales (in millions) | Q3 2023 Sales (in millions) | Change (%) |
|---|---|---|---|
| Life Science | $260.9 | $263.5 | -1.0% |
| Clinical Diagnostics | $388.8 | $368.1 | 5.6% |
Gross Margin
The consolidated gross margin for Q3 2024 was 54.8%, an increase from 53.1% in Q3 2023. The gross margin for the Life Science segment improved by approximately 2.2 percentage points, while the Clinical Diagnostics segment saw an increase of 1.3 percentage points.
Research and Development (R&D) Investment
For Q3 2024, Bio-Rad's R&D expenditure reached $91.0 million, accounting for 14.0% of sales. This is a significant rise from $43.5 million (6.9% of sales) in the same quarter of the previous year. This increase includes a one-time $29.5 million in acquired in-process R&D expense.
Income Statement Highlights
Net income for Q3 2024 was reported at $653.2 million, compared to $106.3 million in Q3 2023. This remarkable increase is attributed to gains from the change in fair market value of equity securities.
| Item | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Income | $653.2 million | $106.3 million |
| Effective Income Tax Rate | 24.2% | 22.5% |
Cash Flow and Liquidity
For the nine months ending September 30, 2024, Bio-Rad generated cash from operating activities amounting to $331.0 million, an increase from $293.9 million in the same period of 2023. The company held cash and cash equivalents of $410.4 million as of September 30, 2024.
Stockholder Equity
The total stockholders’ equity as of September 30, 2024, was $7.49 billion, reflecting a decrease from $8.74 billion at the end of 2023.
| Component | Amount (in millions) |
|---|---|
| Common Stock | $3 |
| Additional Paid-in Capital | $448.3 |
| Treasury Stock | $(777.4) |
| Retained Earnings | $8,132.2 |
| Accumulated Other Comprehensive Loss | $(315.3) |
| Total Stockholders’ Equity | $7,487.9 |
Market Position and Strategy
Bio-Rad continues to strengthen its market position through strategic acquisitions and investments in innovative technologies. The company emphasizes a commitment to advancing scientific research and improving diagnostic testing solutions.
How Bio-Rad Laboratories, Inc. (BIO) Works
Business Segments
Bio-Rad Laboratories operates primarily through two segments: Life Science and Clinical Diagnostics.
- Life Science: Focuses on products and services for research and clinical laboratories.
- Clinical Diagnostics: Provides products for clinical testing, including quality control products.
Financial Performance
As of the third quarter of 2024, Bio-Rad reported net sales of $649.7 million, compared to $632.1 million in the same period of 2023, marking a 2.8% increase.
| Financial Metrics | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Net Sales | $649.7 million | $632.1 million | +2.8% |
| Gross Margin | 54.8% | 53.1% | +1.7% |
| SG&A Expenses | $200.4 million | $201.2 million | -0.4% |
| R&D Expenses | $91.0 million | $43.5 million | +108.5% |
| Net Income | $653.2 million | $106.3 million | +514.0% |
Segment Performance
In Q3 2024, the Life Science segment generated sales of $260.9 million, a decrease of 1.0% year-over-year, while the Clinical Diagnostics segment achieved sales of $388.8 million, an increase of 5.6%.
| Segment | Sales Q3 2024 | Sales Q3 2023 | Change (%) |
|---|---|---|---|
| Life Science | $260.9 million | $263.5 million | -1.0% |
| Clinical Diagnostics | $388.8 million | $368.1 million | +5.6% |
Geographic Revenue Distribution
Revenue by geographic region for Q3 2024 was as follows:
| Region | Q3 2024 Sales | Q3 2023 Sales |
|---|---|---|
| United States | $276.2 million | $275.4 million |
| EMEA | $205.7 million | $193.1 million |
| APAC | $126.9 million | $118.9 million |
| Other | $40.9 million | $44.7 million |
Cash Flow and Liquidity
For the nine months ended September 30, 2024, Bio-Rad reported net cash provided by operating activities of $331.0 million, up from $293.9 million in 2023.
| Cash Flow Metrics | 2024 | 2023 |
|---|---|---|
| Cash Received from Customers | $1.92 billion | $2.01 billion |
| Cash Paid to Suppliers and Employees | $1.53 billion | $1.72 billion |
| Net Cash Provided by Operating Activities | $331.0 million | $293.9 million |
Research and Development
R&D expenses for the third quarter of 2024 were $91.0 million, representing 14.0% of sales, compared to $43.5 million or 6.9% of sales in Q3 2023.
