Mettler-Toledo International Inc at JPMorgan Healthcare Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : So I figured maybe just given your guys' portfolio exposures and some of the equipment exposures there. First question, just on budget flush trends. I think that's a common theme that we've been hearing from some of your peers in the last few days. So I appreciate we'll get full numbers in a few weeks here. But qualitatively, any comments on if you guys saw a budget flush throughout 4Q? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Yes. Maybe digging into that last point on the recovery from an end market, can you unpack that for us a little bit as we look throughout 2025. Should we expect this to be a more linear recovery? Should it be more hockey sticks? I have a follow-up question on 1Q and some logistics. But maybe just from an end market perspective, walk us through the assumptions there.

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Then my follow-up just related to this logistics issue. If we look back at JPMorgan last year, I think that dominated a lot of the airtime, hopefully, this is kind of the last quarter that we're talking about it here. But walk us through, obviously, that becomes a headwind to growth and margins this quarter, as you guys explained. So walk us through some of the math there on how we should see that impacting both top line and margins in 1Q. And then maybe if we just exclude that, again, the cadence from like 1Q into 2Q kind of like you spoke about there. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Great. That's helpful. Maybe just on pricing. So your guidance assumes 2% pricing contribution this year. Can you walk us through your pricing power across various products throughout the portfolio, and kind of what gives you that resiliency and confidence that you're going to hit 2% pricing contribution in '25?

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Great. And then just talking about the equipment and instrumentation exposure here. Obviously, spending has been soft from a CapEx budget standpoint throughout 2024. So can you spend a minute talking about if you've seen any green shoots in equipment and instrumentation spending recently? And then what are you really assuming for that part of your portfolio in terms of growth in 2025? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : That's helpful. Maybe shifting more towards your long-term outlook. Your LRP assumes 6% local currency growth. Just given how volatile and kind of dynamic the last few years have been, can you talk about how are you still thinking about that 6% long-term growth rate? Is that still achievable? And really, what gives you the confidence to be able to hit that guide?

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Maybe alongside that, I think some of this opportunity on reshoring and onshoring could be as a result of tariffs as well. So maybe segue into the tariff exposure here. Can you walk us through your manufacturing exposure? I know you mentioned some of it in China on the presentation. But across China, Canada, Mexico, how are you guys exposed there? How is Mettler thinking about the potential impact from tariffs? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Helpful color. Maybe just shifting over to China then. I think China also has been a very dynamic region that a lot of investors have questions on in the room. So just on the topic of China stimulus, can you walk us through how are you guys seeing Mettler impacted from China stimulus? Obviously, we have some of the equipment specific stimulus. It seems like it's a little more towards some of those higher dollar ticket items. We also brought economic stimulus as well. So walk me through what are the potential impacts to Mettler there?

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Maybe on that long-term China assumption. Can you walk us through what are some of the drivers there? Also alongside this local competition gets brought up a lot for Mettler-Toledo, just given the vast magnitude of competitors that you have there. So has anything changed on the local competition front? Or how are you guys thinking about that piece?

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Perfect. Then just in terms of new product launches, you mentioned that during your presentation and prepared remarks as well. So can you walk us through some of the themes that you're prioritizing when it comes to R&D and innovation over the next one to three years? And what we can expect from a pipeline perspective there?

Question: Rachel Vatnsdal Olson - JPMorgan - Analyst : Perfect. And with that, we are out of time. So thank you so much for joining us today, and thank you to everyone in the room as well. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.