Danaher Reports Third Quarter 2025 Results
Danaher (NYSE: DHR) reported third quarter 2025 results for the period ended September 26, 2025. Revenue rose 4.5% YoY to $6.1B and non-GAAP core revenue increased 3.0% YoY. Net earnings were $908M, or $1.27 per diluted share; adjusted diluted EPS was $1.89. Operating cash flow was $1.7B and non-GAAP free cash flow was $1.4B. The company maintained full‑year 2025 adjusted diluted EPS guidance of $7.70–$7.80 and expects non‑GAAP core revenue to grow in the low‑single digits for 2025. Management highlighted bioprocessing momentum and stronger respiratory revenue at Cepheid. The company disclosed estimated 2025 acquisition amortization of $1.7B and an estimated +1.0% FX sales impact for the full year.
Danaher (NYSE: DHR) ha riportato i risultati del terzo trimestre 2025 per il periodo chiuso il 26 settembre 2025. Le entrate sono cresciute del 4,5% su base annua a 6,1 miliardi di dollari e il fatturato core non GAAP è aumentato del 3,0% su base annua. Utile netto è stato 908 milioni di dollari, ovvero 1,27 dollari per azione diluita; EPS diluito rettificato è stato 1,89 dollari. Flusso di cassa operativo è stato 1,7 miliardi di dollari e flusso di cassa libero non GAAP è stato 1,4 miliardi di dollari. L'azienda ha mantenuto la guidance per l'intero anno 2025 relativa all'EPS diluito rettificato di 7,70–7,80 dollari e prevede una crescita del core revenue non GAAP nell' per il 2025. La direzione ha evidenziato slancio nel bioprocessing e una maggiore entrata da respiratori con Cepheid. L'azienda ha comunicato una stima dell'ammortizzazione di acquisti 2025 di 1,7 miliardi di dollari e un impatto valutario stimato del +1,0% sulle vendite per l'anno completo.
Danaher (NYSE: DHR) presentó los resultados del tercer trimestre 2025 para el periodo cerrado el 26 de septiembre de 2025. Los ingresos aumentaron un 4,5% interanual a 6,1 mil millones y los ingresos base no GAAP crecieron un 3,0% interanual. Las ganancias netas fueron $908 millones, o $1,27 por acción diluida; el BPA diluido ajustado fue $1,89. El flujo de efectivo operativo fue $1,7 mil millones y el flujo de efectivo libre no GAAP fue $1,4 mil millones. La compañía mantuvo la guía de EPS diluido ajustado para todo 2025 en $7,70–$7,80 y espera que las ingresos base no GAAP crezcan en el rango de una cifra baja para 2025. La dirección destacó el impulso en bioprocesamiento y mayores ingresos de respiratorios en Cepheid. La compañía comunicó una estimación de la amortización por adquisiciones 2025 de $1,7 mil millones y un impacto de ventas por tipo de cambio de +1,0% para el año completo.
다나허(DHR)는 2025년 9월 26일로 마감된 2025년 3분기 실적을 발표했습니다. 매출은 전년 동기 대비 4.5% 증가한 61억 달러였고 비-GAAP 핵심 매출도 전년 동기 대비 3.0% 증가했습니다. 순이익은 9.08억 달러로 주당 희석 이익은 1.27달러, 조정 희석 주당순이익은 1.89달러였습니다. 영업현금흐름은 17억 달러, 비-GAAP 자유현금흐름은 14억 달러였습니다. 회사는 2025년 연간 조정 희석 EPS 가이던스를 7.70–7.80달러로 유지했고 2025년에는 저단일자리 숫자의 성장으로 비-GAAP 핵심 매출이 증가할 것으로 예상합니다. 경영진은 Cepheid의 바이오프로세싱 모멘텀과 호흡기 매출의 강화를 강조했습니다. 또한 2025년 예상 인수상각이 17억 달러, 전년 대비 매출에 미치는 환율 영향은 약 +1.0%로 공시했습니다.
