Bio-Techne Misses Earnings Expectations: Profitability Takes a Hit
Bio-Techne (NASDAQ:TECH), a leading provider of biotechnology tools and reagents, has reported its full-year 2024 financial results, revealing a decline in profitability despite steady revenue growth.
Key Financial Highlights:
Revenue: £935.3 million, a 2.0% increase compared to the previous fiscal year.
Net Income: £135.6 million, a significant 41% drop from FY 2023.
Profit Margin: 14%, down from 25% in the previous fiscal year, primarily due to increased expenses.
Earnings per Share (EPS): £0.86, a decline from £1.46 in FY 2023. This figure fell short of analyst expectations by 6.1%.
Revenue Breakdown and Expenses:
The Protein Sciences segment was the key driver of revenue, contributing £668.8 million (72% of total revenue). General and administrative costs, at £345.1 million, represented the largest operating expense (71% of total expenses).
Outlook for the Future:
Despite the recent dip in profitability, analysts anticipate an average revenue growth of 8.2% per annum over the next three years. This forecast outpaces the predicted 6.7% growth for the US Life Sciences industry.
Share Performance:
The company's shares have declined by 3.0% in the past week.
Risk Analysis:
Investors should be aware of a single warning sign associated with Bio-Techne, which could potentially impact the company's future performance.
Disclaimer:
This article by Simply Wall St is for general informational purposes only. It does not constitute investment advice and should not be interpreted as a recommendation to buy or sell any stock. The information presented here is based on historical data and analyst forecasts, and does not consider your personal circumstances or financial situation. We aim to provide insightful and unbiased analysis, but our insights may not factor in the latest company announcements or qualitative factors. Simply Wall St holds no position in any stocks mentioned.
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