Company: DHR
Filing Date: 2025-10-21
Form Type: 10-Q
Source: 0000313616-25-000182
Chunk: 124

Company: DANAHER CORP /DE/
Filing Date: 2025-10-21
Form: 10-Q
Item: Item 8
Chunk 124
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 third quarter 2024 operating profit margin comparisons were unfavorably impacted by:

•Third quarter 2025 impairment charge related to a trade name - 60 basis points

•Third quarter 2025 impact of a product line disposition which did not qualify as discontinued operations - 10 basis points

Operating profit margin decreased 120 basis points during the nine-month period ended September 26, 2025 as compared to the comparable period of 2024.  The following factors unfavorably impacted year-over-year operating profit margin:

•The impact of product mix and currency exchange rates, net of higher 2025 core sales and improvements in leverage from the segment’s operational and administrative cost structure - 85 basis points

•First nine months of 2025 impairment charge related to a trade name - 20 basis points

•First nine months of 2025 impact of a product line disposition which did not qualify as discontinued operations - 15 basis points

COST OF SALES AND GROSS PROFIT

Three-Month Period EndedNine-Month Period Ended($ in millions)September 26, 2025September 27, 2024September 26, 2025September 27, 2024Sales$6,053 $5,798 $17,730 $17,337 Cost of sales(2,530)(2,397)(7,173)(7,021)Gross profit$3,523 $3,401 $10,557 $10,316 Gross profit margin58.2 %58.7 %59.5 %59.5 %

Cost of sales increased year-over-year during both the three and nine-month periods ended September 26, 2025 as compared to the comparable periods in 2024.  The increase during both periods was primarily due to the impact of higher year-over-year sales volumes, currency exchange rates and product mix.  The increase during the nine-month period also reflected a $15 million impairment charge related to a facility in the Biotechnology segment.  These increases were partially offset by a $25 million acquisition-related charge associated with the fair value adjustment to inventory recorded in the first nine months of 2024 in connection with the acquisition of Abcam plc.  

Year-over-year gross profit margin decreased during the three-month period ended September 26, 2025 as compared to the comparable period in 2024 primarily due to product mix, the impact of currency exchange rates and tariff costs, partially offset by