NASDAQ$BRKR

Bruker Corp · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Bruker's financial performance declined due to COVID-19 related disruptions and softer global instrumentation demand.

Bruker's Q2 2020 revenues were $424.6 million, a 13.4% decrease compared to Q2 2019. GAAP EPS was $0.16, and non-GAAP EPS was $0.21. The company mitigated the negative impact on profitability through cost control measures.

  • Q2 2020 revenues declined 13.4% year-over-year to $424.6 million.
  • Organic revenue declined 12.7% year-over-year.
  • GAAP operating income was $37.9 million, with a GAAP operating margin of 8.9%.
  • Non-GAAP operating income was $49.0 million, with a non-GAAP operating margin of 11.5%.

Headline financials

Total Revenue

$425M

Previous: $490M-13.4%
EPS (adj)

$0.21

Previous: $0.33-36.4%
Organic Revenue Growth

-12.7%

No prior period
Non-GAAP Operating Margin

11.5%

No prior period
GAAP Operating Margin

8.9%

No prior period
Capital Expenditures

-$50.8M

Previous: -$28.6M-77.6%
Free Cash Flow

-$26.7M

Previous: $7.9M-438.0%
Net Income

$24.1M

Previous: $36.5M-34.0%
Operating Income

$37.9M

Previous: $53.5M-29.2%
Gross Profit

$186M

Previous: $230M-19.2%
Cash & Equivalents

$747M

Previous: $283M+164.4%
Total Assets

$2.94B

Previous: $2.35B+25.3%
Stock-Based Comp

$3.1M

Previous: $3M+3.3%

Revenue & EPS history

Bruker · Revenue · Quarterly

$425M

Q2 2020-13.4%vs Q2 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Bruker · $70.6M total across 1 segment · Q3 2023

  • BEST
    $70.6M+19.1%

Forward guidance

Bruker's FY 2020 financial guidance remains suspended. The company anticipates a sequential improvement in financial results from the second quarter to the third quarter of 2020, despite expecting a negative year-over-year impact from the pandemic on Q3 results.

Tailwinds

  • Anticipates a sequential improvement in financial results from Q2 to Q3 2020.
  • Operationally, they have executed well in challenging times.
  • Were able to mitigate the negative impact of the pandemic on our profitability and cash flow through cost control and cost reduction measures.
  • Continue to invest in our Project Accelerate initiatives.
  • Bruker remains financially healthy and is well-positioned for anticipated improvements in business conditions in the second half of 2020.

Headwinds

  • FY 2020 financial guidance remains suspended.
  • Continue to expect the pandemic to have a negative year-over-year impact on the Company’s third quarter 2020 financial results.
  • Second quarter 2020 revenues declined less than the scenarios that we outlined during our last earnings call.
  • The reported and organic revenue declines were primarily due to COVID-19 related disruptions worldwide and softer global instrumentation demand, due to the ongoing pandemic.
  • Year-over-year declines in the Company’s GAAP and non-GAAP operating income, operating margins and diluted EPS were primarily due to lower revenues associated with COVID-19 disruptions and softer academic and industrial demand, partially offset by Bruker’s cost control and reduction measures.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+0.8%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+3.3%

Avg return

30 days after

54%

35 / 65 earnings

Positive

+14.1%

Q1 2019

Best reaction

-13.1%

Q2 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+11.2%+13.8%+48.3%
Q4 2025-11.6%-10.2%-20.5%
Q3 2025+6.4%+2.5%+22.9%
Q1 2025+3.4%+2.1%-2.9%
Q4 2024-1.0%-1.7%-11.0%
Q3 2024-0.6%-2.7%-1.5%
Q2 2024-5.1%-2.4%+2.8%
Q1 2024-11.4%-5.9%-17.1%
Q4 2023+13.4%+15.9%+30.1%
Q3 2023+3.2%+2.2%+15.9%
Q2 2023-6.7%-7.6%-7.1%
Q1 2023-2.1%-4.9%-11.0%
Q4 2022+5.2%+7.3%+1.0%
Q3 2022+9.5%+8.7%+9.6%
Q2 2022-7.4%-9.3%-18.2%
Q1 2022+1.2%-4.0%+5.3%
Q4 2021-7.7%-3.9%-12.1%
Q3 2021+1.7%+1.7%+0.9%
Q2 2021-1.8%+0.4%+8.7%
Q1 2021-0.5%-0.0%+1.4%
Q4 2020+1.1%+3.5%-1.1%
Q3 2020+3.4%+9.2%+21.6%
Q2 2020+0.2%-1.1%-4.1%
Q1 2020+6.2%+4.3%+16.9%
Q4 2019-4.0%-21.4%-8.1%
Q3 2019+12.4%+6.8%+14.9%
Q2 2019-13.1%-12.7%-9.8%
Q1 2019+14.1%+11.3%+9.6%
Q4 2018+6.3%+7.4%+8.5%
Q3 2018+6.6%+6.9%+5.8%
Q2 2018+7.4%+7.0%+9.1%
Q1 2018+2.0%+2.9%+3.4%
Q4 2017-7.8%-5.9%-6.8%
Q3 2017+4.5%+2.8%+9.2%
Q2 2017-1.2%-3.1%+3.2%
Q1 2017+3.8%+4.7%+12.1%
Q4 2016-1.8%-1.2%-3.1%
Q3 2016+3.6%+8.9%+10.1%
Q2 2016-12.2%-10.6%-9.6%
Q1 2016-3.1%
Q4 2015+9.5%
Q3 2015+7.8%
Q2 2015-5.4%
Q1 2015+10.6%
Q4 2014-2.1%
Q3 2014-12.5%
Q2 2014-9.4%
Q1 2014-0.8%
Q4 2013+2.0%
Q3 2013-7.1%
Q2 2013+11.1%
Q1 2013-4.3%
Q4 2012+8.3%
Q3 2012+4.1%
Q2 2012-1.6%
Q1 2012+7.4%
Q4 2011-0.9%
Q4 2009-0.9%
Q3 2010-4.0%
Q3 2011-4.0%
Q2 2010+4.0%
Q2 2011+4.0%
Q1 2010+1.9%
Q4 2010+1.9%
Q1 2011+1.9%

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