Revvity Announces Financial Results for the First Quarter of 2026

• Revenue of $711 million; pro forma revenue of $687 million; 7% revenue growth; 3% organic growth; 6% pro forma organic growth
• GAAP EPS from continuing operations of $0.37; adjusted EPS from continuing operations of $1.06; GAAP pro forma EPS from continuing operations of $0.40; pro forma adjusted EPS from continuing operations of $1.04
• Announces intention to divest China Immunodiagnostics business
• Updates full year 2026 guidance

WALTHAM, Mass.--(BUSINESS WIRE)--Revvity, Inc. (NYSE: RVTY), today reported financial results for the first quarter ended April 5, 2026.

The Company reported GAAP earnings per share from continuing operations of $0.37, as compared to $0.35 in the same period a year ago. Revenue for the quarter was $711 million, as compared to $665 million in the same period a year ago. GAAP operating income from continuing operations for the quarter was $76 million, as compared to $72 million for the same period a year ago. GAAP operating profit margin from continuing operations was 10.7% as a percentage of revenue, as compared to 10.9% in the same period a year ago.

Adjusted earnings per share from continuing operations for the quarter was $1.06, as compared to $1.01 in the same period a year ago. Adjusted operating income was $168 million, as compared to $170 million for the same period a year ago. Adjusted operating profit margin was 23.6% as a percentage of revenue, as compared to 25.6% in the same period a year ago.

Intention to divest China Immunodiagnostics business

The Company announced its strategic decision to divest its Immunodiagnostics business in China. This business represented approximately 6% of the Company’s total revenue in fiscal year 2025. The Company has entered into a letter of intent with a prospective buyer, with a definitive agreement expected to be signed in the second quarter of 2026. The divestiture is expected to be completed in 2027 following receipt of necessary regulatory approvals. The Company is providing first quarter 2026 financial results on a reported and pro forma basis; forward-looking guidance is provided on a pro forma basis which excludes the business that it intends to divest. Management will provide additional commentary and perspective on this strategic action on this morning’s first quarter 2026 earnings conference call.

Pro forma earnings per share from continuing operations for the quarter was $0.40, as compared to $(0.13) in the same period a year ago. Pro forma operating income was $80 million, as compared to $20 million in the same period a year ago. Pro forma operating profit margin was 11.7% as a percentage of pro forma revenue, as compared to 3.2% in the same period a year ago.

On a pro forma adjusted basis, earnings per share for the quarter was $1.04, as compared to $0.95 in the same period a year ago. Pro forma revenue for the quarter was $687 million, as compared to $629 million in the same period a year ago. Pro forma adjusted operating income was $165 million, as compared to $159 million for the same period a year ago. Pro forma adjusted operating profit margin was 24.0% as a percentage of pro forma revenue, as compared to 25.3% in the same period a year ago.

Adjustments for the Company’s non-GAAP financial measures have been noted in the attached reconciliations.

“We performed well in the first quarter, with organic growth and adjusted EPS exceeding our expectations, reflecting strong execution from our teams across the organization,” said Prahlad Singh, president and chief executive officer of Revvity. “Our disciplined approach to portfolio optimization positions us well to capitalize on improving market conditions and deliver differentiated results for shareholders.”

Financial Overview by Reporting Segment

Life Sciences

• First quarter 2026 revenue was $362 million, as compared to $340 million in the same period a year ago. Revenue increased 6% and organic revenue and pro forma organic revenue increased 3% as compared to the same period a year ago.

• First quarter 2026 adjusted operating income was $104 million, as compared to $106 million in the same period a year ago. Adjusted operating profit margin was 28.7% as a percentage of revenue, as compared to 31.1% in the same period a year ago.

Diagnostics

• First quarter 2026 revenue was $349 million, as compared to $324 million in the same period a year ago. Revenue increased 8% and organic revenue increased 4% as compared to the same period a year ago. Pro forma organic revenue increased 9% as compared to the same period a year ago.

