Bio-Rad Laboratories, Inc. (NYSE:BIO), a global leader of life science research and clinical diagnostic products, today announced financial results for the second quarter ended June 30, 2021.

Second-quarter 2021 net sales were $715.9 million, an increase of 33.4 percent compared to $536.9 million reported for the second quarter of 2020. On a currency-neutral basis, quarterly sales increased 27.5 percent compared to the same period in 2020. Second-quarter gross margin was 56.1 percent compared to 54.6 percent during the second quarter in 2020.

Life Science segment net sales for the second quarter of 2021 were $334.2 million, an increase of 32.6 percent compared to the same quarter last year. On a currency-neutral basis, sales increased 27.1 percent compared to the same period in 2020. Currency-neutral sales increased across nearly all life science research products but were primarily driven by growth in our Western Blotting, Droplet Digital PCR^®, qPCR, and Process Media product lines. All regions experienced strong currency-neutral sales growth compared to the second quarter of 2020.

Clinical Diagnostics segment sales for the second quarter of 2021 were $380.2 million, an increase of 34.3 percent compared to the same period last year. On a currency-neutral basis, sales increased 28.0 percent compared to the second quarter in 2020. The currency-neutral sales increase was primarily driven by the ongoing recovery across product lines in all regions.

Income from operations during the second quarter of 2021 was $124.8 million versus $51.7 million during the same quarter last year.

Net income for the second quarter of 2021 was $914.1 million, or $30.32 per share, on a diluted basis, versus $966.4 million, or $32.15 per share, on a diluted basis, during the same period in 2020. Net income for the second quarter of 2021 and 2020 was impacted by the recognition of changes in the fair market value of equity securities, primarily related to the holdings of our investment in Sartorius AG. The effective tax rate for the second quarter of 2021 was 21.0 percent, compared to 22.4 percent for the same period in 2020. The tax rates for both periods were driven by the large unrealized gain in equity securities. In addition, the effective income tax rate for the second quarter of 2021 was lower also due to the release of certain tax reserves resulting from the lapse of certain statute of limitations.

"Performance in the second quarter for both our Life Science and Clinical Diagnostics segments was strong and ahead of expectations," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "We are pleased to see the gradual recovery in our end markets across the business and in all regions after the significant downturn last year with the onset of COVID-19. Although the pandemic is still somewhat unpredictable, we have adapted well to the constraints of COVID-19 and continue to make progress on our core strategies, while supporting our customers and ensuring the safety of our employees," he said.

GAAP Results
	Q2 2021	Q2 2020
Revenue (millions)	$715.9	$536.9
Gross margin	56.1%	54.6%
Operating margin	17.4%	9.6%
Net income (millions)	$914.1	$966.4
Income per diluted share	$30.32	$32.15

Non-GAAP Results
	Q2 2021	Q2 2020
Gross margin	56.9%	55.5%
Operating margin	18.5%	11.8%
Net income (millions)	$106.6	$48.3
Income per diluted share	$3.54	$1.61

A reconciliation between GAAP operating results and non-GAAP operating results is provided following the financial statements that are part of this press release. Non-GAAP adjustments include amortization of purchased intangibles; acquisition-related expenses and benefits; restructuring, impairment charges and valuation changes in equity-owned securities; gains and losses on equity-method investments; significant litigation charges or benefits and legal costs; and discrete income tax events and the income tax effect on these non-GAAP adjustments.

Non-GAAP net income and non-GAAP diluted income per share (non-GAAP EPS) are non-GAAP measures that exclude certain items detailed later in this press release under the heading "Non-GAAP Reporting."

Non-GAAP net income for the second quarter of 2021 was $106.6 million, or $3.54 per share, on a diluted basis, compared to $48.3 million, or $1.61 per share, on a diluted basis, during the same period in 2020.

The non-GAAP effective income tax rate for the second quarter of 2021 was 21.5 percent, compared to 23.8 percent for the same period in 2020. The lower rate in 2021 was driven by geographic mix of earnings.

