AGILENT TECHNOLOGIES, INC.

Previous wording

Pending Acquisition. On March 6, 2026, we entered into a definitive agreement to acquire 100 percent of the outstanding capital stock of BC Midco I, Inc. (“Biocare”) for an aggregate purchase price of approximately $950 million in cash. Biocare is a leading provider of clinical and research solutions, and will be included within our Life Sciences and Diagnostics Markets segment. The acquisition is subject to legal and regulatory approvals and customary closing conditions. The financial results of Biocare will be included within our financial results from the date of close, which may occur in our third quarter or no later than the end of fiscal year 2026.

Current wording

Acquisition of Biocare. On June 24, 2026, we acquired 100 percent of the outstanding capital stock of BC Midco I, Inc. (“Biocare”) for a net consideration paid of $950 million. Biocare is a leading provider of clinical and research solutions and is included within our Life Sciences and Diagnostics Markets segment. The acquisition of Biocare expands our pathology portfolio enabling us to better serve our pathology customers across clinical and research settings. As a result of the acquisition, Biocare became a wholly-owned subsidiary of Agilent. Accordingly, the results of Biocare are included in Agilent's condensed consolidated financial statements from the acquisition date.

Previous wording

Global Tariffs. On February 20, 2026, the U.S. Supreme Court invalidated certain tariffs imposed under the International Emergency Economic Powers Act (“IEEPA”), and the U.S. Court of International Trade ordered U.S. Customs and Border Protection (“CBP”) to refund such tariffs, subject to potential appeal. On April 20, 2026, CBP launched an online portal for submitting IEEPA tariff refund requests. While we have submitted claims for refunds related to certain eligible tariffs paid, the timing and approval of any refunds are uncertain and contingent upon further legal, regulatory, and administrative developments. We will assess the recoverability of these tariffs and will account for any such refunds by applying the gain contingency model. As of April 30, 2026, no refund receivable has been recorded.

Current wording

Global Tariffs. On February 20, 2026, the U.S. Supreme Court invalidated certain tariffs imposed under the International Emergency Economic Powers Act (“IEEPA”), and the U.S. Court of International Trade ordered U.S. Customs and Border Protection (“CBP”) to refund such tariffs, subject to potential appeal. On April 20, 2026, CBP launched an online portal for submitting IEEPA tariff refund requests. While we have submitted additional claims for refunds related to certain eligible tariffs paid, the timing and approval of any remaining refunds are uncertain and contingent upon further legal, regulatory, and administrative developments. Management continues to assess the recoverability of tariffs paid and will continue to recognize any recoveries in accordance with the gain contingency model when it is realized or realizable upon formal acceptance of refund claims submitted.

Previous wording

While tariffs remain dynamic, we have mitigated the adverse impact related to our cost of revenue during the three and six months ended April 30, 2026 through our continued mitigation strategies such as supply chain optimization, targeted pricing actions, and other cost-efficiency initiatives to protect margins and sustain long-term growth. We will continue to monitor judicial rulings and evolving trade dynamics closely, as they may influence future revenue and operational efficiency.

Current wording

While tariffs remain dynamic, we have mitigated the adverse impact related to our cost of revenue during the three and nine months ended July 31, 2026 through our continued strategies such as supply chain optimization, targeted pricing actions, and other cost-efficiency initiatives to protect margins and sustain long-term growth. We will continue to monitor judicial rulings and evolving trade dynamics closely, as they may influence future revenue and operational efficiency.

Previous wording

Middle East Conflict. The recent escalation of geopolitical tensions in the Middle East and surrounding regions has increased global economic uncertainty and disruptions to global energy supply chains resulting in inflationary pressures. The Middle East conflict did not have a material impact on our results of operations through the second quarter of fiscal year 2026 as a result of leveraging a series of mitigation strategies developed in response to the ongoing tariff pressures. As the situation is rapidly changing, we will continue to monitor the potential impact that this conflict may have on our business.

Current wording

Middle East Conflict. The continued geopolitical tensions in the Middle East and surrounding regions have increased global economic uncertainty and disruptions to global energy supply chains resulting in inflationary pressures. The Middle East conflict did not have a material impact on our results of operations through the third quarter of fiscal year 2026 as a result of leveraging a series of mitigation strategies developed in response to the ongoing tariff pressures. As the situation remains dynamic, we continue to monitor the potential impact that such geopolitical tensions may have on our business.

Previous wording

Net revenue of $1,835 million and $3,633 million for the three and six months ended April 30, 2026 increased 10 percent and 8 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and six months ended April 30, 2026 had a 4 percentage point and a 3 percentage point favorable impact, respectively, when compared to the same periods last year. For the three and six months ended April 30, 2026, revenue growth came from all of our segments, all geographic regions and most of our key end markets we serve when compared to the same periods last year.

Current wording

Net revenue of $1,878 million and $5,511 million for the three and nine months ended July 31, 2026 increased 8 percent in both periods when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and nine months ended July 31, 2026 had no currency impact and a 2 percentage point favorable impact, respectively, when compared to the same periods last year. For the three and nine months ended July 31, 2026, revenue growth came from all of our segments, all geographic regions and most of our key end markets we serve when compared to the same periods last year.

Previous wording

Revenue generated by our Agilent CrossLab segment for the three and six months ended April 30, 2026 increased 6 percent and 8 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and six months ended April 30, 2026 had a 4 percentage point favorable impact in both periods when compared to the same periods last year.

