Agilent Technologies Inc (0HAV.L) Q3 2024 Earnings Report

Agilent Technologies reported QQ3 2024 results with solid profitability and robust free cash flow, despite a year-over-year revenue decline. Revenue totaled USD 1.578 billion, down 5.6% year over year, while gross profit reached USD 855 million for a gross margin of 54.18%. Operating income was USD 333 million (operating margin 21.10%), yielding net income of USD 282 million and EPS of USD 0.97. Notably, gross margins expanded meaningfully on a YoY basis, even as the top line declined, signaling favorable mix and disciplined cost control. QoQ, revenue increased modestly by 0.32%, but some margin pressure persisted as operating expenses remained elevated, resulting in a sequential dip in operating and net income. Free cash flow was strong at USD 360 million, supporting a cash balance of USD 1.78 billion and a net debt position of USD 1.15 billion after meaningful stock repurchases.

The quarter contributed to a trailing four-quarter revenue run rate of roughly USD 6.50 billion, with a net income trajectory that improved meaningfully in the period (TTM EPS around USD 4.84 if one aggregates the quarterly results). The company continued to deploy capital toward shareholder value, evidenced by USD 585 million of common stock repurchases in QQ3 2024 and a modest dividend, highlighting a disciplined capital-return strategy while maintaining liquidity to fund R&D and strategic initiatives.

Overall, Agilent remains well-positioned in a favorable long-term growth environment driven by Life Sciences research, Diagnostics, Genomics, and ongoing demand for high-value analytical instrumentation. The key near-term questions relate to the pace of lab capex cycles, FX sensitivity, and the durability of margin gains as the company manages through a modest revenue secular headwind and ongoing investment in software-enabled services and product innovation.