The following table represents a reconciliation of Bio-Rad's reported net income and diluted income per share to non-GAAP net income and non-GAAP diluted income per share for the three and six months ended June 30, 2021 and 2020:

	(in thousands, except per share data)	Three Months Ended June 30,						Six Months Ended June 30,
		2021			2020			2021			2020
GAAP net income		$	914,114		$	966,429		$	1,891,528		$	1,652,341
	Amortization of purchased intangibles		6,995			7,239			13,935			13,094
	Legal matters		8,761			2,585			12,640			4,418
	Acquisition related benefits		(40	)		(955	)		(40	)		(1,002	)
	Restructuring (benefits) costs		(7,781	)		2,652			67,784			284
	Valuation gain on equity-owned securities		(1,030,691	)		(1,183,488	)		(2,210,094	)		(2,011,159	)
	Loss on equity-method investments		1,840			1,138			3,680			2,451
	Other non-recurring items		-			(11,680	)		-			(11,680	)
	Income tax effect on non-GAAP adjustments		213,387			264,428			484,523			457,230
Non-GAAP net income		$	106,585		$	48,348		$	263,956		$	105,977

GAAP diluted income per share		$	30.32		$	32.15		$	62.70		$	54.84

Non-GAAP diluted income per share		$	3.54		$	1.61		$	8.75		$	3.52

On a reported basis, net sales for the first half of 2021 increased 30.1 percent to $1,442.7 million compared to $1,108.5 million for the same period in 2020. On a currency-neutral basis, net sales increased 25.4 percent.

Year-to-date net income for 2021 was $1,891.5 million, or $62.70 per share on a fully diluted basis, compared to $1,652.3 million, or $54.84 per share, respectively, during the same period in 2020. On a non-GAAP basis net income for the first two quarters of 2021 was $264.0 million, or $8.75 per share, compared to $106.0 million, or $3.52 per share, during the same period in 2020.

2021 Financial Outlook

For the full year 2021, the company has updated its guidance and now anticipates non-GAAP currency-neutral revenue growth between 10.0 to 10.5 percent and an estimated non-GAAP operating margin of approximately 19.0 percent. Management will discuss this outlook in greater detail on the second-quarter 2021 financial results conference call.

Use of Non-GAAP Reporting and Currency-Neutral

In addition to the financial measures prepared in accordance with generally accepted accounting principles (GAAP), we use certain non-GAAP financial measures, including non-GAAP net income and non-GAAP EPS, which exclude amortization of acquisition-related intangible assets, certain acquisition-related expenses and benefits, restructuring charges, asset impairment charges, valuation changes of equity-owned securities, gains and losses on equity-method investments, and significant legal-related charges or benefits and associated legal costs. Non-GAAP net income and non-GAAP EPS also exclude certain other gains and losses that are either isolated or cannot be expected to occur again with any predictability, income tax provisions/benefits related to the previous items, and significant discrete tax events. We exclude the above items because they are outside of our normal operations and/or, in certain cases, are difficult to forecast accurately for future periods.

We utilize a number of different financial measures, both GAAP and non-GAAP, in analyzing and assessing the overall performance of our business, in making operating decisions, forecasting and planning for future periods, and determining payments under compensation programs. We consider the use of the non-GAAP measures to be helpful in assessing the performance of the ongoing operation of our business. We believe that disclosing non-GAAP financial measures provides useful supplemental data that, while not a substitute for financial measures prepared in accordance with GAAP, allows for greater transparency in the review of our financial and operational performance. We also believe that disclosing non-GAAP financial measures provides useful information to investors and others in understanding and evaluating our operating results and future prospects in the same manner as management and in comparing financial results across accounting periods and to those of peer companies. More specifically, management adjusts for the excluded items for the following reasons:

Amortization of purchased intangible assets: we do not acquire businesses and assets on a predictable cycle. The amount of purchase price allocated to purchased intangible assets and the term of amortization can vary significantly and are unique to each acquisition or purchase. We believe that excluding amortization of purchased intangible assets allows the users of our financial statements to better review and understand the historic and current results of our operations, and also facilitates comparisons to peer companies.

Acquisition-related expenses and benefits: we incur expenses or benefits with respect to certain items associated with our acquisitions, such as transaction costs, professional fees for assistance with the transaction; valuation or integration costs; changes in the fair value of contingent consideration, gain or loss on settlement of pre-existing relationships with the acquired entity; or adjustments to purchase price. We exclude such expenses or benefits as they are related to acquisitions and have no direct correlation to the operation of our on-going business.

Restructuring, impairment charges and valuation changes in equity-owned securities and gains and losses on equity-method investments: we incur restructuring and impairment charges on individual or groups of employed assets and charges and benefits arising from valuation changes in equity-owned securities and gains and losses on equity-method investments, which arise from unforeseen circumstances and/or often occur outside of the ordinary course of our on-going business. Although these events are reflected in our GAAP financials, these unique transactions may limit the comparability of our on-going operations with prior and future periods.