Current wording

Revenue generated by our Agilent CrossLab segment for the three and nine months ended July 31, 2026 increased 6 percent and 7 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and nine months ended July 31, 2026 had a 1 percentage point and a 2 percentage point favorable impact, respectively, when compared to the same periods last year.

Previous wording

Revenue generated by our Applied Markets segment for the three and six months ended April 30, 2026 increased 14 percent and 10 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and six months ended April 30, 2026, had a 3 percentage point favorable impact in both periods when compared to the same periods last year.

Current wording

Revenue generated by our Applied Markets segment for the three and nine months ended July 31, 2026 increased 7 percent and 9 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and nine months ended July 31, 2026, had no currency impact and a 2 percentage point favorable impact, respectively, when compared to the same periods last year.

Previous wording

Net income for the three and six months ended April 30, 2026 was $339 million and $644 million, respectively, compared to net income of $215 million and $533 million for the corresponding periods last year. In the six months ended April 30, 2026, cash provided by operations was $545 million compared to cash provided by operations of $652 million in the same period last year.

Current wording

Net income for the three and nine months ended July 31, 2026 was $362 million and $1,006 million, respectively, compared to net income of $336 million and $869 million for the corresponding periods last year. In the nine months ended July 31, 2026, cash provided by operations was $1,064 million compared to cash provided by operations of $1,014 million in the same period last year.

Previous wording

Dividends. During the three and six months ended April 30, 2026, we paid cash dividends of $0.255 per common share or $72 million and $0.510 per common share or $144 million, respectively, on the company's common stock. During the three and six months ended April 30, 2025, we paid cash dividends of $0.248 per common share or $70 million and $0.496 per common share or $141 million, respectively, on the company's common stock.

Current wording

Dividends. During the three and nine months ended July 31, 2026, we paid cash dividends of $0.255 per common share or $72 million and $0.765 per common share or $216 million, respectively, on the company's common stock. During the three and nine months ended July 31, 2025, we paid cash dividends of $0.248 per common share or $71 million and $0.744 per common share or $212 million, respectively, on the company's common stock. The timing and amounts of any future dividends are subject to determination and approval by our board of directors.

Previous wording

2023 Repurchase Program. In September of 2025, we completed the 2023 repurchase program. During the three and six months ended April 30, 2025, we repurchased and retired 1.347 million shares for $165 million, excluding applicable excise taxes and 1.997 million shares for $255 million, excluding applicable excise taxes, respectively, under this authorization.

Current wording

2023 Repurchase Program. In September of 2025, we completed the 2023 repurchase program. During the three and nine months ended July 31, 2025, we repurchased and retired 737,474 shares for $85 million, excluding applicable excise taxes and 2.734 million shares for $340 million, excluding applicable excise taxes, respectively, under this authorization.

Previous wording

2024 Repurchase Program. On May 29, 2024, we announced that our board of directors had approved a share repurchase program (the "2024 repurchase program") designed, among other things, to reduce or eliminate dilution resulting from issuance of stock under the company's employee equity incentive programs. The 2024 repurchase program authorizes the purchase of up to $2.0 billion, excluding excise taxes, of our common stock at the company's discretion and has no fixed termination date. The 2024 repurchase program does not require the company to acquire a specific number of shares and may be suspended, amended or discontinued at any time. The 2024 repurchase program became effective on August 1, 2024 and commenced in September 2025 upon the completion of our 2023 repurchase program. During the three and six months ended April 30, 2026, we repurchased and retired 550,000 shares for $65 million, excluding excise taxes and 1.600 million shares for $217 million excluding excise taxes, respectively, under this authorization. As of April 30, 2026, we had remaining authorization to repurchase up to approximately $1,732 million of our common stock under the 2024 repurchase program.

Current wording

2024 Repurchase Program. On May 29, 2024, we announced that our board of directors had approved a share repurchase program (the "2024 repurchase program") designed, among other things, to reduce or eliminate dilution resulting from issuance of stock under the company's employee equity incentive programs. The 2024 repurchase program authorizes the purchase of up to $2.0 billion, excluding excise taxes, of our common stock at the company's discretion and has no fixed termination date. The 2024 repurchase program does not require the company to acquire a specific number of shares and may be suspended, amended or discontinued at any time. The 2024 repurchase program became effective on August 1, 2024 and commenced in September 2025 upon the completion of our 2023 repurchase program. During the three and nine months ended July 31, 2026, we repurchased and retired 612,270 shares for $78 million, excluding excise taxes and 2.212 million shares for $295 million excluding excise taxes, respectively, under this authorization. As of July 31, 2026, we had remaining authorization to repurchase up to approximately $1,654 million of our common stock under the 2024 repurchase program.

Previous wording

Excise Taxes on Shares Repurchased. During the six months ended April 30, 2026, we recorded the applicable excise taxes payable of approximately $1 million and paid excise taxes of approximately $3 million related to the shares repurchased in fiscal year 2025. During the six months ended April 30, 2025, we recorded the applicable excise taxes payable of approximately $2 million and paid excise taxes of approximately $10 million related to the shares repurchased in fiscal year 2024.

Current wording

Excise Taxes on Shares Repurchased. During the nine months ended July 31, 2026, we recorded the applicable excise taxes payable of approximately $2 million and paid excise taxes of approximately $3 million related to the shares repurchased in fiscal year 2025. During the nine months ended July 31, 2025, we recorded the applicable excise taxes payable of approximately $2 million and paid excise taxes of approximately $10 million related to the shares repurchased in fiscal year 2024.

