Document and Entity Information
Document and Entity Information - $ / shares | 6 Months Ended | |
Mar. 31, 2024 | May 06, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 000-25434 | |
Entity Registrant Name | AZENTA, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 04-3040660 | |
Entity Address, Address Line One | 200 Summit Drive | |
Entity Address, Address Line Two | 6th Floor | |
Entity Address, City or Town | Burlington | |
Entity Address, State or Province | MA | |
Entity Address, Postal Zip Code | 01803 | |
City Area Code | 978 | |
Local Phone Number | 262-2626 | |
Title of 12(b) Security | Common Stock, $0.01 par value | |
Trading Symbol | AZTA | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Listing, Par Value Per Share | $ 0.01 | |
Entity Common Stock, Shares Outstanding | 53,918,934 | |
Entity Central Index Key | 0000933974 | |
Current Fiscal Year End Date | --09-30 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Current assets | ||
Cash and cash equivalents | $ 353,491 | $ 678,910 |
Short-term marketable securities | 468,220 | 338,873 |
Accounts receivable, net of allowance for expected credit losses ($6,844 and $8,057, respectively) | 154,668 | 156,535 |
Inventories | 122,351 | 128,198 |
Derivative asset | 350 | 13,036 |
Short-term restricted cash | 3,089 | 4,650 |
Prepaid expenses and other current assets | 87,897 | 98,754 |
Total current assets | 1,190,066 | 1,418,956 |
Property, plant and equipment, net | 200,905 | 205,744 |
Long-term marketable securities | 143,018 | 111,338 |
Long-term deferred tax assets | 925 | 571 |
Operating lease right-of-use assets | 69,662 | 66,580 |
Goodwill | 681,140 | 784,339 |
Intangible assets, net | 267,626 | 294,301 |
Other assets | 10,155 | 3,891 |
Total assets | 2,563,497 | 2,885,720 |
Current liabilities | ||
Accounts payable | 37,319 | 35,796 |
Deferred revenue | 38,323 | 34,614 |
Accrued warranty and retrofit costs | 9,745 | 10,223 |
Accrued compensation and benefits | 27,985 | 33,911 |
Accrued customer deposits | 21,772 | 17,707 |
Accrued income taxes payable | 10,706 | 7,378 |
Short-term operating lease liability | 10,802 | 9,499 |
Accrued expenses and other current liabilities | 46,347 | 61,800 |
Total current liabilities | 202,999 | 210,928 |
Long-term tax accruals | 377 | 380 |
Long-term deferred tax liabilities | 62,267 | 67,301 |
Long-term operating lease liabilities | 63,374 | 60,436 |
Other long-term liabilities | 11,609 | 12,175 |
Total liabilities | 340,626 | 351,220 |
Stockholders' equity | ||
Preferred stock, $0.01 par value - 1,000,000 shares authorized, no shares issued or outstanding | ||
Common stock, $0.01 par value - 125,000,000 shares authorized, 68,464,925 shares issued and 54,614,041 shares outstanding at March 31, 2024, 71,294,247 shares issued and 57,832,378 shares outstanding at September 30, 2023 | 681 | 713 |
Additional paid-in capital | 999,333 | 1,156,160 |
Accumulated other comprehensive loss | (41,728) | (62,426) |
Treasury stock, at cost - 13,850,884 shares at March 31, 2024 and 13,461,869 shares at September 30, 2023 | (223,820) | (200,956) |
Retained earnings | 1,488,405 | 1,641,009 |
Total stockholders' equity | 2,222,871 | 2,534,500 |
Total liabilities and stockholders' equity | $ 2,563,497 | $ 2,885,720 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Accounts Receivable, after Allowance for Credit Loss, Current [Abstract] | ||
Allowance for expected credit losses | $ 6,844 | $ 8,057 |
Preferred Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 125,000,000 | 125,000,000 |
Common stock, shares issued (in shares) | 68,464,925 | 71,294,247 |
Common stock, shares outstanding (in shares) | 54,614,041 | 57,832,378 |
Treasury Stock, Number of Shares and Restriction Disclosures [Abstract] | ||
Treasury stock, shares (in shares) | 13,850,884 | 13,461,869 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Revenue | ||||
Total revenue | $ 159,134 | $ 148,401 | $ 313,451 | $ 326,767 |
Cost of revenue | ||||
Total cost of revenue | 95,749 | 95,165 | 188,554 | 199,666 |
Gross profit | 63,385 | 53,236 | 124,897 | 127,101 |
Operating expenses | ||||
Research and development | 8,707 | 8,520 | 17,200 | 16,056 |
Selling, general and administrative | 78,314 | 73,339 | 156,890 | 165,891 |
Impairment of goodwill and intangible assets | 115,975 | 115,975 | ||
Contingent consideration - fair value adjustments | (17,145) | (17,145) | ||
Restructuring charges | 7,344 | 1,499 | 8,464 | 2,961 |
Total operating expenses | 210,340 | 66,213 | 298,529 | 167,763 |
Operating loss | (146,955) | (12,977) | (173,632) | (40,662) |
Other income | ||||
Interest income, net | 9,565 | 10,394 | 19,646 | 21,059 |
Other income (expense), net | 250 | (2,668) | 932 | (1,523) |
Loss before income taxes | (137,140) | (5,251) | (153,054) | (21,126) |
Income tax benefit | (260) | (3,260) | (450) | (7,900) |
Loss from continuing operations | (136,880) | (1,991) | (152,604) | (13,226) |
Loss from discontinued operations, net of tax | (2,936) | (2,936) | ||
Net loss | $ (136,880) | $ (4,927) | $ (152,604) | $ (16,162) |
Basic net loss per share: | ||||
Loss from continuing operations (in dollars per share) | $ (2.47) | $ (0.03) | $ (2.72) | $ (0.19) |
Loss from discontinued operations, net of tax (in dollars per share) | (0.04) | (0.04) | ||
Basic net loss per share (in dollars per share) | (2.47) | (0.07) | (2.72) | (0.23) |
Diluted net loss per share: | ||||
Loss from continuing operations (in dollars per share) | (2.47) | (0.03) | (2.72) | (0.19) |
Loss from discontinued operations, net of tax (in dollars per share) | (0.04) | (0.04) | ||
Diluted net loss per share (in dollars per share) | $ (2.47) | $ (0.07) | $ (2.72) | $ (0.23) |
Weighted average shares used in computing net loss per share: | ||||
Basic (in shares) | 55,440 | 69,111 | 56,078 | 70,858 |
Diluted (in shares) | 55,440 | 69,111 | 56,078 | 70,858 |
Products | ||||
Revenue | ||||
Total revenue | $ 59,017 | $ 51,917 | $ 112,410 | $ 137,715 |
Cost of revenue | ||||
Total cost of revenue | 41,658 | 40,009 | 78,496 | 94,108 |
Services | ||||
Revenue | ||||
Total revenue | 100,117 | 96,484 | 201,041 | 189,052 |
Cost of revenue | ||||
Total cost of revenue | $ 54,091 | $ 55,156 | $ 110,058 | $ 105,558 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income (Loss) | $ (136,880) | $ (4,927) | $ (152,604) | $ (16,162) |
Other comprehensive income (loss), net of tax | ||||
Net investment hedge currency translation adjustment, net of tax effects of $(1,739) and $2,837 for the three and six months ended March 31, 2024, respectively, and ($4,531) and ($24,239) for the three and six months ended March 31, 2023, respectively | 5,080 | (13,133) | (8,288) | (70,260) |
Foreign currency translation adjustments | (20,769) | 33,850 | 25,725 | 111,264 |
Changes in unrealized gains on marketable securities, net of tax effects of $(257) and $607 for the three and six months ended March 31, 2024, respectively, and $858 and $1,395 for the three and six months ended March 31, 2023, respectively | 752 | 2,487 | 3,276 | 4,042 |
Actuarial (loss) in pension plans, net of tax effects of $(3) and $(1) during the three and six months ended March 31, 2024, respectively, and $0 during each of the three and six months ended March 31, 2023 | (7) | (15) | ||
Total other comprehensive income (loss), net of tax | (14,944) | 23,204 | 20,698 | 45,046 |
Comprehensive income (loss) | $ (151,824) | $ 18,277 | $ (131,906) | $ 28,884 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent, Parenthetical Disclosure [Abstract] | ||||
Net investment hedge currency translation adjustment, tax | $ (1,739) | $ (4,531) | $ 2,837 | $ (24,239) |
Changes in unrealized gains on marketable securities, tax | (257) | 858 | 607 | 1,395 |
Actuarial loss, tax | $ (3) | $ 0 | $ (1) | $ 0 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities | ||
Net loss | $ (152,604) | $ (16,162) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 44,214 | 42,140 |
Impairment of goodwill and intangible assets | 115,975 | |
Non-cash write-offs of assets | 6,966 | |
Stock-based compensation | 8,804 | 6,096 |
Contingent consideration adjustment | (17,145) | |
Amortization and accretion on marketable securities | (2,084) | (5,284) |
Deferred income taxes | (9,456) | (20,843) |
Purchase accounting impact on inventory | 5,781 | |
Loss on disposals of property, plant and equipment | 260 | 31 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 2,922 | 23,925 |
Inventories | 7,975 | (11,504) |
Accounts payable | 936 | (5,677) |
Deferred revenue | 3,379 | 3,625 |
Accrued warranty and retrofit costs | (714) | 622 |
Accrued compensation and tax withholdings | (6,153) | (21,797) |
Accrued restructuring costs | 1,454 | 820 |
Other assets and liabilities | 12,913 | (23,798) |
Net cash provided by (used in) operating activities | 34,787 | (39,170) |
Cash flows from investing activities | ||
Purchases of property, plant and equipment | (18,746) | (21,705) |
Purchases of marketable securities | (345,447) | (233,584) |
Sales and maturities of marketable securities | 190,504 | 728,171 |
Net Investment hedge settlement | 1,476 | 29,313 |
Acquisitions, net of cash acquired | (387,665) | |
Net cash provided by (used in) investing activities | (172,213) | 114,530 |
Cash flows from financing activities | ||
Payments of finance leases | (386) | (230) |
Withholding tax payments on net share settlements on equity awards | (4,906) | |
Share repurchases | (186,834) | (500,000) |
Net cash used in financing activities | (187,220) | (505,136) |
Effects of exchange rate changes on cash and cash equivalents | 4,721 | 60,355 |
Net increase (decrease) in cash, cash equivalents and restricted cash | (319,925) | (369,421) |
Cash, cash equivalents and restricted cash, beginning of period | 684,045 | 1,041,296 |
Cash, cash equivalents and restricted cash, end of period | 364,120 | 671,875 |
Supplemental disclosures: | ||
Cash paid for income taxes, net | $ 5,008 | $ 35,286 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets | ||
Cash and cash equivalents of continuing operations | $ 353,491 | $ 678,910 |
Short-term restricted cash | 3,089 | 4,650 |
Long-term restricted cash included in other assets | 7,540 | 485 |
Total cash, cash equivalents and restricted cash shown in the consolidated statements of cash flows | $ 364,120 | $ 684,045 |
Restricted Cash, Noncurrent, Statement of Financial Position | Other assets | Other assets |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Income (Loss) | Retained Earnings (Accumulated Deficit) | Treasury Stock | Total |
Beginning Balance at Sep. 30, 2022 | $ 885 | $ 1,992,017 | $ (83,916) | $ 1,655,356 | $ (200,956) | $ 3,363,386 |
Beginning Balance (in shares) at Sep. 30, 2022 | 88,482,125 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Shares issued under restricted stock and purchase plans, net of shares withheld for employee taxes | 1,573 | (4,629) | (3,056) | |||
Shares issued under restricted stock and purchase plans, net of shares withheld for employee taxes (in shares) | 210,711 | |||||
Share repurchases | (500,000) | (500,000) | ||||
Share repurchases (in shares) | (6,090,134) | |||||
Retirement of treasury shares | $ (59) | (504,568) | 504,629 | 2 | ||
Stock-based compensation | 6,096 | 6,096 | ||||
Net Income (Loss) | (16,162) | (16,162) | ||||
Net investment hedge currency translation adjustment, net of tax | (70,260) | (70,260) | ||||
Foreign currency translation adjustments | 111,264 | 111,264 | ||||
Changes in unrealized gains on marketable securities, net of tax | 4,042 | 4,042 | ||||
Other | (85) | (85) | ||||
Ending Balance at Mar. 31, 2023 | $ 826 | 1,495,118 | (38,870) | 1,639,109 | (200,956) | 2,895,227 |
Ending Balance (in shares) at Mar. 31, 2023 | 82,602,702 | |||||
Beginning Balance at Dec. 31, 2022 | $ 824 | 1,489,554 | (62,074) | 1,644,041 | (200,956) | 2,871,389 |
Beginning Balance (in shares) at Dec. 31, 2022 | 82,515,917 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Shares issued under restricted stock and purchase plans, net of shares withheld for employee taxes | 1,573 | 1,573 | ||||
Shares issued under restricted stock and purchase plans, net of shares withheld for employee taxes (in shares) | 86,785 | |||||
Retirement of treasury shares | $ 2 | 2 | ||||
Stock-based compensation | 3,991 | 3,991 | ||||
Net Income (Loss) | (4,927) | (4,927) | ||||
Net investment hedge currency translation adjustment, net of tax | (13,133) | (13,133) | ||||
Foreign currency translation adjustments | 33,850 | 33,850 | ||||
Changes in unrealized gains on marketable securities, net of tax | 2,487 | 2,487 | ||||
Other | (5) | (5) | ||||
Ending Balance at Mar. 31, 2023 | $ 826 | 1,495,118 | (38,870) | 1,639,109 | (200,956) | 2,895,227 |
Ending Balance (in shares) at Mar. 31, 2023 | 82,602,702 | |||||
Beginning Balance at Sep. 30, 2023 | $ 713 | 1,156,160 | (62,426) | 1,641,009 | (200,956) | $ 2,534,500 |
Beginning Balance (in shares) at Sep. 30, 2023 | 71,294,247 | 57,832,378 | ||||
Increase (Decrease) in Stockholders' Equity | ||||||
Shares issued under restricted stock and purchase plans, net of shares withheld for employee taxes | $ 3 | (3) | ||||
Shares issued under restricted stock and purchase plans, net of shares withheld for employee taxes (in shares) | 217,947 | |||||
Share repurchases | $ (12) | (188,515) | $ (188,527) | |||
Share repurchases (in shares) | (3,436,284) | |||||
Retirement of treasury shares | $ (23) | (165,628) | 165,651 | |||
Stock-based compensation | 8,804 | 8,804 | ||||
Net Income (Loss) | (152,604) | (152,604) | ||||
Net investment hedge currency translation adjustment, net of tax | (8,288) | (8,288) | ||||
Foreign currency translation adjustments | 25,725 | 25,725 | ||||
Changes in unrealized gains on marketable securities, net of tax | 3,276 | 3,276 | ||||
Actuarial loss on pension plans, net of tax | (15) | (15) | ||||
Ending Balance at Mar. 31, 2024 | $ 681 | 999,333 | (41,728) | 1,488,405 | (223,820) | $ 2,222,871 |
Ending Balance (in shares) at Mar. 31, 2024 | 68,075,910 | 54,614,041 | ||||
Beginning Balance at Dec. 31, 2023 | $ 692 | 1,045,427 | (26,784) | 1,625,285 | (200,956) | $ 2,443,664 |
Beginning Balance (in shares) at Dec. 31, 2023 | 69,180,281 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Shares issued under restricted stock and purchase plans, net of shares withheld for employee taxes | $ 1 | (1) | ||||
Shares issued under restricted stock and purchase plans, net of shares withheld for employee taxes (in shares) | 73,053 | |||||
Share repurchases | $ (12) | (74,559) | (74,571) | |||
Share repurchases (in shares) | (1,177,424) | |||||
Retirement of treasury shares | (51,695) | 51,695 | ||||
Stock-based compensation | 5,602 | 5,602 | ||||
Net Income (Loss) | (136,880) | (136,880) | ||||
Net investment hedge currency translation adjustment, net of tax | 5,080 | 5,080 | ||||
Foreign currency translation adjustments | (20,769) | (20,769) | ||||
Changes in unrealized gains on marketable securities, net of tax | 752 | 752 | ||||
Actuarial loss on pension plans, net of tax | (7) | (7) | ||||
Ending Balance at Mar. 31, 2024 | $ 681 | $ 999,333 | $ (41,728) | $ 1,488,405 | $ (223,820) | $ 2,222,871 |
Ending Balance (in shares) at Mar. 31, 2024 | 68,075,910 | 54,614,041 |
CONDENSED CONSOLIDATED STATEM_7
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent, Parenthetical Disclosure [Abstract] | ||||
Net investment hedge currency translation adjustment, tax | $ (1,739) | $ (4,531) | $ 2,837 | $ (24,239) |
Changes in unrealized gains on marketable securities, tax | $ (257) | $ 858 | $ 607 | $ 1,395 |
Nature of Operations
