IDEXX Laboratories (IDXX) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue grew 14% as reported and 12% organically, driven by strong CAG Diagnostics recurring revenue and record premium instrument placements.

• Full-year 2025 revenue reached $4,304 million, up 10% year-over-year, with EPS of $13.08, a 23% increase as reported.

• Expanded global commercial presence and launched key innovations, including inVue Dx and Cancer Dx, supporting recurring revenue and high customer retention.

Financial highlights

• Q4 revenue: $1,091 million, up 14% reported and 12% organic; CAG revenue up 15% reported and 13% organic.

• Q4 EPS: $3.08, up 18% year-over-year; full-year EPS: $13.08, up 23%.

• Q4 operating profit was $316 million (29% of revenue); full-year operating margin: 31.6%.

• Free cash flow for 2025 was $1.1 billion, 100% of net income; $1.2 billion allocated to share repurchases.

• Gross margin for 2025 was 61.8%, up 80 basis points year-over-year.

Outlook and guidance

• 2026 revenue guidance: $4,632–$4,720 million, up 7.6%–9.6% reported, 7%–9% organic.

• 2026 EPS outlook: $14.29–$14.80, up 9%–13% reported and 10%–14% comparable.

• Operating margin guidance for 2026: 32.0%–32.5%, with 30–90 basis points improvement.

• CAG Diagnostics recurring revenue expected to grow 8%–10% organically in 2026.

• Free cash flow conversion expected at 85%–95% of net income; $180 million in capital spending planned.