Previous wording

Looking Forward. Our primary focus remains on enhancing our customers’ experience, delivering differentiated product solutions and driving productivity improvements. After an extended period of constrained capital spending, many customers' ability to spend capital budgets has begun to normalize, with the exception of customers receiving funding from the U.S. federal government. We remain optimistic about the long-term health of our key end markets. While tariffs and the Middle East conflict remain dynamic, we have mitigated the adverse impact related to our costs of revenue during the three and six months ended April 30, 2026 through our continued mitigation strategies such as supply chain optimization, targeted pricing actions, and other cost-efficiency initiatives to protect margins and sustain long-term growth. We will continue to monitor judicial rulings and evolving trade dynamics closely, as they may influence future revenue and operational efficiency.

Current wording

Looking Forward. Our primary focus remains on enhancing our customers’ experience, delivering differentiated product solutions and driving productivity improvements. Following an extended period of constrained capital spending, customer capital budget availability has largely normalized, supporting improved investment activity across our key end markets. We remain optimistic about the long-term health and growth prospects of these markets. While tariffs and the Middle East conflict remain dynamic, we have mitigated the adverse impact related to our costs of revenue during the three and nine months ended July 31, 2026 through our continued mitigation strategies such as supply chain optimization, targeted pricing actions, and other cost-efficiency initiatives to protect margins and sustain long-term growth. We will continue to monitor judicial rulings and evolving trade dynamics closely, as they may influence future revenue and operational efficiency.

Previous wording

Management’s Discussion and Analysis of Financial Condition and Results of Operations is based upon our condensed consolidated financial statements, which have been prepared in accordance with generally accepted accounting principles ("GAAP") in the U.S. The preparation of condensed consolidated financial statements in conformity with GAAP in the U.S. requires management to make estimates, judgments and assumptions that affect the amounts reported in our condensed consolidated financial statements and accompanying notes. Our critical accounting policies are those that affect our financial statements materially and involve difficult, subjective or complex judgments by management. Those policies are revenue recognition, inventory valuation, retirement and post-retirement benefit plan assumptions, valuation of goodwill and purchased intangible assets and accounting for income taxes. There have been no significant changes to our critical accounting policies as described in our Annual Report on Form 10-K for the fiscal year ended October 31, 2025. Management bases its estimates on historical experience and various other assumptions believed to be reasonable. Although these estimates are based on management’s best knowledge of current events and actions that may impact the company in the future, actual results may be different from the estimates.

Current wording

Management’s Discussion and Analysis of Financial Condition and Results of Operations is based upon our condensed consolidated financial statements, which have been prepared in accordance with generally accepted accounting principles ("GAAP") in the U.S. The preparation of condensed consolidated financial statements in conformity with GAAP in the U.S. requires management to make estimates, judgments and assumptions that affect the amounts reported in our condensed consolidated financial statements and accompanying notes. Our critical accounting policies are those that affect our financial statements materially and involve difficult, subjective or complex judgments by management. Those policies are revenue recognition, inventory valuation, retirement and postretirement benefit plan assumptions, valuation of goodwill and purchased intangible assets and accounting for income taxes. There have been no significant changes to our critical accounting policies as described in our Annual Report on Form 10-K for the fiscal year ended October 31, 2025. Management bases its estimates on historical experience and various other assumptions believed to be reasonable. Although these estimates are based on management’s best knowledge of current events and actions that may impact the company in the future, actual results may be different from the estimates.

Previous wording

In the second quarter of fiscal year 2025, we announced a restructuring plan designed to optimize our management structure to better serve our customers. The expense associated with this workforce reduction includes severance and other personnel-related costs. These actions impact all three of our business segments. The costs associated with this restructuring plan were not allocated to our business segments' results; however, each business segment will benefit from the future cost savings from these actions. When completed, the restructuring program is estimated to result in the reduction of approximately $90 million to $95 million in annual cost of revenue and operating expenses over our three business segments.

Current wording

Summary of Restructuring Plans. In fiscal years 2026 and 2025, we announced two separate restructuring plans designed to optimize our management structure to better serve our customers. These actions impact all three of our business segments. The costs associated with these restructuring plans were not allocated to our business segments' results; however, each business segment will benefit from the future cost savings from these actions. When completed, the restructuring programs are expected to result in the reduction in annual cost of revenue and operating expenses over the three business segments.

Previous wording

A summary of our aggregate liability relating to the fiscal year 2025 restructuring plan and the total restructuring expense since inception of the plan are shown in the table below:

Current wording

A summary of our aggregate liability relating to the fiscal year 2026 and 2025 restructuring plans and the total restructuring expense since inception of the plans are shown in the table below:

Previous wording

In connection with the FY25 Plan, we have recorded approximately $8 million and $28 million, respectively, in restructuring and other related costs in the three and six months ended April 30, 2026. The restructuring liability of $5 million at April 30, 2026, is recorded in other accrued liabilities on the condensed consolidated balance sheet and reflects estimated future cash outlays. We expect to substantially complete these restructuring activities by the end of fiscal year 2026.

Current wording

The aggregate restructuring liability of $13 million at July 31, 2026, is recorded in other accrued liabilities on the condensed consolidated balance sheet and reflects estimated future cash outlays.

