Danaher 4Q15 Earnings Call Notes

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Danaher (DHR) Thomas Patrick Joyce on Q4 2015 Results

Slowing in December clearly impacted our industrial businesses more than others

“what we’re assuming is that what we saw with some of the slowing in December is essentially the environment that we’re going to see in the near term here. It’s clearly impacting our more industrial businesses more than our other businesses”

Fortunately the Euro has stabilized

“Fortunately, the euro has stabilized so the overall currency impact is not what it was in 2015, but there’s a little bit of a negative right now.’

Having trouble getting a sense of channel inventoriesThe environment is favorable for us in terms of M&A. THere are more people on the sidelines than in previous days

“I think the environment is generally a favorable one for businesses like ours with a balance sheet that’s ready to deploy into small and midsized situations. And I think to your question, there are some folks who are perhaps a bit more on the sidelines right now than in previous days.”

We actually saw Middle East numbers hang in through the middle part of the year

“We’re trying to be increasingly conservative as we see how government funding is being influenced. I think it was interesting watching the course of the year. Oil continued to drop, as you know, throughout the course of the year and yet we actually saw our Middle East numbers hang in there reasonably well throughout the middle part of the year and it wasn’t until the latter part of the year that we saw a more acute shift in the Middle East. And so there was a little bit of a lag there and it’s taken a bit of time for the team to fully recalibrate.”

Daniel L. Comas – Chief Financial Officer & Executive Vice President

Markets have opened up M&A opportunities

“Clearly what’s going on in the high yield market has made it very difficult for the private equity parties, let alone industrial companies that have a lower credit rating. So, some of the anxiety out here is definitely helping some of the conversations. So, on the margin, we’re a little bit more encouraged than we were 60, 90 days ago on the M&A front.”