Danaher (NYSE: DHR) a publié les résultats du troisième trimestre 2025 pour la période se terminant le 26 septembre 2025. Le chiffre d'affaires a progressé de 4,5% en glissement annuel pour atteindre 6,1 milliards de dollars et le chiffre d'affaires cœur non GAAP a augmenté de 3,0% en glissement annuel. Le bénéfice net s’est élevé à 908 millions de dollars, soit 1,27 dollar par action diluée ; l’EPS dilué ajusté était 1,89 dollar. Le flux de trésorerie opérationnel était de 1,7 milliard de dollars et le flux de trésorerie disponible libre non GAAP était de 1,4 milliard de dollars. L’entreprise a maintenu les perspectives annuelles 2025 pour l’EPS dilué ajusté entre 7,70 et 7,80 dollars et prévoit que le core revenue non GAAP croîtra à un chiffre bas en 2025. La direction a souligné l’élan dans le bioprocédage et une hausse des revenus respiratoires chez Cepheid. L’entreprise a communiqué une estimation de l’ à 1,7 milliard de dollars et un impact sur les ventes dû au taux de change estimé à +1,0% pour l’ensemble de l’année.
Danaher (NYSE: DHR) hat die Ergebnisse des dritten Quartals 2025 für den Zeitraum bis zum 26. September 2025 veröffentlicht. Umsatz stieg um 4,5% YoY auf 6,1 Mrd. USD und der nicht GAAP Kernumsatz wuchs um 3,0% YoY. Nettoeinkommen betrug 908 Mio. USD, bzw. 1,27 USD pro verwässerter Aktie; anpassungsbereinigter verwässerter EPS war 1,89 USD. Operativer Cashflow betrug 1,7 Mrd. USD und nicht-GAAP freier Cashflow war 1,4 Mrd. USD. Das Unternehmen bestätigte die Jahresprognose 2025 für den angepassten verwässerten EPS von 7,70–7,80 USD und erwartet, dass der nicht-GAAP Kernumsatz 2025 im Bereich niedrige einstellige Prozentwerte wächst. Das Management hob die Bioprozess-Dynamik und den stärkeren Respiratory-Umsatz bei Cepheid hervor. Das Unternehmen gab eine Schätzung der Akquisitions-Amortisation 2025 von 1,7 Mrd. USD bekannt und einen geschätzten FX-Umsatz-Einfluss von +1,0% für das Gesamtjahr.
دانaher (NYSE: DHR) أصدرت نتائج الربع الثالث من عام 2025 للفترة المنتهية في 26 سبتمبر 2025. الإيرادات ارتفعت بنسبة 4.5% على أساس سنوي لتصل إلى 6.1 مليار دولار وارتفع الإيرادات الأساسية غير GAAP بنسبة 3.0% على أساس سنوي. الأرباح الصافية كانت $908 مليون، أو $1.27 للسهم المخفف؛ ربحية السهم المجهزة المعدلة كانت $1.89. التدفق النقدي التشغيلي كان $1.7 مليار والتدفق النقدي الحر غير GAAP كان $1.4 مليار. حافظت الشركة على توجيه العام بالكامل 2025 لـربحية السهم المخففة المعدلة عند $7.70–$7.80 وتتوقع نمو الإيرادات الأساسية غير GAAP في 2025 في النطاق بنحو أرقام أحادية منخفضة. أشارت الإدارة إلى الزخم في تقنية المعالجة الحيوية وزيادة الإيرادات التنفسيّة لدى Cepheid. كشفت الشركة عن تقدير لـإطفاء الاستحواذ 2025 بمقدار $1.7 مليار وتأثير بيع العملات الأجنبية المتوقع على المبيعات للسنة بقيمة +1.0%.