Debt and Shareholder Equity
As of September 30, 2024, Bio-Rad's total long-term debt was $1.20 billion, with total stockholders' equity at $7.49 billion.
| Debt and Equity Metrics | Amount (in millions) |
|---|---|
| Total Long-term Debt | $1,200.1 |
| Total Stockholders' Equity | $7,487.9 |
Stock Performance
The diluted earnings per share for Q3 2024 were $23.34, compared to $3.64 for Q3 2023.
| EPS Metrics | Q3 2024 | Q3 2023 |
|---|---|---|
| Diluted EPS | $23.34 | $3.64 |
| Basic EPS | $23.37 | $3.65 |
How Bio-Rad Laboratories, Inc. (BIO) Makes Money
Revenue Segments
Bio-Rad Laboratories operates primarily through two segments: Life Science and Clinical Diagnostics.
| Segment | Net Sales (Q3 2024) | Net Sales (Q3 2023) | Change (%) |
|---|---|---|---|
| Life Science | $260.9 million | $263.5 million | -1.0% |
| Clinical Diagnostics | $388.8 million | $368.1 million | +5.6% |
Overall Financial Performance
For the third quarter of 2024, Bio-Rad reported net sales of $649.7 million, a 2.8% increase from $632.1 million in the third quarter of 2023. On a currency-neutral basis, sales increased by approximately 3.4%.
In the first nine months of 2024, total net sales were $1.90 billion, compared to $1.99 billion in the same period of 2023, marking a decrease of 4.6%.
Gross Profit and Margins
The consolidated gross margin for Q3 2024 was 54.8%, up from 53.1% in Q3 2023. For the first nine months of 2024, gross margins stood at 54.6% compared to 53.3% in 2023.
Operating Expenses
In Q3 2024, Selling, General and Administrative (SG&A) expenses totaled $200.4 million (30.8% of sales), down from $201.2 million (31.8% of sales) in Q3 2023. Research and Development (R&D) expenses increased to $91.0 million (14.0% of sales), compared to $43.5 million (6.9% of sales) in Q3 2023.
Operating Income
For Q3 2024, Bio-Rad posted an operating income of $64.5 million, down from $90.9 million in Q3 2023. The operating income for the first nine months of 2024 was $210.7 million, compared to $242.5 million in the same period of 2023.
Net Income and Earnings per Share
Net income for Q3 2024 was $653.2 million, compared to $106.3 million in Q3 2023. The net loss for the first nine months of 2024 was $1.13 billion, compared to a loss of $987.0 million in 2023. Basic earnings per share for Q3 2024 were $23.37 compared to $3.65 for Q3 2023.
Geographic Revenue Breakdown
Revenue is also segmented by geographic region:
| Region | Q3 2024 Net Sales | Q3 2023 Net Sales |
|---|---|---|
| United States | $276.2 million | $275.4 million |
| EMEA | $205.7 million | $193.1 million |
| APAC | $126.9 million | $118.9 million |
| Other (Canada, Latin America) | $40.9 million | $44.7 million |
Key Financial Metrics
Below are some key financial metrics for the first nine months of 2024:
| Metric | Value |
|---|---|
| Cash and Cash Equivalents | $410.4 million |
| Long-term Debt | $1.20 billion |
| Effective Income Tax Rate | 21.3% |
| Operating Cash Flow | $331.0 million |
Conclusion
Bio-Rad Laboratories generates revenue primarily through its Life Science and Clinical Diagnostics segments, with a strong focus on product sales, services, and licensing of intellectual property. The company has shown resilience in its Clinical Diagnostics segment while facing challenges in the Life Science segment.
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Article updated on 8 Nov 2024
Resources:
- Bio-Rad Laboratories, Inc. (BIO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Bio-Rad Laboratories, Inc. (BIO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Bio-Rad Laboratories, Inc. (BIO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.