• First quarter 2026 adjusted operating income was $76 million, as compared to $74 million in the same period a year ago. Adjusted operating profit margin was 21.8% as a percentage of revenue, as compared to 22.8% in the same period a year ago.

Full Year 2026 Guidance

For the full year 2026, on a pro forma basis, the Company forecasts total revenue of $2.81-$2.84 billion, pro forma organic revenue growth of 3%-4%, and pro forma adjusted earnings per share of $5.20-$5.30.

Guidance for the full year 2026 for pro forma organic revenue growth and pro forma adjusted EPS is provided on a non-GAAP basis and cannot be reconciled to the closest GAAP measures without unreasonable effort due to the unpredictability of the amounts and timing of events affecting the items the Company excludes from these non-GAAP measures. The timing and amounts of such events and items could be material to the Company’s results prepared in accordance with GAAP.

Webcast Information

The Company will discuss its first quarter 2026 results and its outlook for business trends during a webcast on May 5, 2026, at 7:30 a.m. Eastern Time. A live audio webcast and presentation will be available on the Investors section of the Company’s website, ir.revvity.com.

Use of Non-GAAP Financial Measures

In addition to financial measures prepared in accordance with generally accepted accounting principles (GAAP), this earnings announcement also contains non-GAAP financial measures. The reasons that we use these measures, a reconciliation of these measures to the most directly comparable GAAP measures, and other information relating to these measures are included below following our GAAP financial statements.

Factors Affecting Future Performance

This press release contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to estimates and projections of future earnings per share, cash flow and revenue growth and other financial results, developments relating to our customers and end-markets, and plans concerning business development opportunities, acquisitions and divestitures. Words such as “believes”, “intends”, “anticipates”, “plans”, “expects”, “estimates”, “projects”, “forecasts”, “will” and similar expressions, and references to guidance, are intended to identify forward-looking statements. Such statements are based on management's current assumptions and expectations and no assurances can be given that our assumptions or expectations will prove to be correct. A number of important risk factors could cause actual results to differ materially from the results described, implied or projected in any forward-looking statements. These factors include, without limitation: (1) markets into which we sell our products declining or not growing as anticipated; (2) fluctuations in the global economic and political environments, including as the result of recently implemented and recently threatened tariff increases; (3) our failure to introduce new products in a timely manner; (4) our ability to execute acquisitions and divestitures, license technologies, or to successfully integrate acquired businesses or licensed technologies into our existing businesses or to make them profitable; (5) our ability to compete effectively; (6) fluctuation in our quarterly operating results and our ability to adjust our operations to address unexpected changes; (7) significant disruption in third-party package delivery and import/export services or significant increases in prices for those services; (8) disruptions in the supply of raw materials and supplies; (9) our ability to retain key personnel; (10) significant disruption in our information technology systems, or cybercrime; (11) uncertainties related to the development and use of AI in our product offerings and internal operations; (12) our ability to realize the full value of our intangible assets; (13) our failure to adequately protect our intellectual property; (14) the loss of any of our licenses or licensed rights; (15) the manufacture and sale of products exposing us to product liability claims; (16) our failure to maintain compliance with applicable government regulations; (17) our failure to comply with data privacy and information security laws and regulations; (18) regulatory changes; (19) our failure to comply with healthcare industry regulations; (20) economic, political and other risks associated with foreign operations; (21) our ability to obtain future financing; (22) restrictions in our credit agreements; (23) significant fluctuations in our stock price; (24) reduction or elimination of dividends on our common stock; and (25) other factors which we describe under the caption “Risk Factors” in our most recent annual report on Form 10-K and in our other filings with the Securities and Exchange Commission. We disclaim any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release.

About Revvity

At Revvity, “impossible” is inspiration, and “can’t be done” is a call to action. Revvity provides health science solutions, technologies, expertise and services that deliver complete workflows from discovery to development, and diagnosis to cure. Revvity is revolutionizing what’s possible in healthcare, with specialized focus areas in translational multi-omics technologies, biomarker identification, imaging, prediction, screening, detection and diagnosis, informatics and more.

