Revenue trends

Agilent Technologies (A) expects its ACG (Agilent CrossLab Group) and DGG (Diagnostics and Genomics Group) revenue momentum to be similar in the first and second halves of fiscal 2019. In the second quarter, instruments accounted for 40% of Agilent’s total revenue, while consumables, services, and informatics accounted for 60%. Analytical laboratories accounted for 84% of the company’s revenue in the second quarter, whereas diagnostics and clinical accounted for only 16%. The company earned 35% of its revenue from the Americas, while Europe and the Asia-Pacific region contributed 29% and 36% of its total revenue, respectively.

How Agilent’s Instruments and Consumables Did in Fiscal 2019

ACG segment

In the second quarter, Agilent’s ACG operating margin expanded 270 basis points to 25.2%. In its second-quarter conference call, Agilent stated that when the capital replacement cycle slows down, services are used more to extend equipment’s life. This trend, along wiith strong testing volumes across end markets, is expected to drive Agilent’s ACG revenue growth in fiscal 2019.

In the second quarter, Agilent’s ACG revenue grew by a mid-teen percentage YoY in China. The company attributed this growth to its strategy of leveraging its broad instrument installed base, penetrating emerging cities, and customizing its services to local markets.

DGG segment

In the second quarter, Agilent’s DGG operating margin narrowed by 60 basis points to 19.3%. The segment grew solidly in the Americas due to demand for the company’s pathology, companion diagnostic, and antibody offerings. In the second quarter, the company’s NASD (Nucleic Acid Solutions Division) revenue grew by a mid-teen percentage YoY.

Latest articles

19 Jul

Afya's IPO Sees Strong Listing Gains

WRITTEN BY Mohit Oberoi, CFA

Afya (AFYA) listed on the Nasdaq Global Select Market on July 19. The company priced its IPO at $19 per share.

19 Jul

What to Watch For in Amazon's Q2 Earnings

WRITTEN BY Sanmit Amin

e-Commerce giant Amazon (AMZN) is scheduled to report its second-quarter earnings results after the closing bell on July 25.

19 Jul

Barrick Gold Reaches Deal to Buy Acacia Mining

WRITTEN BY Anuradha Garg

After a long standoff, Barrick Gold (GOLD) and Acacia Mining (ABGLF) have reached an agreement.

19 Jul

Comcast Shares Pop on Goldman's Optimism

WRITTEN BY Ruchi Gupta

Comcast (CMCSA) shares popped after Goldman Sachs issued a positive note on the company recently. Goldman upgraded its rating for Comcast to "buy" from "hold."

19 Jul

Why Analysts Are Bearish on Netflix Stock

WRITTEN BY Aditya Raghunath

Netflix stock fell over 10.0% on Thursday and is down 0.5% today as well.

On Thursday, pet retailer Chewy (CHWY) reported its first-quarter results after the market closed. The company reported its earnings for the first time.