$8.70 Billion ($18.3 B total)
Steven M. Rales, Chairman
H. Lawrence Culp Jr., President & CEO
Daniel L. Comas, Exec. VP & CFO
Daniel A. Raskas, Sr. VP of Corporate Development
NO. OF EMPLOYEES: 59,000 (total)
GLOBAL HEADQUARTERS: Washington, D.C.
The Danaher Corporation, headquartered in Washington, D.C., is a conglomerate in the true meaning of the word—“ to form or gather into a mass or whole” or “a corporation made up of a number of different companies that operate in diversified fields.”
Danaher certainly comprises many different firms that do business in varied sectors. The company’s numerous products and brand names (that most users most likely recognize compared with the Danaher corporate moniker) reach professional, medical, industrial and commercial customers. The company is broken down into five sectors: Test & Measurement (electronic measurement instruments); Environmental (water quality analysis and treatment and products for the petroleum market); Dental (equipment and implants); Life Sciences & Diagnostics (clinical tools, analytical instruments, software and reagents); and Industrial Technologies (manufacturing systems and components).
Company wide, revenues for the full year 2012 (ended Dec. 31) were $18.3 billion compared with $16.1 billion for 2011, an increase of 13.5 percent. Net earnings for the full year 2012 were $2.3 billion, or $3.23 per share on a diluted basis, compared with net earnings of $1.9 billion, or $2.77 per share in 2011.
Total sales for the Life Sciences & Diagnostics ($6.49 billion) and Dental ($2.02 billion) divisions were $8.51 billion. This is a significant increase compared with 2011 results of $6.64 billion. Life Science & Diagnostics, which at 35 percent is the largest contributor to the company’s overall revenues, profited $861 million, up from $402 million in 2011. Dental posted $685 million in operating profit compared to the $655 million in the prior year. The gains for the diagnostics business come from the first full year of integration with Beckman Coulter under the Danaher roof. Danaher finalized the purchase in June 2011. For the diagnostics unit, sales for 2012 by geographic destination were: North America, 39 percent; Europe, 28 percent; Asia/Australia, 27 percent; and all other regions, 6 percent.
According to the company, sales of dental consumables (such as bonding agents, cements and dental aligners) grew in all major geographies. Sales of dental equipment business (dental imaging, reusable instruments and sterilization tools) grew at a low single-digit rate due to increased demand for treatment units and associated equipment, primarily in high-growth markets, as well as higher sales of imaging products. North American sales were stronger, while sales in Europe slowed.
On the diagnostics side, sales of consumables and automation hardware in the clinical diagnostic business in high-growth markets, especially China, more than offset weaker sales performance in North America and Europe, according to the company. In the acute care diagnostic business, sales grew due to continued strong global consumable sales related to the business’ installed base of instrumentation as well as demand for compact blood gas analyzers. Increased demand for cardiac care instruments, particularly in China, also contributed to sales growth. Increased demand, primarily in North America and high-growth markets, for advanced staining consumables, and to a lesser extent histology systems, drove the majority of sales growth in the pathology diagnostics business.
Adding to its diagnostic coffers for fiscal 2012, Danaher made two key deals.
In August, Danaher’s Germany-based Leica Biosystems division acquired Vista, Calif.-based Aperio, a provider of ePathology solutions. Aperio was integrated into the operations of Leica, which specializes in anatomical pathology solutions. According to Leica officials, the integrated business will provide “industry-leading solutions” in each step of the anatomical pathology workflow, from sample preparation and staining, to imaging and reporting. The company will continue to offer both the Aperio and the existing Leica portfolio of digital pathology solutions.
“We are excited to acquire Aperio, because of its leadership in digital pathology, innovative product portfolio, and its very experienced global team,” said Arnd Kaldowski, president of Leica Biosystems. “This acquisition positions us to better address the growing demand for personalized medicine and the increasing challenge of staff shortage in the global pathology market.
Together we offer the market an end-to-end solution from the time that the specimen is collected to the time that the results are delivered, to help our customers improve workflow efficiency and diagnostic confidence.”
In September 2012, Danaher announced plans to buy Iris International Inc. for approximately $338 million. At the deal’s close in November, the manufacturer of automated in-vitro diagnostics systems and consumables became part of the Beckman Coulter Diagnostics business. Chatsworth, Calif.-based Iris has three operating units: Iris Diagnostics, Iris Sample Processing, and Iris Molecular Diagnostics. The firm also operates a personalized medicine subsidiary developing assays based on the firm’s Nucleic Acid Detection Immuno-Assay technology, which combines the specificity of monoclonal antibody capture with the sensitivity of real-time polymerase chain reaction detection. It also operates a CLIA lab and offers a test for identifying patients at risk of developing prostate cancer following a prostatectomy.