With 2025 revenue of $2.9 billion and approximately 11,000 employees, Revvity serves customers across pharmaceutical and biotech, diagnostic labs, academia and governments. It is part of the S&P 500 index and has customers in more than 160 countries.

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Revvity, Inc. and Subsidiaries CONDENSED CONSOLIDATED INCOME STATEMENTS
	Three Months Ended April 5, 2026						Three Months Ended March 30, 2025
(In thousands, except per share data)	As Reported			Pro Forma			As Reported			Pro Forma
Revenue	$	711,118		$	686,912		$	664,762		$	628,698
Cost of revenue		323,463			309,166			289,216			271,377
Selling, general and administrative expenses		253,882			239,776			249,719			283,723
Research and development expenses		57,887			57,887			53,597			53,597
Operating income from continuing operations		75,886			80,083			72,230			20,001
Interest income		(6,304	)		(6,294	)		(10,081	)		(10,068	)
Interest expense		24,718			24,718			22,964			22,964
Change in fair value of investments		4,204			4,204			(3,073	)		(3,073	)
Other expense, net		3,276			2,565			10,038			9,427
Income from continuing operations, before income taxes		49,992			54,890			52,382			751
Provision for income taxes		9,099			9,600			10,713			16,909
Income (loss) from continuing operations		40,893			45,290			41,669			(16,158	)
(Loss) income from discontinued operations		(175	)		(175	)		568			568
Net income (loss)	$	40,718		$	45,115		$	42,237		$	(15,590	)
Diluted earnings per share:
Income (loss) from continuing operations	$	0.37		$	0.40		$	0.35		$	(0.13	)
(Loss) income from discontinued operations		(0.00	)		(0.00	)		0.00			0.00
Net income (loss)	$	0.36		$	0.40		$	0.35		$	(0.13	)
Weighted average diluted shares of common stock outstanding		111,876			111,876			120,233			120,233
ABOVE PREPARED IN ACCORDANCE WITH GAAP
Additional supplemental information^(1):
(per share, continuing operations)
	Three Months Ended April 5, 2026						Three Months Ended March 30, 2025
	As Reported			Pro Forma			As Reported			Pro Forma
GAAP EPS from continuing operations	$	0.37		$	0.40		$	0.35		$	(0.13	)
Amortization of intangible assets		0.76			0.70			0.69			0.64
Acquisition and divestiture-related costs		0.00			0.00			0.02			0.02
Transformation costs		0.01			0.01			—			—
Change in fair value of investments		0.04			0.04			(0.03	)		(0.03	)
Loss from probable dispositions		—			—			—			0.39
Significant litigation matters and settlements		—			—			0.09			0.09
Significant environmental matters		—			—			(0.01	)		(0.01	)
Disposition of businesses and assets, net		(0.05	)		(0.05	)		—			—
Mark to market on postretirement benefits		(0.02	)		(0.02	)		0.04			0.04
Restructuring and other		0.10			0.09			0.03			0.03
Tax on above items		(0.16	)		(0.14	)		(0.16	)		(0.08	)
Adjusted EPS from continuing operations	$	1.06		$	1.04		$	1.01		$	0.95
(1) amounts may not sum due to rounding