Previous wording

Our revenue, costs and expenses, and monetary assets and liabilities and equity are exposed to changes in foreign currency exchange rates as a result of our global operating and financing activities. The overall effect of changes in foreign currency exchange rates had a 3 percentage point favorable impact on revenue growth for the six months ended April 30, 2026 when compared to the same period last year. Typically, when movements in foreign currency exchange rates have a positive impact on revenue, they will also have a negative impact by increasing our costs and expenses or vice versa. We calculate the impact of movements in foreign currency exchange rates by applying the actual foreign currency exchange rates in effect during the last month of each quarter of the current year to both the applicable current and prior year periods. We hedge revenue, expenses and balance sheet exposures that are not denominated in the functional currencies of our subsidiaries on a short term and anticipated basis. We do experience some fluctuations within individual lines of the condensed consolidated statement of operations and balance sheet because our hedging program is not designed to offset the currency movements in each category of revenue, expenses, monetary assets and liabilities. Our hedging program is designed to hedge currency movements on a relatively short-term basis (up to a rolling twelve-month period). We may also hedge equity balances denominated in foreign currency on a long-term basis. To the extent that we are required to pay for all, or portions, of an acquisition price in foreign currencies, we may enter into foreign exchange contracts to reduce the risk that currency movements will impact the U.S. dollar cost of the transaction.

Current wording

Our revenue, costs and expenses, and monetary assets and liabilities and equity are exposed to changes in foreign currency exchange rates as a result of our global operating and financing activities. The overall effect of changes in foreign currency exchange rates had a 2 percentage point favorable impact on revenue growth for the nine months ended July 31, 2026 when compared to the same period last year. Typically, when movements in foreign currency exchange rates have a positive impact on revenue, they will also have a negative impact by increasing our costs and expenses or vice versa. We calculate the impact of movements in foreign currency exchange rates by applying the actual foreign currency exchange rates in effect during the last month of each quarter of the current year to both the applicable current and prior year periods. We hedge revenue, expenses and balance sheet exposures that are not denominated in the functional currencies of our subsidiaries on a short-term and anticipated basis. We do experience some fluctuations within individual lines of the condensed consolidated statement of operations and balance sheet because our hedging program is not designed to offset the currency movements in each category of revenue, expenses, monetary assets and liabilities. Our hedging program is designed to hedge currency movements on a relatively short-term basis (up to a rolling twelve-month period). We may also hedge equity balances denominated in foreign currency on a long-term basis. To the extent that we are required to pay for all, or portions, of an acquisition price in foreign currencies, we may enter into foreign exchange contracts to reduce the risk that currency movements will impact the U.S. dollar cost of the transaction.

Previous wording

Net revenue for the three and six months ended April 30, 2026 increased 10 percent and 8 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and six months ended April 30, 2026 had a 4 percentage point and a 3 percentage point favorable impact, respectively, when compared to the same periods last year. For the three and six months ended April 30, 2026, revenue growth came from all of our segments, all geographic regions and most of our key end markets we serve when compared to the same periods last year.

Current wording

Net revenue for the three and nine months ended July 31, 2026 increased 8 percent in both periods when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and nine months ended July 31, 2026 had no currency impact and a 2 percentage point favorable impact, respectively, when compared to the same periods last year. For the three and nine months ended July 31, 2026, revenue growth came from all of our segments, all geographic regions and most of our key end markets we serve when compared to the same periods last year.

Previous wording

Revenue from products for the three and six months ended April 30, 2026 increased 10 percent and 8 percent, respectively, when compared to the same periods last year. In the three months ended April 30, 2026, product revenue increased in most of our businesses led by strong revenue growth from our liquid chromatography, pathology, spectroscopy and Agilent Advanced Therapeutics businesses (formerly known as our specialty contract development and manufacturing organization ("CDMO") business) when compared to the same period last year. In the six months ended April 30, 2026, product revenue increased in most of our businesses led by strong revenue growth in our liquid chromatography, spectroscopy, pathology, consumables and Agilent Advanced Therapeutics businesses when compared to the same period last year.

Current wording

Revenue from products for the three and nine months ended July 31, 2026 increased 8 percent in both periods when compared to the same periods last year. In the three months ended July 31, 2026, product revenue increased in most of our businesses led by strong revenue growth from our Agilent Advanced Therapeutics (formerly known as our specialty contract development and manufacturing organization ("CDMO") business), consumables and liquid chromatography mass spectrometry businesses when compared to the same period last year. In the nine months ended July 31, 2026, product revenue increased in most of our businesses led by strong revenue growth in our liquid chromatography, Agilent Advanced Therapeutics, consumables and spectroscopy businesses when compared to the same period last year.

Previous wording

Services and other revenue for the three and six months ended April 30, 2026 increased 10 percent in both periods when compared to the same periods last year. Services and other revenue consist of contract repair, preventative maintenance, compliance services, relocation services, installation services and consulting services related to the companion diagnostics and our Agilent Advanced Therapeutics businesses. For the three and six months ended April 30, 2026, service revenue increases reflected strong growth from contract repair, consulting and preventative maintenance services.

Current wording

Services and other revenue for the three and nine months ended July 31, 2026 increased 7 percent and 9 percent, respectively, when compared to the same periods last year. Services and other revenue consist of contract repair, preventative maintenance, compliance services, relocation services, installation services and consulting services related to the companion diagnostics and our Agilent Advanced Therapeutics businesses. For the three and nine months ended July 31, 2026, service revenue increases reflected strong growth from contract repair, consulting and compliance services.

