Agilent's orders up as it preps for Keysight spin-off

Agilent Technologies Inc. saw its orders increase 7% year-over-year in the most recent quarter, but its electronic measurement business struggled — second quarter revenues were down 2% from the same time last year.
Meanwhile, the company continues to make progress on spinning off the electronic measurement business into a stand-alone company, Keysight Technologies. Its common stock will trade on the New York Stock Exchange under the ticker symbol KEYS. That separation is expected to occur in early November.
The segment’s operating margins were 20%. In comparison, Agilent’s chemical analysis business had revenues increase 3% year-over-year with operating margins of 22%, and its life science and diagnostics segment revenues grew 1% with operating margins of 13%.
Overall, the company’s revenues for the quarter of $1.73 billion were flat compared with the year-ago period. Net income was down to $150 million from $166 million a year ago, which Agilent attributed in part to spin-off related costs. The company reported pre-separation costs of $41 million, as well as integration and transformation costs of $10 million, along with a $10 million tax benefit and $51 million in intangible amortization.
“We delivered on our commitments this past quarter with solid order growth, and revenues and earnings in the mid-range of our forecasted guidance,” said Bill Sullivan, president and CEO of Agilent, in a statement. “Looking ahead, we are well positioned as we move into the second half.”
Agilent expects third quarter revenues between $1.74 billion-$1.76 billion, with full year revenues estimated at $6.90 billion-$7.10 billion.