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Hologic, Inc. has submitted its 10-K filing for the fiscal year ended September 28, 2024.
The filing details Hologic's operations across four segments: Diagnostics, Breast Health, GYN Surgical, and Skeletal Health. The company reported total revenues of $4,030.3 million, consistent with the previous year.
Product revenues decreased by 0.8% to $3,255.1 million, primarily due to lower sales in the Diagnostics segment, which saw a 6.0% decline attributed to reduced demand for COVID-19 assays.
Service and other revenues increased by 3.3% to $775.2 million, driven by higher service contract revenue in the Breast Health segment and increased lab testing volumes from the Biotheranostics business.
Cost of product revenues as a percentage of product revenues increased to 37.1% from 36.1% in the previous year. This was mainly due to a decrease in sales of higher-margin SARS-CoV-2 assays.
Operating expenses decreased by 4.1% to $1,345.2 million, with reductions in research and development expenses and selling and marketing expenses.
Interest income decreased by 9.8% to $108.7 million, while interest expense increased by 9.9% to $122.1 million, due to higher variable interest rates under the 2021 Credit Agreement.
The company reported a net income of $789.5 million, up from $456.0 million in the prior year, with an effective tax rate of 8.7%, reflecting a one-time tax benefit related to a worthless stock deduction.
Hologic's cash and cash equivalents totaled $2,160.2 million at the end of the fiscal year, with cash provided by operating activities amounting to $1,285.2 million.
The company completed the acquisition of Endomagnetics Ltd for $313.9 million, adding to its Breast Health segment, and announced a definitive agreement to acquire Gynesonics, Inc. for approximately $350.0 million.
Hologic's stock repurchase program continued, with $835.1 million spent on repurchases during the fiscal year, including a $500 million accelerated share repurchase agreement.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Hologic Inc. annual 10-K report dated November 27, 2024. To report an error, please email earnings@qz.com.