丹纳赫(NYSE: DHR) 发布了截至 2025 年 9 月 26 日的 2025 年第 3 季度业绩。收入同比增长 4.5%,达 61 亿美元,非 GAAP 核心收入 同比增长 3.0%。净利润为 9.08 亿美元,每股摊薄收益为 1.27 美元;调整摊薄后每股收益为 1.89 美元。经营现金流 为 17 亿美元,非 GAAP 自由现金流 为 14 亿美元。公司维持 2025 年全年调整后摊薄每股收益指引区间为 7.70–7.80 美元,并预期 2025 年的 非 GAAP 核心收入 将以 低单数字的增速 增长。管理层强调了生物加工的势头以及 Cepheid 的呼吸系统收入的加强。公司披露了 2025 年的估计 并购摊销 为 17 亿美元,以及全年汇率销售额影响估计为 +1.0%。
- Revenue +4.5% YoY to $6.1B
- Adjusted diluted EPS of $1.89 for Q3 2025
- Operating cash flow $1.7B and free cash flow $1.4B
- Maintained full‑year adjusted EPS guidance $7.70–$7.80
- Non‑GAAP core revenue growth only 3.0% YoY in Q3
- Full‑year core revenue expected only low‑single‑digit growth
- Estimated acquisition amortization of $1.7B for 2025
Insights
Danaher delivered modest organic growth, strong cash flow, and maintained full‑year adjusted EPS guidance; results look operationally solid.
Danaher posted third quarter net earnings of
Key dependencies and risks include sustained execution in bioprocessing and respiratory (Cepheid) businesses and foreign‑currency assumptions (management cites a
Key Third Quarter 2025 Results
- Net earnings were
, or$908 million per diluted common share and non-GAAP adjusted diluted net earnings per common share were$1.27 .$1.89 - Revenues increased
4.5% year-over-year to and non-GAAP core revenue increased$6.1 billion 3.0% year-over-year. - Operating cash flow was
and non-GAAP free cash flow was$1.7 billion .$1.4 billion
Rainer M. Blair, President and Chief Executive Officer, stated, "We are encouraged by our third quarter results. DBS-driven execution paired with continued momentum in our bioprocessing business and better-than-anticipated respiratory revenue at Cepheid enabled us to exceed our revenue, earnings and cash flow expectations."
Mr. Blair continued, "We remain intensely focused on delivering value for our customers, associates, and shareholders. We're investing in breakthrough innovation, enhancing our commercial execution, and driving meaningful productivity gains across our businesses. We believe these efforts will strengthen our long-term competitive position and help to solve some of the world's most difficult healthcare challenges."
Full Year 2025 Outlook
The Company does not reconcile Non-GAAP forecasted core sales growth and adjusted diluted net earnings per common share to their respective, comparable measure prepared in accordance with
For full year 2025, the Company is maintaining its full year adjusted diluted net earnings per common share guidance range of
Conference Call and Webcast Information
Danaher will discuss its third quarter results and financial guidance for the fourth quarter and full year 2025, including as applicable key assumptions with respect thereto, during its investor conference call today starting at 8:00 a.m. ET. The call and an accompanying slide presentation will be webcast on the "Investors" section of Danaher's website, www.danaher.com, under the subheading "Events & Presentations." A replay of the webcast will be available in the same section of Danaher's website shortly after the conclusion of the presentation and will remain available until the next quarterly earnings call.
The conference call can be accessed by dialing 800-245-3047 within the
ABOUT DANAHER
Danaher is a leading global life sciences and diagnostics innovator, committed to accelerating the power of science and technology to improve human health. Our businesses partner closely with customers to solve many of the most important health challenges impacting patients around the world. Danaher's advanced science and technology - and proven ability to innovate - help enable faster, more accurate diagnoses and help reduce the time and cost needed to sustainably discover, develop and deliver life-changing therapies. Focused on scientific excellence, innovation and continuous improvement, our approximately 63,000 associates worldwide help ensure that Danaher is improving quality of life for billions of people today, while setting the foundation for a healthier, more sustainable tomorrow. Explore more at www.danaher.com.
