Company: DHR
Filing Date: 2025-03-26
Form Type: ARS
Source: 0000313616-25-000085
Chunk: 79

Company: DANAHER CORP /DE/
Filing Date: 2025-03-26
Form: ARS
Chunk 79
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.8 % 25.1 % 31.7 % Depreciation as a % of sales 4.0 % 4.0 % 3.6 % Amortization as a % of sales 2.0 % 2.1 % 1.9 % Sales Growth (Decline) and Core Sales Growth (Decline) 2024 vs. 2023 2023 vs. 2022 Total sales growth (decline) (GAAP) 2.0 % (11.5) % Impact of: Currency exchange rates 1.0 % 1.0 % Core sales growth (decline) (non-GAAP) 3.0 % (10.5) % 2024 Sales Compared to 2023 Price increases in the segment did not have a significant impact on sales growth on a year-over-year basis during 2024 as compared with 2023. During 2024, total segment sales increased 2.0% primarily as a result of increased core sales resulting from the factors discussed below. Changes in currency exchange rates negatively impacted sales year-over-year. Overall segment core sales growth was driven primarily by North America, partially offset by lower year-over-year demand in high-growth markets. During the year, core sales in the molecular diagnostics business grew on a year-over-year basis primarily driven by increased sales of both respiratory and non-respiratory disease tests in North America. In the segment’s clinical diagnostics businesses, core sales grew on a year-over-year basis led by the clinical lab business, and to a lesser extent by the pathology and acute care businesses. The increased core sales in the clinical diagnostics businesses were driven by core sales growth in developed markets. 40

Operating Profit Performance Operating profit margins increased 170 basis points during 2024 as compared to 2023. The following factors impacted year-over-year operating profit margin comparisons. 2024 vs. 2023 operating profit margin comparisons were favorably impacted by: • Higher 2024 core sales, improvements in the segment’s operational and administrative cost structure and the impact of product mix - 250 basis points 2024 vs. 2023 operating profit margin comparisons were unfavorably impacted by: • 2024 loss on the termination of a commercial arrangement - 60 basis points • 2024 impairment charge related to a trade name, net of a 2023 impairment charge related to a technology-based intangible asset - 20 basis points COST OF SALES AND GROSS PROFIT Year