Acquisitions increased reported sales by 0.5%, but the impact varied across segments. Biotechnology saw increased demand, while Diagnostics experienced core sales declines due to China's volume-based procurement program.

The company anticipates incurring incremental tariff costs of several hundred million dollars in 2025. Management expects to largely offset the impact through various actions, but revenue and profitability could be adversely impacted if these efforts are insufficient.

Management emphasizes expanding in high-growth geographies and market segments, developing innovative products, and improving efficiency. High-growth markets represented 27% of total sales in Q1 2025.

Management plans to offset the impact of enacted tariffs through manufacturing footprint changes, supply chain adjustments, surcharges, and additional productivity and cost savings actions. The success of these actions is uncertain.

The company continues to implement restructuring actions. These actions can have long-term adverse effects on our business and financial statements.

The effective tax rate was 15.5%, lower than the U.S. federal statutory rate, due to global operations and tax credits. Management expects a 17.0% rate for the remainder of 2025, but this is subject to change based on various factors.

Significant developments or changes in national laws or policies to protect or promote domestic interests and/or address foreign competition can have an adverse effect on our business and financial statements.

Significant disruptions in, or breaches in security of, our information technology (“IT”) systems or data; data privacy violations; other losses or disruptions to facilities, supply chains, distribution systems or IT systems due to catastrophe; and labor disputes can all adversely affect our business and financial statements.

The healthcare industry and related industries that we serve are undergoing significant changes in an effort to reduce (and increase the predictability of) costs, which can adversely affect our business and financial statements.

We face intense competition and if we are unable to compete effectively, we may experience decreased demand and decreased market share. Even if we compete effectively, we may be required to reduce the prices we charge.

Our growth depends on the timely development and commercialization, and customer acceptance, of new and enhanced products and services based on technological innovation.

Uncertainties with respect to the development, deployment and use of artificial intelligence in our business and products may result in harm to our business and reputation.

SG&A expenses as a percentage of sales increased during the three-month period ended March 28, 2025 as compared to the comparable period in 2024, primarily driven by a year-over-year increase in costs incurred for productivity improvement actions, and to a lesser extent, the impact of recent acquisitions

Throughout this discussion, references to sales growth or decline refer to the impact of both price and unit sales and references to productivity improvements generally refer to improved cost-efficiencies resulting from the ongoing application of the Danaher Business System.

The Company expects to largely offset the operating profit impact of the enacted tariffs with manufacturing footprint changes, supply chain adjustments, surcharges and additional productivity and cost savings actions.

R&D expenses (consisting principally of internal and contract engineering personnel costs) as a percentage of sales increased during the three-month period ended March 28, 2025 as compared to the comparable period of 2024 primarily as a result of increased spending on R&D activities, including the impact of recent acquisitions.

Our growth depends on the timely development and commercialization, and customer acceptance, of new and enhanced products and services based on technological innovation.

The Company is making significant investments, organically and through acquisitions and investments, to address the rapid pace of technological change in its served markets and to globalize its manufacturing, research and development and customer-facing resources

The Company repurchased approximately 4.5 million shares for approximately $1.1 billion during the quarter. Approximately 12 million shares remained available for repurchase.

Aggregate cash payments for dividends on Company common stock during the three-month period ended March 28, 2025 were $194 million compared to $177 million for the three-month period ended March 29, 2024.

Interest income of $6 million for the three-month period ended March 28, 2025 was $54 million lower than the comparable period of 2024, due primarily to lower average cash balances in 2025 as a result of share repurchases and acquisitions.

Climate change, legal or regulatory measures to address climate change and other sustainability topics and any inability to address regulatory requirements or stakeholder expectations with respect to climate change and other sustainability topics, may negatively affect our business and financial statements.

Conditions in the global economy, the particular markets we serve and the financial markets can adversely affect our business and financial statements.

Economic, political, geopolitical, legal, compliance, social and business factors (including the impact of military conflicts), both in the U.S. and outside the U.S., can negatively affect our business and financial statements.

Global heath crises, pandemics, epidemics or other outbreaks can adversely impact certain elements of our business and financial statements.