Revvity, Inc. and Subsidiaries REVENUE AND OPERATING INCOME (LOSS)
	Three Months Ended April 5, 2026						Three Months Ended March 30, 2025
(In thousands, except percentages)	As Reported			Pro Forma			As Reported			Pro Forma
Revenue and adjusted operating income
Revenue	$	711,118		$	686,912		$	664,762		$	628,698
Operating income from continuing operations	$	75,886		$	80,083		$	72,230		$	20,001
OP%		10.7	%		11.7	%		10.9	%		3.2	%
Amortization of intangible assets		85,081			78,709			82,700			77,343
Purchase accounting adjustments		141			141			(177	)		(177	)
Acquisition and divestiture-related costs		282			282			2,541			2,541
Disposition of businesses and assets, net		(5,074	)		(5,074	)		—			—
Transformation costs		794			794			—			—
Loss from probable dispositions		—			—			—			46,628
Significant litigation matters and settlements		69			69			10,586			10,586
Significant environmental matters		—			—			(1,208	)		(1,208	)
Restructuring and other		10,675			9,998			3,239			3,239
Adjusted operating income	$	167,854		$	165,002		$	169,911		$	158,953
OP%		23.6	%		24.0	%		25.6	%		25.3	%
							Three Months Ended
							April 5, 2026			March 30, 2025
							(In thousands, except percentages)
Segment revenue:
Life Sciences							$	361,845		$	340,395
Diagnostics								349,273			324,367
Segment revenue								711,118			664,762
Segment operating income:
Life Sciences							$	103,979		$	105,711
								28.7	%		31.1	%
Diagnostics								76,122			74,015
								21.8	%		22.8	%
Segment operating income								180,101			179,726
Corporate								(12,247	)		(9,815	)
Adjusted operating income								167,854			169,911
Amortization of intangible assets								(85,081	)		(82,700	)
Purchase accounting adjustments								(141	)		177
Acquisition and divestiture-related costs								(282	)		(2,541	)
Disposition of businesses and assets, net								5,074			—
Transformation costs								(794	)		—
Significant litigation matters and settlements								(69	)		(10,586	)
Significant environmental matters								—			1,208
Restructuring and other								(10,675	)		(3,239	)
Reported operating income from continuing operations							$	75,886		$	72,230
REVENUE AND REPORTED OPERATING INCOME (LOSS) PREPARED IN ACCORDANCE WITH GAAP

Revvity, Inc. and Subsidiaries CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)	April 5, 2026		December 28, 2025
Current assets:
Cash and cash equivalents	$	860,320	$	919,860
Accounts receivable, net		691,380		744,671
Inventories, net		387,505		379,497
Other current assets		189,112		195,719
Total current assets		2,128,317		2,239,747
Property, plant and equipment, net		465,636		479,249
Operating lease right-of-use assets, net		163,254		165,439
Intangible assets, net		2,306,534		2,347,003
Goodwill		6,610,750		6,613,493
Other assets, net		322,099		323,480
Total assets	$	11,996,590	$	12,168,411
Current liabilities:
Current portion of long-term debt	$	575,831	$	588,828
Accounts payable		169,679		185,464
Accrued expenses and other current liabilities		493,134		556,954
Total current liabilities		1,238,644		1,331,246
Long-term debt		2,632,072		2,631,236
Long-term liabilities		800,859		807,461
Operating lease liabilities		142,276		148,108
Total liabilities		4,813,851		4,918,051
Total stockholders' equity		7,182,739		7,250,360
Total liabilities and stockholders' equity	$	11,996,590	$	12,168,411
PREPARED IN ACCORDANCE WITH GAAP