Nature of Operations | 6 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations | 1. Nature of Operations Azenta, Inc. (“Azenta”, or the “Company”) is a leading global provider of sample exploration and management solutions for the life sciences industry. The Company supports its customers from research and clinical development to commercialization with its sample management, automated storage, vaccine cold storage and transport, as well as genomic services expertise to help bring impactful therapies to market faster Organizational Structure Effective October 1, 2023, the Company realigned its organizational structure to three principal business segments: Sample Management Solutions (“SMS”), Multiomics, and B Medical Systems. The segment realignment had no impact on the Company’s consolidated financial position, results of operations, or cash flows. All segment information included in this Form 10-Q is reflective of this new structure and prior period information has been recast to conform to the Company’s current period presentation. Refer to Segment and Geographic Information |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Principles of Consolidation and Basis of Presentation The accompanying Condensed Consolidated Financial Statements include the accounts of the Company and all entities where it has a controlling financial interest and have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). All intercompany balances and transactions have been eliminated in consolidation. The accompanying year-end balance sheet was derived from audited financial statements but does not include all disclosures required by GAAP. The unaudited interim Condensed Consolidated Financial Statements have been prepared on the same basis as the audited financial statements and in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for a fair statement of the Company’s financial position, results of operations, and cash flows for the periods presented. Certain information and disclosures normally included in the Company’s annual consolidated financial statements have been condensed or omitted and, accordingly, the accompanying financial information should be read in conjunction with the audited consolidated financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2023 filed with the U.S. Securities and Exchange Commission (“SEC”) on November 21, 2023 (the “2023 Annual Report on Form 10-K”). Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make certain estimates and assumptions that affect amounts reported in the financial statements and notes thereto. Although these estimates are based on the Company’s knowledge of current events and actions it may undertake in the future, actual results may differ from these estimates. Estimates are associated with recording accounts receivable, inventories, goodwill, intangible assets other than goodwill, long-lived assets, derivative financial instruments, deferred income taxes, warranty obligations, revenue over time, stock-based compensation expense, and other accounts. The Company assesses the estimates on an ongoing basis and records changes in estimates in the period they occur and become known. Foreign Currency Translation Certain transactions of the Company and its subsidiaries are denominated in currencies other than their functional currency. Foreign currency exchange gains (losses) generated from the settlement and remeasurement of these transactions are recognized in earnings and presented within “Other income” in the Condensed Consolidated Statements of Operations. Net foreign currency transaction and remeasurement losses were $0.4 million and $0.9 million for the three months ended March 31, 2024 and 2023, respectively. Net foreign currency transaction and remeasurement losses were $0.9 million and $0.8 million during the six months ended March 31, 2024 and 2023, respectively. Recently Issued Accounting Pronouncements In October 2023, the Financial Accounting Standard Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-06, Disclosure Improvements: Codification Amendments in Response to the SEC’s Disclosure Update and Simplification Initiative In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures In March 2024, the FASB issued ASU 2024-02, Codification Improvements-Amendments to Remove References to the Concepts Statements In March 2024, the SEC issued final rules under SEC Release No. 33-11275, The Enhancement and Standardization of Climate-Related Disclosures for Investors In 2021, the Organization of Economic Cooperation and Development (“OECD”) introduced its Pillar II Framework Model Rules (“Pillar 2”), which are designed to impose a 15% global minimum tax on the earnings of in-scope multinational corporations on a country-by-country basis. Certain aspects of Pillar 2 took effect on January 1, 2024 while other aspects go into effect on January 1, 2025. The Company is evaluating the potential impact of Pillar 2 on its business, as the countries in which it operates are enacting legislation implementing Pillar 2. Other For further information regarding the Company’s significant accounting policies, please refer to Note 2, Summary of Significant Accounting Policies |
Business Combinations
Business Combinations | 6 Months Ended |
Mar. 31, 2024 | |
Business Combinations [Abstract] | |
Business Combinations | 3. Business Combinations The Company recorded the assets acquired and liabilities assumed related to the following acquisitions at their fair values as of the acquisition date, from a market participant’s perspective. While the Company uses its best estimates and assumptions as part of the purchase price allocation process to value the assets acquired and liabilities assumed on the acquisition date, its estimates and assumptions are subject to refinement. Fair value estimates are based on a complex series of judgments about future events and uncertainties and rely heavily on estimates and assumptions. The judgments used to determine the estimated fair value assigned to each class of assets acquired and liabilities assumed, as well as asset lives, can materially impact the Company’s results of operations. The measurement period to finalize the fair values is within one year after the respective acquisition date. Acquisitions Completed in Fiscal Year 2023 Ziath, Ltd. On February 2, 2023, the Company acquired Ziath, Ltd. and its subsidiaries (“Ziath”). Based in Cambridge, United Kingdom, Ziath is a leading provider of 2D barcode readers for life science applications. Founded in 2005, Ziath’s innovative 2D barcode readers are a key component of the laboratory automation workflow serving pharmaceutical, biotechnology and academic customers worldwide. Ziath is expected to enhance the Company’s offerings, which support the entire lifecycle of sample management from specimen collection to sample registration, storage and processing. The acquisition was completed at a purchase price of $16.0 million, net of cash acquired. The acquired business is included in the SMS segment. The allocation of the consideration included $12.0 million of goodwill, $4.1 million of technology, $1.1 million of deferred tax liability, $0.6 million of customer relationships, $0.3 million of trademarks, and several other assets and liabilities. The weighted average life of completed technology is 10 years, customer relationships is 13 years, and trademarks is 13 years. The goodwill represents the Company’s ability to provide differentiated technology enabling high throughput scanning of varied formats of consumables. The goodwill is not expected to be deductible for income tax purposes. The Company did not present pro forma financial information for its consolidated results of operations for the acquisition because such results are immaterial. B Medical Systems S.á r.l. On October 3, 2022, the Company acquired B Medical Systems S.á r.l. and its subsidiaries ("B Medical") for a purchase price of $432.2 million. B Medical is a market leader in temperature-controlled storage and transportation solutions that enables the delivery of life-saving treatments to more than 150 countries worldwide. The consideration paid for B Medical was allocated to the assets acquired and liabilities assumed based on their fair values at the acquisitions date. The Company finalized purchase accounting for B Medical in the fourth quarter of fiscal year 2023 and there have been no adjustments to the purchase price allocation disclosed in Note 3, Business Combinations In performing the purchase price allocation, the Company considered, among other factors, the intended future use of acquired assets, and historical financial performance and estimates of future performance of B Medical’s business. As part of the purchase price allocations, the Company determined the identifiable intangible assets were completed technology value, trademarks, customer relationships and backlog. The fair value of the intangible assets was estimated using the income approach, specifically the multi-period excess earnings method, and the cash flow projections were discounted using a rate of 13%. The cash flows were based on estimates used to price the transaction, and the discount rate applied was benchmarked to the implied rate of return from the transaction and the weighted average cost of capital. The weighted average life of completed technology is 10 years, customer relationships is 16 years, trademarks is five years and backlog is one year. The intangible assets acquired are amortized over their respective weighted average life using methods that approximate the pattern in which the economic benefits are expected to be realized. The calculation of the excess of the purchase price over the estimated fair value of the tangible net assets and intangible assets acquired was recorded to goodwill. The goodwill recorded in connection with the transaction was largely based on the potential expansion of the Company's cold chain capabilities by adding differentiated solutions for reliable and traceable transport of temperature-controlled specimens. The goodwill is not deductible for income tax purposes. The acquired intangible assets and goodwill are subject to review for impairment if indicators of impairment develop and otherwise at least annually. See Note 6, Goodwill and Intangible Assets |
Marketable Securities
Marketable Securities | 6 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities | 4. Marketable Securities The Company had sales and maturities of marketable securities of $80.2 million and $121.0 million in the three months ended March 31, 2024 and 2023, respectively. The Company had sales and maturities of marketable securities of $190.5 million and $728.2 million in the six months ended March 31, 2024 and 2023, respectively. There were insignificant realized gains or losses in each of the three and six months ended March 31, 2024 and 2023 on the sale and maturity of marketable securities. The following is a summary of the amortized cost and the fair value, including accrued interest receivable as well as unrealized gains (losses) on the short-term and long-term marketable securities as of March 31, 2024 and September 30, 2023 (in thousands): Gross Gross Amortized Unrealized Unrealized Cost Losses Gains Fair Value March 31, 2024: U.S. Treasury securities and obligations of U.S. government agencies $ 433,188 $ (902) $ 8 $ 432,294 Bank certificates of deposit 7,870 (68) — 7,802 Corporate securities 171,648 (1,515) 3 170,136 Municipal securities 1,006 — — 1,006 $ 613,712 $ (2,485) $ 11 $ 611,238 September 30, 2023: U.S. Treasury securities and obligations of U.S. government agencies $ 227,804 $ (2,573) $ — $ 225,231 Bank certificates of deposit 8,122 (170) — 7,952 Corporate securities 221,155 (4,127) — 217,028 $ 457,081 $ (6,870) $ — $ 450,211 The fair values of the marketable securities by contractual maturities as of March 31, 2024 were as follows (in thousands): Amortized Cost Fair Value Due in one year or less $ 470,012 $ 468,220 Due after one year through five years 140,222 139,540 Due after five years through ten years — — Due after ten years 3,478 3,478 Total marketable securities $ 613,712 $ 611,238 Expected maturities could differ from contractual maturities because the security issuers may have the right to prepay obligations without prepayment penalties. Unrealized losses from fixed-income securities are primarily attributable to changes in interest rates. The Company does not believe any unrealized losses represent impairments based on its evaluation of the available evidence. |
Derivative Instruments
Derivative Instruments | 6 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | 5. Derivative Instruments The Company has transactions and balances denominated in currencies other than the functional currency of the transacting entity. Most of these transactions carry foreign exchange risk in Germany, the United Kingdom and China. The Company enters into foreign exchange contracts to reduce its exposure to currency fluctuations. Net gains and losses related to foreign exchange contracts are recorded as a component of “Other income” in the Condensed Consolidated Statements of Operations and are as follows for the three and six months ended March 31, 2024 and 2023 (in thousands): Three Months Ended Six Months Ended March 31, March 31, 2024 2023 2024 2023 Realized losses on derivatives not designated as hedging instruments $ (548) $ (533) $ (1,787) $ (2,112) The notional amounts of the Company’s derivative instruments as of March 31, 2024 and September 30, 2023 were as follows (in thousands): March 31, September 30, Hedge Designation 2024 2023 Cross-currency swap Net Investment Hedge $ 75,978 $ 436,360 Foreign exchange contracts Undesignated 73,415 184,800 The fair values of the foreign exchange contracts are recorded in the Condensed Consolidated Balance Sheets as “Prepaid expenses and other current assets” and “Accrued expenses and other current liabilities”. Foreign exchange contract assets and liabilities are measured and reported at fair value based on observable market inputs and classified within Level 2 of the fair value hierarchy described further in Note 2, Summary of Significant Accounting Policies Fair Value Measurements Hedging Activities On February 1, 2022, the Company entered into a cross-currency swap agreement to hedge the variability of exchange rate impacts between the U. S. dollar and the Euro. Under the terms of the cross-currency swap agreement, the Company notionally exchanged $1.0 billion for €915.0 million at a weighted average interest rate of 1.20% . The designated notional amount was $960.0 million, and the actual interest rate was 1.28% . The 1.28% rate was in the range of the market value for February 1, 2022 and was the true interest rate on the notional amount. The Company designated the cross-currency swap as a hedge of net investments against one of its Euro denominated subsidiaries requiring an exchange of the notional amounts at maturity. At the maturity of the cross currency-swap on February 1, 2023, the Company delivered a notional amount of €852.0 million and received a notional amount of $960.0 million at a Euro to U.S. dollar exchange rate of 1.13 , which included a gain of $29.3 million. On February 1, 2023, the Company entered into a cross-currency swap agreement to hedge the variability of exchange rate impacts between the U.S. dollar and the Euro. Under the terms of the cross-currency swap agreement, the Company notionally exchanged $436.0 million for €400.0 million at a weighted average interest rate of 1.66%. The Company designated the cross-currency swap as a hedge of net investments against one of its Euro denominated subsidiaries, which requires an exchange of the notional amounts at maturity on February 1, 2024. At the maturity of the cross currency-swap on February 1, 2024, the Company delivered a notional amount of €400 million and received a notional amount of $436.0 million at a Euro to U.S. dollar exchange rate of 1.09, which included a gain of $1.4 million. On February 1, 2024, the Company entered into another cross-currency swap agreement to hedge the variability of exchange rate impacts between the U.S. dollar and the Euro. Under the terms of the cross-currency swap agreement, the Company notionally exchanged $76.0 million for €70.0 million at a weighted average interest rate of 1.44%. The Company designated the cross-currency swap as a hedge of net investments against one of its Euro denominated subsidiaries, which requires an exchange of the notional amounts at maturity on February 3, 2025. The cross-currency swaps were recorded as a derivative asset as of March 31, 2024 and September 30, 2023 in the Condensed Consolidated Balance Sheets. The cross-currency swap is marked to market at each reporting period, representing the fair value of the cross-currency swap, any changes in fair value are recognized as a component of “Accumulated other comprehensive loss” in the Condensed Consolidated Balance Sheets. The cross-currency swap is classified within Level 2 of the fair value hierarchy, described in Note 2, Summary of Significant Accounting Policies Fair Value Measurements Interest earned on the cross-currency swap is recorded within “Interest income, net” in the Condensed Consolidated Statements of Operations. For the three months ended March 31, 2024 and 2023, the Company recorded interest income of $1.3 million and $2.2 million, respectively, on these instruments. For the six months ended March 31, 2024 and 2023, the Company recorded interest income of $3.1 million and $5.3 million, respectively, on these instruments. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 6 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | 6. Goodwill and Intangible Assets The Company conducts an impairment assessment annually, or more frequently if impairment indicators are present. Changes to the Company’s operating segments effective October 1, 2023 resulted in a change to the Company’s reporting units, which are aligned to the Company’s operating and reportable segments (as further described in Note 15, Segment and Geographic Information As a result of this segment realignment, the Company allocated goodwill to the reporting units existing under the new organizational structure on a relative fair value basis as of October 1, 2023. The Company estimated the fair values of the affected businesses based upon the present value of their anticipated future cash flows. The Company’s determination of fair value involved judgment and the use of significant estimates and assumptions, as described in the notes to the audited consolidated financial statements included in the section titled “Financial Statements and Supplementary Data” in Part II, Item 8 of the 2023 Annual Report on Form 10-K and in the “Critical Accounting Policies and Estimates” included in the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 of the 2023 Annual Report on Form 10-K. In conjunction with the goodwill allocation described above, the Company tested its reporting units for potential impairment immediately before and after the segment realignment and concluded that the estimated fair value of each reporting unit exceeded its respective carrying value. As of October 1, 2023, the fair value of the B Medical Systems reporting unit exceeded its carrying value by approximately 5 percent. During the second quarter of fiscal year 2024, as part of the Company’s routine long-term planning process, the Company assessed several events and circumstances that could affect the significant inputs used to determine the fair value of its reporting units, including updates to forecasted cash flows, the impact of the Company’s planned transformation initiatives and the overall change in the economic climate since its last impairment assessment in October 2023. The Company concluded it was more likely than not the fair value of the Company’s B Medical Systems segment was less than its carrying amount resulting from the reduction in the Company’s anticipated revenue growth rates for the current and subsequent years as compared to prior projections. As a result, the Company completed a quantitative goodwill impairment test for its reporting units in accordance with ASC 350, Intangibles – Goodwill For the quantitative goodwill impairment analyses performed, the Company compared the estimated fair values of each of its reporting units to their respective carrying amounts. The estimated fair values of each of the reporting units were derived using the income approach, specifically the Discounted Cash Flow (“DCF”) method. The DCF models used in the analysis reflected the Company’s assumptions regarding revenue growth rates, projected gross profit margins, risk-adjusted discount rates, terminal period growth rates, economic and market trends, and other expectations about the anticipated operating results of its reporting units. As part of the goodwill impairment test, the Company also considered its market capitalization and guideline public companies in assessing the reasonableness of the combined fair values estimated for its reporting units. Goodwill impairment is measured as the excess of a reporting unit's carrying amount over its estimated fair value, not to exceed the carrying amount of goodwill for that reporting unit. The results of the Company’s quantitative goodwill impairment analyses as of March 31, 2024 indicated an impairment of goodwill within its B Medical Systems reporting unit resulting in a non-cash impairment charge of $111.3 million recorded within "Impairment of goodwill and intangible assets" in its Condensed Consolidated Statements of Operations during the three months ended March 31, 2024. The Company concluded that there was no impairment to goodwill for the SMS and Multiomics reporting units as of March 31, 2024 or April 1, 2024 (the date of the Company’s annual goodwill test). In the event the financial performance of any of the reporting units does not meet management’s expectations in the future, the Company experiences a prolonged macroeconomic downturn, or there are other negative revisions to key assumptions used in the DCF method used to value the reporting units, the Company may be required to perform additional impairment analyses with respect to such reporting units and could be required to recognize additional impairment charges. The following table sets forth the changes in the carrying amount of goodwill by reportable segment since October 1, 2023 (in thousands). The Company has presented the October 1, 2023 balances to be consistent with the current segment structure. Sample Management Solutions Multiomics B Medical Systems Total Balance - October 1, 2023 $ 478,601 $ 196,760 $ 108,978 $ 784,339 Impairment — — (111,317) (111,317) Currency translation adjustments 5,779 — 2,339 8,118 Balance - March 31, 2024 $ 484,380 $ 196,760 $ — $ 681,140 Accumulated goodwill impairments, March 31, 2024 $ — $ — $ (111,317) $ (111,317) As of March 31, 2024, prior to performing the quantitative goodwill impairment analyses, the Company performed a recoverability test of B Medical Systems long-lived assets in accordance with ASC 360-10-15, Impairment or Disposal of Long-Lived Assets The components of the Company’s identifiable intangible assets as of March 31, 2024 and September 30, 2023 are as follows (in thousands): March 31, 2024 September 30, 2023 Accumulated Net Book Accumulated Net Book Cost Amortization Value Cost Amortization Value Patents $ 1,226 $ 1,185 $ 41 $ 1,226 $ 1,175 $ 51 Completed technology 225,235 74,969 150,266 215,430 56,021 159,409 Trademarks and trade names 6,763 2,250 4,513 6,630 1,445 5,185 Non-competition agreements — — — 681 568 113 Customer relationships 285,116 172,310 112,806 290,800 161,257 129,543 Other intangibles 887 887 — 869 869 — Total $ 519,227 $ 251,601 $ 267,626 $ 515,636 $ 221,335 $ 294,301 Amortization expense for intangible assets was $13.0 million and $12.4 million, respectively, for the three months ended March 31, 2024 and 2023. Amortization expense for intangible assets was $25.5 million and $24.0 million, respectively, for the six months ended March 31, 2024 and 2023. During the second quarter of fiscal year 2024, the Company discontinued its sample sourcing product offering (a product line within the SMS segment). As a result, the Company recorded a $4.7 million impairment of intangible assets related to the sample sourcing business which is included in " Impairment of goodwill and intangible assets " in the Company’s Condensed Consolidated Statements of Operations in the three months ended March 31, 2024. Estimated future amortization expense for the intangible assets for the remainder of fiscal year 2024 and the subsequent five fiscal years is as follows (in thousands): Remainder of fiscal year 2024 $ 25,632 2025 48,883 2026 44,424 2027 36,368 2028 30,051 2029 24,386 |
Restructuring
Restructuring | 6 Months Ended |
Mar. 31, 2024 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | 7. Restructuring 2024 Restructuring Plan In the second quarter of fiscal year 2024, the Company launched initiatives designed to optimize resources for future growth and improve efficiency across its organization. The focus of the initiatives is to improve the Company’s profitability, which includes facilities consolidation, portfolio optimization, and organization structure simplification. The Company expects to complete the activities included in these initiatives by the end of fiscal year 2026. As of May 9, 2024, the date of issuance of the financial statements for the quarterly period ended March 31, 2024, the Company has not identified restructuring actions related to these initiatives that will result in additional material charges. The Company expects to identify additional actions related to these initiatives in future periods which will be recorded when specified criteria are met, such as communication of benefit arrangements or when the costs have been incurred. The majority of the restructuring expenses associated with the initiatives described above for the three months ended March 31, 2024 are severance and related costs, operating lease related right-of-use (“ROU”) asset abandonment, and fixed assets and other asset write-offs. Of the total restructuring expenses in the three months ended March 31, 2024, $4.6 million is related to B Medical Systems segment; $1.6 million is related to SMS segment; $1.1 million is the Company’s headquarters operating lease related ROU asset abandonment and corporate related severance costs. 2023 Cost Savings Plans In the second and third quarters of fiscal year 2023, the Company announced cost savings plans designed to position the Company to meet the needs of its customers and accelerate growth of the business. The restructuring expenses associated with the 2023 cost savings plans for the three and six months ended March 31, 2023 are severance and related costs. The following table sets forth restructuring charges recognized for the three and six months ended March 31, 2024 and 2023 (in thousands): Three Months Ended March 31, Six Months Ended March 31, 2024 2023 2024 2023 Severance and related costs $ 2,111 $ 1,499 $ 3,231 $ 2,961 Property, plant and equipment and other asset write-offs 3,663 — 3,663 — ROU asset abandonment 901 — 901 — Other 669 — 669 — Total restructuring charges $ 7,344 $ 1,499 $ 8,464 $ 2,961 The following table sets forth the activity in the severance and related costs accruals for the six months ended March 31, 2024 and 2023 (in thousands): Six Months Ended March 31, 2024 2023 Balance at beginning of period $ 1,011 $ 462 Provisions 3,231 2,961 Payments (1,760) (2,139) Balance at end of period $ 2,482 $ 1,284 |
Supplementary Balance Sheet Inf
Supplementary Balance Sheet Information | 6 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Supplementary Balance Sheet Information | 8. Supplementary Balance Sheet Information Inventories The following is a summary of inventories at March 31, 2024 and September 30, 2023 (in thousands): March 31, September 30, 2024 2023 Raw materials and purchased parts $ 57,101 $ 59,861 Work-in-process 10,908 11,400 Finished goods 54,342 56,937 Total inventories $ 122,351 $ 128,198 Reserves related to write downs of inventory to net realizable value were $4.7 million and $5.0 million, respectively, at March 31, 2024 and September 30, 2023. Warranty and Retrofit Costs The following is a summary of product and warranty retrofit activity for the six months ended March 31, 2024 and 2023 (in thousands): Six Months Ended March 31, 2024 2023 Balance at beginning of period $ 10,223 $ 2,890 Adjustment for acquisitions — 2,303 Accruals for warranties during the period 645 1,529 Costs incurred during the period (1,123) (1,342) Balance at end of period $ 9,745 $ 5,380 |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Mar. 31, 2024 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | 9. Stockholders’ Equity Share Repurchases During the three months ended March 31, 2024, the Company repurchased 1.2 million shares of common stock for $73.9 million (excluding fees, commissions, and excise tax) pursuant to the 2022 share repurchase authorization. During the six months ended March 31, 2024, the Company repurchased 3.5 million shares of common stock for $186.8 million (excluding fees, commissions, and excise tax) pursuant to the 2022 share repurchase authorization. As of March 31, 2024, the Company accrued $1.7 million for excise tax related to share repurchases, which is considered an additional cost of the share repurchases and a reduction to stockholders’ equity in the Condensed Consolidated Balance Sheets. Accumulated Other Comprehensive Income (Loss) The following is a summary of the components of accumulated other comprehensive income (loss), net of tax for the six months ended March 31, 2024 and 2023 (in thousands): Unrealized Gains (Losses) on Available- Pension Currency for-Sale Gains (Losses) Liability Translation Securities on Derivative asset Adjustments Adjustments Net of tax Net of tax Net of tax Total Balance at September 30, 2022 $ (165,694) $ (10,909) $ 93,020 $ (333) $ (83,916) Other comprehensive income (loss) before reclassifications 111,264 4,042 (70,260) — 45,046 Balance at March 31, 2023 $ (54,430) $ (6,867) $ 22,760 $ (333) $ (38,870) Unrealized Gains (Losses) on Available- Pension Currency for-Sale Gains (Losses) Liability Translation Securities on Derivative asset Adjustments Adjustments Net of tax Net of tax Net of tax Total Balance at September 30, 2023 $ (88,448) $ (5,135) $ 31,487 $ (330) $ (62,426) Other comprehensive income (loss) before reclassifications 25,725 3,276 (8,288) (61) 20,652 Amounts reclassified from accumulated other comprehensive income (loss) — — — 46 46 Balance at March 31, 2024 $ (62,723) $ (1,859) $ 23,199 $ (345) $ (41,728) Unrealized gains (losses) on available-for-sale marketable securities are reclassified from “Accumulated other comprehensive income (loss)” into results of operations at the time of the securities’ sale, as described in Note 2, Summary of Significant Accounting Policies |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 6 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | 10. Revenue from Contracts with Customers Disaggregated Revenue The Company disaggregates revenue from contracts with customers in a manner that depicts how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors. The following is revenue by significant business line for the three and six months ended March 31, 2024 and 2023 (in thousands): Three months ended March 31, Six months ended March 31, 2024 2023 2024 2023 Significant Business Line Multiomics $ 62,218 $ 62,236 $ 124,938 $ 123,326 Core Products (1) 44,844 43,738 93,730 91,576 Sample Repository Solutions 29,293 27,305 59,412 54,921 B Medical Systems 22,779 15,122 35,371 56,944 Total revenue $ 159,134 $ 148,401 $ 313,451 $ 326,767 (1) Core Products are Automated Stores, Cryogenic Systems, Automated Sample Tube, and Consumables and Instruments. Contract Balances Accounts Receivable, Net. The Company maintains an allowance for expected credit losses representing its best estimate of probable credit losses related to its existing accounts receivable. The Company determines the allowance for expected credit losses based on a number of factors, including an evaluation of customer credit worthiness, the age of the outstanding receivables, economic trends, historical experience, and other information through the payment periods. Contract Assets. Contract Liabilities. . Remaining Performance Obligations. aggregate amount of transaction consideration allocated to remaining performance obligations as of March 31, 2024 was $122.1 million. The following table summarizes when the Company expects to recognize the remaining performance obligations as revenue; the Company will recognize revenue associated with these performance obligations as transfer of control occurs (in thousands): As of March 31, 2024 Less than 1 Year Greater than 1 Year Total Remaining performance obligations $ 94,719 $ 27,379 $ 122,098 |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Mar. 31, 2024 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | 11. Stock-Based Compensation In accordance with the 2020 Equity Incentive Plan, the Company may issue to eligible employees options to purchase shares of the Company’s common stock, restricted stock units and other equity incentives, which vest upon the satisfaction of a performance condition and/or a service condition. In addition, the Company issues common stock to participating employees pursuant to an employee stock purchase plan, and may issue common stock awards and deferred restricted stock units to members of its board of directors in accordance with its board of director compensation program. 