Significant litigation charges or benefits and legal costs: we may incur charges or benefits as well as legal costs in connection with litigation and other contingencies unrelated to our core operations. We exclude these charges or benefits, when significant, as well as legal costs associated with significant legal matters, because we do not believe they are reflective of on-going business and operating results.

Income tax expense: we estimate the tax effect of the excluded items identified above to determine a non-GAAP annual effective income tax rate applied to the pretax amount in order to calculate the non-GAAP provision for income taxes. We also adjust for items for which the nature and/or tax jurisdiction requires the application of a specific tax rate or treatment.

From time to time in the future, there may be other items excluded if we believe that doing so is consistent with the goal of providing useful information to investors and management.

Percentage sales growth in currency-neutral amounts are calculated by translating prior period sales in each local currency using the current period's monthly average foreign exchange rates for that currency and comparing that to current period sales.

There are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with generally accepted accounting principles and may be different from non-GAAP financial measures used by other companies. The non-GAAP financial measures are limited in value because they exclude certain items that may have a material impact on our reported financial results. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP in the United States. Investors should review the reconciliation of the non-GAAP financial measures to their most directly comparable GAAP financial measures as provided in the tables accompanying this press release.

Conference Call and Webcast

Management will discuss second-quarter ended June 30, 2021 results in a conference call at 3 PM Pacific Time (6 PM Eastern Time) July 29, 2021. To listen, call 855-779-9068 within the U.S. or 631-485-4862 outside the U.S., passcode: 5382265. You may also listen to the conference call live via a webcast that is available on the "Investor Relations" section of our website under "Quarterly Results" at bio-rad.com. The webcast will be available for up to a year.

BIO-RAD and DROPLET DIGITAL PCR are trademarks of Bio-Rad Laboratories, Inc. in certain jurisdictions.

About Bio-Rad

Bio-Rad Laboratories, Inc. (NYSE:BIO) is a global leader in developing, manufacturing, and marketing a broad range of innovative products for the life science research and clinical diagnostic markets. With a focus on quality and customer service for over 65 years, our products advance the discovery process and improve healthcare. Our customers are university and research institutions, hospitals, public health and commercial laboratories, biotechnology, pharmaceutical, as well as applied laboratories that include food safety and environmental quality. Founded in 1952, Bio-Rad is based in Hercules, California, and has a global network of operations with approximately 7,700 employees worldwide. Bio-Rad had revenues exceeding $2.5 billion in 2020. Please visit bio-rad.com for further information.

This release may be deemed to contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, statements we make regarding estimated future financial performance or results; anticipating non-GAAP currency-neutral revenue growth of between 10.0 to 10.5 percent and an estimated non-GAAP operating margin of approximately 19.0 percent for the full year 2021; and continuing to make progress on our core strategies, while supporting our customers and ensuring the safety of our employees. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "anticipate," "estimate," "expect," "continue," "believe," "will," "project," "assume," "may," "intend," or similar expressions or the negative of those terms or expressions, although not all forward-looking statements contain these words. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. These risks and uncertainties include the duration, severity and impact of the COVID-19 pandemic, global economic conditions, our ability to develop and market new or improved products, our ability to compete effectively, foreign currency exchange fluctuations, reductions in government funding or capital spending of our customers, international legal and regulatory risks, supply chain issues, product quality and liability issues, our ability to integrate acquired companies, products or technologies into our company successfully, changes in the healthcare industry, and natural disasters and other catastrophic events beyond our control. For further information regarding the Company's risks and uncertainties, please refer to the "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Company's public reports filed with the Securities and Exchange Commission (the "SEC"), including the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2020, and its Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2021 to be filed with the SEC. The Company cautions you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. Bio-Rad Laboratories, Inc. disclaims any obligation to update these forward-looking statements.

Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Income

(In thousands, except per share data)
(Unaudited)

		Three Months Ended						Six Months Ended
		June 30,						June 30,
		2021			2020			2021			2020
Net sales		$	715,931		$	536,880		$	1,442,727		$	1,108,524
	Cost of goods sold		314,333			243,892			640,502			498,168
Gross profit			401,598			292,988			802,225			610,356

	Selling, general and administrative expense		213,425			189,262			439,278			382,954
	Research and development expense		63,391			51,984			137,303			101,287
Income from operations			124,782			51,742			225,644			126,115

	Interest expense		363			5,740			761			11,430
	Foreign currency exchange (gains) losses, net		(1,761	)		774			(1,690	)		1,702
	Change in fair market value of equity securities		(1,030,691	)		(1,183,488	)		(2,210,094	)		(2,011,159	)
	Other expense (income), net		96			(17,229	)		(17,311	)		(20,502	)
Income before income taxes			1,156,775			1,245,945			2,453,978			2,144,644

	Provision for income taxes		(242,661	)		(279,516	)		(562,450	)		(492,303	)
Net income		$	914,114		$	966,429		$	1,891,528		$	1,652,341

Basic earnings per share:
	Net income per basic share	$	30.71		$	32.59		$	63.49		$	55.52

	Weighted average common shares - basic		29,764			29,652			29,793			29,759

Diluted earnings per share:
	Net income per diluted share	$	30.32		$	32.15		$	62.70		$	54.84

	Weighted average common shares - diluted		30,148			30,058			30,167			30,131

Bio-Rad Laboratories, Inc.
Condensed Consolidated Balance Sheets

(In thousands)

			June 30,		December 31,
			2021		2020
			(Unaudited)
Current assets:
	Cash and cash equivalents		$	732,836	$	662,205
	Short-term investments			434,122		334,473
	Accounts receivable, net			399,307		419,424
	Inventories, net			598,989		622,253
	Other current assets			123,839		101,480
		Total current assets		2,289,093		2,139,835

Property, plant and equipment, net				482,001		491,371
Operating lease right-of-use assets				190,233		202,136
Goodwill, net				291,916		291,916
Purchased intangibles, net				184,852		199,497
Other investments				11,580,390		9,561,140
Other assets				99,071		86,723
		Total assets	$	15,117,556	$	12,972,618

Current liabilities:
	Accounts payable, accrued payroll and employee benefits		$	342,345	$	362,326
	Current maturities of long-term debt			1,736		1,798
	Income and other taxes payable			52,421		57,335
	Other current liabilities			190,550		210,077
		Total current liabilities		587,052		631,536

Long-term debt, net of current maturities				10,779		12,258
Other long-term liabilities				2,924,845		2,448,884
		Total liabilities		3,522,676		3,092,678

		Total stockholders' equity		11,594,880		9,879,940
		Total liabilities and stockholders' equity	$	15,117,556	$	12,972,618

Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Cash Flows

(In thousands)
(Unaudited)

		Six Months Ended
		June 30,
		2021			2020
Cash flows from operating activities:
	Cash received from customers	$	1,456,601		$	1,127,141
	Cash paid to suppliers and employees		(1,131,533	)		(959,300	)
	Interest paid, net		(1,536	)		(10,847	)
	Income tax payments, net		(77,573	)		(10,005	)
	Other operating activities		22,275			7,941
	Net cash provided by operating activities		268,234			154,930

Cash flows from investing activities:
	Payments for acquisitions		-			(96,889	)
	Other investing activities		(148,604	)		(4,106	)
	Net cash used in investing activities		(148,604	)		(100,995	)

Cash flows from financing activities:
	Payments on long-term borrowings		(1,523	)		(1,597	)
	Other financing activities		(42,959	)		(99,999	)
	Net cash used in financing activities		(44,482	)		(101,596	)

Effect of foreign exchange rate changes on cash			(5,102	)		(2,858	)

Net increase (decrease) in cash, cash equivalents, and restricted cash			70,046			(50,519	)
Cash, cash equivalents, and restricted cash at beginning of period			667,115			662,651
Cash, cash equivalents, and restricted cash at end of period		$	737,161		$	612,132


Reconciliation of net income to net cash
provided by operating activities:
Net income		$	1,891,528		$	1,652,341
Adjustments to reconcile net income to net cash provided by operating activities:
	Depreciation and amortization		66,388			68,256
	Reduction in the carrying amount of right-of-use assets		19,556			18,674
	Changes in working capital		(61,418	)		(34,539	)
	Other		(1,647,820	)		(1,549,802	)
Net cash provided by operating activities		$	268,234		$	154,930

Bio-Rad Laboratories, Inc.
Reconciliation of GAAP financial measures to non-GAAP financial measures
(In thousands, except per share data)
(Unaudited)

In addition to the financial measures prepared in accordance with generally accepted accounting principles (GAAP), we use certain non-GAAP financial measures, including non-GAAP net income and non-GAAP diluted income per share (non-GAAP EPS), which exclude amortization of acquisition-related intangible assets; certain acquisition-related expenses and benefits; restructuring charges; asset impairment charges; valuation changes of equity-owned securities; gains and losses on equity-method investments; and significant legal-related charges or benefits and associated legal costs. Non-GAAP net income and non-GAAP EPS also exclude certain other gains and losses that are either isolated or cannot be expected to occur again with any predictability, tax provisions/benefits related to the previous items, and significant discrete tax events. We exclude the above items because they are outside of our normal operations and/or, in certain cases, are difficult to forecast accurately for future periods.