Previous wording

Revenue in the Life Sciences and Diagnostics Markets segment for the three and six months ended April 30, 2026 increased 12 percent and 8 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and six months ended April 30, 2026 had a 3 percentage point and a 2 percentage point favorable impact, respectively, when compared to the same periods last year. For the three and six months ended April 30, 2026, revenue growth was strong in the pharmaceutical and the diagnostics and clinical markets partially offset by declines in revenue in the academia and government market when compared to the same periods last year. Within applied markets, we saw strong revenue growth in the chemical and advanced materials market partially offset by moderate declines in the food market when compared to the same periods last year.

Current wording

Revenue in the Life Sciences and Diagnostics Markets segment for the three and nine months ended July 31, 2026 increased 11 percent and 9 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and nine months ended July 31, 2026 had no currency impact and a 2 percentage point favorable impact, respectively, when compared to the same periods last year. For the three and nine months ended July 31, 2026, revenue growth was strong in the pharmaceutical and the diagnostics and clinical markets partially offset by declines in revenue in the academia and government market when compared to the same periods last year. Within applied markets, we saw strong revenue growth in the chemical and advanced materials market partially offset by declines in the food market when compared to the same periods last year.

Previous wording

Revenue in the Agilent CrossLab segment for the three and six months ended April 30, 2026 increased 6 percent and 8 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and six months ended April 30, 2026 had a 4 percentage point favorable impact in both periods when compared to the same periods last year. For the three and six months ended April 30, 2026, we saw revenue growth across all of our end markets led by strong growth in the pharmaceutical and chemical and advanced materials markets when compared to the same periods last year.

Current wording

Revenue in the Agilent CrossLab segment for the three and nine months ended July 31, 2026 increased 6 percent and 7 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and nine months ended July 31, 2026 had a 1 percentage point and a 2 percentage point favorable impact, respectively, when compared to the same periods last year. For the three months ended July 31, 2026, we saw revenue growth across most of our end markets led by strong growth in the pharmaceutical and the chemical and advanced materials markets partially offset by a slight decline in academia and government market when compared to the same period last year. For the nine months ended July 31, 2026, we saw revenue growth across all of our end markets led by strong growth in the pharmaceutical, chemical and advanced materials markets and in the environmental and forensics market when compared to the same period last year.

Previous wording

Revenue in the Applied Markets segment for the three and six months ended April 30, 2026 increased 14 percent and 10 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and six months ended April 30, 2026 had a 3 percentage point favorable impact in both periods when compared to the same periods last year. For the three months ended April 30, 2026, we saw significant revenue growth in the chemical and advanced materials and environmental and forensics markets when compared to the same period last year. Within life sciences markets, we saw strong revenue growth in the pharmaceutical market when compared to the same period last year. For the six months ended April 30, 2026, we saw significant revenue growth in the chemical and advanced materials and environmental and forensics markets partially offset by a decline in the food market when compared to the same period last year.

Current wording

Revenue in the Applied Markets segment for the three and nine months ended July 31, 2026 increased 7 percent and 9 percent, respectively, when compared to the same periods last year. The overall effect of foreign currency movements on revenue growth for the three and nine months ended July 31, 2026 had no currency impact and a 2 percentage point favorable impact, respectively, when compared to the same periods last year. For the three months ended July 31, 2026, we saw strong revenue growth in both the chemical and advanced materials market and in the environmental and forensics market when compared to the same period last year. Within life sciences markets, we saw strong revenue growth in the pharmaceutical market when compared to the same period last year. For the nine months ended July 31, 2026, we saw significant revenue growth in both the chemical and advanced materials and environmental and forensics markets partially offset by a decline in the food market when compared to the same period last year. Revenue growth within the life sciences markets was led by strong growth in the pharmaceutical market.

Previous wording

Total gross margin for the three and six months ended April 30, 2026 increased 2 percentage points and 1 percentage point, respectively, when compared to the same periods last year. Gross margin for the three months ended April 30, 2026 was overall favorably impacted by higher sales volume, targeted price increases, lower restructuring expense and lower intangible amortization expense partially offset by wage increases and higher variable pay when compared to the same period last year. Gross margin for the six months ended April 30, 2026 was overall favorably impacted by higher sales volume, targeted price increases, lower restructuring expense and lower intangible amortization expense partially offset by higher tariffs, unfavorable business mix (including lower gross margin from our Agilent Advanced Therapeutics business), wage increases and higher variable pay when compared to the same period last year.

Current wording

Total gross margin for the three and nine months ended July 31, 2026 increased 4 percentage points and 2 percentage points, respectively, when compared to the same periods last year. Gross margin for the three and nine months ended July 31, 2026 was overall favorably impacted by higher sales volume, a net benefit from tariff refunds, targeted price increases, favorable business mix, lower intangible amortization expense and lower restructuring expense partially offset by wage increases and higher variable pay when compared to the same periods last year.

Previous wording

Research and development expenses for the three and six months ended April 30, 2026 increased 13 percent and 8 percent, respectively, when compared to the same periods last year. Research and development expenses for the three and six months ended April 30, 2026 increased due to transformational initiatives, wage increases, higher variable pay and the unfavorable impact of currency movements partially offset by lower restructuring expenses and savings from restructuring programs.