2020 Equity Incentive Plan The following table reflects the total stock-based compensation expense recorded during the three and six months ended March 31, 2024 and 2023 (in thousands): Three Months Ended March 31, Six Months Ended March 31, 2024 2023 2024 2023 Restricted stock units $ 5,284 $ 3,634 $ 8,134 $ 5,393 Employee stock purchase plan 318 356 670 703 Total stock-based compensation expense $ 5,602 $ 3,990 $ 8,804 $ 6,096 Restricted Stock Unit Activity The following table summarizes restricted stock unit activity for the six months ended March 31, 2024: Weighted Average Grant-Date Shares Fair Value Outstanding as of September 30, 2023 718,954 $ 67.40 Granted 608,706 $ 55.69 Vested (174,868) $ 68.95 Forfeited (298,806) $ 63.75 Outstanding as of March 31, 2024 853,986 $ 60.01 The fair value of restricted stock units vested during the three and six months ended March 31, 2024 was $2.0 million and $9.8 million, respectively. The fair value of restricted stock units vested during the three and six months ended March 31, 2023 was $2.6 million and $9.6 million, respectively. As of March 31, 2024, the future unrecognized stock-based compensation expense related to restricted stock units expected to vest is $27.2 million and is expected to be recognized over an estimated weighted average amortization period of 1.9 years. Restricted stock units granted with performance goals may also have a required service period following the achievement of all or a portion of the performance goals. The following table reflects restricted stock units granted during the six months ended March 31, 2024 and 2023: Six Months Ended March 31, 2024 2023 Time-based restricted stock units 220,174 356,410 Performance-based restricted stock units 388,532 215,701 Total units 608,706 572,111 Time-Based Restricted Stock Unit Grants Restricted stock units granted with a required service period typically have three-year vesting schedules in which one-third Performance-Based Restricted Stock Unit Grants Performance-based restricted stock units are earned based on the achievement of performance criteria established by the Human Resources and Compensation Committee and approved by the Board of Directors. The criteria for performance-based awards are weighted and have threshold, target, and maximum performance goals. Performance-based restricted stock unit awards granted allow participants to earn 100% of restricted stock units if the Company’s performance meets or exceeds its target goal for each applicable financial metric, and up to a maximum of 200% if the Company’s performance for such metrics meets or exceeds the maximum or stretch goal. Performance below the minimum threshold for each financial metric results in award forfeiture. Performance goals are measured over a three-year period for each year’s restricted stock unit awards and at the end of the period to determine the number of restricted stock units earned, if any, by recipients who continue to meet the service requirement. Upon the third anniversary of each year’s restricted stock unit awards’ grant date, the Company’s Board of Directors approves the number of restricted stock units earned for participants who continue to meet the service requirements on the vesting date. In October 2023, the Company’s Board of Directors approved an amendment to the performance goals associated with the previously issued performance-based restricted stock units for all impacted employees, excluding members of the executive team. The performance goals, as amended, are more reflective of the current macro-economic environment and consideration toward employee retention in the competitive life sciences industry. Before the amendment, the original performance goals were not expected to be satisfied. Subsequent to the amendment, vesting became probable based on the forecasted achievement of the amended performance goals. The amendment of these restricted stock units is treated as a modification with the total compensation cost of |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 12. Fair Value Measurements See Note 2, Summary of Significant Accounting Policies Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis The following tables summarize assets and liabilities measured and recorded at fair value on a recurring basis in the Condensed Consolidated Balance Sheets as of March 31, 2024 and September 30, 2023 (in thousands): As of March 31, 2024 Description Total Fair Value Level 1 Level 2 Level 3 Assets: Cash equivalents $ 195,397 $ 180,755 $ 14,642 $ — Available-for-sale securities 611,238 225,926 385,312 — Foreign exchange contracts 217 — 217 — Net investment hedge 350 — 350 — Total assets $ 807,202 $ 406,681 $ 400,521 $ — Liabilities: Foreign exchange contracts 141 — 141 — Total liabilities $ 141 $ — $ 141 $ — As of September 30, 2023 Description Total Fair Value Level 1 Level 2 Level 3 Assets: Cash equivalents $ 525,952 $ 525,952 $ — $ — Available-for-sale securities 450,211 85,949 364,262 — Foreign exchange contracts 44 — 44 — Net investment hedge 13,036 — 13,036 — Total assets $ 989,243 $ 611,901 $ 377,342 $ — Liabilities: Foreign exchange contracts $ 421 $ — $ 421 $ — Total liabilities $ 421 $ — $ 421 $ — Cash Equivalents The Company considers all highly liquid interest-earning investments with a maturity of three months or less at the date of purchase to be cash equivalents. Cash equivalents primarily consist of money market funds and U.S. government backed securities with a maturity of three months or less. They are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices in active markets. The fair values of these investments approximate their carrying values. Investments classified as Level 2 consist of debt securities that are valued using matrix pricing benchmarking because they are not actively traded and bank certificates of deposit with a maturity of three months or less. Matrix pricing is a mathematical technique used to value securities by relying on the securities’ relationship to other benchmark quoted prices. Available-For-Sale Securities Available-for-sale securities primarily consist of highly rated corporate debt securities, and U.S. government backed securities, which are classified as Level 1. Investments classified as Level 2 consist of debt securities that are valued using matrix pricing and benchmarking because they are not actively traded, and bank certificates of deposit. Foreign Exchange Contracts & Net Investment Hedge The Company’s foreign exchange contract assets and liabilities, and its net investment hedge assets are measured and reported at fair value using the market method valuation technique. The inputs to this technique utilize current foreign currency exchange forward market rates published by third-party leading financial news and data providers. These are observable data that represent the rates that the financial institution uses for contracts entered into at that date; however, they are not based on actual transactions, so they are classified as Level 2. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis In addition to assets and liabilities that are recorded at fair value on a recurring basis, impairment indicators may subject goodwill and long-lived assets to fair value measurement on a nonrecurring basis. As described in Note 6, Goodwill and Intangible Assets, as of March 31, 2024 the Company estimated the fair value of its reporting units using a DCF model. Because the inputs to the valuation model are largely unobservable and reflect the Company’s own assumptions, goodwill and long-lived assets are classified as Level 3. |
Income Taxes
Income Taxes | 6 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 13. Income Taxes The Company recorded an income tax benefit of $0.3 million and $0.5 million during the three and six months ended March 31, 2024, respectively. The tax benefit was primarily driven by the pre-tax loss from operations offset by $1.7 million of charge related to a valuation allowance recorded against deferred tax assets in a foreign subsidiary during the three months ended March 31, 2024. The pre-tax benefit was further offset by $0.5 million of stock compensation shortfall expense for tax deductions that were lower than the associated book compensation expense during the six months ended March 31, 2024, and $0.7 million of expenses related to a valuation allowance on beginning of year U.S. state deferred tax assets. Additionally, the benefit was reduced by $5.7 million and $8.3 million during the three and six months ended March 31, 2024, respectively, due to a partial valuation allowance against the current year U.S. federal and state deferred tax assets. The Company’s tax rate on the loss from operations was lower than statutory rates because the Company was not providing a full tax benefit on U.S. losses due to a partial valuation allowance being recorded against U.S. federal and state deferred tax assets during the current year. The Company recorded an income tax benefit of $3.3 million and $7.9 million, respectively, during the three and six months ended March 31, 2023, respectively. The tax benefit for the three months ended March 31, 2023 was primarily driven by the pre-tax loss from continuing operations during the period. The tax benefit for the six months ended March 31, 2023 was primarily driven by the pre-tax loss from operations and a $1.4 million deferred tax benefit resulting from the extension of a tax incentive in China. The effective tax rates for the three and six months ended March 31, 2023 were substantially higher than statutory rates. The effective rates were driven higher than the statutory rates by the discrete tax benefit in China noted above and the fair value adjustment of the contingent consideration related the B Medical acquisition. The contingent consideration generated $17.1 million of pre-tax income that was not subject to income taxes. Therefore, the tax benefit was being driven by a tax loss that was significantly higher than the book loss for these periods. The effective tax rate during the six months ended March 31, 2023 without these discrete events was slightly higher than average statutory tax rates due to the jurisdictional mix of income with losses being generated in higher tax jurisdictions and income being generated in lower jurisdictions. The in the course of The Company has generated U.S. pre-tax losses in recent years but has been in an overall deferred tax liability position where future taxable temporary differences were considered sufficient to offset future deductible temporary differences. The Company expects to generate a U.S. loss during fiscal year 2024 which will result in a partial valuation allowance against U.S. federal and state deferred tax assets. In addition to the U.S. federal and state partial valuation allowance being recorded against deferred tax assets through the estimated annual effective tax rate, the Company has also recorded $0.7 million of valuation allowances against U.S. state deferred tax assets which related to beginning of year. The Company also maintains a During the three months ended March 31, 2024, the Company repatriated approximately $455.0 million in cash from its German subsidiary. The Company recorded net tax benefits in the amount of $3.2 million related to the repatriation. The benefit included $5.2 million related to deductible U.S. foreign exchange losses on the repatriation measured at the foreign exchange rate on the date of repatriation. This benefit was offset by $2.0 million of state income taxes, net of federal benefit that was recorded during fiscal year 2023. During the three months ended March 31, 2024, we reversed the $2.9 million deferred tax asset due to changes in foreign exchange rates up to the repatriation date. The impact was recorded against other comprehensive income. The Company has not provided deferred income taxes on the outside basis difference of any foreign subsidiary and maintains its general assertion of indefinite reinvestment regarding those subsidiaries and the remaining earnings of its German subsidiary as of March 31, 2024. The Company maintains liabilities for unrecognized tax benefits based on its estimates and assumptions. The Company recognizes interest related to unrecognized tax benefits as unrecognized benefits The In on those benefits will not be reduced in the next twelve months |
Net Loss per Share
Net Loss per Share | 6 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Net Loss per Share | 14. Net Loss per Share The calculations of basic and diluted net loss per share and basic and diluted weighted average shares outstanding are as follows for the three and six months ended March 31, 2024 and 2023 (in thousands, except per share data): Three Months Ended Six Months Ended March 31, March 31, 2024 2023 2024 2023 Loss from continuing operations $ (136,880) $ (1,991) $ (152,604) $ (13,226) Loss from discontinued operations, net of tax — (2,936) — (2,936) Net loss (136,880) (4,927) (152,604) (16,162) Weighted average common shares outstanding used in computing basic loss per share 55,440 69,111 56,078 70,858 Weighted average common shares outstanding used in computing diluted loss per share 55,440 69,111 56,078 70,858 Basic net loss per share: Loss from continuing operations $ (2.47) $ (0.03) $ (2.72) $ (0.19) Loss from discontinued operations, net of tax — (0.04) — (0.04) Basic net loss per share $ (2.47) $ (0.07) $ (2.72) $ (0.23) Diluted net loss per share: Loss from continuing operations $ (2.47) $ (0.03) $ (2.72) $ (0.19) Loss from discontinued operations, net of tax — (0.04) — (0.04) Diluted net loss per share $ (2.47) $ (0.07) $ (2.72) $ (0.23) As a result of incurring a net loss from continuing operations for the three and six months ended March 31, 2024 and 2023, outstanding restricted stock units and shares issued by the Company under the employee stock purchase plan were excluded from the computation of diluted loss per share as their effect would be antidilutive to earnings per share for continuing operations based on the treasury stock method. |
Segment and Geographic Informat
