Agilent Technologies 2025 Q2 Earnings Net Income Declines 30.2%
Daily EarningsMonday, Jun 2, 2025 11:12 pm ET
3min readAgilent Technologies reported its fiscal 2025 Q2 earnings on June 2nd, 2025. The company experienced a notable decline in net income compared to the previous year, falling 30.2% to $215 million. Despite this, Agilent's revenue increased by 6% to $1.67 billion, slightly missing expectations. The company revised its full-year guidance, raising revenue expectations by $50 million due to FX benefits. Agilent's Q3 revenue guidance matches estimates, while non-GAAP EPS guidance falls in-line with projections, indicating a mixed outlook for the near term.
Revenue
Agilent Technologies saw a rise in total revenue for 2025 Q2, reaching $1.67 billion, up 6% from $1.57 billion in 2024 Q2. The Life Sciences and Diagnostics Markets Segment generated $654 million, marking an 8% growth. The CrossLab Group contributed $713 million, reflecting a 7% increase, while the Applied Markets Segment reported $301 million, showing a slight decline of 1% year-over-year. Overall, Agilent's diverse segments demonstrated mixed performance, underpinning the company's total revenue growth.
Earnings/Net Income
Agilent Technologies experienced a decline in its earnings, with EPS dropping 28.6% to $0.75 in 2025 Q2 from $1.05 in 2024 Q2. The company's net income decreased to $215 million, a 30.2% reduction from $308 million reported in the previous year. The EPS performance indicates a challenging quarter for Agilent.
Price Action
The stock price of edged down 0.08% during the latest trading day, rose 2.32% over the past week, and climbed 3.21% month-to-date. Despite earnings challenges, the stock showed resilience, suggesting investor confidence in the company's long-term strategy.
Post-Earnings Price Action Review
The strategy of purchasing a stock following its revenue beat and holding it for 30 days can be evaluated through backtesting. This involves simulating the strategy's performance using historical data to assess its effectiveness against a buy-and-hold approach. Key elements include defining the strategy around revenue beat announcements and holding for a 30-day period, using backtesting tools to simulate past performance, and comparing returns with a benchmark strategy. Critical metrics like risk-adjusted returns and performance across different market regimes should be analyzed to ensure robustness. If the strategy outperforms, it suggests market optimism toward revenue beats; however, underperformance may indicate priced-in expectations or an unsuitable holding period. By backtesting, investors can gauge the strategy's potential value in real-world market conditions.
CEO Commentary
Padraig McDonnell, President and CEO of Agilent Technologies, emphasized the company's strong second-quarter results, crediting the Ignite Transformation initiative for driving profitable growth and operational excellence. McDonnell expressed confidence in Agilent's ability to adapt to market dynamics and emphasized the focus on customer-centric strategies, projecting optimism for future performance based on strategic execution.
Guidance
Agilent Technologies anticipates full-year revenue between $6.73 billion and $6.81 billion, representing growth of 3.4% to 4.6%. For the third quarter of 2025, the company expects revenue to range from $1.645 billion to $1.675 billion, with growth of 4.2% to 6.1%. Non-GAAP EPS is projected to be between $1.35 and $1.37 for Q3 and between $5.54 and $5.61 for the full fiscal year.
Additional News
Agilent Technologies announced the appointment of August Specht, Ph.D., as Chief Technology Officer, effective June 9, 2025. Specht joins from Thermo Fisher Scientific, bringing over 25 years of experience in analytical instruments and R&D. Additionally, Agilent declared a quarterly dividend of 24.8 cents per share, payable on July 23, 2025, to shareholders of record as of July 1, 2025. Furthermore, the company unveiled enhancements to its 8850 Gas Chromatograph, now compatible with mass spectrometry systems, emphasizing sustainability with reduced power usage. These developments highlight Agilent's strategic focus on leadership and innovation.
Revenue
Agilent Technologies saw a rise in total revenue for 2025 Q2, reaching $1.67 billion, up 6% from $1.57 billion in 2024 Q2. The Life Sciences and Diagnostics Markets Segment generated $654 million, marking an 8% growth. The CrossLab Group contributed $713 million, reflecting a 7% increase, while the Applied Markets Segment reported $301 million, showing a slight decline of 1% year-over-year. Overall, Agilent's diverse segments demonstrated mixed performance, underpinning the company's total revenue growth.
Earnings/Net Income
Agilent Technologies experienced a decline in its earnings, with EPS dropping 28.6% to $0.75 in 2025 Q2 from $1.05 in 2024 Q2. The company's net income decreased to $215 million, a 30.2% reduction from $308 million reported in the previous year. The EPS performance indicates a challenging quarter for Agilent.
Price Action
The stock price of edged down 0.08% during the latest trading day, rose 2.32% over the past week, and climbed 3.21% month-to-date. Despite earnings challenges, the stock showed resilience, suggesting investor confidence in the company's long-term strategy.
Post-Earnings Price Action Review
The strategy of purchasing a stock following its revenue beat and holding it for 30 days can be evaluated through backtesting. This involves simulating the strategy's performance using historical data to assess its effectiveness against a buy-and-hold approach. Key elements include defining the strategy around revenue beat announcements and holding for a 30-day period, using backtesting tools to simulate past performance, and comparing returns with a benchmark strategy. Critical metrics like risk-adjusted returns and performance across different market regimes should be analyzed to ensure robustness. If the strategy outperforms, it suggests market optimism toward revenue beats; however, underperformance may indicate priced-in expectations or an unsuitable holding period. By backtesting, investors can gauge the strategy's potential value in real-world market conditions.
CEO Commentary
Padraig McDonnell, President and CEO of Agilent Technologies, emphasized the company's strong second-quarter results, crediting the Ignite Transformation initiative for driving profitable growth and operational excellence. McDonnell expressed confidence in Agilent's ability to adapt to market dynamics and emphasized the focus on customer-centric strategies, projecting optimism for future performance based on strategic execution.
Guidance
Agilent Technologies anticipates full-year revenue between $6.73 billion and $6.81 billion, representing growth of 3.4% to 4.6%. For the third quarter of 2025, the company expects revenue to range from $1.645 billion to $1.675 billion, with growth of 4.2% to 6.1%. Non-GAAP EPS is projected to be between $1.35 and $1.37 for Q3 and between $5.54 and $5.61 for the full fiscal year.
Additional News
Agilent Technologies announced the appointment of August Specht, Ph.D., as Chief Technology Officer, effective June 9, 2025. Specht joins from Thermo Fisher Scientific, bringing over 25 years of experience in analytical instruments and R&D. Additionally, Agilent declared a quarterly dividend of 24.8 cents per share, payable on July 23, 2025, to shareholders of record as of July 1, 2025. Furthermore, the company unveiled enhancements to its 8850 Gas Chromatograph, now compatible with mass spectrometry systems, emphasizing sustainability with reduced power usage. These developments highlight Agilent's strategic focus on leadership and innovation.
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