BILLERICA, Mass.--(BUSINESS WIRE)--Bruker Corporation (Nasdaq: BRKR) today announced financial results for its fourth quarter and for the fiscal year ended December 31, 2020.

Fourth Quarter 2020 Financial Results

Bruker’s revenues for the fourth quarter of 2020 were $627.5 million, an increase of 4.6% compared to $599.9 million in the fourth quarter of 2019. In the fourth quarter of 2020, revenues declined 0.4% organically year-over-year. Growth from acquisitions was 0.4%, while favorable foreign currency translation contributed 4.6%. The fourth quarter of 2020 continued Bruker’s sequential quarter-over-quarter recovery trend from the revenue and margin declines in the first two quarters of 2020 due to the pandemic.

Fourth quarter 2020 Bruker Scientific Instruments (BSI) revenues of $574.7 million increased 5.1% compared to the fourth quarter of 2019, with organic revenue approximately flat compared to the fourth quarter of 2019. Fourth quarter 2020 Bruker Energy & Supercon Technologies (BEST) revenues of $54.7 million declined 5.2% compared to the fourth quarter of 2019, including an organic decline, net of intercompany eliminations, of 6.8%.

Fourth quarter 2020 GAAP operating income was $112.8 million, compared to $117.7 million in the fourth quarter of 2019, representing GAAP operating margins of 18.0%, and 19.6%, respectively. The year-over-year decrease in GAAP operating income was primarily due to restructuring charges in the fourth quarter of 2020, compared to the fourth quarter of 2019. Non-GAAP operating income was $141.1 million in the fourth quarter of 2020, compared to $132.5 million in the fourth quarter of 2019. Bruker’s fourth quarter 2020 non-GAAP operating margin was 22.5%, up 40 basis points compared to 22.1% in the fourth quarter of 2019.

Fourth quarter 2020 GAAP diluted earnings per share (EPS) were $0.45, compared to $0.44 in the fourth quarter of 2019. Fourth quarter 2020 non-GAAP diluted EPS were $0.58, an increase of 9.4% compared to $0.53 in the fourth quarter of 2019. The year-over-year increase in the Company’s non-GAAP operating income and diluted EPS were primarily due to strong gross margin performance, expense control, and a lower tax rate compared to the fourth quarter of 2019.

Fiscal Year 2020 Financial Results

For fiscal year 2020, Bruker’s revenues were $1,987.5 million, a decline of 4.1% from $2,072.6 million in fiscal year 2019. In 2020, revenues declined 6.0% organically year-over-year. Growth from acquisitions was 0.5%, while favorable foreign currency translation contributed 1.4%.

In 2020, BSI revenues of $1,810.0 million declined 3.6% compared to 2019, including an organic decline of 5.5%. 2020 BEST revenues of $189.5 million declined 9.7% compared to 2019, including an organic decline, net of intercompany eliminations, of 11.0%.

In 2020, GAAP operating income was $248.3 million, compared to $300.9 million in 2019, representing GAAP operating margins of 12.5% and 14.5%, respectively. Non-GAAP operating income in 2020 was $317.2 million, compared to $364.0 million in 2019. Bruker’s non-GAAP operating margin in 2020 was 16.0%, compared to 17.6% in 2019.

Fiscal year 2020 GAAP diluted EPS were $1.02, compared to $1.26 in 2019. Non-GAAP diluted EPS were $1.35, compared to $1.57 in 2019. The year-over-year declines in the Company’s GAAP and non-GAAP operating income, operating margins and diluted EPS were primarily due to lower revenues during the COVID-19 pandemic and related economic slowdown, partially offset by cost control and cost reduction measures.

A reconciliation of non-GAAP to GAAP financial measures is provided in the tables accompanying this press release.

Frank H. Laukien, President and CEO of Bruker, commented: “We are pleased with our sequential recovery in the second half of 2020, and with our fourth quarter 2020 year-over-year margin expansion, EPS and cash flow growth. In 2020, we have further increased our operational excellence investments in productivity and capacity growth, as well as in our next phase Project Accelerate 2.0 strategy. In particular, we have expanded our high growth, high margin Project Accelerate 2.0 initiatives to include key additional opportunities in proteomics, spatial biology and molecular diagnostics with very significant long-term potential.”

Dr. Laukien continued: “After strong order trends in our BSI segment in the second half of 2020, we enter 2021 with a healthy backlog. We expect strong organic revenue growth, non-GAAP operating margin expansion and non-GAAP EPS growth in 2021.”

Fiscal Year (FY) 2021 Financial Outlook

For FY 2021, Bruker expects approximately 11% to 13% year-over-year revenue growth, including:

• organic revenue growth of approximately 7% to 9%, and
• a favorable foreign currency revenue tailwind of approximately 4%.

In FY 2021, Bruker also expects non-GAAP operating margin expansion of 150 bps to 190 bps year-over-year, from 16.0% in FY 2020. This includes accelerated R&D investments of approximately 10% of revenue and a headwind from foreign currency translation to operating margin of approximately 80 basis points in 2021.

Finally, Bruker expects FY 2021 non-GAAP EPS of $1.72 to $1.77, a 27% to 31% increase year-over-year.

Bruker’s revenue growth, non-GAAP operating margin expansion and non-GAAP EPS guidance for FY 2021 are based on foreign exchange rates as of December 31, 2020.

For the Company’s outlook for FY 2021 non-GAAP operating margin and non-GAAP EPS, we are not able to provide without unreasonable effort the most directly comparable GAAP financial measures, or reconciliations to such GAAP financial measures on a forward-looking basis. Please see “Use of Non-GAAP Financial Measures” below for a description of items excluded from our expected non-GAAP operating margin and non-GAAP EPS.

About Bruker Corporation (Nasdaq: BRKR)

Bruker is enabling scientists to make breakthrough discoveries and develop new applications that improve the quality of human life. Bruker’s high performance scientific instruments and high value analytical and diagnostic solutions enable scientists to explore life and materials at molecular, cellular and microscopic levels. In close cooperation with our customers, Bruker is enabling innovation, improved productivity and customer success in life science molecular and cell biology research, in applied and pharma applications, in microscopy and nanoanalysis, as well as in industrial applications. Bruker offers differentiated, high-value life science and diagnostics systems and solutions in preclinical imaging, clinical phenomics research, proteomics and multiomics, spatial and single-cell biology, functional structural and condensate biology, as well as in clinical microbiology and molecular diagnostics. For more information, please visit: www.bruker.com.