Segment and Geographic Information | 6 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Segment and Geographic Information | 15. Segment and Geographic Information Operating segments are defined as components of an enterprise that engage in business activities for which discrete financial information is available and regularly reviewed by the chief operating decision maker (“CODM”) in deciding how to allocate resources and to assess performance. The Company’s Chief Executive Officer is the Company’s CODM. Effective October 1, 2023, the Company realigned its organizational structure to three principal business segments to enhance its commercial strategy for accelerating growth and to enable additional profitability initiatives. These segments align with changes in how the Company’s CODM manages the business, allocates resources, and assesses performance. The Company’s operating and reportable segments consist of the following: ● Sample Management Solutions . SMS operates as a single business unit offering end-to-end sample management products and services, including: Sample Repository Solutions and Core Products (Automated Stores, Cryogenic Systems, Automated Sample Tube, and Consumables and Instruments). ● Multiomics . The Multiomics business resources operate under a single business unit that provides genomic and other sample analysis services, including gene sequencing and gene synthesis. ● B Medical Systems . B Medical Systems business resources operate as a single business unit focused on the manufacturing and distribution of temperature-controlled storage and transportation solutions in international markets to governments, health institutions, and non-government organizations. The segment realignment had no impact on the Company’s consolidated financial position, results of operations, or cash flows. All segment information is reflective of this new structure, and prior period information has been recast to conform to our current period presentation. Management considers adjusted operating loss, which excludes charges related to amortization of intangible assets, purchase accounting impact on inventory, transformation costs, restructuring charges, goodwill and intangible impairment, merger and acquisition costs and costs related to share repurchase, governance-related matters, and other unallocated corporate expenses, as the primary performance metric when evaluating the segments’ operations. The following is the summary of the financial information for the Company’s reportable segments for the three and six months ended March 31, 2024 and 2023 (in thousands): Three Months Ended March 31, Six Months Ended March 31, 2024 2023 2024 2023 Revenue: Sample Management Solutions $ 74,137 $ 71,043 $ 153,142 $ 146,498 Multiomics 62,218 62,236 124,938 123,325 B Medical Systems 22,779 15,122 35,371 56,944 Total revenue $ 159,134 $ 148,401 $ 313,451 $ 326,767 Adjusted operating loss: Sample Management Solutions $ (1,567) $ (6,076) $ (2,423) $ (9,074) Multiomics (2,966) (3,810) (6,417) (7,075) B Medical Systems (1,153) (3,367) (5,562) 2,936 Segment adjusted operating loss (5,686) (13,254) (14,402) (13,213) Amortization of completed technology 6,373 4,901 12,000 9,070 Purchase accounting impact on inventory — 2,912 — 5,781 Amortization of intangible assets other than completed technology 6,654 7,509 13,516 14,882 Transformation costs (1) 4,446 10 4,487 (55) Restructuring charges 7,344 1,499 8,464 2,961 Impairment of goodwill and intangible assets 115,975 — 115,975 — Contingent consideration - fair value adjustments — (17,145) — (17,145) Merger and acquisition costs and costs related to share repurchase (2) 426 19 4,747 11,857 Other unallocated corporate expenses 51 18 41 98 Total operating loss (146,955) (12,977) (173,632) (40,662) Interest income, net 9,565 10,394 19,646 21,059 Other income (expense), net 250 (2,668) 932 (1,523) Loss before income taxes $ (137,140) $ (5,251) $ (153,054) $ (21,126) (1) Transformation costs represent non-recurring expenses for strategic projects with anticipated long-term benefits to the Company focused on cost reduction and productivity improvement that do not meet the definition of restructuring charges. These costs are directed at simplifying, standardizing, streamlining, and optimizing the Company’s operations, processes and systems to permanently alter the Company’s operations for the long term. For a project to be considered transformational, successful completion of the project must be expected to bring long-term material benefits to the organization and involve significant changes to process and/or underlying technology. Transformation costs in the period result from actions taken as part of the Company’s 2024 transformation plan, and primarily relate to one time asset write downs associated with changes in technology, one time inventory write downs relating to restructuring actions taken in the period, and third-party consulting costs associated with process & systems re-design. (2) Includes expenses related to governance-related matters. The Company has corrected the segment adjusted operating (loss) income for the three and six months ended March 31, 2023 period as certain corporate expenses that are not part of the Company’s CODM’s review of operating segment performance were improperly included in the previously disclosed segment adjusted operating (loss) income. The previously disclosed amount of total segment adjusted operating (loss) income for the reportable segments was understated by $8.0 million and $16.5 million, respectively, for the three and six months ended March 31, 2023. The total net loss before income taxes remained unchanged in each period. The following is the summary of the asset information for the Company’s reportable segments as of March 31, 2024 and September 30, 2023 (in thousands): Assets: March 31, 2024 September 30, 2023 Sample Management Solutions $ 845,641 $ 675,708 Multiomics 462,684 534,437 B Medical Systems 248,880 511,640 Total assets $ 1,557,205 $ 1,721,785 The following is a reconciliation of the segment assets to the corresponding amounts presented in the Condensed Consolidated Balance Sheets as of March 31, 2024 and September 30, 2023 (in thousands): March 31, September 30, 2024 2023 Segment assets $ 1,557,205 $ 1,721,785 Cash and cash equivalents, restricted cash and marketable securities 975,358 1,134,256 Deferred tax assets 925 571 Other assets 30,009 29,108 Total assets $ 2,563,497 $ 2,885,720 Revenue from external customers is attributed to geographic areas based on locations in which the product is shipped. Net revenue by geographic area for the three and six months ended March 31, 2024 and 2023 are as follows (in thousands): Three Months Ended March 31, Six Months Ended March 31, 2024 2023 2024 2023 Geographic Location: United States $ 88,398 $ 86,572 $ 178,990 $ 174,321 Africa 18,942 8,627 26,453 25,837 China 13,646 11,979 28,544 25,387 United Kingdom 5,641 5,789 11,340 11,202 Rest of Europe 23,850 21,432 48,682 60,854 Asia Pacific/Other 8,657 14,002 19,442 29,166 Total revenue $ 159,134 $ 148,401 $ 313,451 $ 326,767 The Company had one individual customer that accounted for 10% or more of its consolidated revenue for the three months ended March 31, 2024 and none that accounted for 10% or more of its consolidated revenue for the three months ended March 31, 2023. This individual customer is a distributor shipping to end users in 14 countries. The Company had no individual customer that accounted for 10% or more of its consolidated revenue for the six months ended March 31, 2024 and one individual customer that accounted for 10% or more of its consolidated revenue for the six months ended March 31, 2023. This individual customer is a distributor shipping to end users in 17 countries. There were no customers that accounted for more than 10% of the Company’s accounts receivable balance as of March 31, 2024 and September 30, 2023. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 16. Commitments and Contingencies Contingencies The Company is subject to various legal proceedings, both asserted and unasserted, that arise in the ordinary course of business. The Company cannot predict the ultimate outcome of such legal proceedings or, in certain instances, provide reasonable ranges of potential losses. The Company may also have certain indemnification obligations pursuant to claims made under the definitive agreement it entered into with Edwards Vacuum LLC (a member of the Atlas Copco Group) (“Edwards”) in connection with the Company’s sale of its semiconductor cryogenics business in the fourth quarter of fiscal year 2018. In the third quarter of fiscal year 2020, Edwards asserted claims for indemnification under the definitive agreement relating to alleged breaches of representations and warranties relating to customer warranty claims and inventory (the “2020 Claim”). In addition, in January 2023, Edwards filed a lawsuit against the Company in the Supreme Court of the State of New York in the County of New York seeking indemnification from the Company under such definitive agreement for $1.0 million and other related damages, including interest and attorney’s fees, arising from a third-party claim that was included as part of their initial claims (the “2023 Claim”). In April 2023, the Company responded to and filed a counterclaim against Edwards for the 2023 Claim alleging breach of the definitive agreements by Edwards and seeking a declaratory judgment. During the third quarter of fiscal year 2023, the Company and Edwards entered into a settlement agreement related to the 2023 Claim to avoid the costs and uncertainties of potential litigation. Under the settlement agreement, the Company paid Edwards $0.8 million from one of the indemnification escrows established at closing of the sale in return for the release of the 2023 Claim and the release to the Company of any residual funds in this escrow. The Company accrued a liability of $2.5 million for the 2020 Claim and 2023 Claim of which $0.8 million was paid during the third quarter of fiscal year 2023. The 2020 Claim remains outstanding and $1.7 million remains in the balance of the accrued liability as of March 31, 2024. The Company cannot determine the probability of any losses or outcome of the 2020 Claim including the amount of any indemnifiable losses, if any, resulting from these claims. However, the Company does not believe that this claim will have a material adverse effect on its consolidated financial position or results of operations. If the resolution of the 2020 Claim results in indemnifiable losses in excess of the applicable indemnification deductibles established under the definitive agreement, Edwards would be required to seek recovery under the representation and warranty insurance Edwards obtained in connection with the closing of the sale of the semiconductor cryogenics business. Management believes that any indemnifiable losses in excess of the applicable deductibles established in the definitive agreement would be covered by such insurance. For indemnifiable claims other than those arising from breaches of representations and warranties and for indemnifiable claims arising from breaches of representations and warranties exceeding the maximum coverage of the representations and warranties insurance policy, Edwards could seek recovery of such indemnifiable losses, if any, directly from the Company. In the event of unexpected subsequent developments and given the inherent unpredictability of these matters, there can be no assurance that the Company’s assessment of any claim will reflect the ultimate outcome, and an adverse outcome in certain matters could, from time to time, have a material adverse effect on the Company’s consolidated financial position or results of operations in particular quarterly or annual periods. Tariff Matter With the assistance of a third-party consultant, during the first quarter of fiscal year 2021, the Company initiated a review of the value of transactions it used for intercompany imports into the United States from its GENEWIZ business. As a result of this review and a new interpretation surrounding the valuation method used to calculate the estimated transaction value, the Company revised its estimate of the tariffs owed and paid $5.9 million to the U.S. customs authorities during fiscal year 2022, related to November 2021 and prior periods. The U.S. customs authorities are in process of reviewing the Company’s calculation of tariffs for these periods to determine if any further tariffs are owed by the Company. The Company has revised its tariff calculation methodology to align with the new interpretation provided to it by U.S. customs authorities. The estimated amount owed to the U.S. customs authorities under this revised methodology for periods after November 2021 is $3.2 million and has been accrued in the Condensed Consolidated Balance Sheets. Purchase Commitments As of March 31, 2024, the Company had non-cancellable commitments of $52.0 million, comprised of purchase orders for inventory of $47.9 million and information technology related commitments of $4.1 million. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation The accompanying Condensed Consolidated Financial Statements include the accounts of the Company and all entities where it has a controlling financial interest and have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). All intercompany balances and transactions have been eliminated in consolidation. The accompanying year-end balance sheet was derived from audited financial statements but does not include all disclosures required by GAAP. The unaudited interim Condensed Consolidated Financial Statements have been prepared on the same basis as the audited financial statements and in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for a fair statement of the Company’s financial position, results of operations, and cash flows for the periods presented. Certain information and disclosures normally included in the Company’s annual consolidated financial statements have been condensed or omitted and, accordingly, the accompanying financial information should be read in conjunction with the audited consolidated financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2023 filed with the U.S. Securities and Exchange Commission (“SEC”) on November 21, 2023 (the “2023 Annual Report on Form 10-K”). |
Use of Estimates | Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make certain estimates and assumptions that affect amounts reported in the financial statements and notes thereto. Although these estimates are based on the Company’s knowledge of current events and actions it may undertake in the future, actual results may differ from these estimates. Estimates are associated with recording accounts receivable, inventories, goodwill, intangible assets other than goodwill, long-lived assets, derivative financial instruments, deferred income taxes, warranty obligations, revenue over time, stock-based compensation expense, and other accounts. The Company assesses the estimates on an ongoing basis and records changes in estimates in the period they occur and become known. |
Foreign Currency Translation | Foreign Currency Translation Certain transactions of the Company and its subsidiaries are denominated in currencies other than their functional currency. Foreign currency exchange gains (losses) generated from the settlement and remeasurement of these transactions are recognized in earnings and presented within “Other income” in the Condensed Consolidated Statements of Operations. Net foreign currency transaction and remeasurement losses were $0.4 million and $0.9 million for the three months ended March 31, 2024 and 2023, respectively. Net foreign currency transaction and remeasurement losses were $0.9 million and $0.8 million during the six months ended March 31, 2024 and 2023, respectively. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In October 2023, the Financial Accounting Standard Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-06, Disclosure Improvements: Codification Amendments in Response to the SEC’s Disclosure Update and Simplification Initiative In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures In March 2024, the FASB issued ASU 2024-02, Codification Improvements-Amendments to Remove References to the Concepts Statements In March 2024, the SEC issued final rules under SEC Release No. 33-11275, The Enhancement and Standardization of Climate-Related Disclosures for Investors In 2021, the Organization of Economic Cooperation and Development (“OECD”) introduced its Pillar II Framework Model Rules (“Pillar 2”), which are designed to impose a 15% global minimum tax on the earnings of in-scope multinational corporations on a country-by-country basis. Certain aspects of Pillar 2 took effect on January 1, 2024 while other aspects go into effect on January 1, 2025. The Company is evaluating the potential impact of Pillar 2 on its business, as the countries in which it operates are enacting legislation implementing Pillar 2. |
