Thermo Fisher Scientific, Inc. (NYSE:TMO) Q4 2014 Earnings Conference Call - Final Transcript
Jan 29, 2015 • 08:30 am ET
(Operator Instructions) Derik de Bruin from Bank, America Merrill Lynch.
Derik de Bruin
So just one quick one and then just one other one, so Pete, you're a day less in Q1 this year by your calendar, is that my correct calculation on that?
Yes, it's one less day in Q1 and then we pick up the day again in Q4.
Derik de Bruin
Okay, just making sure that that's there. And I guess on China, can you just sort of -- I mean a couple of your competitors made some noise about seeing at least a little bit of improvement or seeing some potential pickup, I mean what's embedded into your organic revenue growth guidance for China this year?
In terms of China, looking back at last year, mid-single digit growth in the quarter, mid-single digit growth for the full-year, bookings growth was stronger at high single-digit, so we built a little bit of backlog. From our perspective, we're assuming in the guidance that market conditions are going to be very similar in 2015 to 2014, and obviously when we hit an inflection point for accelerated growth and we'll obviously communicate it, but there's not a huge amount of transparency right now into when the government is going to step up spending.
So based on the fact that 2015 has an easier comparison versus what we've had last year, that should hopefully be a conservative assumption on China.
Ross Muken, Evercore ISI.
On the quarter, in and of itself, I mean you had, and a couple of other businesses had their best sprint of the year from a growth perspective, if you sort of look under the hood and examine where the greatest deltas were in the Q at least relative to your expectations, ex maybe one-off things like flu, where do you feel like the core performance really inflected and it was sort of a market or share or kind of underlying dynamic, because I think the numbers across the board in some of the pieces were a lot there than certainly we were looking for?
So, Ross, the team across our businesses and across the globe performed very well, and the 6% organic growth, the strength in each of our business segments really was a highlight. Very nice to see the Life Sciences Solutions business had very strong growth in the quarter, delivered a very nice year overall with about 3.5% growth on the full-year which is about 1 point better than what it had been growing the prior year.
So that's a real positive. But we saw good performance in our channel businesses, both in Specialty Diagnostics and in the Research and Safety one within Lab Products and Services, and generally a great year with our mass spec and chroma business as well, so really strong across the board.
And obviously relative to 2015, very difficult environment, you sort of noted sort of unprecedented from an FX perspective, so as you sort of saw rates shift in the last several weeks, what are