First quarter Life Science Index sales grew 5.0%, 7.1% on a currency-neutral basis, to $3,387 million. Index sales were driven by double-digit organic revenue growth each for Illumina, Fluidigm, BD Biosciences and Biotage. Operating profit climbed 11.0% to $719 million. Based on current operations, operating margin expanded 90 basis points to 19.4% of sales. Of the 12 Index companies, Tecan was the only company for which first quarter estimates have been used.

Fiscal second quarter revenue for Becton, Dickinson and Company’s BD Biosciences unit grew 8.2%, 10.2% excluding currency, to $302 million to make up 15% of company sales. Growth was driven by demand for clinical and research instruments and reagents, including high-end flow cytometry systems, as well as strong sales in emerging markets. International sales climbed 11.4%, 14.3% excluding currency, to account for 70% of segment sales. Demand in China and Latin America were particularly strong, each growing double digits. However, roughly 350 basis points of International sales growth was attributed to timing of a government order in Latin America, a large order in Africa and stimulus spending in Japan. US sales grew 1.4% to account for 30% of segment revenue. Adjusted BD Biosciences operating income jumped 21.8% to $87.0 million due to product mix and higher sales volume. Becton raised the upper range of its fiscal 2014 currency-neutral BD Biosciences sales-growth outlook by 100 basis points to 4%–5%. Segment currency-neutral growth for the fiscal-year second half is expected to be 0%–2% due to order timing and a strong year-over-year comparison for Japanese sales.

Following weakness last year, first quarter sales for Biotage expanded 10.2%, 10.4% excluding currency, to SEK 113.7 million ($17.6 million = SEK 6.46 = $1) (see page 12). Accounting for 43% of revenues, instrument sales were particularly strong due to a 26% increase in sales of purification systems. Consumables and service revenues accounted for 57%, driven by demand for industrial resins, especially in Japan. Sales to the US, the EU and Japan were strongest to account for 37%, 36% and 18% of revenues, respectively. Chinese sales were weak and made up 4% of revenues as the company transitioned to a direct-sales model. Sales to the Rest of World also declined to account for 5% due to lower demand in Brazil and India. Gross profit margin fell 130 basis points to 54.3% of revenues due to increased instrumentation sales. However, adjusted operating profit climbed 32.7% to SEK 8.7 million ($1.3 million) as a result of higher sales volume and lower distribution expenses.

Fluidigm recorded its strongest quarterly organic sales growth since going public in 2011, as single-cell genomics revenue more than doubled in the first quarter. Total sales jumped 77.0%, 58% excluding the acquisition of DVS Sciences (see IBO 1/31/14), to $25.7 million. Instruments revenue climbed 91.1%, 62% organically, to make up 59% of revenues. The company noted record shipments of C1 Single Cell Auto Prep and BioMark systems to single-cell researchers. These two systems continue to positively impact one another, as roughly 20% of C1 sales were bundled with the BioMark. Sales of acquired CyTOF systems contributed 29% growth to Instrument revenue. Cumulative instrument placements reached 1,072 units, including 633 analytical systems, 435 preparatory instruments and 77 proteomic systems. Consumables sales grew 62.9%, 55% excluding the acquisition, to make up 41% of revenues. Integrated Fluidic Circuits sales rose over 70% due to production-genomics applications. Including the acquisition, sales to the US, Europe, Japan and Asia Pacific grew 62.4%, 82.3%, 190.4% and 9.3% to account for 44%, 25%, 17% and 8% of Product sales, respectively. Sales to other countries more than tripled to represent 6%. Combined License and Grant revenue was relatively flat to account for 1% of sales. Adjusted Product gross margin advanced 320 basis points to 73.3% of sales. Adjusted operating loss narrowed 29.6% to $2.8 million due to improved margins. Fluidigm raised its 2014 organic revenue outlook by 4% to $91–$94 million for growth of 28%–32%, but lowered revenue expectations for DVS. Projected full-year sales from single-cell proteomics was reduced by roughly 30% to $20–$22 million. Total 2014 sales are projected to be $111–$116 million.

First quarter revenue for Luminex Technology and Strategic Partnerships (TSP) rose 0.6% to $32.1 million to account for 57% of sales. Consumables sales grew 6.5% to represent 39% on account of increased purchase volume from existing customers. Royalty revenue was relatively flat to represent 31% of segment sales. Service revenue grew 12.7% to make up 7%. Other sales fell 29.7% to account for 4% due to lower grant revenue and timing of collected license fees. System revenue fell 3.1% to account for 18% of TSP sales. This decline was attributed to lower sales of automated punching systems and product mix. Within TSP, multiplexing-analyzer sales declined 4.4% to 195 units, including an 8.3% decline in shipments of MAGPIX systems to 66 units. For the company as a whole, total multiplexing analyzers sales increased by three units to 208, including an 8.3% increase in sales of MAGPIX systems to 78 units. Shipments also included 121 units of the LX system and 9 FLEXMAP 3D systems. TSP gross margin jumped 400 basis points to 71.9% of sales as a result of increased sales of higher-margin consumables. TSP operating profit climbed 29.3% to $9.9 million.

Excluding Royalty payments, first quarter sales for Merck Millipore slipped 1.8% to €656.5 million ($899.3 million = €0.73 = $1) to make up 25% of Merck KGaA sales. Excluding currency, Millipore sales climbed 3.7%. All sales figures below are currency neutral. Process Solutions (PS) and Lab Solutions (LS) sales grew 6.6% and 2.9% to make up 46% and 39% of Millipore sales, respectively, driven by demand in France, Spain, the UK and emerging markets. PS sales were strong for filtration systems and single-use solutions. LS sales benefited from higher sales of biomonitoring products and lab-water instruments. Bioscience sales fell 2.5% to account for 15% of segment sales, as a result of weak academic spending in the US. Overall, North American sales fell 6.5% to account for 26% of Millipore revenue, including declines in each business unit. Sales to Europe, Emerging Markets and Rest of World grew 4.6%, 13.3% and 6.4% to make up 40%, 24% and 10%, respectively. Royalty, license and commission revenue fell 33.1% to €3.9 million ($5.3 million). Gross profit margin expanded 120 basis points to 60.3% due to manufacturing efficiency. Adjusted operating profit grew 6.8% to €142.2 million ($194.8 million) as marketing, sales and R&D expenses declined. Millipore forecasted moderate organic sales growth for 2014.