Revvity, Inc. and Subsidiaries CONSOLIDATED STATEMENTS OF CASH FLOWS
	Three Months Ended
(In thousands)	April 5, 2026			March 30, 2025
Operating activities:
Net income	$	40,718		$	42,237
Loss (income) from discontinued operations, net of income taxes		175			(568	)
Income from continuing operations		40,893			41,669
Adjustments to reconcile income from continuing operations to net cash provided by continuing operations:
Stock-based compensation		8,715			7,731
Restructuring and other		10,675			3,239
Depreciation and amortization		105,056			97,422
Change in fair value of contingent consideration		(99	)		(625	)
Amortization of deferred debt financing costs and accretion of discounts		1,139			1,102
Change in fair value of investments		4,204			(3,073	)
Unrealized foreign exchange loss (gain)		100			(66	)
Gains on disposition of businesses and assets, net		(5,074	)		—
Changes in assets and liabilities which provided (used) cash:
Accounts receivable, net		61,547			18,140
Inventories, net		(12,838	)		(5,486	)
Accounts payable		(13,744	)		8,854
Accrued expenses and other		(74,687	)		(34,810	)
Net cash provided by operating activities of continuing operations		125,887			134,097
Net cash used in operating activities of discontinued operations		(10,657	)		(5,942	)
Net cash provided by operating activities		115,230			128,155
Investing activities:
Capital expenditures		(19,775	)		(15,982	)
Purchases of investments and notes receivables		(1,055	)		—
Proceeds from investments and notes receivables		677			—
Proceeds from dispositions of property, plant and equipment		9,003			—
Proceeds from disposition of businesses and assets		158			229
Cash paid for acquisitions, net of cash acquired		(67,280	)		—
Net cash used in investing activities of continuing operations		(78,272	)		(15,753	)
Net cash provided by investing activities of discontinued operations		—			9,375
Net cash used in investing activities		(78,272	)		(6,378	)
Financing Activities:
Payments of debt financing costs		—			(2,402	)
Payments on other credit facilities		—			(50	)
Payments for acquisition-related contingent consideration		—			(1,817	)
Proceeds from issuance of common stock under stock plans		5,441			2,632
Purchases of common stock		(86,496	)		(153,594	)
Dividends paid		(7,840	)		(8,433	)
Net cash used in financing activities		(88,895	)		(163,664	)
Effect of exchange rate changes on cash, cash equivalents, and restricted cash		(7,627	)		16,122
Net decrease in cash, cash equivalents, and restricted cash		(59,564	)		(25,765	)
Cash, cash equivalents, and restricted cash at beginning of period		921,030			1,164,452
Cash, cash equivalents, and restricted cash at end of period	$	861,466		$	1,138,687
Supplemental disclosure of cash flow information:
Reconciliation of cash, cash equivalents and restricted cash reported within the condensed balance sheets that sum to the total shown in the consolidated statements of cash flows:
Cash and cash equivalents	$	860,320		$	1,137,620
Restricted cash included in other current assets		428			1,067
Restricted cash included in other assets		718			—
Total cash, cash equivalents and restricted cash	$	861,466		$	1,138,687
PREPARED IN ACCORDANCE WITH GAAP

Revvity, Inc. and Subsidiaries RECONCILIATION OF FINANCIAL METRICS ^(1)
	Continuing Operations
	Three Months Ended
	April 5, 2026
Organic revenue growth:
Revenue growth from continuing operations	7%
Less: effect of foreign exchange rates	3%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses	1%
Organic revenue growth from continuing operations	3%
Less: effect of probable dispositions	-2%
Pro forma organic revenue growth from continuing operations	6%
	Life Sciences
	Three Months Ended
	April 5, 2026
Organic revenue growth:
Revenue growth from continuing operations	6%
Less: effect of foreign exchange rates	2%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses	2%
Organic revenue growth from continuing operations	3%
Less: effect of probable dispositions	0%
Pro forma organic revenue growth from continuing operations	3%
	Diagnostics
	Three Months Ended
	April 5, 2026
Organic revenue growth:
Revenue growth from continuing operations	8%
Less: effect of foreign exchange rates	4%
Less: effect of acquisitions including purchase accounting adjustments and impact of divested businesses	0%
Organic revenue growth from continuing operations	4%
Less: effect of probable dispositions	-5%
Pro forma organic revenue growth from continuing operations	9%
(1) amounts may not sum due to rounding

Explanation of Non-GAAP Financial Measures

We report our financial results in accordance with GAAP. However, management believes that, in order to more fully understand our short-term and long-term financial and operational trends, investors may wish to consider the impact of certain non-cash, non-recurring or other items, which result from facts and circumstances that vary in frequency and impact on continuing operations. Accordingly, we present non-GAAP financial measures as a supplement to the financial measures we present in accordance with GAAP. These non-GAAP financial measures provide management with additional means to understand and evaluate the operating results and trends in our ongoing business by adjusting for certain non-cash expenses and other items that management believes might otherwise make comparisons of our ongoing business with prior periods more difficult, obscure trends in ongoing operations, or reduce management’s ability to make useful forecasts. Management believes these non-GAAP financial measures provide additional means of evaluating period-over-period operating performance. In addition, management understands that some investors and financial analysts find this information helpful in analyzing our financial and operational performance and comparing this performance to our peers and competitors.