Current wording

Research and development expenses for the three and nine months ended July 31, 2026 increased 10 percent and 9 percent, respectively, when compared to the same periods last year. Research and development expenses for the three months ended July 31, 2026 increased due to higher costs from transformational initiatives, wage increases, higher variable pay, restructuring expense and the unfavorable impact of currency movements partially offset by lower acquisition and integration costs and savings from restructuring programs. Research and development expenses for the nine months ended July 31, 2026 increased due to higher costs from transformational initiatives, wage increases, higher variable pay and the unfavorable impact of currency movements partially offset by lower acquisition and integration costs and savings from restructuring programs.

Previous wording

Selling, general and administrative expenses for the three and six months ended April 30, 2026 increased 2 percent and 9 percent, respectively, when compared to the same periods last year. Selling, general and administrative expenses for the three and six months ended April 30, 2026 increased due to wage increases, higher variable pay, commissions, corporate infrastructure expenses, transformation initiatives, acquisition costs and the unfavorable impact of currency movements partially offset by lower restructuring expenses and savings from restructuring programs when compared to the same periods last year.

Current wording

Selling, general and administrative expenses for the three and nine months ended July 31, 2026 increased 14 percent and 11 percent, respectively, when compared to the same periods last year. Selling, general and administrative expenses for the three months ended July 31, 2026 increased primarily due to higher costs from transformational initiatives, higher variable pay and wage increases when compared to the same period last year. Selling, general and administrative expenses for the nine months ended July 31, 2026 increased primarily due to higher corporate costs, variable pay, wage increases, higher costs from transformational initiatives, commissions and the unfavorable impact of currency movements partially offset by lower restructuring expenses and savings from restructuring programs when compared to the same period last year.

Previous wording

Total operating margin for the three and six months ended April 30, 2026 increased 4 percentage points and approximately 1 percentage point, respectively, when compared to the same periods last year. Operating margin for the three months ended April 30, 2026 was favorably impacted primarily by higher sales volume and lower restructuring expenses partially offset by higher wages, variable pay and transformational initiatives. Operating margin for the six months ended April 30, 2026 was impacted primarily by higher sales volume and lower restructuring expenses partially offset by higher wages, tariffs and corporate infrastructure costs.

Current wording

Total operating margin for the three and nine months ended July 31, 2026 increased 3 percentage points and 1 percentage point, respectively, when compared to the same periods last year. Operating margin for the three months ended July 31, 2026 was favorably impacted primarily by higher sales volume, a net benefit from tariff refunds, and lower restructuring expenses partially offset by higher wages, variable pay and higher costs from transformational initiatives. Operating margin for the nine months ended July 31, 2026 was impacted primarily by higher sales volume, a net benefit from tariff refunds and lower restructuring expenses partially offset by higher wages, variable pay and corporate costs. For the three and nine months ended July 31, 2026, the net impact of tariff refunds imposed under the International Emergency Economic Powers Act contributed approximately 1 percentage point and less than 1 percentage point, respectively, to operating margin improvement.

Previous wording

At April 30, 2026 and 2025 our headcount was approximately 18,000 employees.

Current wording

At July 31, 2026, our headcount was approximately 18,200 as compared to 18,000 at July 31, 2025. The increase in headcount is primarily due to our recent acquisition.

Previous wording

For the three months ended April 30, 2026, other income (expense), net of $21 million income includes income of $16 million related to the defined benefit retirement and post-retirement benefit plans (interest cost, expected return on assets, amortization of net actuarial (gain) loss and prior service credits). The provision of site service costs to, and lease income from Keysight Technologies, Inc. contributed income of $3 million. The costs associated with these services are reported within income from operations.

Current wording

For the three months ended July 31, 2025, other income (expense), net of $18 million income includes income of $15 million related to the defined benefit retirement and postretirement benefit plans (interest cost, expected return on assets, amortization of net actuarial (gain) loss and prior service credits). The provision of site service costs to, and lease income from Keysight Technologies, Inc. contributed income of $3 million. The costs associated with these services are reported within income from operations.

Previous wording

For the six months ended April 30, 2025, other income (expense), net of $21 million expense includes a net loss of $27 million on equity securities, $15 million loss on impairment of investments and income of $26 million related to the defined benefit retirement and post-retirement benefit plans (interest cost, expected return on assets, amortization of net actuarial (gain) loss and prior service credits). The provision of site service costs to, and lease income from Keysight Technologies, Inc. contributed income of $6 million. The costs associated with these services are reported within income from operations. For the six months ended April 30, 2025, other income (expense), net also includes expense of $14 million related to the settlement loss of our Netherlands defined benefit pension plan.

Current wording

For the nine months ended July 31, 2025, other income (expense), net of $3 million expense includes a net loss of $28 million on equity securities, $15 million loss on impairment of investments and income of $41 million related to the defined benefit retirement and postretirement benefit plans (interest cost, expected return on assets, amortization of net actuarial (gain) loss and prior service credits). The provision of site service costs to, and lease income from Keysight Technologies, Inc. contributed income of $9 million. The costs associated with these services are reported within income from operations. For the nine months ended July 31, 2025, other income (expense), net also includes expense of $14 million related to the settlement loss of our Netherlands defined benefit pension plan.

Previous wording

For the three and six months ended April 30, 2025, our income tax expense was $45 million with an effective tax rate of 17.3 percent and $94 million with an effective tax rate of 15.0 percent, respectively. For the three and six months ended April 30, 2025, there were no significant discrete items.

