RADNOR, PA — Avantor, Inc. (NYSE: AVTR) has announced its financial results for the fourth quarter and full fiscal year of 2024, highlighting a strategic return to growth in Q4 and robust cash flow generation for the year.
Fourth Quarter Highlights
For the quarter ending December 31, 2024, Avantor reported net sales of $1.69 billion, reflecting an organic growth of 1% despite a reported 2% decline attributed to currency translation and the impact of divesting its Clinical Services business. Net income surged to $500.4 million, compared to $98.5 million in the same quarter of 2023. Adjusted EBITDA reached $307.7 million, with an adjusted EBITDA margin of 18.2%.
Diluted earnings per share (GAAP) were $0.73, while adjusted EPS stood at $0.27. The company also reported $173.3 million in operating cash flow for the quarter and $222.1 million in free cash flow.
“Our fourth quarter results highlight our team’s commitment to commercial intensity, operational discipline, and enabling breakthrough therapies,” said Michael Stubblefield, Avantor’s President and CEO. “We returned to growth and achieved sequential and year-over-year increases in adjusted EBITDA margin, adjusted EPS, and industry-leading free cash flow conversion.”
Full-Year Results
For the full fiscal year, Avantor posted net sales of $6.78 billion, a reported decline of 3%, with a 2% organic sales decline due to currency factors and its Clinical Services divestiture. Net income rose sharply to $711.5 million from $321.1 million in 2023, while adjusted EBITDA totaled $1.2 billion, achieving a margin of 17.7%.
Operating cash flow for the year reached $840.8 million, with free cash flow of $768.3 million. Adjusted net leverage stood at 3.2x as of year-end 2024, reflecting significant deleveraging progress.
Stubblefield noted, “We’re entering 2025 with strong momentum and a clear focus on innovation-driven revenue growth, margin expansion, and continued deleveraging. Our new operating model is driving greater efficiency, and our cost transformation program is ahead of schedule.”
Segment Performance
- Laboratory Solutions posted Q4 net sales of $1.13 billion, a 1% organic decline, with adjusted operating income of $147.4 million and a margin of 13.1%. Full-year sales for the segment reached $4.61 billion, an organic decline of 2%.
- Bioscience Production recorded Q4 net sales of $560.8 million, up 4% both on a reported and organic basis, supported by the bioprocessing platform’s high-single-digit growth. Adjusted operating income for Q4 rose to $149.2 million, with a robust margin of 26.6%. Full-year sales for the segment totaled $2.17 billion, also a 3% organic decline due to prior-year high comparisons in certain markets.
Strategic Outlook
Looking ahead, Avantor is prioritizing innovation, operational excellence, and sustainability as key pillars for growth. With its industry-leading portfolio, resilient supply chain, and focused execution strategy, the company aims to build on its Q4 momentum to achieve near- and long-term profitability targets.
“The strength of our bioprocessing platform and improving end market conditions set the stage for continued gains,” Stubblefield concluded, signaling confidence in Avantor’s ability to deliver value for customers and shareholders in 2025 and beyond.
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