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Mar 31, 2021

Mettler-Toledo Q1 2021 Earnings Report

Mettler-Toledo reported excellent Q1 2021 results, marked by strong sales growth and improved profitability.

Key Takeaways

Mettler-Toledo International Inc. reported a 24% increase in sales compared to the prior year, with local currency sales up by 18%. Adjusted EPS was $6.56, a 64% increase over the prior year. The company anticipates local currency sales growth in 2021 to be in the range of 10% to 12%, and Adjusted EPS is forecasted to be in the range of $31.45 to $31.90.

Reported sales increased 24% compared with the prior year.

In local currency, sales increased 18% in the quarter, with currency benefiting reported sales growth by 6%.

Net earnings per diluted share (EPS) were $6.32, compared with $4.03 in the prior-year period.

Adjusted EPS was $6.56, an increase of 64% over the prior-year amount of $4.00.

Total Revenue
$804M
Previous year: $649M
+23.9%
EPS
$6.56
Previous year: $4
+64.0%
Gross Margin
58.6%
Previous year: 57.7%
+1.6%
Adjusted Operating Profit
$211M
Previous year: $141M
+49.1%
Gross Profit
$472M
Previous year: $374M
+26.0%
Cash and Equivalents
$107M
Previous year: $324M
-67.0%
Free Cash Flow
$134M
Previous year: $46.7M
+187.6%
Total Assets
$3.03B
Previous year: $2.89B
+4.9%

Mettler-Toledo

Mettler-Toledo

Forward Guidance

Management anticipates local currency sales growth in 2021 will be in the range of 10% to 12%, and Adjusted EPS is forecasted to be in the range of $31.45 to $31.90, an increase of 22% to 24%. For the second quarter of 2021, the Company anticipates that local currency sales growth will be in the range of 19% to 21%, and Adjusted EPS is forecasted to be $7.50 to $7.65, a growth rate of 42% to 45%.

Positive Outlook

  • Local currency sales growth in 2021 expected to be in the range of 10% to 12%.
  • Adjusted EPS for 2021 forecasted to be in the range of $31.45 to $31.90, an increase of 22% to 24%.
  • For the second quarter of 2021, local currency sales growth is anticipated to be in the range of 19% to 21%.
  • Adjusted EPS for the second quarter of 2021 is forecasted to be $7.50 to $7.65, a growth rate of 42% to 45%.
  • End markets have good momentum.

Challenges Ahead

  • Forecasting continues to be challenging.
  • Market conditions are dynamic and changes to the business environment can happen quickly.
  • Uncertainty remains surrounding the impact of COVID-19 on the global economic environment.
  • Estimates include uncertainty and management acknowledges that market conditions are subject to change.
  • Has not provided an outlook for reported sales growth or EPS as it would require an estimate of currency exchange fluctuations and non-recurring items, which are not yet known.