Other | Other For further information regarding the Company’s significant accounting policies, please refer to Note 2, Summary of Significant Accounting Policies |
Marketable Securities (Tables)
Marketable Securities (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of amortized cost and fair value | Gross Gross Amortized Unrealized Unrealized Cost Losses Gains Fair Value March 31, 2024: U.S. Treasury securities and obligations of U.S. government agencies $ 433,188 $ (902) $ 8 $ 432,294 Bank certificates of deposit 7,870 (68) — 7,802 Corporate securities 171,648 (1,515) 3 170,136 Municipal securities 1,006 — — 1,006 $ 613,712 $ (2,485) $ 11 $ 611,238 September 30, 2023: U.S. Treasury securities and obligations of U.S. government agencies $ 227,804 $ (2,573) $ — $ 225,231 Bank certificates of deposit 8,122 (170) — 7,952 Corporate securities 221,155 (4,127) — 217,028 $ 457,081 $ (6,870) $ — $ 450,211 |
Schedule of fair values of marketable securities by contractual maturities | Amortized Cost Fair Value Due in one year or less $ 470,012 $ 468,220 Due after one year through five years 140,222 139,540 Due after five years through ten years — — Due after ten years 3,478 3,478 Total marketable securities $ 613,712 $ 611,238 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of realized gains (losses) on derivatives not designated as hedging instruments | Three Months Ended Six Months Ended March 31, March 31, 2024 2023 2024 2023 Realized losses on derivatives not designated as hedging instruments $ (548) $ (533) $ (1,787) $ (2,112) |
Schedule of notional amounts of derivative instruments | March 31, September 30, Hedge Designation 2024 2023 Cross-currency swap Net Investment Hedge $ 75,978 $ 436,360 Foreign exchange contracts Undesignated 73,415 184,800 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Components of goodwill by business segment | Sample Management Solutions Multiomics B Medical Systems Total Balance - October 1, 2023 $ 478,601 $ 196,760 $ 108,978 $ 784,339 Impairment — — (111,317) (111,317) Currency translation adjustments 5,779 — 2,339 8,118 Balance - March 31, 2024 $ 484,380 $ 196,760 $ — $ 681,140 Accumulated goodwill impairments, March 31, 2024 $ — $ — $ (111,317) $ (111,317) |
Schedule of intangible assets | March 31, 2024 September 30, 2023 Accumulated Net Book Accumulated Net Book Cost Amortization Value Cost Amortization Value Patents $ 1,226 $ 1,185 $ 41 $ 1,226 $ 1,175 $ 51 Completed technology 225,235 74,969 150,266 215,430 56,021 159,409 Trademarks and trade names 6,763 2,250 4,513 6,630 1,445 5,185 Non-competition agreements — — — 681 568 113 Customer relationships 285,116 172,310 112,806 290,800 161,257 129,543 Other intangibles 887 887 — 869 869 — Total $ 519,227 $ 251,601 $ 267,626 $ 515,636 $ 221,335 $ 294,301 |
Schedule of future amortization expense | Remainder of fiscal year 2024 $ 25,632 2025 48,883 2026 44,424 2027 36,368 2028 30,051 2029 24,386 |
Restructuring (Tables)
Restructuring (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Restructuring and Related Activities [Abstract] | |
Schedule of restructuring charges recognized | Three Months Ended March 31, Six Months Ended March 31, 2024 2023 2024 2023 Severance and related costs $ 2,111 $ 1,499 $ 3,231 $ 2,961 Property, plant and equipment and other asset write-offs 3,663 — 3,663 — ROU asset abandonment 901 — 901 — Other 669 — 669 — Total restructuring charges $ 7,344 $ 1,499 $ 8,464 $ 2,961 |
Schedule of activity in the severance and related costs accruals | Six Months Ended March 31, 2024 2023 Balance at beginning of period $ 1,011 $ 462 Provisions 3,231 2,961 Payments (1,760) (2,139) Balance at end of period $ 2,482 $ 1,284 |
Supplementary Balance Sheet I_2
Supplementary Balance Sheet Information (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of inventories | March 31, September 30, 2024 2023 Raw materials and purchased parts $ 57,101 $ 59,861 Work-in-process 10,908 11,400 Finished goods 54,342 56,937 Total inventories $ 122,351 $ 128,198 |
Summary of product warranty and retrofit activity | Six Months Ended March 31, 2024 2023 Balance at beginning of period $ 10,223 $ 2,890 Adjustment for acquisitions — 2,303 Accruals for warranties during the period 645 1,529 Costs incurred during the period (1,123) (1,342) Balance at end of period $ 9,745 $ 5,380 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Stockholders' Equity Note [Abstract] | |
Summary of accumulated other comprehensive income (loss) | Unrealized Gains (Losses) on Available- Pension Currency for-Sale Gains (Losses) Liability Translation Securities on Derivative asset Adjustments Adjustments Net of tax Net of tax Net of tax Total Balance at September 30, 2022 $ (165,694) $ (10,909) $ 93,020 $ (333) $ (83,916) Other comprehensive income (loss) before reclassifications 111,264 4,042 (70,260) — 45,046 Balance at March 31, 2023 $ (54,430) $ (6,867) $ 22,760 $ (333) $ (38,870) Unrealized Gains (Losses) on Available- Pension Currency for-Sale Gains (Losses) Liability Translation Securities on Derivative asset Adjustments Adjustments Net of tax Net of tax Net of tax Total Balance at September 30, 2023 $ (88,448) $ (5,135) $ 31,487 $ (330) $ (62,426) Other comprehensive income (loss) before reclassifications 25,725 3,276 (8,288) (61) 20,652 Amounts reclassified from accumulated other comprehensive income (loss) — — — 46 46 Balance at March 31, 2024 $ (62,723) $ (1,859) $ 23,199 $ (345) $ (41,728) |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of disaggregated revenue by significant business line | Three months ended March 31, Six months ended March 31, 2024 2023 2024 2023 Significant Business Line Multiomics $ 62,218 $ 62,236 $ 124,938 $ 123,326 Core Products (1) 44,844 43,738 93,730 91,576 Sample Repository Solutions 29,293 27,305 59,412 54,921 B Medical Systems 22,779 15,122 35,371 56,944 Total revenue $ 159,134 $ 148,401 $ 313,451 $ 326,767 (1) Core Products are Automated Stores, Cryogenic Systems, Automated Sample Tube, and Consumables and Instruments. |
Schedule of remaining performance obligations | As of March 31, 2024 Less than 1 Year Greater than 1 Year Total Remaining performance obligations $ 94,719 $ 27,379 $ 122,098 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of stock-based compensation expense | Three Months Ended March 31, Six Months Ended March 31, 2024 2023 2024 2023 Restricted stock units $ 5,284 $ 3,634 $ 8,134 $ 5,393 Employee stock purchase plan 318 356 670 703 Total stock-based compensation expense $ 5,602 $ 3,990 $ 8,804 $ 6,096 |
Summary of restricted stock unit activity | Weighted Average Grant-Date Shares Fair Value Outstanding as of September 30, 2023 718,954 $ 67.40 Granted 608,706 $ 55.69 Vested (174,868) $ 68.95 Forfeited (298,806) $ 63.75 Outstanding as of March 31, 2024 853,986 $ 60.01 Six Months Ended March 31, 2024 2023 Time-based restricted stock units 220,174 356,410 Performance-based restricted stock units 388,532 215,701 Total units 608,706 572,111 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Summary of assets and liabilities measured and recorded at fair value on a recurring basis | As of March 31, 2024 Description Total Fair Value Level 1 Level 2 Level 3 Assets: Cash equivalents $ 195,397 $ 180,755 $ 14,642 $ — Available-for-sale securities 611,238 225,926 385,312 — Foreign exchange contracts 217 — 217 — Net investment hedge 350 — 350 — Total assets $ 807,202 $ 406,681 $ 400,521 $ — Liabilities: Foreign exchange contracts 141 — 141 — Total liabilities $ 141 $ — $ 141 $ — As of September 30, 2023 Description Total Fair Value Level 1 Level 2 Level 3 Assets: Cash equivalents $ 525,952 $ 525,952 $ — $ — Available-for-sale securities 450,211 85,949 364,262 — Foreign exchange contracts 44 — 44 — Net investment hedge 13,036 — 13,036 — Total assets $ 989,243 $ 611,901 $ 377,342 $ — Liabilities: Foreign exchange contracts $ 421 $ — $ 421 $ — Total liabilities $ 421 $ — $ 421 $ — |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of the calculations of basic and diluted net income (loss) per share and basic and diluted weighted average shares outstanding | Three Months Ended Six Months Ended March 31, March 31, 2024 2023 2024 2023 Loss from continuing operations $ (136,880) $ (1,991) $ (152,604) $ (13,226) Loss from discontinued operations, net of tax — (2,936) — (2,936) Net loss (136,880) (4,927) (152,604) (16,162) Weighted average common shares outstanding used in computing basic loss per share 55,440 69,111 56,078 70,858 Weighted average common shares outstanding used in computing diluted loss per share 55,440 69,111 56,078 70,858 Basic net loss per share: Loss from continuing operations $ (2.47) $ (0.03) $ (2.72) $ (0.19) Loss from discontinued operations, net of tax — (0.04) — (0.04) Basic net loss per share $ (2.47) $ (0.07) $ (2.72) $ (0.23) Diluted net loss per share: Loss from continuing operations $ (2.47) $ (0.03) $ (2.72) $ (0.19) Loss from discontinued operations, net of tax — (0.04) — (0.04) Diluted net loss per share $ (2.47) $ (0.07) $ (2.72) $ (0.23) |
Segment and Geographic Inform_2
Segment and Geographic Information (Tables) | 6 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of financial information for reportable segments | Three Months Ended March 31, Six Months Ended March 31, 2024 2023 2024 2023 Revenue: Sample Management Solutions $ 74,137 $ 71,043 $ 153,142 $ 146,498 Multiomics 62,218 62,236 124,938 123,325 B Medical Systems 22,779 15,122 35,371 56,944 Total revenue $ 159,134 $ 148,401 $ 313,451 $ 326,767 Adjusted operating loss: Sample Management Solutions $ (1,567) $ (6,076) $ (2,423) $ (9,074) Multiomics (2,966) (3,810) (6,417) (7,075) B Medical Systems (1,153) (3,367) (5,562) 2,936 Segment adjusted operating loss (5,686) (13,254) (14,402) (13,213) Amortization of completed technology 6,373 4,901 12,000 9,070 Purchase accounting impact on inventory — 2,912 — 5,781 Amortization of intangible assets other than completed technology 6,654 7,509 13,516 14,882 Transformation costs (1) 4,446 10 4,487 (55) Restructuring charges 7,344 1,499 8,464 2,961 Impairment of goodwill and intangible assets 115,975 — 115,975 — Contingent consideration - fair value adjustments — (17,145) — (17,145) Merger and acquisition costs and costs related to share repurchase (2) 426 19 4,747 11,857 Other unallocated corporate expenses 51 18 41 98 Total operating loss (146,955) (12,977) (173,632) (40,662) Interest income, net 9,565 10,394 19,646 21,059 Other income (expense), net 250 (2,668) 932 (1,523) Loss before income taxes $ (137,140) $ (5,251) $ (153,054) $ (21,126) (1) Transformation costs represent non-recurring expenses for strategic projects with anticipated long-term benefits to the Company focused on cost reduction and productivity improvement that do not meet the definition of restructuring charges. These costs are directed at simplifying, standardizing, streamlining, and optimizing the Company’s operations, processes and systems to permanently alter the Company’s operations for the long term. For a project to be considered transformational, successful completion of the project must be expected to bring long-term material benefits to the organization and involve significant changes to process and/or underlying technology. Transformation costs in the period result from actions taken as part of the Company’s 2024 transformation plan, and primarily relate to one time asset write downs associated with changes in technology, one time inventory write downs relating to restructuring actions taken in the period, and third-party consulting costs associated with process & systems re-design. (2) Includes expenses related to governance-related matters. |
Schedule of reconciliation of reportable segment assets to corresponding consolidated amounts | Assets: March 31, 2024 September 30, 2023 Sample Management Solutions $ 845,641 $ 675,708 Multiomics 462,684 534,437 B Medical Systems 248,880 511,640 Total assets $ 1,557,205 $ 1,721,785 March 31, September 30, 2024 2023 Segment assets $ 1,557,205 $ 1,721,785 Cash and cash equivalents, restricted cash and marketable securities 975,358 1,134,256 Deferred tax assets 925 571 Other assets 30,009 29,108 Total assets $ 2,563,497 $ 2,885,720 |
Schedule of revenue from external customers attributed to geographic areas | Three Months Ended March 31, Six Months Ended March 31, 2024 2023 2024 2023 Geographic Location: United States $ 88,398 $ 86,572 $ 178,990 $ 174,321 Africa 18,942 8,627 26,453 25,837 China 13,646 11,979 28,544 25,387 United Kingdom 5,641 5,789 11,340 11,202 Rest of Europe 23,850 21,432 48,682 60,854 Asia Pacific/Other 8,657 14,002 19,442 29,166 Total revenue $ 159,134 $ 148,401 $ 313,451 $ 326,767 |
Nature of Operations (Details)
Nature of Operations (Details) - segment | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | ||||
Number of reportable segments | 3 | 3 | 3 | 3 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Gain (Loss), Foreign Currency Transaction, before Tax [Abstract] | ||||
Foreign currency transaction and remeasurement gains (losses) | $ (0.4) | $ (0.9) | $ (0.9) | $ (0.8) |
Business Combinations - General
Business Combinations - General Information (Details) - country | Feb. 03, 2023 | Oct. 03, 2022 |
Ziath Ltd and Subsidiaries | ||
Business Acquisition, Date of Acquisition [Abstract] | ||
Business Acquisition, Effective Date of Acquisition | Feb. 02, 2023 | |
B Medical Systems S.a.r.l and Subsidiaries | ||
Business Acquisition, Date of Acquisition [Abstract] | ||
Business Acquisition, Effective Date of Acquisition | Oct. 03, 2022 | |
B Medical Systems S.a.r.l and Subsidiaries | Minimum | ||
Business Acquisition, Date of Acquisition [Abstract] | ||
Number of countries in which entity operates | 150 |
Business Combinations - Purchas
Business Combinations - Purchase Consideration (Details) - USD ($) $ in Thousands | 6 Months Ended | ||||
Feb. 03, 2023 | Oct. 03, 2022 | Mar. 31, 2023 | Mar. 31, 2024 | Sep. 30, 2023 | |
Business Acquisition [Line Items] | |||||
Aggregate purchase price, net of cash acquired | $ 387,665 | ||||
Short-term restricted cash | $ 3,089 | $ 4,650 | |||
Ziath Ltd and Subsidiaries | |||||
Business Acquisition [Line Items] | |||||
Aggregate purchase price, net of cash acquired | $ 16,000 | ||||
B Medical Systems S.a.r.l and Subsidiaries | |||||
Business Acquisition [Line Items] | |||||
Total purchase price | $ 432,200 |
Business Combinations - Amounts
Business Combinations - Amounts of Assets and Liabilities at Fair Value as of Acquisition Date (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 | Feb. 03, 2023 |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |||
Goodwill | $ 681,140 | $ 784,339 | |
Ziath Ltd and Subsidiaries | |||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |||
Deferred income taxes, net | $ 1,100 | ||
Goodwill | 12,000 | ||
Ziath Ltd and Subsidiaries | Completed Technology | |||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |||
Intangible assets | 4,100 | ||
Ziath Ltd and Subsidiaries | Trademarks | |||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |||
Intangible assets | 300 | ||
Ziath Ltd and Subsidiaries | Customer Relationships | |||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |||
Intangible assets | $ 600 |
Business Combinations - Intangi
Business Combinations - Intangible Assets Acquired (Details) | Feb. 03, 2023 | Oct. 03, 2022 |
Ziath Ltd and Subsidiaries | Completed Technology | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average useful life of intangible assets | 10 years | |
Ziath Ltd and Subsidiaries | Customer Relationships | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average useful life of intangible assets | 13 years | |
Ziath Ltd and Subsidiaries | Trademarks | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average useful life of intangible assets | 13 years | |
B Medical Systems S.a.r.l and Subsidiaries | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, valuation technique, discounted cash flow, measurement input, discount rate, percentage (as a percent) | 13% | |
B Medical Systems S.a.r.l and Subsidiaries | Completed Technology | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average useful life of intangible assets | 10 years | |