We utilize a number of different financial measures, both GAAP and non-GAAP, in analyzing and assessing the overall performance of our business, in making operating decisions, forecasting and planning for future periods, and determining payments under compensation programs. We consider the use of the non-GAAP measures to be helpful in assessing the performance of the ongoing operation of our business. We believe that disclosing non-GAAP financial measures provides useful supplemental data that, while not a substitute for financial measures prepared in accordance with GAAP, allows for greater transparency in the review of our financial and operational performance. We also believe that disclosing non-GAAP financial measures provides useful information to investors and others in understanding and evaluating our operating results and future prospects in the same manner as management and in comparing financial results across accounting periods and to those of peer companies.

		Three Months Ended					Three Months Ended					Six Months Ended					Six Months Ended
		June 30,			% of		June 30,			% of		June 30,			% of		June 30,			% of
		2021			revenue		2020			revenue		2021			revenue		2020			revenue
GAAP cost of goods sold		$	314,333				$	243,892				$	640,502				$	498,168
	Amortization of purchased intangibles		(4,640	)				(4,962	)				(9,225	)				(8,859	)
	Legal matters		-					-					536					-
	Restructuring benefits (costs)		(1,209	)				12					(25,189	)				1,468
Non-GAAP cost of goods sold		$	308,484				$	238,942				$	606,624				$	490,777

GAAP gross profit		$	401,598		56.1	%	$	292,988		54.6	%	$	802,225		55.6	%	$	610,356		55.1	%
	Amortization of purchased intangibles		4,640					4,962					9,225					8,859
	Legal matters		-					-					(536	)				-
	Restructuring (benefits) costs		1,209					(12	)				25,189					(1,468	)
Non-GAAP gross profit		$	407,447		56.9	%	$	297,938		55.5	%	$	836,103		58.0	%	$	617,747		55.7	%

GAAP selling, general and administrative expense		$	213,425				$	189,262				$	439,278				$	382,954
	Amortization of purchased intangibles		(2,355	)				(2,277	)				(4,710	)				(4,235	)
	Legal matters		(8,761	)				(2,585	)				(13,176	)				(4,418	)
	Acquisition related benefits (costs) (1)		40					955					40					1,002
	Restructuring benefits (costs)		6,929					(3,320	)				(27,806	)				(2,807	)
Non-GAAP selling, general and administrative expense		$	209,278				$	182,035				$	393,626				$	372,496

GAAP research and development expense		$	63,391				$	51,984				$	137,303				$	101,287
	Restructuring benefits (costs)		2,061					656					(14,789	)				1,055
Non-GAAP research and development expense		$	65,452				$	52,640				$	122,514				$	102,342

GAAP income from operations		$	124,782		17.4	%	$	51,742		9.6	%	$	225,644		15.6	%	$	126,115		11.4	%
	Amortization of purchased intangibles		6,995					7,239					13,935					13,094
	Legal matters		8,761					2,585					12,640					4,418
	Acquisition related (benefits) costs (1)		(40	)				(955	)				(40	)				(1,002	)
	Restructuring (benefits) costs		(7,781	)				2,652					67,784					284
Non-GAAP income from operations		$	132,717		18.5	%	$	63,263		11.8	%	$	319,963		22.2	%	$	142,909		12.9	%

GAAP change in fair market value of equity securities		$	(1,030,691	)			$	(1,183,488	)			$	(2,210,094	)			$	(2,011,159	)
	Valuation (loss) gain on equity-owned securities		1,030,691					1,183,488					2,210,094					2,011,159
Non-GAAP change in fair market value of equity securities		$	-				$	-				$	-				$	-

