Compared to Estimates, Thermo Fisher (TMO) Q1 Earnings: A Look at Key Metrics

Thermo Fisher Scientific (TMO) reported $10.71 billion in revenue for the quarter ended March 2023, representing a year-over-year decline of 9.4%. EPS of $5.03 for the same period compares to $7.25 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $10.57 billion, representing a surprise of +1.35%. The company delivered an EPS surprise of +1.62%, with the consensus EPS estimate being $4.95.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Thermo Fisher performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Revenue Growth - Organic: -8% versus the four-analyst average estimate of -9%.

• Revenues- Life Sciences Solutions: $2.61 billion versus the six-analyst average estimate of $2.91 billion. The reported number represents a year-over-year change of -38.3%.

• Revenues- Analytical Instruments: $1.72 billion compared to the $1.60 billion average estimate based on six analysts. The reported number represents a change of +13.5% year over year.

• Revenues- Eliminations: -$496 million compared to the -$600.13 million average estimate based on six analysts.

• Revenues- Laboratory Products and Biopharma Services: $5.76 billion versus $5.58 billion estimated by six analysts on average. Compared to the year-ago quarter, this number represents a +5.9% change.

• Revenues- Specialty Diagnostics: $1.11 billion versus the six-analyst average estimate of $1.11 billion. The reported number represents a year-over-year change of -25.2%.

• Operating Income- Life Sciences Solutions: $836 million compared to the $1 billion average estimate based on three analysts.

• Operating Income- Laboratory Products and Biopharma Services: $793 million versus the three-analyst average estimate of $698.59 million.

• Operating Income- Specialty Diagnostics: $280 million versus the three-analyst average estimate of $200.69 million.

• Operating Income- Analytical Instruments: $421 million versus $348.31 million estimated by three analysts on average.

View all Key Company Metrics for Thermo Fisher here>>>

Shares of Thermo Fisher have returned -3.5% over the past month versus the Zacks S&P 500 composite's +4% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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