NON-GAAP MEASURES AND SUPPLEMENTAL MATERIALS
In addition to the financial measures prepared in accordance with GAAP, this earnings release also contains non-GAAP financial measures. Calculations of these measures, explanations of what these measures represent and the reasons why we believe these measures provide useful information to investors, a reconciliation of these measures to the most directly comparable GAAP measures, where applicable, and other information relating to these non-GAAP measures are included in the supplemental reconciliation schedule attached.
In addition, our Quarterly Report on Form 10-Q for the third quarter of 2025, this earnings release, the slide presentation accompanying the related earnings call, non-GAAP reconciliations and a note containing details of historical and anticipated, future financial performance have been posted to the "Investors" section of Danaher's website (www.danaher.com).
FORWARD-LOOKING STATEMENTS
Statements in this release that are not strictly historical, including the statements regarding the Company's anticipated financial results for the fourth quarter and full year 2025, Danaher's long-term competitive positioning, and any other statements regarding events or developments that we believe or anticipate will or may occur in the future are "forward-looking" statements within the meaning of the federal securities laws. There are a number of important factors that could cause actual results, developments and business decisions to differ materially from those suggested or indicated by such forward-looking statements and you should not place undue reliance on any such forward-looking statements. These factors include, among other things: the impact of tariffs and related actions implemented by the
DANAHER CORPORATION AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS ($ and shares in millions, except per share amounts) (unaudited) |
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|
||||||||
|
Three-Month Period Ended |
|
Nine-Month Period Ended |
|
||||
|
September 26, 2025 |
|
September 27, 2024 |
|
September 26, 2025 |
|
September 27, 2024 |
|
Sales |
$ 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 |
|
Operating costs: |
|
|
|
|
|
|
|
|
Selling, general and administrative expenses |
(1,991) |
|
(2,060) |
|
(6,209) |
|
(5,736) |
|
Research and development expenses |
(378) |
|
(383) |
|
(1,160) |
|
(1,142) |
|
Operating profit |
1,154 |
|
958 |
|
3,188 |
|
3,438 |
|
Nonoperating income (expense): |
|
|
|
|
|
|
|
|
Other income (expense), net |
(14) |
|
102 |
|
(135) |
|
7 |
|
Interest expense |
(67) |
|
(87) |
|
(210) |
|
(217) |
|
Interest income |
3 |
|
4 |
|
17 |
|
103 |
|
Earnings before income taxes |
1,076 |
|
977 |
|
2,860 |
|
3,331 |
|
Income taxes |
(168) |
|
(159) |
|
(443) |
|
(518) |
|
Net earnings |
$ 908 |
|
$ 818 |
|
$ 2,417 |
|
$ 2,813 |
|
Net earnings per common share: |
|
|
|
|
|
|
|
|
Basic |
$ 1.28 |
|
$ 1.13 |
|
$ 3.38 |
(a) |
$ 3.83 |
|
Diluted |
$ 1.27 |
|
$ 1.12 |
|
$ 3.37 |
(a) |
$ 3.80 |
(a) |
Average common stock and common equivalent shares outstanding: |
|
|
|
|
|
|
|
|
Basic |
710.7 |
|
723.0 |
|
714.5 |
|
733.8 |
|
Diluted |
713.7 |
|
729.4 |
|
717.9 |
|
740.1 |
|
|
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(a) Net earnings per common share amounts for the relevant three-month periods do not add to the nine-month period amount due to rounding. |
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|
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This information is presented for reference only. A complete copy of Danaher's Form 10-Q financial statements is available on the Company's website (www.danaher.com). |
DANAHER CORPORATION RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
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|
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Diluted Net Earnings Per Common Share and Adjusted Diluted Net Earnings Per Common Share |
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|
|||||||
|
Three-Month Period Ended |
|
Nine-Month Period Ended |
||||
|
September 26, 2025 |
|
September 27, 2024 |
|
September 26, 2025 |
|
September 27, 2024 |
Diluted Net Earnings Per Common Share (GAAP) |
$ 1.27 |