We use the term “organic revenue” to refer to GAAP revenue, excluding the effect of foreign currency changes and revenue from recent acquisitions, divestitures and including purchase accounting adjustments for revenue from contracts acquired in acquisitions that will not be fully recognized due to accounting rules. We use the related term “organic revenue growth” or “organic growth” to refer to the measure of comparing current period organic revenue with the corresponding period of the prior year.

We use the term “adjusted gross margin” to refer to GAAP gross margin, excluding amortization of intangible assets and inventory fair value adjustments related to business acquisitions and asset impairments. We use the related term “adjusted gross margin percentage” to refer to adjusted gross margin as a percentage of revenue.

We use the term “adjusted SG&A expense” to refer to GAAP SG&A expense, excluding amortization of intangible assets, purchase accounting adjustments, acquisition and divestiture-related expenses, transformation costs, significant litigation matters and settlements, asset impairments, significant environmental charges, and restructuring and other charges. We use the related term “adjusted SG&A percentage” to refer to adjusted

SG&A expense as a percentage of revenue.

We use the term “adjusted R&D expense” to refer to GAAP R&D expense, excluding amortization of intangible assets and purchase accounting adjustments. We use the related term “adjusted R&D percentage” to refer to adjusted R&D expense as a percentage of revenue.

We use the term “adjusted net interest and other expense” to refer to GAAP net interest and other expense, excluding adjustments for mark-to-market accounting on post-retirement benefits, changes in foreign exchange and interest associated with acquisitions and divestitures, changes in the value of investments and debt extinguishment costs.

We use the term “adjusted operating income” to refer to GAAP operating income, excluding amortization of intangible assets, purchase accounting adjustments, acquisition and divestiture-related expenses, transformation costs, significant litigation matters and settlements, significant environmental charges, asset impairments, and restructuring and other charges. We use the related terms “adjusted operating profit percentage,” “adjusted operating profit margin,” and “adjusted operating margin” to refer to adjusted operating income as a percentage of revenue.

We use the term “free cash flow” to refer to net cash provided by (used in) operating activities of continuing operations, less payments for additions to property, plant and equipment from continuing operations (“capital expenditures”) plus the proceeds from sales of plant, property and equipment from continuing operations (“capital disposals”).

We use the term “adjusted net income” to refer to GAAP income from continuing operations, excluding amortization of intangible assets, debt extinguishment costs, purchase accounting adjustments, acquisition and divestiture-related expenses, transformation costs, significant litigation matters and settlements, significant environmental charges, changes in the value of investments, disposition of businesses and assets, net, changes in foreign exchange and interest associated with acquisitions and divestitures, asset impairments and restructuring and other charges. We also exclude adjustments for mark-to-market accounting on post-retirement benefits, therefore only our projected costs have been used to calculate this non-GAAP measure. We also adjust for any tax impact related to the above items and exclude the impact of significant tax events.

We use the term “adjusted earnings per share from continuing operations,” “adjusted earnings per share,” “adjusted EPS,” or “adjusted EPS from continuing operations” to refer to GAAP earnings per share from continuing operations, excluding amortization of intangible assets, debt extinguishment costs, purchase accounting adjustments, acquisition and divestiture-related expenses, transformation costs, significant litigation matters and settlements, significant environmental charges, changes in the value of investments, disposition of businesses and assets, net, changes in foreign exchange and interest associated with acquisitions and divestitures, asset impairments and restructuring and other charges. We also exclude adjustments for mark-to market accounting on post-retirement benefits, therefore only our projected costs have been used to calculate this non-GAAP measure. We also adjust for any tax impact related to the above items and exclude the impact of significant tax events.