GAAP other (income) expense, net		$	96				$	(17,229	)			$	(17,311	)			$	(20,502	)
	(Loss) gain on equity-method investments		(1,840	)				(1,138	)				(3,680	)				(2,451	)
	Other non-recurring items (3)		-					11,680					-					11,680
Non-GAAP other (income) expense, net		$	(1,744	)			$	(6,687	)			$	(20,991	)			$	(11,273	)

GAAP income before income taxes		$	1,156,775				$	1,245,945				$	2,453,978				$	2,144,644
	Amortization of purchased intangibles		6,995					7,239					13,935					13,094
	Legal matters		8,761					2,585					12,640					4,418
	Acquisition related (benefits) costs (1)		(40	)				(955	)				(40	)				(1,002	)
	Restructuring (benefits) costs		(7,781	)				2,652					67,784					284
	Valuation loss (gain) on equity-owned securities		(1,030,691	)				(1,183,488	)				(2,210,094	)				(2,011,159	)
	Loss (gain) on equity-method investments		1,840					1,138					3,680					2,451
	Other non-recurring items (3)		-					(11,680	)				-					(11,680	)
Non-GAAP income before income taxes		$	135,859				$	63,436				$	341,883				$	141,050

GAAP provision for income taxes		$	(242,661	)			$	(279,516	)			$	(562,450	)			$	(492,303	)
	Income tax effect of non-GAAP adjustments (2)		213,387					264,428					484,523					457,230
Non-GAAP provision for income taxes		$	(29,274	)			$	(15,088	)			$	(77,927	)			$	(35,073	)

GAAP net income		$	914,114		127.7	%	$	966,429		180.0	%	$	1,891,528		131.1	%	$	1,652,341		149.1	%
	Amortization of purchased intangibles		6,995					7,239					13,935					13,094
	Legal matters		8,761					2,585					12,640					4,418
	Acquisition related (benefits) costs (1)		(40	)				(955	)				(40	)				(1,002	)
	Restructuring (benefits) costs		(7,781	)				2,652					67,784					284
	Valuation loss (gain) on equity-owned securities		(1,030,691	)				(1,183,488	)				(2,210,094	)				(2,011,159	)
	Loss (gain) on equity-method investments		1,840					1,138					3,680					2,451
	Other non-recurring items (3)		-					(11,680	)				-					(11,680	)
	Income tax effect of non-GAAP adjustments (2)		213,387					264,428					484,523					457,230
Non-GAAP net income		$	106,585		14.9	%	$	48,348		9.0	%	$	263,956		18.3	%	$	105,977		9.6	%

GAAP diluted income per share		$	30.32				$	32.15				$	62.70				$	54.84
	Amortization of purchased intangibles		0.23					0.24					0.46					0.43
	Legal matters		0.29					0.09					0.42					0.15
	Acquisition related (benefits) costs (1)		-					(0.03	)				-					(0.03	)
	Restructuring (benefits) costs		(0.26	)				0.09					2.25					0.01
	Valuation loss (gain) on equity-owned securities		(34.19	)				(39.37	)				(73.26	)				(66.75	)
	Loss (gain) on equity-method investments		0.06					0.04					0.12					0.08
	Other non-recurring items (3)		-					(0.39	)				-					(0.39	)
	Income tax effect of non-GAAP adjustments (2)		7.09					8.79					16.06					15.18
Non-GAAP diluted income per share		$	3.54				$	1.61				$	8.75				$	3.52

GAAP diluted weighted average shares used in per share calculation			30,148					30,058					30,167					30,131
	Shares included in non-GAAP net income per share, but excluded from GAAP net loss per share as they would have been anti-dilutive		-					-					-					-
Non-GAAP diluted weighted average shares used in per share calculation			30,148					30,058					30,167					30,131

(1)		Release of contingent consideration and other acquisition-related (benefits) expenses.

(2)		Excluded items identified in the reconciliation schedule are tax effected by application of a non-GAAP effective tax rate. The non-GAAP tax provision is adjusted for items, the nature of which and/or tax jurisdiction requires the application of a specific tax rate or treatment.

(3)		Gain on the sale of a division (2020).

2021 Financial Outlook

Forecasted non-GAAP operating margin excludes 102 basis points related to amortization of purchased intangibles. Forecasted non-GAAP operating margin does not reflect future gains and charges that are inherently difficult to predict and estimate due to their unknown timing, effect and/or significance, such as foreign currency fluctuations, future gains or losses associated with certain legal matters, acquisitions and restructuring activities.

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Bio-Rad Reports Second-Quarter 2021 Financial Results