|
$ 1.12 |
|
$ 3.37 |
|
$ 3.80 |
Amortization of acquisition-related intangible assetsA |
0.61 |
|
0.57 |
|
1.77 |
|
1.65 |
Fair value net (gains) losses on investmentsB |
0.02 |
|
(0.14) |
|
0.21 |
|
(0.01) |
ImpairmentsC |
0.14 |
|
0.30 |
|
0.76 |
|
0.30 |
Gain on a product line dispositionD |
— |
|
— |
|
(0.01) |
|
— |
Acquisition-related itemsE |
— |
|
— |
|
— |
|
0.03 |
Tax effect of the above adjustmentsF |
(0.15) |
|
(0.14) |
|
(0.54) |
|
(0.37) |
Discrete tax adjustmentsG |
— |
|
— |
|
0.02 |
|
(0.06) |
Rounding |
— |
|
— |
|
(0.01) |
|
— |
Adjusted Diluted Net Earnings Per Common Share (Non-GAAP) |
$ 1.89 |
|
$ 1.71 |
|
$ 5.57 |
|
$ 5.34 |
Notes to Reconciliation of GAAP to Non-GAAP Financial Measures |
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|
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A Amortization of acquisition-related intangible assets in the following historical periods ($ in millions) (only the pretax amounts set forth below are reflected in the amortization line item above): |
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|
|||||||
|
Three-Month Period Ended |
|
Nine-Month Period Ended |
||||
|
September 26, 2025 |
|
September 27, 2024 |
|
September 26, 2025 |
|
September 27, 2024 |
Pretax |
$ 433 |
|
$ 414 |
|
$ 1,269 |
|
$ 1,223 |
After-tax |
359 |
|
341 |
|
1,053 |
|
1,008 |
|
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B Net (gains) losses on the Company's equity and limited partnership investments recorded in the following historical periods ($ in millions) (only the pretax amounts set forth below are reflected in the fair value net (gains) losses on investments line above): |
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|
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|
Three-Month Period Ended |
|
Nine-Month Period Ended |
||||
|
September 26, 2025 |
|
September 27, 2024 |
|
September 26, 2025 |
|
September 27, 2024 |
Pretax |
$ 15 |
|
$ (103) |
|
$ 149 |
|
$ (7) |
After-tax |
12 |
|
(82) |
|
113 |
|
(9) |
|
|
C |
Impairment charges related to technology and other intangible assets in the Biotechnology segment recorded in both the three and nine-month periods ended September 26, 2025 ( |
|
|
D |
Gain on a product line disposition in the nine-month period ended September 26, 2025 ( |
|
|
E |
Costs incurred for the fair value adjustment to inventory related to the acquisition of Abcam plc for the nine-month period ended September 27, 2024 ( |
|
|
F |
This line item reflects the aggregate tax effect of all nontax adjustments reflected in the preceding line items of the table. In addition, the footnotes above indicate the after-tax amount of each individual adjustment item. Danaher estimates the tax effect of each adjustment item by applying Danaher's overall estimated effective tax rate to the pretax amount, unless the nature of the item and/or the tax jurisdiction in which the item has been recorded requires application of a specific tax rate or tax treatment, in which case the tax effect of such item is estimated by applying such specific tax rate or tax treatment. |
|
|
G |
There were no net discrete tax adjustments for the three-month period ended September 26, 2025, as a valuation allowance recorded on certain foreign operating losses was offset by benefits from the remeasurement of deferred taxes in a jurisdiction which enacted a tax rate change. Discrete tax adjustments and other tax-related adjustments for the nine-month period ended September 26, 2025, include the impact of net discrete tax charges of |
Sales Growth (Decline) by Segment and Core Sales Growth (Decline) by Segment |
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% Change Three-Month Period Ended September 26, 2025 vs. Comparable 2024 Period |
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Segments |
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|
Total Company |
|
Biotechnology |
|
Life Sciences |
|
Diagnostics |
Total sales growth (GAAP) |
4.5 % |
|
9.0 % |
|
0.5 % |
|
4.0 % |
Impact of: |
|
|
|
|
|
|
|
Divestitures |
— % |
|
— % |
|
— % |
|
0.5 % |
Currency exchange rates |
(1.5) % |
|
(2.5) % |
|
(1.5) % |
|
(1.0) % |
Core sales growth (decline) (non-GAAP) |
3.0 % |
|
6.5 % |
|
(1.0) % |
|
3.5 % |
