Bio-Rad tops Q3 profit estimates, in line on revenue

Bio-Rad Laboratories (BIO) said on Nov. 4 that third-quarter non-GAAP earnings were $2.65 per share, above the $2.25 consensus estimate. Revenue of $656.4 million was in line with the $656.45 million consensus estimate.

The company develops, manufactures and markets products for the life science research and clinical diagnostics markets. It had approximately 7,100 employees and $2.6 billion in revenues in 2025.

Here's how the company did:

• Non-GAAP diluted EPS: $2.65 per share vs. $2.26 a year earlier, $2.25 expected
• Revenue: $656.4 million vs. $653.0 million a year earlier
• GAAP net income: $458.6 million, or $17.02 per diluted share, vs. a loss of $341.9 million a year earlier

Net sales rose 0.5% from a year earlier. On a currency-neutral basis, sales rose 0.7%, driven by higher sales in Clinical Diagnostics, the company said.

GAAP results were boosted by a change in the fair market value of the company's investment in Sartorius AG, which substantially contributed to the net income, the company said.

Segment results

Life Science net sales were $254.6 million, down 2.8% from a year earlier. Currency-neutral sales fell 2.4%, driven by lower process chromatography sales and ongoing challenges in the academic research market. Increased Droplet Digital PCR sales partly offset the decline.

Clinical Diagnostics net sales were $401.8 million, up 2.7% from a year earlier. Currency-neutral sales rose 2.8%, driven by quality systems and diabetes products.

Charges and cash flow

GAAP operating loss was $49.7 million, against operating income of $65.3 million a year earlier. The company said in its slide presentation that restructuring charges were approximately $77 million and a non-cash impairment of approximately $50 million related to purchased intangible assets, reflecting the discontinuation and reprioritization of certain R&D programs.

Net cash from operations was $96.4 million, against $120.9 million a year earlier. Free cash flow was $65.2 million, against $89.2 million.

2026 outlook

For the full year, the company continues to expect non-GAAP, currency-neutral revenue in a range of a decline of approximately 3.0% to growth of approximately 0.5%, and a non-GAAP operating margin of approximately 10.0% to 12.0%. That matches the range it gave on Aug. 4.

Chief Executive Officer Norman Schwartz said in the release: "Our third-quarter results reflect the steady progress we have been driving." He added that the company's progress "gives us confidence in our 2026 outlook."

Management will discuss the results on a conference call at 5:00 p.m. ET on Nov. 4.