Margin Outlook
Q: Can margins return to previous levels over time?
A: Management expects adjusted operating margins to improve by 100 to 200 basis points this year, ending somewhere in the mid-30s. They acknowledged a significant headwind from incentive compensation accrual restatements of about 100 basis points. Over time, they see no reason why margins couldn't get back to their long-term target range of 35% to 40%, consistent with past performance.

Growth Outlook FY '25
Q: What is the organic growth guidance for fiscal year '25?
A: The company anticipates mid- to high single-digit overall organic growth for fiscal year '25, with an exit rate in the fourth quarter of '25 at low double digits. Growth is expected to progress gradually based on baseline market expectations, with improvements in biotech funding and Chinese stimulus contributing to growth.

China Sales
Q: How are China sales expected to trend, given the stimulus?
A: China sales were stable in Q4, with reagents growing double digits while instruments remained down. Management doesn't project a major pickup in instruments until the first calendar quarter of 2025, when the Chinese stimulus is expected to kick in. They are confident the stimulus will positively impact instrumentation sales over the coming years.

Biopharma End Market
Q: How did the biopharma end market perform, and what is expected?
A: Biopharma revenues, excluding China, declined low single digits, consistent globally. Sequential performance was stable from Q3 to Q4. Management is encouraged by the stabilization and believes an improving market will lead to growth recovery.

GMP Reagents Growth
Q: How did GMP reagents perform, and what's the outlook?
A: GMP reagent revenue grew roughly mid-single digit for fiscal year '24. Management expects growth rates to increase with an improving market.

Lunaphore Capacity
Q: Is the company addressing Lunaphore's capacity constraints?
A: Teams have worked diligently to increase capacity, and the constraints should be resolved in Q1 fiscal '25. From then on, they expect to meet demand without limitations and focus on increasing sales.

Growth Platforms Confidence
Q: Are you still confident in your key growth platforms?
A: Management remains committed to their four growth verticals and believes they have a differentiated market position. While end market slowdowns have slightly delayed timelines, they are confident in achieving their long-term targets.

RUO Reagents Growth
Q: Can you accelerate growth in RUO reagents independent of the market?
A: By linking RUO reagents to growth platforms and ensuring they pull through core reagent sales, the company aims to drive growth. Enhancements in marketplace transactions and website improvements are also expected to boost sales.

Spatial Portfolio Growth
Q: How sizable is the spatial portfolio, and what's its growth outlook?
A: The spatial biology business has a run rate of $120 million, with expectations of double-digit growth in the coming years. Management sees strong potential, especially as instruments like COMET pull through reagent sales.

Academic End Market
Q: What is the outlook for the academic end market?
A: The company predicts low single-digit market growth in academia. They believe funding mixes will favor their strengths in neurology and immuno-oncology research areas.

Molecular Diagnostics Growth
Q: Can the strong growth in Molecular Diagnostics continue?
A: Management sees underlying strength in these healthy end markets and believes they are taking market share. While some momentum may normalize after inventory adjustments, they expect continued growth.