|
|||||||
|
% Change Nine-Month Period Ended September 26, 2025 vs. Comparable 2024 Period |
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|
|
|
Segments |
||||
|
Total Company |
|
Biotechnology |
|
Life Sciences |
|
Diagnostics |
Total sales growth (decline) (GAAP) |
2.5 % |
|
7.5 % |
|
(1.0) % |
|
1.0 % |
Impact of: |
|
|
|
|
|
|
|
Acquisitions/divestitures |
— % |
|
— % |
|
(1.0) % |
|
0.5 % |
Currency exchange rates |
(1.0) % |
|
(1.0) % |
|
(0.5) % |
|
— % |
Core sales growth (decline) (non-GAAP) |
1.5 % |
|
6.5 % |
|
(2.5) % |
|
1.5 % |
Forecasted Core Sales Growth by Segment and Adjusted Diluted Net Earnings Per Common Share |
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% Change Three-Month Period Ending December 31, 2025 vs. Comparable 2024 Period |
|
% Change Year Ending December 31, 2025 vs. Comparable 2024 Period |
Biotechnology |
~+ |
|
|
Life Sciences |
-Low-single digit |
|
|
Diagnostics |
Flat |
|
|
Core sales growth (non-GAAP) |
+Low-single digit |
|
+Low-single digit |
DANAHER CORPORATION RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (continued) |
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|
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|
Year Ending December 31, 2025 |
Adjusted diluted net earnings per common share (non-GAAP) |
|
|
|
Supplemental Forward-Looking Information ($ in millions) |
|
|
Three-Month Period Ending December 31, 2025 |
Impact of currency exchange rates on salesH |
~+ |
Corporate expenseI |
|
Interest expense, netJ |
|
Effective tax rate |
~ |
|
|
H |
Impact of currency exchange rates on sales for the fourth quarter 2025 is estimated to increase sales by |
|
|
I |
Corporate expense represents the operating profit (GAAP) for the Other segment, which consists of unallocated corporate costs and other costs not considered part of management's evaluation of reportable segment operating performance. |
|
|
J |
Interest expense, net is defined as interest expense net of interest income. This line item is an assumption rather than a forecast. The estimated interest expense, net is calculated assuming the currency exchange rates in effect as of September 26, 2025 are to prevail throughout the remainder of the period indicated and no change in the amount of commercial paper outstanding. |
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|
Cash Flow and Free Cash Flow ($ in millions) |
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|
Three-Month Period Ended |
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|
September 26, 2025 |
|
September 27, 2024 |
Total Cash Flow: |
|
|
|
Net cash provided by operating activities (GAAP) |
$ 1,662 |
|
$ 1,513 |
Total cash used in investing activities (GAAP) |
$ (312) |
|
$ (606) |
Total cash used in financing activities (GAAP) |
$ (2,781) |
|
$ (845) |
|
|
|
|
Free Cash Flow: |
|
|
|
Net cash provided by operating activities (GAAP) |
$ 1,662 |
|
$ 1,513 |
Less: payments for additions to property, plant & equipment (capital expenditures) (GAAP) |
(292) |
|
(298) |
Plus: proceeds from sales of property, plant & equipment (capital disposals) (GAAP) |
— |
|
11 |
Free cash flow (non-GAAP) |
$ 1,370 |
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$ 1,226 |
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We define free cash flow as operating cash flows, less payments for additions to property, plant and equipment ("capital expenditures") plus the proceeds from sales of plant, property and equipment ("capital disposals"). |
Statement Regarding Non-GAAP Measures
Each of the non-GAAP measures set forth above should be considered in addition to, and not as a replacement for or superior to, the comparable GAAP measure, and may not be comparable to similarly titled measures reported by other companies. Management believes that these measures provide useful information to investors by offering additional ways of viewing Danaher Corporation's ("Danaher" or the "Company") results that, when reconciled to the corresponding GAAP measure, help our investors:
- with respect to Adjusted Diluted Net Earnings Per Common Share, understand the long-term profitability trends of our business and compare our profitability to prior and future periods and to our peers;