Current wording

For the three and nine months ended July 31, 2026, our income tax expense was $82 million with an effective tax rate of 18.5 percent and $210 million with an effective tax rate of 17.3 percent, respectively. For the three and nine months ended July 31, 2026, there were no significant discrete items.

Previous wording

For the three and six months ended April 30, 2026, our income tax expense was $69 million with an effective tax rate of 16.9 percent and $128 million with an effective tax rate of 16.6 percent, respectively. For the three and six months ended April 30, 2026, there were no significant discrete items.

Current wording

For the three and nine months ended July 31, 2025, our income tax expense was $30 million with an effective tax rate of 8.2 percent and $124 million with an effective tax rate of 12.5 percent, respectively. For the three and nine months ended July 31, 2025, our effective tax rate and the resulting provision for income taxes were impacted by the tax benefit of $28 million related to the release of tax reserves due to a remeasurement of the liability.

Previous wording

With these jurisdictions and the U.S., it is reasonably possible that some tax audits may be completed over the next twelve months. However, management is not able to provide a reasonably reliable estimate of the timing of any other future tax payments or change in unrecognized tax benefits, if any.

Current wording

With these jurisdictions and the U.S., it is reasonably possible that some tax audits may be completed over the next twelve months. However, management cannot provide a reasonably reliable estimate of the timing of any other future tax payments or change in unrecognized tax benefits, if any.

Previous wording

The Organization for Economic Co-operation and Development ("OECD") has introduced rules to establish a global minimum tax rate of 15 percent, commonly referred to as the Pillar Two rules. We have considered the impact of currently enacted Pillar Two rules, and our income taxes have increased due to top-up taxes. Additionally, the United States enacted the One Big Beautiful Bill Act ("OBBBA") on July 4, 2025, including adjustments to effective tax rates on certain types of income and an elective deduction for domestic Research and Development (R&D), which are applicable to Agilent in fiscal years 2026 and 2027. The OBBBA did not have a material impact on our effective tax rate or cash flow for the three or six months ended April 30, 2026.

Current wording

The Organization for Economic Co-operation and Development ("OECD") has introduced rules to establish a global minimum tax rate of 15 percent, commonly referred to as the Pillar Two rules. We have considered the impact of currently enacted Pillar Two rules, and our income taxes have increased due to top-up taxes. Additionally, the United States enacted the One Big Beautiful Bill Act ("OBBBA") on July 4, 2025, including adjustments to effective tax rates on certain types of income and an elective deduction for domestic Research and Development (R&D), which are applicable to Agilent in fiscal years 2026 and 2027. The OBBBA did not have a material impact on our effective tax rate or cash flow for the three and nine months ended July 31, 2026.

Previous wording

Geographically, revenue for the three months ended April 30, 2026 increased 12 percent in the Americas with a 1 percentage point favorable currency impact, increased 21 percent in Europe with a 10 percentage point favorable currency impact and increased 2 percent in Asia Pacific with a 2 percentage point favorable currency impact compared to the same period last year. For the three months ended April 30, 2026, the revenue increase in the Americas was driven by strong growth across almost all of our businesses with modest revenue growth in our cell imaging and metabolism; and electrophoresis and cell phenotyping businesses. Revenue increased in Europe driven by strong growth from all of our businesses. Revenue increased in Asia Pacific due to strong growth from our liquid chromatography, pathology and genomics businesses, and moderate growth in our electrophoresis and cell phenotyping; and liquid chromatography mass spectrometry businesses, partially offset by declines in our cell imaging and metabolism business.

Current wording

Geographically, revenue for the three months ended July 31, 2026 increased 17 percent in the Americas with no currency impact, was flat in Europe with no currency impact and increased 14 percent in Asia Pacific with no currency impact compared to the same period last year. For the three months ended July 31, 2026, the revenue increase in the Americas was driven by strong growth across almost all of our businesses and revenue from our Biocare acquisition, with moderate revenue growth in our liquid chromatography business, modest growth in our pathology business and a significant decline in our liquid chromatography mass spectrometry business. Revenue in Europe was driven by strong growth in our genomics business, moderate growth in our cell imaging and metabolism business and modest growth in our pathology business offset by declines in our liquid chromatography, liquid chromatography mass spectrometry, electrophoresis and cell phenotyping and companion diagnostics businesses. Revenue increased in Asia Pacific due to strong growth from our liquid chromatography, liquid chromatography mass spectrometry, electrophoresis and cell phenotyping and genomics businesses, flat growth in our pathology business, partially offset by declines in our cell imaging and metabolism business.

Previous wording

Revenue for the six months ended April 30, 2026 increased 5 percent in the Americas with a 1 percentage point favorable currency impact, increased 14 percent in Europe with a 9 percentage point favorable currency impact and increased 9 percent in Asia Pacific with a 1 percentage point favorable currency impact compared to the same period last year. For the six months ended April 30, 2026, the revenue increase in the Americas was driven by strong growth across most of our businesses partially offset by declines in revenue from our cell imaging and metabolism; electrophoresis and cell phenotyping; and liquid chromatography mass spectrometry businesses. Revenue increased in Europe driven by strong growth from all of our businesses partially offset by declines in revenue from our cell imaging and metabolism business. Revenue increased in Asia Pacific due to strong growth from our liquid chromatography, liquid chromatography mass spectrometry, pathology and electrophoresis and cell phenotyping businesses, partially offset by declines in revenue from our cell imaging and metabolism and genomics businesses.

