Labcorp Announces 2025 First Quarter Results

Original from: Labcorp

Updates Full-Year Guidance

· Results from Operations for first quarter 2025 versus first quarter last year:

 - Revenue: $3.35 billion versus $3.18 billion

 - Diluted EPS: $2.52 versus $2.69

 - Adjusted EPS: $3.84 versus $3.68

· Reaffirmed Revenue and Free Cash Flow guidance, raised midpoint of adjusted EPS:

 - Revenue guidance of 6.7% to 8.0%

 - Adjusted EPS range of $15.70 to $16.40; midpoint raised $0.05

 - Free Cash Flow of $1.10 billion to $1.25 billion

· Providing broader access to comprehensive testing and laboratory services with several transactions announced/completed year-to-date

· Introduced new tests including Labcorp Plasma Complete, a liquid biopsy test for cancer, and pTau-217/Beta Amyloid 42 Ratio test to aid in the diagnosis of Alzheimer's disease

Labcorp (NYSE: LH), a global leader of innovative and comprehensive laboratory services, today announced results for the first quarter ended March 31, 2025 and updated full-year guidance.

"Labcorp delivered solid performance in the first quarter of 2025," said Adam Schechter, chairman and CEO of Labcorp. "While the macroeconomic environment remains dynamic, the critical nature of the work we do in diagnostics and drug development positions us well for success in 2025 and beyond. We continue to progress our pipeline of attractive acquisitions and partnerships and further expand our test menu in four strategic areas, including oncology, women's health, autoimmune disease and neurology."

In the first quarter, Labcorp advanced its position as a partner of choice for hospitals, health systems and regional/local laboratories:

· Entered into a strategic collaboration with New Jersey-based Inspira Health to manage operations of hospital laboratories and to serve as the primary lab for their physician network.

· Agreed to acquire select assets of BioReference Health's innovative oncology and related clinical testing services businesses.

· Completed the acquisition of select assets of North Mississippi Health Services' ambulatory outreach laboratory business and became a referral laboratory for its seven hospitals and clinic laboratories.

Labcorp also continued to incorporate the power of science, innovation and advanced technology across the organization during or subsequent to the quarter:

· Introduced Labcorp® Plasma Complete, a groundbreaking liquid biopsy test to aid in personalized cancer treatment decisions.

· Introduced HPV and STI self-collection options in Labcorp patient service centers and physician offices.

· Launched pTau-217/Beta Amyloid 42 Ratio test, a new blood-based biomarker test to aid in the diagnosis of Alzheimer's disease.

· Expanded Labcorp OnDemand test menu with new offerings to help consumers manage their health and well-being.

· Launched eClaim Assist, a next-generation digital platform that introduces smarter workflows to improve efficiencies in billing, payer alignment and denials.

On April 10, 2025, Labcorp announced a quarterly cash dividend of $0.72 per share of common stock, payable on June 11, 2025, to stockholders of record at the close of business on May 29, 2025.

On April 15, 2025, Labcorp issued its 2024 Corporate Responsibility Report. The report demonstrates how the company is pursuing a healthier future as it advances its mission to improve health and improve lives.

Capital Allocation Summary

At the end of the quarter, Labcorp's cash and cash equivalents balance was $0.37 billion and total debt was $5.57 billion.

During the quarter, the company invested $210.5 million in acquisitions and partnerships and paid out $61.6 million in dividends.

Guidance for 2025

Labcorp is updating 2025 full year guidance to reflect its first quarter performance and full year outlook. The following guidance assumes foreign exchange rates effective as of March 31, 2025, for the remainder of the year. Enterprise level guidance includes the estimated impact from currently anticipated capital allocation, including acquisitions, share repurchases and dividends.

Source: Labcorp Announces 2025 First Quarter Results