In Q1, total reported sales declined 7%.
Organic sales were down 10% versus prior year.
Intelligent devices organic sales declined 8%.
Software and Control organic sales declined 6%.
Lifecycle services' organic sales decline of 16% was led by continued weakness in oil & gas.
We did see a 25% sequential uptick in Lifecycle services orders in the quarter, which will drive sequential sales improvement through the balance of the year.
IS/CS built backlog by about 30% versus prior year and we expect IS/CS to have a great year overall, growing double-digits in fiscal '21 with organic sales exceeding $500 million.
Lifecycle services book-to-bill reached a record of 1.18 reflecting a significant improvement both sequentially and year-over-year.
Segment operating margin performance of 20% in the quarter was roughly flat with last year on lower sales, a testament to our increasing business resilience.
Adjusted earnings per share grew 11% versus prior year, including the legal settlement gain.
Our Discrete Market segment sales declined by approximately 5% however, we saw strong broad order momentum in the quarter particularly in North America that should benefit sales performance for the remainder of the year.
Automotive sales declined approximately 10% versus prior year with mid-single digits growth in EMEA offset by tough comparisons in other regions.
We also won at a European Tier 1 OEM, which shows our independent cart technology for the precision motion control necessary to build new electric vehicles.
Another highlight within discrete was our performance in e-commerce, with sales growing approximately 40% versus prior year.
This segment grew by low-single digits and accounted for 45% of revenue this quarter.
Life sciences grew about 10% in Q1 well above our expectation for the quarter led by strong broad-based demand in North America.
Thermo Fisher is an important part of the vaccine ecosystem and we were very proud this quarter to be awarded a significant multi-year enterprise software order to supply software and professional services to enable their Pharma 4.0 initiative and drive their COVID readiness and response.
For every one pallet of vaccines being shipped, 20 to 30 additional pallets of vaccine accessories are required.
Process markets were down approximately 25% and weaker than we expected led by larger declines in oil & gas.
North America organic sales declined by 11% versus the prior year primarily due to sales declines in oil & gas and automotive.
EMEA sales declined 8% led by oil & gas.
Sales in the Asia Pacific region declined 7% largely due to declines in process industries that were partially offset by growth in mass transit and semiconductor.
Our new reported sales outlook assumes 10% year-over-year growth at the midpoint including 6% organic growth.
Our new adjusted earnings per share target of $8.90 at the midpoint of the range represents 13% growth over the prior year.
First quarter reported sales were down 7.1% year-over-year.
Organic sales were down 9.7%.
Acquisitions contributed 1.8 points of growth and currency translation increased sales by 0.8 points.
Segment operating margin was 19.8%, slightly below Q1 of last year.
Corporate and other expense of $28 million was down about $5 million compared to last year.
The adjusted effective tax rate for the first quarter was 15.4% compared to 8.3% last year.
First quarter adjusted earnings per share was $2.38.
As Blake mentioned earlier, this result includes $0.45 related to a favorable legal settlement.
Adjusted earnings per share excluding the legal settlement was $1.93 identical to last quarter and better than we expected.
We're pleased with this result since compared to last quarter we were unable to overcome a $0.30 headwind from the reinstatement of incentive compensation and the reversal of temporary cost actions as of the end of November.
Free cash flow was $319 million in the quarter including the $70 million legal settlement.
Free cash flow conversion was 115% of adjusted income.
We repurchased 356,000 shares in the quarter at a cost of about $88 million.
This is in line with our full-year placeholder of about $350 million.
At December 31, $766 million remained available under our repurchase authorization.
The Intelligent Devices segment had an organic sales decline of 7.9% in the quarter.
Segment margin was 19.4%, 130 basis points lower than last year, mainly due to lower sales partially offset by temporary and structural cost savings.
Software and Control segment organic sales declined 6.2% in the quarter.
Acquisitions contributed 2.7% to growth and segment margin was 30.2%, which was 80 basis points lower than last year's strong margin performance mainly due to lower sales, partially offset by temporary and structural cost savings.
Organic sales of the Lifecycle Services segment declined 16.3% year-over-year as the recovery in this segment's offerings tends to lag our products businesses.
Acquisitions contributed 3.9% to growth and operating margin for this segment increased 50 basis points to 8.9% versus 8.4% a year ago despite lower sales.
First quarter book-to-bill performance for the Lifecycle Services segment was 1.18, a strong start to the year.
Starting on the left, core performance had a negative impact of about $0.25 driven by lower organic sales.
Temporary cost actions partially offset the sales impact by $0.20.
These were the salary reductions and 401(k) match suspension that we implemented in Q3 of fiscal 2020, which remained in effect through the end of November 2020.
Incentive compensation was a year-over-year headwind of about $0.10.
Tax was a headwind of about $0.10 primarily due to the Sensia-related tax benefit recorded last year and other discrete items.
Acquisitions contributed about $0.05.
Finally, as mentioned earlier, the legal settlement contributed $0.45 to adjusted EPS.
A strong order performance resulted in record total company backlog growing over 20% year-over-year and double-digits sequentially.
We are increasing our organic sales growth outlook by 1 point.
The new range is 4.5% to 7.5% with a midpoint of 6%.
Given the weaker U.S. dollar we now expect currency translation to contribute about 2.5% to growth.
We expect acquisitions to contribute about 1.5%.
In total, the midpoint of our reported sales guidance range is 10%.
We have also updated the adjusted earnings per share guidance range to $8.70 to $9.10.
I'll review the bridge from the prior guidance midpoint and the new $8.90 midpoint on the next slide.
Segment operating margin is now expected to be about 19.5%.
Our adjusted effective tax rate is expected to be about 14%, the same as prior guidance.
As mentioned last quarter, this includes a 300 basis point benefit related to discrete items, which we expect to realize late in the fiscal year.
We continue to project free cash flow conversion of about 100% of adjusted income.
Corporate and other expense is expected to be between $105 million and $110 million.
Purchase accounting amortization expense for the full year is expected to be about $50 million.
Net interest expense for fiscal 2021 is still expected to be between $90 million and $95 million.
Finally, we're still assuming average diluted shares outstanding of about 117 million shares.
Currency is projected to add about $0.05 compared to prior guidance.
Next, given the increase in guidance, there is about a $0.10 impact from higher bonus expense.
Finally, there is the $0.45 contribution from the Q1 legal settlement, partially offset by about $0.35 for the incremental investments and the impact of the Fiix acquisition.
The new midpoint of the guidance range is $8.90.
As a reminder, as we mentioned on the last earnings call, Q2 will have the largest year-over-year headwind from the reinstatement of the bonus in the range of $50 million.

Summary:
First quarter reported sales were down 7.1% year-over-year.
First quarter adjusted earnings per share was $2.38.
The new range is 4.5% to 7.5% with a midpoint of 6%.
We have also updated the adjusted earnings per share guidance range to $8.70 to $9.10.