On October 29, IDEX Corp, a manufacturer of industrial equipment, updated its 2024 profit outlook by raising the lower end after exceeding expectations for profit and revenue in the third quarter, thanks to improved demand in its health and science division. The company now projects its full-year adjusted profit to range from $4.83 to $7.90 per share, slightly above the previous estimate of $7.80 to $7.90 per share. The health and science technologies segment encompasses components and equipment utilized in clinical diagnostics, drug discovery, food processing, and cosmetic manufacturing. In the third quarter, this segment experienced a 2.2% decline in sales, a significant improvement from the 35.7% drop in the second quarter. “CEO Eric Ashleman stated, ‘We observed a robust organic growth in orders in our Health & Science Technologies segment, which has enhanced our business positioning.'” The increase in demand was driven by sellers wanting to replenish their inventories following an extended period of destocking caused by significant inventory buildup during the COVID-19 pandemic. Last week, competitor Dover reported a 30% rise in year-over-year revenue from biopharma equipment, including connectors and pumps. It also stated that inventories were “generally aligned” with customer demand. Adjusted earnings per share for the quarter were $1.90, surpassing Wall Street’s expectations of $1.88. Total revenue for the quarter ending September 30 reached $798.2 million, an increase of 4.8% from the previous year. According to data collected by LSEG, analysts generally anticipated third-quarter revenue to reach $791.25 million. (Reported by Aishwarya Jain; Edited by Mohammed Safi Shamsi)
