Danaher Corporation

DHR
Financial Analysis · Updated May 12, 2026 · Coverage 2026-Q2
Latest Q Revenue
$6.0B
Q1 FY2026 · +0% YoY
TTM ROIC
10.2%
FY2025 · NOPAT (Non-GAAP) / Book Invested Capital (Equity + Net Debt) · WACC ~7.5% · Moat spread +2.7pp

Financial Snapshot

ticker: DHR step: 04 generated: 2026-05-12 source: quick-research

Danaher Corporation (DHR) — Financial Snapshot

Income Statement Summary (post-Veralto spin-off Sept 2023)

Metric FY2023 FY2024 FY2025 YoY
Revenue $23.9B $23.9B $24.6B +3%
Non-GAAP Core Revenue Growth -3% flat +2% recovering
Non-GAAP Gross Margin 60% 60% 60% stable
Non-GAAP Operating Margin 27% 26% 27% recovering
Non-GAAP Adj. EPS $7.58 $7.46 $7.80 +5%
Free Cash Flow $7.6B ~$5.5B $5.3B -4%

Segment Performance (FY2025)

Segment Revenue Growth
Biotechnology ~$10B +mid-single-digit (bioprocessing recovering)
Diagnostics ~$8.5B -low-single-digit (China VBP drag, COVID rolloff)
Life Sciences ~$6.1B flat

Q1 2026 Highlights

Metric Q1 2026 YoY
Revenue $6.0B flat
Core Revenue Growth +0.5%
Bioprocessing Equipment Orders +30%+ YoY FIRST POSITIVE GROWTH IN ~2 YEARS
FCF Conversion 146%
Bioprocessing Consumables Growth low double-digit

Key Product Detail

Product FY2025 Notes
Cytiva (bioprocessing) Equipment order recovery; consumables strong
Cepheid respiratory ~$1.7B target FY26 (normal endemic season)
Cepheid GI Panel New FDA clearance — growth vector
China Diagnostics -high-single-digit; VBP $150M FY headwind

Cash Flow & Balance Sheet (FY2025)

Metric Value
Operating Cash Flow ~$6.5B
Capital Expenditures ~$1.2B
Free Cash Flow $5.3B
Cash & Investments ~$3B
Total Debt ~$20B (pre-Masimo)
Net Debt/EBITDA ~2.0x (pre-Masimo)

Key Ratios (approximate, May 2026)

  • P/E (forward): ~27x | EV/EBITDA: ~17x | Dividend Yield: ~0.6%
  • ROIC: ~10% (pre-Masimo)
  • FCF margin: ~22%

Growth Profile

Q1 2026 marked an inflection: bioprocessing equipment orders +30% YoY (first positive in nearly 2 years). Consumables low double-digit growth. Management raised FY26 EPS guidance on bioprocessing momentum. Q1 FCF conversion 146% — exceptional. Bear case "bioprocessing winter" appears to be ending. Diagnostics still drag (China VBP, normalized respiratory).

Forward Estimates

  • FY2026E Revenue: ~$26B (+5-6%)
  • FY2026E Adj EPS: ~$8.50 (+9%)
  • FY2027E EPS: ~$9.50 (+12%)
  • FY2026 Bioprocessing core growth: high-single-digit (mgmt guide)
  • Long-term EPS growth target: 10-12%

Capital Return

  • Dividend $1.16 annual (~$0.9B paid)
  • Buybacks: $5-7B annual run rate (varies with M&A)
  • Total return ~3-5%
  • Masimo pending $9.9B acquisition will constrain near-term buybacks

Deeper Financial Analysis

The fundamental tier adds 9 additional research dimensions for $DHR.

Revenue Breakdown
Segment revenue, geographic mix, product-line contribution margins, and cohort dynamics.
Financial Trends
Quarter-over-quarter momentum, leading indicators, and inflection point analysis.
Balance Sheet
Debt structure, liquidity runway, dilution risk, and working capital dynamics.
Capital Allocation
Buyback cadence, M&A appetite, dividend policy, and reinvestment priorities.
Returns on Capital (ROIC)
Multi-year ROIC vs. WACC, marginal returns on reinvestment, sales-to-invested-capital efficiency, and moat spread.
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