Stock Track | Hologic Delivers Solid Q4 Results, Stays Resilient Despite Near-Term Headwinds

Stock Track11-05

Hologic Inc. (NASDAQ: HOLX), a leading provider of medical technology solutions, reported robust financial results for the fourth quarter and fiscal year 2024, highlighting its resilience and diverse growth drivers amid temporary challenges.

For the fourth quarter, Hologic posted total revenue of $987.9 million, up 4.2% year-over-year, and non-GAAP earnings per share (EPS) of $1.01, reflecting a 13.5% increase. The company's molecular diagnostics business remained a strong performer, growing 9% excluding COVID-19 assays, driven by the continued adoption of its BV/CV/TV assay and the Biotheranostics business.

Hologic also made significant strides in executing its M&A strategy, acquiring Endo Matics and signing a definitive agreement to acquire Gyno SOIC, further strengthening its global portfolio. Additionally, the company announced a new $250 million accelerated share repurchase program, underscoring its commitment to shareholder value.

However, the company faced temporary headwinds, including a stop ship issue in its Skeletal business and anticipated challenges in the first half of fiscal 2025 due to factors like IV fluid shortages impacting surgical procedures. The breast health segment's growth is also expected to slow down due to the anticipated launch of a new gantry product.

Furthermore, Hologic's NovaSure surgical business is experiencing a decline in the U.S. market as alternative treatments for abnormal uterine bleeding gain prevalence. Despite these challenges, the company remains confident in its ability to navigate the evolving market landscape and deliver sustainable long-term growth.

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