Waters forecasts first-quarter profit below estimates on stronger dollar

Waters

12/02/2025 12:10

Feb 12 (Reuters) - Waters Corp  WAT.N  forecast
first-quarter profit below Wall Street estimates on Wednesday as
it sees an impact from a strengthening U.S. dollar, sending the
company's shares down about 10% in premarket trade.
        The lab equipment maker expects adjusted profit between
$2.17 and $2.25 per share, below analysts' average estimate of
$2.42 per share, according to data compiled by LSEG.
    The company sees an around 7% hit to profit from a stronger
dollar in the first quarter and about 4% for the year.
    It also forecast 2025 adjusted profit between $12.70 and
$13.00 per share, in line with analysts' expectations of $12.85
per share.
    Waters earned more than half of its revenue in 2024 from
markets in Asia and Europe.
    Typically, a stronger dollar eats into the profits of
companies that have sprawling international operations and
convert foreign currencies into dollars.
    However, Waters beat expectations for fourth-quarter profit
and revenue on strong demand for its products and services used
in drug development and manufacturing.
    The company has been seeing revenue growth from its strong
presence in the Indian market, and also its unit that provides
quality assurance and quality control to pharma companies,
especially those that make GLP-1 diabetes and weight-loss drugs.
    Larger peer Thermo Fisher Scientific  TMO.N  late last month
also beat expectations for fourth-quarter profit and revenue, on
strong demand for its analytical instruments.
    Waters' quarterly revenue rose 6% to $872.7 million for the
quarter ended December 31, above analysts' estimate of $857.2
million.
    On an adjusted basis, the company earned a profit of $4.10
per share, beating analysts' average estimate of $4.03 per
share.

 (Reporting by Sruthi Narasimha Chari and Puyaan Singh in
Bengaluru; Editing by Shreya Biswas and Shailesh Kuber)
 ((SruthiNarasimha.Chari@thomsonreuters.com))