B Medical Systems S.a.r.l and Subsidiaries | Customer Relationships | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average useful life of intangible assets | 16 years | |
B Medical Systems S.a.r.l and Subsidiaries | Trademarks | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average useful life of intangible assets | 5 years | |
B Medical Systems S.a.r.l and Subsidiaries | Order or Production Backlog | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average useful life of intangible assets | 1 year |
Business Combinations - Goodwil
Business Combinations - Goodwill (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 | Feb. 03, 2023 | Oct. 03, 2022 |
Business Combination, Goodwill [Abstract] | ||||
Goodwill | $ 681,140 | $ 784,339 | ||
Ziath Ltd and Subsidiaries | ||||
Business Combination, Goodwill [Abstract] | ||||
Goodwill | $ 12,000 | |||
Goodwill deductible for tax purposes | $ 0 | |||
B Medical Systems S.a.r.l and Subsidiaries | ||||
Business Combination, Goodwill [Abstract] | ||||
Goodwill deductible for tax purposes | $ 0 |
Marketable Securities - General
Marketable Securities - General Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Sales and maturities of marketable securities | $ 80,200 | $ 121,000 | $ 190,504 | $ 728,171 |
Marketable Securities - Summary
Marketable Securities - Summary of Amortized Cost and Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 613,712 | $ 457,081 |
Gross Unrealized Losses | (2,485) | (6,870) |
Gross Unrealized Gains | 11 | |
Fair Value | 611,238 | 450,211 |
U.S. Treasury securities and obligations of U.S. government agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 433,188 | 227,804 |
Gross Unrealized Losses | (902) | (2,573) |
Gross Unrealized Gains | 8 | |
Fair Value | 432,294 | 225,231 |
Bank certificates of deposits | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 7,870 | 8,122 |
Gross Unrealized Losses | (68) | (170) |
Fair Value | 7,802 | 7,952 |
Corporate securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 171,648 | 221,155 |
Gross Unrealized Losses | (1,515) | (4,127) |
Gross Unrealized Gains | 3 | |
Fair Value | 170,136 | $ 217,028 |
Municipal securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 1,006 | |
Fair Value | $ 1,006 |
Marketable Securities - Fair Va
Marketable Securities - Fair Value of Marketable Securities by Contractual Maturity (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Amortized Cost [Abstract] | |
Amortized cost, due in one year or less, remainder of fiscal year | $ 470,012 |
Amortized cost, due in one year or less | 0 |
Amortized cost, due after one year through five years | 140,222 |
Amortized cost, due after ten years | 3,478 |
Amortized cost | 613,712 |
Debt Securities, Available-for-sale, Maturity, Allocated and Single Maturity Date, Fair Value [Abstract] | |
Fair value, due in one year or less, remainder of fiscal year | 468,220 |
Fair value, due in one year or less | 0 |
Fair value, due after one year through five years | 139,540 |
Fair value, due after ten years | 3,478 |
Fair value | $ 611,238 |
Derivative Instruments - Realiz
Derivative Instruments - Realized Gains (Losses) on Derivatives Not Designated as Hedging Instruments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net [Abstract] | ||||
Realized gains (losses) on derivatives not designated as hedging instruments | $ (548) | $ (533) | $ (1,787) | $ (2,112) |
Derivative Instruments - Notion
Derivative Instruments - Notional Amounts (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 | Feb. 01, 2022 |
Foreign Exchange Contract | Not Designated as Hedging Instrument | |||
Notional Disclosures [Abstract] | |||
Derivative, notional amount | $ 73,415 | $ 184,800 | |
Currency Swap | Designated as Hedging Instrument | |||
Notional Disclosures [Abstract] | |||
Derivative, notional amount | $ 75,978 | $ 436,360 | $ 960,000 |
Derivative Instruments - Hedgin
Derivative Instruments - Hedging Activities (Details) - Currency Swap - Designated as Hedging Instrument $ in Thousands, € in Millions | 3 Months Ended | 6 Months Ended | |||||||||
Feb. 01, 2024 USD ($) $ / € | Feb. 01, 2023 USD ($) $ / € | Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Feb. 01, 2024 EUR (€) $ / € | Sep. 30, 2023 USD ($) | Feb. 01, 2023 EUR (€) $ / € | Feb. 01, 2022 USD ($) | Feb. 01, 2022 EUR (€) | |
Derivative [Line Items] | |||||||||||
Derivative, notional amount, cross-currency swap, exchanged | $ 76,000 | $ 436,000 | $ 1,000,000 | ||||||||
Derivative, notional amount, cross-currency swap, received | € | € 70 | € 400 | € 915 | ||||||||
Derivative, notional amount | $ 75,978 | $ 75,978 | $ 436,360 | $ 960,000 | |||||||
Derivative, fixed interest rate (as a percent) | 1.28% | 1.28% | |||||||||
Derivative, notional amount, cross-currency swap, maturity, deliver | € | € 400 | € 852 | |||||||||
Derivative, notional amount, cross-currency swap, maturity, receive | $ 436,000 | $ 960,000 | |||||||||
Derivative, forward exchange rate | $ / € | 1.09 | 1.13 | 1.09 | 1.13 | |||||||
Gain on derivative | $ 1,400 | $ 29,300 | |||||||||
Interest income | $ 1,300 | $ 2,200 | $ 3,100 | $ 5,300 | |||||||
Weighted Average | |||||||||||
Derivative [Line Items] | |||||||||||
Derivative, variable interest rate | 1.44% | 1.66% | 1.44% | 1.66% | 1.20% | 1.20% |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Reporting Units (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Mar. 31, 2024 | Apr. 01, 2024 | Oct. 01, 2023 | |
Goodwill [Line Items] | |||
Goodwill impairment | $ 111,317 | ||
Accumulated goodwill impairments | 111,317 | ||
B Medical Systems | |||
Goodwill [Line Items] | |||
Reporting unit, fair value exceeded carrying value, percentage (as a percent) | 5% | ||
Goodwill impairment | 111,300 | ||
Sample Management Solutions | |||
Goodwill [Line Items] | |||
Accumulated goodwill impairments | 0 | $ 0 | |
Multiomics | |||
Goodwill [Line Items] | |||
Accumulated goodwill impairments | $ 0 | $ 0 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Goodwill Roll Forward (Details) $ in Thousands | 6 Months Ended |
Mar. 31, 2024 USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | $ 784,339 |
Impairment | (111,317) |
Currency translation adjustments | 8,118 |
Goodwill, ending balance | 681,140 |
Goodwill, Impaired, Accumulated Impairment Loss [Abstract] | |
Accumulated goodwill impairments | (111,317) |
Sample Management Solutions | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 478,601 |
Currency translation adjustments | 5,779 |
Goodwill, ending balance | 484,380 |
Multiomics | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 196,760 |
Goodwill, ending balance | 196,760 |
B Medical Systems | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 108,978 |
Impairment | (111,317) |
Currency translation adjustments | 2,339 |
Goodwill, Impaired, Accumulated Impairment Loss [Abstract] | |
Accumulated goodwill impairments | $ (111,317) |
Goodwill And Intangible Asset_4
Goodwill And Intangible Assets - Long-Lived Assets (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
B Medical Systems | |
Segment Reporting Information [Line Items] | |
Impairment, long-lived asset, held-for-use, accumulated impairment loss | $ 0 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Components of Identifiable Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Finite-Lived Intangible Assets [Line Items] | ||
Cost | $ 519,227 | $ 515,636 |
Accumulated Amortization | 251,601 | 221,335 |
Net Book Value | 267,626 | 294,301 |
Patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 1,226 | 1,226 |
Accumulated Amortization | 1,185 | 1,175 |
Net Book Value | 41 | 51 |
Completed Technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 225,235 | 215,430 |
Accumulated Amortization | 74,969 | 56,021 |
Net Book Value | 150,266 | 159,409 |
Trademarks and Trade Names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 6,763 | 6,630 |
Accumulated Amortization | 2,250 | 1,445 |
Net Book Value | 4,513 | 5,185 |
Non-competition agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 681 | |
Accumulated Amortization | 568 | |
Net Book Value | 113 | |
Customer Relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 285,116 | 290,800 |
Accumulated Amortization | 172,310 | 161,257 |
Net Book Value | 112,806 | 129,543 |
Other Intangible Assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 887 | 869 |
Accumulated Amortization | $ 887 | $ 869 |
Goodwill and Intangible Asset_6
Goodwill and Intangible Assets - Amortization Expense (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization of intangible assets | $ 13 | $ 12.4 | $ 25.5 | $ 24 |
Goodwill and Intangible Asset_7
Goodwill and Intangible Assets - Intangible Assets Impairment (Details) - Sample Management Solutions $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Impairment of Intangible Assets (Excluding Goodwill) [Abstract] | |
Impairment of intangible assets | $ 4.7 |
Impairment, Intangible Asset, Finite-Lived, Statement of Income or Comprehensive Income | Impairment of goodwill and intangible assets |
Goodwill and Intangible Asset_8
Goodwill and Intangible Assets - Estimated Future Amortization Expense of Intangible Assets (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
Remainder of fiscal year 2024 | $ 25,632 |
2025 | 48,883 |
2026 | 44,424 |
2027 | 36,368 |
2028 | 30,051 |
2029 | $ 24,386 |
Restructuring - General Informa
Restructuring - General Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Restructuring Charges [Abstract] | ||||
Restructuring charges | $ 7,344 | $ 1,499 | $ 8,464 | $ 2,961 |
ROU asset abandonment | 901 | $ 901 | ||
2024 Restructuring Plan | ||||
Restructuring Charges [Abstract] | ||||
ROU asset abandonment | 1,100 | |||
2024 Restructuring Plan | B Medical Systems | ||||
Restructuring Charges [Abstract] | ||||
Restructuring charges | 4,600 | |||
2024 Restructuring Plan | Sample Management Solutions | ||||
Restructuring Charges [Abstract] | ||||
Restructuring charges | $ 1,600 |
Restructuring - Total Restructu
Restructuring - Total Restructuring Charges (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Restructuring Charges [Abstract] | ||||
Severance and related costs | $ 2,111 | $ 1,499 | $ 3,231 | $ 2,961 |
Property, plant and equipment and other asset write-offs | 3,663 | 3,663 | ||
ROU asset abandonment | 901 | 901 | ||
Other | 669 | 669 | ||
Total restructuring charges | $ 7,344 | $ 1,499 | $ 8,464 | $ 2,961 |
Restructuring - Roll Forward (D
Restructuring - Roll Forward (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Restructuring Reserve [Roll Forward] | ||
Balance at beginning of period | $ 1,011 | $ 462 |
Provisions | 3,231 | 2,961 |
Payments | (1,760) | (2,139) |
Balance at end of period | $ 2,482 | $ 1,284 |
Supplementary Balance Sheet I_3
Supplementary Balance Sheet Information - Inventories - Summary of Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Raw materials and purchased parts | $ 57,101 | $ 59,861 |
Work-in-process | 10,908 | 11,400 |
Finished goods | 54,342 | 56,937 |
Total inventories | $ 122,351 | $ 128,198 |
Supplementary Balance Sheet I_4
Supplementary Balance Sheet Information - Inventories - Inventory Reserves (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Sep. 30, 2023 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Reserves related to write downs of inventory to net realizable value | $ 4.7 | $ 5 |
Supplementary Balance Sheet I_5
Supplementary Balance Sheet Information - Product Warranty and Retrofit Cost (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Movement in Standard and Extended Product Warranty Accrual, Increase (Decrease) [Roll Forward] | ||
Balance at beginning of period | $ 10,223 | $ 2,890 |
Adjustment for acquisitions | 2,303 | |
Accruals for warranties during the year | 645 | 1,529 |
Costs incurred during the year | (1,123) | (1,342) |
Balance at end of period | $ 9,745 | $ 5,380 |
Stockholders' Equity - Share Re
Stockholders' Equity - Share Repurchase (Details) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended |
Mar. 31, 2024 USD ($) shares | Mar. 31, 2024 USD ($) shares | |
Stockholders' Equity Note [Abstract] | ||
Stock repurchased and retired during period, shares (in shares) | shares | 1.2 | 3.5 |
Payments for repurchase of common stock, excluding fees, commissions, and excise tax | $ 73.9 | $ 186.8 |
Exercise tax related to share repurchases | $ 1.7 | $ 1.7 |
Stockholders' Equity - Accumula
Stockholders' Equity - Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning Balance | $ 2,534,500 | $ 3,363,386 |
Ending Balance | 2,222,871 | 2,895,227 |
Accumulated Other Comprehensive Income (Loss) | ||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning Balance | (62,426) | (83,916) |
Other comprehensive income (loss) before reclassifications | 20,652 | 45,046 |
Amounts reclassified from accumulated other comprehensive income (loss) | 46 | |
Ending Balance | (41,728) | (38,870) |
Currency Translation Adjustments | ||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning Balance | (88,448) | (165,694) |
Other comprehensive income (loss) before reclassifications | 25,725 | 111,264 |
Ending Balance | (62,723) | (54,430) |
Unrealized Gains (Losses) on Available-for-Sale Securities, Net of Tax | ||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning Balance | (5,135) | (10,909) |
Other comprehensive income (loss) before reclassifications | 3,276 | 4,042 |
Ending Balance | (1,859) | (6,867) |
Unrealized Gain on Derivative Asset, Net of Tax | ||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning Balance | 31,487 | 93,020 |
Other comprehensive income (loss) before reclassifications | (8,288) | (70,260) |
Ending Balance | 23,199 | 22,760 |
Pension Liability Adjustments | ||
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning Balance | (330) | (333) |
Other comprehensive income (loss) before reclassifications | (61) | |
Amounts reclassified from accumulated other comprehensive income (loss) | 46 | |
Ending Balance | $ (345) | $ (333) |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Disaggregated By Reporting Unit (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 159,134 | $ 148,401 | $ 313,451 | $ 326,767 |
Multiomics | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 62,218 | 62,236 | 124,938 | 123,326 |
Core Products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 44,844 | 43,738 | 93,730 | 91,576 |
Sample Repository Solutions | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 29,293 | 27,305 | 59,412 | 54,921 |
B Medical Systems | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 22,779 | $ 15,122 | $ 35,371 | $ 56,944 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Contract Balances (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Sep. 30, 2023 | |
Accounts Receivable, after Allowance for Credit Loss, Current [Abstract] | |||
Accounts receivable, net | $ 154,668 | $ 156,535 | |
Contract with Customer, Asset, after Allowance for Credit Loss, Current [Abstract] | |||
Contract assets | 33,300 | 24,200 | |
Contract with Customer, Liability [Abstract] | |||
Contract liabilities | 38,300 | $ 34,600 | |
Revenue recognized | $ 20,100 | $ 22,400 |
Revenue from Contracts with C_5
Revenue from Contracts with Customers - Remaining Performance Obligations (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligations | $ 122,098 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-04-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligations | $ 94,719 |
Unsatisfied performance obligation, period | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-04-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligations | $ 27,379 |
Unsatisfied performance obligation, period |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 5,602 | $ 3,990 | $ 8,804 | $ 6,096 |
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | 5,284 | 3,634 | 8,134 | 5,393 |
Employee Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation expense | $ 318 | $ 356 | $ 670 | $ 703 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock Unit Activity - Tabular Disclosure (Details) - Restricted Stock Units (RSUs) - $ / shares | 6 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Outstanding at beginning of period (in shares) | 718,954 | |
