IDEXX LABORATORIES INC /DE (IDXX) Earnings History

IDEXX LABORATORIES INC /DE - Q4 FY2025 EarningsBeat

Filed at: Feb 2, 2026, 6:39 AM EST|Read from source

EXECUTIVE SUMMARY

IDEXX Laboratories reported a strong finish to 2025 with robust revenue and EPS growth, driven by solid execution in its Companion Animal Group (CAG) Diagnostics segment and successful product innovations. The company is entering 2026 with positive momentum, an expanding installed base, and a promising innovation pipeline.

POSITIVE HIGHLIGHTS

  • •

    Fourth quarter revenue increased 14% as reported and 12% organically to $1,091 million, driven by CAG growth and Water revenue.

    positive
  • •

    Fourth quarter EPS of $3.08 increased 18% as reported and 17% on a comparable basis.

    positive
  • •

    Operating margin expanded 150 basis points as reported and 120 basis points on a comparable basis in Q4.

    positive
  • •

    Full year revenue of $4,304 million increased 10% as reported and organically.

    positive
  • •

    Full year EPS of $13.08 increased 23% on a reported basis and 14% on a comparable basis.

    positive
  • •

    CAG Diagnostics recurring revenue grew 12% as reported and 10% organically in Q4.

    positive
  • •

    IDEXX VetLab consumables revenue grew 17% as reported and 15% organically.

    positive
  • •

    CAG Diagnostics capital instrument revenues expanded 76% as reported and 69% on an organic basis.

    positive

CONCERNS & RISKS

  • •

    Rapid assay products revenues declined 2% as reported and 3% organically, impacted by the launch of the Catalyst™ Pancreatic Lipase Test.

    attention
  • •

    Full year 2025 EPS included a ~7% EPS growth benefit from comparison to the prior year's discrete litigation expense accrual.

    attention
  • •

    Full year 2025 EPS results included lapping a $0.56 negative impact in 2024 and an $0.08 positive impact in Q1 2025 from a discrete litigation expense accrual adjustment.

    attention
  • •

    Inventories increased to $377.8 million in Q4 2025 from $381.9 million in Q4 2024, a slight decrease but inventory turns remained low at 1.6.

    attention
  • •

    Cash and cash equivalents decreased to $180.1 million from $288.3 million year-over-year, a significant reduction.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$1.09B
+14.3%
Prior year: $954.29M
Annual (YTD)
$4.30B
N/A
Prior year: $3.90B
Net Income
Quarterly
$248.19M
+14.8%
Prior year: $216.15M
Annual (YTD)
$1.06B
N/A
Prior year: $887.87M
EPS (Diluted)
Quarterly
$3.08
+17.6%
Prior year: $2.62
Operating Income
Quarterly
$315.61M
+20.6%
Prior year: $261.69M
Annual (YTD)
$1.36B
N/A
Prior year: $1.13B
EPS (Basic)
Quarterly
$3.11
+17.8%
Prior year: $2.64

MARGIN ANALYSIS

Gross Margin
Current Quarter
60.3%
Prior Year
59.8%
YoY Change
+50 bps
Operating Margin
Current Quarter
28.9%
Prior Year
27.4%
YoY Change
+150 bps
Net Margin
Current Quarter
22.8%
Prior Year
22.7%
YoY Change
+10 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

REVENUE BY SEGMENT — Q4 FY2025 2025

VISUAL OVERVIEW

|
CAG
0.0%
N/A
CC: +12.8%
Water
0.0%
N/A
CC: +9.5%
LPD
0.0%
N/A
CC: +4.0%
Other
0.0%
N/A

DETAILED BREAKDOWN

|
SegmentCurrentPrior YrYoY% TotalCC
CAG
N/A———+12.8%
Water
N/A———+9.5%
LPD
N/A———+4.0%
Other
N/A————
Total Revenue$0.00M——100.0%—

Segment performance shows business unit health and growth drivers. Constant currency (CC) removes FX impact for like-for-like comparison.

MANAGEMENT GUIDANCE

FY2026

revenue
$4632000.0B—$4720000.0B
Mid-point: $4676000.0B
"7.6% - 9.6% reported growth and 7.0% - 9.0% organic growth"
CAG Diagnostics Recurring Revenue
"8.6% - 10.6% reported growth and 8.0% - 10.0% organic growth"
Operating Margin
32.0%—32.5%
Mid-point: 32.3%
"32.0% - 32.5%, with reported operating margin expansion of 40 - 90 bps"
EPS
$14.29—$14.80
Mid-point: $14.54
"$14.29 - $14.80, an increase of 9% - 13% as reported and 10% - 14% on a comparable basis"

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

SPECIAL ITEMS & ADJUSTMENTS

FY2025
Tax benefits from share-based compensation
Included in full year EPS results.
+$0.35M
FY2025
Positive impact from currency changes
Included in full year EPS results.
+$0.1M
Q4 FY2025
Positive impact from currency changes
Included in Q4 EPS results.
+$0.09M
Q1 FY2025
Discrete litigation expense accrual adjustment
Positive impact on full year EPS.
+$0.08M
FY2024
Discrete litigation expense accrual adjustment
Negative impact on full year EPS.
$0.56M
Total Impact
+$0.06M

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

IDEXX delivered a strong finish to 2025, supported by consistently high levels of execution by IDEXX teams around the world.

— IDEXX LABORATORIES INC /DE, Q4 FY2025 2025 Earnings Call

2025 was a pivotal year for the Company, marked by the successful launch of IDEXX Cancer Dx™ for canine lymphoma and meaningful adoption of IDEXX inVue Dx well ahead of our initial goals.

— IDEXX LABORATORIES INC /DE, Q4 FY2025 2025 Earnings Call

These innovations represent an important new phase of IDEXX’s growth, expanding the role of diagnostics in earlier disease detection while helping veterinarians improve efficiency and manage workflow complexity.

— IDEXX LABORATORIES INC /DE, Q4 FY2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Days Sales Outstanding
46.8
-0.6% YoY
Prior year: 47.1
days
Inventory Turns
1.6
+23.1% YoY
Prior year: 1.3
turns

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.