We use the term “pro forma revenue” to refer to GAAP revenue, excluding revenue from probable dispositions.

We use the term “pro forma organic revenue” to refer to organic revenue excluding revenue from probable dispositions. We use the related term “pro forma organic revenue growth”, “pro forma organic revenue growth from continuing operations” or “pro forma organic growth” to refer to the measure of comparing current period pro forma organic revenue with the corresponding period of the prior year.

We use the term “pro forma revenue growth” to refer to GAAP revenue, excluding revenue from probable dispositions, compared to the proforma revenue with the corresponding period of the prior year.

We use the term “pro forma adjusted gross margin” to refer to adjusted gross margin, excluding gross margin from probable dispositions. We use the related term “pro forma adjusted gross margin percentage” to refer to pro forma adjusted gross margin as a percentage of pro forma revenue.

We use the term “pro forma adjusted SG&A expense” to refer to adjusted SG&A expense, excluding SG&A expense from probable dispositions and gains(losses) on sale of probable dispositions. We use the related term “pro forma adjusted SG&A percentage” to refer to pro forma adjusted SG&A expense as a percentage of pro forma revenue.

We use the term “pro forma adjusted R&D expense” to refer to adjusted R&D expense, excluding R&D expense from probable dispositions. We use the related term “pro forma adjusted R&D percentage” to refer to pro forma adjusted R&D expense as a percentage of pro forma revenue.

We use the term “pro forma adjusted net interest and other expense” to refer to adjusted net interest and other expense, excluding net interest and expense from probable dispositions.

We use the term “pro forma adjusted operating income” to refer to adjusted operating income, excluding operating income from probable dispositions. We use the related terms “pro forma adjusted operating profit percentage,” “pro forma adjusted operating profit margin,” and “pro forma adjusted operating margin” to refer to pro forma adjusted operating income as a percentage of pro forma revenue.

We use the term “pro forma adjusted earnings per share from continuing operations,” “pro forma adjusted earnings per share,” “pro forma adjusted EPS,” or “pro forma adjusted EPS from continuing operations” to refer to adjusted earnings per share from continuing operations, excluding net income from probable dispositions and gains (losses) on sale of probable dispositions.

Management includes or excludes the effect of each of the items identified below in the applicable non-GAAP financial measure referenced above for the reasons set forth below with respect to that item:

• Amortization of intangible assets—purchased intangible assets are amortized over their estimated useful lives and generally cannot be changed or influenced by management after the acquisition. Accordingly, this item is not considered by management in making operating decisions. Management does not believe such charges accurately reflect the performance of our ongoing operations for the period in which such charges are incurred.

• Debt extinguishment costs—we incur costs and income related to the extinguishment of debt; including make-whole payments to debt holders, accelerated amortization of debt fees and discounts, and expense or income from hedges to lock in make-whole payments. We exclude the impact of these items from our non-GAAP measures because we believe they do not reflect the performance of our ongoing operations.

• Purchase accounting adjustments—accounting rules require us to adjust various balance sheet accounts, including inventory, fixed assets, deferred revenue and deferred rent balances to fair value at the time of the acquisition. As a result, the expenses for these items in our GAAP results are not the same as what would have been recorded by the acquired entity. Accounting rules also require us to estimate the fair value of contingent consideration at the time of the acquisition, and any subsequent changes to the estimate or payment of the contingent consideration and purchase accounting adjustments are charged to expense or income. We exclude the impact of any changes to contingent consideration from our non-GAAP measures because we believe these expenses or benefits do not accurately reflect the performance of our ongoing operations for the period in which such expenses or benefits are recorded.

• Acquisition and divestiture-related expenses—we incur legal, due diligence, stay bonuses, incentive awards, stock-based compensation, interest, foreign exchange gains and losses, integration expenses, rebranding expenses, and other costs related to acquisitions and divestitures. We exclude these expenses from our non-GAAP measures because we believe they do not reflect the performance of our ongoing operations.

