Waters Sees Q1 Adj. Earnings Below Market, Higher FY23 Results - Update

(RTTNews) - Analytical instruments and software provider Waters Corp. (WAT), while reporting higher fourth-quarter profit and revenues, on Wednesday issued forecast for the first quarter and fiscal 2023.

The company expects first-quarter adjusted earnings per share in the range of $2.55 to $2.65.

On average, 13 analysts polled by Thomson Reuters expect earnings of $2.67 per share for the quarter. Analysts' estimates typically exclude special items.

The company expects constant currency sales growth in the range of 4 percent to 6 percent. Currency translation is expected to decrease first quarter sales growth by around 4 percent.

Further, for fiscal 2023, the company expects adjusted earnings per share in the range of $12.55 to $12.75. Analysts expect earnings of $12.73 per share for the year.

In fiscal 2022, the company's adjusted earnings per share were $12.02.

Waters also announced that it reached an agreement to acquire Wyatt Technology Corp., and the deal is expected to temporarily decrease full-year 2023 adjusted earnings per share by approximately 1 percent.

The company expects the transaction to become accretive to non-GAAP EPS starting in the first quarter of 2024.

For the year, sales growth is expected in the range of 6 percent to 8.5 percent, which will be benefited by a 2 percent to 3 percent sales growth due to the Wyatt transaction.

Organic constant currency sales growth is expected in the range of 5 percent to 6.5 percent.