Current wording

Revenue for the nine months ended July 31, 2026 increased 9 percent in the Americas with a 1 percentage point favorable currency impact, increased 9 percent in Europe with a 5 percentage point favorable currency impact and increased 11 percent in Asia Pacific with a 1 percentage point favorable currency impact compared to the same period last year. For the nine months ended July 31, 2026, the revenue increase in the Americas was driven by strong growth across most of our businesses with moderate growth in our pathology business, flat growth in our electrophoresis and cell phenotyping business partially offset by declines in revenue from our cell imaging and metabolism and liquid chromatography mass spectrometry businesses. Revenue increased in Europe driven by strong growth in our pathology and companion diagnostic businesses, moderate growth in our electrophoresis and cell phenotyping and liquid chromatography businesses and modest growth in our genomics business partially offset by declines in our cell imaging and metabolism and liquid chromatography mass spectrometry businesses. Revenue increased in Asia Pacific due to strong growth from our liquid chromatography, liquid chromatography mass spectrometry and electrophoresis and cell phenotyping businesses, moderate growth in our pathology business partially offset by declines in revenue from our cell imaging and metabolism and genomics businesses.

Previous wording

For the three and six months ended April 30, 2026, revenue growth was strong in the pharmaceutical and the diagnostics and clinical markets partially offset by declines in revenue in the academia and government market when compared to the same periods last year. Strong revenue growth in the pharmaceutical market was led by revenue from our liquid chromatography and liquid chromatography mass spectrometry and our Agilent Advanced Therapeutics businesses. Revenue growth was strong in the diagnostics and clinical market led by revenue from our pathology, genomics and companion diagnostics businesses. The decline in revenue in the academia and government market was driven by revenue declines in our cell analysis and liquid chromatography and liquid chromatography mass spectrometry businesses. Within applied markets, we saw strong revenue growth in the chemical and advanced materials market led by revenue from our liquid chromatography and liquid chromatography mass spectrometry businesses when compared to the same periods last year.

Current wording

For the nine months ended July 31, 2026, revenue growth was strong in the pharmaceutical and the diagnostics and clinical markets partially offset by declines in revenue in the academia and government market when compared to the same period last year. Strong revenue growth in the pharmaceutical market was led by revenue from our liquid chromatography, liquid chromatography mass spectrometry and our Agilent Advanced Therapeutics businesses. Revenue growth was strong in the diagnostics and clinical market led by revenue from our pathology, genomics and companion diagnostics businesses. The decline in revenue in the academia and government market was driven by revenue declines in our cell analysis, liquid chromatography and liquid chromatography mass spectrometry businesses. Within applied markets, we saw strong revenue growth in the chemical and advanced materials market led by revenue from our liquid chromatography and liquid chromatography mass spectrometry businesses when compared to the same period last year.

Previous wording

Looking Forward. While tariffs and the Middle East conflict remain dynamic, we have mitigated the adverse impact related to our costs of revenue during the three and six months ended April 30, 2026. We remain optimistic about long-term growth in our end markets and continue investing to enhance our applications and solutions portfolio. The rising demand for several of the modalities provided by our Agilent Advanced Therapeutics business positions us well to serve expanding customer demand. By leveraging our liquid chromatography and liquid chromatography mass spectrometry platforms, we are driving growth across key markets and remain optimistic about long-term life sciences opportunities. Our diagnostic and clinical markets continue to grow with the OMNIS platforms. We will continue investing in research and development, advancing our applications and solutions portfolio, and expanding our position in developing and emerging markets.

Current wording

Looking Forward. While tariffs and the Middle East conflict remain dynamic, we have mitigated the adverse impact related to our costs of revenue during the three and nine months ended July 31, 2026. We remain optimistic about long-term growth in our end markets and continue investing to enhance our applications and solutions portfolio. The rising demand for several of the modalities provided by our Agilent Advanced Therapeutics business positions us well to serve expanding customer demand. By leveraging our liquid chromatography and liquid chromatography mass spectrometry platforms, we are driving growth across key markets and remain optimistic about long-term life sciences opportunities. Our diagnostic and clinical markets continue to grow with the OMNIS platforms. We will continue investing in research and development, advancing our applications and solutions portfolio, and expanding our position in developing and emerging markets.

Previous wording

Gross margin for products and services for the three and six months ended April 30, 2026, increased 1 percentage point and decreased approximately 1 percentage point, respectively, when compared to the same periods last year. Gross margin for the three months ended April 30, 2026 was impacted mainly by higher sales volume, price increases, decreased tariffs, favorable business mix (net of lower gross margin from our Agilent Advanced Therapeutics business) and savings from restructuring programs partially offset by increased warranty expenses, wage increases and higher variable pay. Gross margin for the six months ended April 30, 2026 was impacted mainly by higher tariffs, unfavorable business mix (including lower gross margin from our Agilent Advanced Therapeutics business), increased warranty expenses, wage increases and higher variable pay which was partially offset by higher sales volume, price increases and savings from restructuring programs.

Current wording

Gross margin for products and services for the three and nine months ended July 31, 2026, increased 5 percentage points and 1 percentage point, respectively, when compared to the same periods last year. Gross margin for the three and nine months ended July 31, 2026 was impacted mainly by higher sales volume, price increases, a net benefit from tariff refunds, favorable business mix (net of lower gross margin from our Agilent Advanced Therapeutics business), lower warranty expenses and savings from restructuring programs partially offset by wage increases and higher variable pay.