- with respect to core sales, identify underlying growth trends in our business and compare our sales performance with prior and future periods and to our peers; and
- with respect to free cash flow (the "FCF Measure"), understand Danaher's ability to generate cash without external financings, strengthen its balance sheet, invest in its business and grow its business through acquisitions and other strategic opportunities (although a limitation of free cash flow is that it does not take into account the Company's debt service requirements and other non-discretionary expenditures, and as a result the entire free cash flow amount is not necessarily available for discretionary expenditures).
Management uses the non-GAAP measures referenced above to measure the Company's operating and financial performance, and uses core sales and non-GAAP measures similar to Adjusted Diluted Net Earnings Per Common Share and the FCF Measure in the Company's executive compensation program.
The items excluded from the non-GAAP measures set forth above have been excluded for the following reasons:
- With respect to Adjusted Diluted Net Earnings Per Common Share:
- Amortization of Intangible Assets: We exclude the amortization of acquisition-related intangible assets because the amount and timing of such charges are significantly impacted by the timing, size, number and nature of the acquisitions we consummate. While we have a history of significant acquisition activity we do not acquire businesses on a predictable cycle, and the amount of an acquisition's purchase price allocated to intangible assets and the related amortization term are unique to each acquisition and can vary significantly from acquisition to acquisition. Exclusion of this amortization expense facilitates more consistent comparisons of operating results over time between our newly acquired and long-held businesses, and with both acquisitive and non-acquisitive peer companies. We believe however that it is important for investors to understand that such intangible assets contribute to sales generation and that intangible asset amortization related to past acquisitions will recur in future periods until such intangible assets have been fully amortized.
- Restructuring Charges: We exclude costs incurred pursuant to discrete restructuring plans that are fundamentally different (in terms of the size, strategic nature and planning requirements, as well as the inconsistent frequency, of such plans) from the ongoing productivity improvements that result from application of the Danaher Business System. Because these restructuring plans are incremental to the core activities that arise in the ordinary course of our business and we believe are not indicative of Danaher's ongoing operating costs in a given period, we exclude these costs to facilitate a more consistent comparison of operating results over time.
- Other Adjustments: With respect to the other items excluded from Adjusted Diluted Net Earnings Per Common Share, we exclude these items because they are of a nature and/or size that occur with inconsistent frequency, occur for reasons that may be unrelated to Danaher's commercial performance during the period and/or we believe that such items may obscure underlying business trends and make comparisons of long-term performance difficult.
- With respect to core sales, (1) we exclude the impact of currency translation because it is not under management's control, is subject to volatility and can obscure underlying business trends, and (2) we exclude the effect of acquisitions and divested product lines because the timing, size, number and nature of such transactions can vary significantly from period-to-period and between us and our peers, which we believe may obscure underlying business trends and make comparisons of long-term performance difficult.
- With respect to the FCF Measure, we deduct payments for additions to property, plant and equipment (net of the proceeds from capital disposals) to demonstrate the amount of operating cash flow for the period that remains after accounting for the Company's capital expenditure requirements.
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SOURCE Danaher Corporation