Restricted stocks granted (in shares) | 608,706 | 572,111 |
Vested (in shares) | (174,868) | |
Forfeited (in shares) | (298,806) | |
Outstanding at end of period (in shares) | 853,986 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract] | ||
Outstanding at beginning of period (in dollars per share) | $ 67.40 | |
Granted (in dollars per share) | 55.69 | |
Vested (in dollars per share) | 68.95 | |
Forfeited (in dollars per share) | 63.75 | |
Outstanding at end of period (in dollars per share) | $ 60.01 |
Stock-Based Compensation - Re_2
Stock-Based Compensation - Restricted Stock Unit Activity - Additional Information (Details) - Restricted Stock Units (RSUs) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of restricted stock awards vested | $ 2 | $ 2.6 | $ 9.8 | $ 9.6 |
Restricted stocks granted (in shares) | 608,706 | 572,111 |
Stock-Based Compensation - Re_3
Stock-Based Compensation - Restricted Stock Unit Activity - Unrecognized Compensation Cost (Details) - Restricted Stock Units (RSUs) $ in Millions | 6 Months Ended |
Mar. 31, 2024 USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized compensation cost | $ 27.2 |
Unrecognized compensation cost, estimated weighted average amortization period | 1 year 10 months 24 days |
Stock-Based Compensation - Re_4
Stock-Based Compensation - Restricted Stock Units Granted (Details) - shares | 6 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Restricted Stock Units (RSUs) | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stocks granted (in shares) | 608,706 | 572,111 |
Restricted Stock, Time Based Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stocks granted (in shares) | 220,174 | 356,410 |
Restricted Stock, Performance Based Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stocks granted (in shares) | 388,532 | 215,701 |
Stock-Based Compensation - Time
Stock-Based Compensation - Time-Based Restricted Stock Unit Grants (Details) - Restricted Stock, Time Based Shares | 6 Months Ended |
Mar. 31, 2024 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting period (in years) | 3 years |
Award vesting percentage (as a percent) | 33.33% |
Stock-Based Compensation - Perf
Stock-Based Compensation - Performance-Based Restricted Stock Unit Grants (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | Sep. 30, 2023 | Oct. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ 5,602 | $ 3,990 | $ 8,804 | $ 6,096 | ||
Restricted Stock Units (RSUs) | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Unrecognized compensation cost | 27,200 | 27,200 | ||||
Stock-based compensation expense | 5,284 | $ 3,634 | $ 8,134 | $ 5,393 | ||
Restricted Stock, Performance Based Shares | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Performance-based awards granted, percentage (as a percent) | 200% | 200% | ||||
Performance-based awards granted, percentage, maximum threshold met (as a percent) | 100% | 100% | ||||
Performance goal measurement period (in years) | 3 years | |||||
Restricted Stock, Performance Based Shares, Modified Awards | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Unrecognized compensation cost | $ 5,500 | |||||
Stock-based compensation expense | $ 500 | $ 700 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Assets, Fair Value Disclosure [Abstract] | ||
Available-for-sale securities | $ 611,238 | $ 450,211 |
Derivative Asset, Statement of Financial Position | Prepaid expenses and other current assets | Prepaid expenses and other current assets |
Fair Value, Recurring | ||
Assets, Fair Value Disclosure [Abstract] | ||
Available-for-sale securities | $ 611,238 | $ 450,211 |
Foreign exchange contracts | 217 | 44 |
Net investment hedge | 350 | 13,036 |
Total Assets | 807,202 | 989,243 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Foreign exchange contracts | 141 | 421 |
Total Liabilities | 141 | 421 |
Fair Value, Recurring | Cash Equivalents | ||
Assets, Fair Value Disclosure [Abstract] | ||
Cash equivalents | 195,397 | 525,952 |
Fair Value, Recurring | Fair Value, Inputs, Level 1 | ||
Assets, Fair Value Disclosure [Abstract] | ||
Available-for-sale securities | 225,926 | 85,949 |
Total Assets | 406,681 | 611,901 |
Fair Value, Recurring | Fair Value, Inputs, Level 1 | Cash Equivalents | ||
Assets, Fair Value Disclosure [Abstract] | ||
Cash equivalents | 180,755 | 525,952 |
Fair Value, Recurring | Fair Value, Inputs, Level 2 | ||
Assets, Fair Value Disclosure [Abstract] | ||
Available-for-sale securities | 385,312 | 364,262 |
Foreign exchange contracts | 217 | 44 |
Net investment hedge | 350 | 13,036 |
Total Assets | 400,521 | 377,342 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Foreign exchange contracts | 141 | 421 |
Total Liabilities | 141 | $ 421 |
Fair Value, Recurring | Fair Value, Inputs, Level 2 | Cash Equivalents | ||
Assets, Fair Value Disclosure [Abstract] | ||
Cash equivalents | $ 14,642 |
Income Taxes - Income Tax Expen
Income Taxes - Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Expense (Benefit), Continuing Operations [Abstract] | ||||
Income tax expense (benefit) | $ (260) | $ (3,260) | $ (450) | $ (7,900) |
Income tax expense valuation allowance recorded against deferred tax assets in a foreign subsidiary | 1,700 | |||
Income tax expense for tax deductions that are lower than the associated book compensation expense | 500 | |||
Income tax expense related to a valuation allowance on beginning of year deferred tax assets | 700 | |||
Income tax expense related to a valuation allowance recorded against the current year deferred tax assets | $ 5,700 | $ 8,300 | ||
Deferred tax benefit resulting from the extension of a tax incentive in China | 1,400 | |||
Pre-tax income not subject to income taxes | $ 17,100 |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets Valuation Allowance (Details) $ in Millions | Mar. 31, 2024 USD ($) |
State and Local Jurisdiction | |
Valuation Allowance [Line Items] | |
Deferred tax assets, valuation allowance | $ 0.7 |
Income Taxes - Deferred Tax A_2
Income Taxes - Deferred Tax Assets, Net (Details) $ in Millions | 3 Months Ended | 6 Months Ended |
Mar. 31, 2024 USD ($) | Mar. 31, 2024 USD ($) | |
Deferred Tax Assets, Net [Abstract] | ||
Foreign earnings repatriated | $ 455 | |
Income tax benefits, net, foreign earnings repatriated | 3.2 | |
Deferred tax assets, net, benefit, deductible foreign exchange losses on repatriation measured at foreign exchange rate | 5.2 | $ 5.2 |
Deferred tax liabilities, net, state income taxes, net of domestic benefit | $ 2 | 2 |
Deferred tax assets, net, increase (decrease), amount, changes in foreign exchange rates | $ (2.9) |
Net Loss per Share (Details)
Net Loss per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ||||
Loss from continuing operations | $ (136,880) | $ (1,991) | $ (152,604) | $ (13,226) |
Loss from discontinued operations, net of tax | (2,936) | (2,936) | ||
Net Income (Loss) | (136,880) | (4,927) | (152,604) | (16,162) |
Net loss - basic | (136,880) | (4,927) | (152,604) | (16,162) |
Net loss - diluted | $ (136,880) | $ (4,927) | $ (152,604) | $ (16,162) |
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||
Weighted average common shares outstanding used in computing basic loss per share (in shares) | 55,440 | 69,111 | 56,078 | 70,858 |
Weighted average common shares outstanding used in computing diluted loss per share (in shares) | 55,440 | 69,111 | 56,078 | 70,858 |
Earnings Per Share, Basic [Abstract] | ||||
Loss from continuing operations (in dollars per share) | $ (2.47) | $ (0.03) | $ (2.72) | $ (0.19) |
Loss from discontinued operations, net of tax (in dollars per share) | (0.04) | (0.04) | ||
Basic net loss per share (in dollars per share) | (2.47) | (0.07) | (2.72) | (0.23) |
Earnings Per Share, Diluted [Abstract] | ||||
Loss from continuing operations (in dollars per share) | (2.47) | (0.03) | (2.72) | (0.19) |
Loss from discontinued operations, net of tax (in dollars per share) | (0.04) | (0.04) | ||
Diluted net loss per share (in dollars per share) | $ (2.47) | $ (0.07) | $ (2.72) | $ (0.23) |
Segment and Geographic Inform_3
Segment and Geographic Information - General Information (Details) - segment | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | ||||
Number of reportable segments | 3 | 3 | 3 | 3 |
Segment and Geographic Inform_4
Segment and Geographic Information - Reconciliation of Reportable Segment Operating Income (Loss) to Corresponding Consolidated Amounts (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||||
Total revenue | $ 159,134 | $ 148,401 | $ 313,451 | $ 326,767 |
Amortization of other intangible assets | 13,000 | 12,400 | 25,500 | 24,000 |
Purchase accounting impact on inventory | 2,912 | 5,781 | ||
Transformation costs | 4,446 | 10 | 4,487 | (55) |
Restructuring charges | 7,344 | 1,499 | 8,464 | 2,961 |
Impairment of goodwill and intangible assets | 115,975 | 115,975 | ||
Provisions | 3,231 | 2,961 | ||
Contingent consideration - fair value adjustments | (17,145) | (17,145) | ||
Merger and acquisition costs and costs related to share repurchase | 426 | 19 | 4,747 | 11,857 |
Total operating loss | (146,955) | (12,977) | (173,632) | (40,662) |
Interest income, net | 9,565 | 10,394 | 19,646 | 21,059 |
Other income (expense), net | 250 | (2,668) | 932 | (1,523) |
Loss before income taxes | (137,140) | (5,251) | (153,054) | (21,126) |
Completed Technology | ||||
Segment Reporting Information [Line Items] | ||||
Amortization of other intangible assets | 6,373 | 4,901 | 12,000 | 9,070 |
Intangible Assets Excluding Completed Technology | ||||
Segment Reporting Information [Line Items] | ||||
Amortization of other intangible assets | 6,654 | 7,509 | 13,516 | 14,882 |
Sample Management Solutions | ||||
Segment Reporting Information [Line Items] | ||||
Total revenue | 74,137 | 71,043 | 153,142 | 146,498 |
Multiomics | ||||
Segment Reporting Information [Line Items] | ||||
Total revenue | 62,218 | 62,236 | 124,938 | 123,325 |
B Medical Systems | ||||
Segment Reporting Information [Line Items] | ||||
Total revenue | 22,779 | 15,122 | 35,371 | 56,944 |
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Total operating loss | (5,686) | (13,254) | (14,402) | (13,213) |
Operating Segments | Revision of Prior Period, Adjustment | ||||
Segment Reporting Information [Line Items] | ||||
Total operating loss | 8,000 | 16,500 | ||
Operating Segments | Sample Management Solutions | ||||
Segment Reporting Information [Line Items] | ||||
Total operating loss | (1,567) | (6,076) | (2,423) | (9,074) |
Operating Segments | Multiomics | ||||
Segment Reporting Information [Line Items] | ||||
Total operating loss | (2,966) | (3,810) | (6,417) | (7,075) |
Operating Segments | B Medical Systems | ||||
Segment Reporting Information [Line Items] | ||||
Total operating loss | (1,153) | (3,367) | (5,562) | 2,936 |
Corporate, Non-Segment | ||||
Segment Reporting Information [Line Items] | ||||
Other unallocated corporate expense | $ 51 | $ 18 | $ 41 | $ 98 |
Segment and Geographic Inform_5
Segment and Geographic Information - Financial Information for Business Segments - Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Segment Reporting Information [Line Items] | ||
Total assets | $ 2,563,497 | $ 2,885,720 |
Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Total assets | 1,557,205 | 1,721,785 |
Operating Segments | Sample Management Solutions | ||
Segment Reporting Information [Line Items] | ||
Total assets | 845,641 | 675,708 |
Operating Segments | Multiomics | ||
Segment Reporting Information [Line Items] | ||
Total assets | 462,684 | 534,437 |
Operating Segments | B Medical Systems | ||
Segment Reporting Information [Line Items] | ||
Total assets | $ 248,880 | $ 511,640 |
Segment and Geographic Inform_6
Segment and Geographic Information - Reconciliation of Reportable Segment Assets to Corresponding Consolidated Amounts (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Sep. 30, 2023 |
Segment Reporting Information [Line Items] | ||
Cash and cash equivalents, restricted cash, and marketable securities | $ 975,358 | $ 1,134,256 |
Deferred tax asset | 925 | 571 |
Other assets | 30,009 | 29,108 |
Assets | 2,563,497 | 2,885,720 |
Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Assets | $ 1,557,205 | $ 1,721,785 |
Segment and Geographic Inform_7
Segment and Geographic Information - Net Revenues Based upon Source of Order by Geographic Area - Tabular Disclosure (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 159,134 | $ 148,401 | $ 313,451 | $ 326,767 |
North America | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 88,398 | 86,572 | 178,990 | 174,321 |
Rest of Europe | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 23,850 | 21,432 | 48,682 | 60,854 |
United Kingdom | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 5,641 | 5,789 | 11,340 | 11,202 |
Africa | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 18,942 | 8,627 | 26,453 | 25,837 |
China | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | 13,646 | 11,979 | 28,544 | 25,387 |
Asia / Pacific / Other | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 8,657 | $ 14,002 | $ 19,442 | $ 29,166 |
Segment and Geographic Inform_8
Segment and Geographic Information - Net Revenues Based upon Source of Order by Geographic Area - Additional Information (Details) - country | 3 Months Ended | 6 Months Ended |
Mar. 31, 2024 | Mar. 31, 2023 | |
Top Individual Customer | ||
Concentration Risk [Line Items] | ||
Number of countries in which entity operates | 14 | 17 |
Revenue from Contract with Customer Benchmark | Customer Concentration Risk | Top Individual Customer | Minimum | ||
Concentration Risk [Line Items] | ||
Concentration risk (as a percent) | 10% | 10% |
Commitments and Contingencies -
Commitments and Contingencies - Contingencies (Details) - Edwards Vacuum LLC, Indemnification, Definitive Agreement, Third-party Warranty Claim - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | |||
Apr. 30, 2023 | Jan. 31, 2023 | Jun. 30, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Loss Contingency, Information about Litigation Matters [Abstract] | |||||
Loss contingency, damages sought, value | $ 1 | ||||
Loss Contingency Accrual, Disclosures [Abstract] | |||||
Loss contingency accrual | $ 2.5 | ||||
Settled Litigation | |||||
Loss Contingency Accrual, Disclosures [Abstract] | |||||
Loss contingency accrual | $ 1.7 | ||||
Loss contingency payment | $ 0.8 | $ 0.8 |
Commitments and Contingencies_2
Commitments and Contingencies - Tariff Matter (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Sep. 30, 2022 | |
Tariffs | ||
Loss Contingency Accrual, Disclosures [Abstract] | ||
Loss contingency payment | $ 3.2 | $ 5.9 |
Commitments and Contingencies_3
Commitments and Contingencies - Purchase Commitments (Details) $ in Millions | Mar. 31, 2024 USD ($) |
Non-cancelable Commitments | |
Other Commitments [Line Items] | |
Other commitment | $ 52 |
Non-cancellable Contracts and Purchase Orders for Inventory | |
Other Commitments [Line Items] | |
Other commitment | 47.9 |
Non-cancelable Information Technology-related Commitments | |
Other Commitments [Line Items] | |
Other commitment | $ 4.1 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) | $ (136,880) | $ (4,927) | $ (152,604) | $ (16,162) |
Insider Trading Arrangements
Insider Trading Arrangements - Stephen S. Schwartz | 3 Months Ended |
Mar. 31, 2024 shares | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | Item 5. Other Information Rule 10b5-1 Trading Arrangements During the three months ended March 31, 2024, the On March 8, 2024, Stephen S. Schwartz, our President and CEO, adopted a Rule 10b5-1 trading arrangement (as defined in Item 408(a) of Regulation S-K) for the period commencing ninety-one days from such date and ending on June 6, 2025 for the sale of up to 89,344 shares of common stock of the Company. |
Name | Stephen S. Schwartz |
Title | President and CEO |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | March 8, 2024 |
Arrangement Duration | 91 days |
Aggregate Available | 89,344 |
Trd Arr Expiration Date | Jun. 06, 2025 |