• Transformation costs—transformation costs consist of external professional service costs related to transformation initiatives focused on business processes modernization, automation, and implementation of global systems to support the new Revvity Business Model. These costs are determined to be noncapitalizable in accordance with accounting standards. Management does not believe such costs accurately reflect the performance of our ongoing operations for the period in which such costs are reported.

• Asset impairments—we incur expenses related to asset impairments. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred.

• Restructuring and other charges—restructuring and other charges consist of employee severance, other exit costs, abandonments or associated asset write-downs, cost of terminating certain lease agreements or contracts as well as costs associated with relocating facilities. Management does not believe such costs accurately reflect the performance of our ongoing operations for the period in which such costs are reported.

• Adjustments for mark-to-market accounting on post-retirement benefits—we exclude adjustments for mark-to-market accounting on post-retirement benefits, and therefore only our projected costs are used to calculate our non-GAAP measures. We exclude these adjustments because they do not represent what we believe our investors consider to be costs of producing our products, investments in technology and production, and costs to support our internal operating structure.

• Significant litigation matters and settlements—we incur expenses related to significant litigation matters, including the costs to settle or resolve various claims and legal proceedings. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred.

• Significant environmental charges—we incur expenses related to significant environmental charges. Management does not believe such charges accurately reflect the performance of our ongoing operations for the periods in which such charges were incurred.

• Disposition of businesses and assets, net—we exclude the impact of gains or losses from the disposition of businesses and assets from our adjusted earnings per share. Management does not believe such gains or losses accurately reflect the performance of our ongoing operations for the period in which such gains or losses are reported.

• Impact of foreign currency changes on the current period—we exclude the impact of foreign currency associated with acquisitions and divestitures from these measures by using the prior period’s foreign currency exchange rates for the current period because foreign currency exchange rates are subject to volatility and can obscure underlying trends.

• Impact of significant tax events—we exclude the impact of significant tax events. Management does not believe the impact of significant tax events accurately reflects the performance of our ongoing operations for the periods in which the impact of such events was recorded.

• Change in fair value of investments—we exclude the impact of changes in the value of investments. Management does not believe such gains or losses accurately reflect the performance of our ongoing operations for the period in which such gains or losses are reported.

The tax effect for discontinued operations is calculated based on the authoritative guidance in the Financial Accounting Standards Board’s Accounting Standards Codification 740, Income Taxes. The tax effect for amortization of intangible assets, inventory fair value adjustments related to business acquisitions, changes to the fair values assigned to contingent consideration, debt extinguishment costs, other costs related to business acquisitions and divestitures, transformation costs, loss from probable dispositions, significant litigation matters and settlements, significant environmental charges, changes in the fair value of investments, adjustments for mark-to-market accounting on post-retirement benefits, disposition of businesses and assets, net, and restructuring and other charges is calculated based on operational results and a blended jurisdictional tax rate, which contemplates tax rates currently in effect to determine our tax provision. The tax effect for the impact from foreign currency exchange rates on the current period is calculated based on a blended jurisdictional tax rate currently in effect to determine our tax provision.

The non-GAAP financial measures described above are not meant to be considered superior to, or a substitute for, our financial statements prepared in accordance with GAAP. There are material limitations associated with non-GAAP financial measures because they exclude charges that have an effect on our reported results and, therefore, should not be relied upon as the sole financial measures by which to evaluate our financial results. Management compensates and believes that investors should compensate for these limitations by viewing the non-GAAP financial measures in conjunction with the GAAP financial measures. In addition, the non-GAAP financial measures included in this earnings announcement may be different from, and therefore may not be comparable to, similar measures used by other companies.

Each of the non-GAAP financial measures listed above is also used by our management to evaluate our operating performance, communicate our financial results to our Board of Directors, benchmark our results against our historical performance and the performance of our peers, evaluate investment opportunities including acquisitions and discontinued operations, and determine the bonus payments for senior management and employees.